READ: Chris Collins Insider Trading Indictment Court Documents

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Rep. Chris Collins (R-NY) was arrested and indicted on federal insider trading charges Wednesday.

The Congressman, his son, and his son's father-in-law also all face charges of making false statements to the Federal Bureau of Investigation, denying that they had been wrongly given any inside information by Rep. Collins about Innate's drug trial failure.

The Department of Justice released a statement that said the indictment is related to an Australian biotechnology company, Innate Immunotherapeutics.

He accused Collins of tipping off his son and family and a friend to trade stock in a biotech company before drug trial results caused the stock to drop, saving some $768,000.

"The charges against Congressman Collins show the rampant culture of corruption and self-enrichment among Republicans in Washington today", House Minority Leader Nancy Pelosi (D-Calif.) fired off in a statement before prosecutors had even held a news conference to explain what they think Collins did wrong.

Collins, who represents the suburbs of Buffalo and rural counties in upstate NY, became the first House Republican to endorse Donald Trump's bid for the Republican presidential nomination. McMurray, the Grand Island Town Supervisor, does not have a lot money, but "may stand a chance" to win the 27th Congressional District seat, said Republican Erie County Legislator Kevin Hardwick.

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The charges were announced and the indictment unsealed in New York City on Wednesday. In addition, the watchdog group alleged Collins used his office to benefit the company by mentioning certain drugs at committee hearings and pushing Innate drugs to National Institute of Health officials.

Collins then called his son, Cameron, to tell him the results, according to the indictment.

In October of 2017, the Office of Congressional Ethics issued a report saying that Collins may have broken House rules by allegedly sharing insider information about the company.

Collins, who resigned in April from the Innate board, has denied wrongdoing.

"We will answer the charges filed against Congressman Collins in Court and will mount a vigorous defense to clear his good name". By the time he sold the shares in February 2017, they were worth roughly 70 cents each, giving him a profit of more than $150,000, according to ProPublica.

"They could only sell their shares by virtue of the initial tip of inside information by Congressman Collins".