Federal authorities are investigating former congressman George Santos over allegations that he engaged in insider trading on a prediction market tied to his own attendance at a State of the Union address.

He reportedly placed bets on Kalshi that he would not attend the event while publicly suggesting the opposite, which may have allowed him to profit from shifting market odds.

The platform flagged the suspicious activity and referred it to the Commodity Futures Trading Commission and the Department of Justice, which have both opened inquiries.

Santos, who has a history of legal and political scandals, has not confirmed or denied involvement and gave evasive responses when asked, The Guardian has reported.

The case adds to growing scrutiny of prediction markets and concerns about their potential for insider trading.