TODAY | October 11, 2012
>>> a quiet town in maine is being rocked by an alleged prostitution scandal . a zumba dance teacher accused of running a brothel out of her studio. and police say she secretly taped the encounters. katie, good morning to you.
>> reporter: good morning, savannah. this is a small town made even smaller during the offseason. and with word of over 100 men could be named in a prostitution scandal centered around this local zumba studio, they are bracing for the worst.
>> reporter: it's a picture-perfect, postcard town. known for its beautiful summer escapes, for the bush family , the vacation compound. but what the locals around here do not know is the talk of the town . a list of more than 100 men, some said to be prominent members of the community in a little black book of johns who prosecutors argue were paying to have sex with the local zumba dance teacher.
>> people are chattering they just want names.
>> reporter: in court on tuesday, alexis wright pleaded not guilty to 106 counts of prostitution, tax evasion , theft, and privacy violations.
>> not guilty.
>> the fact of the matter is, rumors around town are not evidence of criminal activity . and moaning and groaning and sexual activity with adults isn't criminal activity .
>> reporter: locals told them they'd seen men going in and out of the studio at all hours. often only for a half an hour. court papers say there are also hours of secret video recordings of the sexual encounters along with text messages and computer records. allegedly including video of multiple sexual activities between wright and her business partner mark strong who himself is facing 59 counts of promoting prostitution and privacy violation.
>> they were inside the studio and she was naked. but that is not a crime under maine law nor is it prostitution. it may not be good judgment, but it's not -- it's not actionable by the state.
>> reporter: prosecutors believe wright and strong made $150,000 since 2010 in the scheme. now the town is bracing for the fallout. big town drama, small town trauma.
>> reporter: and wright's lawyer says she has a young son who is still in her custody. she's charged with theft for allegedly lying on her tax returns and claiming she needed public assistance. as for those names, well, they could come out later this week. savannah?
>> all right, thank you.
>>> coming up, "today" investigates, are the companies that inspect our