The stock was temporarily halted after plunging as much as 43% earlier in the day.
Kodak executives including CEO Jim Continenza are also facing criticism for receiving stock options on July 27, a day before the loan announcement.
White House Press Secretary Kayleigh McEnany on Monday would not say whether President Trump will pull the plug on a recent deal with Kodak, but said he takes allegations of insider trading against the company “very seriously.” She added that the president has “strong faith in the process” and that the administration will not proceed until the allegations are cleared.
The $765 million loan was meant to launch Kodak Pharmaceuticals, which will produce generic active pharmaceutical ingredients to reduce America’s dependency on foreign drug makers. The company would hire some 350 workers, most in New York state, and create approximately 1,200 indirect jobs.
Kodak didn’t immediately respond for comment.