JD.com (NASDAQ:JD) CEO and founder Richard Liu was arrested on Friday due to rape allegations against him.

The initial reports concerning the arrest of the JD.com CEO only made mention of sexual misconduct. However, now they note that the reason for his arrest was suspicion of rape. However, Liu currently faces no charges and was released on Saturday without having to pay bail.

The finer details of the case against the JD.com CEO are still unknown. What we do know is that the Minneapolis Police Department is still investigating the matter. JD has only said that the CEO didn’t faces charges, has returned to China, and that his passport was not affected by the arrest.

While we don’t know much about the case, we do know that Liu was arrested by a police officer without a warrant, but that the officer was wearing a body camera. We also know that the JD.com CEO was in Minneapolis for a residency at the University of Minnesota’s Carlson School of Management, reports CNNMoney.

“It’s hard to see this as anything but bad for Richard Liu and bad for JD.com,”  Isaac Stone Fish, an Asia Society senior fellow, told Bloomberg . “Even if it turns out that the charges were completely groundless, it’s a lot of bad press. It will certainly be a big distraction.”

That appears to be true as JD stock was down 6% on Tuesday, the first day of trading after the news, and is down 8% as of noon Wednesday.

As of this writing, William White did not hold a position in any of the aforementioned securities.