'Joker' & 'Longlegs' Producer Jason Cloth Charged In $100 Million Ponzi Scheme

Key Points:

• Jason Cloth, a Beverly Hills film producer known for credits including Joker, Babylon, and Longlegs, faces multiple federal fraud charges related to a Ponzi scheme that defrauded investors of over $100 million.
• Prosecutors allege Cloth operated Canada-based Creative Wealth Media Finance Corp, soliciting investments in fake film projects and a gaming platform, while misusing funds for other purposes like Canadian real estate development.
• The 12-page indictment claims Cloth knowingly deceived investors, including an Illinois investment adviser and clients, and used new investor money to pay returns to earlier investors, characteristic of a Ponzi scheme.
• Cloth was arrested and appeared in court in Los Angeles; he faces seven counts of wire fraud, each carrying up to 20 years in federal prison, with prosecutors seeking forfeiture of at least $12.25 million.
• Over the past decade, Cloth has produced numerous films and TV series, including high-profile titles such as Joker, The Addams Family sequels, Judas and the Black Messiah, and Kin.