HyreCar Inc., a publicly traded car-sharing platform, has filed for bankruptcy, partly blaming mounting legal fees from numerous lawsuits and investigations, including Justice Department and Securities and Exchange Commission probes into insider stock trading, WSJ Pro Bankruptcy reported. HyreCar stock closed down 83% to 2 cents a share Monday. Its shares peaked at roughly $24 in June 2021. The Los Angeles-based company, which earlier this month warned that it might file for bankruptcy, has total assets of $16.5 million and total debts, all unsecured, of $18.4 million. The money is owed to trade creditors, its landlord and others. Last week it provided written notice to its landlord that it was ending its lease since all of its 59 employees have been working remotely. Holmes Motors Inc., which is affiliated with an equity owner who recently took a stake in the business, is offering to provide up to $5 million in bankruptcy financing, including $3.1 million on an interim basis. It will also serve as lead bidder in a sale process with a starting offer of roughly $7.8 million.
