In September 2020, Hindenburg Research launched its report on Nikola, saying it was “an intricate fraud.” The firm acknowledged a truck showing to cruise down a desert highway underneath its personal energy in a video was not. The SEC launched an inquiry. Ultimately, Trevor Milton, Nikola’s founder, was convicted of fraud. Nikola settled with the SEC for $125 million.
In 2021, J Capital Research printed a report calling Faraday Future “nothing but a bucket to collect money from U.S. investors and pour it into the black hole of debt created by its founder.” An organization spokesperson stated “the substantive allegations of inaccurate disclosures” within the report “were not supported by the evidence reviewed.” The SEC launched an investigation, and the corporate underwent a transformative restructuring.
Now, these firms are dealing with different pressures.
Read Article