Hyzon Motors, a global supplier of hydrogen fuel cell-powered heavy vehicles, was assessed a $25 million penalty by the Securities and Exchange Commission (SEC) in agreeing to settle charges it and its former executives misled investors regarding the sales of its vehicles.

Hyzon’s sales and customer relations were the subject of a short-seller report in 2021, which prompted the SEC to investigate the allegations. The agency found the company “misrepresented the status of its business dealings with potential customers and suppliers to create the false appearance that significant sales transactions were imminent,” it said in a press release Tuesday.

Craig Knight, Hyzon’s former chief executive officer, and Max Holthausen, former managing director of Hyzon’s European subsidiary, each agreed to pay fines in settling over their alleged roles in the scheme. Knight and Mark Gordon, the company’s former chief financial officer, each agreed to return compensation. Gordon was not charged by the SEC.