Collins hopes to plead guilty to insider trading

The charges include the illegal disclosure of confidential information about a biopharmaceutical company to your child, allowing Cameron Collins and another man to avoid inventory losses of nearly $ 800,000.

Image via AP Photo/Seth Wenig, File

NEW YORK (AP) – A Republican representative from western New York, Chris Collins, is scheduled to appear in court to plead guilty in a case of insider trading that has been pending for a year, according to court records. on Monday.

A federal judge in Manhattan has scheduled a hearing for Collins to plead guilty in the case Tuesday afternoon. A similar hearing was scheduled for Thursday for the son of Congressman Cameron Collins.

Collins’ lawyer did not immediately respond to messages requesting comments on Monday. The US Attorney’s Office in Manhattan declined to comment.

The court’s argument did not specify the charges brought by Collins. He was charged with insider trading and lying to the FBI during the investigation.

Collins, who was one of the first members of Congress to support President Donald Trump’s candidacy for the White House, was scheduled to appear in court next year for illegally disclosing to his son confidential information about a biopharmaceutical company. Cameron Collins and another man are expected to avoid nearly $ 800,000 in inventory losses.

 

The case, filed on August 2018, initially caused Collins to forgo a re-election bid, but resumed his campaign a month later, as Republican leaders deliberated over who would replace him.

At that time, he said that “the stakes are too high to allow the radical left to take control of this seat in Congress.”

The charges turned Collins’ expected easy re-election into a heavily Republican district, but he managed to defend himself from Democratic challenger Nate McMurray by a small margin.

A conviction would probably lead to the resignation of Collins from Congress. The most serious charge is punishable by imprisonment for up to 20 years.

The charges stem from Collins’ decision to disclose information about Innate Immunotherapeutics Ltd., a biotechnology company based in Sydney, Australia. Collins was the company’s largest shareholder, with close to 17% of the shares, and sat on its board of directors.

Prosecutors said Collins was attending a picnic at the White House on June 22, 2017, when he received an email from the company’s executive director stating that a drug developed by the company to handle multiple sclerosis had failed in a clinical trial.

“Wow, that makes no sense, how are these results possible?” Replied Collins by e-mail.

Prosecutors said he later called his son, Cameron Collins, accused of passing this information to his fiancĂ©e’s father.