PROOF CHECKLIST INSIDER TRADING Elements of an Insider Trading Violation Proof 1. Respondent possessed non- public information about the issuer-company or the market for its shares. 1.a. Testimony of hte "tipper",i.e., the person who communicated the nonpublic information to the Respondent (the "tippee") prior to the transaction(s).     1.b. Documents stating that the nonpublic informa- tion was directly discussed with Respondent or discussed at a meeting where Respondent was present;     1.c. Telephone toll records showing communica- tions between the tipper and tippee prior to the transaction(s). 2. Such nonpublic information was material information.   2.a. Evidence of any attempts by Respondent to conceal or otherwise keep the information nonpublic;     2.b. Testimony of any expert witness as to the materiality of the information. 3. Respondent bought or sold the securities of the company; and 3.a. Order ticket and/or confirmation reflecting the transaction(s). 4. Respondent owed a duty to the seller (or buyer) of the securities. 4.a. Customer agreement showing the firm's rela- tionship with the selling (or buying) customer;     4.b. Customer confirmation showing firm's capacity in the trade with the customer. 5. Respondent failed to disclose the nonpublic information he possessed. 5.a. Examiner testimony concerning the search of Dow Jones or other news services and the absence of any public disclosure;     5.b. Testimony of transaction contra-side represen- tatives that no disclosure was made.