Nikola Corp. NKLA 1.06% Govt Chairman and founder Trevor Milton is stepping down from the electric-truck startup with speedy impact within the wake of allegations from a brief vendor that he and the corporate had made false statements to traders.
The corporate stated Mr. Milton would get replaced by Stephen Girsky, a former General Motors Co. govt who already sits on the truck firm’s board.
Nikola has come beneath scrutiny since brief vendor Hindenburg Analysis launched a report earlier this month accusing the corporate and Mr. Milton of constructing exaggerated claims concerning the readiness of Nikola’s know-how and the way a lot of it’s proprietary.
Doubts concerning the firm’s readiness to provide automobiles and questions on its declare to personal proprietary know-how have prompted U.S. securities regulators and the Justice Division to investigate whether Nikola misled investors, The WSJ reported earlier this month, citing individuals conversant in the matter.
Nikola has called the Hindenburg report false.