This strange and convoluted corporate entity that is Level Brands exists in an interesting parallel to another public company, “Social Reality”.
Following all of these strange connections via Google searches is like diving headfirst without a helmet through Alice’s Looking Glass.
In 2016, Social Reality hired a new CFO and engaged Kathy Ireland as “Chief Branding Officer”. This is virtually identical to her touted title as part of Level Brands, though “Emeritus” status has been attached.
In 2017, Rick Siskey, Martin Sumichrast’s partner at Siskey Capital committed suicide after a criminal investigation into an alleged ponzi scheme run by Siskey was revealed. Days later, Sumichrast claimed no knowledge of the scheme and changed the name of Siskey Capital to Stone Street Partners.
Siskey Capital was a lender and investor in Social Reality, and in the inception of Level Brands ( formerly Level Beauty Group ). Stone Street Partners is deeply involved in Level Brands, with Sumichrast currently acting as CEO. Both Social Reality and Level Brands engaged kathy ireland World Wide for “Brand Development” support, and media distributed by both companies speak of their “disruptive brand strategy”.
Besides recycling marketing content, it appears many other elements and relationships are mirrored by Level Brands.
In November of 2016, Kathy Ireland was the honorary chair of an event sponsored by KURE Vaporium, another business Sumichrast was deeply involved with, as detailed in this quote from Ireland:
“It is a great honor to join Martin and Cindy Sumichrast of KURE Vaporium in their generosity and support of this important film. Our Co-Chairs for this red carpet event include the Sumichrasts, Rick and Diane Siskey as well as Craig and Anne Brewer,” said Kathy Ireland Chair and CEO kathy ireland Worldwide.
Most business professionals would understandably want to separate themselves from such bad PR in the wake of Rick Siskey’s suicide, and anyone can understand why Ireland would want to do the same. But the rabbit hole just goes deeper as the same names keep appearing in related-party transactions among several companies (all with closely associated investors and management) and deja vu marketing content and press releases. The further one goes the more strange connections and unsavory characters appears.
Unwinding the intertwined business relationships and the parties involved is confusing at the very least, but the deeper the links are researched, the easier it is to see the forest for the trees.
To further establish the groundwork, it’s necessary to explore the background of some of the key players.
Part 3: CEO Martin Sumichrast: Does His Business History Foreshadow a Level Brands Delisting?
The Level Brands Investigative Series
Part 1: Level Brands 2017 Annual Report
Part 2: Martin Sumichrast, Rick Siskey and … Kathy Ireland
Part 3: Martin Sumichrast: Does His Business History Foreshadow a Level Brands Delisting?
Part 4: Sumichrast’s Prior Stock Deals: Practice for the Level Brands IPO?
Part 5: EE1 and I’M1: Real Companies or Smoke and Mirrors?
Part 6: Level Brands’ Social Media Circle Jerk
Part 7: Does Martin Sumichrast’s Lack of Disclosure Violate Securities Laws?
Part 8: LEVB Marketing: Corporate Puffery or Misrepresentation?
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