Trevor Milton

Trevor Reed Milton
Born:	April 6, 1982 Utah
Charges:	Securities fraud, Wire fraud (2 counts)
Sentence:	4 years
Facility:	TBD (pending at time of pardon)
Status:	Pardoned (March 2025)

Trevor Reed Milton (born April 6, 1982) is an American entrepreneur and convicted fraudster who was sentenced to four years in federal prison for securities and wire fraud related to his founding of Nikola Corporation, an electric vehicle startup, before receiving a full presidential pardon from Donald Trump in March 2025. Milton founded Nikola in 2014 and took it public in 2020, at one point achieving a market capitalization exceeding $30 billion based largely on his claims about the company's technology and product development. A jury convicted Milton in October 2022 on one count of securities fraud and two counts of wire fraud after prosecutors proved he had made numerous false statements to investors about the company's capabilities, including claims that a promotional video showing a Nikola truck "in motion" was actually filmed by rolling the vehicle downhill. Milton was ordered to pay $168 million in restitution to shareholders who lost money on their investments. The pardon, which came after Milton and his wife donated more than $1.8 million to Trump's 2024 campaign, erased Milton's conviction and eliminated his obligation to pay restitution to defrauded shareholders.

Summary

Trevor Milton's fraud case represented one of the most significant securities fraud prosecutions of the electric vehicle boom era, demonstrating the consequences of making false claims to investors even in industries characterized by optimistic forward-looking statements. Milton built Nikola on a vision of hydrogen-powered and electric trucks that would revolutionize commercial transportation, but the gap between his public statements and the company's actual capabilities was vast. His conviction sent a message that startup founders cannot make materially false statements to investors regardless of the speculative nature of their industry.

The most damaging evidence against Milton involved a 2018 promotional video that appeared to show Nikola's prototype truck driving on its own power. In reality, prosecutors proved, the truck was towed to the top of a hill and released to roll downhill—creating the illusion of functionality for a vehicle that could not actually drive. Milton's public statements claiming the truck "fully functions and works" were demonstrably false, and the video was specifically designed to deceive investors and the public about the company's progress.

Milton's pardon by President Trump drew sharp criticism from those who noted the correlation between his substantial campaign donations and his clemency. The pardon not only erased Milton's conviction but eliminated his obligation to pay $168 million in restitution to Nikola shareholders who had lost tens of millions of dollars based on his false statements. Critics argued the pardon demonstrated that wealthy criminals could effectively purchase clemency, while supporters characterized the prosecution as overzealous targeting of an entrepreneur whose statements were consistent with industry norms.

Background

Early Entrepreneurship

Trevor Reed Milton was born on April 6, 1982, in Utah. Before founding Nikola, Milton had started several businesses with varying degrees of success. His entrepreneurial ventures included companies in the alarm system and natural gas industries. These early experiences gave him practice in raising capital and promoting business ventures, skills he would deploy—and eventually abuse—at Nikola.

Milton developed an interest in alternative fuel vehicles and became convinced that hydrogen fuel cell technology could revolutionize commercial trucking. This belief would become the foundation for Nikola Corporation, though his enthusiasm for the technology would ultimately exceed the company's actual capabilities.

Founding Nikola Corporation

In 2014, Milton founded Nikola Corporation (named after inventor Nikola Tesla) with the goal of developing hydrogen-powered and battery-electric heavy trucks for commercial use. The company promised to disrupt the trucking industry by offering zero-emission vehicles that could match or exceed the performance of diesel trucks. Milton served as CEO and became the company's primary public face and spokesperson.

Milton proved skilled at generating media attention and investor interest. His confident public statements about Nikola's technology attracted substantial investment, and the company's valuation grew rapidly despite limited actual product development. Milton cultivated relationships with major industry partners and positioned Nikola as a serious competitor in the emerging electric vehicle market.

Going Public and Peak Valuation

In June 2020, Nikola went public through a merger with a special purpose acquisition company (SPAC), a financing method that had become popular for bringing speculative companies to public markets. The stock price soared after the merger, and at its peak, Nikola achieved a market capitalization exceeding $30 billion—remarkable for a company that had not yet delivered a single vehicle to customers.

Milton's public statements played a central role in generating investor enthusiasm. He claimed that Nikola's trucks were functional, that the company had proprietary technology, and that it had secured major customer orders. These statements would later be proven false or materially misleading.

Indictment, Prosecution, and Sentencing

The Hindenburg Report

Nikola's problems began to surface in September 2020 when Hindenburg Research, a short-selling firm, published a report alleging that Nikola was an "intricate fraud." The report documented numerous instances where Milton's public statements appeared to be false, including the claim that a promotional video showing a Nikola truck driving was actually filmed with a non-functional vehicle rolling downhill.

Milton resigned as Executive Chairman shortly after the Hindenburg report was published. Federal prosecutors and the SEC launched investigations into the company and Milton's statements.

Indictment

In July 2021, federal prosecutors in Manhattan indicted Milton on two counts of securities fraud and two counts of wire fraud. The indictment alleged that Milton had made numerous false and misleading statements to investors about virtually every aspect of Nikola's business, from the functionality of its vehicles to the nature of its partnerships to its order book.

The charges focused on statements Milton made from approximately November 2019 through September 2020—the period leading up to and following Nikola's public listing. Prosecutors alleged that Milton targeted retail investors specifically, using social media, television appearances, and podcast interviews to promote the company with false claims.

Trial and Conviction

Milton's trial took place in October 2022 in federal court in Manhattan. The prosecution presented evidence of numerous false statements, including Milton's claims that the Nikola One truck "fully functions and works" when it was actually incapable of driving under its own power. The infamous promotional video was a central piece of evidence.

The defense argued that Milton's statements were consistent with normal startup promotion and that investors should have understood that claims about future products were inherently speculative. They contended that Milton genuinely believed in Nikola's potential and did not intend to defraud anyone.

On October 14, 2022, the jury convicted Milton on one count of securities fraud and two counts of wire fraud. He was acquitted on one count of securities fraud related to claims about reservations for Nikola's trucks.

Sentencing

On December 18, 2023, Judge Edgardo Ramos sentenced Milton to four years in federal prison. Prosecutors had sought eleven years; Milton's lawyers had asked for probation. The judge also ordered Milton to forfeit a property in Utah, pay a $1 million fine, and pay $168 million in restitution to defrauded shareholders.

The $168 million restitution order reflected the substantial losses suffered by retail investors who had purchased Nikola stock based on Milton's false statements. Prosecutors estimated that these investors lost more than $660 million in total, though the restitution amount was lower than the total losses.

Presidential Pardon

In March 2025, President Trump granted Milton a full pardon. The pardon came approximately one month before Milton was scheduled to report to prison to begin serving his sentence. Trump's pardon eliminated Milton's conviction, ended his supervised release, and—significantly—eliminated his obligation to pay the $168 million in restitution to shareholders.

The pardon drew criticism because of the substantial donations Milton and his wife had made to Trump's 2024 presidential campaign. In October 2024, approximately one month before the election, the Miltons donated more than $1.8 million to Trump's campaign. Critics argued that the timing of the donations and the pardon suggested a quid pro quo arrangement, though there was no direct evidence of an explicit agreement.

Defenders of the pardon argued that Milton's prosecution was overzealous and that his statements were consistent with the promotional practices common in the electric vehicle and startup industries. They characterized the pardon as correcting prosecutorial overreach rather than rewarding a campaign donor.

Public Statements and Positions

Throughout his prosecution, Milton maintained that he believed in Nikola and its technology and that his statements were not intended to defraud anyone. He characterized the prosecution as criminalizing normal startup promotion and argued that his statements should be understood in the context of the speculative electric vehicle industry.

Milton did not testify at his trial, but his defense presented evidence that he genuinely believed in Nikola's potential and that the company was making progress on its technology even if individual statements may have been imprecise.

Following his pardon, Milton has not made extensive public statements about his case. The pardon allows him to move forward without the burden of imprisonment or the restitution obligation that would have required him to compensate defrauded shareholders.

Terminology

• Securities Fraud: Criminal deception in connection with the purchase or sale of securities.

• Wire Fraud: A federal crime involving the use of electronic communications to execute a scheme to defraud.

• SPAC: Special Purpose Acquisition Company, a shell company that raises money through an IPO to acquire another company.

• Restitution: Court-ordered payment to compensate victims for losses caused by criminal conduct.

See also

• Elizabeth Holmes
• Sam Bankman-Fried

Frequently Asked Questions

Q: What was Trevor Milton convicted of?

Trevor Milton, founder of electric truck company Nikola, was convicted of three counts of fraud for making false statements to investors about the company's technology.

Q: How long is Trevor Milton's sentence?

Milton was sentenced to 4 years in federal prison for securities fraud.

Q: What did Trevor Milton lie about?

Milton made numerous false claims about Nikola's truck technology, including that a prototype truck was fully functional when it was actually rolled downhill for a promotional video.

Q: What is Nikola?

Nikola is an electric and hydrogen fuel cell truck company that went public in 2020. After Milton's fraud was exposed, the company's value dropped dramatically.

Q: Where is Trevor Milton serving his sentence?

Milton is serving his 4-year federal sentence at a Bureau of Prisons facility.