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Elio Motors received millions of customer deposits and did not deliver the car

A tandem two-seater that promised 84 miles per gallon when Bev Hargraves first saw the prototype of the Elio Motors three-wheeled vehicle in 2013. – – He saw it as the perfect way to save money on fuel while driving to play in amateur golf tournaments.

Hargraves, an insurance salesman in Little Rock, Arkansas, has deposited a $ 1,000 deposit with Elio, which was advertised for less than $ 7,000.

Eight years later, he hasn’t got his car yet – and he hasn’t regained his money either.

Hargraves, 70, says he has to say, “Is it a scam in the first place?” Rather than just struggling to produce the company.

After securing more than 65,000 bookings totaling tens of millions of dollars, Elio Motors was silent in 2018 and virtually said nothing for three years until USA TODAY began investigating the company this summer.

Despite promising to start production of the vehicle in 2014, the company repeatedly failed to land at its former General Motors plant in Shreveport, Louisiana. I have never sold a single vehicle.

Paul Elio poses on Erio, a tricycle to be built in Shreveport.
Photo courtesy of Erio Motors

In early September 2021, the Phoenix-based company broke silence by announcing that it would pivot to a $ 15,000 electric vehicle. Production is scheduled to begin in 2022, he said. However, no viable path has been identified to raise hundreds of millions of dollars, which it says is needed to get there.

At the same time, the company warned in a filing with the Securities and Exchange Commission that there was “significant doubt” about its floating capabilities.

Please cooperate with the investigation of Erio Motors

Did you make a deposit on your Elio vehicle or did you invest in a company? We want to hear from you.

However, Paul Elio, founder and CEO of Elio Motors, said in an interview with USA TODAY that he still believes the company can succeed. He said Elio Motors was “prepaid and bold” from the beginning and the deposit received from the customer was non-refundable.

“I think the majority of people are still rooting for us. I think the majority of people understand that this is not a scam,” he said on September 14. In a major media interview for the first time in a few years. “It’s hard what we’re trying to do. It’s really hard. And we may or may not do it. We didn’t do it until we did it. But what makes me angry is when people call it a scam as we are not honor, because there is no evidence of it. “

Here’s what I learned during the survey:

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Elio Motors received millions of customer deposits and did not deliver the car

Source link Elio Motors received millions of customer deposits and did not deliver the car

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