The original creator of ElectrumX forked it off in preference of BCH. The server you mentioned was one that supported BCH not BTC.
*BUT* that was years and years ago. No idea what has happened since. The domain might have dropped and someone re-registered it to serve malware.
So long as you did not connect and it's no longer in the list of servers, it's not a large concern.
I was still running Electrum 4.2 (woops), which I downloaded in 2022. I think your explanation may be correct, that the domain used to be legitimate, was still included in Electrum 4.2's server list, and is now flagged as malicious by antivirus programs. I didn't connect to the URL, and my wallet is watch-only, so I don't think any harm was done. But if malware added the network to my server list, then I may still have something on my computer that I need to clean up.*BUT* that was years and years ago. No idea what has happened since. The domain might have dropped and someone re-registered it to serve malware.
So long as you did not connect and it's no longer in the list of servers, it's not a large concern.
To answer promise's questions: I downloaded Electrum 4.2.2 from electrum.org in June, 2022. I verified the keys to the best of my ability. I wasn't using Tor or the dark web at the time.