The indictment (via Buzzfeed'sMichael Hayes) charges Collins and his son with insider trading relating to securities of Innate Immunotherapeutics - an Australian biotech company.
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.
According to the indictment, the defendants tried to get early word on the results of tests by Innate Immunotherapeutics Limited.
His district covers parts of western NY between Buffalo and Rochester. It is notable that even the government does not allege that Congressman Collins traded a single share of Innate Therapeutics stock.
Lawyers for Collins released a statement expressing confidence he would be "completely vindicated and exonerated". He is scheduled to appear in Federal court later today.
Collins' attorneys said they plan to "mount a vigorous defense to clear his good name". Zarsky is also said to have made trades. They say Zarsky traded on it and tipped off at least three others.
The House Ethics Committee investigated Collins' ties to the Australian biotechnology company in 2017 after the Office of Congressional Ethics, an independent watchdog group, recommended the committee launch a full investigation.
This led to three trades, it is alleged, that helped the defendants avoid $768,000 U.S. in losses.
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