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Electric Truck Startup Investigated Over Fake Orders

April 06, 2021 Eric Sorensen
IEN Radio
Electric Truck Startup Investigated Over Fake Orders
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IEN Radio
Electric Truck Startup Investigated Over Fake Orders
Apr 06, 2021
Eric Sorensen

After more than a half-century of making cars for General Motors, the automaker closed down the local assembly plant in 2019 — then announced it would sell the factory to a newly formed electric vehicle maker bearing the city’s name. Although Lordstown Motors Corp. would employ a fraction of GM’s former workforce, the company appeared poised to leap into the nascent market for electric pickups with its Endurance model — slated to begin production in the fall.

Earlier this year, in fact, Lordstown Motors said it had received orders for more than 100,000 pickups, primarily from fleet operators such as utilities and municipal governments.

But a new report suggests those orders are largely smoke and mirrors, and the company now faces an investor lawsuit and a federal investigation.

Show Notes

After more than a half-century of making cars for General Motors, the automaker closed down the local assembly plant in 2019 — then announced it would sell the factory to a newly formed electric vehicle maker bearing the city’s name. Although Lordstown Motors Corp. would employ a fraction of GM’s former workforce, the company appeared poised to leap into the nascent market for electric pickups with its Endurance model — slated to begin production in the fall.

Earlier this year, in fact, Lordstown Motors said it had received orders for more than 100,000 pickups, primarily from fleet operators such as utilities and municipal governments.

But a new report suggests those orders are largely smoke and mirrors, and the company now faces an investor lawsuit and a federal investigation.