OKEx says they will inject 2500 BTC into insurance fund

Do I understand this correctly, quoted below?

They "contacted the client" (was that just sending off some emails?) froze the client's account, the client was locked out then it was liquidated? What happened here exactly?

The client with user ID 2051247 initiated an unusually large long position order (4168515 contracts) at 2am on July 31 (HKT) and triggered our risk management alert system. Our risk management team immediately contacted the client, requesting the client several times to partially close the positions to reduce the overall market risks. However, the client refused to cooperate, which lead to our decision of freezing the client’s account to prevent further positions increasing 2. Shortly after this preemptive action, unfortunately, the BTC price tumbled, causing the liquidation of the account.

/r/Bitcoin Thread