The Following Situations May Be Covered by Insider Trading Laws

The following situations may be covered by insider trading laws in the United States. Please examine each situation described and indicate whether in your opinion a violation of insider trading laws might have occurred. What kind of violation, if any?
a. The chief financial officer of Start Corporation reads an internal memorandum criticizing the firm's recent oil field development investments and picks up his phone to call his broker, placing an order to short sell the firm's shares when the market opens in the morning.
b. Corren Professional Corporation, a CPA firm, assists Selkirk Industrial Corporation with its quarterly and annual financial reports. Jim Roberts, a CPA with Corren, after reviewing the latest information provided by Selkirk's CEO, calls a friend and suggests making certain stock and bond trades involving Selkirk's securities. Roberts will not benefit financially from these suggested trades and refuses to be involved in the transactions.