Nikola Founder Trevor Milton Sells $284M of Stock Since Fraud Charges

Zero-emission company Nikola’s founder Trevor Milton has sold his biggest load of shares since he was charged by the U.S. with securities fraud.

Milton offloaded 11.7 million shares worth roughly $131 million in a series of transactions that ended on Tuesday according to a regulatory filing. So far he has sold off $284 million since
August, selling about $153 million of stock in two rounds of disposals.

The sales came weeks after pleading not guilty to charges he misled investors. Earlier this month a U.S. judge refused to dismiss a federal indictment charge on Milton with defrauding investors about the electric- and hydrogen-powered truck maker’s technology.

A criminal indictment against Milton was unsealed in July that says Milton made false and misleading statements regarding almost all aspects of the company’s business.

Federal prosecutors had concerns with claims about the startup’s first semi-truck prototype, which was inoperable; a battery-electric and hydrogen-powered pickup that amounted to little more than design sketches; and Nikola’s hydrogen production capabilities, battery-development work and customer orders.

Nikola said this month that it was in discussions with the U.S. Securities and Exchange Commission to resolve its investigation and anticipates paying $125 million in a civil penalty.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.