SEC Files Appeal in Mark Cuban Trading Case

DALLAS (CN) - The Securities and Exchange Commission appealed a federal judge's dismissal of an inside-trading complaint against Dallas Mavericks owner Mark Cuban.

The SEC appealed to the 5th Circuit in New Orleans on Wednesday.

U.S. District Judge Sidney Fitzwater had dismissed the SEC's complaint in August, ruling that Cuban could not be held liable for selling his shares in the Internet business Momma.com right before the share value plummeted, because Cuban had never agreed not to use insider information.

Before the dismissal order, the SEC had the chance to file an amended complaint against Cuban, but chose instead to appeal.

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