Nikolas founder steps down from board as company faces fraud allegations

Nikola founder and executive chairman Trevor Milton is stepping down from the company’s board of directors after allegations that the zero-emission vehicle start-up misled investors, the company announced on Sunday. Milton will be replaced by existing board member Stephen Girsky, a former vice chairman of GM, who will become Chairman of the Board. Bloomberg reports the company’s shares fell 22 percent in US pre-market trading.

“We remain committed to delivering on our objectives and creating value for our shareholders,” said Mark Russell, Nikola’s Chief Executive Officer.

The electric truck startup has been under intense scrutiny after a report claimed the company had engaged in “lies and deception.” On September 10th, shortly after GM...

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