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Under Investigation: The inside story of the Florida Attorney General’s investigation of Wilhelmina Scouting Network, the largest model and talent scam in America. ISBN-0968713335 Paperback 512 pages $29.9502/06/02 - Options Talent Group (OTCBB: OPTG) www.otalent.com (formerly Sector Communications, Inc. OTCBB:SECT) today announced that it has acquired all of the outstanding shares in eModel, Inc.... Additionally, the company had recently changed its name to Options Talent Group and its symbol to "OPTG"... The terms of the transaction, which closed Feb. 05, 2002, were not disclosed. eModel, Inc. will operate as a wholly owned subsidiary of Options Talent Group under a new name, Options Talent, Inc. Options Talent Group Chairman and CEO Mohamed Hadid filed for personal bankruptcy within the past five years after being sued and judgments handed down in which Hadid claimed personal bankruptcy and no assets, while being involved in Sector Communications and offshore companies. Ralph Bell, the same individual referenced in the Model 1 action above is listed as a director in the SEC filings for the penny stock. Options Talent, formerly eModel ( owned at one time by Cortez W. Randell ), formerly Why Models, formerly Studio 58. The corporate consulting services rendered by GSC are principally rendered by Alec DeFrawy who is the son of Rafiah Kashmiri, the Trustee and Beneficiary of The Paramount Trust. The services consist primarily of creative services in the areas of website development, marketing, and development of promotional materials. In relation of a 1991 offence, in 1995, Mr. DeFrawy pled guilty to a criminal charge of conspiracy to commit bank fraud and wire fraud which arose from the same indictment to which Mr. Elliot pled guilty in the United States District Court for the District of Columbia. As part of his sentence, Mr. DeFrawy was ordered to pay restitution. "Cortes W. Randell has a lengthy and not-so-illustrious past. In 1966 Randell founded National Student Marketing Corp. The company's stock soared for the next several years, but after it took a steep plunge in price, he resigned as president in 1970. Following an investigation of his role in the stock crash, prosecutors alleged that Randell had misrepresented the company's earnings. He pleaded guilty in 1975 and was sentenced to 18 months in prison for stock-fraud conspiracy and three other counts of fraud. (Investors sued Randell in civil court and were awarded $35 million.)" http://www.newtimesbpb.com/issues/2001-09-06/news.html Their advisory board lists a collection of big names including Don Johnson and fashion designer Max Azria who are apparently accessible by email through the optionstalent.com web address. Don Johnson's publicist says Johnson has never agreed to be part of Options and his lawyer even demanded they remove his name and photograph from their site. Options did, but claim Johnson actually resigned from the board. The Elite Agency, shown in an Options brochure as praising the company, denies any link to Options and is apparently upset by the use of their name. Option's services, which include placement of your photo on their website, will cost $595 up front, plus $19.95 a month. With 33-thousand pictures on the Options site it is easy to see how, in just six months, the company reported revenue of nearly $5 million, according to its SEC filing. The process starts after a scout, working on commission, hands you a card inviting you to an open call. These scouts apparently are paid $20 each time they handed out a business card to a potential model, provided the model signs up with the company.This despite recruitment ads which promise up to $75 thousand dollars a year to "work your dream job" as an Options scout. At the open call your picture is taken and sent to the head office who follow up with a phone call extolling the virtues of their service and the need to decide right away or miss out on the chance for one year. Under California law, modeling agencies can't collect up front fees but Options gets around that by saying it's not an agency because it doesn't represent models, it just scouts them out. The company's position is that they are not a modeling agency but simply provide possible models for those agencies who happen to want to wade through the huge database. Apparently they feel there are modeling or acting jobs for people no matter what they look like for anyone who pays will be listed, according to Options vice president Ryan Saniuk. They will not book you directly, do not form any special relationships with agencies, nor do they have legal affiliation with any agencies. They indicate that the chances of becoming a superstar in this industry are slim, even getting regular work as a model is difficult, modeling is a tough business and there is no guarantee of success. The registration fee is non refundable so most refund requests are denied. For other unflattering investigative news coverage and BBB evaluation see: http://fox5atlanta.com/iteam/options.html Options franchise manager displays inappropriate behavior with prospective model. www.nbc13.com/News/1640741/detail.html (888)590-9994 Fax:(407)240-4177 (407) 240-1656, (407) 701-0926, (888) 669-9546, (888) 771-5043, (888) 771-5043, (925) 242-2586 The BBB has updated their record to include Tom Weinard, Terri Bears, and Rafiah Kashmiri, and their connection to Studio 58 Models. Other Web Sites: Edge Talent is a database of athletes who for a fee, and a monthly charge, can have their states, grades, test scores and college preferences posted on the Edge Talent website. Scouting franchises are also available for purchase. www.hhtalent.comwww.optionstalent.com www.otalent.com The company has changed it's name to Trans Continental Talent. Mark Tolner is still the CEO. The company has been taken over by Lou Pearlman who says he is going to prove the website works, because he is going to make one of the people on the website a star.He has also instituted a 3-day cancellation policy though the start date is in question. http://www.wesh.com/news/1666459/detail.html The site showcases more than 72,000 models, actors and musicians and only one of them gets to become a star. So the exception proves the rule? It's not about one model. It's about 72,000 models! The 71,999 don't really care about the one star who is "made." They want something for their money. They want to make more than they paid for the website. It should be made clear that Trans Continental Talent did not discover Backstreet Boys and N'Sync. People may mistakenly type Transcontinental Talent into search engines looking for info on www.tctalent.com They used to charge $495 with emodel but when they became Options Talent they started charging $595. (Originally with emodel the price was $395.) The site now contains biographies of high profile celebrities including Britney Spears on the main page, and Vin Diesel & Kevin Spacey in a separate "Actor's" section. While it does not state that these stars are connected to TC Talent in any way, it would be fairly easy for the general public to make such misconceptions as this is a commercial venture and not a fan site. It can take several months for the BBB to issue a report about a new company. They do not simply transfer the existing file to the new company. With emodel, it was about three months before they put out any information. http://biz.yahoo.com/prnews/020905/lath109_1.html Trans Continental Talent is the new name for Options Talent. A press release from Options Talent on September 5, 2002, announced Trans Continental Talent or TransContinental Entertainment is now the name of the company which was known as Options Talent or Options Talent Group. This was the second company name change in less than one year. Options Talent used to be known as emodel. emodel was renamed Options Talent in early 2002. Options Talent did business at optionstalent.com and otalent.com, and emodel used to do its business at emodel.com. Trans Continental Talent now does business at tctalent.com. emodel.com was based in Orlando, Florida. Options Talent was based in Orlando, Florida. Trans Continental Talent is based in Orlando, Florida.
EyeWitness News 9, the local TV news station in Orlando, Florida, investigated emodel and Options Talent and published three news reports: http://www.icflorida.com/partners/wftv/consumer/models_0214.html http://www.icflorida.com/partners/wftv/consumer/modelling_action9.html The Central Florida BBB, based in in Orlando, Florida, is very familiar with emodel and Options Talent. Judy Pepper, President of the BBB in Orlando, has been interviewed by reporters asking about emodel and Options Talent. She said: "We're seeing the same types of complaints from Options as we did from E-model, and consumers face the same kind of risks as they did before." The BBB records for both emodel and Options Talent were both similar and unsatisfactory. The BBB report for eModel: "Based on BBB files this company has an unsatisfactory record with the Bureau due to a pattern of complaints concerning the company's scouting opportunity. Complaints concern misrepresentation in selling and recruitment practices." The BBB report for Options Talent: "Based on BBB files, this company has an unsatisfactory record with the Bureau due to a pattern of complaints concerning misrepresentation in recruiting practices and misrepresentation of the modeling agencies who use their services." It also challenged unsubstantiated advertising claims made by Options Talent in its online advertising for model scout positions on Monster.com, for a "dream job": "According to the company's employment advertising a Model Scout can earn $40,000 to $75,000 per year plus incentives and bonuses. The company has not substantiated these earning claims as requested." The BBB reports are published online. emodel.com was owned by Cortes W. Randell. Randell is the owner of the domain name emodel.com. The administrative contact address is the company he owns in Washington, D.C; the email contact address is his first name and the domain of the company he owns in Washington, D.C. Cortes W. Randell was convicted of fraud twice and sent to jail. He was previously sued by people he defrauded, and they were awarded $35,000,000. The criminal record information about Cortes Randell was published by two newspapers in print and online. emodel.com was led by Ralph Edward Bell. He used to be president of a modeling agency in Virginia he started in 1995 called Creative Talent Management. Creative Talent Management Inc. His company's name in Virginia also changed more than once. The BBB record for Ralph Bell's modeling agency, Creative Talent Management: "Creative Talent Management was formerly Creative Artists, which was formerly Erickson Talent Management.... Our file experience shows that this company has an unsatisfactory business performance record with the Bureau. Specifically, our records show a pattern of failure to respond to some customer complaints brought to its attention by the Bureau, while providing responses to other complaints.... According to the complaints, customers report they were encouraged to sign contracts for training based on representations implying that they would receive employment as models and actors, that the full cost of training and additional fees to pursue modeling and acting were not disclosed, that high pressure sales practices were experienced, and that the firm's cancellation policies were unclear.... The company has also failed to substantiate or modify marketing claims which may have the capacity to mislead. The firm advised the Bureau of personnel changes, revisions to promotional materials and other steps it has taken to address problems. The company has not provided documentation substantiating marketing claims, as requested." Ralph Bell was the sales leader of emodel. A former eModel talent executive said E-Model's sales team is managed by Ralph Bell. "In May 1999, the FTC charged Model 1, Inc., and its president, Jason Hoffman; Creative Talent Management, Inc. and its president, Ralph Edward Bell; and The Erickson Agency, Inc., and its president, Patricia Erickson, with misrepresenting their ability to get lucrative jobs for consumers." They were successfully prosecuted by FTC attorneys in a district court and fined and required to forgive $3,000,000. Their businesses were effectively shut down by the FTC in the settlement. The terms of the Final Consent Order of the settlement banned them from further fraud. The cases in summary and in full are on the FTC website. News reports of the case were also published online. Ralph Bell then moved to Orlando, Florida to lead emodel.com and Options Talent. Bell signed SEC Filings for Options Talent (OPTG) several times as a Director of the company, either as R. Edward Bell, Edward Bell, or Ralph Bell. He was one of the founding members of the Options Talent Board of Directors. This information is in the SEC Filings which can be read at Pinksheets.com/filingsOTTG - Mr. Bell also has an interest in Morgan Trust. RALPH EDWARD BELL'S RELATIONSHIP TO THE MORGAN TRUST AND CORPORATE MEDIA SERVICES, INC. The consulting services rendered by CMS are principally rendered by Ralph Edward Bell who is the Trustee of The Morgan Trust, and is a beneficiary, in addition to Mr. Bell's spouse and child, under The Morgan Trust, whose stock ownership and pro forma stock ownership is described in SEC filings. Mr. Bell's consulting services consist primarily of operational support for TCTI's physical and technical infrastructure. emodel.com never put Ralph Bell's name on its website. Options Talent never listed its Board of Directors on its website. What they did list on the optionstalent.com website were the names of members of their "Advisory Board." At the beginning this "Advisory Board" included Don Johnson and other celebrities. Don Johnson, however, was approached by reporters, and said through his publicist he never gave Options Talent permission to use his name; and his lawyer demanded his name and photograph be removed from the Options Talent website. This information was published online in two news reports. In an interview with Karma magazine, the President of Options Talent, Mark Tolner, said Don Johnson was one of their advisors: "We have brought in an allstar roster of advisors from within the industry such as John Daly (whose company produced Terminator, Platoon and Last Emperor), Max Azria (Founder of BCBG), Don Johnson (Miami Vice)." Besides Ralph Bell, three of the leaders of Options Talent used to work together at another company in Orlando, Florida, called Studio 58 Models. Studio 58 Models Studio 58 Models was a company very similar to emodel.com. It was also known as Studio 58 Scouts. The BBB record said: "According to information supplied by the company, they offer to post aspiring models and actors pictures on its internet site for a cost of $350.00. The site serves as a model search service." The BBB file also said Studio 58 was run by Rafiah Kashmiri. The other two leaders who worked at Studio 58 Models were Tom Weinard and Terri Bears. The BBB record for Studio 58 Models: "Based on BBB files, this company has an unsatisfactory record with the Bureau due to one or more unresolved complaints concerning consumer complaints concerning dissatisfaction with the service rendered." Studio 58 Models was also mentioned in a report by the Emmy-Award-winning investigative reporter of a local Orlando TV news station, who also investigated emodel and Options Talent. Rafiah Kashmiri, the president of Studio 58 Models, became a Director of Options Talent, signing several SEC Filings as a Director of the company. Kashmiri, in fact, was one of the founding members of the Options Talent Board of Directors with Ralph Bell: "The proposed new Board of Directors of OTG was to consist of five members as follows: Mr. Mohamed Hadid, Mr. Mark Tolner, Mr. Ralph Bell, Ms. Rafiah Kashmiri, Mr. Paul Glover. The proposal set forth above passed by a vote of 45,117,927 to nil with nil votes abstaining." (OPTG, SEC Filings, FORM 10-QSB, January 31, 2002, Page 23 of 25) Tom Weinard and Terri Bears both held senior management positions at emodel and Options Talent. Weinard in fact signed SEC Filings as a Director of Options Talent. Bears has held a Senior Vice President position in charge of New Business and Franchising. http://www.worldfranchising.com/profiles/EmModel.htm SEC Filings also showed both Tom Weinard and Terry Bears received a larger number of stock/options than most others. Most had 1,000 to 2,000; whereas they had 10,000 and 12,500. A man named Jason Hoffman had 40,000, which was similar to other leaders. Jason Hoffman was a president of a modeling agency which the FTC prosecuted when it prosecuted Ralph Bell and his business in 1999. The FTC showed Bell and Hoffman worked together in a conspiracy in their modeling agency fraud. They both operated businesses in the same state in the same city at the same location. This information is published online. Jason Hoffman was the president of a modeling agency called Model 1 (Model One). Model One Note the business addresses of Jason Hoffman's Model 1 and Ralph Bell's Creative Talent Management: Creative Talent Management Inc. The BBB record for Model 1: "Based on BBB files, this company has an unsatisfactory record with Bureau due to unanswered complaints and its failure to substantiate its advertising and promotional claims. The company had resolved some customer complaints presented by the Bureau, but some answered complaints remain unresolved in Bureau files. Other complaints are unanswered in our files. The pattern of complaints generally concern problems caused by the sales tactics used by the company, including confusing and incomplete information about services and costs, as well as the use of high pressure to contract for training. The company responded by denying any wrongdoing, referring to contract terms, and by providing an explanation of its actions with adjustments, when issued, based on the terms of the contract." The BBB records for both Creative Talent Management and Model 1 have a section entitled "Government Action Information" where they note the prosecution of the Federal Trade Commission. The U.S. government attorneys who prosecuted the case were Robin Spector, Connie Wagner, and Phyllis Marcus. Bell was a Director of Options Talent and he owned one of only a few trust funds. Another trust fund was owned by the wife of previously prosecuted businessman Cortes W. Randell. It is in the name of Joan W. Randell. The address where the money from the trust fund goes is the company Randell started, owned, and runs in Washington, D.C. The SEC Filings also reveal Randell makes money from every person recruited by model/talent "scouts." Bill Mitchell, President of a BBB in Los Angeles said the following of emodel: "The whole thing, fundamentally, from beginning to end, is a scam." Bill Ford, Vice President of a top New York modeling agency said the following of emodel: "What they're doing isn't right. They're telling people who have no chance of being models to put their pictures up. I guarantee you, the money those people are paying is more than most of them will ever make in their lifetime modeling." Published news reports also said emodel used false and misleading advertising to recruit, and the BBB record for Options Talent said the same thing. They abused the names of top agencies, saying they used their website. Ford Models contacted emodel and asked them to stop. Cortes W. Randell faxed Bill Ford and threatened him. That was published in the New York Post. The NYP also reported Elite sent a cease-and-desist letter to emodel for the same reason, because they were using false/misleading advertising for business. Talent Plus, another prestigious modeling agency, also denied advertising claims made by emodel that they used the emodel.com website. Fox News in St. Louis reported the response of the agency owner: "We do not. I don't even know who they are." For an insider's report on this operation visit www.ripoffreport.com |
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