The company said it had raised $100 million to start the production of its FF 91 electric luxury car, adding that Brian Krolicki will also step down Faraday Future's board.
The company, whose shares rose 30% in trading before the bell, said Adam He has been appointed as a new independent board member.
Earlier this month, shareholder FF Top Holding sued Faraday Future seeking the removal of two board members, according to a court filing.
Several company employees had called on the board and shareholders to remove Swenson alleging that the executive chairperson had organized attempts to "push the company into bankruptcy and restructuring".
Los Angeles-based Faraday Future has been battling high costs and supply-chain disruptions that have delayed the production of its FF 91 to the fourth quarter of 2022.
(Reporting by Tiyashi Datta in Bengaluru; Editing by Shounak Dasgupta)