Users are not able to login getting error "Login: No shell: Operation not permitted"

Solution Unverified - Updated -

Issue

  • Updated a system with #yum update since that moment users are not able to login remotely, throwing same error with all the login applications (ssh/putty/telnet):
  • Root user is able to login through GUI but fails to login via remotely as well as tty login is also not possible.
  • Also root user is not able to open gnome-terminal.

Environment

  • Red Hat Enterprise Linux 5

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