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CNN Live At Daybreak
Pretrial Hearings Today for Three Accused Soldiers in Prison Abuse Scandal; Coffey Talk: Update on Enron
Aired June 21, 2004 - 06:30 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.
CAROL COSTELLO, CNN ANCHOR: And good morning to you from the CNN global headquarters in Atlanta. I'm Carol Costello. Here are the latest headlines for you now.
A military judge in Baghdad says Abu Ghraib prison cannot be destroyed until prisoner abuse courts-martial are completed. During pretrial hearings, the judge granted a defense request to put top U.S. generals on the witness stand, but Defense Secretary Donald Rumsfeld will not have to testify.
Four more American soldiers have reportedly been killed in Iraq. Witnesses say the soldiers' bodies were found in a building in the Sunni town of Ramadi. No comment yet from the U.S. military.
In Saudi Arabia, the terrorist group responsible for executing American hostage Paul Johnson says it got help from Saudi security forces. The search for Johnson's body is still ongoing in Saudi Arabia.
In money news, reports say United Airlines is ready for plan B. It's already been denied a $1.6 billion federal loan guarantee. Plan B includes finding new equity and cutting the size of its request.
In culture, 40,000 people walked in 70 nations to raise money to feed hungry schoolchildren around the world. The marchers raised about $840,000 for the U.N. World Food Program.
And in sports, home run No. 500 finally for Ken Griffey, Jr. It was a shot over the right-field wall. You're going to see it in just a moment. There it goes. That was in Saint Louis. Griffey of the Cincinnati Reds is the 20th player to hit 500 home runs.
(WEATHER BREAK)
COSTELLO: Here's what's happening right now in Iraq.
Reuters is quoting witnesses as saying the bodies of four American soldiers have been found in the city of Ramadi. That's west of Baghdad. The Associated Press quotes residents as saying the Americans were killed in an ambush.
The judge at a pretrial hearing for Sergeant Javal Davis says Abu Ghraib prison cannot be destroyed until courts-martial have been completed. Davis is one of seven MPs charged with abusing Iraqi prisoners. And gunfire erupted last night outside the Palestine Hotel in Baghdad. It's the headquarters for several international news organizations. U.S. troops were called to the scene. No casualties reported.
A pipeline damaged by sabotage is now repaired, and more than a million gallons of crude oil per day is now being pumped to the terminal at Basra. The pumping resumed yesterday.
A South Korean government minister says his country is doing all it can to get that South Korean hostage freed in Iraq. His captors have threatened to behead the man identified as Kim Sun-il.
Pretrial hearings are under way in Iraq this morning. Staff Sergeant Ivan Frederick, Sergeant Javal Davis, and Specialist Charles Graner all are charged in the prisoner abuse scandal at Abu Ghraib. So far this morning, a military judge has ruled Abu Ghraib a crime scene, so it will not be torn down. And there will be no change of venue for at least one of the defendants. One more thing: Top commanders like General John Abizaid and General Sanchez can be interviewed.
Joining us this morning with another perspective, CNN contributor Army pilot Ron Young. Of course, he was captured by the Iraqis and held for 22 days until the Marines rescued him.
Good morning.
RON YOUNG, CNN SPECIAL CONTRIBUTOR, U.S. ARMY (RET.): Good morning. How are you?
COSTELLO: I'm fine. You talk to your friends still serving in Iraq. What are they saying about this scandal?
YOUNG: Well, right now, they really don't talk about a whole lot. I actually had to solicit some information from them to see how they felt about it and how the units were responding to the news of this entire scandal and everything. And, really, they are going on with their lives. They kind of wish it would just blow over. They're kind of sick of hearing about it. And, honestly, it's made their lives a little bit more dangerous over there than they were prior.
COSTELLO: So, do the Iraqi citizens comment to the soldiers? I mean, do they hear it from the citizens from Iraq?
YOUNG: Absolutely. That's why it's made their lives a little bit more dangerous is because they go out into the street now and they feel animosity that the Iraqis are feeling toward them because of the prison scandal and what happened there.
COSTELLO: I want you to listen to one of the attorneys. This is the attorney for Javal Davis. This is what he said after the hearing for Davis was over this morning.
YOUNG: OK.
(BEGIN VIDEO CLIP)
PAUL BERGRIN, SGT. DAVIS CIVILIAN LAWYER: We know that they were following orders. And how do we know that? Because high-ranking individuals in government, in the military, have given statements under oath in reference to what was permissible, in reference to the interrogation techniques.
(END VIDEO CLIP)
COSTELLO: Now, if Davis committed these acts of abuse, is that a valid assertion that he was just following orders?
YOUNG: No, because he says a key point there, and it's in reference -- he uses a line, "In reference to what was permissible." They obviously went far beyond what was actually permissible, especially when you get into treating someone in a sexual way like that. Anything -- we all go through basic training. We all go through classes that teach you the difference between a lawful and an unlawful order. And while you're going through this, it basically tells you anything that is of sexual nature is absolutely and undeniably an unlawful order, and that's why I don't consider this a valid defense.
COSTELLO: So, it's not a valid defense. So, just because someone gives you the order doesn't mean you do it.
YOUNG: Exactly.
COSTELLO: Another attorney said -- another attorney said that it's unprecedented that military intelligence would have anything to do with running a prison. Usually the MPs are in charge. Is that kind of weird? Explain that for us.
YOUNG: Well, it is different than the way the military usually works. Usually MPs are in charge of prisons. Now, the military intelligence guys that ended up in charge of this one were obviously there because they're trying to thwart attacks and they're trying to keep things from happening to American troops and they're trying to get as much information from these guys as possible.
Now, you can use certain techniques like sleep deprivation, you know, keeping food away from people, things like that, but it's where it comes down to torture -- electrocuting people. In one incident, basically what happened is Greer (ph) handcuffed this guy to a bed and beat him across open leg wounds with an ASP baton. I mean, that's torture. That's going beyond any call or measure that the military has.
COSTELLO: And you say that, but there are some people out there that say this whole thing has been overblown. In fact, in "The New York Times" magazine just this Sunday, Senator Trent Lott said, most of the people in Mississippi came to me and said, thank goodness America comes first. Interrogation is not Sunday school class. You don't get information that will save American lives by withholding pancakes. And then he went to say, I was amazed that people reacted like that. Did the dogs -- you know, because there are allegations that they used dogs to get information out of prisoners. Trent Lott says, I was amazed that people reacted like that. Did the dogs bite them? Did the dogs assault them? How are we going to get people to give information that will lead to saving of lives?
YOUNG: And right there he's calling -- the difference is, is the situation I described and used a baton and the guy being beat across an open flesh wound where this guy was shot, and using a dog to scare someone is not a problem. I mean, you have to use certain measures to try to let the enemy know.
And, honestly, you want the enemy to think that there is no link that you will not go through to get the information that you want. And that's a mind game, and you can do that with sleep. You can do that with food. You can do that with dogs, but it comes down to the physical abuse and the extreme emotional abuse where that would lead to further problems down the road.
COSTELLO: Well, the hearing should be very interesting. Ron Young...
YOUNG: It's going to be very interesting.
COSTELLO: Yes. Ron Young, thank you for joining us on DAYBREAK this morning.
YOUNG: Thank you.
COSTELLO: Still to come on DAYBREAK, for a few years it seemed like this Enron honcho may stay out of the legal limelight. But could Ken Lay be forced into it now after all this time?
And it boiled down to a double bogey for an American favorite at the U.S. Open.
And then, sink or float? That's a good question when you're both made out of concrete.
(COMMERCIAL BREAK)
COSTELLO: And welcome back to DAYBREAK.
Ken Lay, remember that name? Ken Lay? Enron scandal? Collapse? It seems like it's been forever since Lay was accused of hiding Enron's true financial status before the energy giant collapsed into bankruptcy. Lay was the top dog at Enron. Well, the top dog could be in the doghouse soon, a good topic to discuss over coffee this morning.
Live to Long Island and our legal analyst, Kendall Coffey.
Good morning -- Kendall.
Kendall, are you there? KENDALL COFFEY, CNN LEGAL ANALYST: Yes, I am. Can you hear me?
COSTELLO: Oh, I can hear you now. You know, this all started way back in 2002. Why has it taken so long?
COFFEY: They've been working up the pyramid. It's an amazingly complex matter. I mean, (UNINTELLIGIBLE) beyond description. And all of a sudden they're getting close to the top. You may recall that in January of this year, CFO Andrew Fastow pled guilty. He started to cooperate. In February, Jeffrey Skilling, the No. 2 guy at Enron, was indicted. Now, according to at least some reports, it may be Ken Lay himself who is in the crosshairs of the prosecutors.
COSTELLO: And all of this time a grand jury has been investigating Lay, correct?
COFFEY: Yes. They've been working continuously almost from the beginning of the Enron collapse.
COSTELLO: You know, Ken Lay's attorney said he was unaware of what the troops were doing. It sounds as if he's going to pin the blame on Andrew Fastow. You mentioned Fastow. He's Enron's finance guy. Fastow has been convicted. Is he singing a song about Lay?
COFFEY: He's got to be cooperating. And you're absolutely right. There has been this sort of Ken Lay giving this hear-no-evil, see-no-evil empty-suit kind of defense, which blames all of the accounting irregularities on the evil geniuses in the finance department. That's why it appears that prosecutors have focused on a narrow window of time starting in August of 2001, where they say by then things were so extreme that Ken Lay can't be hiding his head in the sand any more.
COSTELLO: Well, isn't it disturbing that the head of a company says that I don't know what was happening with the company's finances, I was just there as pretty much of a morale booster? That's disturbing at face value, isn't it?
COFFEY: Well, it's stunning, the idea that a person as the chairman of the board is defending himself by saying he had no idea of what's going on. But let's face it. Ignorance may not be commendable, but it's a whole lot better than being fully knowledgeable and fully culpable when the feds are out arresting people and locking them up. So, it looks bad as a manager, but it is going to be his defense as a criminal defendant if, in fact, he's indicted.
COSTELLO: Last question. If the grand jury comes through with indictments, what is Ken Lay going to be charged with?
COFFEY: Well, the best match so far is what we've seen with the Jeffrey Skilling indictment, Carol, and that includes a combination of insider trading. That is dumping your stock when you know things are really, really bad with your own company. And making false statements to some of the investment community, which in August and September and October of 2001, they say Ken Lay was doing even after he had to know that things were sinking fast with the pirate ship called Enron.
COSTELLO: Thanks for the "Coffey Talk" this morning.
COFFEY: OK, thanks, Carol.
COSTELLO: Kendall Coffey live from Long Island.
Your news, money, weather and sports. It is 6:44 Eastern. Here's what's all new this morning.
A military judge in the Iraq prisoner abuse scandal today declared the Abu Ghraib prison a crime scene, ordering that it not be destroyed while military trials are under way.
A South Korean man kidnapped in Iraq pleads for his life on Al Jazeera TV. Captors threatened to behead the man unless South Korea pulls its troops from Iraq and not send any more. Despite the threat, South Korea says it will send 3,000 troops plus a delegation to negotiate the man's release.
In money news, a new report from the Pew Hispanic Center shows almost three out of every 10 new jobs in the United States are going to immigrants, but earnings for Latinos and other workers remain flat.
In culture, thousands of partygoers gathered in Britain today to witness the sunrise at Stonehenge. They flocked to the ancient circles of stones to celebrate the summer solstice, which, of course, is the longest day of the year.
In sports, the Giants' Jason Schmidt pitched his second one- hitter of the season, leading San Francisco to a 4-0 victory over the Boston Red Sox. Schmidt has now won nine straight decisions.
(WEATHER BREAK)
COSTELLO: Those are the latest headlines. Thank you, Chad.
Let's check in with Bill and Soledad and head live to New York for a look at what's coming up on "AMERICAN MORNING."
Good morning.
SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol. Good morning to you.
BILL HEMMER, CNN ANCHOR: Good morning, Carol.
O'BRIEN: Some of the headlines we're looking at this morning on "AMERICAN MORNING," Saudi Arabia and the al Qaeda connection. There are many suspicions, as we know, about Saudi security links to al Qaeda. This morning, we're going to talk with Saudi foreign policy adviser Adel Al-Jubeir, and also Robert Jordan. He's a former U.S. ambassador to Saudi Arabia. We'll get their perspective.
HEMMER: A number of questions again on this Monday. Also, the book is out. Bill Clinton's book goes on sale tomorrow actually.
O'BRIEN: (UNINTELLIGIBLE) what does it cost, 29.99?
HEMMER: I don't know. I can pay 50 percent off at Amazon.com probably, and maybe 25 percent off the following week. Anyway, we'll talk about that with a number of people today. Jack's got that on his mind today, and Jeff Greenfield stops by as well. So, we'll get to that.
O'BRIEN: And we're talking about that spaceship. And, of course, people are asking, is this privately-funded ship -- Paul Allen, of course, is a billionaire...
HEMMER: Is it the future?
O'BRIEN: ... put a lot of money into it. Is it the future of the space program? If you want to know can you eventually take vacations in space? We will see. We're going to talk to Miles about that this morning.
HEMMER: You know Miles would take his family immediately.
O'BRIEN: Are you kidding me?
HEMMER: He would be the first guy on there. Carol, you looked great carrying the torch, by the way.
COSTELLO: Thank you. It was...
HEMMER: Congratulations to you.
COSTELLO: It was an absolute thrill.
HEMMER: I am certain.
COSTELLO: And I was not worthy.
HEMMER: Did you do that at daybreak, by the way?
COSTELLO: Pardon?
HEMMER: Was it that at dawn?
COSTELLO: What?
HEMMER: When did you do that? What time of the day?
O'BRIEN: 6:30 at night.
COSTELLO: It was 8:41 p.m.
HEMMER: In the evening, OK.
COSTELLO: Right, in the evening.
HEMMER: OK.
COSTELLO: Yes. So, it was a long day. But who cares? It was worth it. Thanks, Bill and Soledad.
HEMMER: You got it.
COSTELLO: Precise putting. It came down to a skill on the greens and a few other factors at the U.S. Open. We'll have a wrapup next. This is DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: Our sports contributor, Chris Cotter, is in to talk about the U.S. Open, and we were just laughing because I heard the U.S. Open on the radio, golf on the radio.
CHRIS COTTER, CNN SPORTS CONTRIBUTOR: I used to do golf on the radio.
CHAD MYERS, CNN METEOROLOGIST: It's like bowling on the radio.
COSTELLO: It's like bowling, exactly.
MYERS: He's up. He's drying his hand. He -- oh, there goes the ball.
COTTER: Well, I mean, if you were locking yourself in your car on a Sunday afternoon just so you could hear -- you know, hinging on every word, then you'd have a problem. But if you're at Home Depot or Lowe's and you're, you know, driving around taking care of things and running errands and you want to find out what's going on at the U.S. Open on the final day, tune in.
MYERS: Yes.
COSTELLO: Sure, OK, Chris. Well, let's talk about the U.S. Open.
COTTER: It's the sports (UNINTELLIGIBLE).
MYERS: Right, exactly.
COSTELLO: It was an exciting U.S. Open though.
COTTER: It was unbelievable, and it looked more like Chad and I knocking around the municipal courts yesterday than the pros. The average score was almost 80, and that's the second-highest final round score in U.S. Open history.
MYERS: Yes. Somebody was 30 over. Who was 30 over?
COTTER: Yes, Billy Mayfair was even through two days, and he ended up 30 shots over par after Sunday.
MYERS: That sounds like you and me!
COTTER: That's just torture. And, you know, the USGA who sets up the U.S. Open...
MYERS: Yes.
COTTER: ... they catch a lot of heat from time to time, and, you know, about once every three or four years for really setting up the course as too difficult. And at Shinnecock Hills this weekend it was. It was just too tough on Sunday.
COSTELLO: Tiger Woods, let's talk about him, because he did not do well.
COTTER: No. You know what? But he still had a top-20 finish, which for people out there to say, yes, it's not Tiger Woods-esque, because he hasn't won a major now, eight majors.
MYERS: Right.
COTTER: And so, people are looking at Tiger and saying, what's wrong with him? I just think it's too tough to keep that dominant streak going for that long of a period of time. Even, you know, Jack Nicklaus had runs when he wasn't winning majors, and then he came back to win a bunch.
MYERS: Yes.
COTTER: I think Tiger will be back. I just think he's relaxed. You can see him here on 18 on Saturday. He looks like he's having fun anyway.
MYERS: He just dumped it right in there.
COTTER: He knows the course is tough.
MYERS: Great shot.
COTTER: That's like with Phil Mickelson, too. You know, he doesn't win, and he has a double bogey on 17 that ends up costing him. He loses the lead there.
MYERS: Yes.
COTTER: But he still looks like he's having fun out there playing golf.
COSTELLO: That's because he's still going to win a lot of money by coming in second.
COTTER: And he already has his major. He won the Masters earlier this year, so he kind of gets that monkey off his back.
MYERS: Hey, slow down!
COTTER: And, you know, look at some of these greens.
MYERS: Oh, man!
COTTER: Some of these greens, No. 7 and No. 10 yesterday...
MYERS: Look, it's still going! It's like linoleum! It's linoleum.
COTTER: Mark it.
MYERS: My goodness!
COSTELLO: Well, let's talk about the winner, because we haven't.
COTTER: Right, it was Retief Goosen.
COSTELLO: It was Retief Goosen, right.
COTTER: This is the second time he's won the U.S. Open, and he's such a cool, calm, customer. That's one of the reasons why he excels at, you know, a course like Shinnecock Hills and at the U.S. Open, because he doesn't panic. He just pars, pars, pars. He doesn't get too aggressive. He just kind of is relaxed and goes about his business, and that's why he won the second one yesterday.
COSTELLO: Well, good for him. Shall we talk about Ken Griffey finally getting his 500th home run?
COTTER: Yes. And on Father's Day, too. And he's a father, and his father is a famous baseball player and was there with him.
COSTELLO: Yes, right.
COTTER: So, it was kind of nice to see him get 500 here and be able to, after hitting this, the home run here you see it, to right field. He knew it right away. He's hit 500 of them. He kind of has that (UNINTELLIGIBLE) down pat, huh?
MYERS: I mean, you would think, though, he would be at 600 by now if he was not injured.
COTTER: All of the injuries, and that's another reason why it's such a good story. There you see him hugging his father, Ken Griffey, Sr.
COSTELLO: Oh!
COTTER: And his kids there as well on Father's Day. So, it's kind of a nice way to wrap up Father's Day and a good story. He is one of the all-time greats.
MYERS: Yes.
COTTER: And you're right. His career has sort of been, you know, down the last few years because of injury. But he's having a great year this year, and to see him come out there and do it. And the fans in Saint Louis, a very good baseball town and very knowledgeable in giving him a standing ovation, well deserved.
MYERS: Yes.
COSTELLO: Oh, definitely so. MYERS: He said for the two minutes that I was out here doing this, I didn't feel any pain. That was the only two minutes I have felt that in a long time.
COSTELLO: Really? Oh.
MYERS: Yes.
COTTER: So congratulations to him, one of the all-time greats. Only 20 players have ever hit 500 home runs, so now he joins that exclusive club.
COSTELLO: Oh, talking about exclusive clubs, people who want our beautiful DAYBREAK coffee mug, it is time for the contest now, Chris.
COTTER: I'm not a member of that exclusive club. I keep begging every Monday, and I never get my mug.
MYERS: All right.
COSTELLO: Chad.
MYERS: Here we go. We couldn't give it away on Friday because we were out there in Centennial Park. So the winner actually from Thursday, a nice shot here of the DAYBREAK coffee mug. Yesterday's winner was Tracy Mondul from New Hope, Pennsylvania with the correct answers. The 101-year-old sky diver, he was actually from Australia. And also the name of the movie about President Clinton, and that was the...
COSTELLO: Hunting.
MYERS: ... hunting of the president, correct.
COSTELLO: So, congratulations...
MYERS: Correct?
COSTELLO: Yes. Congratulations to Tracy. The cup is in the mail wrapped in bubble wrap.
MYERS: And now the questions for today.
COSTELLO: The questions for today.
MYERS: The questions for today are -- here's your chance to win this one here for today.
COSTELLO: Here it is.
MYERS: We don't have them? All right. There we go. Finally. What's the name of the one-man show performed by Princess Di's former butler, Paul Burrell? We talked about this a little bit ago. And what was the name of the jet engine plane that will carry the rocket- propelled SpaceShipOne?
COSTELLO: Oh, tough questions this morning.
MYERS: What's the engine's name?
COSTELLO: Because, frankly, we were a little addled on that conversation. But our viewers are brilliant.
MYERS: It was on the bottom of the screen.
COSTELLO: It was. Daybreak@CNN.com. Daybreak@CNN.com. Chad will join me for "The Lightning Round" coming up, but first the latest headlines for you.
(COMMERCIAL BREAK)
COSTELLO: Welcome back to DAYBREAK. It is time for our "Lightning Round," so let's get through it quick as lightning.
No computers, no hydraulics, just a contest of skill in Britain. These aerobatic pilots also had to have some nerve to fly at 200 miles per hour, occasionally dipping to just 18 feet above ground.
MYERS: Yikes!
COSTELLO: I can't believe they keep it all together up there.
MYERS: And a guy from Arizona won.
COSTELLO: Yes, a 44-year-old pilot from Arizona. For some reason, we do not have his name, but this is "The Lightning Round," so maybe that makes sense.
Would you race in a canoe made of concrete? These civil engineering students did. It was the 17th national championship race in Washington. Wow! I didn't know concrete could float so well.
MYERS: Sure. Some of the big Coast Guard boats are made of concrete.
COSTELLO: That's why I have you here, Chad. You explain it all for us.
You know, it pays to be Regis Philbin's co-host. Kelly Ripa...
MYERS: It really, really pays.
COSTELLO: Really, really. She just signed a five-year contract, and according to the syndicated TV entertainment show, "Extra," Ripa will rake in 40 million bucks. That would be $8 million a year.
MYERS: Wow! I want to fill in for Regis someday. I think that would be a blast.
COSTELLO: His contract is up in two years. I think you should try out.
MYERS: Oh, right. COSTELLO: You'd be making a lot more money than you're making now.
MYERS: That's true.
COSTELLO: Eight million...
MYERS: That's amazing. She's so good, though. She's fun.
COSTELLO: She is cute. I'm depressed now.
MYERS: Well, you should be.
COSTELLO: From the CNN global headquarters in Atlanta, I'm Carol Costello, along with Chad Myers. "AMERICAN MORNING" starts right 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 June 21, 2004 - 06:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: And good morning to you from the CNN global headquarters in Atlanta. I'm Carol Costello. Here are the latest headlines for you now.
A military judge in Baghdad says Abu Ghraib prison cannot be destroyed until prisoner abuse courts-martial are completed. During pretrial hearings, the judge granted a defense request to put top U.S. generals on the witness stand, but Defense Secretary Donald Rumsfeld will not have to testify.
Four more American soldiers have reportedly been killed in Iraq. Witnesses say the soldiers' bodies were found in a building in the Sunni town of Ramadi. No comment yet from the U.S. military.
In Saudi Arabia, the terrorist group responsible for executing American hostage Paul Johnson says it got help from Saudi security forces. The search for Johnson's body is still ongoing in Saudi Arabia.
In money news, reports say United Airlines is ready for plan B. It's already been denied a $1.6 billion federal loan guarantee. Plan B includes finding new equity and cutting the size of its request.
In culture, 40,000 people walked in 70 nations to raise money to feed hungry schoolchildren around the world. The marchers raised about $840,000 for the U.N. World Food Program.
And in sports, home run No. 500 finally for Ken Griffey, Jr. It was a shot over the right-field wall. You're going to see it in just a moment. There it goes. That was in Saint Louis. Griffey of the Cincinnati Reds is the 20th player to hit 500 home runs.
(WEATHER BREAK)
COSTELLO: Here's what's happening right now in Iraq.
Reuters is quoting witnesses as saying the bodies of four American soldiers have been found in the city of Ramadi. That's west of Baghdad. The Associated Press quotes residents as saying the Americans were killed in an ambush.
The judge at a pretrial hearing for Sergeant Javal Davis says Abu Ghraib prison cannot be destroyed until courts-martial have been completed. Davis is one of seven MPs charged with abusing Iraqi prisoners. And gunfire erupted last night outside the Palestine Hotel in Baghdad. It's the headquarters for several international news organizations. U.S. troops were called to the scene. No casualties reported.
A pipeline damaged by sabotage is now repaired, and more than a million gallons of crude oil per day is now being pumped to the terminal at Basra. The pumping resumed yesterday.
A South Korean government minister says his country is doing all it can to get that South Korean hostage freed in Iraq. His captors have threatened to behead the man identified as Kim Sun-il.
Pretrial hearings are under way in Iraq this morning. Staff Sergeant Ivan Frederick, Sergeant Javal Davis, and Specialist Charles Graner all are charged in the prisoner abuse scandal at Abu Ghraib. So far this morning, a military judge has ruled Abu Ghraib a crime scene, so it will not be torn down. And there will be no change of venue for at least one of the defendants. One more thing: Top commanders like General John Abizaid and General Sanchez can be interviewed.
Joining us this morning with another perspective, CNN contributor Army pilot Ron Young. Of course, he was captured by the Iraqis and held for 22 days until the Marines rescued him.
Good morning.
RON YOUNG, CNN SPECIAL CONTRIBUTOR, U.S. ARMY (RET.): Good morning. How are you?
COSTELLO: I'm fine. You talk to your friends still serving in Iraq. What are they saying about this scandal?
YOUNG: Well, right now, they really don't talk about a whole lot. I actually had to solicit some information from them to see how they felt about it and how the units were responding to the news of this entire scandal and everything. And, really, they are going on with their lives. They kind of wish it would just blow over. They're kind of sick of hearing about it. And, honestly, it's made their lives a little bit more dangerous over there than they were prior.
COSTELLO: So, do the Iraqi citizens comment to the soldiers? I mean, do they hear it from the citizens from Iraq?
YOUNG: Absolutely. That's why it's made their lives a little bit more dangerous is because they go out into the street now and they feel animosity that the Iraqis are feeling toward them because of the prison scandal and what happened there.
COSTELLO: I want you to listen to one of the attorneys. This is the attorney for Javal Davis. This is what he said after the hearing for Davis was over this morning.
YOUNG: OK.
(BEGIN VIDEO CLIP)
PAUL BERGRIN, SGT. DAVIS CIVILIAN LAWYER: We know that they were following orders. And how do we know that? Because high-ranking individuals in government, in the military, have given statements under oath in reference to what was permissible, in reference to the interrogation techniques.
(END VIDEO CLIP)
COSTELLO: Now, if Davis committed these acts of abuse, is that a valid assertion that he was just following orders?
YOUNG: No, because he says a key point there, and it's in reference -- he uses a line, "In reference to what was permissible." They obviously went far beyond what was actually permissible, especially when you get into treating someone in a sexual way like that. Anything -- we all go through basic training. We all go through classes that teach you the difference between a lawful and an unlawful order. And while you're going through this, it basically tells you anything that is of sexual nature is absolutely and undeniably an unlawful order, and that's why I don't consider this a valid defense.
COSTELLO: So, it's not a valid defense. So, just because someone gives you the order doesn't mean you do it.
YOUNG: Exactly.
COSTELLO: Another attorney said -- another attorney said that it's unprecedented that military intelligence would have anything to do with running a prison. Usually the MPs are in charge. Is that kind of weird? Explain that for us.
YOUNG: Well, it is different than the way the military usually works. Usually MPs are in charge of prisons. Now, the military intelligence guys that ended up in charge of this one were obviously there because they're trying to thwart attacks and they're trying to keep things from happening to American troops and they're trying to get as much information from these guys as possible.
Now, you can use certain techniques like sleep deprivation, you know, keeping food away from people, things like that, but it's where it comes down to torture -- electrocuting people. In one incident, basically what happened is Greer (ph) handcuffed this guy to a bed and beat him across open leg wounds with an ASP baton. I mean, that's torture. That's going beyond any call or measure that the military has.
COSTELLO: And you say that, but there are some people out there that say this whole thing has been overblown. In fact, in "The New York Times" magazine just this Sunday, Senator Trent Lott said, most of the people in Mississippi came to me and said, thank goodness America comes first. Interrogation is not Sunday school class. You don't get information that will save American lives by withholding pancakes. And then he went to say, I was amazed that people reacted like that. Did the dogs -- you know, because there are allegations that they used dogs to get information out of prisoners. Trent Lott says, I was amazed that people reacted like that. Did the dogs bite them? Did the dogs assault them? How are we going to get people to give information that will lead to saving of lives?
YOUNG: And right there he's calling -- the difference is, is the situation I described and used a baton and the guy being beat across an open flesh wound where this guy was shot, and using a dog to scare someone is not a problem. I mean, you have to use certain measures to try to let the enemy know.
And, honestly, you want the enemy to think that there is no link that you will not go through to get the information that you want. And that's a mind game, and you can do that with sleep. You can do that with food. You can do that with dogs, but it comes down to the physical abuse and the extreme emotional abuse where that would lead to further problems down the road.
COSTELLO: Well, the hearing should be very interesting. Ron Young...
YOUNG: It's going to be very interesting.
COSTELLO: Yes. Ron Young, thank you for joining us on DAYBREAK this morning.
YOUNG: Thank you.
COSTELLO: Still to come on DAYBREAK, for a few years it seemed like this Enron honcho may stay out of the legal limelight. But could Ken Lay be forced into it now after all this time?
And it boiled down to a double bogey for an American favorite at the U.S. Open.
And then, sink or float? That's a good question when you're both made out of concrete.
(COMMERCIAL BREAK)
COSTELLO: And welcome back to DAYBREAK.
Ken Lay, remember that name? Ken Lay? Enron scandal? Collapse? It seems like it's been forever since Lay was accused of hiding Enron's true financial status before the energy giant collapsed into bankruptcy. Lay was the top dog at Enron. Well, the top dog could be in the doghouse soon, a good topic to discuss over coffee this morning.
Live to Long Island and our legal analyst, Kendall Coffey.
Good morning -- Kendall.
Kendall, are you there? KENDALL COFFEY, CNN LEGAL ANALYST: Yes, I am. Can you hear me?
COSTELLO: Oh, I can hear you now. You know, this all started way back in 2002. Why has it taken so long?
COFFEY: They've been working up the pyramid. It's an amazingly complex matter. I mean, (UNINTELLIGIBLE) beyond description. And all of a sudden they're getting close to the top. You may recall that in January of this year, CFO Andrew Fastow pled guilty. He started to cooperate. In February, Jeffrey Skilling, the No. 2 guy at Enron, was indicted. Now, according to at least some reports, it may be Ken Lay himself who is in the crosshairs of the prosecutors.
COSTELLO: And all of this time a grand jury has been investigating Lay, correct?
COFFEY: Yes. They've been working continuously almost from the beginning of the Enron collapse.
COSTELLO: You know, Ken Lay's attorney said he was unaware of what the troops were doing. It sounds as if he's going to pin the blame on Andrew Fastow. You mentioned Fastow. He's Enron's finance guy. Fastow has been convicted. Is he singing a song about Lay?
COFFEY: He's got to be cooperating. And you're absolutely right. There has been this sort of Ken Lay giving this hear-no-evil, see-no-evil empty-suit kind of defense, which blames all of the accounting irregularities on the evil geniuses in the finance department. That's why it appears that prosecutors have focused on a narrow window of time starting in August of 2001, where they say by then things were so extreme that Ken Lay can't be hiding his head in the sand any more.
COSTELLO: Well, isn't it disturbing that the head of a company says that I don't know what was happening with the company's finances, I was just there as pretty much of a morale booster? That's disturbing at face value, isn't it?
COFFEY: Well, it's stunning, the idea that a person as the chairman of the board is defending himself by saying he had no idea of what's going on. But let's face it. Ignorance may not be commendable, but it's a whole lot better than being fully knowledgeable and fully culpable when the feds are out arresting people and locking them up. So, it looks bad as a manager, but it is going to be his defense as a criminal defendant if, in fact, he's indicted.
COSTELLO: Last question. If the grand jury comes through with indictments, what is Ken Lay going to be charged with?
COFFEY: Well, the best match so far is what we've seen with the Jeffrey Skilling indictment, Carol, and that includes a combination of insider trading. That is dumping your stock when you know things are really, really bad with your own company. And making false statements to some of the investment community, which in August and September and October of 2001, they say Ken Lay was doing even after he had to know that things were sinking fast with the pirate ship called Enron.
COSTELLO: Thanks for the "Coffey Talk" this morning.
COFFEY: OK, thanks, Carol.
COSTELLO: Kendall Coffey live from Long Island.
Your news, money, weather and sports. It is 6:44 Eastern. Here's what's all new this morning.
A military judge in the Iraq prisoner abuse scandal today declared the Abu Ghraib prison a crime scene, ordering that it not be destroyed while military trials are under way.
A South Korean man kidnapped in Iraq pleads for his life on Al Jazeera TV. Captors threatened to behead the man unless South Korea pulls its troops from Iraq and not send any more. Despite the threat, South Korea says it will send 3,000 troops plus a delegation to negotiate the man's release.
In money news, a new report from the Pew Hispanic Center shows almost three out of every 10 new jobs in the United States are going to immigrants, but earnings for Latinos and other workers remain flat.
In culture, thousands of partygoers gathered in Britain today to witness the sunrise at Stonehenge. They flocked to the ancient circles of stones to celebrate the summer solstice, which, of course, is the longest day of the year.
In sports, the Giants' Jason Schmidt pitched his second one- hitter of the season, leading San Francisco to a 4-0 victory over the Boston Red Sox. Schmidt has now won nine straight decisions.
(WEATHER BREAK)
COSTELLO: Those are the latest headlines. Thank you, Chad.
Let's check in with Bill and Soledad and head live to New York for a look at what's coming up on "AMERICAN MORNING."
Good morning.
SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Carol. Good morning to you.
BILL HEMMER, CNN ANCHOR: Good morning, Carol.
O'BRIEN: Some of the headlines we're looking at this morning on "AMERICAN MORNING," Saudi Arabia and the al Qaeda connection. There are many suspicions, as we know, about Saudi security links to al Qaeda. This morning, we're going to talk with Saudi foreign policy adviser Adel Al-Jubeir, and also Robert Jordan. He's a former U.S. ambassador to Saudi Arabia. We'll get their perspective.
HEMMER: A number of questions again on this Monday. Also, the book is out. Bill Clinton's book goes on sale tomorrow actually.
O'BRIEN: (UNINTELLIGIBLE) what does it cost, 29.99?
HEMMER: I don't know. I can pay 50 percent off at Amazon.com probably, and maybe 25 percent off the following week. Anyway, we'll talk about that with a number of people today. Jack's got that on his mind today, and Jeff Greenfield stops by as well. So, we'll get to that.
O'BRIEN: And we're talking about that spaceship. And, of course, people are asking, is this privately-funded ship -- Paul Allen, of course, is a billionaire...
HEMMER: Is it the future?
O'BRIEN: ... put a lot of money into it. Is it the future of the space program? If you want to know can you eventually take vacations in space? We will see. We're going to talk to Miles about that this morning.
HEMMER: You know Miles would take his family immediately.
O'BRIEN: Are you kidding me?
HEMMER: He would be the first guy on there. Carol, you looked great carrying the torch, by the way.
COSTELLO: Thank you. It was...
HEMMER: Congratulations to you.
COSTELLO: It was an absolute thrill.
HEMMER: I am certain.
COSTELLO: And I was not worthy.
HEMMER: Did you do that at daybreak, by the way?
COSTELLO: Pardon?
HEMMER: Was it that at dawn?
COSTELLO: What?
HEMMER: When did you do that? What time of the day?
O'BRIEN: 6:30 at night.
COSTELLO: It was 8:41 p.m.
HEMMER: In the evening, OK.
COSTELLO: Right, in the evening.
HEMMER: OK.
COSTELLO: Yes. So, it was a long day. But who cares? It was worth it. Thanks, Bill and Soledad.
HEMMER: You got it.
COSTELLO: Precise putting. It came down to a skill on the greens and a few other factors at the U.S. Open. We'll have a wrapup next. This is DAYBREAK.
(COMMERCIAL BREAK)
COSTELLO: Our sports contributor, Chris Cotter, is in to talk about the U.S. Open, and we were just laughing because I heard the U.S. Open on the radio, golf on the radio.
CHRIS COTTER, CNN SPORTS CONTRIBUTOR: I used to do golf on the radio.
CHAD MYERS, CNN METEOROLOGIST: It's like bowling on the radio.
COSTELLO: It's like bowling, exactly.
MYERS: He's up. He's drying his hand. He -- oh, there goes the ball.
COTTER: Well, I mean, if you were locking yourself in your car on a Sunday afternoon just so you could hear -- you know, hinging on every word, then you'd have a problem. But if you're at Home Depot or Lowe's and you're, you know, driving around taking care of things and running errands and you want to find out what's going on at the U.S. Open on the final day, tune in.
MYERS: Yes.
COSTELLO: Sure, OK, Chris. Well, let's talk about the U.S. Open.
COTTER: It's the sports (UNINTELLIGIBLE).
MYERS: Right, exactly.
COSTELLO: It was an exciting U.S. Open though.
COTTER: It was unbelievable, and it looked more like Chad and I knocking around the municipal courts yesterday than the pros. The average score was almost 80, and that's the second-highest final round score in U.S. Open history.
MYERS: Yes. Somebody was 30 over. Who was 30 over?
COTTER: Yes, Billy Mayfair was even through two days, and he ended up 30 shots over par after Sunday.
MYERS: That sounds like you and me!
COTTER: That's just torture. And, you know, the USGA who sets up the U.S. Open...
MYERS: Yes.
COTTER: ... they catch a lot of heat from time to time, and, you know, about once every three or four years for really setting up the course as too difficult. And at Shinnecock Hills this weekend it was. It was just too tough on Sunday.
COSTELLO: Tiger Woods, let's talk about him, because he did not do well.
COTTER: No. You know what? But he still had a top-20 finish, which for people out there to say, yes, it's not Tiger Woods-esque, because he hasn't won a major now, eight majors.
MYERS: Right.
COTTER: And so, people are looking at Tiger and saying, what's wrong with him? I just think it's too tough to keep that dominant streak going for that long of a period of time. Even, you know, Jack Nicklaus had runs when he wasn't winning majors, and then he came back to win a bunch.
MYERS: Yes.
COTTER: I think Tiger will be back. I just think he's relaxed. You can see him here on 18 on Saturday. He looks like he's having fun anyway.
MYERS: He just dumped it right in there.
COTTER: He knows the course is tough.
MYERS: Great shot.
COTTER: That's like with Phil Mickelson, too. You know, he doesn't win, and he has a double bogey on 17 that ends up costing him. He loses the lead there.
MYERS: Yes.
COTTER: But he still looks like he's having fun out there playing golf.
COSTELLO: That's because he's still going to win a lot of money by coming in second.
COTTER: And he already has his major. He won the Masters earlier this year, so he kind of gets that monkey off his back.
MYERS: Hey, slow down!
COTTER: And, you know, look at some of these greens.
MYERS: Oh, man!
COTTER: Some of these greens, No. 7 and No. 10 yesterday...
MYERS: Look, it's still going! It's like linoleum! It's linoleum.
COTTER: Mark it.
MYERS: My goodness!
COSTELLO: Well, let's talk about the winner, because we haven't.
COTTER: Right, it was Retief Goosen.
COSTELLO: It was Retief Goosen, right.
COTTER: This is the second time he's won the U.S. Open, and he's such a cool, calm, customer. That's one of the reasons why he excels at, you know, a course like Shinnecock Hills and at the U.S. Open, because he doesn't panic. He just pars, pars, pars. He doesn't get too aggressive. He just kind of is relaxed and goes about his business, and that's why he won the second one yesterday.
COSTELLO: Well, good for him. Shall we talk about Ken Griffey finally getting his 500th home run?
COTTER: Yes. And on Father's Day, too. And he's a father, and his father is a famous baseball player and was there with him.
COSTELLO: Yes, right.
COTTER: So, it was kind of nice to see him get 500 here and be able to, after hitting this, the home run here you see it, to right field. He knew it right away. He's hit 500 of them. He kind of has that (UNINTELLIGIBLE) down pat, huh?
MYERS: I mean, you would think, though, he would be at 600 by now if he was not injured.
COTTER: All of the injuries, and that's another reason why it's such a good story. There you see him hugging his father, Ken Griffey, Sr.
COSTELLO: Oh!
COTTER: And his kids there as well on Father's Day. So, it's kind of a nice way to wrap up Father's Day and a good story. He is one of the all-time greats.
MYERS: Yes.
COTTER: And you're right. His career has sort of been, you know, down the last few years because of injury. But he's having a great year this year, and to see him come out there and do it. And the fans in Saint Louis, a very good baseball town and very knowledgeable in giving him a standing ovation, well deserved.
MYERS: Yes.
COSTELLO: Oh, definitely so. MYERS: He said for the two minutes that I was out here doing this, I didn't feel any pain. That was the only two minutes I have felt that in a long time.
COSTELLO: Really? Oh.
MYERS: Yes.
COTTER: So congratulations to him, one of the all-time greats. Only 20 players have ever hit 500 home runs, so now he joins that exclusive club.
COSTELLO: Oh, talking about exclusive clubs, people who want our beautiful DAYBREAK coffee mug, it is time for the contest now, Chris.
COTTER: I'm not a member of that exclusive club. I keep begging every Monday, and I never get my mug.
MYERS: All right.
COSTELLO: Chad.
MYERS: Here we go. We couldn't give it away on Friday because we were out there in Centennial Park. So the winner actually from Thursday, a nice shot here of the DAYBREAK coffee mug. Yesterday's winner was Tracy Mondul from New Hope, Pennsylvania with the correct answers. The 101-year-old sky diver, he was actually from Australia. And also the name of the movie about President Clinton, and that was the...
COSTELLO: Hunting.
MYERS: ... hunting of the president, correct.
COSTELLO: So, congratulations...
MYERS: Correct?
COSTELLO: Yes. Congratulations to Tracy. The cup is in the mail wrapped in bubble wrap.
MYERS: And now the questions for today.
COSTELLO: The questions for today.
MYERS: The questions for today are -- here's your chance to win this one here for today.
COSTELLO: Here it is.
MYERS: We don't have them? All right. There we go. Finally. What's the name of the one-man show performed by Princess Di's former butler, Paul Burrell? We talked about this a little bit ago. And what was the name of the jet engine plane that will carry the rocket- propelled SpaceShipOne?
COSTELLO: Oh, tough questions this morning.
MYERS: What's the engine's name?
COSTELLO: Because, frankly, we were a little addled on that conversation. But our viewers are brilliant.
MYERS: It was on the bottom of the screen.
COSTELLO: It was. Daybreak@CNN.com. Daybreak@CNN.com. Chad will join me for "The Lightning Round" coming up, but first the latest headlines for you.
(COMMERCIAL BREAK)
COSTELLO: Welcome back to DAYBREAK. It is time for our "Lightning Round," so let's get through it quick as lightning.
No computers, no hydraulics, just a contest of skill in Britain. These aerobatic pilots also had to have some nerve to fly at 200 miles per hour, occasionally dipping to just 18 feet above ground.
MYERS: Yikes!
COSTELLO: I can't believe they keep it all together up there.
MYERS: And a guy from Arizona won.
COSTELLO: Yes, a 44-year-old pilot from Arizona. For some reason, we do not have his name, but this is "The Lightning Round," so maybe that makes sense.
Would you race in a canoe made of concrete? These civil engineering students did. It was the 17th national championship race in Washington. Wow! I didn't know concrete could float so well.
MYERS: Sure. Some of the big Coast Guard boats are made of concrete.
COSTELLO: That's why I have you here, Chad. You explain it all for us.
You know, it pays to be Regis Philbin's co-host. Kelly Ripa...
MYERS: It really, really pays.
COSTELLO: Really, really. She just signed a five-year contract, and according to the syndicated TV entertainment show, "Extra," Ripa will rake in 40 million bucks. That would be $8 million a year.
MYERS: Wow! I want to fill in for Regis someday. I think that would be a blast.
COSTELLO: His contract is up in two years. I think you should try out.
MYERS: Oh, right. COSTELLO: You'd be making a lot more money than you're making now.
MYERS: That's true.
COSTELLO: Eight million...
MYERS: That's amazing. She's so good, though. She's fun.
COSTELLO: She is cute. I'm depressed now.
MYERS: Well, you should be.
COSTELLO: From the CNN global headquarters in Atlanta, I'm Carol Costello, along with Chad Myers. "AMERICAN MORNING" starts right now.
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