Insider trading

After class, someone asked about insider trading and we chatted about Martha Stewart and Galleon Group and how high profile perp-walks serve as a deterrent. Return home to find an insider trading story about billionaire Mark Cuban. I found one argument in that story rather compelling. It goes as follows. People get into trouble for trading on insider tips. What about those people who DON’T trade because of insider tips. How many such are there and how do they get nailed if at all?  Read the full story here.