×

Mark Cuban Found Not Guilty of Insider Trading

SEC had sued billionaire over 2004 sale of stock in Internet company Mamma.com

A federal jury in Texas found Mark Cuban, the billionaire owner of the Dallas Mavericks, not guilty of insider trading in a case brought by the SEC related to Cuban’s 2004 sale of stock in an Internet company.

The U.S. Securities and Exchange Commission sued Cuban in 2008, alleging that he sold $7.9 million worth of shares in search engine Mamma.com based on nonpublic information to avoid $750,000 in losses. Cuban disputed the SEC’s charge and said that other investors knew about a private stock offering that would dilute the value of the company’s shares.

Cuban, in addition to owning the Mavericks basketball team, runs cable channel AXS TV (previously called HDNet). He also co-owns the Landmark Theater chain, Magnolia Pictures and Magnolia Home Video along with partner Todd Wagner, and appears on ABC reality series “Shark Tank.”

The jury’s verdict in the case Wednesday followed a three-week trial in the U.S. District Court for the Northern District of Texas in Dallas. If convicted, Cuban would have faced up to $3 million in fines and penalties but no jail time. Cuban, 55, has an estimated net worth of around $2.5 billion, according to Forbes magazine.

Cuban, in remarks to reporters outside the courthouse Wednesday, criticized the SEC’s insider trading policies as vague and said he felt personally attacked by the agency.

“When you take all these years of my life and try to prove a point, it’s personal,” he said. “Obviously I wanted to win, but at the same time like I said, I didn’t win anything… There was no point in time when I sat there and listened to it and thought, ‘You know what, winning would feel good.'”

Watch Cuban’s press conference after the jury decision:

Popular on Variety

More Digital

  • Facebook

    Facebook Suspends Tens of Thousands of Apps During Privacy Investigation

    Facebook has suspended tens of thousands of apps ever since it began investigating potential privacy abuses, the company said Friday. The apps in question had been built by around 400 developers, and a suspension doesn’t necessarily indicate actual privacy violations. Facebook began combing through millions of apps that made use of its platform after the [...]

  • tivo logo

    Tivo Plans to Launch Android TV Dongle, Tivo+ Curation App

    DVR maker Tivo is getting ready to release a new device that may not record television at all: The company plans to launch a $50 Roku-like TV dongle early next year, its new CEO Dave Shull revealed in a conversation with CNN this week. The new device will be powered by Google’s Android TV platform, [...]

  • Still from "Andhadhun"

    Microsoft Streaming Deal Lifts Shares in India’s Eros

    Shares of leading Bollywood film distributor Eros International soared by 38% on Thursday following news of the company’s link up with Microsoft to develop a new generation of video streaming platform. The multinational company said that its Eros Now video operation would work with Microsoft Azure to develop its technology in three ways. They seek [...]

  • Comcast X1 DAZN

    Comcast Adds DAZN Sports-Streaming Service to Xfinity Flex, Sets Launch on X1

    DAZN, the digital sports service headed by ex-ESPN boss John Skipper, is now available to Comcast broadband customers on Xfinity Flex and will be available on Xfinity X1 this fall. It’s the first distribution deal for DAZN with a major U.S. provider since it debuted the combat-sports-oriented service in the States a year ago. In [...]

  • YouTube logo

    YouTube Raises Bar for Channel Verification, Stripping Some Creators of Verified Status

    YouTube is making it harder for channels to receive a verification badge indicating their authenticity — and the program’s new requirements mean that some channels won’t be eligible for verification. Like other internet platforms, YouTube indicates to viewers that specific channels are officially run by the creator, artist, celebrity or company they represent with an [...]

  • BuzzFeed - Katie Sitter

    BuzzFeed Taps Activision Blizzard's Katie Sitter as Head of HR (EXCLUSIVE)

    BuzzFeed hired Katie Sitter, most recently an HR exec at Activision Blizzard, as senior VP of people. Sitter, who starts at the company Sept. 30, will lead the BuzzFeed HR organization and oversee strategic initiatives related to organizational planning, talent acquisition, learning and development, performance management, compensation and benefits, labor relations, and diversity, equity, and [...]

More From Our Brands

Access exclusive content