Fake Bala Cynwyd Green Energy Company Took $54M In Financing: DOJ

BALA CYNWYD, PA — A Colorado man has been convicted of running an elaborate scheme to defraud investors through a bogus green energy firm based in Bala Cynwyd, according to the U.S. Attorney's Office.

Wayde McKelvy ran a complex scheme involving a business known as the Mantria Corporation, officials said. Along with his co-conspirators, McKelvy lured about $54 million in investments into the company.

In return, he promised investors huge returns of up to 484 percent for securities investments, according to the U.S. Attorney.

However, officials said McKelvy ran a "classic Ponzi scheme," and used the investment money from later investors to pay false returns to early investors, thereby tricking them into thinking that Mantria had become profitable.

In order to convince investors, McKelvy and those working with him ran an aggressive and widely coordinated marketing campaign which included television, radio, and Internet ads, along with seminars for investors. The U.S. Attorney's Office said that McKelvy portrayed himself as a "financial wizard," even though he was an unlicensed securities salesman with little experience.

The SEC discovered and shut down Mantria in 2009.

McKelvy was convicted on charges of conspiracy to commit wire fraud, wire fraud, conspiracy to engage in securities fraud, and securities fraud. Sentencing is forthcoming.

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