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November 17, 2008
Civil Complaint Brought Against Mark Cuban for Insider Trading Regarding Mamma.com
Fox Business is reporting that a civil complaint has been brought against Mark Cuban for insider trading regarding "The Mother of All Search Engines" Mamma.com, which is owned by Copernic (CNIC).
Cuban learned that the company would be issuing a PIPE: a public investment and private equity. In other words, they were about to issue an additional stock sale. When he learned about it, he sold his stake, about 600,000 shares before the public announcement. He avoided losses of $750,000.
If the charges Cuban will have to give back the money with interest.
Related Reading:
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Yahoo Confirms Icahn Proxy Fight
Posted by Nathania Johnson on November 17, 2008 11:31 AM
Comments
Gab Goldenberg November 17, 2008 12:50 PM
Gab,
When I posted it, the news was just breaking on TV. I looked for a link, but couldn't find one on any news source.
It's hours later, and I do have a link:
http://www.foxbusiness.com/story/markets/sec-charges-dallas-maverick-owner-mark-cuban-insider-trading/
And there are damages - as I wrote in the post, the SEC wants him to pay back the money plus interest.
Nathania Johnson November 17, 2008 3:45 PM
No damages? How do you dissuade people then?
Also, where's the link to fox??