In a surprise move, President Trump has pardoned Trevor Milton, the founder of bankrupt hydrogen trucking startup Nikola, who was convicted of fraud and sentenced to four years in prison. The White House confirmed the pardon to TechCrunch, sparking outrage and raising questions about the integrity of the justice system.

Milton was convicted in October 2022 of one count of securities fraud and two counts of wire fraud related to claims he made about Nikola's progress to investors. He was sentenced to four years in prison in December 2023 and was out on a $100 million bond while he appealed the sentence. The pardon comes just a few weeks after Nikola filed for Chapter 11 bankruptcy, with the company working to sell its business and hoping to close a deal by mid-April.

In a statement, Milton expressed his gratitude for the pardon, saying, "It is no wonder why trust and confidence in the Justice Department has eroded to nothing. I wish judges would stop believing whatever the prosecutors feed them so Americans could trust the justice system again." Milton's conviction was the result of a jury trial, where he was represented by Brad Bondi, a partner at law firm Paul Hastings and the brother of current U.S. Attorney General Pam Bondi.

As a free man, Milton plans to release a documentary that he believes will tell his side of the Nikola story. Milton founded Nikola in 2014, but the company didn't gain widespread attention until 2020, when it became one of the first electric vehicle companies to go public by merging with a special purpose acquisition company (SPAC). The company's stock soared, especially after General Motors announced a $2 billion stake in September 2020.

However, Nikola's fortunes quickly changed when short-selling research firm Hindenburg Research published a report containing allegations of fraud perpetrated by Milton. The Securities and Exchange Commission opened an investigation, and GM walked away from the deal. Milton ultimately resigned, although during his sentencing hearing in 2023, he claimed he stepped down to help his ailing wife.

Prosecutors from the Southern District of New York charged Milton in July 2021, claiming that he had made "false and misleading statements regarding Nikola's product and technology development" on social media and in TV, print, and podcast interviews. They alleged that Milton made these claims to "induce retail investors to purchase Nikola stock."

After his conviction, a judge ordered Milton to pay his former company nearly $168 million following an arbitration case between the two sides. That money was supposed to factor into Nikola's bankruptcy case, with the company planning to use those proceeds to settle a class-action lawsuit against the company filed by shareholders.

The pardon has sparked outrage, with many questioning the integrity of the justice system and the motivations behind the pardon. The move is seen as a blow to investors who lost money due to Milton's fraudulent activities and raises concerns about the accountability of corporate executives.

The implications of the pardon are far-reaching, with many wondering what this means for the future of corporate accountability and the trust in the justice system. As the tech industry continues to grapple with issues of fraud and accountability, the pardon of Trevor Milton serves as a stark reminder of the need for greater transparency and oversight.