LOS ANGELES — A federal grand jury indicted film financier Jason Cloth on seven counts of wire fraud, leading to his arrest in Los Angeles. The indictment against Jason Cloth was unsealed in U.S. District Court in Chicago, where authorities allege he solicited more than $100 million from investors through a fraudulent scheme.

Jason Cloth made his first court appearance in Los Angeles on July 28, 2026. The 60-year-old financier, who resides in Beverly Hills, operates the Canada-based company Creative Wealth Media Finance Corp. Los Angeles is the seat of Los Angeles County and the largest city in California, United States.

According to the indictment, Jason Cloth began soliciting investments in 2019. The government alleges he told investors that their funds would be used for film, television, or video game platform projects. Jason Cloth financed the films "Joker" and "Ghostbusters: Afterlife" through his business ventures.

Federal prosecutors allege that Jason Cloth did not use the money for the stated entertainment purposes. Instead, the indictment alleges he used investor funds for a real estate development in Canada and to pay off earlier investors. The government further alleges that Jason Cloth lied to investors about the value and performance of their investments to maintain the scheme.

If convicted, Jason Cloth faces significant prison time. Each count of wire fraud carries a maximum penalty of 20 years in federal prison. The indictment also seeks forfeiture of at least $12.25 million from Jason Cloth as part of the legal proceedings.

The criminal charges follow a period of civil legal challenges for the financier. Jason Cloth has been named in several lawsuits from investors in recent years. These include a class-action lawsuit alleging film-funding fraud in Chicago and a Florida lawsuit alleging breach of contracts for entertainment loans.

Law enforcement is continuing its investigation into the scope of the alleged fraud. The FBI’s Chicago Field Office is seeking additional victims of the alleged fraud scheme. Investigators have not yet identified all individuals or entities affected by the financial activities detailed in the indictment.

The indictment shows allegations of a large-scale financial scheme involving the entertainment industry. By accusing Jason Cloth of misrepresenting the use of over $100 million, federal authorities are addressing claims of systematic deception in film financing. The case connects to prior civil litigation, suggesting a pattern of investor disputes that has now escalated to criminal charges.

The forfeiture request and potential prison sentences underscore the severity of the federal charges. Each wire fraud count carries a maximum penalty of 20 years, reflecting the statutory consequences for alleged financial deception. The ongoing search for additional victims indicates that the financial impact may extend beyond the currently identified plaintiffs in civil suits.