Like asking the way to the top of the mountain and being told you shouldn't start from here.... Why not use collections, dumb or smart, or even keywords to categorise your pictures rather than spend time moving them around into real folders? Another idea might be to write a plug-in with a custom metadata field for "people" and then use smart collections to build standing "folders".
But to answer your question directly, no, I can't think of an alternative to the way you're going about it.
John is correct; there's no such method in the SDK. We'll consider it for a future release, but I can't make any promises about it being in the next release.
The problem with the collections is that the images need to be able to be accessed outside of lightroom. I also use programs like ProSelect for sales and it has to access a folder with the images in it.
Also we are working with 4 workstations and the files other people need to be able to find the files without lightroom. This would be ok if LR supported network catalogs, but thats another story.
Anyway thanks for the help, I will look forward to a function to move photos in a catalog (make sure that it also moves the virtual copy to).