Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the District of Arizona on behalf of shareholders of Nikola Corporation who purchased shares between March 3, 2020 and October 6, 2020.
Nikola and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On September 10, 2020, Hindenburg Research published a report alleging that evidence showed the Company was “an intricate fraud built on dozens of lies.” Subsequently, it was reported that the Company was the subject of probes by both the U.S. Securities and Exchange Commission and the Justice Department. Then, on September 21, 2020, the Company announced the sudden resignation of Founder and Executive Chairman, Trevor Milton.
On this news, the price of Nikola’s shares plummeted.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until November 16, 2020 to request that the court appoint them lead plaintiff.