The House Ethics Committee has determined that Rep. Mike Kelly (R-Pa.) violated the House’s code of conduct in connection with his wife’s stock purchases, raising serious concerns about his cooperation during the years-long investigation.
Key Findings
The committee’s report, released Friday, centered on whether Kelly shared nonpublic information that led to his wife, Victoria Kelly, profiting from investments in Cleveland-Cliffs, a steel company directly impacted by his congressional work. While the panel did not find enough evidence to prove insider trading or legal violations, it concluded that Kelly’s conduct fell short of ethical standards for House members.
The committee recommended that both Kelly and his wife divest from the company before he takes any further official action related to it.
Stock Trades Raise Questions
According to the report, Victoria Kelly bought 5,000 shares of Cleveland-Cliffs stock in 2019, one day after Rep. Kelly learned that a local steel plant in his district would remain open due to a tariff decision he supported. She later sold the shares for a profit of more than $64,000.
During the ongoing investigation, she made an additional purchase of Cleveland-Cliffs stock—a move the committee called “particularly concerning.” The report said Rep. Kelly failed to disclose that transaction in a timely manner and declined to answer questions about it.
Lack of Cooperation Noted
The panel emphasized the Kellys’ lack of cooperation throughout the investigation, including Victoria Kelly’s refusal to be interviewed or answer written questions. She cited previous document submissions and health concerns. Rep. Kelly himself gave conflicting answers during his interview and failed to clarify the second stock purchase.
“The Committee remains troubled by Representative Kelly’s conduct during the course of this investigation,” the report stated, criticizing his failure to appreciate “the harm to the institution caused by the appearance of impropriety.”
Kelly Responds
In a statement Friday, Rep. Kelly blasted the investigation as a prolonged and unnecessary distraction that lasted nearly five years. “My family and I look forward to putting this behind us,” he said.
Conclusion
Although the committee did not find definitive proof of insider trading, it concluded that Kelly’s actions—and his failure to fully cooperate—violated ethical expectations for a sitting member of Congress.
