Faraday Future to Hold Creditors Meeting to Discuss Jia Yueting’s Bankruptcy Proposal

Chinese business tycoon and former Faraday Future CEO (Source: teslarati.com)

On November 25, Faraday Future headquarters will hold a creditors meeting to discuss the bankruptcy reorganization proposal put forth by the former CEO of the company, Jia Yueting. The founder of the company will also introduce Faraday’s current financing and IPO plans and issue an invitation for the test drive of their flagship release, the FF91.

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Jia Yueting applied for personal bankruptcy restructuring in the United States in October following a period of financial difficulty. If accepted, the bankruptcy procedure will see a debt repayment trust established and all Jia’s assets transferred to his creditors, including the equity of Smart King, the parent company of Faraday. According to the US Bankruptcy Law, the adoption of the program requires more than half of the creditors’ consent.

The public documents of the US Bankruptcy Court showed that the voting deadline originally scheduled for November 8 in the United States was temporarily pushed back as the committee and some creditors disagreed with the existing restructuring plan. The new voting deadline will be determined by the court at the hearing held in December after Jia makes the necessary changes to his proposal.