I just ran into the same problem on Ubuntu 16.04:

$ lsb_release -a
No LSB modules are available.
Distributor ID: Ubuntu
Description:    Ubuntu 16.04.2 LTS
Release:        16.04
Codename:       xenial
$ cat /etc/default/useradd
SHELL=/bin/bash
$ useradd -D
GROUP=100
HOME=/home
INACTIVE=-1
EXPIRE=
SHELL=/bin/bash
SKEL=/etc/skel
CREATE_MAIL_SPOOL=no
$ sudo useradd testuser
$ getent passwd testuser
testuser:x:1081:1082::/home/testuser:

I expected testuser to show /bin/bash for the shell, but that's not the
case.

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https://bugs.launchpad.net/bugs/1321854

Title:
  useradd doesn't add the default shell to /etc/passwd entry

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