If a Tuesday report by the Huffington Post proves to be accurate, things might start to get a little dicey for Dallas Mavericks owner Mark Cuban, as the billionaire tycoon was denied a motion to throw out a civil lawsuit that accuses him of insider trading.
According to U.S. District Judge Sidney Fitzwater, the U.S. Securities and Exchange Commission may continue its four-year case against Cuban, in which he's accused of fraud.
The SEC filed a 2008 lawsuit that accused Cuban of selling his 6.3 percent stake in the Montreal-based search engine, Mamma.com Inc.
The SEC claims Cuban, who's worth a reported $2.4 billion by Forbes magazine, made the transaction after learning that the company planned to sell offerings at a discount to the market price, which diluted the holdings of existing shareholders.
According to court documents, in June 2004, Cuban sold his 600,000 shares for about $8 million, avoiding more than $750,000 in potential loses.
The SEC also contends that the 54-year-old mogul got his information from Mamma.com Chief Executive, Guy Faure.
"We look forward to proceeding with our insider trading case against Mr. Cuban in court," said SEC spokesman John Nester.
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