Just because he might be guilty of possibly believing he was above the law, doesn't necessarily mean all of his ideas are untrue. It's possible he's just a hypocrite.
Sounds to me like he was taking his own advice. He just didn't mention that Rule #2 of trading stocks is to not get caught with your better-than-average information.
>..to not get caught with your better-than-average information..
The difference between information and knowledge is crucial here, though I think the word 'knowledge' is slightly misleading. If we assume that by 'knowledge' he meant 'something that is more than merely a function of information', i.e. belief/ wisdom then his statement holds. I think most traders would like to think that this is the case (whether the are right or not), because it justifies their existence / management fees. If you read it as 'information = knowledge' then it looks very suspicious. I'll give him the benefit of the doubt, because if he had meant 'information' then his post would have been unfeasibly implicating.
Read the statement of facts in the PDF as well: (http://sec.gov/litigation/complaints/2008/comp20810.pdf). After reading it, chances seem slim that he's innocent.
"On June 29,2004, Cuban sold his remaining 590,000 Mamma.com shares during regular trading at an average cost per share of $13.2937.
On June 29,2004, at 6:00 p.m. after the markets had closed, Mamma.com publicly announced the PIPE offering."
http://sports.espn.go.com/nba/columns/story?columnist=munson...
Yes, until proven guilty.