The Securities and Alternate Fee has charged bankrupt Lordstown Motors with deceptive buyers concerning the gross sales prospects of its Endurance electrical pickup truck.
Lordstown has agreed to pay $25.5 million in consequence — cash that the SEC says will go in the direction of settling plenty of pending class motion lawsuits towards the corporate.
“We allege that, in a highly competitive race to deliver the first mass-produced electric pickup truck to the U.S. market, Lordstown oversold true demand for the Endurance,” Mark Cave, Affiliate Director of the SEC’s Division of Enforcement mentioned in a press release. “Exaggerations that misrepresent a public company’s competitive advantages distort the capital markets and foil investors’ ability to make informed decisions about where to put their money.”
The SEC says its investigation into Lordstown Motors is ongoing.
This story is growing…
