ZTO Express is sued by Birmingham Retirement and Relief System alleging that the company has stated an exaggerated profit in its accounts.
It further alleged that ZTO has skipped a few specific of its low-margin businesses from its financial statements in order to raise overall profit margins to attract investors to its IPO in 2016.
In 2016 when the company listed itself on the US stock market it was the largest listing of that year with a worth of $1.4 billion . The company has e-commerce giants like Alibaba and JD.comas in its customer list.
The company however has denied the allegation saying those allegations have no merits. The company informed that they have hire a help from US. Lawyers.
Despite the ongoing lawsuit, the company handled over 100 million orders on Singles Day inn 2017, making it among the highest volume handled by a courier in the country.
Singles Day for singles, and is been celebrated as one of the largest shopping events in the world just like Black Friday and Cyber Monday