Monday, November 17, 2008
Cuban Faces Insider Trading Allegations
When Mark Cuban said that the San Antonio River was an "ugly-ass, muddy-watered thing," most folks in San Antonio knew that he was an arrogant jerk. Like many folks who have lost insight as to how they impact others, his overconfidence may have gotten him in trouble with the law. While they are just allegations at this point, the Associated Press reports that federal regulators on Monday charged Dallas Mavericks owner Mark Cuban with insider trading for allegedly using confidential information on a stock sale to avoid more than $750,000 in losses. Cuban disputed the Securities and Exchange Commission’s allegations and said he would contest them. In a civil lawsuit filed in federal court in Dallas, the SEC alleged that in June 2004, Cuban was invited to get in on the coming stock offering by Mamma.com Inc. after he agreed to keep the information private. Maybe he has been chatting with Martha Stewart...and not about her chocolate biscotti recipe.