Chinese e-commerce conglomerate Pinduoduo sacked a number of its employees after being involved in a brawl with market regulators, Nikkei Asia reported Wednesday, citing sources.

PDD shares fell 4% in morning trading.

The dismissed employees were mostly from Pinduoduo's government relations division, the report said, citing people familiar with the matter.

Among those dismissed was compliance director Tu Tuohang, who posted on WeChat stating he had been dismissed last week for "serious negligence that caused substantial harm to the company," the report said.

"Nearly 30 employees" were also dismissed, the report said, citing Tu.

Police earlier detained at least three executives of Pinduoduo after a physical fight with market inspectors at its Shanghai headquarters, the report said.

Clashes between companies and regulators are rare in China, the report said.