Business

Judge clears Diller’s IAC of securities fraud

A Manhattan federal judge dismissed a long-running class-action lawsuit accusing media mogul Barry Diller’s IAC/InterActiveCorp of securities fraud for making false and misleading statements that artificially inflated the Internet conglomerate’s stock price.

US District Judge Richard Holwell wrote the securities fraud claims were “too thin to survive dismissal” of the 5½-year-old lawsuit.

The dismissal was with prejudice, meaning the claims cannot be brought again. Holwell dismissed an earlier complaint in the case in 2007. The lead plaintiff is the Cement Masons and Plasterers Retirement Trust, court records show.

A lawyer for the plaintiffs did not immediately return a call seeking comment. IAC, based in New York, also did not immediately return a call.

IAC shares closed Friday down 38 cents at $23.89 on the Nasdaq. The ruling was made public after US markets closed.