Milton, founder of electric truck maker Nikola, charged with fraud | TechCrunch Japan

Trevor Milton, the founder, former CEO and chairman of electric truck startup Nikola, has been charged with three fraudulent charges.

According to a complaint released by the US Federal District Prosecutor’s Office in Manhattan on July 29, Milton was “involved in a fraud plan to deceive individual investors” for personal gain. Milton was charged with a grand jury for two securities frauds and one communications fraud.

In a complaint, the ground prosecution used social media and frequently appeared on television in a PR where Milton “disseminated false misleading information about Nikola to the market” even before the vehicle was produced. I elaborated on what I did.

The indictment reflects Nikola and Milton’s rushing and devastating business, which founded the company in 2015. Milton got a lot of attention with the announcement of the first prototype, boasting that Nikola would produce a “truck-carrying iPhone.” Later, a promise for other products, including an electric pickup truck called Badger, followed by plans to build a factory in Arizona.

In March 2020, the company announced that it would be listed through a merger with Vecto IQ Acquisition Corp, a special-purpose acquisition company. After listing in the summer of the same year, Milton frequently posted on Twitter and sent a message to individual investors. And in September of the same year, a few days after GM announced a $ 2 billion investment in the company, short-selling Hindenburg Research accused Nikola of being a scam.Two weeks after the US Securities and Exchange Commission launched an investigation, Milton saidResigned from chairmanship

Nikola issued a statement on July 29 that it is still distant from its major shareholder, Milton.

Trevor Milton left Nikola on September 20, 2020 and has not been involved in or contacted Nikola since then. Today’s move by the authorities is against Mr. Milton personally, not against Nikola. Nikola has cooperated with the authorities through the investigation. We are fully committed to the previously announced goals and timeline, focusing on shipping Nikola Tre battery-powered electric trucks from our manufacturing facility in late 2021.

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Category: Mobility
Tags: Nikola, electric cars, trucks, trials, fraud

Image credit: Nikola

To the original

(Sentence: Kirsten Korosec, Translation:Nariko Mizoguchi

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