Chris Collins, a US representative from New York, resigned after federal authorities charged him with securities fraud. He pleaded guilty to conspiracy to commit securities fraud and lying to investigators following his resignation.
Voters in New York’s 27th District returned Collins to office by a narrow margin in November 2018 despite the indictment. Previously, Congressman Collins had pleaded not guilty to the charges and said he intended to fight them. Authorities announced that they intended to pursue additional charges against Collins.
Following that disclosure, Collins changed his plea and resigned from his office. The additional charges would have included securities fraud, wire fraud, and conspiracy to commit wire fraud. A judge could have sentenced him to 20 years on each of those charges, if he were convicted.
The charges stem from advance information the Congressman received regarding a failed clinical trial for an Australian pharmaceutical company. Collins had previously sat on the company’s Board of Directors. He passed the information to his son, who sold thousands of shares of stock before the company announced the failure. Through the stock sale, the son avoided nearly $600,000 in losses.
The House Office of Congressional Ethics previously targeted Collins in a probe of his conduct in 2017. Investigators there concluded that Collins may have violated House ethics rules in that case.
When he returns to court, Mr. Collins could face a sentence of as much as 10 years in federal prison.
Los Angeles securities fraud attorney
When you face charges related to investment fraud or insider trading, hire an experienced securities fraud attorney like Robert Helfend. Mr. Helfend has more than 30 years of experience exclusively in criminal defense. He takes federal cases in any circuit in the United States. He also takes state-level cases in Los Angeles County and throughout Southern California.
Federal prosecutors fight aggressively for convictions, so your best defense is to fight back aggressively. Many federal defendants believe that their best deal is a plea bargain. That might be true in some cases, but it’s not always the case! When you have a top-rated defender on your side, you can be sure that you’re getting the best advice and counsel on your case.
Contact Robert Helfend or call toll-free at (800) 834-6434, (310) 456-3317, (818) 591-2809 or (805) 273-5611 for an immediate consultation on your Los Angeles County securities fraud case.
Photo Credit: DavidMesaAZ, via Flickr.com