In this testimony, Prof. J.W. Verret addresses some of the risks posed by the Stop Trading on Congressional Knowledge Act, which would include in the definition of insider trading any trades based on non-public knowledge about pending legislation or regulation, essentially limiting a private investor from trading on information obtained from government sources. Further, this testimony raises questions about a special immunity provision in the Securities and Exchange Act that currently protects insider trading by the Treasury Department, something the Stop Trading on Congressional Knowledge bill does not address.