LOS ANGELES — An aspiring actor was sentenced to twenty years in federal jail Monday for operating a huge Ponzi scheme that raised a minimum of $650 million from traders in phony Hollywood movie licensing offers.
Zachary Horwitz, 35, of Los Angeles, additionally was ordered to repay greater than $230.3 million.
Prosecutors alleged that from 2014 to 2019, Horwitz secured a whole bunch of thousands and thousands of dollars in loans for his movie firm, 1inMM Capital LLC, by falsely claiming the cash could be used to purchase distribution rights to films that might then be licensed for distribution to streaming platforms resembling Netflix and HBO.
As a substitute, Horwitz used a few of the cash to repay earlier traders in a traditional Ponzi scheme and to help a way of life that included shopping for a $6 million dwelling, prosecutors stated.
Greater than 200 traders, together with three of Horwitz’s closest faculty mates and their relations, misplaced about $230 million, authorities stated.
Horwitz had appeared in various films, often in small roles, beneath the identify Zach Avery.