Justice Department clears 3 senators in stock sales investigation, but Burr's case appears ongoing

WASHINGTON – The Justice Department has closed its investigation into three senators over stock sales made just before the market slide triggered by the coronavirus outbreak, according to people familiar with the matter.

Federal prosecutors notified Sens. Dianne Feinstein, D-Calif.; Kelly Loeffler, R-Ga.; and James Inhofe, R-Okla.; that the Justice Department will not be pursuing insider trading charges against them, people familiar with the matter said. 

A Justice Department spokeswoman declined to comment on the development, which was first reported by the New York Times.

The investigation into Sen. Richard Burr, R-N.C., who stepped down as chairman of the Senate Intelligence Committee this month after the FBI seized his phone, appears to be ongoing. A spokeswoman for Burr declined to comment.

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The Justice Department began investigating the stock sales of the four senators this year after their financial-disclosure statements showed that they, their spouses or advisers, sold large chunks of stock around the time lawmakers were receiving behind-the-scenes briefings about the severity of the coronavirus. 

The three senators who have been cleared have denied any wrongdoing. 

"Today's clear exoneration by the Department of Justice affirms what Senator Loeffler has said all along – she did nothing wrong," Loeffler's spokesman, Stephen Lawson, said in a statement, calling the allegations a "politically-motivated attack."

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Loeffler was appointed by Georgia Gov. Brian Kemp this year and faces a tough primary race against Rep. Doug Collins, R-Ga. 

She and her husband, New York Stock Exchange Chairman Jeffrey Sprecher, sold $1 million to $2.49 million in February, according to disclosure statements. Inhofe sold $50,000 to $100,000 in stock, and Feinstein's disclosure report showed sales of $1 million to $5 million in stocks. 

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Loeffler and Inhofe said their financial transactions were handled by third-party advisers. A spokesman for Feinstein said the stock sales were made by her husband, not the senator, and the couple's assets are separate. 

Burr asked the Senate Ethics Committee to review his transactions involving up to $1.6 million. He has said that he made the trades based on news reports about the pandemic, and not on private information senators received during briefings.

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Contributing: Kevin Johnson, Ledyard King and Nicholas Wu

This article originally appeared on USA TODAY: Coronavirus: DOJ clears Feinstein, Loeffler, Inhofe in stock sales