The SEC is investigating Luckin, a rival to Starbucks in China, over an accounting scandal. That will test the SEC’s ability to obtain information from abroad.
WASHINGTON—The Securities and Exchange Commission is investigating Luckin Coffee Inc.’s disclosure that some of its employees cooked its books last year, according to people familiar with the matter.
Luckin announced April 2 that some employees, including its chief operating officer, fabricated 2.2 billion yuan in sales from the second quarter to the fourth quarter of last year. The company said a special committee of its board of directors would oversee an internal investigation by law firm Kirkland & Ellis...
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