A prominent film producer and financier has been arrested and indicted for allegedly defrauding clients of more than $100 million by soliciting them to invest in purported entertainment projects, only to redirect the money to fund unrelated real estate developments.
Jason Cloth, who is best known as the executive producer of the films “Joker” and “Babylon,” operated the Canadian-based Creative Wealth Media Finance Corp. According to the charges brought against him, Cloth solicited various clients between 2019 and this year to invest in purported film and entertainment projects or to fund a gaming entertainment investment platform. Cloth fraudulently obtained more than $100 million from an Illinois investment advisor, the advisor’s clients, and other investors based on false representations about the performance and value of their investments.
The indictment claims that Cloth knowingly used the money for other purposes, including the development of a real estate project in Canada. To keep his scheme operational, he allegedly engaged in a Ponzi scheme by using some investor funds to repay prior investors.
Cloth was charged with seven counts of wire fraud, and each count is punishable by up to 20 years in federal prison. The indictment seeks forfeiture from Cloth in the amount of at least $12.25 million for the projects identified in the indictment.
According to The Wrap, the indictment follows five earlier lawsuits filed by Cloth’s investors, including one in 2024 that claimed that Cloth he misused investments intended to finance the films “Ghostbusters: Afterlife” and “Monkey Man.”
Photo courtesy IMDb
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