Monday, November 17, 2008

Officials charge Mark Cuban with insider trading | Entertainment | Industry | Reuters

Officials charge Mark Cuban with insider trading | Entertainment | Industry | Reuters:
"According to the SEC, Quebec-based invited Cuban in June 2004 to participate in a private placement stock offering after he agreed to keep the information confidential.

When Cuban found out that the offering would dilute the holdings of existing shareholders and be sold at a discount to the market price, he became 'angry and upset,' the SEC said.

At the end of a call with's chief executive, Cuban said: 'Well, now I'm screwed. I can't sell,' according to the SEC's complaint."
And from The SportingNews:
" Stewart, like Cuban, landed on the wrong end of a civil action aimed at forcing her to fork over the money she saved by acting on inside information regarding a stock she dumped just before the price went south. Eventually, she forked over to the feds the $45,000 she saved by ditching the stock, along with three times that amount as a penalty for using inside information. Cuban may be approaching his own situation more prudently, getting "lawyered up" before talking to authorities and avoiding saying anything that could get him indicted (so far). "
You can say what you want about Mark Cuban, but he is a news magnet. Amazing. It will be interesting case to follow. (BTW You can see what Cuban has to say about it(not much) on his blog.)

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