Lufax faces class action over alleged financial misstatements and weak controls
A class action lawsuit has been filed against Lufax Holding Ltd., a Chinese retail credit and financial services company listed on the NYSE. The case centres on claims of weak internal controls and misleading financial statements. Shareholders who bought securities between April 2023 and January 2025 may be affected.
The legal action follows Lufax's January 27, 2025 announcement that it planned to remove its auditor over concerns about financial disclosures. The complaint argues that the company's financial reports contained material errors and that internal controls were insufficient during the class period.
After the news broke, Lufax's American Depositary Shares (ADSs) fell by $0.63 over three trading days. The lawsuit also highlights delays in the 2024 annual report and restatements of 2022-2023 financials, confirming earlier inaccuracies. Robbins LLP, a shareholder rights law firm operating since 2002, is handling the case. The firm works on a no-win, no-fee basis, meaning shareholders face no upfront costs. Those eligible to join the action or serve as lead plaintiff must submit court documents by May 20, 2026. Shareholders can sign up for Stock Watch alerts to receive updates on the Lufax case and other corporate legal matters.
The lawsuit remains ongoing, with no public record of new financial or regulatory measures from Lufax since its January 2025 auditor removal proposal. Investors who held securities during the specified period may still participate in the legal proceedings before the May 2026 deadline.
