Hyperdrive
Nikola to Pay $125 Million SEC Penalty Over Milton Comments
- Founder misled investors on business prospects, regulators say
- Nikola didn’t admit or deny wrongdoing in settling the claims
Nikola Corp. Founder Trevor Milton leaves federal court in New York, on July 29.
Photographer: Angus Mordant/BloombergThis article is for subscribers only.
Nikola Corp. will pay a $125 million penalty to the U.S. Securities and Exchange Commission over allegedly misleading statements its founder and former chief executive officer made to investors about the electric-vehicle startup.
The former CEO, Trevor Milton, deceived investors about the company’s technological advancements, in-house production capabilities and truck reservations, according to an SEC statement Tuesday. Nikola settled the SEC’s allegations without admitting or denying wrongdoing.