Buffalo, N.Y. (WHAM) - Days after federal attorneys charged him with insider trading and lying to the FBI, Congressman Chris Collins has announced he will not be seeking re-election for his seat in the House of Representatives.
The Republican representative from New York’s 27th District made the announcement in a statement Saturday morning.
A federal complaint filed Wednesday morning alleges that in June 2017, Collins used non-public information from an Australian biotech firm to tip off his son Cameron Collins to sell stock in the firm ahead of a failed clinical trial for a drug that treated multiple sclerosis. Collins was serving as a board member at the time.
By selling millions of shares ahead of the public announcement about the drug's failed trials, the Congressman's son and everyone who was tipped off ahead of time avoided losing approximately $768,600, according to court paperwork.
Rep. Collins, his son and the father of his son's girlfriend were all charged with insider trading.
Collins had posted $500,000 bail after pleading not guilty in front of a federal judge in Manhattan. He said at a news conference late Wednesday evening that he would fight the charges.
13WHAM News will continue to update this story as more information becomes available.