In an about-face, US Congressman Chris Collins is ending his re-election bid days after the Republican congressman from New York was charged with insider trading related to a small Australian biotechnology company.
Collins, a prominent Republican supporter of US President Donald Trump, has been charged by US authorities with fraud and lying to the FBI about illegal trading in Innate Immunotherapeutics shares in June 2017.
He released a statement on Saturday saying he will suspend his campaign and finish the rest of his term. Collins was indicted Wednesday on charges he passed inside information about the company to family members so they could profit from illicit trades. He had said later that day he would remain on the ballot despite the indictment and fight the charges.
But Collins reversed himself on Saturday. "I have decided that it is in the best interests of the constituents of NY-27, the Republican Party and President Donald Trump's agenda for me to suspend my campaign for re-election to Congress," his statement said.
US Congressman Chris Collins faces the media. Source: AAP
He went on to say he will fill out his term and "continue to fight the meritless charges brought against me". He has denied any wrongdoing.
Collins' decision to end his re-election bid appeared to boost Democrats' chances of taking in a solidly Republican district, but the announcement left unanswered questions including how Collins' name could be removed from the ballot.
Wednesday's indictment charges Collins and two others, including his son, with conspiracy, wire fraud and other counts.
In a statement to the Australian stock market on Thursday, Innate said it co-operated fully with requests for information by the US Securities and Exchange Commission regarding Collins, a former Innate director and one of its biggest shareholders.
"The company and its directors/officers (excepting Collins) are not under investigation," the Melbourne-based biotech said.
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