According to Faraday Future, high-profile Chinese tycoon, Faraday Future (FF) founder and CPUO Jia Yueting had finally completed personal bankruptcy restructuring on May 21, Los Angeles local time, at a hearing in the District Court for the Central District of California (C.D. Cal.). This means that Jia’s personal bankruptcy reorganization has officially entered the effective process, which is expected to start in early June.
Since Jia applied for personal bankruptcy reorganization in the US Bankruptcy Court in Delaware in October 2019, he has experienced many twists and turns, such as the change of the jurisdiction court, the opposition of some creditors, the deep due adjustment of creditors and the adjustment of the core clauses of the plan. Judge Vincent Zurzolo of the U.S. Bankruptcy Court confirmed and approved the bankruptcy plan on a legal level, after the plan won more than 80% of the votes among creditors three weeks ago.
Jia’s debt disposal team expressed gratitude to C.D. Cal. and all the creditors. “Mr Jia Yueting will continue to work closely with debt trust, the trustee council and creditors, to continue making FF bigger and stronger. The team will live up to our commitment.”
After the personal bankruptcy restructuring plan formally went into effect in early June, Jia Yueting will transfer all the FF equity he owns to the creditor trust, while ceding the company management role to FF’s Global CEO Bi Fukang. Jia will continue to be FF’s CPUO and global partner.