AUSTIN, Texas — An Austin man and beverage company founder faces up to 20 years in prison for allegedly scamming investors out of millions.
Wanu Water founder Todd O’Gara appeared in court Thursday after being charged with wire fraud for allegedly lying about his product in multiple instances.
Court documents state Wanu Water started losing money annually in 2019 despite being on the market for several years. Wanu Water had a projected loss of nearly $4 million for 2019, which led O’Gara to find money from outside investors.
The documents accused O’Gara of misrepresenting himself, Wanu Water’s value while also doctoring purchase orders and exaggerating investor commitments. One of the allegations says O’Gara sent a text message to a victim in 2021 that an investment firm valued his company at $300 million.
There were also claims of multiple instances where money wired to Wanu Water wasn’t used for product fulfillment and instead spent on other expenses.
Ultimately, investors in California, New Jersey and New York said they were defrauded out of at least $3.4 million. If convicted, O’Gara could face a maximum sentence of 20 years in prison and a fine.
KVUE reached out to Wanu Water for a comment on the allegations. A representative shared the following statement from O’Gara: “I unequivocally deny the charges and look forward to being cleared from all allegations.”
What is Wanu Water?
The name Wanu is short for water and nutrients.
The company was founded by O’Gara and his wife, Jacqueline O’Gara, who serves as the company’s director of brand marketing. They started in 2013 inside an apartment in San Francisco, California before moving the company to Austin.
Wanu Water is sold at select Costco’s in Texas, Louisiana, Oklahoma and Kansas.