Faraday Future says review found inaccurate statements made to investors

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Faraday Future says review found inaccurate statements made to investors
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Electric vehicle firm Faraday Future Intelligent Electric Inc said on Tuesday its review had identified certain inaccurate statements made by its employees to investors and announced changes in its leadership structure.

Faraday Future's luxury electric car FF91 is seen at the company's headquarters in Gardena, California, U.S. November 21, 2019. REUTERS/Lucy Nicholsonsaid on Tuesday its review had identified certain inaccurate statements made by its employees to investors and announced changes in its leadership structure.

Faraday said it had appointed Susan Swenson, currently an independent member of its board, to the newly created position of executive chairperson of the company. The company said its chief executive officer Carsten Breitfield and founder Jia Yueting would both be handed a 25% cut each in their annual base salary. Both Breitfield and Yueting would report to the newly appointed executive chairperson, according to Faraday.Faraday in November had delayed the filing of its quarterly report and said it had formed a special committee to review allegations of inaccurate disclosures, including claims made by short-seller J Capital.

On Tuesday, Faraday said statements made by some of its employees to certain investors describing founder Jia Yueting's role within the company were inaccurate, and his involvement in the company's management post its merger with blank-check firm Property Solutions Acquisition Corp "was more significant than what had been represented."

However, the company maintained allegations made in the short-seller report were not supported by the evidence reviewed.

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