Photo credit: Nikola

Nikola, the electric carmaker that’s grappling with allegations of fraud, has said that it’s produced the first working prototype of its proposed Nikola Tre electric truck in Germany. The company made it known in its third-quarter earnings results that showed $117.5 million in losses. 

Nikola assembled the first prototype with the help of Iveco, an Italian industrial vehicle maker whose parent company CNH Industrial is a major investor in Nikola. CNH had invested in and partnered with Nikola when it was still a private company and is an essential part of the company’s plan to produce electric vehicles. 

Iveco has put up a joint venture manufacturing facility together with Nikola in Germany where it aims to mass-produce the Nikola Tre heavy-duty trucks. The trucks are planned to be produced in Germany and also at an American facility that Nikola is building in the state of Arizona. Nikola plans to launch the Tre truck in the fourth quarter of 2021.

As it revealed its earnings results, Nikola also revealed that it’s received grand jury subpoenas from the US Department of Justice (DOJ) and the Securities and Exchanges Commission (SEC). The subpoenas trace back to fraud allegations that were brought to light by short-seller Hindenburg Research in September, wherein Nikola is accused of among other things lying about its production capabilities and presenting a non-working prototype as though it worked. 

Short-seller Hindenburg also made allegations of fraud concerning the past business activities of Nikola’s founder, Trevor Milton, who was ousted from the electric carmaker following the publication of its allegations. Although he’s resigned, Milton also received subpoenas from the DOJ and the SEC concerning the allegations leveled against Nikola.

Share this...

Facebook

Pinterest

Twitter

Linkedin

Whatsapp

Email

Print