WASHINGTON – A Los Angeles actor was the mastermind of a $ 690 million Ponzi scheme that plagued investors who believed their money would fund distribution rights for movies that would air on HBO and Netflix, according to authorities.
Zachary Joseph Horwitz, who was with Zach Avery as an actor, was arrested on Monday and charged with wire fraud, according to the Los Angeles prosecutor’s office. The Securities and Exchange Commission has sued Mr Horwitz and his firm, 1inMM Capital LLC, in civil court for the alleged scam, which is said to have involved a plan to describe efforts to sell the film licensing rights, mainly in Latin American markets.
Mr. Horwitz’s LinkedIn profile states that he is an administrative partner of 1inMM. He did not respond to a request for comment sent via LinkedIn. On Wednesday, the court case did not include a lawyer for him.
The 34-year-old actor has a profile on IMDb, the online movie database, where he is credited for his roles in a handful of low-budget movies. His most recent credits include a still-new, higher-profile film called “Gateway,” starring Olivia Munn and Frank Grillo. The specialty label of Hollywood Lions Gate Entertainment Corp., Grindstone Entertainment, is distributed.
Netflix declined to comment. HBO and Lions Gate did not immediately respond to requests for comment.