EV maker Faraday Future receives SEC subpoena for alleged inaccurate disclosures

Asian Tech Press (Apr. 1) -- EV maker Faraday Future said Thursday that some members of the company's management team has received the SEC's subpoena as part of a probe into alleged inaccurate disclosures.

California-based Faraday Future Intelligent Electric Inc (FFIE: NASDAQ GM) announced that the U.S. Securities and Exchange Commission issued a notice of preservation and subpoena to the company, some members of the management team and employees, following the filing of the Form 8-K on February 1.

The company said it is fully cooperating with the formal investigation that the SEC has begun into alleged inaccurate disclosures misleading investors.

Faraday Future's internal investigation revealed that some employees made misrepresentations to investors, and identify certain weaknesses in its corporate controls and culture.

The startup said it would not meet the deadline set by the SEC to file its 2021 annual report due to delays related to internal investigation and remedial actions.

The U.S. SEC has launched several investigations into electric vehicle startups that have gone public through mergers with SPACs, with Lucid Group Inc. and Lordstown Motors Corp. being two of the most high-profile companies.

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