Then, on Apr. 2, 2020, before the market opened, Luckin disclosed that "beginning in the second quarter of 2019, Jian Liu, the COO and a Director of the Company, and several employees reporting to him, had engaged in certain misconduct, including fabricating certain transactions." The Company further revealed that "the aggregate sales amount associated with the fabricated transactions from the second quarter of 2019 to the fourth quarter of 2019 amount to around RMB2.2 billion ." As a result, the COO was suspended, and Luckin stated that previously issued financial statements should no longer be relied upon.