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LU Investor Alert: Lufax Holding Ltd Securities Fraud Lawsuit - Investors With Losses May Seek to Lead the Class Action After Executives Allegedly Certified Deficient Controls: Levi & Korsinsky

globenewswire.com
LU The article details a securities fraud lawsuit against Lufax Holding Ltd. Investors are alleging that executives falsely certified deficient internal controls, leading to significant financial misstatements and a substantial overstatement of profits. The stock experienced a sharp decline following the disclosure of withdrawn audit opinions.

LU Investor Alert: Lufax Holding Ltd Securities Fraud Lawsuit - Investors With Losses May Seek to Lead the Class Action After Executives Allegedly Certified Deficient Controls: Levi & Korsinsky NEW YORK, April 27, 2026 (GLOBE NEWSWIRE) -- Levi & Korsinsky, LLP reminds purchasers of Lufax Holding Ltd (NYSE: LU) securities of a pending securities class action. THE CASE: A class action seeks to recover damages for investors who purchased Lufax securities between April 7, 2023 and January 26, 2025. YOUR OPTIONS: You may be entitled to compensation without payment of any out-of-pocket fees. Find out if you qualify to recover losses or contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.

Lufax ADS shares fell $0.40, or 13.8%, on January 27, 2025, then continued declining over two additional trading sessions to $2.26, after the Company disclosed that PricewaterhouseCoopers withdrew its audit opinions for fiscal years 2022 and 2023. Investors have until May 20, 2025 to seek lead plaintiff status.

A Financial Services Company Cannot Certify What It Cannot Verify

A company listed on the NYSE that files annual reports with the SEC is required to maintain internal controls over financial reporting sufficient to ensure the accuracy of its disclosed financial results. Under Sarbanes-Oxley, the CEO and CFO must personally certify those controls are effective. The lawsuit contends that Lufax's certifications were false because the Company's internal controls were materially deficient throughout the Class Period, allowing significant financial misstatements to go undetected across two consecutive fiscal years.

The Alleged RMB 998 Million Net Profit Overstatement

The filing states that a re-audit revealed Lufax's reported financials contained inaccurately recorded line items across both years at issue:

See if you can recover losses from your Lufax investment or call (212) 363-7500.

How Deficient Oversight Allegedly Enabled the Misstatements

As set forth in the complaint, the breakdown extended beyond simple accounting errors. The auditor flagged concerns about possible related party transactions that were not properly identified or disclosed. An independent investigation was launched but, as alleged, the Company removed PwC before the auditor could complete its assessment. The re-audit conducted by successor auditors confirmed that financial results for both years required material restatement.

"The complaint raises serious questions about whether investors received accurate information about the effectiveness of Lufax's financial reporting controls during the two years in which profits were materially overstated." -- Joseph E. Levi, Esq.

Calculate your potential recovery in the Lufax action or contact Joseph E. Levi, Esq. at (212) 363-7500.

Levi & Korsinsky, LLP -- Top 50 securities litigation firm (ISS, seven consecutive years). Over 70 professionals. Hundreds of millions recovered.

CONTACT: Levi & Korsinsky, LLP Joseph E. Levi, Esq. Ed Korsinsky, Esq. 33 Whitehall Street, 27th Floor New York, NY 10004 jlevi@levikorsinsky.com Tel: (212) 363-7500 Fax: (212) 363-7171