Why not take known public domain charcaters, and make them your own.
That is a GREAT compromise between the unknown original brand and the well known public brand!
You get to own your redone public domain IP. Plus use the name recognition it provides to a gaming audience..
And because there should be a sticky about this on every forum ;), remember that the "sin" people may not take kindly to having someone use their IP without permission.
Thus unless you have that permission in writing from the Sin people, option 1 is your only viable choice.