Judge won't dismiss insider-trading suit against Mark Cuban

The court schedules a June trial for the tech mogul and Dallas Mavericks' owner, accused of using confidential information.

Mark Cuban at CNET's Next Big Thing panel at CES 2013.
Mark Cuban at CNET's Next Big Thing panel at CES 2013. Josh Miller/CNET

A Federal judge decided today that a five-year-old lawsuit accusing tech mogul Mark Cuban of insider-trading is going to trial, The Wall Street Journal reported.

The Securities and Exchange Commission filed suit in 2008 against Cuban, owner of the Dallas Mavericks and former Yahoo and Broadcast.com executive, for allegedly relying on confidential information when he sold his stake in search engine Mamma.com and avoided a $750,000 loss.

Cuban has stated in the past that he has done nothing wrong, saying, "The government's claims are false and they will be proven to be so."

Judge Sidney Fitzwater denied Cuban's request to dismiss the suit and has scheduled the trial for June.

The SEC said Cuban sold his Mamma.com stake after learning the company was about to issue new shares in a private offering, news that often leads to stock prices plummeting.

Cuban's layers have argued that the insider trading laws did not prohibit him from selling his stock, according to The New York Times.

 

Join the discussion

Conversation powered by Livefyre

Don't Miss
Hot Products
Trending on CNET

HOT ON CNET

Love heavy and clunky tablets?

Said no one ever. CNET brings you the lightest and thinnest tablets on the market.