SAN DIEGO & PHOENIX--(BUSINESS WIRE)--Shareholder rights law firm Robbins LLP announces that a purchaser of Nikola Corporation (NASDAQ: NKLA) filed a class action complaint against the Company for alleged violations of the Securities Exchange Act of 1934 between June 4, 2020 and September 9, 2020. Nikola operates as an integrated zero emissions transportation systems provider.
If you suffered a loss due to Nikola's misconduct, click here.
Nikola Corporation (NKLA) Accused of Misleading Shareholders
According to the complaint, during the class period, Trevor Milton, chairman and founder, repeatedly falsely touted the strength of Nikola's financial, technological, and operational profile. On September 10, 2020, Hindenburg Research published a report entitled “Nikola: How to Parlay an Ocean of Lies into a Partnership with the Largest Auto OEM in America.” Hindenburg alleged that Milton had misled partners into signing agreements by falsely claiming to have extensive proprietary technology. Among other things, the report claimed that Milton had staged a video of Nikola’s semi-truck cruising down a road by filming the truck rolling down a hill and that, despite claiming Nikola designs all key components in house, the Company appears to simply be buying or licensing them from third-parties. On this news, Nikola's stock dropped 11.33% to close at $37.57. Shortly thereafter, the Securities Exchange Commission and Department of Justice announced investigations against Nikola. On this news, the stock dropped to close at $32.83 on September 15, 2020.
If you purchased shares of Nikola Corporation (NKLA) between June 4, 2020 and September 9, 2020, you have until November 16, 2020, to ask the court to appoint you lead plaintiff.
Robbins LLP is a nationally recognized leader in shareholder rights law. To be notified if a class action against Nikola Corporation settles or to receive free alerts about companies engaged in wrongdoing, sign up for Stock Watch today.
Attorney Advertising. Past results do not guarantee a similar outcome.