MANHATTAN (WKBW) — The son of former Congressman Chris Collins has pleaded guilty to conspiring to commit securities fraud.
Prosecutors say Cameron Collins illegal sold large amounts of stock in Innate Immunotherapeutics, Ltd. a day before it was announced that a clinical trial for a multiple sclerosis drug had failed. Chris Collins, who was on the board of the Australian company, tipped off his son from the lawn of the White House, allowing Cameron Collins and his future father-in-law to make illegal stock trades to avoid more than $700,000 in losses.
Stephen Zarsky, the father of Cameron's fiancee, also pleaded guilty to insider trading charges Thursday inside U.S. District Court in Manhattan.
Both co-defendants face up to five years in prison under the terms of their plea deals.
Cameron Collins will be sentenced on January 23. Zarsky faces sentencing on January 24.
Chris Collins pleaded guilty Tuesday to making false statements and conspiring to commit securities fraud. The four-term Republican congressman resigned his seat representing the 27th District a day earlier.
Collins faces up to 57 months in prison and $250,000 in fines for each count under his plea deal. He will be sentenced January 17.