Trevor Milton left the Nikola company
Trevor Milton has resigned as president of electric car manufacturer Nikola and has no more substantive duties at the company. He has taken the decision to leave himself, stresses the company, which has recently been plagued by fraud charges and a declining stock market price.
“The focus must be on the company and its world-changing mission,” said Milton in a statement.
But the step seems to have been taken to protect the company. The US Securities and Exchange Commission (SEC) recently began an investigation into allegations of deception, fraud and deception by Tesla’s rival. The case revolves around a report by investor Hindenburg Research, accusing Nikola of fraud by, for example, giving incorrect information about the technical specifications of its electric trucks.
Nikola says that Hindenburg is a ‘shortseller’ who, by publishing a misleading report, wants to manipulate the stock in order to benefit from a fall in prices, after the strong rise earlier. The company, which develops electric-powered vehicles but has not yet put products on the market, denies but saw its market value plummet.
Milton, however, remains Nikola’s largest shareholder, with a stake of about 20% worth almost USD 3 billion. Nikola was listed on Wall Street in June, and was named after Nikola Tesla. The company was founded in 2015. Stephen Girsky, member of the executive committee and former vice-president of GM, succeeds Milton.