A judge dismissed a class action lawsuit against the Bitcoin mining company Iris Energy

ChainCatcher news, according to Cointelegraph, U.S. District Court Judge Jamel Semper dismissed a class action lawsuit against the Bitcoin mining company Iris Energy without prejudice, ruling that the investors who brought the lawsuit failed to prove that the company had ever made false statements or intentionally misled investors.

The lawsuit accused Iris Energy, its executives, and its underwriters (including JPMorgan and Citigroup Global Markets) of violating the Securities Act and the Securities Exchange Act during its 2021 IPO. The plaintiffs claimed that there were several key inaccuracies in the documents related to the Australian crypto mining company's IPO in November 2021 and in other statements made in the following months. Additionally, they alleged that Iris concealed risks and failed to disclose information regarding loans for financing mining equipment, making several "false and misleading" statements about the company's overall financial condition, including its profits, losses, and assets on hand.

However, Judge Semper found that Iris was not obligated to disclose all details of its loan financing, and the plaintiffs failed to prove that Iris's disclosures were materially misleading.