All the dirt, news, culture and commentary for Oklahoma's second century.

“Renewable” energy company under FBI investigation

pesn.com
ZED device, used with permission from Pure Energy Systems Network
Help support Red Dirt Report

CHICKASHA, Okla. -- A company marketing itself as a new energy solution, Zydro Energy Revolution, LLC is under FBI investigation, according to an affidavit for a search and seizure warrant.

The FBI obtained bank records, emails, conducted interviews and even conducted a sting operation in the course of their investigation.

Then Hydro Energy Revolution, LLC, Zydro claims to be a new source of clean, renewable, unlimited energy.

The company is owned by Wayne Travis and his business is listed at 1685 County Street and at 428 W. Kansas Avenue, both in Chickasha, Oklahoma. Travis acquired investors in Oklahoma, across the United States and overseas.

SUSPICIONS

In May 2014, the FBI received a complaint from a financial advisor who claimed his client and his client’s family members had invested money in what appeared to be a scam. The financial advisor wished to remain anonymous, but according to the FBI’s affidavit filed in Grady county yesterday, the client was “promised a return of $80,000 on his initial $2,500 investment.” The advisor was “concerned because the promised returns on the investment were outrageous.”

The client told his advisor that emails from the company were often sent when investors “dropped out” and that another “$100,000 in stock” was available to current investors, over 100 at that time.

According to the affidavit, the advisor asked his client why it was taking so long to get the return. The client said Travis told them it would take time and to keep quiet, that if they talked the government would “take it away and take it over.”

The client “recently” told his advisor that Travis emailed clients promising their returns would soon pay off if Prince Erwin Singh Braich purchased the company. The advisor asked his client to produce those emails, the affidavit shows his client declined citing warnings from Travis. He was not then willing to discuss it with the FBI.

The document shows FBI Special Agent Deborah Decker interviewed another investor in September 2014. This investor, who wished to remain anonymous, disclosed to Decker that he had invested $10,000 and became suspicious when the terms of his investment kept changing.

The investor said he would receive returns quickly, then told later that his funds would be held over a period of 10 years and he would eventually profit $365,000. He also stated he never received a copy of his investor contract.

Travis had told investors that a man named Erwin and Dennis wanted to purchase the patent.

Erwin, he said he was told, was a Canadian lumber tycoon and Ewrin, Dennis and Travis were going to build housing complexes in Canada and Spain. They planned to run the power on the Zyrdo system and that royalties, money from the system’s sales, and maintenance fees would make money for the investors.

The investor attended a banquet during which Erwin and Dennis were to attend, but they never showed up. 

FINANCIAL RECORDS SEIZED: WHERE’S THE MONEY?

After federal grand jury subpoenas, the FBI seized bank records for all of Travis’ accounts.

Those records showed an account was opened up in the name of Hydro Energy Revolution, LLC May 19, 2010 to Wayne S. and Sandra A. Travis. From October 24, 2011 to January 7, 2014 the account deposits showed approximately $925,000 from numerous individuals and companies who are believed to be investors, the affidavit shows.

The ending balance on February 28, 2014 was $0.00

From January 12, 2012 to February 10, 2014 cash withdrawals totaled $373,366.65. From the monies received through signed withdrawal slips, approximately $127,500 in cash was deposited in the Revocable Living Trust account of Wayne and Sandra Travis. A total of $93,200 was transferred to other personal accounts belonging to the couple.

Bank records show $32,500 was wired for “Philippines relief”, other expenses for a cruise, trips out of state, medical expenses for family members, gifts or educational expenses for the family, a Buster Crabble Pool company in Chickasha, and even a sum total of $15,000 paid to Julie McNarama who is believed to Travis’ ex-wife.

The Zydro bank account, opened on October 14, 2013, showed the same pattern of deposits and withdrawals, believed to be from investors, and expenses that were consistent with the Hydro account behavior.

The Wayne S. and Sandra A. Travis Revocable Living Trust, established July 8, 2009, shows approximately $761,963.04 in expenditures from the account during January 10, 2011 to June 23, 2014.

ATM cash withdrawals total over $35,000, but counter withdrawals total over $119,000. Credit card payments show over $85,000 to Capitol One, over $76,000 to Discover and over $138,000 to Citicard. Payments made to Citimortgage totaled $53,056.95. The same previously mentioned cruise in 2011 was also listed as expenses totaling $6,721.68.

Funds in the Hydro and Zydro accounts seem to correspond to account activity in the living trust.

“Although not all the records analysis was yet been completed to trace the origins of all this money, the monies listed show the movement of investor funds in the amount of at least $300,000 from the Hydro Energy Revolution, LLC account and the Zydro Energy Revolution, LLC account to this Revocable Living Trust account,” the affidavit states.

AGENT UNDERCOVER

An FBI agent posing as John Hoff met with Wayne Travis, capturing audio and video surveillance. Travis claimed to the agent he had 240 investors and the company was valued at $20 million.

Hoff did observe employees working at 428 W. Kansas Avenue in Chickasha. Hoff went to the Travis home, where the device is located. “On that day, the Zydro Energy Device did not appear to be operating,” the affidavit shows.

The FBI seized computers, digital files, and electronic storage devices for computer forensic analysis. Agent Decker requested the court to seal those records to prevent the Travis’ from destroying evidence and fleeing, the affidavit shows.

SKEPTICS

Travis claims to use fluid to generate energy. The world stage is clamoring with scientists, engineers and layman who are all pining for the one-stop solution to find a free energy solution.

Travis is among them and his device featured on a website with a video in June 2012.

Travis’ Zydro Energy Device (ZED) did appear to be working in the video. However, the author of the article regarding the ZED said he did not see the device working himself.

Sterling Allan, of Pure Energry Systems Network who featured the video said Mark Dansie traveled to Chickasha and filmed it working to an extent.

With Dansie’s permission, Allan supplied the text from an online conversation which shows Dansie claimed the device never fully worked according to specification. 

Dansie now lives in the Philippines, where Allan said he moved approximately 2.5 years ago. It is not known who received the $32,500 wired to an account in Philippines in 2013. He told Allan he never received any fees. Allan said people who review devices, like Dansie often receive fees or expense money to review devices by investors. 

“Some of the trips I paid for. The first one he paid my airfares but no fees, just some traveling expenses,” he wrote.  Dansie admitted he accepted a share of stock in the company, “given at a later date.”

As to the device working or not working, Allan said it’s not surprising if the ZED didn’t work for the undercover agent. “For a prototype, generally you’re actually lucky to be there on a day when it is working.”

White papers which explain the device’s theory and listed specifications were listed, but not functional on Zydro’s website. Red Dirt Report briefly spoke to Wayne Travis who said the site is under construction.

Travis declined comment on the investigation. His attorney Mack Martin said, “My clients deny any wrong doing or inappropriate conduct. It’s early on in the investigation so we don’t have anything else to say at this point.”

Watch Red Dirt Report for any updates to this story.

Enjoy this? Please share it!

About the Author

Mindy Ragan Wood

Mindy Ragan Wood is a freelance writer and editor with a special interest in investigative and...

read more

Enjoy this? Please share it!

About Red Dirt Report

Red Dirt Report was launched July 4, 2007 as an independent news website covering all manner of news, culture, entertainment and lifestyle stories that affect and interest Oklahoma readers and readers outside of our state. Our mission is to educate, promote civic engagement and discourse on public policy, government and politics. Our experienced journalists provided balanced in-depth coverage of news stories that affect Oklahomans. Our opinion/editorial stories come from a wide range of political view points. We carry out our mission by reporting, writing, and posting news and information. read more

Member of the Oklahoma Press Association
Member of Investigative Reporters & Editors
Member of Diversity Business Association
Member of Uptown 23rd

Rotary Club of Bricktown OKC
Keep it Local OK