Fidelis Energy (FDEI)

[nodummy]

FIDELIS ENERGY INC (FDEI) - DD


This stock first caught my attention because of all the common links it has to Supatcha Resources, Inc (SAEI ) which got suspended by the SEC earlier this week.

Before I go into my DD on this company I'll start by listing some of those similarities

1) FDEI's domain is connected to the same person, Dale Bernhart, as SAEI's website

2) FDEI's promotions are paid for by one of the same companies that paid for some of SAEI's promotions - Longview Communications Inc who receive their money to pay for the promotions from Romeo Holding Corp

3) This company is connected to Kenneth G Eade - Eade has been involved in many promotion/media driven pump&dump penny stock companies in the past


----------------------------------------------------------------------------------------------------------------


DD on Fidelis Energy , Inc (FDEI)

Company Address
6399 Wilshire Blvd Suite 507
Los Angeles, CA
United States, 90048

That address is shared by several other Kenneth G. Eade companies:
Kenneth G. Eade, Attorney at Law
Independent Film Development Corporation
Gold Standard Mining
Kensington Leasing, Ltd
Strategic Mining Corp


Company Officers:
James Poole CEO
Larry Butler Dir/CFO (also the Accountant/Auditor of the company)

Larry Butler's address on the statement of Initial Company Information and Disclosure filed with the OTC on 7/7/10 is: 63 Eccleston Crescent, Bryanston, Gauteng, South Africa

That address is shared by Sofotek House


Transfer Agent:
Holladay Stock Transfer


Legal Counsel:
Kenneth G. Eade
190 N. Canyon Drive
Suite 420
Beverly Hills CA

**** Same Address shared by Imperia Entertainment, Inc (IMPN) - Another Kenneth G. Eade company.


Nevada Business Entity - In DEFAULT for missing 11/30/10 deadline for list of officers (Default status is very common for Kenneth G. Eade linked companies)

http://nvsos.gov/sosentitysearch/CorpDetails.aspx?lx8nvq=i%252b6L90%252fQb%252bsqksgVM5T2Xw%253d%253d&nt7=0

Website:

http://www.fidelisenergyinc.com

Website is outdated with lots of details including share counts and no press releases after June 10, 2010.



The company filed a Form 15 on 2/23/10:

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=7072227



Latest available Share Counts:

A/S 600,000,000
O/S 492,844,855 (as of June 30, 2010)
Float 67,000,000 (as of March 31, 2010)

Largest shareholder:

According to the filings Initial Company Disclosure Statement:

Prism Solar Industrial Co - Room 92, Yangguang, Xinjingyuan, Meilong Road, Longhua Town, Bao'an District, Shenzhen, Guangdong, China 518000 is the biggest share owner with 82,000,000 which was issued to Prism Solar Industrial Co on 7/10/09 in exchange for property

A few issues with this information:

#1) Fidelis was a completely inactive business entity from 8/24/07 (all of it's officers resigned on that day and it was an empty shell with no officers and no operations) until 9/11/09 when the new group of officers stepped in. The company had an operational deficit of $6,254,215 when the former officers abandoned the shell. The common factor - Kenneth G. Eade controlled the shell back then too using the address 9595 Wilshire Boulevard, Suite 900, Beverly Hills, CA 90212 (the same virtual office used by many of his other companies including Navajo Wind Energy Corp (CLBN) - formerly Cascade Energy Inc.)

#2) Web searches turn up no results for Prism Solar Industrial Co except in Fidelis Energy pages

#3) Learned an old trick while helping to bust the SAEI scam - search for the address used instead of the name of the company. Doing a web search for Yangguang, Xinjingyuan, Meilong Road, Longhua Town, Bao'an District, Shenzhen, Guangdong, China 518000 brings up a completely different company:

Shenzhen Elandpower New Energy Co, Limited

http://www.elandpower.com/contact.asp

Coincidentally it is solar power company - I am working on finding out if they are familiar with Prism Solar Industrial Co since they apparently share the same building according to Fidelis Energy Inc.




From Past Filings:

As of December 31, 2009, the Company had a net operating loss carry forward for income tax reporting purposes of approximately $6,516,108

As of December 31, 2009 the Company had revenues of $0

Yet despite having no revenues and a very large debt the company some how magically worked out several earth shattering deals in 2010 which include the following:


MAJOR COMPANY EVENTS:

On January 11, 2010 Fidelis Energy Inc announced a $25 million agreement with Esar Solar Power Pvt. Ltd. - a Jaipur-based company in the Thar Desert near Jaisalmer, India.

Issues with this event:

#1) No 8K is on file for this event and no contract for the agreement is on file for this event

#2) Esar Solar Power Pvt. Ltd does not show up in any web searches not linked to Fidelis Energy - and no a blank business week page doesn't count because these are often times faked

#3) Fidelis does not give any contact information for this company (address or phone number)

#4) Jaipur is no where near Jaisalmer (they are over 260 miles apart)

#5) Using the details available from the Fidelis PR I did find an Essar Wind Power Pvt Ltd located in Bhuj, India



Other Major Events:

On Jan. 13, 2010, Fidelis Energy announced it has closed on the acquisition of a stake in a Solar Park in Spain. Previously detailed in its press release dated October 21, 2009, Fidelis entered into a binding Letter Of Intent (“LOI”) with ASD Lusiona Solar, (“ALS”) to acquire an 8% stake in its wholly-owned subsidiary, ASDR Barranca Solar, which owns a 2MW producing photovoltaic solar facility located in Spain. Under the agreement, Fidelis also has an option to buy the remaining stake in ASDR.

On Jan. 13, 2010, Fidelis Energy completed a $2.5 million private placement (the "Private Placement"), with private alternative energy investment firm Global Solutions Ltd. funding $1.2 million of the total. The balance of the Private Placement was funded by management, associates of management and former Fidelis shareholders.

On Jan. 19, 2010, Fidelis Energy announced the completion of new financing with total commitments of $30 million led by Swiss- based Empres Voss Capital (EVC). The proceeds from this financing will be drawn down in traunches as required during the process of building a solar power plant in India. The Solar facility is located in the Thar Desert near Jaisalmer, India. The region is destined to become the world's biggest solar power house as it basks in an average of 330 days of sunshine per year and receives up to 6.2KW per hour of solar energy per square meter everyday, which is the highest in the world. Further details of the financing will be released as they occur.

On Feb. 3, 2010, Fidelis Energy announced that it has completed the formal signing of contract with several Greek multi-national corporations to install and operate approximately 10 megawatts (MW) of photovoltaic (PV) systems on all of their large-scale manufacturing facilities located throughout Greece.

On Feb. 08, 2010, Fidelis Energy announced that it received a multi-million dollar investment commitment from a private investment consortium to provide funding to the Company for its future growth and expansion.

On March 10, 2010, Fidelis Energy announced several changes in management to strengthen the Company's focus and future direction. Eric Esposito, the recently appointed COO of the Company, has been appointed to the Board of Directors. The Company also announced the appointment of Demyan Bondarenko as the Director of Solar Project Development and Fedir Ruzicka as the European Solar Energy Operations Manager. Mr. Bondarenko has an extensive background in large scale renewable energy projects with recent emphasis on solar development in the Czech Republic; Mr. Ruzicka, a resident of the Czech Republic, has extensive background in solar development specific to site permitting, negotiations of grid interconnect and energy off-take agreements.

On March 15, 2010, Fidelis Energy announced that it has entered into a long-term solar module supply agreement with TinSol Energy (pty) Ltd. (TSEL), Johannesburg, South Africa. Under the terms of the contract, Fidelis Energy will supply 207 megawatts (MW) of PV Solar modules to TSEL for use in the development and build-out of several solar parks in Africa.

Where are they going to build these modules?

This South African company does not seem to exist. If it was real it would show up on the South African Members of Sustainable Energy Society Directory or South African yellow pages but it doesn't:

http://www.sessa.org.za/members/directory


THE RED FLAGS ARE OVERWHELMING

#1) none of these events show up on any 8K forms and no contracts are on file to support any of these events

#2) none of these companies can be found in web searches except linked to Fidelis Energy

#3) Fidelis gives no details about these companies (addresses, phone numbers)

#4) none of these transactions/events show up on any of the balance sheets submitted by the company which show cash flows and share distribution up through June 30, 2010

#5) Fidelis didn't have the money to accomplished any of these events in the first place


The semi annual financial report of the company is quite sad. The reported cash capital amounts to a rather humble $516 thousand, which is staggeringly low in comparison with the $8.58 million reported as total current liabilities. The same report shows a net loss of $323 thousand. It should also be noted that the report is unaudited and the company hasn't filed reports with the SEC since May 2007.

http://www.otcmarkets.com/otciq/ajax/showFinancialReportById.pdf?id=34117


-------------------------------------------------------------------


Since the June 30, 2010 semi-annual report Fidelis has continued to PR unrealistic deals and financial transaction with no filings to back up any of their ridiculous claims.

They have used some of the same past seemingly non-exist companies from events earlier in the year to make bigger and bigger sounding press releases:

On June 29, 2010 a second contract was signed with the seemingly nonexistent South African company, TinSol Energy (pty) Ltd.this time with their also seemingly nonexistent wholly owned subsidiary company, Lagofrio Energy Solutions for an additional 93 MW of PV solar modules worth $210 million.

These South African companies do not seem to exist. If they were real they would show up on the South African Members of Sustainable Energy Society Directory or South African yellow pages but they don't:

http://www.sessa.org.za/members/directory

On Nov 15, 2010 the 2MW Solar Park facility in Spain from Jan 13 became a 100MW Solar Park

On November 18, 2010 FDEI claimed to have received it's first $5 million from Empres Voss Capital (a seemingly nonexistent company) who back in Jan decided to commit $30 million to Fidelis to help built the worlds biggest solar energy plant.

Amazing that Empres Voss Capital (which cannot be located in web searches not linked to Fidelis) has never committed any money to any other companies ever yet they decided giving money to some US company with over $6 million in debt and no revenues that had been non-operational for 2 years was a good idea? And FDEI didn't feel this event was worthy of an 8K filing to make it official? Please does anybody really believe this stuff?

Also if somebody was building the world's largest anything it would find it's way into a newspaper or magazine or someplace on the internet besides a paid promotion from Fidelis.

On Dec 7, 2010 Fidelis Energy Inc. announced it has given physical delivery of more than 23 megawatts (MW) of photovoltaic solar modules to its buyer, TinSol Energy (pty) Ltd. (“TSEL”) in South Africa. This shipment is the first of many to follow in order to complete TSEL’s long-term solar module supply agreement for 207 megawatts (MW) of PV Solar modules worth $475 million. The Company expects payment of $52.5 Million from TSEL to be completed in full by December 10, 2010

Of course the money hasn't arrived yet and most likely never will. I'm still curious where they built these modules.

The Nov/Dec PRs helped drive the price up from $.006 on Nov 19 to $.02 on Dec 1st. But like with any pump&dump there was plenty of dilution to go with the promotions. The stock price has since dropped back down to $.008.


-------------------------------------------------------------------


One thing this broke company has no problem spending money on is Promotions - very very typical of Kenneth G. Eade run companies

Compensation Disclaimer:

Fidelis Energy, Inc. (FDEI) - Longview Communications Corp. has received sixty five thousand dollars from a third party, Victor Romeo Holding Corp. for media and advertising services for Fidelis Energy, Inc. Longview Communications Corp. previously received seventy five thousand dollars, and an additional sixty thousand dollars from a third party, Victor Romeo Holding Corp. for media and advertising services for Fidelis Energy, Inc.

Longview Communications Corp then in turn uses the money to pay out to other promoters to publish the press releases and alerts on their websites.

Victor Romeo Holding Corp. also paid extraordinary amounts of money to Longview Communications Corp to fund the promotions for another Kenneth G. Eade connected company - Southridge Enterprises, Inc.


------------------------------------------------------------------

SUMMARY

In my opinion Fidelis Energy Inc is nothing but a promotional scam. I don't believe anything ever stated in any of the press releases. This is a very typical Kenneth G. Eade run company. Most Kenneth G. Eade run companies are just promotion driven companies that never file anything with the OTC or SEC to support what is said in the press releases. Eventually it becomes painfully obvious to the investors that none of the press release were ever true and many investors end up being bag holders with huge loses. The company eventually dies going into a long inactive period - sometimes being resurrected a long time later for another fresh new promotional pump&dump under a new name and/or business model. I hope the SEC takes notice of this company soon through some of it's current investigations into other companies which I feel are also linked to Kenneth G. Eade. This all of course is just my opinion based on my research into past companies. I invite anybody to research other companies linked to Kenneth G. Eade and come up with your own conclusions.


----------------------------------


I'll leave you with two other alleged Kenneth G. Eade related companies that have their domains linked to Dale Bernhart.

PrimeGen Energy Corp

http://www.sec.gov/litigation/suspensions/2010/34-61603-o.pdf

http://www.sec.gov/litigation/suspensions.shtml

Supatcha Resources Inc

http://www.sec.gov/litigation/suspensions/2010/34-63568-o.pdf

http://www.sec.gov/litigation/suspensions.shtml




Investor Beware with Fidelis Energy Inc