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Woes continue for Neta, with automaker now set to enter bankruptcy reorganisation in China – report
- Neta, the electric vehicle maker, is reportedly set to begin bankruptcy reorganisation proceedings in China.
- A video circulating online showed employees confronting Neta chairman about overdue wages.
- An employee in the video confirmed the company's plan to enter bankruptcy reorganisation.
- Neta has faced cash flow disruptions, executive departures, and pressure from suppliers.
- Since 2024, Neta has been involved in court actions due to capital chain issues and debt defaults.
- Employees claim they are owed wages since a large layoff in November 2024.
- Former employees have been unable to collect owed wages due to insufficient company assets.
- Court orders froze a minimal amount in Neta Auto's bank accounts in March 2025.
- A supplier filed bankruptcy review against Neta for unpaid advertising services.
- Neta denied initiating bankruptcy and stated it was a supplier's unilateral application.
- Neta Auto Malaysia announced operational restructuring and shift to direct-to-consumer sales.
- The situation highlights ongoing challenges faced by Neta in recent years.
- Neta's troubles have led to legal battles, financial issues, and operational changes.
- Despite legal victories, former employees struggle to recover owed wages.
- The company's financial instability has led to creditor actions and employee dissatisfaction.
- Eligible for Web Story: false
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