Luckin Coffee Inc (LKNCY)

[SnootyOoty]

This was a little egregious. It went from a routine sales inflation to fraud by the chairman and the CEO. It just makes LK's task a little harder. I've said this a while back. If the board acts quickly and cans the C-suite irrespective of who was involved, it would show LK is serious about getting back on track. That didnt happen. Instead, The Interim CEO is a co-founder. WRONG person!!!! He was Previously assistant to the chairman at UCar.. The people involved in the fraud were ALL UCar people. Nasdaq has to follow the law in delisting a company. If LK satisfies all requirements then Nasdaq cannot delisit arbitrarily. They will face a lawsuit of their own that can be expensive. It takes away LK's ability to raise money, issue bonds etc. That can run in the billions in damages. As for LK it has a viable business and with a few tweaks it can be a very profitable business.