The SEC drops its four-year-old investigation into EV startup Faraday Future

The SEC has closed its nearly four-year investigation into EV startup Faraday Future, despite staff recommending enforcement action via Wells Notices last year. The probe focused on alleged false statements during Faraday Future's 2021 SPAC merger and suspected fake vehicle sales in 2023. The closure aligns with a historic decline in SEC enforcement actions, with only four cases initiated against public companies in fiscal year 2025.