Luckin Offices Raided by Chinese Regulators as Scandal Widens
- At least three Chinese agencies investigating startup
- Company execs admitted to fabricating $310 million in sales
A sign for Luckin Coffee Inc. is displayed at one of the company's outlets in Shanghai.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
Chinese investigators raided the offices of Luckin Coffee Inc. as part of a multi-agency investigation into its finances, according to a person familiar with the matter, as pressure grows on the formerly high-flying coffee chain at the center of an accounting scandal.
The raid was carried out jointly by officials from different government agencies on Sunday as part of an investigation led by the China Securities Regulatory Commission into the beleaguered startup, said the person who was not authorized to speak publicly.