The German fintech said it had mischaracterized its largest profit source and withdrew its most recent financial results. The firm said Monday it had dismissed its former COO; its CEO resigned Friday. (Financial Times, The Wall Street Journal)

Talking point: Wirecard is fighting for its survival. Munich police have launched a criminal investigation, and the president of German financial watchdog BaFin called the incident a “complete disaster” and “a shame” for the country. The €1.9-billion loss is equivalent to all the net income the company reported over more than a decade, and could become one of the largest corporate scandals in recent European history. In 2014, Portuguese lender Banco Espírito Santo fell apart amid allegations of fraud, necessitating a €4-billion government bailout. Wirecard said it’s looking to cut costs and sell parts of its business after missing a June 19 deadline for publishing its audited annual report. It’s unclear if it can survive, though. On Monday, one analyst revised his price target for the company from €39 to zero.