Shulou(Shulou.com)11/24 Report--

CTOnews.com, September 12 (Xinhua)-- Trevor Milton, founder of electric truck maker Nikola, has attracted many investors in the automobile industry because of his promise to revolutionize electric trucks, according to the Wall Street Journal. This week, Milton will begin a securities fraud trial accused of lying about the company's environmental technology development.

Federal prosecutors in Manhattan last year accused Milton of implementing a plan to increase his wealth and improve his status as an entrepreneur by exaggerating Nikola's prospects and deceiving non-professional investors, including stock market newcomers.

Milton was charged with two counts of telecom fraud and two counts of securities fraud. Jury selection is scheduled to begin on Monday. CTOnews.com learned that Audrey Strauss, the then prosecutor, said in announcing the charges that Milton lied in almost every aspect of the business in order to boost investor demand for Nikola shares.

Milton, 40, pleaded not guilty. Milton resigned from Nikola in 2020, just days after short seller Hindenburg Research released a report accusing Milton of making dozens of misrepresentations about its business.

At a pre-trial hearing last week, Milton's lawyers said they would argue that Milton's actions were well-intentioned and had no intention of deceiving anyone. Defense attorney Marc Mukasey said Milton's use of terms such as "prototype", "function" and "display car" may be different from what some investors understand.

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