As part of a continuing feud with a felon-turned-fraud-buster, Medifast Inc. reiterated Tuesday that a committee of its independent board members concluded that allegations of fraud at a subsidiary were unfounded. The Fraud Discovery Institute, co-founded by Barry Minkow, who once served time in prison for stock fraud, has accused a Medifast subsidiary, Take Shape for Life Inc., of a pyramid scheme. Medifast CEO Michael S. McDevitt said the Owings Mills company has filed several complaints against FDI with the Securities and Exchange Commission and Maryland regulators. On his Web site last week, Minkow said detailed allegations on the site against Medifast were made by an outside expert and not by Minkow or FDI.

- Eileen Ambrose