>> Congressman Collins cheated our markets.>> Congress Chris Collins of New York indicted for insider trading Wednesday. Landing a key supporter of President Trump in legal hot water just months before the midterm elections. Prosecutors say Collins, who sat on the board of a publicly traded Australian biotech firm.
Passed on insider tips about a key drug trial to his son and the father of his son's fiancee. U.S. Attorney Geoff Berman.>> Congressman Collins had an obligation, a legal duty, to keep that information secret. Instead, as alleged, he decided to commit a crime.>> Prosecuters said that in June, 2017, Collins was at a White House picnic for lawmakers when he learned by e-mail that a trial for a multiple sclerosis drug had failed.
According to the indictment, Collins tried six times in a span of five minutes before reaching his son by phone.>> He tipped his fiancee. He tipped his fiancee's wife. He tipped his fiancee's father.>> They alleged Collins' son and others traded on the information about the firm Innate Immunotherapeutics.
Avoiding more than $700,000 in losses. The incitement alleges Collins also lied about the matter to the FBI. Collins pleaded not guilty Wednesday afternoon at his arraignment in federal court in Manhattan. In a statement, Collins' lawyer said they plan to quote, mount a vigorous defense to clear his good name.
>> President Trump is going to build a wall.>> Collins is one of the earliest Congressional endorsers of Donald Trump. He is running for re-election to his upstate New York seat just as Democrats are making a major push to take back the House of Representatives. House Speaker Paul Ryan announced Collins would be stripped of his position on the House Energy and Commerce Committee until the case is resolved.