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              <td height="2957" align="left" valign="top" bgcolor="#FFFFFF"> <div align="left"><font size="2"> 
                  <p><font face="Arial, Helvetica, sans-serif"><b>Yogis Behaving 
                    Badly<br>
                    by Paul Keegan<br>
                    Business2 Magazine</b></font><font face="Arial, Helvetica, sans-serif"><br>
                    </font><font size="2" face="Arial, Helvetica, sans-serif">S</font><font size="2" face="Arial, Helvetica, sans-serif">eptember 
                    2002</font> </p>
                  </font> 
                  <p><font size="2" face="Arial, Helvetica, sans-serif">For millennia, 
                    the intricate techniques of yoga were passed down from teacher 
                    to student in a sacred exchange. But today, in the booming 
                    yoga industry, it's (downward-facing) dog-eat-dog.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">You can't 
                    take it anymore. The greed, corruption, and selfishness of 
                    the business world have broken your spirit. You need inner 
                    peace. Everyone's walking around with a yoga mat these days, 
                    so you fly to Los Angeles, yoga capital of America, hoping 
                    for a little enlightenment: a quiet candlelit room, some gentle 
                    stretching, the chanting of mantras, a sage Indian guru dispensing 
                    ancient truths. But when you arrive at one of the most popular 
                    yoga centers in the country -- the Bikram Yoga College of 
                    India in Beverly Hills -- it's a giant mirrored studio crammed 
                    with more than 100 buff and sweaty devotees of the resident 
                    guru, Bikram Choudhury, a short Indian fellow sitting on a 
                    raised-platform throne wearing nothing but a black Speedo 
                    swimsuit and a diamond-studded wristwatch.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">&quot;Inhale!&quot; 
                    cries your new master. Soon you're lying on your stomach, 
                    grasping your ankles behind you, and swaying like a rocking 
                    horse, trying to hold the Bow Pose.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">&quot;Exhale!&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">The heat 
                    is cranked up to 105 degrees -- designed to turn your muscles 
                    into Silly Putty -- and the sweat's flying. For the next 90 
                    minutes, the closest you get to God is praying for this torture 
                    to stop. Then, lying in the Corpse Pose when it's all over, 
                    you begin meditating: 100 people times $20 apiece = $2,000 
                    for one class; 2,000 students a week = $2 million per year. 
                    Given that Bikram has franchised his &quot;hot yoga&quot; 
                    method in 600 studios nationwide, and that 600 Bikram teachers 
                    will pay $5,000 each for his 60-day crash course this year, 
                    that's another $3 million annually. Throw in lecture fees, 
                    yoga seminars, books, videos, and a line of clothing and accessories, 
                    and Bikram's empire adds up to at least $7 million, making 
                    him one of the biggest players in the burgeoning industry 
                    of Yoga Inc.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">After 
                    class you follow Bikram as he pads back to his office. A recognized 
                    yoga master at age 56 -- he won the National India Yoga Competition 
                    at age 11, the youngest ever -- he sits behind his big desk 
                    and begins lecturing about the sacred eight-limbed path to 
                    enlightenment outlined in the ancient Yoga Sutra. The first 
                    limb is called &quot;yama&quot; and consists of five Sanskrit 
                    words that mean don't harm others, lie, steal, lust, or be 
                    greedy.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">You nod 
                    enthusiastically. This is exactly what America needs: a thriving 
                    new industry built not on unethical behavior and ruthless 
                    opportunism but rather on timeless humanitarian ideals. Nobody 
                    knows how big the yoga market is, but with an estimated 18 
                    million practitioners in the United States today -- mostly 
                    affluent baby boomers who drive the wider $230 billion market 
                    in healthy, environmentally friendly products -- it surely 
                    ranks in the hundreds of millions. But the business model 
                    that supports it must, by definition, defy the rapacious ethos 
                    of our era, based as it is on a 5,000-year-old philosophy 
                    of selfless devotion to helping others achieve inner peace.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Excited 
                    by this prospect, you ask Bikram about some other forms of 
                    hatha yoga you might want to try -- ashtanga, iyengar, jivamukti 
                    -- but he scowls at your temerity. &quot;Nobody does hatha 
                    yoga in America except me!&quot; he bellows, offering as proof 
                    his celebrity students, ranging from George Harrison in 1969 
                    to Madonna and Michael Jackson. &quot;All of them are my students! 
                    All of them! ALL OF THEM! My name is Guru of the Stars.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Later 
                    on, Bikram brags about his mansion with servants in Beverly 
                    Hills and his 30 classic cars, from Rolls-Royces to Bentleys. 
                    He also claims to have cured every disease known to humankind 
                    and compares himself to Jesus Christ and Buddha. Requiring 
                    neither food nor sleep, he says, &quot;I'm beyond Superman.&quot; 
                    When you ask how he can make such wild statements, he answers, 
                    &quot;Because I have balls like atom bombs, two of them, 100 
                    megatons each. Nobody fucks with me.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Perhaps. 
                    But it sounds more like Bikram has let this guru stuff go 
                    to his head. Still, one megalomaniacal yogi, you solemnly 
                    vow, will not derail your search for the pious new business 
                    model of Yoga Inc., surely in abundant evidence everywhere 
                    else.<br>
                    Yoga Yama 1: Ahimsa<br>
                    Don't Harm Others</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Yoga literally 
                    means &quot;union with God&quot; and encourages a divine harmony 
                    with all things. Which raises an intriguing question: How 
                    do the biggest players in the yoga business reconcile ahimsa 
                    -- that one's actions should never harm others -- with the 
                    capitalist principle that one should always try to squash 
                    the competition like a bug?</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">In short, 
                    not very well. Resentment has been brewing in recent years 
                    over what some yogis consider thuggish behavior by Yoga Journal 
                    magazine, the powerful nexus for the industry. Much of the 
                    bad karma flows toward Yoga Journal's conference business. 
                    The Berkeley-based magazine pioneered the concept of a yoga 
                    conference back in 1995, ostensibly to bring thousands together 
                    to teach, practice, and meditate. Today, these one- to seven-day 
                    conferences draw more than 1,000 neophytes and longtime practitioners 
                    alike, who cough up as much as $850 apiece to bask in the 
                    saintly glow of star yogis like Rodney Yee.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">At five 
                    conferences a year, this adds up to some serious money, fully 
                    30 percent of Yoga Journal's estimated $11 million in annual 
                    revenue. Growth like that is what has inspired the magazine 
                    to launch bold new marketing gambits like the &quot;Yoga Cruise.&quot; 
                    In February, for the first time, a luxury liner full of people 
                    doing the sun salutation will sail to the Caribbean -- for 
                    as much as $2,600 per head.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">As the 
                    conference business has grown, so has the number of yoga entrepreneurs 
                    seeking opportunity in various regions of our stiff-necked 
                    nation. Three years ago yoga teacher Jonny Kest started the 
                    Midwest Yoga and Wellness Conference in Ann Arbor, Mich. -- 
                    only to discover how little ahimsa was being practiced back 
                    at Yoga Journal. First, Kest says, the magazine refused to 
                    run his ads. (It took an outcry from the yoga community, he 
                    says, to make it reverse its policy a few months later.) Now, 
                    he claims, Yoga Journal is trying to run him out of business 
                    entirely by holding a conference next spring within weeks 
                    of his annual event and within 50 miles of his planned venue 
                    near Chicago.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">&quot;Yoga's 
                    not so big that you can have two major conferences in one 
                    area,&quot; Kest says glumly, noting that the magazine's marketing 
                    power and ability to attract celebrity yoga teachers could 
                    wipe him out. Why doesn't the magazine go into the vast areas 
                    that still don't have big conferences, he wonders, like the 
                    Northwest, the Northeast, or Toronto? &quot;Yoga Journal is 
                    a monopoly,&quot; he sighs. &quot;It's trying to do the Microsoft 
                    thing.&quot;<br>
                    Yoga Yama 2: Satya<br>
                    Don't Lie</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Yoga Journal 
                    behaving like Microsoft? The same magazine that publishes 
                    earnest articles like &quot;Love Thine Enemy&quot;? Impossible. 
                    But then again, Yoga Journal is no longer the sleepy little 
                    nonprofit it was in back in 1975 when it was launched by the 
                    California Yoga Teachers Association. In 1998 a former Citicorp 
                    investment banker named John Abbott bought the magazine and 
                    began transforming it into a slick glossy. In place of New 
                    Agey pieces about crystals and how to conquer fear with trapeze 
                    flying, Abbott began publishing articles about exotic yoga 
                    travel destinations and celebrity yogis like Madonna and Sting. 
                    He even signed up supermodel Christy Turlington as the magazine's 
                    editor at large.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Purists 
                    grumbled, but many in the yoga community give Yoga Journal 
                    credit -- not only for raising yoga's overall profile but 
                    for raising serious issues, like coping with injuries and 
                    the health benefits of yoga. The results have been impressive. 
                    Since Abbott took over, paid circulation has tripled from 
                    90,000 to 275,000, ad revenue has skyrocketed while the rest 
                    of the magazine industry slumps, and Abbott says his publication 
                    will turn a profit this year for the first time in 27 years.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Abbott, 
                    who has the bespectacled, balding look of a yoga-fit middle-age 
                    businessman, rebuts charges that his publication refused to 
                    run ads for competing conferences as &quot;absolutely false.&quot; 
                    But Anne O'Brien, the director of the magazine's conference 
                    business before leaving a year ago, says Kest is right: Yoga 
                    Journal did, in fact, have a clear policy of not accepting 
                    ads from competing conferences, until complaints came pouring 
                    in. (She applauds the magazine, however, for reversing the 
                    policy, calling it &quot;the right decision in the best interests 
                    of yoga.&quot;)</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">As for 
                    why Yoga Journal decided to hold its conference so close to 
                    Kest's event, Abbott chalks it up to pure coincidence. Plans 
                    for a Chicago-area conference began two years ago, he says 
                    -- though O'Brien says Yoga Journal had never discussed it 
                    as of last August, when she left -- so he didn't know about 
                    the Midwest Yoga and Wellness Conference, which drew 850 attendees 
                    last spring.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Abbott 
                    denies he's trying to wipe out his competitors, but sources 
                    say that two years ago the magazine hired a consultant who 
                    advised him to do exactly that by targeting markets all over 
                    North America that already host yoga conferences. &quot;I 
                    don't believe so,&quot; Abbott says when asked if that's true. 
                    &quot;Maybe things are said over a beer ...&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">There's 
                    another reason, actually, for Abbott's reticence. While most 
                    executives love to jaw about going mano a mano with their 
                    competitors, such talk is verboten within the yoga industry 
                    because it violates ahimsa -- even for Abbott, who confesses 
                    that he got into yoga not for its spiritual dimensions but 
                    to rehab a pulled hamstring. &quot;It would bode poorly for 
                    any person trying to grind others under to adopt business 
                    practices that are harming,&quot; he says. &quot;In this space, 
                    if you're viewed as doing that, a lot of adherents will run 
                    away. If you practice in a crass way, a predatory way, you 
                    won't be successful.&quot;<br>
                    Yoga Yama 3: Asteya<br>
                    Don't Steal</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">&quot;Be 
                    successful&quot; is the new mantra of the yoga universe, which 
                    has become so competitive that trying to crack the big leagues 
                    is far more difficult than it was even a few years ago. But 
                    how do yogis in our covetous culture separate themselves from 
                    the pack without violating asteya, the yama that strictly 
                    forbids stealing? For millennia, the intricate techniques 
                    of yoga were passed down freely from teacher to student. Today 
                    they form a collection of highly marketable intellectual properties 
                    -- a phenomenon that has only encouraged some rather unenlightened 
                    behavior.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Bikram 
                    says there has been so much stealing of his &quot;hot yoga&quot; 
                    techniques during the last few years that he had to spend 
                    $500,000 in January for a lawyer to trademark his sequence 
                    of 26 asanas, or yoga poses, as well as his word-for-word 
                    monologues describing how to do them. Thus yoga, the franchise, 
                    was born. &quot;People were doing illegal things,&quot; Bikram 
                    growls. &quot;I had to stop them.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">At Jivamukti 
                    in New York City -- the downtown studio with 2,000 students 
                    per week and a website that lists 51 celebrity clients, from 
                    Steve Martin to Monica Lewinsky -- owner David Life complains 
                    that several former teachers have set up shop nearby, offering 
                    the same method he painstakingly developed with co-owner Sharon 
                    Gannon during the last 17 years. &quot;They're not calling 
                    themselves Jivamukti, but the staff is almost 100 percent 
                    certified through our training program,&quot; Life says, adding 
                    that he might consider taking action if they start using the 
                    word Jivamukti -- which, naturally, the couple has trademarked.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Yoga teachers 
                    respond that big schools like Jivamukti and Yoga Works in 
                    Los Angeles don't pay them nearly enough -- $25 per class 
                    with 10 students, plus $2.50 for each additional student the 
                    teacher attracts, is not unusual -- despite having revenue 
                    of well over $1 million per year. Such schools make the situation 
                    worse, they say, by requiring teachers to sign contracts that 
                    prohibit them from teaching at other schools within a wide 
                    geographical radius. &quot;Most teachers simply want to share 
                    it, to give the gift of yoga,&quot; says Mark Stephens, who 
                    recently opened the L.A. Yoga Center in Westwood. &quot;Schools 
                    shouldn't have contracts preventing them from doing that.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Yoga scholars 
                    say these clashes are the inevitable result of trying to sell 
                    a spiritual experience that shouldn't be marketed in the first 
                    place. But that hasn't slowed the mad dash to own a slice 
                    of divinity: When Stephens started his business, he was amazed 
                    to find that nearly every sacred yoga word or phrase had been 
                    trademarked. The latest: A New York company selling &quot;perfumes 
                    and colognes and essential oils for personal use&quot; has 
                    applied for a trademark for &quot;shanti,&quot; the ancient 
                    Sanskrit word for peace.<br>
                    Yoga Yama 4: Brahmacharya<br>
                    Don't Lust</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">As word 
                    has spread in recent years about the wonders yoga can do for 
                    your sex life -- Sting has waxed eloquent on the subject in 
                    interviews -- the reaction is predictable: People start showing 
                    up for classes looking for some action, especially from the 
                    exquisitely toned teachers. This has become enough of an issue 
                    that the California Yoga Teachers Association has established 
                    a code of ethics that flatly states, &quot;All forms of sexual 
                    behavior or harassment with students are unethical, even when 
                    a student invites or consents to such behavior [or] involvement.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">But, of 
                    course, it still happens. And now Rodney Yee, the man Time 
                    magazine called the &quot;stud muffin&quot; of yoga, is being 
                    sued by a former teacher at Yee's studio in Oakland, Calif. 
                    The teacher claims that Yee refused to let her teach there 
                    after she confronted him about his alleged sexual affairs 
                    with students. In May, after the lawsuit was filed, one of 
                    Yee's former students, Athena Pappas, released a statement 
                    saying that when her affair with him began, she was &quot;vulnerable 
                    and sought his help as my teacher.&quot; Another former student 
                    has also said publicly that she felt manipulated in her sexual 
                    relationship with Yee.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">The fact 
                    that Yee has appeared everywhere from People to Yoga Journal, 
                    preaching about how yoga has helped his marriage and family 
                    life with three children, hasn't done much for his credibility 
                    while the saga drags on. Yee was on a teaching tour of Indonesia 
                    and couldn't be reached for comment, but his lawyer, Sanford 
                    Margolin, calls the lawsuit &quot;much ado about nothing.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Yee's 
                    sex scandal is hardly the first to hit the yoga elite. In 
                    1994, Amrit Desai of the Kripalu Center for Yoga and Health 
                    in Lennox, Mass., resigned after admitting that he'd had affairs 
                    with three female followers -- an ironic development, given 
                    that he'd made celibacy a cornerstone of his teaching. And 
                    in 1997, the Himalayan Institute of Honesdale, Pa., lost a 
                    $1.9 million judgment after a woman charged that its spiritual 
                    leader, Swami Rama, sexually assaulted her while she was a 
                    student there.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">But are 
                    the gurus, in fact, the ones being victimized? The Speedo-clad 
                    Bikram certainly thinks so. Defending the behavior of Yee 
                    and Desai, Bikram says he himself was actually blackmailed 
                    several times into having sex with students. &quot;What happens 
                    when they say they will commit suicide unless you sleep with 
                    them?&quot; he says. &quot;What am I supposed to do? Sometimes 
                    having an affair is the only way to save someone's life.&quot;<br>
                    Yoga Yama 5: Aparigraha<br>
                    Don't Be Greedy</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">The final 
                    yama, aparigraha, has been trampled so many times it's impossible 
                    to keep count. Clearly, the world of big-time yoga in America 
                    is undergoing a profound crisis but won't admit it. The most 
                    influential players, like Yoga Journal -- well positioned 
                    to monitor ethical lapses -- are also the worst offenders. 
                    The small operators are terrified of the powerful -- and are 
                    trying to let go of their anger, as the practice suggests 
                    -- so nobody challenges the unscrupulous behavior that everyone 
                    knows takes place.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">&quot;Yoga 
                    has become cutthroat, Mafia-like,&quot; says Thom Birch, a 
                    prominent teacher on the yoga conference circuit before he 
                    recently quit in disgust. &quot;Many of these people are the 
                    biggest thieves, bullies, and sex addicts -- all of it under 
                    this veil of spirituality.&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Needing 
                    inner peace more than ever, you take off your shoes and enter 
                    a little studio on Manhattan's East Side. The Dharma Yoga 
                    Center, quietly run since the 1960s by a respected yogi named 
                    Sri Dharma Mittra, is just what you've been looking for all 
                    along: a small room with carpet and dim lighting, chants of 
                    Om-m-m-m, and a few people in baggy sweatsuits moving through 
                    their poses.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Later, 
                    lying again in the Corpse Pose, enlightenment dawns: There 
                    are thousands of devoted teachers like Dharma Mittra out there. 
                    You just don't hear about them because they're not driven 
                    by riches or fame. To them yoga is not a business at all, 
                    but a service through which they simply provide themselves 
                    with life's necessities -- the very definition of aparigraha.This 
                    was the idea behind Swami Vivekananda's historic visit to 
                    Chicago in 1893, when yoga first arrived in the United States.</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">Rather 
                    than yoga changing America, however, the reverse is happening. 
                    Bikram recalls that when he started teaching in Los Angeles 
                    in the 1960s, he didn't charge for his classes. After all, 
                    that's how it was done in Calcutta, where he grew up. &quot;In 
                    India, rich people built yoga schools,&quot; he says. &quot;Here, 
                    nobody builds anything. So how long can I teach yoga for free?&quot;</font></p>
                  <p><font size="2" face="Arial, Helvetica, sans-serif">So Bikram 
                    built an empire, not caring a whit that his flamboyant display 
                    of wealth and aggressive business tactics made him an embarrassment 
                    to the greater yoga community. Because he knows that Yoga 
                    Inc. has nothing to do with yamas. &quot;I learned that when 
                    you are in Rome, you must do as the Romans do,&quot; he says, 
                    his diamond-studded wristwatch flashing in the brilliant L.A. 
                    sunshine streaming through his window. &quot;Hey, America 
                    is a beautiful country.&quot;<br>
                    <br>
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