Carl Icahn's Investment Firm Wins Dismissal of Stock Inflation Lawsuit

A U.S. District Judge dismissed a lawsuit against Icahn Enterprises, which claimed the company artificially inflated its stock by issuing high dividends to support Icahn’s personal loans. Judge K. Michael Moore ruled that the shareholders failed to prove misrepresentation or intent to defraud. The lawsuit came after Hindenburg Research accused Icahn Enterprises of operating a "Ponzi-like economic structure." The shareholders have until Oct. 14 to file an amended complaint. Icahn Enterprises shares have dropped over 75% since May 2023.