Well that is sure a lot of smoke! :-)
Sure is. In real life, oil drains into the bottom engine cylinder and draining it off is part of the pilot's checklist. Apparently if you leave the engine standing for more than 2 hours I think it is (might be longer) and then resart without draining the oil, there's so much liquid in there that it will nacker your con rod and therefore the engine as well.
Quite a few of these have found their way out of Eastern Europe, some into the States because they're cheap and can work really hard. Apparently they're being refused a full permit to fly because of the 'threat' they offer to local production ie you can't use em for commercial purposes. I've read stories that one or two owners have done the oil trick and had to do a rebuild afterwards ..... but apparently they only do it once ;)
You get the smoke thing (but I doubt this bad :) ) if you start with oil present but not enough to do real damage.
Life-like model eh? :D