Image size and space means the width of the image and vspace equals a width of 1650px. The height of the image and hspace equals a height of 765px. This means the area the image has to itself is pretty much taking up the whole screen.
This should be handled via CSS anyway.
margin: 200px 700px;
<img id="model1" alt="model1" src="../documents/Mywebsites/Mygraphics.co.za/model1.gif" />