Nikola Exec
Prows Says Trevor Milton Was Lying about
Hydrogen but He Only Told Russell
By Matthew
Russell Lee, Patreon Maxwell
book
BBC -
Honduras
- CIA
Trial book - NY
Mag
SDNY COURTHOUSE,
Sept 16 – In the US v. Trevor
Milton trial on September 16,
an ex-Nikola designer was
cross examined, and a
higher-up executive who
remains with the company, Dale
Prows, was questioned by
prosecutors. Inner City Press
was there. Thread:
Cross examination
of Babiarz, by Milton's lawyer
Torrey Young.
Young: You're not
an engineer, right? Babiarz:
I'm not. Young: And your
designing is not just of
vehicles - you designed a dog
bed, didn't you? Babiarz: Yes.
Young: And a yogurt container,
right? Yes.
Young: This
tweet, it was to Elon Musk ,
right?
Babiarz: Yes.
Young: Another EV
executive active on social
media, right? Babiarz: I could
say so. Young: It was about
the CyberTruck, right?
Babiarz: Yes. Young: You
thought it was entertainment,
yes? Babiarz: At first
Young: You never
worked at Tesla? Babiarz: I
did not. Young: Are you aware
that the Tesla Roadster was
built on the Lotus chassis?
Babiartz: Yes. Young: But you
say the Tesla vehicles are
ground up. Babiartz: Yes.
Young: You
were given a Nikola stock
package, right? Babiarz: Yes,
by Trevor himself. AUSA Roos:
Objection, your Honor. May we
have a sidebar? [Whispered
sidebar ensues]
Young: Is this
the Nikola YouTube marketing
that you appeared in? Babiarz:
Yes. AUSA Roos: Is there a
proffer of relevance as to
this marketing video? [Another
sidebar]
Video is
played, without much impact.
Now re-direct: AUSA Roos: You
were asked questions about
your other work, including
patents? Babiarz: Yes, for the
grill, the lights and the
tailgate. No further
questions.
OK - next US
witness is Dale Prows of
Nikola.
AUSA Jordan
Estes: What's your educational
background? Prows: I have a
finance degree from BYU. I was
head of the hydrogen supply
chain, then hydrogen
infrastructure development.
I'm now the head of Strategic
Projects
AUSA: When Nikola
went public, did it have any
contracts with utilities?
Prows: No. [Reference is to
Milton's claims on Tesla
Charts podcast and elsewhere]
US plays
video of Mark Russell and
Prows pretending that a Nikola
vehicle was quickly fueled
with hydrogen at Phoenix
headquarters. AUSA: Was it
really fueled up there? Prows:
No. That would have taken an
hour. [So, weren't Russell and
Prows part of the fraud?]
With jury
out on a 2d break, Judge Ramos
says, "Mr. Prows, may I ask
you a question, off the
record? What happens with the
oxygen in the process?" Thread
will continue.
They're back.
Prows: 65% of the cost of
producing hydrogen is
electricity... We had acquired
a one ton per day
electrolyzer, it was stored in
a warehouse in Phoenix. AUSA:
By Sept 2020 had it ever been
used? Prows: No.
AUSA Estes:
Do you recognize this email,
to Trevor Milton and Mark
Russell? Prows: Let me look at
it. Milton's lawyer (Bondi)
Your Honor, may we approach?
Judge Ramos: Sure.
AUSA:
Please publish the email.
Prows: It's from me to Trevor
Milton. It says the capital
expenditure would be $160
million. AUSA Estes: So very
expensive. Judge: Rephrase
Bondi: Objection - leading.
AUSA: How did you view the
cost? Prows: Very expensive.
After jury break,
AUSA continues with Milton on
another podcast. AUSA Estes:
Mr. Prows, were you ever
involved in providing Mr.
Milton with talking points
about hydrogen? Prows: Never.
Now: Transport Topics Roadshow
Podcast, March 20, 2022
AUSA Estes:
Mr. Prows, whom did you write
to here? Prows: Joe Joshi, he
worked for me at Nikola. This
was about hydrogen. AUSA
Estes: Let's play Mr. Milton
on this Yahoo! Finance
podcast. Milton: We get
hydrogen at $4 per kilo.
[Contract was for 4 times
that]
AUSA: Mr. Prows,
so what Mr. Milton said was
false? Bondi: Objection!
Prows: Yes. AUSA: Do you think
it was a statement about the
future? Prows: No. He used the
word "now."
AUSA: Mr. Prows,
were you on Twitter? Prows:
No. AUSA: But have you seen
some of his tweets? Prows:
Yes. AUSA: Here he said,
hydrogen at $3, it's game over
for diesel. Did you see
this one? Prows: Yes. And it
wasn't true.
AUSA: Now,
the Tesla Daily podcast.
Bondi: No objection. On
podcast: "When I produce
hydrogen I'm paying four
cents." AUSA: Was that true?
Prows: No.
[This is an
Inner City Press question, not
one asked in the US v. Milton
trial - yet: What are the
duties of corporate executives
if and when they hear their
chairman publicly lying?
"Discuss."]
Inner City Press
@innercitypress · 1h Milton
(on podcast) Hydrogen stations
were $40 million, we got 'em
down to $15 million. AUSA: Mr.
Prows, was that false? Prows:
Totally false.
Milton (on
podcast) We're gobbling up all
the best land so that no one
can compete with us. AUSA: Mr.
Prows, at that time, was
Nikola buying any land at all?
Prows: No.
Now email with
Prows, about Milton on Tesla
Charts pod, "especially the
infrastructure section."
Prows: It was full of
falsehoods. I got this email
from Andy, and talked to
Pablo. I was concerned.
AUSA: Did you
raise it with Mr. Milton?
Prows: No. To Mr. Russell.
AUSA: No further
questions.
Judge Ramos:
We'll let you go 7 minutes
early. Don't read about the
case.
Afterward Inner
City Press for the second time
in the week asked Milton a
question on Pearl Street. This
time, he answered. Video here.
***
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