SEC Appeals Cuban Insider Trading Decision
The SEC”s reputation, already hurt by its action or lack thereof during the credit crisis, took another blow when a federal judge rejected its $33 million settlement with Bank of America (NYSE:BAC). The SEC appeared to be prone to expending…
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Now the SEC is taking a hard position with the high profile target of one of its insider trading cases. Mark Cuban, the billionaire owner of the Dallas Mavericks, was hit by SEC charges last year. A federal judge dismissed the case.
Instead of letting the matter go, the SEC is appealing the judge’s decision. “We believe the District Court erred in dismissing our complaint,” a spokesman for the SEC said. Cuban’s lawyer shot back saying, “This appeal is nothing more than the SEC’s desperate attempt to shock a heartbeat into a case that was dead on arrival.”
Cuban can consider himself officially in deep trouble. The SEC appears hell bent to get him into court and, if it can, the agency will almost certainly bring the most serious charges against him that it can and ask for the most serious penalties.
The SEC needs a pound of flesh. Cuban had better hope that the appeal fails.
Douglas A. McIntyre
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Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.
McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.
His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.
A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.
TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.
McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.
