Bull. Of course the energy is not free and is taken, along with some loss, from the energy carried in the line. You have simply made a very poor transformer, nothing else.One of the "circuits" that springs into my mind is "harvesting free energy" using a wire wound on a 230v line. It can be enough to light a LED.
Or run it through a ferrite and make a secondary winding.
As it is inlined, not accross L and N, no energy is consumed and the obtained energy is free.