United States

Faraday Future’s bankrupt founder gets OK for reorganization plan

The billionaire founder of electric-car startup Faraday Future — who boldly challenged Tesla with a far-out car design in 2015, only to file for personal bankruptcy last fall — said Friday his Chapter 11 restructuring plan has won court approval. The nod from a federal bankruptcy judge is a win for Faraday Future’s ex-chief executive YT Jia, whose personal debts range anywhere from $3.5 billion to nearly $8 billion according to his financial disclosures, and remove a significant hurdle for Faraday’s equity financing efforts, the company said in a statement. “YT’s creditors are now one step closer to obtaining the valuable recovery upon their claims and the plan has positioned YT’s creditors to enjoy the future success o ...