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Before filing for bankruptcy, Jia Yueting bought a 3300-square-foot California $3 million (21.14 million yuan) mansion in August on the Palos Vedes Peninsula in Los Angeles, just one step away from his coastal mansion, US media The Verge reported on Oct. 30.

The media also reported that Jia Yueting Line holds an Lmur1 visa, which is based on the condition that his company is operating well. So if FF goes bankrupt, or his job at FF is lost, Jia Yueting may be forced to return to China.

Jia Yueting still has a veto over some FF decisions and will continue to serve as FF's chief product officer and user officer, with a current monthly salary of $50, 000 (about 350000 yuan), the report said.

Some lawyers said Jia Yueting's plan in the bankruptcy filing was a way to get himself out of debt and a strategy to comfort investors because it did not mention who would run the company in the future. Lawyers are skeptical about Jia Yueting relaxing control of FF and stepping down.

In response to the report that Jia Yueting bought 20 million luxury homes before filing for bankruptcy, the head of FF public relations responded that the reports of the US media The Verge were pure rumors. Jia Yueting has currently filed for personal bankruptcy reorganization, and any consumption and asset transfer will be traced back to two years ago. if concealing or misreporting is a fraud, it will directly lead to the failure of Jia Yueting's personal bankruptcy reorganization application.

On October 14, Jia Yueting's debt handling team said that as part of the personal bankruptcy reorganization plan, a committee composed of creditors and a creditor trust controlled and managed by the trust trustee would also be established at the same time. All Jia Yueting's assets and related income determined by the US court will also be transferred to creditors in this way. After the completion of the plan, Jia Yueting will no longer hold any future stake in Faraday.

FF website also issued a timely announcement that in order to thoroughly solve the personal domestic debt problem, Mr. Jia Yueting, founder and CPUO of FF, has applied for personal bankruptcy reorganization in the United States and set up a creditor trust controlled and managed by the creditor committee and the trust trustee. Upon completion of the plan, Mr. Jia Yueting will transfer all his equity in Smart King Limited (Faraday Future Global Holdings) to the creditor trust fund to better protect the interests of creditors and repay the remaining debt.

In addition, Jia Yueting's debt processing team also said that more than 90 percent of Jia Yueting's debts are guaranteed for the company. So far, Mr. Jia Yueting has repaid more than 3 billion US dollars for the company, and the total outstanding debt is about 3.6 billion US dollars. Minus the frozen domestic assets and convertible secured debt, the net debt is about 2 billion US dollars.

However, Leeco replied in a clarification announcement that all the data released in the above statement were the unilateral statistics of Jia Yueting's debt processing team, and Leeco did not receive any cash for the debt solution.

Leeco said that since August 2018, the company has held many negotiations with major shareholders and their related parties, and since the landing and implementation of the solution depends on the will and actual implementation of major shareholders, there has been no progress in debt processing between Leeco and major shareholders and their related parties. So far, the major shareholders and their related parties have not come up with a complete and enforceable debt settlement plan, and Leeco has not received any cash as a result of the debt solution.

It is understood that Jia Yueting's personal bankruptcy reorganization needs to be agreed by 90% of creditors and approved by the court before it can take effect. The deadline for pre-packing plan voting for creditors is November 8, which is only the last week before the deadline. Whether the creditors will agree to its bankruptcy reorganization, and whether Jia Yueting can realize his dream of building a car, we will wait and see.

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