Hollywood producer Jason Cloth charged with wire fraud in alleged $100 million scheme

Jason Cloth, a Canadian producer whose company Creative Wealth Media financed films such as “The Mule,” “A Star Is Born” and “Ford v Ferrari,” was taken into custody in Los Angeles after a federal grand jury indictment was unsealed in Chicago. The 60-year-old faces seven counts of wire fraud for allegedly running a multi-year investment scheme that defrauded investors and advisory firms of more than $100 million.

Prosecutors say Cloth solicited high-value investments by claiming the funds would be used for movie, television and gaming projects, but instead fabricated financial statements about the investments’ performance and value. They allege he used new investor money to pay earlier investors, a pattern typical of Ponzi operations, and diverted millions into personal ventures, including a real-estate development in Canada.

The indictment seeks forfeiture of at least $12.25 million, and each count carries a potential sentence of up to 20 years in federal prison. In a separate 2024 civil case in West Palm Beach, a jury awarded $19.6 million to investor Robert Harris, finding Cloth had misled him about a TNT docuseries called “The Pathway.”

"Cloth promised a 15% return and claimed TNT had green-lit the series for five seasons, but the show was cancelled after one season and Harris never received any repayment," plaintiff’s attorney David Jonelis said.

Cloth did not appear at the trial, submitting a written statement that he could not represent himself without counsel and citing financial strain after the bankruptcy of Creative Wealth Media Finance Corp. and partner Bron Studios. He also claimed a scheduling conflict due to attendance at the Cannes Film Festival.

The FBI’s Chicago division is working to identify additional victims, believing the alleged fraud began in 2019.