Washington (CNN) Rep. Chris Collins' indictment on insider trading charges Wednesday morning has turned yet another safe Republican seat into a potential battleground in November's midterm elections.

The charges -- stemming from Collins' actions while at a congressional picnic at the White House last year -- led the House GOP's campaign arm to distance itself from Collins and what could be an unfolding ethics scandal.

"These are very serious charges. We will let the facts come to light and trust the judicial system as we continue to assess his re-election campaign," said Matt Gorman, the communications director for the National Republican Congressional Committee.

Just hours after Collins' indictment, it's still far from clear what the political fallout will be. Collins was set to hold a news conference Wednesday evening. Lawyers for Collins said the congressman would be "completely vindicated."

"We will answer the charges filed against Congressman Collins in court and will mount a vigorous defense to clear his good name," Collins' attorneys, Jonathan Barr and Jonathan New, said in a statement. "It is notable that even the government does not allege that Congressman Collins traded a single share of Innate Therapeutics stock. We are confident he will be completely vindicated and exonerated."

Read More