The Department of Justice reports that the U.S. Attorney’s Office for the Southern District of New York arrested Nikola founder Trevor Milton and charged him with three counts of fraud. While much of the media has focused on two securities fraud indictments, Milton was also charged with wire fraud.
Related Story: Trouble Brews At EV Truck Maker Lordstown Motors
Manhattan U.S. Attorney Audrey Strauss said: “As alleged, Trevor Milton brazenly and repeatedly used social media, and appearances and interviews on television, podcasts, and in print, to make false and misleading claims about the status of Nikola’s trucks and technology. But today’s criminal charges against Milton are where the rubber meets the road, and he now will be held accountable for his allegedly false and misleading statements to investors.”
The indictment claims that Milton made these false and misleading statements regarding Nikola’s products and capabilities to induce retail investors to purchase Nikola stock. As far as Torque news could find, Nikola has never delivered an electric vehicle to a consumer or corporate client.
To view a twelve-minute breakdown on the issue, and to hear scathing criticism of Nikola and its founder, see the above video.
Torque News will bring you more details as they emerge. This topic has been covered by the Wall Street Journal, CNBC, Reuters, and other mainstream news media outlets if you prefer opinion from journalists on this subject.
John Goreham is a long-time New England Motor Press Association member and recovering engineer. John's interest in EVs goes back to 1990 when he designed the thermal control system for an EV battery as part of an academic team. After earning his mechanical engineering degree, John completed a marketing program at Northeastern University and worked with automotive component manufacturers, in the semiconductor industry, and in biotech. In addition to Torque News, John's work has appeared in print in dozens of American newspapers and he provides reviews to many vehicle shopping sites. You can follow John on TikTok @ToknCars, on Twitter, and view his credentials at Linkedin