After more than 5,100 kits had been delivered to prospective builders, the kits stopped shipping as well. Although the company was effectively bankrupt at this point, work on the BD-5D continued for some time. The bankruptcy became official in 1979, by which point the BD-5 project was long dead. During the bankruptcy proceedings, it was learned that the money ostensibly being used to build kits was instead being spent on a variety of other projects. As a result, Bede entered a consent decree with the FTC to no longer accept deposits on aircraft for a period of 10 years.