The lawsuit against Collins and the other defendants was related to the securities of Innate Immunotherapeutics, which was developing a drug for multiple sclerosis.
According to the indictment, in June 2007, Collins received non-public information about clinical trial results for the drug for multiple sclerosis. He learned that the drug trial results were “clinical failure.” At the time, he was a member of the company’s board of directors.
Collins immediately passed on the information to Cameron, who also conveyed it to Zarsky and other people. Cameron, Zarksky and others sold shares of Innate Therapeutics based on the insider information and avoided losses totaling approximately $768,000.
The three defendants pleaded not guilty to the charges against them.
During a press conference on Wednesday, Collins said, “I will mount a vigorous defense in court to clear my name. I look forward to being fully vindicated and exonerated.”
New York GOP Chairman Ed Cox commented, “No one is above the law, but Chris deserves his day in court and we will wait to see what unfolds.”
