Cuban Acquitted of Insider Trading ChargesMavs owner was accused of illegally profiting from sale of Internet start-up stock 10/16/2013 05:00:28 PM Eastern
Dallas Mavericks owner and AXS TV chairman Mark Cuban was found not guilty of insider trading charges Wednesday, ending a nine-year odyssey through the federal court system for the outspoken billionaire
Cuban, who Forbes magazine estimates is worth about $2.5 billion, was accused of selling his entire 6% stake (600,000 shares) of Canadian Internet startup Mamma.com in 2004 after learning about a private stock offering the company was planning from company executives. According to the initial suit, the Securities and Exchange Commission alleged Cuban avoided about $750,000 in losses by selling the shares ahead of the private offering. Private stock offerings by public companies generally results in a short-term drop in the stock price.