BEIJING, China — Luckin Coffee Inc. (in Provisional Liquidation) announced on April 15, 2021, the appointment of Centurion ZD CPA & Co. (“CZD”), an independent accounting firm registered with the Public Company Accounting Oversight Board, as the Company’s auditor, effective April 15, 2021. The appointment has been approved by the Company’s Audit Committee and Board of Directors (the “Board”).
CZD succeeds Marcum Bernstein & Pinchuk LLP (“MarcumBP”), the Company’s previous independent auditor. The Company and MarcumBP have no disagreements on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure.
While Luckin Coffee Inc. has given full access of information to MarcumBP, to date, MarcumBP believes that it has not gathered sufficient independent third party data or conducted sufficient audit procedures to complete the audit in light of certain areas identified in the Company’s information technology general controls during the year ended December 31, 2019.
To address the historical control issues, the Company has implemented remediation enhancements to its controls environment and will continue that process.
While CZD will perform their own audit procedures, MarcumBP has been authorized by the Company’s Audit Committee and the Board to respond fully to inquiries from CZD and the Company is working closely with CZD to design additional audit procedures and gather additional third party information to complete the audit for the year ended December 31, 2019.
The Company intends to work expeditiously with CZD to file its annual reports for the periods ended December 31, 2019 and December 31, 2020 as soon as possible.
