I 've got this bug after "apt-get dist-upgrade" on my system too.

System before bug:
Ubuntu 16.04.1 LTS
Kernel 4.4.0-45-generic #66-Ubuntu SMP 

After upgrade:
Ubuntu 16.04.5 LTS
Kernel 4.4.0-131-generic #157-Ubuntu SMP

User A logged in
User A lock screen
User B logged in
User B logged out
User A try to login. 

Message: 
Authentication failure
Swith to Greeter

If click Swith to Greeter it witll allow you to login and then it is
back.

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https://bugs.launchpad.net/bugs/1733557

Title:
  Login screen showing Authentication Failure Switch to greeter...

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