By BJ Austin, KERA News
http://stream.publicbroadcasting.net/production/mp3/kera/local-kera-850001.mp3
Dallas, TX –
A federal judge has tossed out the insider trading lawsuit against Dallas Mavericks owner Mark Cuban. But, KERA's BJ Austin says that's not necessarily the end of it.
Dallas Judge Sidney Fitzwater gave the Securities and Exchange Commission 30 days to file an amended complaint. Cuban's lawyer, Paul Coggins, says the judge agreed that the law did not support the insider trading allegations against Cuban.
Coggins: In a motion to dismiss, the judge has to accept every fact the government alleges as absolutely, 100% true. But the judge said, even assuming everything you've pled, which we were by the way going to hotly contest, Mark Cuban still didn't violate the law.
SEC lawyers claim that Cuban used confidential information from the CEO of Mamma.com, and sold stock to avoid a 750 thousand dollar loss. Coggins says he hopes this is the end of the case.
Coggins: I would be somewhat surprised if they re-plead the case, cause I think they threw everything but the kitchen sink at Mark in their original pleading.
The judge's ruling could also be appealed. SEC officials in Fort Worth say they are reviewing the court's ruling, and weighing the options.