Real Hair Truth Michael Gordon busted after IRS says he hid $29.6 Million!

TOO MUCH OFF THE TOP: Michael Gordon has been busted for allegedly trying to skirt the IRS.

The IRS doesn’t take haircuts as payment.

LOLOLOLOLOLOLOLOL

The founder of Manhattan’s famed Bumble and bumble hair salons and product line has been busted for allegedly lying to tax investigators about $29.6 million he received after selling his stake in 2006, The Real Hair Truth has learned.

Michael Gordon, 61, of Manhattan, remains behind bars after allegedly telling an IRS investigator during a meeting last month that he didn’t know the income had to be reported on his 1040 tax return form. A federal warrant was issued and he was arrested and arraigned last Friday. The British native — who most recently produced a documentary on his late pal Vidal Sassoon that premiered last year at the Tribeca Film Festival and later partnered with fellow hair-salon owner Rodney Cutler of Cutler Salons — was deemed a flight risk by federal Judge Gary Brown and jailed. He sold his stake in Bumble and bumble to Estée Lauder in 2006 to pursue other interests and purchased homes in the Hamptons and Manhattan. But that financial jackpot has come back to haunt him six years later. The IRS has been conducting an investigation into his returns, and even used a confidential informant to build its case against him before last week’s arrest, according to court papers.

The canary — a friend of Gordon’s for roughly seven years — said Gordon openly discussed hiding the money from the taxman after securing the lucrative deal in 2006. The informant “told me that after the defendant received the income from the sale of Bumble and bumble, he was actively seeking ways to hide the money from the IRS, including sending money overseas, so that he would not have to pay taxes on that income,” a federal agent says in a criminal complaint. Instead of reporting the earnings, Gordon allegedly presented a gross income of $1,350,883 that year and a taxable income of $1,124,844. Instead of forking over hefty income tax on the $29.6 million, Gordon actually scored a refund of $39,298 in 2006, according to the complaint. Gordon submitted papers at his arraignment stating that he lived in a $16 million Manhattan apartment with a $3 million mortgage. Officially retired from wielding scissors, he listed his employer as his own company called, “If You Knew”, a hairstyling consulting firm made up of Bumble and Bumble alums. Cutler, who first worked at a Manhattan Bumble location and has called it the most influential salon in America, declined to comment. So sad for this Brit! BOO-HOO

 

Snake Oil Sellers of the Beauty Industry!

The definition of “Snake Oil” is as follows. Snake oil is intentionally promoted fraudulent or unproven Medicine. The expression is also applied metaphorically to any product with questionable or unverifiable quality or benefit. By extension, a snake oil salesman is someone who sells fraudulent goods or who is a fraud himself. These products and salesman are ever so abundant within my industry. The so-called Beauty Industry. Each and everyday the consumer and the licensed professional is bombarded with mislabeled, product deception on the new and best for your hair, body, skin. Products that will move the world and change the drugstore shelves forever and promise you the “Fountain of Youth”. 

The above jpg of Loreal hair color “Natural Match”. Was a product that was advertised to the consumer as “Ammonia Free”.  “Safe for all”,  the cosmetic giant Loreal touted to the anointed one who purchased their product. In March of 2010, L’Oreal abruptly discontinued their popular and affordable non-ammonia hair color that was retailed for at home use which was heavily marketing under the brand Nature Match.

Interestingly, that is the same month they launched their INOA hair color. A quick comparison of the ingredients list for Nature Match Hair Color and INOA Hair Color will quickly reveal that the products have basically the same ingredients except for a single fragrance and conditioning agent. What’s the biggest difference between the two products? Nature Match retailed for about $3.99 per application and INOA Hair Color is sold to salon professionals for about $24 per application. Now here comes the slap on the hand, and “Did you know this”?

Now the ‘Snake Oil Salesman” will say and do anything to bombard the beauty industry with fake and deceptive advertising, telling all how wonderful their hair color is and their shampoo is and etc. Basically its all “Bullshit’ So don’t fall for this type of advertising when you are looking for a salon to have a hair color service done for you.

You will see salons advertise in methods you will believe! They have the best for you, and only their product will perform for you! And a lot of the company’s will “Throw each other under the bus”, spewing these lines of “Deception”. I found this line of Bullshit ob a web site for a salon, I could not stop laughing.

“Unlike many other hair color products, L’Oreal INOA is ammonia free, which means no more foul smell. The INOA permanent color line employs an odorless, itch-free “oil delivery system” which results in your hair being as soft and smooth as it was before the color was applied – an uncommon result with most typical ammonia-based hair colors.  Although L’Oreal didn’t invent ammonia-free hair color, they absolutely perfected it, and believe in “Supreme Respect for the Hair”.

These are Snake Oil gimmicks, and that is all it is. Buy our product, get your service done here! And the beauty industry professional will be thoughtfully feed this train of thought, voluntarily may I say. You will also find Organic hair color lines in the “So-called industry that will write up pages, and pages of information about there competetor. “Its not SAFE”, you will also find “Ghost writers for haircare line and also for “Cosmetic industry Watchdogs” berating there competetors and adding links to there websites telling you how important it is to use there lines of haircolor or hair care! This is the “Art of Business” and this is the way it is and how it will always be!

  • Uncompromised Comfort
  • No ammonia. No odor
  • Optimized scalp comfort
  • Rapid self-emulsifying liquid
  • Incredible smooth, velvety texture
  • Exact and predictable color palette: True neutralizing cool shades, vibrant and luminous warm shades
  • Exceptionally even colors from scalp to ends
  • Coverage of up to 100% gray hair

Here is a link to a lawsuit, so tell me who is really the bad guy here!

The Real Hair Truth finds L’Oreal’s claims about INOA Hair Color to be false. What else would you expect from a major manufacturer giant! And also being “Shamefully attached” to a industry who’s main concern is to deceive you, I often wonder and ponder almost effortly why would’nt so-call industry websites like Behindthechair.com, and also Ted Gibson and also Jo Blackwell tell us the truth. Click on the links and your questions will be answered!

Joseph Kellner

 

That How It Is, Here!

I was wondering around on Craigslist and looking at the salon/spa positions available for a motivated individual to seek work in this field. There were plenty to go around for a professional to find gainful employment in our beauty industry. Here is a good listing.

You’ve spent at least 1200 hours in education, Thousands of dollars to get trained for a career in cosmetology. Maybe even started your career in a salon but just can’t seem to get it launched. Somethings missing…..Well if you’re motivated, upbeat, and ready to make things happen, then Allure, A Michael Clopton Salon is for you!
We don’t just hire you and let you fall, we work with proven systems to assist you in building your career goals. Here are just a few ways we are different from other salons…

We provide
“True” insalon education… free to you!
Teach you how to build your guest list
Onsite Paul Mitchell National Educator for day-to-day education and daily resource
Goal setting and planning
Insalon Coaching
Teach you how to turn your training into a career, not a job!

You will need…(MUST HAVE/BE)

Reliable transportation
Upbeat and Motivated Energy
A Passion to Learn
responsible and Dependable
Works well with People and is NICE!

I called this seeking information on the position. “Can you give me the information for this Position at your salon, please”.  ‘Well tell me want you are looking for”. So I explained to him which he identified himself as the salon owner that I merely asking him about the POSITION. He said “It is part-time or full-time, no benefits, no wages, no insurance, no sick pay, Not even GAS MONEY!” He also went on to say “This is how it is here”. When a future stylist is coming into the professional and also when a veteran stylist is seeking employment they need to be compensated for their time. Commission just does not cut it in this profession any more. People are paying large sums for a beauty school education. And in the modern picture we all have to pay our bills. And commission does not cut it!

If you walk off the street and go into a WENDYS Restuarant, you will receive this as a starting employee with the corporation.  

  • Comprehensive health insurance with health savings account feature
  • Optional dental and vision insurance coverage
  • 401(k) with company match
  • Life and disability insurance
  • Optional supplemental life insurance for employee, spouse and children
  • Flexible spending account
  • Payroll direct deposit
  • Employee assistance program
  • Adoption assistance program
  • Relocation assistance
  • Employee meal discounts
  • Paid vacation
  • Paid personal and holiday time
  • Service recognition programs
  • Competitive wages
  • Free uniforms*
  • Free or discounted meals
  • Flexible hours
  • Medical insurance*
  • Prescription drug coverage*
  • 24-hour nurse line access
  • Vision discount*
  • Available dental*

Additional Benefits

  • Short-term disability*
  • Term life insurance*
  • 401(k)*
  • Paid holidays*
  • Vacation*

Jon Gonzalez who writes on his own website Hairdresser Career Development Systems Likes to shuffles the buck on the New beauty school student who graduates and I quote, “Sadly many new beginners fail to maximize their full potential, due to unrealistic career and earning expectations before they even give their new career a chance to grow, they want to run before they learn to walk. Many believe that graduating from beauty school will prepare them for a competitive and changing job market. “Yeah that’s right Jon blame it on the graduating student and the beauty school”.  Either way in this industry you have bills to pay and you need to be compensated for your work. And so lets all pass the buck to these new, non educated, brainwashed individuals and say,”That How It Is, Here!”

AND FRANKLY YOU DESERVE IT!!!

 

 

David Velasco Interviewed For The Real Hair Truth Documentary!

Velasco began his career at the young age of 16 in Tampa.Fla. He soon moved to London, England where he worked and studied his craft with world-renowned hairdressers of that era.

 Upon return to the USA, Velasco began to develop his skills as an educator and effective communicator while working with John & Suzanne Chadwick at the “Hair Fashion Development Center” on New York’s 5th Ave.

 By the age of 21 Velasco was STYLES DIRECTOR for the SAKS FIFTH AVE. beauty salon in New York City. Over the next 20 years, Velasco became involved in almost every aspect of hair related activities possible.

 Including such achievements as, Freelance Hair Designer for photo sessions with major beauty publications and television commercials. He has held such prestige positions as Educational and Creative Consultant to CLAIROL INC., SHISEIDO LTD. and THE WELLA CORP..

 Also, he has preformed as the Featured Guest Artist and Master Educator at hundreds of trade events throughout the world. His presentation at the 1993 HAIRCOLOR U.S.A., symposium was rated BEST EDUCATIONAL EVENT by his peers.

 Velasco has been a Contributing Author to many hair related articles for both consumer and professional publications and books. He has also held a position as the NATIONAL ARTISTIC DIRECTOR FOR THE WELLA CORP. for ten years and is a member of the INTERNATIONAL HAIRCOLOR EXCHANGE.

 Velasco was formerly the DIRECTOR OF HAIRCOLOR for the world renowned BUMBLE & BUMBLE SALON in NEW YORK CITY and presently presides over his own salon, David Velasco Salon, LTD. in Doylestown, Pennsylvania.

DavidVelasco.com

“The Haircolor Expert Networking Clubhouse”

Dr. Frank Elliott Donor For The Real Hair Truth Scholarships!

Dr. Frank Elliott is a hairdresser and make-up artist with over thirty years of experience. His industry titles include: manufacturer’s technical representative, platform artist, competition artist, chief proctor for the Pennsylvania State Board of Cosmetology, and salon owner.

Dr. Frank earned his PhD. in Workforce Education and Development from The Pennsylvania State University, where he was a lecturer for ten years. He has taught Leadership and Professional Development for state and federal government, university, and industry organizations.

Dr. Frank has just released a ground breaking new book The Other Side of Hairdressing. “The Other Side” is where beauty professionals tap into and take control of the innate learning functions that serve us throughout our lives. Expand your client market-base, supercharge your career, and realize your true earning potential on The Other Side of Hairdressing.

The Other Side of Hairdressing
As a teaching tool for salon owners, get your new hire off to a running start with The Other Side of Hairdressing. Have them read Linda’s story and then monitor their progress as they move through the Taking Control section. Slash the time usually needed for developing a new stylist so they can become a valuable part of your salon team now.
As a learning tool for new salon employees, give yourself an edge you’ll never regret. Don’t sit around waiting for experience to come to you. Take Control of your own professional situation now. You know what you want. You have a dream. Learn from The Other Side of Hairdressing how to get to your dream.

As a team-building tool for experienced hairdressers, get the salon team onto common ground by sharing ideas about The Other Side of Hairdressing. Discuss your new adventures and grow together. Share your successes in furthering your Beauty career, work and live on The Other Side of Hairdressing! Is based on a philosophy of taking control of your career through self-understanding and choice.

The Real Hair Truth Thanks Frank Elliott for his donations.