47 Ronin director Carl Erik Rinsch was sentenced Monday to 30 months in prison for defrauding Netflix out of $11 million from a deal with the company to make a sci-fi series he never delivered.
A Manhattan jury last year found Rinsch guilty of wire fraud, money laundering and multiple counts related to engaging in illegal monetary transactions. He had spent funds earmarked for a series titled White Horse on risky securities trades, using profits from those investments to sue Netflix for further payments to finish the show and purchase luxury goods.
Rinsch faced a maximum term of 90 years, with federal prosecutors recommending a 60-month prison sentence. Instead, U.S. District Judge Jed Rakoff issued a sentence on the lower end of the sentencing guidelines after evidence of an untreated mental health condition emerged.
“The perhaps improper medication Mr. Rinsch received may have…
IT & DATA SECURITY (MITIGATING THE “INSIDER THREAT”)
As seen in the TD Bank case, an employee with too much “access” can sell your customer data to syndicates.
- Principle of Least Privilege (PoLP): Employees should only have access to the specific folders and databases required for their current task.
- Access Revocation: Have a “Termination Checklist” that ensures all digital access (Email, VPN, Banking) is revoked within 60 minutes of an employee resigning or being dismissed.
- System Logs & Audit Trails: Enable “Read/Write Logging” on your server. If a customer’s data is leaked, you need to know exactly which login accessed that record and at what time.
- Encryption at Rest: Ensure that sensitive files (like your customer ID numbers or payroll spreadsheets) are encrypted so that if a staff member copies them to a USB, they cannot be read.