Nikola founder Trevor Milton convicted on three charges of fraud
Trevor Milton, the founder and former executive chairman of Nikola, has been found guilty on three counts of fraud for misleading the electric vehicle company’s investors about its business and technology.
In total, he was found guilty on one count of securities fraud and two counts of wire fraud. He was acquitted on one charge of securities fraud. His sentencing has been scheduled for January 27th. He faces up to 20 years in prison.
Milton was indicted by a federal grand jury on the charges last year, with prosecutors citing numerous alleged lies, including many made on Twitter, in podcast interviews and other media appearances. Prosecutors alleged he had lied about “nearly all aspects of the business” in an effort to boost the stock of the EV maker.
The SEC began investigating the company in 2020, after Hindenburg Research publicly accused Nikola of staging an “elaborate ruse” to mislead the public about the status of its electric semi, Nikola One. While the company had published a video purporting to show the truck “cruising on a road at a high rate of speed,” Hindenburg said the truck had actually been “towed to the top of a hill on a remote …read more
