Faraday Future, an electric vehicle (EV) startup facing significant challenges, disclosed in its recent regulatory filing that it made payments totalling around AUD 11.5 million (approximately USD 7.5 million) to a firm controlled by its founder, Jia Yueting, in 2025. This financial commitment came during a difficult year for the company, which managed to deliver only four vehicles while incurring losses nearing AUD 600 million.
The payments included a mix of consulting fees, a bonus, and loan repayments to FF Global Partners LLC, which Jia is associated with. Notably, these transactions occurred while the Securities and Exchange Commission (SEC) was investigating Faraday Future for potential “related party transactions” involving Jia, along with concerns about how much control he exerted over the company when it went public in 2021. Although the SEC had signalled an intent to pursue enforcement actions based on earlier findings, it ultimately dropped its investigation in March, despite prior warnings indicating otherwise. This came amidst a broader decline in enforcement actions during the Trump administration’s second term.
Faraday Future’s proxy filing revealed details of ongoing financial transactions, identifying FF Global as an “affiliate” of Jia, who has significant sway over the LLC. The firm’s governance includes five voting managers, one of whom is Jia, alongside business associates and his nephew, Jerry Wang. Wang, who serves as president of Faraday Future, along with his wife—who leads FF Global’s legal department—receives substantial salaries from the entity.
Continually entangled in controversies, FF Global is described as a major shareholder of Faraday Future, with Jia appearing to control key aspects of both companies – a relationship that Faraday itself acknowledges as a potential risk to its operations and strategic direction. Concerns have been raised about whether Jia’s influence aligns with Faraday’s best interests, given his previous financial troubles in China.
Following Faraday Future’s public listing in 2021, concerns arose regarding Jia’s financial practices, prompting investigations into his financial conduct. In early 2022, the company’s board of directors attempted to distance itself from Jia but faced significant backlash, including death threats, leading to resignations of board members. Ultimately, Jia was reinstated as co-CEO and is now the company’s sole CEO.
In addition to the recent payments made to Jia’s firm, Faraday Future also disclosed a debt owed to Leshi Information Technology Co. Ltd., a company linked to Jia’s previous tech ventures, amounting to AUD 13 million for advertising services.
As Faraday Future shifts its focus towards cheaper electric vans and robotics sourced from China, it navigates a turbulent landscape where governance and financial oversight remain central to its future viability. The implications of their business practices are significant, not just for the company itself, but for its investors and the wider EV market.
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