Vy, i'd say it's either the clutch or the gearbox.
the chain is still intact, correct?
the same thing happened to me on my maiden voyage with my MITSUBISHI engine/STATON gear chain install. one second everything's fine, then i'm in neutral with engine revving and no movement. i looked below me, and my drive chain was missing. i looked back 50 feet, and there lay my chain. the master link had twisted off, due to chain/gear misalignment.
after 20 minutes of searching, i found the master link and pedalled 4 miles home. after careful re-alignment, i reinstalled the chain and never had that problem again.
pull the gearbox. twist the engine connection by hand. if the end sprocket doesn't move, the gearbox is defective and needs to be returned.
if the end sprocket DOES move, then it's the clutch.
before yanking anything, start the engine and see if the drive chain and sprocket moves. if they do, then the freewheel is defective.
Myron