FRAUDADJACENTAUTOMOTIVE / EV
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Nikola

Faked a truck demo by rolling it downhill. Founder convicted of fraud.

$1.1B+ (via SPAC)
Capital Raised
$34B
Peak Value
11+ YRS
Lifespan
Investors lost billions
Body Count

AUTOPSY REPORT

Trevor Milton built Nikola into a $34B company on the promise of hydrogen-powered semi trucks. The centerpiece of his pitch was a demo video of the Nikola One truck in motion. Problem: the truck had no engine and no hydrogen system — they literally rolled it down a hill and filmed it to make it look like it was driving under its own power . Hindenburg Research exposed the fraud. Milton was convicted of securities fraud and wire fraud. Sentenced to 4 years. The company somehow still exists, limping along at 99% below peak valuation. Named after Nikola Tesla — the man who actually made things work.

DAMAGE: Investors lost billions

TIMELINE

2015Nikola founded by Trevor Milton
2020-06Goes public via SPAC, reaches $34B valuation
2020-09Hindenburg Research publishes fraud exposé
2020-09Milton resigns as executive chairman
2022-10Milton found guilty of securities and wire fraud
2023-12Milton sentenced to 4 years in prison

SOURCES

→ Hindenburg Research: Nikola — How to Parlay An Ocean of Lies→ DOJ: Trevor Milton Found Guilty of Fraud→ Reuters: Nikola Founder Sentenced to 4 Years
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Satirical project. Not affiliated with Y Combinator. All information from public records.