Mark Cuban joins Martha Stewart Insider club - Detroit Pistons Fan Community

LA Dre · #1 (**permalink**) 11-17-2008, 05:08 PM

SEC charges Mark Cuban with insider trading | Reuters

Quote:

WASHINGTON/NEW YORK (Reuters) - Mark Cuban, owner of the Dallas Mavericks professional basketball team, was charged with insider trading in shares of Mamma.com Inc, an Internet search engine firm, the Securities and Exchange Commission said on Monday

Wonder if he get rakes over coals in the same fashion she did?

CloudWalker · #2 (**permalink**) 11-17-2008, 05:09 PM

Quote:

Originally Posted by LA Dre

SEC charges Mark Cuban with insider trading | Reuters

Wonder if he get rakes over coals in the same fashion did she did?

I doubt it. The article doesn't even make it sound like they are going after him with the same level of vigilance and celerity.

Winless Wonders · #3 (**permalink**) 11-17-2008, 07:12 PM

This is funny. The SEC should punish the person that leaks the information. I don't know a person in the world that would not sell if someone gave them a heads up a stock they were heavily invested in was going to take a nose dive. Nobody like losing money even rich people.

roscoe36 · #4 (**permalink**) 11-17-2008, 07:27 PM

No doubt. I'm not for agencies like the SEC, which seem to selectively enforce (ENRON) and punish people for acting in their own rational self interest. Basically, if someone shares confidential information with you, you are effectively a hostage against protecting your own investment.

16 Mile · #5 (**permalink**) 11-17-2008, 09:14 PM

Quote:

Originally Posted by Winless Wonders

This is funny. The SEC should punish the person that leaks the information. I don't know a person in the world that would not sell if someone gave them a heads up a stock they were heavily invested in was going to take a nose dive. Nobody like losing money even rich people.

No one leaked to Cuban. The company was offering more shares in a private placement (called a PIPE), and asked Cuban if he wanted to buy more. Cuban was also told not to sell shares before the private placement was publicly announced, SOP.

I have no idea what Cuban was thinking. Whenever a company does a PIPE, all the regulatory agencies screen everyone involved to make sure there wasn't any insider trading. Cuban should have known this. I've got zero sympathy for him.

SonicD 43 · #6 (**permalink**) 11-17-2008, 09:41 PM

Quote:

Originally Posted by Winless Wonders

This is funny. The SEC should punish the person that leaks the information. I don't know a person in the world that would not sell if someone gave them a heads up a stock they were heavily invested in was going to take a nose dive. Nobody like losing money even rich people.

Quote:

Originally Posted by roscoe36

No doubt. I'm not for agencies like the SEC, which seem to selectively enforce (ENRON) and punish people for acting in their own rational self interest. Basically, if someone shares confidential information with you, you are effectively a hostage against protecting your own investment.

Its funny how I agree with both of you but don't really feel bad for Cuban at the same time. Dude is worth 2.6 Billion and does something like this to save 750,000. Thats not even 1% of his net worth.

coynejeremy · #7 (**permalink**) 11-17-2008, 10:57 PM

Quote:

Originally Posted by 16 Mile

No one leaked to Cuban. The company was offering more shares in a private placement (called a PIPE), and asked Cuban if he wanted to buy more. Cuban was also told not to sell shares before the private placement was publicly announced, SOP.

I have no idea what Cuban was thinking. Whenever a company does a PIPE, all the regulatory agencies screen everyone involved to make sure there wasn't any insider trading. Cuban should have known this. I've got zero sympathy for him.

Good point. Is the media glossing over the facts, or was Cuban really this short-sighted?

Quote:

Originally Posted by SonicD 43

Its funny how I agree with both of you but don't really feel bad for Cuban at the same time. Dude is worth 2.6 Billion and does something like this to save 750,000. Thats not even 1% of his net worth.

I almost laughed out loud when the article built up making Cuban out to be the big bad wolf and then stated that he stood to save "in excess" of 750k. Um, hello? This guy is a multi-BILLIONAIRE!!!! Even if he weren't, in the world that Cuban lives in, especially after bailout stories of trillions of dollars being thrown at anything that's moving, 750,000 doesn't even make you bat an eyelash.

coynejeremy · #8 (**permalink**) 11-17-2008, 11:00 PM

Quote:

Originally Posted by CloudWalker

I doubt it. The article doesn't even make it sound like they are going after him with the same level of vigilance and celerity.

Oh I think the SEC can afford at least as much celery as when Martha Stewart was on the hot seat.

Being serious, though, this is a civil case. So Cuban is not going to get in any real trouble, unless criminal charges are brought as well. I don't know what the likelihood of that is, though.

linwood · #9 (**permalink**) 11-17-2008, 11:04 PM

Quote:

Originally Posted by coynejeremy

Good point. Is the media glossing over the facts, or was Cuban really this short-sighted?

I almost laughed out loud when the article built up making Cuban out to be the big bad wolf and then stated that he stood to save "in excess" of 750k. Um, hello? This guy is a multi-BILLIONAIRE!!!! Even if he weren't, in the world that Cuban lives in, especially after bailout stories of trillions of dollars being thrown at anything that's moving, 750,000 doesn't even make you bat an eyelash.

He's a multi-billionaire because he pinched all his little $750,000.

roscoe36 · #10 (**permalink**) 11-17-2008, 11:06 PM

I just read an opinion that this is political payback for Cuban starting a "bailout watch" blog.

It wouldn't be the first time a whistle blower suddenly faced a federal investigation...

Mark Cuban charged with insider trading. | The Unspun Zone...

Wow. And don't get into politics here please, I really have a short fuse for that. Thanks in advance.