'Sugar Daddies' Cover Debts for 'Sugar Baby' Dates

Tommy meets many of his sugar babies on a website called SeekingArrangement.com.

ByABC News
June 21, 2012, 6:19 PM

June 22, 2012— -- Almost anything can be ordered online and then delivered to your house these days, including a beautiful college student, legally, and for the right price.

Tommy, 63, and Monte, 21, have been together for two years, and they refer to each other has "sugar daddy" and "sugar baby." And Tommy has six others.

A retired IT executive, Tommy is thrice divorced and the father of two young adults around Monte's age. Although he met Monte at a beach party, Tommy said he meets many of his sugar babies on a website called SeekingArrangement.com. It is one of the many "sugar daddy" websites, where men meet and offer "sugar babies," or young women, financial support in exchange for companionship.

When Monte needs money, Tommy is her go-to guy. He said he drops about $5,000 on her each month, paying her expenses, buying her clothes and taking her out on the town in a chauffeured car. Monte said she uses the money to pay for a college education she couldn't otherwise afford.

"He's like, 'I could help you get through school easy and you just travel with me, have fun, be around me and just keep me company,' and I said, 'sure! You're going to pay for my school?'" Monte said.

Tommy said he retired with enough money to spend about $150,000 a year on his female companions combined. It's cheaper than marriage, he said, and a small price to pay for what he gets in return.

"When you walk into a room, and you have a beautiful woman with you, it's a compliment to you, as a male," Tommy said. "It's like pulling up in a really nice car or something. I hate to compare it that way, but it is."

For Monte, the relationship is valuable because she said she is experiencing new things that she otherwise would never have had the opportunity to try.

"[Tommy] taught me how to golf, cook, be a classy woman," she said. "He's just transformed me back to something I've always wanted to become."

But Monte admitted there are some drawbacks to her situation with Tommy.

"Sometimes it gets to me to know that he is my only way of income and that makes me feel like you know, I'm not really doing anything," she said.

So how is this legal? The courts have decreed that as long as a woman is being paid for services besides sex, such as "companionship," the act does not classify as prostitution. That's the argument that Brandon Wade, SeekingArrangement.com's founder, also makes.

"If the sugar daddy is, in fact, meeting a girl for sex and money, then they're using website in violation of agreement, which actually prohibits that usage," he said.

Wade said about 90 percent of the 1.5 million registered members on his site are sugar daddies, and only 10 percent are sugar babies.

"The sugar daddy and sugar baby relationship is far from prostitution," he said. "It's about a romantic relationship between two people. The only difference is a sugar daddy is very wealthy."

Tommy admitted he has sex with all of his sugar babies and that is part of the "big attraction," but he said he doesn't see his relationships with them as prostitution.

"If we're talking about money exchanged for sex, I don't see that this way. It's just not a 'wham, bam, thank you, ma'am,'" he said. "You pay somehow, somewhere for sex no matter what it is. You know, they say wives do it for refrigerators."

And men do not have to be millionaires to be sugar daddies.