After three weeks of trial, a nine-member jury ruled that Dallas Mavericks owner Mark Cuban did not commit insider trading. Their decision came after a four-hour deliberation. The jurors found that the Securities and Exchange Commission (SEC) was not able to prove some key elements of their case.
The SEC had accused Cuban of using insider information when he dumped his stake in Mamma.com worth $7.9 million. He had learned from a confidential conversation that there would be a stock offering done by the company, which would have cost his shares to diminish in value through dilution. The SEC wanted Mark Cuban to repay $750,000 he would have incurred in losses plus a penalty. The jury felt that the commission was not able to prove that he traded on nonpublic information.
Cuban testified that he never agreed to keep the information private and that he informed the company that he would be selling his shares.