June 22 Reuters Lordstown Motors founder and former CEO Stephen Burns has sold his entire stake in the electricvehicle maker, according to a regulatory filing.

The company in May implemented a reverse stock split to comply with Nasdaq39;s minimum 1 listing requirement and appease investor Foxconn that had threatened to scrap a 170 million funding in the cashstrapped company.

Burns has sold his stake in three transactions between May and June, about 581,000 shares were divested before the reverse stock split and 791,572 shares after, the filing on Wednesday showed.

The EV startup declined to comment on the stake sale.

Earlier this month, Lordstown Motors said it planned to take legal action against Taiwanese contract manufacturer Foxconn to ensure the planned purchase of nearly 10 of the company39;s shares was not derailed.

Burns in 2021 resigned from the role of CEO alongside then Chief Financial Officer Julio Rodriguez following an internal investigation by the company board into claims made by shortseller Hindenburg.

Lordstown has acknowledged that it had overstated preorders for its electric trucks but rejected Hindenburg39;s claims that the company had misled investors about production plans and exaggerated the potential of its technology.

Reporting by Tanya Jain in Bengaluru; Editing by Shinjini Ganguli

Source Reuters