Henry Hardy - Page 4

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          outcall), along with the price, the model's name, and comments.             
          The comments consisted of the customer's first name and                     
          occupation, although this information was based on conversations            
          with the customers and was not verified.  Additionally, the                 
          amount of tip a model received was recorded next to her name with           
          a circle around the amount.  The original log sheets were written           
          in different color inks, with different penmanship, and the times           
          of the sessions varied throughout the day.                                  
               The models received the cash fee for the session prior to              
          the start of the session.  Stardust did not take checks or credit           
          cards.  The cash was placed inside of a book in the office and              
          was later removed by petitioner.  Sometimes the models would be             
          paid their percentage with the money in the book right after a              
          session ended.                                                              
               Petitioner was not at Stardust during all of its hours of              
          operation.  He was concerned about the models' performing                   
          sessions without his knowledge and keeping the fees.  To prevent            
          a loss of fees, petitioner installed video cameras in strategic             
          locations at Stardust.  He told the models that the cameras                 
          recorded every customer that came into Stardust and that he                 
          reviewed the videotapes.  In actuality, the video cameras worked            
          as surveillance cameras but were not connected to a recording               
          device.                                                                     
               Petitioner was also concerned about privacy.  He instructed            
          the models not to talk to anyone outside the business about the             




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