Back on Feb. 14, 2008, the Dayton City Commission and the County ED/GE committee gave away $125K to an ad agency that claimed 19 employees at the time and an additional 15 during the next three years. I said then there were problems- in that a video edit suite doesn’t cost $125K- and the jobs were imaginary:
In today’s paper, I see that BGH Studios has politicians believing that what costs about $125K is really a $650K investment- and getting the government to buy them their tools.
BGH Studios received $50,000 from the city and $75,000 from the Montgomery County ED/GE program…
• BGH Studios is a high-tech marketing communications firm that focuses on video content delivery systems, retail marketing, corporate marketing and audio/video and film services. The studio will invest $650,000 for two new video suites, an audio suite and visual effects suite on the third floor of 116 N. Jefferson St. downtown. The studio has 19 employees and plans to create 15 jobs during three years with an average salary of $46,000.
It’s not been 3 years yet- but on June 16, 2010- they fired all their staff and closed the doors to BGH Studios – leaving employees unpaid and clients with unfinished projects.. Now, they are back… as “The Radical Giraffe” and they have a lot of video on their front page- probably made with the very equipment they got the taxpayers to fund.
The same people at the helm, the same office space, the only things that seem to have changed are the phone number and the name of the company. Take a look at www.BGHStudios.com and compare.
Now they claim they don’t need staff- they’ll draw upon their “large pool of best in class professionals.” Listen to Bill Galvin in his “director of wow” video.
So no 35 employees, no growth, but- they have some nice video equipment paid for by the taxpayers.
It’s time to hold both the people who handed over your tax dollars and the people who took it- accountable. This isn’t a minor amount of money- if it was Raleigh Trammell, they’d have the FBI in the offices, carting the computers out- and splashing it across the front pages of the paper.
This is theft- the actions are criminal, but, will we see anyone in office ask the questions- or get our money back? Commissioners? Anybody? Deborah Feldman? Anybody home?
NOTE: Oct 12 2010- 2pm- Joe Tuss, director of Development for the County- and head of the ED/GE program called and said that BGH Studios failed to comply with terms of agreement, hadn’t finished the grant process-and that on Feb 19, 2009 it was canceled. That is one year after it had been voted on. This has been mentioned numerous times on this site previously- yet, no official has responded and corrected previously.
It’s nice to know that we get the record straight after this site keeps hammering away.