The White House has confirmed that Trevor Milton, the founder of the bankrupt hydrogen trucking startup Nikola, who was previously convicted of fraud, has received a pardon from President Trump. Milton was found guilty in October 2022 on charges that included one count of securities fraud and two counts of wire fraud, relating to misleading claims made to investors about Nikola’s progress. In December 2023, he was sentenced to four years in prison but has been on a $100 million bond while appealing the sentence.
The pardon was announced only weeks after Nikola filed for Chapter 11 bankruptcy. The company has been cooperating with the bankruptcy court in Delaware, seeking approval to sell the business, with hopes of finalizing a deal by mid-April.
In a statement, Milton expressed his disappointment with the Justice Department, remarking on the lack of public trust and confidence in the system, and urging judges to scrutinize prosecutorial claims more critically.
Milton was represented by attorney Brad Bondi, a partner at Paul Hastings and brother of the current U.S. Attorney General Pam Bondi, during his trial. With the pardon, Milton plans to produce a documentary that he claims will present his perspective on the Nikola story.
Founded by Milton in 2014, Nikola gained significant attention in 2020 after going public through a merger with a special purpose acquisition company (SPAC). Interest in the company surged especially post-announcement of General Motors’ $2 billion investment.
However, Nikola’s fortunes began to reverse after a report by Hindenburg Research accused the company of fraud, leading to an investigation by the Securities and Exchange Commission and GM stepping back from the deal. Milton resigned, citing personal reasons linked to his wife’s health during the sentencing hearing in 2023.
In July 2021, prosecutors from the Southern District of New York charged Milton, stating he disseminated false information about Nikola’s products and technologies to encourage retail investments in Nikola stock.
Following his conviction, a judge ruled that Milton must repay his former company nearly $168 million, a decision resulting from an arbitration case between him and Nikola. These funds are intended to be used by Nikola to resolve a shareholder class action lawsuit as part of its bankruptcy proceedings.
