Rep. Chris Collins Arrested by Federal Bureau of Investigation for Securities Fraud

Chris Collins

Republican Rep. Christopher Collins of NY, the first member of Congress to support President Trump during his campaign, has been charged with insider trading Wednesday.

The Justice Department indictment released Wednesday alleges that while Collins served on the board of the company, he passed inside information to his son after the company's main drug failed a trial.

The 30-page indictment states that Cameron Collins sold around 1,391,500 shares of Innate stock before the company announced the drug trial had failed and prices plummeted. "Federal prosecutors said Collins tipped his son to the failure of a test drug for multiple sclerosis", he writes.

"The crime that he committed was to tip his son Cameron so that Cameron and a few select others could trade on the news while the investing public remained in the dark", Berman said.

The indictment charges Collins, the congressman's son and the father of his son's fiancee with conspiracy, wire fraud and other counts.

In a statement to CNBC, attorneys for Collins vowed to "mount a vigorous defense to clear his good name".

The holdings from Long, Mullin and Collins make three GOP members of the Health subcommittee that have owned and/or sold Innate stock within the past two years.

On a 2014 financial disclosure form, Collins said he hadn't participated in any IPO - but he was technically covered thanks to a loophole that requires members of Congress to disclose when they're involved only in US IPOs, not foreign ones, the Daily Beast noted.

The 68-year-old Collins, a conservative who was first elected in 2014 to represent parts of western NY between Buffalo and Rochester, has denied any wrongdoing. Until now he has been considered likely to hold his seat in New York's heavily Republican 27th Congressional District. Most recently, Collins called for an end to Special Counsel Robert Mueller's probe into campaign collusion and blaming the Obama Administration for failing to push back on Russian Federation. Over-the-counter trading continued, however, in the USA, where Cameron Collins' and Zarky's shares were held. "How are these results even possible?"

"Congressman Collins cheated our markets and our justice system", said Geoff Berman, the interim U.S. Attorney for the Southern District of NY.

No allegations of misconduct have been leveled against him or Conaway, a former chairman of the House Ethics Committee.

Collins' dealings with Inate Immunotherapeutics are also the subject of an ongoing congressional ethics probe.

At 7:11, one minute after sending that email, Collins tried to call his son Cameron, who was also an investor in Innate.

Related news:

Hot News

isis-killer-beheading-video-story-top Manafort defense questions star witness Gates about 'secret life'
Aug 08, 2018 - 21:43
He is expected to face a bruising cross-examination as defense lawyers try to undercut his credibility and pin the blame on him. Gates not only testified that he had committed crimes with Manafort but also admitted he stole money from his former boss.

isis-killer-beheading-video-story-top China's July exports rise more than expected despite US tariffs
Aug 08, 2018 - 20:53
The Trump administration just announced tariffs on another $16 billion in Chinese imports to the U.S. For instance, the major complaint is about the theft of USA intellectual property by Chinese firms.

isis-killer-beheading-video-story-top Liverpool target Nabil Fekir opens door to move away from Lyon
Aug 07, 2018 - 23:54
Fekir scored 18 goals for Lyon last season and can operate as a central attacking midfielder, on the flanks and even as a false 9.

isis-killer-beheading-video-story-top ‘The Bachelorette’ addressed Garrett’s Instagram controversy - but left out a crucial detail
Aug 07, 2018 - 23:50
Harrison surprised them with an all-expense-paid trip back to Thailand and a minivan, in honour of Garrett's first night gag. Becca admitted it was "a major thing" they had to talk about in the beginning stages of their off-camera relationship.

isis-killer-beheading-video-story-top IGP Exonerates Police From NASS Invasion
Aug 07, 2018 - 23:27
Magu, however, was seen rushing out at about 4:40pm, State House Correspondents, tried to catch up with him for an interview. It was gathered that the sack was announced while Daura was meeting with the Acting President.

isis-killer-beheading-video-story-top Facebook asks JP Morgan, Citibank, Chase to share customer details
Aug 07, 2018 - 23:12
What that means is that if you're anxious about Facebook having any connection with banks, the WSJ's report should alarm you. Facebook has also suggested that it could perhaps integrate banks' fraud alerts or account balances into the app.

isis-killer-beheading-video-story-top Deadly California wildfire now 5th largest in state history
Aug 07, 2018 - 22:25
The fire burned slowly for days before winds suddenly whipped it up last week and drove it furiously through brush and timber. Hundreds of colleagues, family and friends attended a memorial service Saturday in Fresno for National Forest Service Capt.

isis-killer-beheading-video-story-top DMK called Karunanidhi Kalaignar. What it means, and how to pronounce it
Aug 07, 2018 - 21:43
Annadurai, who also happened to be the founder of the DMK and later went on to become the first chief minister of Tamil Nadu. His father was a farmer in the village of Thirukuvalai in Tiruvarur district of Tamil Nadu.

isis-killer-beheading-video-story-top Manafort's 'right-hand man' to testify in fraud trial
Aug 06, 2018 - 16:18
Gates pleaded guilty in February and agreed to cooperate with the Mueller investigation on "all matters" they deem relevant. But he otherwise approved "every penny" of the personal bills bookkeeper Heather Washkuhn paid for him, she said.

isis-killer-beheading-video-story-top Manchester United end transfer interest in £35m defender
Aug 06, 2018 - 12:06
The Toffees have cash to spend this summer, already highlighted by the £50 million arrival of Richarlison from Watford. Everton are understood to have been interested in Mina since his star performances for Colombia at the World Cup.

isis-killer-beheading-video-story-top ‘I like Mike!’: Trump disses LeBron James
Aug 04, 2018 - 22:44
LeBron James has yet to respond to Trump's comments. "He's doing an fantastic job for his community". Lemon's chief offense was apparently making James look smart, which Trump said "wasn't easy to do".

isis-killer-beheading-video-story-top Sen. Orrin Hatch throws colorful terms at Democrats oppose Supreme Court nominee
Aug 04, 2018 - 00:49
"In the end, the committee will have reviewed significantly more records than ever before for a Supreme Court nominee", Foy said. He said he could not reach an agreement with Feinstein over the scope of the documents request.

isis-killer-beheading-video-story-top Mother of missing Iowa woman believes she may be held captive
Aug 03, 2018 - 23:27
Tips on the missing student "have been coming in regularly", and 30 to 40 investigators are on the case, Winker said. Initially, they said she was wearing a black sports top - but now say the top was pink.

isis-killer-beheading-video-story-top Iowa teen seriously hurt in "Kiki" challenge gone wrong
Aug 03, 2018 - 08:54
A Florida man's attempt at the "In My Feelings" challenge went horribly wrong when he was hit by a auto during the stunt. Anna has been dancing since she was very young and thought this would be a fun idea. "I will always remember that".

isis-killer-beheading-video-story-top Who's involved in Urban Meyer's Ohio State domestic abuse scandal?
Aug 03, 2018 - 07:28
Of course, whether Shelley Meyer really did tell her husband about Zach Smith is the subject of Ohio State's investigation. While Meyer is on leave, offensive coordinator Ryan Day will serve as head coach.