Yiren Digital Ltd. (“Yiren” or the “Company”) (NYSE: YRD) is the subject of a securities fraud class action lawsuit filed on behalf of investors who purchased or otherwise acquired the Company’s securities from April 29, 2026 through October 13, 2026, inclusive. The Law Offices of Howard G. Smith today reported the lawsuit, Lester et al v. Yiren Digital Ltd. et al., which was filed on October 29, 2026 in the U.S. District Court Central District of California (Case No. 2:26-cv-12673). The deadline for Yiren Digital Ltd. investors to file a lead plaintiff motion is December 28, 2026.
Investors with losses on Yiren Digital Ltd. securities can contact The Law Offices of Howard G. Smith about the Yiren Digital Ltd. class action to discuss potential claims under the federal securities laws before the December 28, 2026 lead plaintiff deadline.
Important dates in the Yiren Digital Ltd. case
- Complaint filing date: October 29, 2026
- Court: U.S. District Court Central District of California
- Class period: April 29, 2026 through October 13, 2026, inclusive
- Deadline for lead plaintiff motions: December 28, 2026
What happened?
On May 22, 2026, various media outlets reported that CreditEase, the Company’s parent and controlling shareholder, was suspending all principal and interest payments on its fixed-income-like wealth management products offered through its asset management platforms, including products of Heritvest, a disclosed related party of Yiren, and announced an “orderly wind-down” of those products. The suspended products were reported to be worth approximately 30 billion yuan, or about $4.4 billion.
On this news, Yiren stock fell $0.27, or 14.44%, to close at $1.60 on May 22, 2026, thereby injuring investors.
On October 12, 2026, Yiren announced Ning Tang, the Company’s Executive Chairman and Chief Executive Officer, had been subject to criminal compulsory measures in connection with an investigation involving certain affiliates of the Company’s controlling shareholder.
On this news, Yiren stock fell $0.44 or 44.05%, to close at $0.56 on October 12, 2026, thereby further injuring investors.
Allegations in the Yiren Digital Ltd. lawsuit
The Yiren Digital Ltd. shareholder lawsuit alleges that, throughout the class period, defendants made materially false and/or misleading statements and failed to disclose material adverse facts about Yiren Digital Ltd.’s business, operations, and prospects. Specifically, the complaint alleges defendants failed to disclose to investors that: (1) CreditEase, Yiren’s controlling shareholder and its affiliates, all controlled by defendant Ning Tang, were experiencing severe financial distress that impaired their ability to satisfy their obligations; (2) as a result, the billions of RMB owed to Yiren by CreditEase affiliates were subject to significant credit risk; (3) Yiren was not separate from or unaffected by the affairs of CreditEase, given their shared leadership, Yiren’s dependence on CreditEase, and Yiren’s relationships with the CreditEase affiliates whose products defaulted; (4) Defendant Tang, Yiren’s Executive Chairman, CEO, and controlling shareholder, was exposed to material legal and regulatory risk, including potential criminal liability, arising from CreditEase’s conduct; and (5) as a result, defendants’ positive statements about Yiren Digital Ltd.’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Yiren Digital Ltd. investors who purchased or otherwise acquired securities during the class period may move the Court by December 28, 2026 to seek appointment as lead plaintiff in this putative class action.
“The lawsuit against Yiren Digital Ltd. alleges that, among other things, the Company failed to tell investors that CreditEase, Yiren’s controlling shareholder and its affiliates, all controlled by defendant Ning Tang, were experiencing severe financial distress that impaired their ability to satisfy their obligations. Yiren Digital Ltd. investors who bought during the class period may be able to pursue their losses through this class action, and the December 28, 2026 lead plaintiff deadline is an important first date,” said Howard G. Smith of The Law Offices of Howard G. Smith.
Next steps for Yiren Digital Ltd. investors
Yiren Digital Ltd. investors who suffered losses may contact The Law Offices of Howard G. Smith to learn about pursuing their claims. For more information, visit the firm’s website, email howardsmith@howardsmithlaw.com, or call (215) 638-4847.
To be a member of the Yiren Digital Ltd. class, you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent class member. No class has been certified so far in the Yiren Digital Ltd. case.
Common questions from Yiren Digital Ltd. investors
Who is eligible? Investors who acquired Yiren Digital Ltd. securities from April 29, 2026 through October 13, 2026 and suffered losses may qualify for the class in the Yiren Digital Ltd. shareholder lawsuit.
Where is the Yiren Digital Ltd. case pending? The Yiren Digital Ltd. class action, Lester et al v. Yiren Digital Ltd. et al., is pending in the U.S. District Court Central District of California (Case No. 2:26-cv-12673).
Do I have to do anything to be in the Yiren Digital Ltd. class? No, Yiren Digital Ltd. investors need not take any action at this time and may remain absent class members.
Does it cost anything? The Law Offices of Howard G. Smith works on contingency, meaning Yiren Digital Ltd. investors owe no attorneys’ fees out of pocket. Any attorneys’ fees and litigation expenses are paid solely from a recovery, if achieved, and require court approval.
About The Law Offices of Howard G. Smith
The Law Offices of Howard G. Smith has helped injured investors recover their money for more than 15 years. The firm prosecutes securities fraud, takeover, and derivative litigation against public companies and their officers, directors, and advisors in federal and state courts nationwide, and has helped clients recover hundreds of millions of dollars in losses. Clients speak directly with a lawyer, who will promptly answer any question.
Prior results do not guarantee a similar outcome.
Related links
- Yiren Digital Ltd. case page, The Law Offices of Howard G. Smith
- Complaint: Lester et al v. Yiren Digital Ltd. et al., U.S. District Court Central District of California
- Yiren Press Release
- Yiren Digital Ltd. SEC filings index, EDGAR
- The Law Offices of Howard G. Smith
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View source version on businesswire.com: https://www.businesswire.com/news/home/20261102138708/en/
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