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Anderson Cooper 360 Degrees

Witness in Stewart Trial Charged With Perjury; Kerry Campaign Set to Delay Acceptance of Nomination; Abu Ghraib Investigation Continues

Aired May 21, 2004 - 19:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


ANDERSON COOPER, CNN ANCHOR: Good evening. I'm Anderson Cooper.
Did a prosecution witness in the Martha Stewart trial lie? 360 starts right now.

(BEGIN VIDEOTAPE)

COOPER (voice-over): Bombshell development in the Martha Stewart case. A government witness charged with perjury accused of giving false testimony. Will Martha get a new trial after all?

Cash and carry, Kerry considers not accepting the nomination at the Democratic convention, why? It's all about the Benjamins.

Deadly rip currents hit the Florida coast on the front lines with the lifeguards saving swimmers every day.

And, Einstein, Edison, Da Vinci and Churchill had them, could your childhood learning disabilities be an asset as an adult? Find out ahead.

(END VIDEOTAPE)

COOPER: Good evening.

We begin with a surprising development in the Martha Stewart case. Just 28 days before she is scheduled to be sentenced a Secret Service ink expert who testified for the prosecution is now charged with perjury. Her lawyers are vowing to ask for a new trial.

Here's CNN's Chris Huntington.

(BEGIN VIDEOTAPE)

CHRIS HUNTINGTON, CNN CORRESPONDENT (voice-over): It may be the best news Martha Stewart has heard all year. The same U.S. attorney who convicted her and her former broker, Peter Bacanovic, of obstructing justice today charged one of the government's key witnesses with two counts of perjury for lying on the stand.

DAVID N. KELLEY, U.S. ATTORNEY: A trusted and accomplished lab examiner and public servant violated the public trust.

HUNTINGTON: Larry Stewart who runs the U.S. Secret Service Crime Lab and is no relation to Martha allegedly lied when he told the jury that he personally analyzed the blue ink from Bacanovic's worksheet with the famous notation "at 60." That's the price at which Martha Stewart claimed she always intended to sell her stake in ImClone Systems.

Attorneys for the convicted style maven said the new perjury charges "clearly demonstrate that the trial of Martha Stewart was fatally flawed and unfair. If anyone believes that Martha Stewart was not prejudiced, they are extremely naive."

Bacanovic's lawyer said the development "will require a new trial" but U.S. Attorney David Kelley was quick to downplay the impact of the charges against Larry Stewart.

KELLEY: We are quite confident that the false testimony will have no impact on the convictions.

HUNTINGTON: One veteran securities lawyer who heard Larry Stewart testify agrees.

UNIDENTIFIED MALE: His results have not been challenged. What is being attacked is whether he was at a certain testing but realistically it has nothing to do with the conviction.

(END VIDEOTAPE)

HUNTINGTON: Now, Stewart's attorneys have already been denied one retrial request regarding a juror who lied about his criminal record and legal analysts say though that that old claim bundled together with the new perjury charges could give the defense team some traction.

Martha Stewart for her part today issued a statement in part saying that she promises to continue doing everything she can to help people bring good things to their homes and their lives -- Anderson.

COOPER: All right, Chris thanks very much, surprising development.

Regardless of the legal outcome, investors sure liked today's developments. Shares in Martha Stewart Living Omnimedia soared on the news. Here's a 360 "Fast Fact."

Shares in Stewart's company jumped 8.8 percent or 75 cents to $9.30 after rising almost 22 percent earlier in the day to a session high of $10.40, heavy trading indeed.

We're going to look and talk about the potential court moves in this case later on 360 with CNN's Senior Legal Analyst Jeffrey Toobin.

A non-conventional tactic in the race for the White House that is next. CNN confirms that John Kerry is seriously considering delaying his acceptance of the Democratic presidential nomination. The motive is money.

Our Senior Political Correspondent Candy Crowley explains. (BEGIN VIDEOTAPE)

CANDY CROWLEY, CNN SR. POLITICAL CORRESPONDENT (voice-over): Suppose they held a convention.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I proudly accept your nomination.

AL GORE, FORMER VICE PRESIDENT OF THE UNITED STATES: I accept your nomination.

CROWLEY: And suppose the nominee said not now? John Kerry is thinking about it. "We are looking at this and many other options very seriously" his campaign says "because we won't fight with one hand behind our back."

Camp Kerry sees it as a matter of time and money. Once they are nominated, Kerry and George Bush are expected to take $75 million in federal funds which will be all their campaigns will be allowed to spend.

The Democrats convention is in late July, the Republicans almost five weeks later. Bottom line John Kerry has to make $75 million last five weeks longer than George Bush. Put differently George Bush has five weeks more to spend money he raised during the primary season.

Says the Bush-Cheney team, "Only John Kerry could be for a nominating convention but be against the nomination."

UNIDENTIFIED MALE: Why not accept the nomination?

CROWLEY: While Kerry's campaign says it's serious about delaying his acceptance of the nomination, strategists also admit they leaked the news to highlight Kerry's hearty fund-raising numbers. Saturday they plan to announce another successful Internet run, $10 million raised in ten days.

Candy Crowley, CNN, Washington.

(END VIDEOTAPE)

COOPER: Politics just gets more and more interesting.

Outside the notorious Abu Ghraib Prison today there was joy as more than 450 detainees were released from that jail and reunited with their families. Another 400 are expected to be released next week that as probes into exactly what happened inside the prison expand.

This afternoon the Pentagon saying that criminal investigations are underway into the deaths of several detainees held by U.S. forces in Iraq as well as in Afghanistan and the Army's criminal investigation command continues to try to identify additional soldiers and personnel seen in both the photos and videos of abuse of Iraqi prisoners even as more of those are revealed.

Here's CNN Senior Pentagon Correspondent Jamie McIntyre. (BEGIN VIDEOTAPE)

JAMIE MCINTYRE, CNN SR. PENTAGON CORRESPONDENT (voice-over): A short, silent digital video posted by "The Washington Post" on its Web site shows what appears to be a detainee punched in the face. Then naked and hooded prisoners are dragged into the human pyramid seen in previous photographs.

Still pictures obtained and published by "The Post" show more violent abuse. Here Specialist Charles Graner, one of the accused ringleaders, seems poised to strike a hooded and bound detainee, a photograph his lawyers insist was posed.

In other photographs, detainees are seen shackled to railings, standing on boxes in what appears to be an uncomfortable position and seemingly threatened with military dogs but it's the statements obtained by the newspaper, translated interviews of the detainees conducted by U.S. military investigators in January that contained the most chilling allegations of mistreatment.

"They forced me to eat pork and put liquor in my mouth" one detainee said. "They ordered me to curse Islam and because they started to hit my broken leg I cursed my religion." He also claimed to be tortured, saying he was hung from a door "for more than eight hours. I was screaming in pain the whole night."

Another prisoner said, "They forced us to walk like dogs on our hands and knees and we had to bark like a dog and if we didn't do that, they started hitting us hard on our face and chest with no mercy."

Another said Specialist Graner would "throw the food into the toilet" and would tell prisoners to "go take it and eat it."

Like some previous photographs, the new video and pictures seem to show more than just the seven soldiers who have been charged. Sources say an investigation into what role military intelligence and civilian interrogators played in the abuse is nearing completion.

(END VIDEOTAPE)

MCINTYRE: And today the Pentagon revealed that there have been 33 cases in which prisoners have died while in U.S. custody. Two of those cases already ruled unjustified homicide.

There are eight open investigations of deaths, six of them in Iraq, three in Afghanistan, one of them already ruled a death by natural causes but those cases are all cases in which U.S. soldiers could be found liable for causing the deaths of prisoners in their control -- Anderson.

COOPER: All right, Jamie McIntyre live at the Pentagon thanks Jamie.

Also, out of Iraq tonight developments into the investigation into the beheading of American Nicholas Berg, senior U.S. military officials say that coalition forces are questioning two people in possible connection with his gruesome murder. Two others have been released.

For former Iraqi hostage Thomas Hamill life is slowly returning to normal. The civilian contractor is back home in Macon, Mississippi after escaping his captors in Iraq earlier this month luckily with just a bullet wound in his right arm. Today he gave his first TV interview.

(BEGIN VIDEO CLIP)

THOMAS HAMILL, FORMER HOSTAGE: It's not a normal day. I'm not farming. I'm not out on the farm driving a tractor but it won't be long. I'll be back out there. I get this arm taken care of. I'll be back on the tractor.

I got -- I got fields that need to be clipped over there and I'll be back over there when this arm. When this arm heals up it will be back to normal again but it's just being home and being here in the house that's pretty normal right now.

(END VIDEO CLIP)

COOPER: Well, he sounds good. Hamill, a truck driver for a subsidiary of the Halliburton Corporation, was kidnapped you'll remember during an attack on his supply convoy April 9. You might also remember his captors had threatened to kill him unless the U.S. lifted its siege on the city of Fallujah.

Here's a quick news note for you. President Bush will deliver a prime time speech on Monday to outline what the White House calls a clear strategy on Iraq leading up to the June 30 transition deadline. Special coverage begins right here on 360 Monday at 7:00 p.m. Eastern time, the speech starting at eight o'clock.

Today's "Buzz" is this. Does President Bush have a clear exit strategy for Iraq? Log on to cnn.com/360. Cast your vote. We're going to have results at the end of the program.

Topping our news "Cross Country," a presidential commencement address, let's take a look what's going on.

President Bush speaks to graduating students at Louisiana State University in Baton Rouge. The president promised to do whatever it takes to establish a peaceful and democratic Iraq. He also urged the grads to base their lives on moral character.

Fort Stewart, Georgia, anti-war soldier sentenced. U.S. Staff Sergeant Camilo Mejia has been sentenced to a year in jail and given a bad conduct discharge after a military jury convicted him of deserting his unit in Iraq. Mejia says he has no regrets and that he decided not to return to Iraq from a two-week furlough because he came to believe the war was oil driven and wrong.

In 13 states communications workers on strike, local phone giant SBC Communications and union leaders are back at the bargaining table trying to work out a new contract and end a walkout by almost 100,000 workers. The company says calls for installation and repairs may be delayed but managers and contract workers are handling other tasks, such as directory assistance.

Los Angeles, advertising buzz kill, the U.S. distributor of Tecate Beer says it will take down billboards that some Hispanic lawmakers and activists saw as offensive. Critics say the billboards, which said "finally a cold Latina" promoted stereotypes of Hispanic women. The company says the campaign was meant to be tongue-in-cheek and intended no disrespect.

And Palmetto, Florida, take a look at this. It's car versus gator. A woman grabbed her video camera in time to catch a seven-foot alligator taking a bite out of her car. Wildlife workers eventually trapped the gator.

That's a look at stories "Cross Country" tonight. Try explaining that one to the rental car agent.

360 next the FBI warns of suicide bomb attacks on U.S. soil. Find out what bombers look for in their targets and what we should be on the lookout for.

Also turning a disadvantage into a success, billionaire Richard Branson, that's him there, shares his secret to overcoming dyslexia, part of our special series "Unlocking the Secrets of the Brain."

And, custody fight over an abandoned 3-year-old. Both her parents come forward but is either one of them fit to raise her? I'll ask her mother's lawyer the tough questions.

First let's take a look at your picks the most popular stories on cnn.com right now.

(COMMERCIAL BREAK)

COOPER: Well in tonight's terror watch an ominous warning, the FBI has issued an alert urging law enforcement agents to look out for possible suicide bombers right here in the United States. Now the FBI sent the alert to some 18,000 officers across the country detailing some signs to watch for.

(BEGIN VIDEOTAPE)

COOPER (voice-over): The FBI warns that suicide bombers are often impossible to detect. They tend to target crowded places like malls or transportation hubs, places hard to protect and terrorists usually use explosive devices that are easy to hide but suicide bombings have been prevented in the past.

Last March at a West Bank checkpoint, Israeli soldiers stopped a 14-year-old Palestinian with an explosive belt strapped to his body. Soldiers told reporters the teen's erratic behavior immediately aroused suspicions and experts say that's what most often betrays suicide bombers. CHARLES SLEPIAN, CEO, FORESEEABLE RISK ANALYSIS CENTER: But you will see that their eyes move. They shift from side to side. They look up and down. They can't look into your eyes. They're tense. Their body is tense. Their body language tells you that they're under stress. Their fists are clenched. Their jaws may be clenched. These are obvious signs. They may be perspiring.

COOPER: The FBI tells law enforcement agencies to be on the lookout for people wearing bulky jackets in warm weather or loose clothing over their waistline that could cover an explosive device, also to be on the lookout for the smell of chemicals. Security experts say rule number one for civilians...

SLEPIAN: By all means leave if your instinct is telling you that this is not right. Leave and report it.

COOPER: The FBI says although there have been no specific warnings they're concerned about some upcoming events, July 4, the official opening of the World War II memorial in Washington, D.C., and both the Democratic and Republican National Conventions. Big events but experts remind us that suicide bombers can strike anywhere and at any time.

(END VIDEOTAPE)

COOPER: Well an al Qaeda chemical weapons manual tops our look at global stories right now in the "Up Link."

In the Philippines, intelligence officials say that discovered documents show al Qaeda's arm in Southeast Asia is experimenting with chemical and biological weapons for terror attacks. The documents show how to make toxic chemicals and describes their deadly effects during animal testing.

Tehran, Iran, demonstrators threw stones and Molotov cocktails at a British embassy in the third violent protest this week against the war in Iraq. About 500 Iranians went to the embassy after a nationwide rally drew tens of thousands. No surprise they also chanted death to America and death to Britain.

Rafa, Gaza, troop withdrawal. Israeli troops begin pulling out of the Rafa area after a week of deadly clashes with Palestinians. Israel launched the operation this week to close tunnels used for smuggling. Palestinian sources say Israeli snipers remain in some areas.

The coast of Antarctica now, volcano discovered. The National Science Foundation says a research vessel has found an underwater volcano. Its presence was suggested by sonar studies several months ago. There's no previous record of active volcanoes in the region where the peak was found.

And Surrey, England, look ma no clothes. One British university student set the world record for the number of nude people riding on a roller coaster, 28 of them at a time apparently. The stunt coincides with the ride's 25th anniversary. (Unintelligible) going on with that, that's tonight's "Up Link."

360 next from struggling teen to billionaire mogul, Richard Branson shares his secret of overcoming a learning disability, in his case dyslexia. That's part of our special series "Unlocking the Secrets of the Brain."

Also tonight the president's daughters, the Bush twins graduate from college this weekend and, guess what, they're hitting the campaign trail.

Also a little later, Martha Stewart the bombshell, a key prosecution witness charged with perjury. Will it be her ticket to a new trial?

360 continues.

(COMMERCIAL BREAK)

COOPER: Well, Richard Branson is a self-made billionaire, a man who took the word "virgin" and made it stand for everything from music to airplanes yet he is dyslexic, didn't even finish high school.

Tonight, as we wrap up our series "Unlocking the Secrets of the Brain," what it takes to have a successful brain. In a moment I'll talk with Richard Branson but first the reality of learning disabilities and the fact that many successful people have overcome them.

(BEGIN VIDEOTAPE)

COOPER (voice-over): Albert Einstein had problems with his speech and memory. Thomas Edison was at the bottom of his class. Leonardo da Vinci created writings that had to be read from back to front. And, Winston Churchill stuttered and was put in a dunce class. All struggled as children. All succeeded as adults.

DR. MEL LEVINE, CO-FOUNDER, ALL KINDS OF MINDS: Sometimes your weaknesses as a child evolve into some of your greatest assets when you grow up. We see some children who are very distractible. They daydream. They look out the window during class but those little trips their minds are taking, all that dreaming and free flight of ideas, are enabling them to become increasingly creative and visionary.

COOPER: For 30 years, professor of pediatrics, Dr. Mel Levine has worked with children who have difficulty in school. He says their minds often work in novel ways.

LEVINE: I think there's a real myth about IQ and about the virtues of having an overall high intelligence and that automatically means you're going to be successful in life. I think there are a lot of underemployed, unemployed and dissatisfied adults with very high IQs who have never been able to find their niche.

(END VIDEOTAPE) COOPER: Well, according to the National Information Center for Children and Youth with Disabilities as many as one out of every five people in the United States has a learning disability.

Richard Branson, who is dyslexic, says he's no whiz with numbers but he runs a business with revenues around the world exceeding $5 billion. We spoke earlier.

(BEGIN VIDEOTAPE)

COOPER: What do you think it is about your brain, about the way you process information and the way you see things that has made you successful?

RICHARD BRANSON, FOUNDER & CEO VIRGIN: Well, I was as a child dyslexic, not badly dyslexic but dyslexic had quite a lot of problems in school.

COOPER: You didn't graduate high school.

BRANSON: Yes, I mean my problems at school were such that I actually left school when I was 15 and there were some subjects that I just, you know, had a complete blank about. I mean (unintelligible) mathematics or I mean for instance for years I haven't been able to work out the difference between gross and net. The reason that I think people who are dyslexic seem to exceed quite well in life, having had hell at school, is that you do simplify things.

COOPER: As a business leader you're probably unconventional. You're not sort of the traditional image people may have. Have you always been unconventional in the way you frame things, the way you look at things?

BRANSON: I suppose. I've been running my own businesses since I was 15 and therefore I've been able to dress as I feel comfortable, you know, I've managed to get a wonderful group of people around me and I don't sit behind a desk all day. I get out and, you know, meet people and spend time with people, you know.

So, I think what I'm, you know, quite good at doing is, you know, is creating -- creating something which I'm proud of and the staff who work for me are proud of and then, you know, if you created the best then the figures hopefully, you know, you'll be able to pay your bills and keep, you know, keep everybody in employment.

COOPER: I would imagine sort of when I envision your life, you know, you being on Blackberry's and you being on e-mail and being wired and connected, I understand that is completely not true that you are actually only recently sort of using a cell phone. You don't -- you're not addicted to a Blackberry.

BRANSON: I'm terrified that if I ever did get addicted to, you know, computers or Blackberry's that, you know, they would crash on me and, you know, so, you know, I use a notebook I carry making lists of everything and I check them off.

COOPER: I read that you jot things on your hand. I was looking at your hands now.

BRANSON: Yes, I think actually I've just -- anyway but yes, I mean anything urgent I write on the back of the hand but so, I mean I keep everything, you know, pretty simple.

COOPER: As for those who are listening who maybe their child is dyslexic or has some learning disability what is your message to them? I mean what's your advice?

BRANSON: Obviously someone who's dyslexic you've got to try to get them as much help as they can from, you know, the people at the schools and other people who are specializing in dyslexia. But, you know, in the end I think, you know, the chances are that they may well excel in other areas.

COOPER: Because you had dyslexia at a young age do you think you had to work harder than other people?

BRANSON: Yes, I certainly had to work, you know, to work enormously hard. I had to learn the art of delegation and not try to do everything myself and somehow, you know, somehow it worked out OK.

COOPER: It certainly seems to have. Richard Branson thanks very much.

(END VIDEOTAPE)

COOPER: 360 next, perjury in the Martha Stewart case, will today's bombshell keep her out of prison? We're going to take a closer look at that.

Plus, that abandoned girl, her parents show up after a nationwide search. Now they're fighting for custody but should either one of them get it? I'll ask her mom's lawyer.

Plus, a summer job for the Bush twins, find out how they plan to help dad get reelected, all that and more still to come, 360 continues.

(COMMERCIAL BREAK)

COOPER: Perjury alleged in the Martha Stewart case. A key witness charged but will it keep her from doing hard time? We'll have the latest.

Plus, custody battle over an abandoned girl. Both her parents finally come forward but should either one of them be allowed to take her home? I'll ask her lawyers the tough questions.

First, tonight's "Reset" of the top stories.

(BEGIN VIDEOTAPE)

COOPER (voice-over): In Washington, this could be a first. Democratic presidential candidate John Kerry is seriously considering not accepting his party's nomination at the July convention, not personal.

His aides say it is the only way he can keep up with the president's heavy ad spending. Under federal rules, once a candidate accepts the party nomination he is limited to spending $75 million. Since the Republican convention is five weeks after the Democratic one Kerry is trying to make the most of his campaign war chest.

Iraq and Afghanistan, more prisoner deaths, the Pentagon says the U.S. military is investigating the deaths of eight more prisoners in U.S. custody in Iraq and Afghanistan. The deaths being treated as homicides. They involve suspected assaults on detainees, either before or during interrogation. In all, the military's looking to more than 30 deaths of prisoners, most of them in Iraq.

Houston, Texas, a stabbing incident at a home owned by a basketball star Shaquille O'Neal. A 17-year-old teenager is under arrest for stabbing his own mother several times with a kitchen knife. The pair were cleaning O'Neal's home when they got into a fight. Apparently the L.A. Laker star was not at the house at that time.

In New Jersey, more court time, the legal kind, for Jayson Williams. Prosecutors say they'll retry the former NBA star on a reckless manslaughter charge. A tentative trial date has been set for January 10. Williams was convicted just last month on other charges stemming from the shooting death of his limo driver. The jury could not reach a verdict on the more serious manslaughter charge.

That's a look at "The Reset."

Now this just in, new details about Ahmed Chalabi's fall from grace. A story we covered a lot last night. U.S. intelligence officials confirm that Chalabi, the member of the Iraqi governing council with ties to senior Pentagon officials, gave intelligence secrets to Iran. Let's get more details now from CNN national security correspondent David Ensor. David, what's going on.

DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT: Anderson, here are the three new details. Firstly, that U.S. officials confirm that they have evidence that the information Ahmed Chalabi turned over to the Iranians was so closely held, that only a very few top intelligence officers in the United States know that information.

Secondly, they are saying that there is evidence that Ahmed Chalabi met with a very senior Iranian intelligence official. An official that these sources say has been involved in what they call nefarious activities against the United States. And this is a meeting that Ahmed Chalabi has denied having held.

And finally, I should just tell you that the FBI is confirming tonight that they have an investigation under way now to try to figure out who might have given Chalabi this closely-held intelligence information, which these officials are alleging he passed on to Iran -- Anderson.

COOPER: It's a fascinating development, David. Do we have a sense of the timeline of when he is alleged to have given this information to Iran? Because he's been on the U.S. payroll until last month.

ENSOR: That's right. The first word he might have passed on information to intelligence officials was -- that became public was out in "Newsweek" about two weeks ago. And you'll recall it was just a few days ago that he came off the Pentagon payroll. So, this is all happening fairly quickly.

COOPER: Interesting. David Ensor, thank you very much.

A bombshell in the Martha Stewart case now, her lawyers are vowing to seek a new trial because a Secret Service ink expert, who gave testimony for the prosecution has been charged with perjury, accused of lying on the stand. Is this Martha Stewart's lucky break? Let's talk it over with CNN senior legal analyst Jeffrey Toobin. Jeffrey, good to see you.

JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: Hey.

COOPER: How serious is this? You think it's a bombshell?

TOOBIN: It's a big deal. This is the first time I have ever heard of a prosecution witness being charged with perjury before the defendant has even been sentenced. Whether it's enough to get her a new trial, I don't know, but it's certainly a big legal development. And the judge is going to have a tough call here.

COOPER: There's a question about whether it's big enough to get her a new trial because of what he is alleged to have lied about.

TOOBIN: Exactly.

COOPER: Which is what?

TOOBIN: He's alleged to have lied about whether he himself conducted the tests on the questioned document or whether he merely reviewed another person's work. They claim that he did not do the test and on the witness stand, he said he did.

What makes it legally questionable about whether he gets a new trial is that this document, which was a work sheet on which Peter Bacanovic had written at 60, Bacanovic was charged with falsifying this document. And this fellow Stewart was the main witness against him there. Bacanovic was acquitted on that charge. So the government has asserted, well, no harm, no foul. Since he was acquitted, it doesn't matter that the testimony was false. So neither one of them should get a new trial.

COOPER: But obviously Bacanovic's lawyer and Martha Stewart's lawyer are going to be arguing the complete different.

TOOBIN: Very much. They're going to say, look, it was relevant to the conspiracy charge, of which they were both convicted. Plus, the whole idea of the government presenting perjured testimony from a government expert, that in itself has to give them a new trial.

COOPER: You were at the trial. You saw this man on the stand. Why would he lie about something so inconsequential?

TOOBIN: It is a bizarre, bizarre situation. Although, he was a peculiar person, there's no doubt. He had a big ego. In fact, Robert Morvillo, Martha Stewart's lawyer, kind of laughed about him during summation saying, he claims he's the greatest ink examiner in the entire universe. Which he did, he obviously had a big ego. And that came through in his testimony. And if he in fact lied, you could see that he was trying to puff up his role. And that would, I guess, be the explanation.

COOPER: So it was a lie of embellishment -- embellishing his role in actually studying these documents?

TOOBIN: That is what's charged. And that would be in keeping with the personality he displayed on the witness stand. Although, the idea that he would lie about something so easily provable, too. I mean, you either did or did not perform these tests.

COOPER: The sentencing right now is scheduled for June 17. Is that going to happen?

TOOBIN: My guess is it will not go ahead and scheduled. I think the defense lawyers will say, we want to hearing. We want to be heard about this issue. Put off the sentencing. And since June 17 is almost upon us, I would guess sentencing will be postponed, at a minimum.

COOPER: Fascinating development. Jeffrey Toobin, thanks very much.

Well, the saga of a 3-year-old girl abandoned in Baltimore earlier this month, has now moved to the courts. And the case is getting more complicated by the day.

The little girl's mother, Patricia Harper, says she hadn't seen the girl, who identified herself as Courney, for almost two years. Harper is seeking permanent custody of the little girl whose real name is Akasha. For now, the mother has been granted visitation rights, which start next week on Tuesday. Her attorneys, Gary Gerstenfeld and Rebecca Coska join us from Washington. Appreciate both of you being on the program. Thank you very much. Gary, I talked to you last night.

GARY GERSTENFELD, ATTORNEY: You sure did.

COOPER: Gary, today you asked a judge to give custody of Akasha to her mother, your client. Now, the dad didn't even show up to court. Do you actually expect him to fight for custody?

GERSTENFELD: Well, I'm not sure if fight is quite the right word. I think he'll probably at some point make an appearance.

COOPER: Do you know why he didn't even show up today?

GERSTENFELD: I'm not sure. I don't really understand a lot of things he's been doing. He's certainly been interviewed a couple of times now. And I've listened to the things he's said. And as an attorney, I would suggest that he probably would do better to not quite say the things he said. But these are his choices.

COOPER: Rebecca, this man abandoned this little girl May 5. That's not really in contention. He says he went off to cash some checks. He got swept up in a drug raid. But he also says that this little girl was abandoned by her mother, your client, two years ago when she was born. That the mother was 17 years old. She was overwhelmed. She basically gave up this little girl and gave up the relationship with this man. And he was forced to be a single dad. Is there any truth to that?

REBECCA COSKA, ATTORNEY: There's no truth to that. We've actually been looking for this child for almost two years. So it was quite heart-warming when she was found. And we're really looking forward to reuniting her with her mother this week.

COOPER: Gary, the other lawyer says she's been looking for the girl for two years, but it wasn't like she was in India. I mean, you guys were in Washington, this little girl was in Baltimore, how hard could it have been to find her?

GERSTENFELD: Well, I guess we're sort of like looking for a needle in a haystack. When you stop and consider this, the father has no fixed address, no job. He's not -- doesn't have a driver's license. He's living hand-to-mouth, perhaps in shelters. He tells the little girl that she's Puerto Rican. He tells the little girl that -- he tells her her name is Courtney. And the bottom line is, you know he went to Baltimore City and was able to blend in.

COOPER: Who were you searching with? Did you contact police around? Did you contact missing child agencies?

GERSTENFELD: Absolutely. We went through the sheriff's department for both Montgomery County as well as Prince George's County. Now you have to understand, we firmly believe that he was somewhere in Prince George's County, possibly, possibly in Montgomery County, but we were pretty sure he was in Prince George's County. Because that's where his ties were to the community. That's his connection.

We were surprised that he ended up being in Baltimore City, quite frankly. But, you know, it's an hour's drive away. And that's where he apparently was.

What I told the family was that eventually, because we couldn't find her, and you know, of course, you can only imagine what the family and what the mother's going through, looking for her daughter, wondering where her daughter is. And I told them, look, he has a drug problem. It's inevitable. He's going to get arrested on drug charges, and when he does, we'll find her. And that's exactly what happened.

The sad thing about this thing is that it took two years. And of course, the real sad aspect of this story is we have a little girl who has been denied her mother. And has been told, as we understand, that her mother doesn't love her, doesn't want her, has been told that she's not even African-American, but that she's Puerto Rican. And has been told that her name is Courtney. She doesn't know that she has a beautiful baby sister. She's never known stability. She's never known what it's like to live in the same home in a clean bed, clean bed sheets.

COOPER: And she may not know this for quite a while. This is still going to go through the courts. I know there's going to be a reunion between your client and her daughter on Tuesday. I hope that goes well for the little girl's sake. Gary Gerstenfeld, appreciate you being on. And Rebecca Coska as well, thank you.

The president's twin daughters hit the campaign trail. Find out what they're doing to keep dad in the White House.

Also tonight, going down under, deadly rip currents in Florida. We'll take you to the front lines against Mother Nature.

And thank god it's Friday. Blockbuster or DVD? What are you going to do tonight? The hottest picks for your weekend pleasure. Stay with us.

(COMMERCIAL BREAK)

COOPER: Well, this weekend the Bush twins mark a milestone, their college graduations. Though they pretty much avoided their roles as first daughters up until now, Jenna and Barbara Bush, photographed primarily during bouts of bad behavior, could be joining their dad on the campaign trail. The spotlight, of course, can be harsh, and first families have long been a focus of attention -- willing or unwilling participants in "Raw Politics."

It's clear they're not like every other graduating college senior. When Jenna Bush picks up her diploma from the University of Texas, and Barbara says goodbye to Yale, their parents won't be there to cheer them on, citing security concerns. But they apparently won't have to worry about what to do with the rest of their lives either. At least not for the next six months. The Bush twins are reportedly being conscripted, not into the Army but into dad's reelection campaign. Despite a warning to the press from the president.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I just want you to guard their privacy.

LAURA BUSH, FIRST LADY: Our children will be totally left alone and allowed to have a totally private life.

(END VIDEO CLIP)

COOPER: The first twins managed to find the spotlight on their own. They were nailed for underage drinking in 2001 and have made countless appearances in the tabloids for their hearty partying.

But let's face it, first children have always been talked about. Alice Roosevelt smoked on the roof of the White House and paraded her pet boa constrictor. Margaret Truman was skewered for her singing and called the White House "the great white jail." President Reagan's daughter, Patty Davis, posed for "Playboy." Amy Carter was famously cited by her dad as a foreign policy adviser. And even now, Chelsea Clinton's love life is a tabloid favorite.

So if the Bush daughters join the campaign, it's likely we'll be hearing a lot more about them joining the party of "Raw Politics."

Ann Gerhart of "The Washington Post" has covered the first lady since 2001, and she wrote: "The Perfect Wife: The life and Choices of Laura Bush." I spoke with her about the new role the Bush twins will soon have as college grads and campaigners.

Clearly, we're having some audio problems with that. We'll try to bring it to you coming up right next.

Fighting the grips of Mother Nature. The battle to save lives against deadly rip currents in Florida. We'll be right back.

(COMMERCIAL BREAK)

COOPER: The most dangerous place in Florida this weekend could be the beach. Powerful rip currents have already taken at least nine lives so far this year on Florida's east coast, and scores have been pulled to safety by lifeguards. Here's CNN's Jason Bellini.

(BEGIN VIDEOTAPE)

JASON BELLINI, CNN CORRESPONDENT (voice-over): Lifeguard Bill Evans is watching the young partier section of Fort Lauderdale's beach.

BILL EVANS, LIFEGUARD: This place didn't earn the nickname Fort Liquordale for nothing.

BELLINI: Few, though, seem aware this also is rip current central.

EVANS: I'd say on a scale of one to 10, these are 10s.

UNIDENTIFIED MALE: If you don't have an emergency...

BELLINI: That's been daily rescue drama, three weeks running.

(on camera): So a bit like "Baywatch?"

UNIDENTIFIED MALE: Well, I haven't had to fight any giant squids and we haven't had any nuclear bomb threats, but as far as like, you know, being active and being up and down the beach and making a lot of rescues, yeah, in that regard it is.

BELLINI (voice-over): The section of the beach today contains two large rip currents. They look like dark green rivers running offshore. He starts the day flagging them off.

(on camera): Do you know what the red flags are there for?

UNIDENTIFIED MALE: No idea.

BELLINI: No idea?

UNIDENTIFIED MALE: No idea.

BELLINI (voice-over): Most people aren't sure what rip currents are either.

UNIDENTIFIED FEMALE: It's like the waves are messed up.

UNIDENTIFIED FEMALE: Don't know, stronger (ph) in (ph) the water? I have no idea.

BELLINI: Rip currents are river-like channels that pull swimmers out to sea.

By early afternoon, two swimmers are caught in one. Within a minute, Evans reaches them.

Since the 1st of May, Fort Lauderdale's ocean rescue reports 800 rescues. The man in this one says his girlfriend was in trouble.

UNIDENTIFIED MALE: I couldn't save her by myself.

BELLINI: Not 30 minutes later...

EVANS: For every hot girl you save, you save 15 fat, pale tourists from Minnesota, or you save somebody's grandmother.

BELLINI (on camera): It's now approaching 5:00, and Bill's wrapping up for the day. He's already pulled the flags that he's used to mark off the known rip currents in the ocean.

(voice-over): Evans says it's a miracle more people aren't drowning.

(on camera): Just another day in the life of Bill?

EVANS: Just another day.

BELLINI (voice-over): Jason Bellini, CNN, Fort Lauderdale, Florida.

(END VIDEOTAPE)

COOPER: Bill and Jason's excellent adventure.

All right, time to check on some pop news, some lighter stuff in tonight's "Current." let's take a look.

A federal rule now requires that all sexually-oriented spam contain the warning sexually explicit in the subject line. Government says the label will help Internet users screen out raunchy stuff. Industry advocates consider the new rule a subtle attack on first amendment rights. Some teenage boys have labeled it a way cool time saver.

Sylvester Stallone is launching a line of nutrition products that will hit health food stores next month. Stallone is partnering with GNC to market the products which include a low-carb pudding. This finally addresses a long-neglected niche market. "Rambo" fans on Atkins who can't eat solid food. There are a lot of them.

And you may or may not have noticed that we have inaugurated a new set this week. We're happy to say it's gone off pretty much without a hitch. But we figured that the new set really isn't our set until we can play you our favorite Friday video from Japan. "Seamanship." Let's take a look.

Where's the music? It would have been funnier with the music. I don't know what's happened to us tonight. Well, next Friday.

As for your real entertainment guide, the great green ogre returns to the screen. And divas of daytime get their due. And the material girl reinvents yet herself again. It's all right here on the weekender.

(BEGIN VIDEOTAPE)

COOPER (voice-over): In movies, the not so jolly green giant and his dream ogre, or is it ogress, Fiona, are back from their honeymoon. Now the couple with Donkey and Puss-in-Boots in tow meet the royal in- laws.

UNIDENTIFIED MALE: There's only one fellow that can handle a job like that.

COOPER: On television, can't get enough of courtroom drama? Scott Turow's novel, "Reversible Errors" makes its case on CBS Sunday night.

UNIDENTIFIED MALE: We'll have to go out there to the prison.

COOPER: William H. Macy works his sad sack charms as a lawyer out to free an innocent man from death row.

UNIDENTIFIED MALE: Well, I don't know how that sounds. Crazy perhaps.

UNIDENTIFIED MALE: This is exciting. How can you be here and not be excited.

COOPER: Talk about drama. Daytime stars come out tonight to celebrate the soaps. The hunks and divas of daytime TV duke it out for the Emmys on NBC.

UNIDENTIFIED MALE: My goal is to beat them at their own game. Be the best team in the world. Gold medals in '64, '68, '72, '76...

COOPER: On DVD, shouts of USA, USA will ring in your ears once more As Kurt Russell takes on the world in this look back at the U.S. hockey team's amazing 1980 win. While you're home watching your DVD, you may want to punch up Ticketmaster on the speed dial. Madonna's "Reinvention" tour takes off Monday. First stop, the Great Western Forum in Englewood, California.

(END VIDEOTAPE)

COOPER: Well, if you've got plans to go running this weekend, you might want to lace up with some new high-tech gear. We take that snazzy sneaker to the Nth Degree just ahead.

And on Monday, special program. President Bush delivers a primetime speech outlining what the White House calls a clear strategy on Iraq. We're going to give you a preview on our show but first, today's buzz. "Does President Bush have a clear exit strategy for Iraq? What do you think? Log on to CNN.com. Still got a couple of minutes. Log on to CNN.com/360. Cast your vote. Results when we come back.

(COMMERCIAL BREAK)

COOPER: It's said that the civil war turned when a ship made of iron bested a wooden ship. The Monitor and the Merrimack, remember? What do you think might happen if we turned to boats made out of cardboard? CNN's Jeanne Moos found just such a regatta.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): The Queen Mary, they are not. They range in shape from submarine to Santa's sleigh to river boat, and although this is a race, what the crowd loves is a sinking ship. The Regatta is a Stony Brook University tradition. Where else could a cardboard bottle of beer end up in the drink. Is the boat made from like this?

UNIDENTIFIED MALE: No, we thought about it, but we didn't drink last night so...

UNIDENTIFIED FEMALE: Too flimsy.

MOOS: Not too flimsy for their heads. All vessels must be constructed from the simplest materials, mainly cardboard and duct tape. The boxing ring didn't just float, it was a knockout. Boat builders were limited to seven materials. Among them rope, cloth, for sales only, and Elmer's glue. Where there's smoke, there's fire. We stumbled on suspicious styrofoam in this boat's debris. Hold it! This is illegal.

UNIDENTIFIED MALE: No, no. It's cardboard.

MOOS: You cheated and you lost. Is there an educational point here?

UNIDENTIFIED FEMALE: Absolutely none. This is about hope, triumphing over common sense. MOOS: Hope may triumph but the Bud Light didn't. It became a sodden mass of cardboard and duct tape. Even the winner wound up in the dumpster. To what did the makers of this sleek cardboard kayak attribute their success?

UNIDENTIFIED MALE: It's a lot of math.

MOOS: Same goes for the Bud Light. This is not a 12-ouncer.

UNIDENTIFIED MALE: This is a 40-ouncer.

MOOS: Jeanne Moos, CNN, Stony Brook, New York.

(END VIDEOTAPE)

COOPER: All right. Time for the buzz. Earlier we asked you, does President Bush have a clear exit strategy for Iraq? 14 percent of you said yes, 86 percent of you said no. Not a scientific poll, but it is your buzz. We appreciate you voting.

Taking high tech to the Nth degree. Now we're getting somewhere. The other day, Adidas unveiled what a company spokesman called the first intelligent running shoe ever. A $250 sneaker that automatically and continuously adjusted to different surfaces. It senses, the spokesperson said, understands and adapts. That's more than some of my friends can do. But that's not really the point. Now we can look forward to smart pants with microchips in the waistband that cause it to loosen or tighten depending on what the wearer has had for lunch. Wireless hats, these allow you to keep in touch without fumbling for a cell phone or a Blackberry. Just tip your hat, make a call.

The high definition digital necktie. One tie with as many downloadable patterns, stripes, polka dots, palm trees, as you might want. A sensor on the tie determines what else you're wearing and comes up with the perfect match. Yes, sir, we're just at the dawn of high-tech haberdashery. Your grandkids won't believe you when you tell them you grew up without computer controlled pants.

I'm Anderson Cooper. Thanks for watching 360. Have a great weekend. Coming up next, "PAULA ZAHN NOW."

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com


Aired May 21, 2004 - 19:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
ANDERSON COOPER, CNN ANCHOR: Good evening. I'm Anderson Cooper.
Did a prosecution witness in the Martha Stewart trial lie? 360 starts right now.

(BEGIN VIDEOTAPE)

COOPER (voice-over): Bombshell development in the Martha Stewart case. A government witness charged with perjury accused of giving false testimony. Will Martha get a new trial after all?

Cash and carry, Kerry considers not accepting the nomination at the Democratic convention, why? It's all about the Benjamins.

Deadly rip currents hit the Florida coast on the front lines with the lifeguards saving swimmers every day.

And, Einstein, Edison, Da Vinci and Churchill had them, could your childhood learning disabilities be an asset as an adult? Find out ahead.

(END VIDEOTAPE)

COOPER: Good evening.

We begin with a surprising development in the Martha Stewart case. Just 28 days before she is scheduled to be sentenced a Secret Service ink expert who testified for the prosecution is now charged with perjury. Her lawyers are vowing to ask for a new trial.

Here's CNN's Chris Huntington.

(BEGIN VIDEOTAPE)

CHRIS HUNTINGTON, CNN CORRESPONDENT (voice-over): It may be the best news Martha Stewart has heard all year. The same U.S. attorney who convicted her and her former broker, Peter Bacanovic, of obstructing justice today charged one of the government's key witnesses with two counts of perjury for lying on the stand.

DAVID N. KELLEY, U.S. ATTORNEY: A trusted and accomplished lab examiner and public servant violated the public trust.

HUNTINGTON: Larry Stewart who runs the U.S. Secret Service Crime Lab and is no relation to Martha allegedly lied when he told the jury that he personally analyzed the blue ink from Bacanovic's worksheet with the famous notation "at 60." That's the price at which Martha Stewart claimed she always intended to sell her stake in ImClone Systems.

Attorneys for the convicted style maven said the new perjury charges "clearly demonstrate that the trial of Martha Stewart was fatally flawed and unfair. If anyone believes that Martha Stewart was not prejudiced, they are extremely naive."

Bacanovic's lawyer said the development "will require a new trial" but U.S. Attorney David Kelley was quick to downplay the impact of the charges against Larry Stewart.

KELLEY: We are quite confident that the false testimony will have no impact on the convictions.

HUNTINGTON: One veteran securities lawyer who heard Larry Stewart testify agrees.

UNIDENTIFIED MALE: His results have not been challenged. What is being attacked is whether he was at a certain testing but realistically it has nothing to do with the conviction.

(END VIDEOTAPE)

HUNTINGTON: Now, Stewart's attorneys have already been denied one retrial request regarding a juror who lied about his criminal record and legal analysts say though that that old claim bundled together with the new perjury charges could give the defense team some traction.

Martha Stewart for her part today issued a statement in part saying that she promises to continue doing everything she can to help people bring good things to their homes and their lives -- Anderson.

COOPER: All right, Chris thanks very much, surprising development.

Regardless of the legal outcome, investors sure liked today's developments. Shares in Martha Stewart Living Omnimedia soared on the news. Here's a 360 "Fast Fact."

Shares in Stewart's company jumped 8.8 percent or 75 cents to $9.30 after rising almost 22 percent earlier in the day to a session high of $10.40, heavy trading indeed.

We're going to look and talk about the potential court moves in this case later on 360 with CNN's Senior Legal Analyst Jeffrey Toobin.

A non-conventional tactic in the race for the White House that is next. CNN confirms that John Kerry is seriously considering delaying his acceptance of the Democratic presidential nomination. The motive is money.

Our Senior Political Correspondent Candy Crowley explains. (BEGIN VIDEOTAPE)

CANDY CROWLEY, CNN SR. POLITICAL CORRESPONDENT (voice-over): Suppose they held a convention.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I proudly accept your nomination.

AL GORE, FORMER VICE PRESIDENT OF THE UNITED STATES: I accept your nomination.

CROWLEY: And suppose the nominee said not now? John Kerry is thinking about it. "We are looking at this and many other options very seriously" his campaign says "because we won't fight with one hand behind our back."

Camp Kerry sees it as a matter of time and money. Once they are nominated, Kerry and George Bush are expected to take $75 million in federal funds which will be all their campaigns will be allowed to spend.

The Democrats convention is in late July, the Republicans almost five weeks later. Bottom line John Kerry has to make $75 million last five weeks longer than George Bush. Put differently George Bush has five weeks more to spend money he raised during the primary season.

Says the Bush-Cheney team, "Only John Kerry could be for a nominating convention but be against the nomination."

UNIDENTIFIED MALE: Why not accept the nomination?

CROWLEY: While Kerry's campaign says it's serious about delaying his acceptance of the nomination, strategists also admit they leaked the news to highlight Kerry's hearty fund-raising numbers. Saturday they plan to announce another successful Internet run, $10 million raised in ten days.

Candy Crowley, CNN, Washington.

(END VIDEOTAPE)

COOPER: Politics just gets more and more interesting.

Outside the notorious Abu Ghraib Prison today there was joy as more than 450 detainees were released from that jail and reunited with their families. Another 400 are expected to be released next week that as probes into exactly what happened inside the prison expand.

This afternoon the Pentagon saying that criminal investigations are underway into the deaths of several detainees held by U.S. forces in Iraq as well as in Afghanistan and the Army's criminal investigation command continues to try to identify additional soldiers and personnel seen in both the photos and videos of abuse of Iraqi prisoners even as more of those are revealed.

Here's CNN Senior Pentagon Correspondent Jamie McIntyre. (BEGIN VIDEOTAPE)

JAMIE MCINTYRE, CNN SR. PENTAGON CORRESPONDENT (voice-over): A short, silent digital video posted by "The Washington Post" on its Web site shows what appears to be a detainee punched in the face. Then naked and hooded prisoners are dragged into the human pyramid seen in previous photographs.

Still pictures obtained and published by "The Post" show more violent abuse. Here Specialist Charles Graner, one of the accused ringleaders, seems poised to strike a hooded and bound detainee, a photograph his lawyers insist was posed.

In other photographs, detainees are seen shackled to railings, standing on boxes in what appears to be an uncomfortable position and seemingly threatened with military dogs but it's the statements obtained by the newspaper, translated interviews of the detainees conducted by U.S. military investigators in January that contained the most chilling allegations of mistreatment.

"They forced me to eat pork and put liquor in my mouth" one detainee said. "They ordered me to curse Islam and because they started to hit my broken leg I cursed my religion." He also claimed to be tortured, saying he was hung from a door "for more than eight hours. I was screaming in pain the whole night."

Another prisoner said, "They forced us to walk like dogs on our hands and knees and we had to bark like a dog and if we didn't do that, they started hitting us hard on our face and chest with no mercy."

Another said Specialist Graner would "throw the food into the toilet" and would tell prisoners to "go take it and eat it."

Like some previous photographs, the new video and pictures seem to show more than just the seven soldiers who have been charged. Sources say an investigation into what role military intelligence and civilian interrogators played in the abuse is nearing completion.

(END VIDEOTAPE)

MCINTYRE: And today the Pentagon revealed that there have been 33 cases in which prisoners have died while in U.S. custody. Two of those cases already ruled unjustified homicide.

There are eight open investigations of deaths, six of them in Iraq, three in Afghanistan, one of them already ruled a death by natural causes but those cases are all cases in which U.S. soldiers could be found liable for causing the deaths of prisoners in their control -- Anderson.

COOPER: All right, Jamie McIntyre live at the Pentagon thanks Jamie.

Also, out of Iraq tonight developments into the investigation into the beheading of American Nicholas Berg, senior U.S. military officials say that coalition forces are questioning two people in possible connection with his gruesome murder. Two others have been released.

For former Iraqi hostage Thomas Hamill life is slowly returning to normal. The civilian contractor is back home in Macon, Mississippi after escaping his captors in Iraq earlier this month luckily with just a bullet wound in his right arm. Today he gave his first TV interview.

(BEGIN VIDEO CLIP)

THOMAS HAMILL, FORMER HOSTAGE: It's not a normal day. I'm not farming. I'm not out on the farm driving a tractor but it won't be long. I'll be back out there. I get this arm taken care of. I'll be back on the tractor.

I got -- I got fields that need to be clipped over there and I'll be back over there when this arm. When this arm heals up it will be back to normal again but it's just being home and being here in the house that's pretty normal right now.

(END VIDEO CLIP)

COOPER: Well, he sounds good. Hamill, a truck driver for a subsidiary of the Halliburton Corporation, was kidnapped you'll remember during an attack on his supply convoy April 9. You might also remember his captors had threatened to kill him unless the U.S. lifted its siege on the city of Fallujah.

Here's a quick news note for you. President Bush will deliver a prime time speech on Monday to outline what the White House calls a clear strategy on Iraq leading up to the June 30 transition deadline. Special coverage begins right here on 360 Monday at 7:00 p.m. Eastern time, the speech starting at eight o'clock.

Today's "Buzz" is this. Does President Bush have a clear exit strategy for Iraq? Log on to cnn.com/360. Cast your vote. We're going to have results at the end of the program.

Topping our news "Cross Country," a presidential commencement address, let's take a look what's going on.

President Bush speaks to graduating students at Louisiana State University in Baton Rouge. The president promised to do whatever it takes to establish a peaceful and democratic Iraq. He also urged the grads to base their lives on moral character.

Fort Stewart, Georgia, anti-war soldier sentenced. U.S. Staff Sergeant Camilo Mejia has been sentenced to a year in jail and given a bad conduct discharge after a military jury convicted him of deserting his unit in Iraq. Mejia says he has no regrets and that he decided not to return to Iraq from a two-week furlough because he came to believe the war was oil driven and wrong.

In 13 states communications workers on strike, local phone giant SBC Communications and union leaders are back at the bargaining table trying to work out a new contract and end a walkout by almost 100,000 workers. The company says calls for installation and repairs may be delayed but managers and contract workers are handling other tasks, such as directory assistance.

Los Angeles, advertising buzz kill, the U.S. distributor of Tecate Beer says it will take down billboards that some Hispanic lawmakers and activists saw as offensive. Critics say the billboards, which said "finally a cold Latina" promoted stereotypes of Hispanic women. The company says the campaign was meant to be tongue-in-cheek and intended no disrespect.

And Palmetto, Florida, take a look at this. It's car versus gator. A woman grabbed her video camera in time to catch a seven-foot alligator taking a bite out of her car. Wildlife workers eventually trapped the gator.

That's a look at stories "Cross Country" tonight. Try explaining that one to the rental car agent.

360 next the FBI warns of suicide bomb attacks on U.S. soil. Find out what bombers look for in their targets and what we should be on the lookout for.

Also turning a disadvantage into a success, billionaire Richard Branson, that's him there, shares his secret to overcoming dyslexia, part of our special series "Unlocking the Secrets of the Brain."

And, custody fight over an abandoned 3-year-old. Both her parents come forward but is either one of them fit to raise her? I'll ask her mother's lawyer the tough questions.

First let's take a look at your picks the most popular stories on cnn.com right now.

(COMMERCIAL BREAK)

COOPER: Well in tonight's terror watch an ominous warning, the FBI has issued an alert urging law enforcement agents to look out for possible suicide bombers right here in the United States. Now the FBI sent the alert to some 18,000 officers across the country detailing some signs to watch for.

(BEGIN VIDEOTAPE)

COOPER (voice-over): The FBI warns that suicide bombers are often impossible to detect. They tend to target crowded places like malls or transportation hubs, places hard to protect and terrorists usually use explosive devices that are easy to hide but suicide bombings have been prevented in the past.

Last March at a West Bank checkpoint, Israeli soldiers stopped a 14-year-old Palestinian with an explosive belt strapped to his body. Soldiers told reporters the teen's erratic behavior immediately aroused suspicions and experts say that's what most often betrays suicide bombers. CHARLES SLEPIAN, CEO, FORESEEABLE RISK ANALYSIS CENTER: But you will see that their eyes move. They shift from side to side. They look up and down. They can't look into your eyes. They're tense. Their body is tense. Their body language tells you that they're under stress. Their fists are clenched. Their jaws may be clenched. These are obvious signs. They may be perspiring.

COOPER: The FBI tells law enforcement agencies to be on the lookout for people wearing bulky jackets in warm weather or loose clothing over their waistline that could cover an explosive device, also to be on the lookout for the smell of chemicals. Security experts say rule number one for civilians...

SLEPIAN: By all means leave if your instinct is telling you that this is not right. Leave and report it.

COOPER: The FBI says although there have been no specific warnings they're concerned about some upcoming events, July 4, the official opening of the World War II memorial in Washington, D.C., and both the Democratic and Republican National Conventions. Big events but experts remind us that suicide bombers can strike anywhere and at any time.

(END VIDEOTAPE)

COOPER: Well an al Qaeda chemical weapons manual tops our look at global stories right now in the "Up Link."

In the Philippines, intelligence officials say that discovered documents show al Qaeda's arm in Southeast Asia is experimenting with chemical and biological weapons for terror attacks. The documents show how to make toxic chemicals and describes their deadly effects during animal testing.

Tehran, Iran, demonstrators threw stones and Molotov cocktails at a British embassy in the third violent protest this week against the war in Iraq. About 500 Iranians went to the embassy after a nationwide rally drew tens of thousands. No surprise they also chanted death to America and death to Britain.

Rafa, Gaza, troop withdrawal. Israeli troops begin pulling out of the Rafa area after a week of deadly clashes with Palestinians. Israel launched the operation this week to close tunnels used for smuggling. Palestinian sources say Israeli snipers remain in some areas.

The coast of Antarctica now, volcano discovered. The National Science Foundation says a research vessel has found an underwater volcano. Its presence was suggested by sonar studies several months ago. There's no previous record of active volcanoes in the region where the peak was found.

And Surrey, England, look ma no clothes. One British university student set the world record for the number of nude people riding on a roller coaster, 28 of them at a time apparently. The stunt coincides with the ride's 25th anniversary. (Unintelligible) going on with that, that's tonight's "Up Link."

360 next from struggling teen to billionaire mogul, Richard Branson shares his secret of overcoming a learning disability, in his case dyslexia. That's part of our special series "Unlocking the Secrets of the Brain."

Also tonight the president's daughters, the Bush twins graduate from college this weekend and, guess what, they're hitting the campaign trail.

Also a little later, Martha Stewart the bombshell, a key prosecution witness charged with perjury. Will it be her ticket to a new trial?

360 continues.

(COMMERCIAL BREAK)

COOPER: Well, Richard Branson is a self-made billionaire, a man who took the word "virgin" and made it stand for everything from music to airplanes yet he is dyslexic, didn't even finish high school.

Tonight, as we wrap up our series "Unlocking the Secrets of the Brain," what it takes to have a successful brain. In a moment I'll talk with Richard Branson but first the reality of learning disabilities and the fact that many successful people have overcome them.

(BEGIN VIDEOTAPE)

COOPER (voice-over): Albert Einstein had problems with his speech and memory. Thomas Edison was at the bottom of his class. Leonardo da Vinci created writings that had to be read from back to front. And, Winston Churchill stuttered and was put in a dunce class. All struggled as children. All succeeded as adults.

DR. MEL LEVINE, CO-FOUNDER, ALL KINDS OF MINDS: Sometimes your weaknesses as a child evolve into some of your greatest assets when you grow up. We see some children who are very distractible. They daydream. They look out the window during class but those little trips their minds are taking, all that dreaming and free flight of ideas, are enabling them to become increasingly creative and visionary.

COOPER: For 30 years, professor of pediatrics, Dr. Mel Levine has worked with children who have difficulty in school. He says their minds often work in novel ways.

LEVINE: I think there's a real myth about IQ and about the virtues of having an overall high intelligence and that automatically means you're going to be successful in life. I think there are a lot of underemployed, unemployed and dissatisfied adults with very high IQs who have never been able to find their niche.

(END VIDEOTAPE) COOPER: Well, according to the National Information Center for Children and Youth with Disabilities as many as one out of every five people in the United States has a learning disability.

Richard Branson, who is dyslexic, says he's no whiz with numbers but he runs a business with revenues around the world exceeding $5 billion. We spoke earlier.

(BEGIN VIDEOTAPE)

COOPER: What do you think it is about your brain, about the way you process information and the way you see things that has made you successful?

RICHARD BRANSON, FOUNDER & CEO VIRGIN: Well, I was as a child dyslexic, not badly dyslexic but dyslexic had quite a lot of problems in school.

COOPER: You didn't graduate high school.

BRANSON: Yes, I mean my problems at school were such that I actually left school when I was 15 and there were some subjects that I just, you know, had a complete blank about. I mean (unintelligible) mathematics or I mean for instance for years I haven't been able to work out the difference between gross and net. The reason that I think people who are dyslexic seem to exceed quite well in life, having had hell at school, is that you do simplify things.

COOPER: As a business leader you're probably unconventional. You're not sort of the traditional image people may have. Have you always been unconventional in the way you frame things, the way you look at things?

BRANSON: I suppose. I've been running my own businesses since I was 15 and therefore I've been able to dress as I feel comfortable, you know, I've managed to get a wonderful group of people around me and I don't sit behind a desk all day. I get out and, you know, meet people and spend time with people, you know.

So, I think what I'm, you know, quite good at doing is, you know, is creating -- creating something which I'm proud of and the staff who work for me are proud of and then, you know, if you created the best then the figures hopefully, you know, you'll be able to pay your bills and keep, you know, keep everybody in employment.

COOPER: I would imagine sort of when I envision your life, you know, you being on Blackberry's and you being on e-mail and being wired and connected, I understand that is completely not true that you are actually only recently sort of using a cell phone. You don't -- you're not addicted to a Blackberry.

BRANSON: I'm terrified that if I ever did get addicted to, you know, computers or Blackberry's that, you know, they would crash on me and, you know, so, you know, I use a notebook I carry making lists of everything and I check them off.

COOPER: I read that you jot things on your hand. I was looking at your hands now.

BRANSON: Yes, I think actually I've just -- anyway but yes, I mean anything urgent I write on the back of the hand but so, I mean I keep everything, you know, pretty simple.

COOPER: As for those who are listening who maybe their child is dyslexic or has some learning disability what is your message to them? I mean what's your advice?

BRANSON: Obviously someone who's dyslexic you've got to try to get them as much help as they can from, you know, the people at the schools and other people who are specializing in dyslexia. But, you know, in the end I think, you know, the chances are that they may well excel in other areas.

COOPER: Because you had dyslexia at a young age do you think you had to work harder than other people?

BRANSON: Yes, I certainly had to work, you know, to work enormously hard. I had to learn the art of delegation and not try to do everything myself and somehow, you know, somehow it worked out OK.

COOPER: It certainly seems to have. Richard Branson thanks very much.

(END VIDEOTAPE)

COOPER: 360 next, perjury in the Martha Stewart case, will today's bombshell keep her out of prison? We're going to take a closer look at that.

Plus, that abandoned girl, her parents show up after a nationwide search. Now they're fighting for custody but should either one of them get it? I'll ask her mom's lawyer.

Plus, a summer job for the Bush twins, find out how they plan to help dad get reelected, all that and more still to come, 360 continues.

(COMMERCIAL BREAK)

COOPER: Perjury alleged in the Martha Stewart case. A key witness charged but will it keep her from doing hard time? We'll have the latest.

Plus, custody battle over an abandoned girl. Both her parents finally come forward but should either one of them be allowed to take her home? I'll ask her lawyers the tough questions.

First, tonight's "Reset" of the top stories.

(BEGIN VIDEOTAPE)

COOPER (voice-over): In Washington, this could be a first. Democratic presidential candidate John Kerry is seriously considering not accepting his party's nomination at the July convention, not personal.

His aides say it is the only way he can keep up with the president's heavy ad spending. Under federal rules, once a candidate accepts the party nomination he is limited to spending $75 million. Since the Republican convention is five weeks after the Democratic one Kerry is trying to make the most of his campaign war chest.

Iraq and Afghanistan, more prisoner deaths, the Pentagon says the U.S. military is investigating the deaths of eight more prisoners in U.S. custody in Iraq and Afghanistan. The deaths being treated as homicides. They involve suspected assaults on detainees, either before or during interrogation. In all, the military's looking to more than 30 deaths of prisoners, most of them in Iraq.

Houston, Texas, a stabbing incident at a home owned by a basketball star Shaquille O'Neal. A 17-year-old teenager is under arrest for stabbing his own mother several times with a kitchen knife. The pair were cleaning O'Neal's home when they got into a fight. Apparently the L.A. Laker star was not at the house at that time.

In New Jersey, more court time, the legal kind, for Jayson Williams. Prosecutors say they'll retry the former NBA star on a reckless manslaughter charge. A tentative trial date has been set for January 10. Williams was convicted just last month on other charges stemming from the shooting death of his limo driver. The jury could not reach a verdict on the more serious manslaughter charge.

That's a look at "The Reset."

Now this just in, new details about Ahmed Chalabi's fall from grace. A story we covered a lot last night. U.S. intelligence officials confirm that Chalabi, the member of the Iraqi governing council with ties to senior Pentagon officials, gave intelligence secrets to Iran. Let's get more details now from CNN national security correspondent David Ensor. David, what's going on.

DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT: Anderson, here are the three new details. Firstly, that U.S. officials confirm that they have evidence that the information Ahmed Chalabi turned over to the Iranians was so closely held, that only a very few top intelligence officers in the United States know that information.

Secondly, they are saying that there is evidence that Ahmed Chalabi met with a very senior Iranian intelligence official. An official that these sources say has been involved in what they call nefarious activities against the United States. And this is a meeting that Ahmed Chalabi has denied having held.

And finally, I should just tell you that the FBI is confirming tonight that they have an investigation under way now to try to figure out who might have given Chalabi this closely-held intelligence information, which these officials are alleging he passed on to Iran -- Anderson.

COOPER: It's a fascinating development, David. Do we have a sense of the timeline of when he is alleged to have given this information to Iran? Because he's been on the U.S. payroll until last month.

ENSOR: That's right. The first word he might have passed on information to intelligence officials was -- that became public was out in "Newsweek" about two weeks ago. And you'll recall it was just a few days ago that he came off the Pentagon payroll. So, this is all happening fairly quickly.

COOPER: Interesting. David Ensor, thank you very much.

A bombshell in the Martha Stewart case now, her lawyers are vowing to seek a new trial because a Secret Service ink expert, who gave testimony for the prosecution has been charged with perjury, accused of lying on the stand. Is this Martha Stewart's lucky break? Let's talk it over with CNN senior legal analyst Jeffrey Toobin. Jeffrey, good to see you.

JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: Hey.

COOPER: How serious is this? You think it's a bombshell?

TOOBIN: It's a big deal. This is the first time I have ever heard of a prosecution witness being charged with perjury before the defendant has even been sentenced. Whether it's enough to get her a new trial, I don't know, but it's certainly a big legal development. And the judge is going to have a tough call here.

COOPER: There's a question about whether it's big enough to get her a new trial because of what he is alleged to have lied about.

TOOBIN: Exactly.

COOPER: Which is what?

TOOBIN: He's alleged to have lied about whether he himself conducted the tests on the questioned document or whether he merely reviewed another person's work. They claim that he did not do the test and on the witness stand, he said he did.

What makes it legally questionable about whether he gets a new trial is that this document, which was a work sheet on which Peter Bacanovic had written at 60, Bacanovic was charged with falsifying this document. And this fellow Stewart was the main witness against him there. Bacanovic was acquitted on that charge. So the government has asserted, well, no harm, no foul. Since he was acquitted, it doesn't matter that the testimony was false. So neither one of them should get a new trial.

COOPER: But obviously Bacanovic's lawyer and Martha Stewart's lawyer are going to be arguing the complete different.

TOOBIN: Very much. They're going to say, look, it was relevant to the conspiracy charge, of which they were both convicted. Plus, the whole idea of the government presenting perjured testimony from a government expert, that in itself has to give them a new trial.

COOPER: You were at the trial. You saw this man on the stand. Why would he lie about something so inconsequential?

TOOBIN: It is a bizarre, bizarre situation. Although, he was a peculiar person, there's no doubt. He had a big ego. In fact, Robert Morvillo, Martha Stewart's lawyer, kind of laughed about him during summation saying, he claims he's the greatest ink examiner in the entire universe. Which he did, he obviously had a big ego. And that came through in his testimony. And if he in fact lied, you could see that he was trying to puff up his role. And that would, I guess, be the explanation.

COOPER: So it was a lie of embellishment -- embellishing his role in actually studying these documents?

TOOBIN: That is what's charged. And that would be in keeping with the personality he displayed on the witness stand. Although, the idea that he would lie about something so easily provable, too. I mean, you either did or did not perform these tests.

COOPER: The sentencing right now is scheduled for June 17. Is that going to happen?

TOOBIN: My guess is it will not go ahead and scheduled. I think the defense lawyers will say, we want to hearing. We want to be heard about this issue. Put off the sentencing. And since June 17 is almost upon us, I would guess sentencing will be postponed, at a minimum.

COOPER: Fascinating development. Jeffrey Toobin, thanks very much.

Well, the saga of a 3-year-old girl abandoned in Baltimore earlier this month, has now moved to the courts. And the case is getting more complicated by the day.

The little girl's mother, Patricia Harper, says she hadn't seen the girl, who identified herself as Courney, for almost two years. Harper is seeking permanent custody of the little girl whose real name is Akasha. For now, the mother has been granted visitation rights, which start next week on Tuesday. Her attorneys, Gary Gerstenfeld and Rebecca Coska join us from Washington. Appreciate both of you being on the program. Thank you very much. Gary, I talked to you last night.

GARY GERSTENFELD, ATTORNEY: You sure did.

COOPER: Gary, today you asked a judge to give custody of Akasha to her mother, your client. Now, the dad didn't even show up to court. Do you actually expect him to fight for custody?

GERSTENFELD: Well, I'm not sure if fight is quite the right word. I think he'll probably at some point make an appearance.

COOPER: Do you know why he didn't even show up today?

GERSTENFELD: I'm not sure. I don't really understand a lot of things he's been doing. He's certainly been interviewed a couple of times now. And I've listened to the things he's said. And as an attorney, I would suggest that he probably would do better to not quite say the things he said. But these are his choices.

COOPER: Rebecca, this man abandoned this little girl May 5. That's not really in contention. He says he went off to cash some checks. He got swept up in a drug raid. But he also says that this little girl was abandoned by her mother, your client, two years ago when she was born. That the mother was 17 years old. She was overwhelmed. She basically gave up this little girl and gave up the relationship with this man. And he was forced to be a single dad. Is there any truth to that?

REBECCA COSKA, ATTORNEY: There's no truth to that. We've actually been looking for this child for almost two years. So it was quite heart-warming when she was found. And we're really looking forward to reuniting her with her mother this week.

COOPER: Gary, the other lawyer says she's been looking for the girl for two years, but it wasn't like she was in India. I mean, you guys were in Washington, this little girl was in Baltimore, how hard could it have been to find her?

GERSTENFELD: Well, I guess we're sort of like looking for a needle in a haystack. When you stop and consider this, the father has no fixed address, no job. He's not -- doesn't have a driver's license. He's living hand-to-mouth, perhaps in shelters. He tells the little girl that she's Puerto Rican. He tells the little girl that -- he tells her her name is Courtney. And the bottom line is, you know he went to Baltimore City and was able to blend in.

COOPER: Who were you searching with? Did you contact police around? Did you contact missing child agencies?

GERSTENFELD: Absolutely. We went through the sheriff's department for both Montgomery County as well as Prince George's County. Now you have to understand, we firmly believe that he was somewhere in Prince George's County, possibly, possibly in Montgomery County, but we were pretty sure he was in Prince George's County. Because that's where his ties were to the community. That's his connection.

We were surprised that he ended up being in Baltimore City, quite frankly. But, you know, it's an hour's drive away. And that's where he apparently was.

What I told the family was that eventually, because we couldn't find her, and you know, of course, you can only imagine what the family and what the mother's going through, looking for her daughter, wondering where her daughter is. And I told them, look, he has a drug problem. It's inevitable. He's going to get arrested on drug charges, and when he does, we'll find her. And that's exactly what happened.

The sad thing about this thing is that it took two years. And of course, the real sad aspect of this story is we have a little girl who has been denied her mother. And has been told, as we understand, that her mother doesn't love her, doesn't want her, has been told that she's not even African-American, but that she's Puerto Rican. And has been told that her name is Courtney. She doesn't know that she has a beautiful baby sister. She's never known stability. She's never known what it's like to live in the same home in a clean bed, clean bed sheets.

COOPER: And she may not know this for quite a while. This is still going to go through the courts. I know there's going to be a reunion between your client and her daughter on Tuesday. I hope that goes well for the little girl's sake. Gary Gerstenfeld, appreciate you being on. And Rebecca Coska as well, thank you.

The president's twin daughters hit the campaign trail. Find out what they're doing to keep dad in the White House.

Also tonight, going down under, deadly rip currents in Florida. We'll take you to the front lines against Mother Nature.

And thank god it's Friday. Blockbuster or DVD? What are you going to do tonight? The hottest picks for your weekend pleasure. Stay with us.

(COMMERCIAL BREAK)

COOPER: Well, this weekend the Bush twins mark a milestone, their college graduations. Though they pretty much avoided their roles as first daughters up until now, Jenna and Barbara Bush, photographed primarily during bouts of bad behavior, could be joining their dad on the campaign trail. The spotlight, of course, can be harsh, and first families have long been a focus of attention -- willing or unwilling participants in "Raw Politics."

It's clear they're not like every other graduating college senior. When Jenna Bush picks up her diploma from the University of Texas, and Barbara says goodbye to Yale, their parents won't be there to cheer them on, citing security concerns. But they apparently won't have to worry about what to do with the rest of their lives either. At least not for the next six months. The Bush twins are reportedly being conscripted, not into the Army but into dad's reelection campaign. Despite a warning to the press from the president.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I just want you to guard their privacy.

LAURA BUSH, FIRST LADY: Our children will be totally left alone and allowed to have a totally private life.

(END VIDEO CLIP)

COOPER: The first twins managed to find the spotlight on their own. They were nailed for underage drinking in 2001 and have made countless appearances in the tabloids for their hearty partying.

But let's face it, first children have always been talked about. Alice Roosevelt smoked on the roof of the White House and paraded her pet boa constrictor. Margaret Truman was skewered for her singing and called the White House "the great white jail." President Reagan's daughter, Patty Davis, posed for "Playboy." Amy Carter was famously cited by her dad as a foreign policy adviser. And even now, Chelsea Clinton's love life is a tabloid favorite.

So if the Bush daughters join the campaign, it's likely we'll be hearing a lot more about them joining the party of "Raw Politics."

Ann Gerhart of "The Washington Post" has covered the first lady since 2001, and she wrote: "The Perfect Wife: The life and Choices of Laura Bush." I spoke with her about the new role the Bush twins will soon have as college grads and campaigners.

Clearly, we're having some audio problems with that. We'll try to bring it to you coming up right next.

Fighting the grips of Mother Nature. The battle to save lives against deadly rip currents in Florida. We'll be right back.

(COMMERCIAL BREAK)

COOPER: The most dangerous place in Florida this weekend could be the beach. Powerful rip currents have already taken at least nine lives so far this year on Florida's east coast, and scores have been pulled to safety by lifeguards. Here's CNN's Jason Bellini.

(BEGIN VIDEOTAPE)

JASON BELLINI, CNN CORRESPONDENT (voice-over): Lifeguard Bill Evans is watching the young partier section of Fort Lauderdale's beach.

BILL EVANS, LIFEGUARD: This place didn't earn the nickname Fort Liquordale for nothing.

BELLINI: Few, though, seem aware this also is rip current central.

EVANS: I'd say on a scale of one to 10, these are 10s.

UNIDENTIFIED MALE: If you don't have an emergency...

BELLINI: That's been daily rescue drama, three weeks running.

(on camera): So a bit like "Baywatch?"

UNIDENTIFIED MALE: Well, I haven't had to fight any giant squids and we haven't had any nuclear bomb threats, but as far as like, you know, being active and being up and down the beach and making a lot of rescues, yeah, in that regard it is.

BELLINI (voice-over): The section of the beach today contains two large rip currents. They look like dark green rivers running offshore. He starts the day flagging them off.

(on camera): Do you know what the red flags are there for?

UNIDENTIFIED MALE: No idea.

BELLINI: No idea?

UNIDENTIFIED MALE: No idea.

BELLINI (voice-over): Most people aren't sure what rip currents are either.

UNIDENTIFIED FEMALE: It's like the waves are messed up.

UNIDENTIFIED FEMALE: Don't know, stronger (ph) in (ph) the water? I have no idea.

BELLINI: Rip currents are river-like channels that pull swimmers out to sea.

By early afternoon, two swimmers are caught in one. Within a minute, Evans reaches them.

Since the 1st of May, Fort Lauderdale's ocean rescue reports 800 rescues. The man in this one says his girlfriend was in trouble.

UNIDENTIFIED MALE: I couldn't save her by myself.

BELLINI: Not 30 minutes later...

EVANS: For every hot girl you save, you save 15 fat, pale tourists from Minnesota, or you save somebody's grandmother.

BELLINI (on camera): It's now approaching 5:00, and Bill's wrapping up for the day. He's already pulled the flags that he's used to mark off the known rip currents in the ocean.

(voice-over): Evans says it's a miracle more people aren't drowning.

(on camera): Just another day in the life of Bill?

EVANS: Just another day.

BELLINI (voice-over): Jason Bellini, CNN, Fort Lauderdale, Florida.

(END VIDEOTAPE)

COOPER: Bill and Jason's excellent adventure.

All right, time to check on some pop news, some lighter stuff in tonight's "Current." let's take a look.

A federal rule now requires that all sexually-oriented spam contain the warning sexually explicit in the subject line. Government says the label will help Internet users screen out raunchy stuff. Industry advocates consider the new rule a subtle attack on first amendment rights. Some teenage boys have labeled it a way cool time saver.

Sylvester Stallone is launching a line of nutrition products that will hit health food stores next month. Stallone is partnering with GNC to market the products which include a low-carb pudding. This finally addresses a long-neglected niche market. "Rambo" fans on Atkins who can't eat solid food. There are a lot of them.

And you may or may not have noticed that we have inaugurated a new set this week. We're happy to say it's gone off pretty much without a hitch. But we figured that the new set really isn't our set until we can play you our favorite Friday video from Japan. "Seamanship." Let's take a look.

Where's the music? It would have been funnier with the music. I don't know what's happened to us tonight. Well, next Friday.

As for your real entertainment guide, the great green ogre returns to the screen. And divas of daytime get their due. And the material girl reinvents yet herself again. It's all right here on the weekender.

(BEGIN VIDEOTAPE)

COOPER (voice-over): In movies, the not so jolly green giant and his dream ogre, or is it ogress, Fiona, are back from their honeymoon. Now the couple with Donkey and Puss-in-Boots in tow meet the royal in- laws.

UNIDENTIFIED MALE: There's only one fellow that can handle a job like that.

COOPER: On television, can't get enough of courtroom drama? Scott Turow's novel, "Reversible Errors" makes its case on CBS Sunday night.

UNIDENTIFIED MALE: We'll have to go out there to the prison.

COOPER: William H. Macy works his sad sack charms as a lawyer out to free an innocent man from death row.

UNIDENTIFIED MALE: Well, I don't know how that sounds. Crazy perhaps.

UNIDENTIFIED MALE: This is exciting. How can you be here and not be excited.

COOPER: Talk about drama. Daytime stars come out tonight to celebrate the soaps. The hunks and divas of daytime TV duke it out for the Emmys on NBC.

UNIDENTIFIED MALE: My goal is to beat them at their own game. Be the best team in the world. Gold medals in '64, '68, '72, '76...

COOPER: On DVD, shouts of USA, USA will ring in your ears once more As Kurt Russell takes on the world in this look back at the U.S. hockey team's amazing 1980 win. While you're home watching your DVD, you may want to punch up Ticketmaster on the speed dial. Madonna's "Reinvention" tour takes off Monday. First stop, the Great Western Forum in Englewood, California.

(END VIDEOTAPE)

COOPER: Well, if you've got plans to go running this weekend, you might want to lace up with some new high-tech gear. We take that snazzy sneaker to the Nth Degree just ahead.

And on Monday, special program. President Bush delivers a primetime speech outlining what the White House calls a clear strategy on Iraq. We're going to give you a preview on our show but first, today's buzz. "Does President Bush have a clear exit strategy for Iraq? What do you think? Log on to CNN.com. Still got a couple of minutes. Log on to CNN.com/360. Cast your vote. Results when we come back.

(COMMERCIAL BREAK)

COOPER: It's said that the civil war turned when a ship made of iron bested a wooden ship. The Monitor and the Merrimack, remember? What do you think might happen if we turned to boats made out of cardboard? CNN's Jeanne Moos found just such a regatta.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): The Queen Mary, they are not. They range in shape from submarine to Santa's sleigh to river boat, and although this is a race, what the crowd loves is a sinking ship. The Regatta is a Stony Brook University tradition. Where else could a cardboard bottle of beer end up in the drink. Is the boat made from like this?

UNIDENTIFIED MALE: No, we thought about it, but we didn't drink last night so...

UNIDENTIFIED FEMALE: Too flimsy.

MOOS: Not too flimsy for their heads. All vessels must be constructed from the simplest materials, mainly cardboard and duct tape. The boxing ring didn't just float, it was a knockout. Boat builders were limited to seven materials. Among them rope, cloth, for sales only, and Elmer's glue. Where there's smoke, there's fire. We stumbled on suspicious styrofoam in this boat's debris. Hold it! This is illegal.

UNIDENTIFIED MALE: No, no. It's cardboard.

MOOS: You cheated and you lost. Is there an educational point here?

UNIDENTIFIED FEMALE: Absolutely none. This is about hope, triumphing over common sense. MOOS: Hope may triumph but the Bud Light didn't. It became a sodden mass of cardboard and duct tape. Even the winner wound up in the dumpster. To what did the makers of this sleek cardboard kayak attribute their success?

UNIDENTIFIED MALE: It's a lot of math.

MOOS: Same goes for the Bud Light. This is not a 12-ouncer.

UNIDENTIFIED MALE: This is a 40-ouncer.

MOOS: Jeanne Moos, CNN, Stony Brook, New York.

(END VIDEOTAPE)

COOPER: All right. Time for the buzz. Earlier we asked you, does President Bush have a clear exit strategy for Iraq? 14 percent of you said yes, 86 percent of you said no. Not a scientific poll, but it is your buzz. We appreciate you voting.

Taking high tech to the Nth degree. Now we're getting somewhere. The other day, Adidas unveiled what a company spokesman called the first intelligent running shoe ever. A $250 sneaker that automatically and continuously adjusted to different surfaces. It senses, the spokesperson said, understands and adapts. That's more than some of my friends can do. But that's not really the point. Now we can look forward to smart pants with microchips in the waistband that cause it to loosen or tighten depending on what the wearer has had for lunch. Wireless hats, these allow you to keep in touch without fumbling for a cell phone or a Blackberry. Just tip your hat, make a call.

The high definition digital necktie. One tie with as many downloadable patterns, stripes, polka dots, palm trees, as you might want. A sensor on the tie determines what else you're wearing and comes up with the perfect match. Yes, sir, we're just at the dawn of high-tech haberdashery. Your grandkids won't believe you when you tell them you grew up without computer controlled pants.

I'm Anderson Cooper. Thanks for watching 360. Have a great weekend. Coming up next, "PAULA ZAHN NOW."

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