On November 17, 2008, it was announced that the SEC filed a civil suit against Mark Cuban relating to alleged insider trading in the shares of Mamma.com. A stock dilution occurred shortly after the trade, which gave off red flags of inside knowledge at the time of the trade, which is alleged to have saved Cuban from a loss of $750,000. Cuban is alleged to have ordered the sale of his holdings in Mamma.com after he was approached by the company on a confidential basis to participate in a transaction likely to be dilutive of current shareholders. On his blog, Cuban contended the facts were false and that the investigation was "a product of gross abuse of prosecutorial discretion."
Mark Cuban (born July 31, 1958 in Pittsburgh) is an American billionaire entrepreneur. He is the owner of the Dallas Mavericks, an NBA basketball team, and Chairman of HDNet, an HDTV cable network.
Re: Mark Cuban charged with insider trading
I hope they stick it to him for insider trading. What comes around goes around. Hey Mark I hope you remember that when your trying to pay your employees little or nothing and calling it a good business practice.