Do not display all elements in a scorm package with some levels nested items. This only occurs in IE7. I checked with SCORM 1.2 on FF 3.6 and Chromium 9. Attached the package that I tested and screenshots of problem. I found that li tag (in nested item) doesn't close and that causes the problem. I applied a temporary patch (in moodle/mod/scorm/datamodels/scorm_12lib.php), hope this help.