Trevor Milton, former CEO and founder of EV maker Nikola, is facing a new wire fraud allegation in his criminal case with U.S. prosecutors. They accuse Milton of defrauding investors by lying about the manufacturing of electric and hydrogen-powered trucks.
The new accusation is in connection to Milton’s alleged attempt to defraud the Utah seller of Wasatch Creeks Ranch by making untrue and deceptive claims regarding Nikola’s goods and business opportunities. The Massachusetts man claims to have accepted Nikola stock options as part of the purchase price due to Milton’s representations of the firm.
The seller filed a legal complaint on March 14 in Utah federal court, alleging that the value of the options was “destroyed” once Milton’s alleged lies came to light and Nikola’s stock price plummeted. The complaint seeks $45 million dollars.
Milton previously entered a not guilty plea to two counts of securities fraud and one count of wire fraud for comments made between November 2019 and September 2020. His jury trial in federal court in Manhattan is set to begin on July 18.
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