Fraud Alert: Thousands of Lordstown Motors Orders Were Fake

Fraud Alert: Thousands of Lordstown Motors Orders Were Fake

 

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An SEC investigation has confirmed what the Hindenburg Research report pointed out; the thousands of reservations announced by Lordstown Motors were not actual orders, but fraud. The two top managers of the company have resigned and the current leadership admits that they have no funds even to continue the project.

 

The outlook is increasingly black at the headquarters of Lordstown Motors, because in addition to being in an extremely delicate financial situation, even more so than initially confirmed, in recent days its two top managers have resigned, including the founder of the company himself.

So now Steve Burns, founder and CEO of Lordstown Motors, and Julio Rodríguez, who held the responsibilities of CTO (Chief Financial Officer), are no longer part of the leadership of the young electric vehicle project. Although this is only a minor problem in a rather long and worrying list for the new directors of the company, who also have already been caught lying about the company's results.

 

Fraud Alert - After a promising start that included the backing of General Motors, the acquisition of the Lordstown plant (precisely from GM), and a spectacular IPO, the problems of Lordstown Motors began with a devastating fraud report from the research and investment agency Hindenburg Research, which in summary affirmed that Burns' company was a veritable house of cards based on lies and exaggerations about the state of development of its technology and its only model presented to date, the Lordstown Endurance pick-up.

 

Fraud Alert New Reports

 

The company denied at all times the fraud accusations made in said report, including those related to the reservations received by its first model. Just 48 hours after Steve Burns' resignation, Rich Schmidt, the president of Lordstown Motors, reconfirmed that these reservations were actual orders. Fraud Alert: However, just a few hours ago it was leaked that an investigation by the US Securities and Exchange Commission (SEC) had been able to confirm that these requests or reservations were not real at all, but fraud. So the new visible head of the company has been released in office by lying publicly.

 

Lordstown accused of lying about its sales and the development of its model

 

This is in addition to recent statements by Steve Burns, who in his last weeks at the helm of the company revealed that they lacked funds to meet the promised objectives. Fraud Alert - Although shortly after these statements, he rectified, stating that the economic needs were so high that they did not even have the capital to continue the project so that his successors have a task ahead of them that seems impossible.

 

Well, without money, they are supposed to complete development and prepare for serial production of the Endurance in just over 3 months. So we can practically say that we are witnessing the collapse of the company directly, that unless it gets huge amounts of money it will soon collapse.