How an army of investigators and short-sellers got the world to wake up and smell the fraud.
Illustration by Nigel Buchanan
The secret operation got underway late last year. A small army of researchers were told to fan out across China, to cities big and small, to collect documents and videotape the activities of the prime target.
The organizers had a hunch that Luckin Coffee, China’s fast-growing challenger to Starbucks and a company traded in the U.S. stock market, was falsifying financial statements to exaggerate its sales. The organizer set out to prove it, deploying 1,510 investigators to count sales and r
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The Entity List has become one of America’s favorite weapons in its economic arsenal. The Trump administration just increased it by more than 20,000 companies, provoking ire from Beijing and putting it at the center of this month’s sudden and dramatic deterioration in Sino-U.S. relations.
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