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        <title><![CDATA[Nikola discloses subpoenas from DOJ, SEC and New York DA]]></title>
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            <media:title type="html">Nikola discloses subpoenas from DOJ, SEC and New York DA</media:title>
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						<p>Electric truck maker Nikola revealed late Monday that it was hit with a grand jury subpoena from the Justice Department in September amid accusations that the company has lied about its technology.</p>
<p>The embattled startup&#8217;s former CEO <strong>Trevor Milton</strong> — who left the company following&nbsp;a&nbsp;<strong>slew of allegations</strong> by a short-seller claiming that the company was an &#8220;intricate fraud,&#8221; and who was later <strong>accused of sexual assault</strong> — received a subpoena as well, the company said in a securities filing.</p>
<p>Nikola also said it received a grand jury subpoena from the New York County District Attorney&#8217;s Office the same month, as well as subpoenas from the Securities and Exchange Commission to its board and eight of its officers and employees.</p>
<p>The scrutiny from law enforcement came following allegations from short seller Hindenburg Research that Milton made bogus claims about his automaker&#8217;s technology in order to secure important corporate partnerships, including with General Motors, which has <strong>taken an 11 percent stake in Nikola</strong> and entered into a multibillion-dollar manufacturing deal with the company.</p>
<p>In its report, Hindenburg called Nikola &#8220;an intricate fraud built on dozens of lies&#8221; over the course of Milton&#8217;s career, and accused the company of staging a January 2018 video of its Nikola One semi truck by filming it rolling down a hill in neutral, rather than powered by its own engine.</p>
<p>Nikola has denied allegations of wrongdoing, calling the report &#8220;a hit job for short sale profit driven by greed.&#8221;</p>
<p>On an earnings call with analysts Monday, the company&#8217;s new CEO Mark Russell said Nikola would cooperate with the investigations.</p>
<p>&#8220;Our counsel has been in close contact with the SEC and the Department of Justice,&#8221; Russell said. &#8220;We are fully cooperating with both in their request for information and documents.&#8221;</p>
<p>Nikola shares were down 1.7 percent Tuesday afternoon, trading at $18.30. The stock is down more than 60 percent since September.</p>
			
					
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