SEC sues Cuban over '04 tipoff

November 18, 2008 The U.S. Securities and Exchange Commission said Monday that it has filed a civil suit against HDNet chairman Mark Cuban alleging insider trading. The suit stems from Cuban's 2004 sale of 600,000 shares of Internet search engine Mamma.com, or a 6% stake in the firm, "on the basis of material, nonpublic information concerning an impending stock offering." In a statement on his blog (blogmaverick.com), Cuban and his legal adviser said he intends to contest the allegations and to demonstrate that the commission's claims are "infected by the misconduct of the staff of its Enforcement Division."

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