Exergonix terminated its association with Power On Network on July 20th, citing multiple breaches of their agreement. Power On Network, operated by Nigel Sandor Allan, Bjorn Thomas, and Jarle Thorsen, falsely presented a partnership with the renewable energy firm to market its digital points, XeCoin.

The scheme operators sought to legitimize their operation by aligning with Exergonix, a genuine company in the renewable energy sector. This tactic is a common strategy for fraudulent schemes, using the reputation of a credible entity to mask their illicit activities. Power On Network, previously flagged by BehindMLM in late 2016 as a Ponzi scheme linked to the failed Crypto 888 Club scam, aimed to leverage Exergonix’s name for marketing purposes.

Investors were reportedly drawn to Power On Network due to the purported Exergonix partnership. Documents even suggested Exergonix would oversee Power On Network's financial compliance. However, Exergonix CEO Don Nissanka began requesting fundamental information regarding Power On Network's financial standing and adherence to legal requirements.

These requests, made through both written communications and phone calls, were consistently ignored by Allan, Thomas, and Thorsen for several months. The operators apparently assumed Exergonix would not pursue the matter further.

Their assumption proved incorrect. Exergonix officially announced the termination of the relationship, effective May 9, 2017. The company explicitly stated that Power On Network failed to provide required financial and compliance details, despite repeated inquiries.

The core of the issue lay in the inherent conflict between a legitimate company and a Ponzi scheme. A real business cannot genuinely provide fiduciary compliance oversight for a Ponzi operation, where funds are rerouted to early investors rather than being tied to legitimate business activities. Power On Network's entire model relied on this manufactured legitimacy.

The severing of ties by Exergonix effectively dismantled the illusion Power On Network had cultivated. The operators had gambled on deceiving a legitimate corporation long enough to offload their worthless digital tokens onto unsuspecting investors. This gamble failed when Exergonix withdrew its association.