No category-specific facts could be extracted from this document.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.It is reported that delays in developing management and quality assurance frameworks commensurate with the Company's rapid expansion, pressure to meet short-term performance targets and reduce costs, insufficient identification and monitoring of quality risks, and the lack of an independent checking function and necessary resources within the quality assurance division combined to create and entrench an “unhealthy state” in the organization that allowed improper conduct to occur.