Derek Hay, the founder of the adult talent agency LA Direct Models and the Lee Network, appeared in a Los Angeles courtroom yesterday for sentencing on two felony counts to which he pleaded guilty in May. The courtroom proceedings, which included hours of impact statements from women connected to the acts of perjury and conspiracy to commit pandering, were extended by the judge until August 2.

A grand jury indicted Derek Hay in September 2022 on charges including pimping, pandering, conspiracy, money laundering, and perjury. This indictment followed a lengthy investigation by California Attorney General Rob Bonta. Hay was arraigned on these charges in March 2023.

Derek Hay’s legal issues began in 2018 when attorney Allan B. Gelbard filed a complaint against LA Direct Models with the California Labor Commissioner’s Office. The complaint alleged violations of the Talent Agencies Act. Throughout 2019, during labor hearings, several women, identified as “Jane Does,” accused Hay and LA Direct Models of various infractions. These women, later identified as Charlotte Cross, Shay Evans, Sofi Ryan, Andi Rye, and Hadley Viscara, provided impact statements at yesterday’s hearing.

The court referred to the “Jane Does” not as victims but as “unindicted co-conspirators.”

In a ruling by Labor Commissioner hearing officer Patricia Salazar, it was determined that Hay violated the law by withholding commission payments from the performers. Consequently, Hay was ordered to repay the commissions, including attorney fees and court costs. Hay immediately appealed for a trial de novo in the Los Angeles Superior Court.

A trial de novo is a new trial for an entire case, where the court decides all issues as if the case was being heard for the first time. This means that both questions of fact and issues of law are determined without regard to any previous trial.

Trials de novo are not common because they require a lot of time and judicial resources. However, they are often used to challenge arbitration awards, which may be supported by constitutional considerations.

Derek Hay has appeared in over 800 adult films under the name Ben English and founded LA Direct Models, which at one point became the leading talent agency in the adult film industry. In 2023, a grand jury indicted Hay on multiple felony counts, including pimping and pandering, as well as perjury. In May, just as the jury was seated, Hay pleaded guilty to one charge of conspiracy to commit pandering by procuring.

Wednesday’s sentencing hearing extended throughout the day, concluding before the judge could deliver a sentence. Despite his guilty plea, Derek Hay used the opportunity to address the court and defend himself against the accusations.

“Andi Rye, for me, is a strange person to stand before the court and make allegations against me,” Hay stated. “I almost never spoke to Andi.”

Hay also criticized Adult Video News (AVN), accusing them of targeting him with negative stories.

“They have obsessed over me over the last six years, never failing to write a bad story about me,” Hay said. “There was a time when Direct Models was tremendously successful. The business is pretty much gone now.”

Andi Rye, one of the former models, spoke passionately during the hearing. “I was led to believe that I could trust Derek and his agency to manage my career with my best interests in mind,” Rye said. “I wanted to be an adult film performer. But through a pipeline, I became a prostitute.”

Other “Jane Does” echoed similar sentiments despite the fact that some had been escorts before meeting Derek Hay and continued escorting after leaving LA Direct Models.

Derek Hay faces the possibility of a short term in county jail or potentially a probation-only sentence. Sentencing is now scheduled for August 2. Additionally, a restitution hearing will determine the amount (if any) Hay must pay to the “Jane Does” and their lawyer. There is also an ongoing civil case against Hay, which may proceed to a jury trial.

As the legal battles continue, the impact on Hay’s career and the adult industry remains to be seen.