Hollywood (illustration) -
KONRAD K./SIPA
He risks twenty years in prison.
Hollywood actor Zach Avery is accused of devising a fraudulent financial package of $ 690 million.
He was arrested in Los Angeles and his assets seized, according to a California prosecutor and US financial policeman, the SEC.
Zachary Horwitz, whose real name is 34, is suspected of having for five years solicited investments in his fraudulent company.
A Ponzi scheme
It claimed to buy regional film distribution rights and then license them to major broadcasters like Netflix or HBO for distribution in Latin America, the California prosecutor's office said in a statement.
But instead, he had organized his company, dubbed 1inMM Capital, into a Ponzi scheme, a fraudulent scheme where he used the money of some to pay others and finance his glitzy lifestyle, "including the purchase of a residence in Beverlywood for 6 million dollars, underlined the office of the prosecutor.
$ 690 million raised from victims
According to the SEC, this Ponzi scheme has raised up to $ 690 million from victims to whom Zachary Horwitz promised a return on investment of 35%.
California justice says the scam involves $ 227 million in principal, which has not yet been reimbursed.
The actor, who recently appeared in thrillers and horror films like
Beyond Appearances
, is accused of fraud and faces twenty years in prison.
World
England: "The queen of the swindle" of Hollywood would have been arrested
People
VIDEO.
Fan gets ripped off by fake Brad Pitt and files a complaint against the real one
HBO
Netflix
Los Angeles
Scam
Hollywood
Culture