Nikola Founder Steps Down After Fraud Accusations

Electric truck maker Nikola announced Monday that founder Trevor Milton will leave the board of directors after accusations that the company misled investors.

A report released Sept. 10 by short-selling firm Hindenburg Research titled “Nikola: How to Parlay An Ocean of Lies Into a Partnership With the Largest Auto OEM in America,” said the automaker made false statements about its technology in an effort to attract partnerships.

Nikola has said there were “dozens” of inaccurate allegations in the report.

“Nikola is truly in my blood and always will be, and the focus should be on the Company and its world-changing mission, not me,” Milton said in a release. “So I made the difficult decision to approach the Board and volunteer to step aside as Executive Chairman. Founding Nikola and growing it into a company that will change transportation for the better and help protect our world’s climate has been an incredible honor.”

The Securities and Exchange Commission and Department of Justice are reportedly investigating the company.

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