Ex-Lordstown Motors CEO settles with SEC over statements (updated)

Nu Ride

22/03/2024 20:05

(Recasts with settlement)
    By Jody Godoy
       March 22 (Reuters) - Ex-Lordstown Motors Corp  RIDEQ.PK 
CEO Stephen Burns settled with the U.S. Securities and Exchange
Commission on Friday over his statements about demand for the
electric vehicle maker's flagship truck, the Endurance.
    The SEC said in the lawsuit filed in federal court in
Washington, D.C. that Burns misrepresented preorders Lordstown
had received for its full-size electric pickup truck around the
time it went public in the fall of 2020.
     Burns agreed to pay a $175,000 penalty and be barred from
serving as an officer or director of a public company for two
years.
    Burns founded Lordstown in 2019, and the company went public
through a merger with a blank-check company the following year.
    Lordstown filed for bankruptcy in 2023. The vehicle maker
settled with the SEC in February over claims it had misled
investors about the Endurance.

 (Reporting by Jody Godoy in New York; Editing by Leslie Adler
and Nia Williams)
 ((Jody.Godoy@thomsonreuters.com;))