In brief: JD stock tanks 11 percent after US police says CEO was accused of rape

Via CNBC:

Shares of Chinese e-retailer JD.com plunged 11 percent on Wednesday, dropping for a second straight day, after CEO Richard Liu was arrested last week in Minneapolis after rape allegations.

Shares of Alibaba’s largest rival further sank after more details emerged about the CEO’s arrest in the US. According to Minneapolis police, Liu was taken into custody Friday night following an allegation of rape. He was then released on Saturday without being charged, but an investigation is ongoing.

Liu has denied any wrongdoing. His lawyer said on Tuesday that he did not expect to see a charge against the CEO.

JD shares have dropped more than 16 percent in the past two days. Liu controls nearly 80 percent of JD’s voting rights.