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American Morning

Scott Peterson Trial; Michael Jackson Case; Intelligence Shake- Up

Aired August 17, 2004 - 8:59   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.


BILL HEMMER, CNN ANCHOR: Amber Frey's testimony continues today in the Scott Peterson murder trial. Yesterday, jurors heard phone calls that made it sound like Frey was grilling Peterson on the stand. Live to Rusty Dornin for more on that today and what we can expect back in court today also.
HEIDI COLLINS, CNN ANCHOR: Also, to another courtroom, Michael Jackson back in court yesterday for what was an unusual hearing. The man putting Jackson on trial took the stand, and Jackson's family was there to see it. We'll talk to criminal defense attorney John Burris to see whether or not that was a good move.

HEMMER: Also, some Democrats already saying that President Bush's decision to start bringing troops home from around the world on re-deploy was a political move. No question, there are political implications. However, this started years ago. The fallout in a moment with Carlos Watson on that to analyze it for us this morning.

COLLINS: And Jack is here now once again.

Hello.

JACK CAFFERTY, CNN ANCHOR: Was that the first time that Janet, LaToya and Michael were ever photographed together? Because, you know, there were a lot of rumors around for a lot of years.

HEMMER: You might be on to something there.

CAFFERTY: Yes. Might have put a lot of...

COLLINS: Think they're all the same person?

CAFFERTY: ... yes, put it all to rest.

The e-mail "Question of the Day" is whether or not candidates' military records are fair game in a campaign. Senator Tom Harkin referred to Vice President Dick Cheney yesterday as a "coward" for ducking Vietnam War service and for being tough when it comes to shedding other kids' -- other people's children's blood in the war in Iraq. It's getting a little rough out there, and we just wondered whether you think it's fair game or not.

AM@CNN.com.

HEMMER: Good deal. Jack, thank you for that. Major developments yesterday in three high-profile court cases. We'll take a closer look now at all those cases, one against Michael Jackson, the other Kobe Bryant, and third the Scott Peterson case.

In the Peterson trial, star witness Amber Frey may be cross- examined later today. Let's start with Rusty Dornin in Redwood City, California.

Rusty, good morning there.

RUSTY DORNIN, CNN CORRESPONDENT: Good morning, Bill.

Well, it really depends on whether they get through this last set of tapes today and whether prosecutors want to ask her anymore questions. Meantime, jurors are listening to call after call, where Scott Peterson sounds like he's trying to convince Amber Frey he's still a good guy despite all of his lying.

He apologizes to her, tells here he's so sorry he caused so much pain, he's sorry for lying. He's also very evasive when she asks him questions.

Now, remember, Amber Frey was cooperating with police this entire time. She's done an admirable job of really interrogating Peterson. But at times on those tapes it seems like she's becoming emotionally involved.

(BEGIN VIDEOTAPE)

DORNIN (voice-over): As she and the police continue taping her phone calls with Scott Peterson, Amber Frey no longer seemed to welcome words of love. Like a seasoned prosecutor, Frey grills Peterson. He dodges her questions and again.

SCOTT PETERSON, DEFENDANT: The fact is, you don't know all the facts, and I can't share everything with you.

DORNIN: Legal analysts say suspicion he was being taped might have kept Peterson cagey. When Frey threatens to talk to the police, he gives her the green light.

PETERSON: I have nothing to hide in her disappearance. And if you -- you know, if you want to go to the police, that's fine.

DORNIN: In one call played last week, Peterson reads a poem to Frey. CNN discovered it was the same poem Peterson posted at the volunteer search center within days after his wife disappeared, saying it was a poem they read to each other often.

PETERSON: "Beneath the willow wound round with ivy we take cover from the worst of the storm with a greatcoat round our shoulders and my hands around your waist."

DORNIN: At one point, Frey sobs that Peterson has ruined her life. Hearing the tape, Frey broke down in court.

AMBER FREY, HAD AFFAIR WITH SCOTT PETERSON: Because it's been a nightmare for me.

DORNIN: Laci Peterson's mother and stepfather left the courtroom before lunch, remarking that they just didn't want to hear anymore for the day.

(END VIDEOTAPE)

DORNIN: Coming up on the tapes, Amber Frey asked Scott Peterson if she should fear for her life. He tells her, no, she should not. And as I said, if these tapes finish up today, defense attorney Mark Geragos may begin his questioning of the prosecution's star witness -- Bill.

HEMMER: Rusty, a question for you. Legal analysts paying close attention to this case. Do they believe at any point that Scott Peterson was on to Amber Frey with her line of questioning on those tapes?

DORNIN: Well, you know, it's interesting, because there is some question as to whether he had already hired Kirk McAllister, who is a lawyer in Modesto, and they do believe he possibly -- they possibly -- he possibly would have warned him, saying, look, you know, somebody might try to tape you, don't talk to anybody. He also brings up the idea of the brown van and claims he's hired a private investigator, which he could have done through an attorney. So many folks here do feel that he probably had talked to an attorney who had warned him about something like this happening.

HEMMER: Rusty, thanks. We'll look forward to what happens today. And it could be more of the same, more bombshells.

Now Heidi.

COLLINS: Michael Jackson is not expected to be in court today to see an important challenge to the prosecution's evidence against him. But he was there yesterday, and put on quite a show. Miguel Marquez is live in Santa Maria, California, now.

Good morning to you, Miguel.

MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning to you.

It gives credence to the fact that this has become very personal between the district attorney out here and Mr. Jackson. As soon as the district attorney was done, Mr. Jackson left.

What Mr. Jackson's lawyers are trying to do is prove to a judge that investigators knew that the search of a private investigator's office, that they knew that that private investigator was working for Jackson's former lawyer, Mark Geragos.

(BEGIN VIDEOTAPE)

MARQUEZ (voice-over): Were they on tour, it might be called the "Jackson Unity Tour." Michael, his sisters, Janet and LaToya, his brothers, Randy, Jermaine and Jackie, all march into court, all wearing white.

UNIDENTIFIED FEMALE: The whole family wore white. Unity, purity, innocence.

MARQUEZ: The show of unity was for the questioning of Santa Barbara County district attorney Tom Sneddon, the man prosecuting Jackson on charges of child molestation and conspiracy, charges Jackson has denied. Steve Corbett, a columnist with the "Santa Maria Times" has reported on Jackson and Sneddon for years.

STEVE CORBETT, "SANTA MARIA TIMES": Sneddon faltered, Sneddon stumbled, Sneddon appeared to be on the defensive.

MARQUEZ: Wearing sunglasses throughout the hearing, the self- proclaimed King of Pop stared without emotion at the district attorney as he was questioned by Jackson lawyer Thomas Mesereau. Mesereau worked to establish whether Sneddon knew or should have known that Bradley Miller, a Beverly Hills private investigator, was working for Jackson's former lawyer, Mark Geragos, and not directly for Michael Jackson.

UNIDENTIFIED MALE: If that can be established, I don't think you need to be an attorney to figure out that that's a big deal.

MARQUEZ: And why a big deal? Because Miller's office, along with Jackson's Neverland Ranch and another address in Los Angeles, was one of the three principal places investigators searched.

UNIDENTIFIED MALE: Ample evidence was taken into custody. They sledgehammered the door to obtain it. They wanted it. And they wanted it then and there.

MARQUEZ: If Jackson's legal team can convince the judge that investigators knew or should have known that Miller worked for Geragos, then all the evidence seized from the investigator's office could be covered by attorney-client privilege, never to be seen by a jury.

(END VIDEOTAPE)

MARQUEZ: Now, today a sheriff's investigator will continue testifying. He left the stand yesterday, will continue testifying today. This hearing may take the rest of this week, and then it will be up to a judge to decide whether or not Michael Jackson's lawyer met the burden of proof -- Heidi.

COLLINS: Miguel Marquez, thanks so much for that.

So can the defense actually succeed in knocking down the evidence against Michael Jackson? John Burris is a criminal defense attorney. He's joining us from San Francisco now for more on this.

Mr. Burris, hello to you and thanks for being with us.

JOHN BURRIS, CRIMINAL DEFENSE ATTORNEY: Good morning. COLLINS: We know that this is quite unusual to have the actual prosecutor, Tom Sneddon, take the witness stand. What was it that the defense was trying to do here?

BURRIS: Well, the defense clearly has a view that because of the prosecutor's prior history with Michael Jackson, that he really has made this personal. And as such, he is leading the parade, sort of a modern-day Eliot Ness and going forward and conducting this search, when he, in fact, should have known or did know that there could be evidence that was obtained by the private investigator.

If that being the case, the court really is going to say, you can't invade the attorney-client privilege. You should have known that, you do know that, and you can't use your sort of zeal, if you will, your desire to get Michael Jackson to -- to overcome the legal barriers that exist here.

So it's a very good argument to make. The prosecutor seems to have taken two sides on this. At one point he said he didn't know, but at some point he tells someone else that, yes, he did know, then he retracted that. So I think the judge will be placed in a position, evaluating the totality of what was going on and could very well exclude this evidence and say that the attorney-client privilege was, in effect -- not in effect, that he knew it existed and try to circumvent it.

COLLINS: So you think that's a pretty strong tactic. All right.

The key legal issue here now is the evidence taken from the private investigator's office, particularly the tape with the 12-year- old accuser of Michael Jackson in this molestation case. How important does that tape become to the prosecution?

BURRIS: Extraordinarily important. If this tape is what they have to show how this young kid reacted, his appearance, his demeanors at the time that he was being interrogated or examined by Michael Jackson's people, then the jurors will get another view.

It's a view of him that might suggest that he was being intimidated, he was being coerced. So from that point of view we'll have extraordinary important evidence even if there are no admissions on it. It will give the jurors a chance to see him in another kind of environment.

So I'm certain from the prosecutor's point of view, that will be helpful, because you can't then cross-examine the tape. You can cross-examine the young man when he -- when he gets to court, but the tape itself you can't cross-examine. So it's powerful evidence that can go uncontradicted depending upon what's on that tape. So the prosecution clearly wants that tape in.

COLLINS: Now, when those raids were actually conducted of the investigator's office, we know the D.A., Tom Sneddon, went along, at least on some of them. How unusual is his personal involvement on that? BURRIS: You know, that is surprising. You would not expect the prosecutor himself to be present during the course of these -- these raids. You may have another prosecutor, but generally the top prosecutor is -- is a quarterback in the way that he assigns these matters out to the other lawyers. And the lawyers themselves could, in fact, go out on a search warrant.

I was a former prosecutor, I went out on search warrants. But certainly my boss didn't do that. And I would advise them.

So, for me, to the extent arguments can be made that there's a personal vendetta, certainly his presence at these environments and these situations, and being actually involved, is at least (UNINTELLIGIBLE) to that view. I think it's not a smart thing on the part of the prosecutor to put himself in a position where he may be cross-examined. So, in that sense, maybe his zeal overtook his good judgment. But certainly it's not likely and very unusual for "the" prosecutor to be present during investigations.

COLLINS: Understood. John Burris, thanks so much for your time on this this morning. Appreciate it.

BURRIS: Thank you.

HEMMER: Now back to Carol Costello, watching the news for us at the CNN Center.

Good morning, Carol.

CAROL COSTELLO, CNN ANCHOR: Good morning, Bill. Thank you.

A delegation hoping to negotiate a truce in Najaf has arrived in the Iraqi city right now. Radical Shiite cleric Muqtada al-Sadr says he will welcome the Iraqi conference delegation whose members are expected to meet with al-Sadr tomorrow. In the meantime, a car bombing in a busy section of Baghdad killed at least four people and injured some two dozen others.

Fifteen people are missing after a flash flood ripped through a fishing village on Britain's southwestern Atlantic coast. A wall of water uprooted trees and swept dozens of cars out to sea. Seven rescue helicopters were called in to assist. Divers will begin searching the harbor for casualties.

Illinois is expected to announce today a program to help its residents gain access to cheaper prescription drugs from Canada and Europe. Governor Rod Blagojevich will propose an online network of Canadian-European pharmacies that could save residents millions in drug costs. The FDA is against the move, saying drugs obtained through this program would be illegal and would raise serious safety concerns.

In Washington, D.C., the search for the next "American Idol" is about to begin. With dreams of fame and celebrity, thousands began gathering at Washington's Convention Center yesterday. Auditions for the popular TV show start tomorrow. Hopefuls must advance through a number of auditions before they perform in front of the show's three judges on Friday and Saturday.

But do I even need to explain how "American Idol" works at this point?

HEMMER: Yes. Good point. It's almost a given. Thank you, Carol.

Watching the weather now with Chad Myers at the CNN Center.

What are you looking at today, Chad? Good morning.

(WEATHER REPORT)

HEMMER: For the rest of the country, though, we'll take the quiet skies, right? Quite blue skies. Good deal. Thank you, Chad.

COLLINS: Still to come, what's it like to run the "National Enquirer" for 20 years? Inquiring minds want to know. And we'll get the scoop from a former editor.

HEMMER: Also in a moment, the staggering toll of Charley. The latest on the damage and the recovery efforts still ongoing now. Day four in southwest Florida.

COLLINS: And President Bush wants to bring home thousands of troops over the next decade. What role did politics play in his announcement?

It's all ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: Day four now dawning again in southwest Florida. The task there is still -- is huge. And Lieutenant Governor Toni Jennings earlier, just a few moments ago, in fact, in Tallahassee, talking about the heat that develops in mid-afternoon and warning Floridians to be careful when working out there in the recovery effort.

Here's the lieutenant governor now.

(BEGIN VIDEO CLIP)

TONI JENNINGS (R), FLORIDA LIEUTENANT GOVERNOR: We have reports of tragically fatalities, and now they're being attributed to heat, stroke, people working in this 95, 100-degree heat that we have in the afternoon, trying to clean things up, work on their homes and things of that nature. And we just have to get them back to the basics, stay hydrated, and please take care of your personal health. We'll -- it's just so important.

(END VIDEO CLIP)

HEMMER: Again, Toni Jennings a few moments ago. Temperatures yesterday well into the 90s. The heat index in mid-afternoon putting those temperatures well over 100. So, especially for the elderly living in southwest Florida, be careful as that operation continues today -- Heidi.

COLLINS: About an hour from now, Defense Secretary Donald Rumsfeld will be on Capitol Hill. There's been a little disagreement about the 9/11 Commission's suggestion to create a new position of national intelligence director. But there's been a lot of resistance to giving that new director control of the vast intelligence budget. Barbara Starr live at the Pentagon this morning for more on this.

Barbara, hello.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Hello to you again, Heidi.

Yes, money is a big issue here, money and control. Right now, the Pentagon, Don Rumsfeld, controls about 80 percent of the $40 billion intelligence budget. How that will all shake out in this reorganization remains to be seen.

Do not expect Don Rumsfeld to come out one way or the other on very detailed specifics on reorganization. We are told at this hearing he will set a framework. He will set some policies, some of his overall views on reorganization. He will be very strongly on the point that any reorganization should be aimed at fixing specific problems in the intelligence community, problems that would have helped avoid and detect the 9/11 attacks.

The secretary will also have some specific ideas on, again, some broad points. He will say that there must be improvements in indications and warnings of attacks. He will say that there should be more intelligence sharing across the government. Those stovepipes that restrict intelligence into specific agencies, those should be broken down, more sharing, but more competitive analysis.

A very key term. Have lots of people look at the same intelligence and try and develop various theories of what it might mean.

That, of course, perhaps didn't work out as planned in the run up to the Iraq war. But the secretary believes competitive analysis is a key point.

But the secretary, we are told, will also make a very strong case for improvements in human intelligence. He will say that there needs to be much better capability, putting spies, operatives, intelligence, analysts into organizations like al Qaeda, having the human intelligence that can penetrate those organizations, find out what they're up to, avoid -- detect and avoid attacks. Those are the kinds of issues the secretary does not believe reorganization will necessarily solve, but he will say are critically important issues that must be dealt with -- Heidi.

COLLINS: Barbara Starr, thanks so much for that, live from the Pentagon this morning -- Bill. HEMMER: Also, President Bush planning this massive shift in U.S. military might over the next decade. As many as 70,000 troops now overseas in Europe and Asia will be re-deployed and over time they will come home.

Some Democrats claim yesterday's announcement was timed for maximum political effect. Let's talk about that, analyze it with our own political analyst, Carlos Watson.

I would be OK if I could talk. Good morning to you.

CARLOS WATSON, CNN POLITICAL ANALYST: Hey, analyst, in fact.

HEMMER: Democrats say it's political. Is it?

WATSON: It is. It's both a policy move and a political move.

On the policy front, maybe the most significant restructuring since the Korean War. So a big move. But also certainly political. Announced, by the way, in Ohio, a place that both you and I know.

HEMMER: Cincinnati, Ohio, in fact. Domestic implications and international implications involved here. How do you size the two up?

WATSON: Two significant domestic political implications. On one hand, the president can say, I'm moving troops into a place where they're more needed, whether that it's in the Middle East or whether that's home. And again, national security is an issue he wants to play up 10 days away from the Republican convention.

Secondly, on the domestic front, he can undercut Kerry's appeal to veterans. Remember, he's saying that you're not going to have to serve overseas as long as you have before. I'm trying to bring troops home, in a way.

Internationally, think about what he's saying to Germany. Germany, you didn't support us. Japan, even though your government supported us, some of the citizens don't support us, two-thirds in one poll. So he's saying, you know what, if you're not going to support us, then we're going to bring our troops home and put them to work in the ways that we see necessary.

HEMMER: And there's a strategy issue involved here, there's an economic issue involved as well.

WATSON: Sure.

HEMMER: What's the downside of this policy?

WATSON: Maybe -- there are a couple of downsides, including how our allies will react. You heard Wes Clark talk about that.

But maybe more significantly, one of the big questions we've got to ask is, do we want to remilitarize Germany and Japan? A half century ago, we found out that wasn't such a good idea. And so we really haven't confronted that in a major way in which we've actually had a conversation about it. I think that's something you're going to hear John Kerry talking about.

HEMMER: We have less than two weeks now before the Republicans convene here in New York City. How does this play out during the convention? How does it play out in September and October with the debates?

WATSON: So, for the president, he's once again going to say -- remember, his biggest advantage right now in the polls is on the question of terrorism. Not on Iraq, not on the economy, not or health care, but on terrorism.

He's going to say, once again, I'm trying to make the homeland safe. Secondly, you're going to hear John Kerry say, once again, you're moving too slowly. You moved too slowly on 9/11, you moved too slowly in bringing together international allies to support Iraq, and you're moving slowly here as well. You're going to hear that debate.

HEMMER: All right. As we shift away from international security, and shift away from the military, "The New York Times" front page today, they have found this report by the -- the Education Department. They're essentially saying that in virtually all cases, all charter students performed worse than their counterparts in regular public schools. As we go forward, where is the education debate between Kerry and Bush?

WATSON: It's been very quiet. Obviously overwhelmed by conversation about the economy, Iraq and terrorism. But remember, for certain key groups, education is the second most important issue.

Latinos, who may make up as much as seven million votes this time, are key in Florida, Arizona or other battleground states, say education is the second most important issue. This isn't good news for a president who has strongly supported charter schools. Again, these numbers say that kids in public schools are actually doing better than the kids at charter schools, which is the exact reverse of what the president and others have argued.

HEMMER: Nice to see you, Carlos.

WATSON: Good to see you. Good to be in New York.

HEMMER: The analyst -- the analysis -- Heidi.

COLLINS: Still to come, back live to Florida, as recovery efforts push ahead in the wake of Hurricane Charley.

And the prosecution suffers a setback in the Kobe Bryant case. We'll have the latest coming up on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: You can't get away from it, really, if you think about it. I mean, it's everywhere.

(CROSSTALK)

CAFFERTY: Why does NBC have to put the Olympics on all 19 networks that they own?

HEMMER: Well, I'll tell you why, because...

CAFFERTY: Why can't they just put it on one? Put it on MSNBC, put it on CNBC, and just leave it there. And I'm trying to watch the business news yesterday in the afternoon and I got -- there's two guys who weigh 109 pounds in some boxing ring and I'm trying to watch "Kudlow and Kramer" or something.

HEMMER: Don't miss the table tennis. Don't miss the badminton.

CAFFERTY: Why can't they just put it on...

HEMMER: Because NBC owns every other network on your cable dial. That's why you can't get away from it.

CAFFERTY: Well, OK. They've got a lot of networks. They could have one for the Olympics. And then they could have the other eight networks for the stuff they do.

COLLINS: The Olympics, yes.

CAFFERTY: All right. Time to do the "Question of the Day," which is this: is a candidate's military record fair game in a campaign? A lot of nasty charges going back and forth.

Tom in Vernon Hills, Illinois, "Let's get real. If a president's war experience was of any value, then Grant would be one of the most beloved presidents in U.S. history and Lincoln would be an afterthought. But that's not how it turned out. It's all about values."

Tom, Bena, Minnesota, "In the post-Watergate era, the media's made everything fair game. Right or wrong, it's just life. But, yes, a person's service record should be fair game, just as a criminal record or college transcripts are wide open."

Frank in Blue Ridge, Georgia, "As a veteran of Vietnam, I don't think anyone who avoided going to war should criticize anyone who went. Bush didn't show up, Cheney dodged the draft, and now Cheney wants to be aggressive. I think the senator said it well. I think all the hawks should be at the recruiting office with their kids."

And Bobby in Hueytown, Alabama, "Who cares about the past? We live in the present, and we need to worry about the future."

COLLINS: All right. Thank you so much, Jack.

CAFFERTY: You're welcome.

COLLINS: Still to come this morning, a courageous young woman now in the fight of her life and refusing to accept the odds. It's ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

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Aired August 17, 2004 - 8:59   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Amber Frey's testimony continues today in the Scott Peterson murder trial. Yesterday, jurors heard phone calls that made it sound like Frey was grilling Peterson on the stand. Live to Rusty Dornin for more on that today and what we can expect back in court today also.
HEIDI COLLINS, CNN ANCHOR: Also, to another courtroom, Michael Jackson back in court yesterday for what was an unusual hearing. The man putting Jackson on trial took the stand, and Jackson's family was there to see it. We'll talk to criminal defense attorney John Burris to see whether or not that was a good move.

HEMMER: Also, some Democrats already saying that President Bush's decision to start bringing troops home from around the world on re-deploy was a political move. No question, there are political implications. However, this started years ago. The fallout in a moment with Carlos Watson on that to analyze it for us this morning.

COLLINS: And Jack is here now once again.

Hello.

JACK CAFFERTY, CNN ANCHOR: Was that the first time that Janet, LaToya and Michael were ever photographed together? Because, you know, there were a lot of rumors around for a lot of years.

HEMMER: You might be on to something there.

CAFFERTY: Yes. Might have put a lot of...

COLLINS: Think they're all the same person?

CAFFERTY: ... yes, put it all to rest.

The e-mail "Question of the Day" is whether or not candidates' military records are fair game in a campaign. Senator Tom Harkin referred to Vice President Dick Cheney yesterday as a "coward" for ducking Vietnam War service and for being tough when it comes to shedding other kids' -- other people's children's blood in the war in Iraq. It's getting a little rough out there, and we just wondered whether you think it's fair game or not.

AM@CNN.com.

HEMMER: Good deal. Jack, thank you for that. Major developments yesterday in three high-profile court cases. We'll take a closer look now at all those cases, one against Michael Jackson, the other Kobe Bryant, and third the Scott Peterson case.

In the Peterson trial, star witness Amber Frey may be cross- examined later today. Let's start with Rusty Dornin in Redwood City, California.

Rusty, good morning there.

RUSTY DORNIN, CNN CORRESPONDENT: Good morning, Bill.

Well, it really depends on whether they get through this last set of tapes today and whether prosecutors want to ask her anymore questions. Meantime, jurors are listening to call after call, where Scott Peterson sounds like he's trying to convince Amber Frey he's still a good guy despite all of his lying.

He apologizes to her, tells here he's so sorry he caused so much pain, he's sorry for lying. He's also very evasive when she asks him questions.

Now, remember, Amber Frey was cooperating with police this entire time. She's done an admirable job of really interrogating Peterson. But at times on those tapes it seems like she's becoming emotionally involved.

(BEGIN VIDEOTAPE)

DORNIN (voice-over): As she and the police continue taping her phone calls with Scott Peterson, Amber Frey no longer seemed to welcome words of love. Like a seasoned prosecutor, Frey grills Peterson. He dodges her questions and again.

SCOTT PETERSON, DEFENDANT: The fact is, you don't know all the facts, and I can't share everything with you.

DORNIN: Legal analysts say suspicion he was being taped might have kept Peterson cagey. When Frey threatens to talk to the police, he gives her the green light.

PETERSON: I have nothing to hide in her disappearance. And if you -- you know, if you want to go to the police, that's fine.

DORNIN: In one call played last week, Peterson reads a poem to Frey. CNN discovered it was the same poem Peterson posted at the volunteer search center within days after his wife disappeared, saying it was a poem they read to each other often.

PETERSON: "Beneath the willow wound round with ivy we take cover from the worst of the storm with a greatcoat round our shoulders and my hands around your waist."

DORNIN: At one point, Frey sobs that Peterson has ruined her life. Hearing the tape, Frey broke down in court.

AMBER FREY, HAD AFFAIR WITH SCOTT PETERSON: Because it's been a nightmare for me.

DORNIN: Laci Peterson's mother and stepfather left the courtroom before lunch, remarking that they just didn't want to hear anymore for the day.

(END VIDEOTAPE)

DORNIN: Coming up on the tapes, Amber Frey asked Scott Peterson if she should fear for her life. He tells her, no, she should not. And as I said, if these tapes finish up today, defense attorney Mark Geragos may begin his questioning of the prosecution's star witness -- Bill.

HEMMER: Rusty, a question for you. Legal analysts paying close attention to this case. Do they believe at any point that Scott Peterson was on to Amber Frey with her line of questioning on those tapes?

DORNIN: Well, you know, it's interesting, because there is some question as to whether he had already hired Kirk McAllister, who is a lawyer in Modesto, and they do believe he possibly -- they possibly -- he possibly would have warned him, saying, look, you know, somebody might try to tape you, don't talk to anybody. He also brings up the idea of the brown van and claims he's hired a private investigator, which he could have done through an attorney. So many folks here do feel that he probably had talked to an attorney who had warned him about something like this happening.

HEMMER: Rusty, thanks. We'll look forward to what happens today. And it could be more of the same, more bombshells.

Now Heidi.

COLLINS: Michael Jackson is not expected to be in court today to see an important challenge to the prosecution's evidence against him. But he was there yesterday, and put on quite a show. Miguel Marquez is live in Santa Maria, California, now.

Good morning to you, Miguel.

MIGUEL MARQUEZ, CNN CORRESPONDENT: Good morning to you.

It gives credence to the fact that this has become very personal between the district attorney out here and Mr. Jackson. As soon as the district attorney was done, Mr. Jackson left.

What Mr. Jackson's lawyers are trying to do is prove to a judge that investigators knew that the search of a private investigator's office, that they knew that that private investigator was working for Jackson's former lawyer, Mark Geragos.

(BEGIN VIDEOTAPE)

MARQUEZ (voice-over): Were they on tour, it might be called the "Jackson Unity Tour." Michael, his sisters, Janet and LaToya, his brothers, Randy, Jermaine and Jackie, all march into court, all wearing white.

UNIDENTIFIED FEMALE: The whole family wore white. Unity, purity, innocence.

MARQUEZ: The show of unity was for the questioning of Santa Barbara County district attorney Tom Sneddon, the man prosecuting Jackson on charges of child molestation and conspiracy, charges Jackson has denied. Steve Corbett, a columnist with the "Santa Maria Times" has reported on Jackson and Sneddon for years.

STEVE CORBETT, "SANTA MARIA TIMES": Sneddon faltered, Sneddon stumbled, Sneddon appeared to be on the defensive.

MARQUEZ: Wearing sunglasses throughout the hearing, the self- proclaimed King of Pop stared without emotion at the district attorney as he was questioned by Jackson lawyer Thomas Mesereau. Mesereau worked to establish whether Sneddon knew or should have known that Bradley Miller, a Beverly Hills private investigator, was working for Jackson's former lawyer, Mark Geragos, and not directly for Michael Jackson.

UNIDENTIFIED MALE: If that can be established, I don't think you need to be an attorney to figure out that that's a big deal.

MARQUEZ: And why a big deal? Because Miller's office, along with Jackson's Neverland Ranch and another address in Los Angeles, was one of the three principal places investigators searched.

UNIDENTIFIED MALE: Ample evidence was taken into custody. They sledgehammered the door to obtain it. They wanted it. And they wanted it then and there.

MARQUEZ: If Jackson's legal team can convince the judge that investigators knew or should have known that Miller worked for Geragos, then all the evidence seized from the investigator's office could be covered by attorney-client privilege, never to be seen by a jury.

(END VIDEOTAPE)

MARQUEZ: Now, today a sheriff's investigator will continue testifying. He left the stand yesterday, will continue testifying today. This hearing may take the rest of this week, and then it will be up to a judge to decide whether or not Michael Jackson's lawyer met the burden of proof -- Heidi.

COLLINS: Miguel Marquez, thanks so much for that.

So can the defense actually succeed in knocking down the evidence against Michael Jackson? John Burris is a criminal defense attorney. He's joining us from San Francisco now for more on this.

Mr. Burris, hello to you and thanks for being with us.

JOHN BURRIS, CRIMINAL DEFENSE ATTORNEY: Good morning. COLLINS: We know that this is quite unusual to have the actual prosecutor, Tom Sneddon, take the witness stand. What was it that the defense was trying to do here?

BURRIS: Well, the defense clearly has a view that because of the prosecutor's prior history with Michael Jackson, that he really has made this personal. And as such, he is leading the parade, sort of a modern-day Eliot Ness and going forward and conducting this search, when he, in fact, should have known or did know that there could be evidence that was obtained by the private investigator.

If that being the case, the court really is going to say, you can't invade the attorney-client privilege. You should have known that, you do know that, and you can't use your sort of zeal, if you will, your desire to get Michael Jackson to -- to overcome the legal barriers that exist here.

So it's a very good argument to make. The prosecutor seems to have taken two sides on this. At one point he said he didn't know, but at some point he tells someone else that, yes, he did know, then he retracted that. So I think the judge will be placed in a position, evaluating the totality of what was going on and could very well exclude this evidence and say that the attorney-client privilege was, in effect -- not in effect, that he knew it existed and try to circumvent it.

COLLINS: So you think that's a pretty strong tactic. All right.

The key legal issue here now is the evidence taken from the private investigator's office, particularly the tape with the 12-year- old accuser of Michael Jackson in this molestation case. How important does that tape become to the prosecution?

BURRIS: Extraordinarily important. If this tape is what they have to show how this young kid reacted, his appearance, his demeanors at the time that he was being interrogated or examined by Michael Jackson's people, then the jurors will get another view.

It's a view of him that might suggest that he was being intimidated, he was being coerced. So from that point of view we'll have extraordinary important evidence even if there are no admissions on it. It will give the jurors a chance to see him in another kind of environment.

So I'm certain from the prosecutor's point of view, that will be helpful, because you can't then cross-examine the tape. You can cross-examine the young man when he -- when he gets to court, but the tape itself you can't cross-examine. So it's powerful evidence that can go uncontradicted depending upon what's on that tape. So the prosecution clearly wants that tape in.

COLLINS: Now, when those raids were actually conducted of the investigator's office, we know the D.A., Tom Sneddon, went along, at least on some of them. How unusual is his personal involvement on that? BURRIS: You know, that is surprising. You would not expect the prosecutor himself to be present during the course of these -- these raids. You may have another prosecutor, but generally the top prosecutor is -- is a quarterback in the way that he assigns these matters out to the other lawyers. And the lawyers themselves could, in fact, go out on a search warrant.

I was a former prosecutor, I went out on search warrants. But certainly my boss didn't do that. And I would advise them.

So, for me, to the extent arguments can be made that there's a personal vendetta, certainly his presence at these environments and these situations, and being actually involved, is at least (UNINTELLIGIBLE) to that view. I think it's not a smart thing on the part of the prosecutor to put himself in a position where he may be cross-examined. So, in that sense, maybe his zeal overtook his good judgment. But certainly it's not likely and very unusual for "the" prosecutor to be present during investigations.

COLLINS: Understood. John Burris, thanks so much for your time on this this morning. Appreciate it.

BURRIS: Thank you.

HEMMER: Now back to Carol Costello, watching the news for us at the CNN Center.

Good morning, Carol.

CAROL COSTELLO, CNN ANCHOR: Good morning, Bill. Thank you.

A delegation hoping to negotiate a truce in Najaf has arrived in the Iraqi city right now. Radical Shiite cleric Muqtada al-Sadr says he will welcome the Iraqi conference delegation whose members are expected to meet with al-Sadr tomorrow. In the meantime, a car bombing in a busy section of Baghdad killed at least four people and injured some two dozen others.

Fifteen people are missing after a flash flood ripped through a fishing village on Britain's southwestern Atlantic coast. A wall of water uprooted trees and swept dozens of cars out to sea. Seven rescue helicopters were called in to assist. Divers will begin searching the harbor for casualties.

Illinois is expected to announce today a program to help its residents gain access to cheaper prescription drugs from Canada and Europe. Governor Rod Blagojevich will propose an online network of Canadian-European pharmacies that could save residents millions in drug costs. The FDA is against the move, saying drugs obtained through this program would be illegal and would raise serious safety concerns.

In Washington, D.C., the search for the next "American Idol" is about to begin. With dreams of fame and celebrity, thousands began gathering at Washington's Convention Center yesterday. Auditions for the popular TV show start tomorrow. Hopefuls must advance through a number of auditions before they perform in front of the show's three judges on Friday and Saturday.

But do I even need to explain how "American Idol" works at this point?

HEMMER: Yes. Good point. It's almost a given. Thank you, Carol.

Watching the weather now with Chad Myers at the CNN Center.

What are you looking at today, Chad? Good morning.

(WEATHER REPORT)

HEMMER: For the rest of the country, though, we'll take the quiet skies, right? Quite blue skies. Good deal. Thank you, Chad.

COLLINS: Still to come, what's it like to run the "National Enquirer" for 20 years? Inquiring minds want to know. And we'll get the scoop from a former editor.

HEMMER: Also in a moment, the staggering toll of Charley. The latest on the damage and the recovery efforts still ongoing now. Day four in southwest Florida.

COLLINS: And President Bush wants to bring home thousands of troops over the next decade. What role did politics play in his announcement?

It's all ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: Day four now dawning again in southwest Florida. The task there is still -- is huge. And Lieutenant Governor Toni Jennings earlier, just a few moments ago, in fact, in Tallahassee, talking about the heat that develops in mid-afternoon and warning Floridians to be careful when working out there in the recovery effort.

Here's the lieutenant governor now.

(BEGIN VIDEO CLIP)

TONI JENNINGS (R), FLORIDA LIEUTENANT GOVERNOR: We have reports of tragically fatalities, and now they're being attributed to heat, stroke, people working in this 95, 100-degree heat that we have in the afternoon, trying to clean things up, work on their homes and things of that nature. And we just have to get them back to the basics, stay hydrated, and please take care of your personal health. We'll -- it's just so important.

(END VIDEO CLIP)

HEMMER: Again, Toni Jennings a few moments ago. Temperatures yesterday well into the 90s. The heat index in mid-afternoon putting those temperatures well over 100. So, especially for the elderly living in southwest Florida, be careful as that operation continues today -- Heidi.

COLLINS: About an hour from now, Defense Secretary Donald Rumsfeld will be on Capitol Hill. There's been a little disagreement about the 9/11 Commission's suggestion to create a new position of national intelligence director. But there's been a lot of resistance to giving that new director control of the vast intelligence budget. Barbara Starr live at the Pentagon this morning for more on this.

Barbara, hello.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Hello to you again, Heidi.

Yes, money is a big issue here, money and control. Right now, the Pentagon, Don Rumsfeld, controls about 80 percent of the $40 billion intelligence budget. How that will all shake out in this reorganization remains to be seen.

Do not expect Don Rumsfeld to come out one way or the other on very detailed specifics on reorganization. We are told at this hearing he will set a framework. He will set some policies, some of his overall views on reorganization. He will be very strongly on the point that any reorganization should be aimed at fixing specific problems in the intelligence community, problems that would have helped avoid and detect the 9/11 attacks.

The secretary will also have some specific ideas on, again, some broad points. He will say that there must be improvements in indications and warnings of attacks. He will say that there should be more intelligence sharing across the government. Those stovepipes that restrict intelligence into specific agencies, those should be broken down, more sharing, but more competitive analysis.

A very key term. Have lots of people look at the same intelligence and try and develop various theories of what it might mean.

That, of course, perhaps didn't work out as planned in the run up to the Iraq war. But the secretary believes competitive analysis is a key point.

But the secretary, we are told, will also make a very strong case for improvements in human intelligence. He will say that there needs to be much better capability, putting spies, operatives, intelligence, analysts into organizations like al Qaeda, having the human intelligence that can penetrate those organizations, find out what they're up to, avoid -- detect and avoid attacks. Those are the kinds of issues the secretary does not believe reorganization will necessarily solve, but he will say are critically important issues that must be dealt with -- Heidi.

COLLINS: Barbara Starr, thanks so much for that, live from the Pentagon this morning -- Bill. HEMMER: Also, President Bush planning this massive shift in U.S. military might over the next decade. As many as 70,000 troops now overseas in Europe and Asia will be re-deployed and over time they will come home.

Some Democrats claim yesterday's announcement was timed for maximum political effect. Let's talk about that, analyze it with our own political analyst, Carlos Watson.

I would be OK if I could talk. Good morning to you.

CARLOS WATSON, CNN POLITICAL ANALYST: Hey, analyst, in fact.

HEMMER: Democrats say it's political. Is it?

WATSON: It is. It's both a policy move and a political move.

On the policy front, maybe the most significant restructuring since the Korean War. So a big move. But also certainly political. Announced, by the way, in Ohio, a place that both you and I know.

HEMMER: Cincinnati, Ohio, in fact. Domestic implications and international implications involved here. How do you size the two up?

WATSON: Two significant domestic political implications. On one hand, the president can say, I'm moving troops into a place where they're more needed, whether that it's in the Middle East or whether that's home. And again, national security is an issue he wants to play up 10 days away from the Republican convention.

Secondly, on the domestic front, he can undercut Kerry's appeal to veterans. Remember, he's saying that you're not going to have to serve overseas as long as you have before. I'm trying to bring troops home, in a way.

Internationally, think about what he's saying to Germany. Germany, you didn't support us. Japan, even though your government supported us, some of the citizens don't support us, two-thirds in one poll. So he's saying, you know what, if you're not going to support us, then we're going to bring our troops home and put them to work in the ways that we see necessary.

HEMMER: And there's a strategy issue involved here, there's an economic issue involved as well.

WATSON: Sure.

HEMMER: What's the downside of this policy?

WATSON: Maybe -- there are a couple of downsides, including how our allies will react. You heard Wes Clark talk about that.

But maybe more significantly, one of the big questions we've got to ask is, do we want to remilitarize Germany and Japan? A half century ago, we found out that wasn't such a good idea. And so we really haven't confronted that in a major way in which we've actually had a conversation about it. I think that's something you're going to hear John Kerry talking about.

HEMMER: We have less than two weeks now before the Republicans convene here in New York City. How does this play out during the convention? How does it play out in September and October with the debates?

WATSON: So, for the president, he's once again going to say -- remember, his biggest advantage right now in the polls is on the question of terrorism. Not on Iraq, not on the economy, not or health care, but on terrorism.

He's going to say, once again, I'm trying to make the homeland safe. Secondly, you're going to hear John Kerry say, once again, you're moving too slowly. You moved too slowly on 9/11, you moved too slowly in bringing together international allies to support Iraq, and you're moving slowly here as well. You're going to hear that debate.

HEMMER: All right. As we shift away from international security, and shift away from the military, "The New York Times" front page today, they have found this report by the -- the Education Department. They're essentially saying that in virtually all cases, all charter students performed worse than their counterparts in regular public schools. As we go forward, where is the education debate between Kerry and Bush?

WATSON: It's been very quiet. Obviously overwhelmed by conversation about the economy, Iraq and terrorism. But remember, for certain key groups, education is the second most important issue.

Latinos, who may make up as much as seven million votes this time, are key in Florida, Arizona or other battleground states, say education is the second most important issue. This isn't good news for a president who has strongly supported charter schools. Again, these numbers say that kids in public schools are actually doing better than the kids at charter schools, which is the exact reverse of what the president and others have argued.

HEMMER: Nice to see you, Carlos.

WATSON: Good to see you. Good to be in New York.

HEMMER: The analyst -- the analysis -- Heidi.

COLLINS: Still to come, back live to Florida, as recovery efforts push ahead in the wake of Hurricane Charley.

And the prosecution suffers a setback in the Kobe Bryant case. We'll have the latest coming up on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: You can't get away from it, really, if you think about it. I mean, it's everywhere.

(CROSSTALK)

CAFFERTY: Why does NBC have to put the Olympics on all 19 networks that they own?

HEMMER: Well, I'll tell you why, because...

CAFFERTY: Why can't they just put it on one? Put it on MSNBC, put it on CNBC, and just leave it there. And I'm trying to watch the business news yesterday in the afternoon and I got -- there's two guys who weigh 109 pounds in some boxing ring and I'm trying to watch "Kudlow and Kramer" or something.

HEMMER: Don't miss the table tennis. Don't miss the badminton.

CAFFERTY: Why can't they just put it on...

HEMMER: Because NBC owns every other network on your cable dial. That's why you can't get away from it.

CAFFERTY: Well, OK. They've got a lot of networks. They could have one for the Olympics. And then they could have the other eight networks for the stuff they do.

COLLINS: The Olympics, yes.

CAFFERTY: All right. Time to do the "Question of the Day," which is this: is a candidate's military record fair game in a campaign? A lot of nasty charges going back and forth.

Tom in Vernon Hills, Illinois, "Let's get real. If a president's war experience was of any value, then Grant would be one of the most beloved presidents in U.S. history and Lincoln would be an afterthought. But that's not how it turned out. It's all about values."

Tom, Bena, Minnesota, "In the post-Watergate era, the media's made everything fair game. Right or wrong, it's just life. But, yes, a person's service record should be fair game, just as a criminal record or college transcripts are wide open."

Frank in Blue Ridge, Georgia, "As a veteran of Vietnam, I don't think anyone who avoided going to war should criticize anyone who went. Bush didn't show up, Cheney dodged the draft, and now Cheney wants to be aggressive. I think the senator said it well. I think all the hawks should be at the recruiting office with their kids."

And Bobby in Hueytown, Alabama, "Who cares about the past? We live in the present, and we need to worry about the future."

COLLINS: All right. Thank you so much, Jack.

CAFFERTY: You're welcome.

COLLINS: Still to come this morning, a courageous young woman now in the fight of her life and refusing to accept the odds. It's ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

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