In a surprising decision, former U.S. President Donald Trump has granted a full pardon to Trevor Milton, the founder and former CEO of Nikola Corporation, a company focused on electric and hydrogen-powered trucks. This pardon follows Milton’s 2022 conviction for securities and wire fraud, where he was found guilty of misleading investors about Nikola’s technological capabilities and business progress.
Background and Conviction
In October 2022, a federal jury convicted Trevor Milton of making false statements about Nikola’s products and technology. Prosecutors demonstrated that Milton exaggerated claims, asserting the company had functional zero-emission truck prototypes and substantial orders, which were later proven false. He received a four-year prison sentence and a $1 million fine as a result.
Impact on Nikola
During Milton’s tenure, Nikola’s valuation peaked at over $30 billion in 2020, briefly surpassing Ford Motor Co. However, a 2020 report by Hindenburg Research revealed Milton’s deceptive claims, triggering a sharp decline in the company’s stock price. This downward spiral culminated in Nikola filing for bankruptcy in February 2025. The bankruptcy filing disclosed liabilities ranging from $1 billion to $10 billion, with assets estimated between $500 million and $1 billion. Since 2022, Nikola has sold only 600 vehicles, many of which were recalled due to defects.
Pardon and Its Implications
Trump’s pardon frees Milton from his prison term and may also relieve him of restitution obligations to Nikola shareholders, who faced significant financial losses due to his actions. However, Milton could still face civil lawsuits stemming from his conduct. In a video posted on Instagram, Milton expressed gratitude for the pardon, noting that Trump personally called to inform him of the decision. Despite this relief, his legal challenges may persist in civil courts.
Conclusion
The pardon of Trevor Milton underscores the intricate relationship between corporate misconduct, political power, and legal accountability. While it closes the criminal chapter of his case, it does not undo the severe financial and reputational harm inflicted on Nikola and its investors. As Nikola navigates bankruptcy, the future of its electric and hydrogen truck initiatives remains uncertain, with its assets likely to be liquidated in the near future.
