Nasdaq informs Luckin Coffee it must delist after fraud bombshell

An internal investigation showed its chief operating officer and other employees fabricated sales deals

Nasdaq Inc has delivered a notice to China’s Luckin Coffee Inc informing it that it has to delist from the U.S. stock exchange, people familiar with the matter said on Tuesday.

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LUCKIN COFFEE FIRES CEO, COO AFTER FRAUD INVESTIGATION

Luckin Coffee, which had a U.S. IPO in early 2019, announced last month that an internal investigation had shown its chief operating officer and other employees fabricated sales deals.

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The sources requested anonymity ahead of an official announcement. Luckin Coffee and Nasdaq did not immediately respond to requests for comment.