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Mark Cuban Hit With Insider-Trading Charges

Owner of NBA's Dallas Mavericks accused in 2004 stock sale

By Harry Kimball,  Newser Staff

Posted Nov 17, 2008 12:47 PM CST

(Newser) – Dallas Mavericks owner Mark Cuban was charged today with insider trading, the Dallas Morning News reports. The government alleges that, in 2004, Cuban spoke with the CEO of a company in which he held shares, and was told, confidentially, of a new stock offering that would dilute the value of his holdings. “Well, now I’m screwed,” Cuban allegedly said. “I can’t sell.”

But sell he did. “Less than four hours later, Mr. Cuban betrayed that trust by placing an order to sell all of his shares,” a Securities and Exchange Commission official said. “It is fundamentally unfair for someone to use access to nonpublic information to improperly gain an edge on the market.”

Dallas Mavericks owner Mark Cuban.
Dallas Mavericks owner Mark Cuban.   (AP Photo)
Dallas Mavericks owner Mark Cuban.
Dallas Mavericks owner Mark Cuban.   (AP Photo)
Dallas Mavericks forward Dirk Nowitzki.
Dallas Mavericks forward Dirk Nowitzki.   (AP Photo)
The Dallas Mavericks.
The Dallas Mavericks.   (AP Photo)
Securities and Exchange Commission Chairman Chris Cox.
Securities and Exchange Commission Chairman Chris Cox.   (AP Photo)
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COMMENTS
Showing 1 of 1 comment
Guest
Nov 22, 2008 12:12 AM CST
SEC is a little late,aren't they?

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