Zachary Horwitz, an American actor who scammed $650 million in a large Hollywood Ponzi scheme, has been sent to prison for 20 years. He was accused of using the money on yachts, jets, and fast vehicles.
Horwitz made fake contracts and stated to investors that the contracts were with HBO and Netflix. This was so that they would give him money. He then used it to buy things like a mansion that included a full wine cellar.
Horwitz, 35, played in small horror movies and went by the name Zach Avery. He lied to investors, telling them that he was purchasing distribution rights for U.S. movies and would sell them to streaming services.
Every victim was provided a note, assuring them that they would make a profit in six months to a year.
As seven years went by, Horwitz continued the operation by using the money from the new investors to pay back the old investors.
By the time the scheme was uncovered, $230 million was gone.
In October, Horwitz confessed to security fraud, admitting that he never purchased any film rights or obtained any distribution contracts.
In addition to his 20 year sentence, Horwitz must pay the $230 million back to his victims.
Wow