Print this page
Friday, 19 March 2021 05:46

Suit Claims Lordstown Motors Corp. Misled Investors Featured

Written by
Lordstown Motors Corp. Lordstown Motors Corp.

A federal lawsuit filed Thursday claims Lordstown Motors Corp., the company making all-electric trucks out of the former GM plant in Lordstown, defrauded investors.

The suit was filed by shareholder Chris Rico who alleges the company made false claims to investors about the number of electric trucks that had already been pre-ordered and the progress it was making on production of those trucks.

The lawsuit, filed in Youngstown Federal Court this week, is seeking class-action certification. 

Meanwhile, Lordstown Motors CEO Steve Burns noted during a call with investors this week that there is a Securities and Exchange Commission investigation into the company.

That investigation, according to News 5's report, is largely based on the Hindenburg Research report that said Lordstown Motors has “no revenue and no sellable product” and has “misled investors on both its demand and production capabilities.”

Read 1045 times Last modified on Friday, 19 March 2021 10:02