Yirendai Ltd. (NYSE: YRD)

A class action has been commenced in the U.S. District Court for the Central District of California on behalf of purchasers of Yirendai Ltd. (NYSE: YRD) common stock during the period between May 11, 2016 and August 24, 2016 (the “Class Period”).

The complaint charges Yirendai and certain of its officers with violations of the Securities Exchange Act of 1934. Yirendai is a peer-to-peer lending company headquartered in China that connects investors and individual borrowers. The Company purportedly facilitated over $1.9 billion in loans from its inception in March 2012 through December 31, 2015.

The complaint alleges that throughout the Class Period, defendants made materially false and misleading statements and/or failed to disclose material adverse facts about the Company's business and operations, including that the Company was experiencing an increasing amount of fraud related to customer applications for its loan products, and that the implementation of new anti-fraud regulations by the Chinese government in response to increasing fraud in the industry could have a negative impact on the Company's performance. As a result of these false statements and/or omissions, Yirendai’s securities traded at artificially inflated prices during the Class Period, with its American Depositary Shares (“ADSs”) reaching a high of over $37 per share.

Then on August 24, 2016, Bloomberg reported that China had imposed limits on peer-to-peer lending “in an effort to curb risks in one part of the loosely-regulated shadow-banking sector,” citing authorities' concerns about “defaults and fraud among the nation's 2,349 online lenders. In December, the country’s biggest Ponzi scheme was exposed after [an] Internet lender . . . allegedly defrauded more than 900,000 people out of the equivalent of $7.6 billion.” Under the new regulations, lenders are barred from taking public deposits or selling wealth-management products and must appoint qualified banks as custodians and improve information disclosure. In addition, individual borrowing was now limited to 1 million yuan ($150,000) from peer-to-peer websites, including a maximum of 200,000 yuan from any one site. On this news, the price of Yirendai ADSs fell $6.92 per share, or 22%, to close at $24.52 per share on August 24, 2016.

If you are a current shareholder and/or purchased stock between May 11, 2016 and August 24, 2016, and would like to discuss your options of exercising your rights as a shareholder, please contact us.

Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.

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