Published: Wed, August 08, 2018
Worldwide | By Angelina Lucas

Congressman Chris Collins Arrested For Insider Trading

Congressman Chris Collins Arrested For Insider Trading

Collins was charged Wednesday with insider trading for tipping off his son, Cameron, one of Innate's top shareholders, ahead of time that the company's multiple sclerosis drug MIS416 failed a clinical trial - a development that caused Innate's stock to plummet 92 percent past year.

Price, who was President Trump's first HHS Secretary until resigning in late September of 2017, may have made out the best of any lawmaker who bought the Innate stock - Price was forced to sell his stock in February 2017 as part of a divestment agreement when he joined the Trump Cabinet.

The Daily Beast said previous year that Collins' daughter, Caitlin, was the company's fifth-largest shareholder and his son, Cameron, was its sixth-largest.

It had the potential to be a big moneymaker for the company since there aren't many treatments available for the disease. It didn't show any promise in treating the disease.

Collins and top company executives expected the drug to pass clinical trials, which would significantly raise the value of the company's stock.

Collins' trades in Innate Immunotherapeutics had already been the subject of a House ethics probe. 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. "How are these results even possible?"

Prosecutors allege that Collins passed along secrets to his son in June 2017.

Don Lemon fires back against 'nasty, hateful' Trump attack
Menendez wrote in a tweet Monday that Trump wouldn't have questioned James' intelligence or charity work if he were white. Back in February, LeBron agreed with the Golden State Warriors refusing to visit Donald Trump at the White House.

The case is U.S. v Collins, 18-cr-567, U.S. District Court, Southern District of NY.

Chris Collins couldn't sell off his stock, according to prosecutors; He was already under a congressional ethics investigation and his stock was in the Australian markets, which had already halted trading of Innate stock. In addition, the watchdog group alleged Collins used his office to benefit the company by mentioning certain drugs at committee hearings and pushing Innate drugs to National Institute of Health officials. All three also face civil charges by the U.S. Securities and Exchange Commission. "I rarely buy or sell stock", he told the Chronicle in May.

The indictment also names his son, Cameron Collins, and Stephen Zarsky, the father of his son's fiancée.

The attorneys added that Collins "will have more to say on this issue later today".

The congressman spoke to the Federal Bureau of Investigation on April 25, 2018. "Collins and his co-defendants made $768,000".

Within minutes, Chris Collins phoned his son and relayed the information "knowing that it was in breach of his duties to Innate and anticipating that Cameron Collins would use it to trade and tip others", the documents state.

Collins is being charged with 13 counts of security fraud, wire fraud, and false statements.

Like this: