New York Congressman Chris Collins Arrested on Insider-Trading Charges

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Collins, who was one of President Donald Trump's first congressional endorsers, has been under scrutiny for the a year ago for potential insider trading of shares of Innate Immunotherapeutics, a company where Collins himself is the largest majority shareholder.

While the drug failed testing tanked the company's share price by 92 percent, Collins' tip allowed all three men to avoid almost $800,000 in losses, according to the indictment.

His son allegedly both acted on the information and conveyed it to Stephen Zarsky, the father of his fiancee. Prosecutors say Cameron Collins then passed the information along to Zarsky, who made a trade.

Attorneys representing Collins said in response to the indictment that they are confident the congressmen will be "completely vindicated and exonerated", NBC producer Alex Moe reported. Indeed, Collins lost $17 million when the company's stock pice dipped down to five cents, according to reports from last June.

Collins, one of President Donald Trump's strongest congressional allies, remains under investigation by the committee, which has the power to sanction lawmakers.

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They added: "It is notable that even the government does not allege that Congressman Collins traded a single share of Innate Therapeutics stock".

The statement indicated that Collins would address the charges later on Wednesday.

Collins, who resigned in April from the Innate board, has denied wrongdoing.

Collins, whose district covers parts of western NY between Buffalo and Rochester, has denied any wrongdoing.

Attorneys for Chris Collins released a statement Wednesday morning, noting that the congressman would say more on the issue later in the day.

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