Nikola to pay USD125m as part of SEC resolution

|

By Bradley Osborne - 3rd January 2022

USA Nikola Corporation, a designer of electric truck concepts based in Phoenix, Arizona, has reached a settlement with the U.S. Securities and Exchange Commission (SEC), agreeing to pay a civil penalty of USD125m, thus concluding the U.S. government’s investigation into the company following fraud allegations against its founder. 

The sum is to be paid in five instalments over two years, with the first having already been paid at the end of 2021. Nikola stressed that, by agreeing to the terms of the resolution, it was neither admitting nor denying the SEC’s findings regarding potential business malpractice. The company continues to seek reimbursement from its founder, Trevor Milton, who resigned following fraud allegations against him. On 29 July 2021, a U.S. federal grand jury indicted Milton on three counts of criminal fraud and two counts of securities fraud, to which Milton pleaded not guilty. 

Become a subscriber to read article

Start free trial Already a subscriber? Click here to login.

Subscription Features

Unlimited Article Limits

Access to all articles published daily as well as Truck & Bus Builder archives.

Access Article Downloads

Tables, graphs and statistical information as well as government papers.

Premium Content

Including in depth market reports, feature articles and interviews with industry leaders.