Guo Jinyi, Luckin Coffee's senior vice president and co-founder, was appointed acting CEO of the company on May 13 after reports of fabricated transactions in April led to the exit of the former CEO and chief operating officer (COO).

Liu Jian, the former COO and a director of the company, and several employees reporting to him, had engaged in misconduct, including fabricating transactions, according to the company's statement.

The fabricated sales transactions from April to December 2019 amounted to around 2.2 billion yuan ($310 million), according to Luckin's preliminary internal investigation. Subsequently, Liu and CEO Qian Zhiya resigned.

Guo was senior vice president in charge of the product and supply chain since October 2017, and a director since 2018.

Luckin Coffee, founded in 2017, is headquartered in Xiamen, Fujian Province in southeast China. It has built an online-offline model combining its mobile platform and store networks.