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GOP congressman Chris Collins will plead guilty to insider-trading charges
GOP congressman Chris Collins of New York's 27th District will plead guilty to insider trading, Bloomberg reported Monday morning, citing court documents and sources close to the case.
Collins submitted his letter of resignation to House Speaker Nancy Pelosi and New York Governor Andrew Cuomo Monday afternoon. The resignation will go into effect Tuesday.
The GOP congressman was charged with trading on non-public knowledge on Innate Immunotherapeutics, an Australian biotech firm. Collins was arrested in August 2018 with his son, Cameron Collins, along with the father of Cameron's fiancee, Stephen Zarsky.
All three first pled not guilty to the crimes, but Cameron and Zarsky will change their pleas with the congressman, Bloomberg reported. Collins' change-of-plea hearing is set for 3 p.m. ET Tuesday in Manhattan federal court, while Cameron and Zarsky's hearings are scheduled for 2 p.m. ET Thursday.
Chris Collins served on the Innate's board and called his son with a stock tip after the company failed a key drug test, prosecutors claimed. Cameron then sold shares of the company and passed the information on to Zarsky, who also unloaded shares, according to the complaint.
The trades occurred before news of the failed trial was made public, prosecutors alleged. Innate stock dropped 92% on the Australian Securities Exchange after the public announcement of the drug's failed test.
Lawyers for Collins could not be immediately reached.
GOP congressman Chris Collins of New York's 27th District will plead guilty to insider trading, Bloomberg reported Monday morning, citing court documents and sources close to the case.
Collins submitted his letter of resignation to House Speaker Nancy Pelosi and New York Governor Andrew Cuomo Monday afternoon. The resignation will go into effect Tuesday.
The GOP congressman was charged with trading on non-public knowledge on Innate Immunotherapeutics, an Australian biotech firm. Collins was arrested in August 2018 with his son, Cameron Collins, along with the father of Cameron's fiancee, Stephen Zarsky.
All three first pled not guilty to the crimes, but Cameron and Zarsky will change their pleas with the congressman, Bloomberg reported. Collins' change-of-plea hearing is set for 3 p.m. ET Tuesday in Manhattan federal court, while Cameron and Zarsky's hearings are scheduled for 2 p.m. ET Thursday.
Chris Collins served on the Innate's board and called his son with a stock tip after the company failed a key drug test, prosecutors claimed. Cameron then sold shares of the company and passed the information on to Zarsky, who also unloaded shares, according to the complaint.
The trades occurred before news of the failed trial was made public, prosecutors alleged. Innate stock dropped 92% on the Australian Securities Exchange after the public announcement of the drug's failed test.
Lawyers for Collins could not be immediately reached.
