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CNN Live At Daybreak

Ultimatum This Morning to Insurgents Holed Up in Mosque; Pretrial Hearings Being Held for U.S. Soldiers Charged with Torturing Prisoners at Abu Ghraib

Aired August 24, 2004 - 06:00   ET

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


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


CAROL COSTELLO, CNN ANCHOR: An ultimatum this morning to insurgents holed up in that mosque in Najaf -- get out or get ready for Iraqi troops to force you out.
It is Tuesday, August 24.

This is DAYBREAK.

And good morning to you.

From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Now in the news, Iraq issues an ultimatum and puts a timetable to go with it. Iraqi National Guardsmen are now surrounding that sacred Imam Ali Shrine after Iraq's defense minister tells militants loyal to Shiite cleric Muqtada al-Sadr to come out or forces will begin sealing all of the mosques entrances and exits tonight.

Also in Iraq, two separate car bombings this morning apparently were targeting two Iraqi ministers. The education and environmental ministers were not hurt. At least five other people were killed, along with the bomber.

In Guantanamo Bay, Cuba, the U.S. military is starting pretrial hearings today for four terror suspects. They include Australian David Hicks, who is accused of fighting for the Taliban in Afghanistan.

Is Scott Peterson's former mistress Amber Frey telling police all she knows? Peterson's lawyer, Mark Geragos, says she is not. Frey will be back on the stand later today for more cross-examination.

To the forecast center now and Chad.

CHAD MYERS, CNN METEOROLOGIST: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: Patience has run out, that is the message from the Iraq defense minister to Mahdi Army fighters in control of a mosque. Planning now under way for an operation to force those inside that shrine, including women and children, to get out.

Let's head live to Baghdad for more and Diana Muriel -- Diana, this is an ultimatum, but we've heard ultimatums before. What makes this different?

DIANA MURIEL, CNN CORRESPONDENT: Well, we certainly have, Carol, so perhaps we should treat this with a little suspicion. But it's certainly different to the ones that we've seen before. The defense minister, Minister Shaalan, gave a press conference just outside Najaf at the U.S. Marine base there. And he said that U.S. defense troops, Iraqi defense -- rather, Iraqi defense troops would be sealing the exits and the entrances to the mosque. There were loudspeakers outside the mosque urging those inside to leave. And the ultimatum seems to be set for tonight.

Now, this is -- certainly the situation on the ground has intensified. The shooting, the fighting has intensified today in the daylight hours, which is something that we haven't seen in recent days. There was heavy machine gun fire. There was U.S. tanks coming very close to the compound where the shrine is and they were firing around the city of -- the old city of Najaf.

In the past we've had aerial bombardments overnight and last night was no different. The bombardment started at 11:00 p.m. and it went through until around 3:00 a.m. in the morning. And there is heavy black smoke seen rising from the city of Najaf.

So it certainly seems as if there's been some softening up of the target area. Now this ultimatum from the defense minister. We'll wait to see what will happen tonight in Najaf -- Carol.

COSTELLO: But we know a few specifics. They're going to use loudspeakers for some reason and they're going to seal off the exits and entrances.

Can you expound for us?

MURIEL: Well, certainly the technique of using loudspeakers is something that is not uncommon in Najaf. In fact, on Monday, the police were using loudspeakers to tell those inside the mosque and, indeed, the residents of Najaf, that this cleric, Muqtada al-Sadr, had fled the city and gone north to Sulaymaniyah. Now they're telling them that they have to leave the mosque and that they will seal up those exits and those entrances. A very tense situation on the ground there.

A lot of people have already left the city of Najaf and moved to the suburbs for safety, taking refuge in some of the mosques outside of the center of the city. They've left their houses. They've abandoned their shops and they've fled already.

But there is a group of people -- it's hard to say just how many and just how many of them are Mahdi militia -- but there's a group of people, perhaps around 300, perhaps more, inside the mosque and there are women and there are children in there. And the Iraqi defense forces very keen that those people, all of them, including the women and children, should get out. They seem to be very serious about this ultimatum -- Carol.

COSTELLO: We'll keep our eyes open today.

Diana Muriel live from Baghdad this morning.

Thank you.

It has been nearly 60 years since there's been anything like it, but that changes today at the U.S. naval base in Guantanamo Bay, Cuba. Pretrial hearings are set this week for four suspected terrorists. They are the first accused enemy war combatants to face trial before a military commission since the end of World War 2.

One is accused of being Osama bin Laden's bodyguard and driver leading up to the 9/11 attacks. Two others are charged with conspiracy. And a fourth is accused of fighting for the Taliban.

Human rights groups say the proceedings, with no independent judge or civilian appeals, are unfair.

They were just following orders. That is the defense for an Army specialist charged as the ringleader in the Abu Ghraib prison scandal. Today, an Army staff sergeant is expected to plead guilty at a pretrial hearing to at least some of the charges he's facing.

Let's go to Chris Burns now.

He's live at the tribunal site in Mannheim, Germany -- good morning, Chris.

CHRIS BURNS, CNN CORRESPONDENT: Good morning, Carol.

Well, not only is the defense saying they were just following orders, but they're trying to find exactly who gave those orders. And that is really what the crux of the matter is today at these pretrial hearings, as well as the trials coming up.

Now, Staff Sergeant Ivan Frederick has made a statement in the last 24 hours saying that he is willing to take some of that responsibility, to plead guilty to some of those charges. Which of them it's not clear. But he is charged with assault, maltreatment, indecent acts, dereliction of duty, conspiracy. And he was among those who were in those pictures that have horrified and angered many around the world from Abu Ghraib Prison in the abuse of prisoners there outside Baghdad.

Now, the question is when he pleads guilty, and he could become a prosecution witness, but he could also become a defense witness. And this is where the defense is rubbing its hands together and saying it could help quite a bit.

Here is the lawyer for another of the defendants, Specialist Charles Graner.

(BEGIN VIDEO CLIP)

GUY WOMACK, GRANER'S ATTORNEY: It would help us greatly. Staff Sergeant Frederick is a veritable fountain of information that we want. He has quite a string of e-mail traffic and other communications between his family and him, other persons, as well as military intelligence, sources that we would like to have. And if he is not a government witness, I would have to try to get immunity for him.

On the other hand, if he pleads guilty and becomes a government witness, he is handed to me as a witness and he would be a fountain of information that we really need.

(END VIDEO CLIP)

BURNS: Well, as part of that information, one of those e-mails is quoted as saying, let me read that, "This is how military intelligence wants it done."

Back to you -- Carol.

COSTELLO: Chris Burns reporting from Mannheim, Germany this morning.

Thank you.

In other stories across America this Tuesday, in North Carolina, a federal grand jury has indicted a Pakistani man. Police say Kamran Akhtar had videotapes of buildings in six southern cities. But police say they haven't found any links to terrorism. Akhtar is accused of making false statements. Police in Charlotte, North Carolina arrested him last month after he videotaped an office building.

In Texas, a state law maker doesn't have the law on his side this time. A judge has ordered Representative Talmadge Heflin to return a 20-month-old boy to his mother, an African immigrant who once lived in Heflin's home. Heflin and his wife wanted temporary custody, claiming the boy's mother didn't care for him properly.

In Los Angeles, a rolling protest against high drug prices. Elderly activists left Monday for Canada aboard two trains dubbed the "Prescription Express." They're heading to Vancouver to buy prescription drugs. The Foundation for Taxpayer and Consumer Rights is paying for the trip.

And Scott Peterson's former mistress, Amber Frey, back on the stand today for more cross-examination in Peterson's murder trial. During Monday's session, defense attorney Mark Geragos attacked Frey's credibility. He tried to get her to admit she did not tell investigators about all of the calls she had with Peterson.

So, the cross has begun. It's still unclear, though, exactly what Peterson's attorney is trying to accomplish.

So time for a little "Coffey Talk."

Our legal analyst, Kendall Coffey, joins us live from New York this morning -- good morning, Kendall.

KENDALL COFFEY, CNN LEGAL ANALYST: Hey, good morning, Carol. COSTELLO: So, Mark Geragos starts off with a little joke, telling the court no questions, and then he said, oh, I was just kidding. Kendall, some say that was a great move.

Why?

COFFEY: Well, I don't know if it was a great move or not. I think in general a double homicide trial is a no joke zone. But, on the other hand, this is the one lawyer in America that could probably get away with something like that. And the view of the hope he had is that it sets up a little bit of jury identification with him and indicates that hey, he's really got the courtroom on his side.

COSTELLO: And the tension in the courtroom was really high, so maybe he was trying to cut the tension a bit.

But after that bit of little humor, he went in for the kill, trying to portray Amber Frey as a woman scorned, who would even lie about being pregnant to nail Scott Peterson.

Can this strategy work?

COFFEY: Well, I think it's a pretty good strategy so far. First of all, there's something fundamentally unappetizing about somebody who would make up a pregnancy in order to trap Scott Peterson. And where I think he's going and what would make the most sense, maybe, is not so much as to totally try to trash her, but to make her look like a pawn and a part of a police department which was out to get Scott Peterson.

In other words, she turned herself over to them. She was part of the police team. They were out to get Scott Peterson and they didn't care about any other evidence, because that has been his theme from day one -- a stumbling, bumbling police investigation that went after Scott Peterson like a heat seeking missile and ignored all the leads that might have taken them to the real killer.

COSTELLO: Interesting.

Let's listen to Gloria Allred, Frey's attorney, responding to the "let's say I'm pregnant" ruse.

(BEGIN VIDEO CLIP)

GLORIA ALLRED, AMBER FREY'S ATTORNEY: She made suggestions to the police as to how to draw Scott out with relevant information. There was a woman and an unborn child missing. She wanted to help find them. I would simply ask Mr. Geragos where's the beef? Or is your only beef that Amber assisted law enforcement by tape recording telephone calls with Scott Peterson?

(END VIDEO CLIP)

COSTELLO: Well, she does have a little of a point because the police certainly didn't want Amber Frey to tell Peterson that she was pregnant. COFFEY: Well, I think it's one thing to be just a good citizen cooperating. But what Geragos is trying to do is make her look like a lot more than that, someone who was anxious to be part of the police effort to set up Scott Peterson. And to that extent, I think the defense is making a few points early on in the cross-examination.

COSTELLO: Is it going to get worse for Amber Frey today?

COFFEY: I think so. I think they've got to be building up to some broader themes. It's going to be more of the same in terms of Amber Frey, part of the prosecution team. But I think, as I see this thing going, by the end of the cross-examination, he's going to really try to go after her character. And that, if he does it, is the riskiest part of all, because it could backfire and make her look like the victim. And if this becomes a trial where the single most important person is whether Amber Frey is credible, whether her tapes are sustainable, then that's a big problem for the defense, because at the end of the day, Amber Frey shouldn't be enough to convict. And sometimes if you make her too important in a trial, you tell the jury that it's all or nothing. If you believe Amber Frey, he's guilty of murder. And that's a risky approach.

COSTELLO: Thank you for your perspective.

Kendall Coffey, our legal analyst, on the phone live from New York this morning.

Still to come this Tuesday morning, the link between women, diabetes and dementia and how it can be prevented. That's at 20 minutes past.

And at the half hour, the candidates, the issues and where Bush and Kerry stand on the hot button topic of defense.

But first, here's a look at what else is making news this Tuesday morning.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports.

It is 6:15 Eastern.

Here's what's all new this morning.

A new ultimatum comes amid some of the most intense fighting in Najaf. Iraq's defense minister is warning Iraqis to leave the sacred Imam Ali Shrine or they'll be wiped out. You're looking at new pictures just in to us from that embattled city this morning. As you can see, the fighting there goes on.

British Foreign Secretary Jack Straw is in Sudan's violence plagued region of Darfur. He's trying to determine if the Sudanese government is following through on a promise to end a conflict blamed for tens of thousands of deaths. In money news, after tossing around a few numbers, Kmart has settled on 18 stores that will sell -- that it will sell to Home Depot. The price is $271 million. About 1,600 people work at the stores. They're now being closed.

In culture, the hands that created the classic rock of Led Zeppelin -- now fans can see Jimmy Page's prints at London's new British Walk of Fame. This is -- Page is the first celebrity to be honored here. His reaction? "It's a great honor. I'm really chuffed."

In sports, quarterback Phil Rivers and the San Diego Chargers have finally reached an agreement. The Chargers will pay the former N.C. State star more than $40 million for six years. Rivers has missed four weeks of training camp, but he'll be back now -- Chad.

MYERS: He should be. Plenty of time to get that starting position, maybe.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

They are the talk of the Summer Games. Later, a look at the successful strides the Iraqi soccer team is taking to get the gold.

But first, women, diabetes and dementia -- how studies are now linking the illness to brain decay in women.

This is DAYBREAK.

(COMMERCIAL BREAK)

COSTELLO: Welcome back to DAYBREAK.

A little health news for you now. People who have diabetes may face a new health risk that's linked to the disease.

CNN medical correspondent Holly Firfer is here to tell us about that -- diabetes and dementia, are we talking Type 1 or Type 2?

HOLLY FIRFER, CNN CORRESPONDENT: We're talking Type 2, late onset diabetes. And, yes, we know that too much sugar can cause tooth decay. Well, now doctors say it also may cause brain decay.

According to a study from the University of California in San Francisco, diabetes may cause a decline in mental function for women who suffer from the disease. Looking at over 7,000 elderly women over four years, doctors found those with diabetes or those with pre- diabetes did poorly on cognitive tests. They scored lower than those without the disease.

Now, doctors say what's important to note is even these women with pre-diabetes or early signs of the disease are at risk of developing mild cognitive impairment or even dementia. And this is the first time they've actually looked at this type of group, these pre-diabetics.

COSTELLO: So what's the connection? I mean what is the connection between diabetes and dementia?

FIRFER: It's a good question. You know, doctors aren't really quite sure what exactly it is, but they say there could be several reasons. One, typical complications of diabetes that we're used to hearing about, like kidney or heart disease or stroke or high blood pressure, they can lead to poor mental performance. Another, diabetes often have arteriosclerosis or clogged arteries. And that may cause indirect damage to small and large blood vessels in the brain.

And doctors also say an enzyme that helps break down sugar in the body, which is deficient in many diabetics, may also have an adverse effect on mental ability.

Now, there are many theories, but whatever it may be, doctors say this study that we've done on such a large group of women is further evidence that the mind and the body are really strongly connected. So they say what's good for your, you know, heart, could be good for your head.

COSTELLO: So let's talk about prevention now.

FIRFER: Yes. What everybody needs to know, doctors say that is most important. We know, as I said, good for the heart, good for the head. So eat well. Exercise regularly. Stay healthy. Keep your blood pressure and your cholesterol down. And use your brain. Exercise your brain, as well. Give yourself daily mental tasks or routines, but stay active, both physically and mentally.

And if you're post-menopausal, have regular screenings. Go to your doctor to have a cognitive test done. If you have a parent who is, or a spouse, who might be exhibiting signs of early dementia, get them to the doctor right away. That's the most important, because some doctors did say you might be able to, you know, see early signs of diabetes if you notice early signs of mild cognitive impairment, as well.

COSTELLO: Fascinating.

Holly Firfer, thank you for joining us DAYBREAK this morning.

FIRFER: Sure.

My pleasure.

COSTELLO: Headlines coming your way in two minutes.

This is DAYBREAK for a Tuesday morning.

(COMMERCIAL BREAK)

COSTELLO: Fighting intensifies in the Iraqi city of Najaf this morning, as the defense minister, the Iraqi defense minister, lays down the law to insurgents. It is Tuesday, August 24.

This is DAYBREAK.

And good morning to you.

From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Now in the news, get out or you will be wiped out -- that is the latest ultimatum from Iraq's new government to the militia at the Iman Ali Mosque in Najaf. It comes amid some of the most intense fighting in days. You're looking at new pictures just into us from the besieged city. The fighting goes on this morning.

In the meantime, in Baghdad, at least five are dead and four others wounded in separate car bombings this morning. These pictures also just in to us. The bombers were apparently targeting two Iraqi ministers. Both escaped unharmed.

The man who allegedly drove Osama bin Laden around and protected the terrorist mastermind is about to become Guantanamo Bay's first terror suspect to be tried. His arraignment is scheduled for today. Three other detainees will also be arraigned this week in the first U.S. military commission since World War 2.

And back here in the States, Scott Peterson's former lover, Amber Frey, due back on the stand today in California. She'll face more questioning from defense attorneys in Peterson's murder trial.

To the forecast center now and Chad.

MYERS: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: Turning our attention to Iraq now, explosive violence in Najaf and in Baghdad this morning.

Joining us now is CNN's senior international editor, David Clinch.

And I want to specifically talk about Najaf right now and this ultimatum that has come down.

DAVID CLINCH, CNN INTERNATIONAL EDITOR: Yes.

Our Matthew Chance, embedded with U.S. forces just outside Najaf, hearing directly from the Iraqi defense minister there in Najaf today, issuing an ultimatum to the Mahdi militia inside the mosque and in Najaf itself, saying that the Iraqi forces are prepared to wipe out the Mahdi militia if they do not leave the mosque within hours. But either way, he says the Iraqi forces are prepared to enter the mosque within hours and clean it out.

COSTELLO: What makes this ultimatum different from past ultimatums? CLINCH: Well, that's a very good question. We have heard ultimatums before, including one from the prime minister himself, which ended up not being followed through on. So we are obviously aware of that.

On the other hand, our other set of eyes in Najaf, in central Najaf, our crew there seeing today U.S. tanks within just a very few yards of the walls of the mosque itself; not out in the cemetery, but right at the mosque itself. And eyewitness reports of Iraqi forces with them there, these same Iraqi forces that we've reported on preparing specifically, a highly trained force preparing specifically to be the ones that would go into the mosque.

COSTELLO: So in other words they're softening up the target.

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Aired August 24, 2004 - 06:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: An ultimatum this morning to insurgents holed up in that mosque in Najaf -- get out or get ready for Iraqi troops to force you out.
It is Tuesday, August 24.

This is DAYBREAK.

And good morning to you.

From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Now in the news, Iraq issues an ultimatum and puts a timetable to go with it. Iraqi National Guardsmen are now surrounding that sacred Imam Ali Shrine after Iraq's defense minister tells militants loyal to Shiite cleric Muqtada al-Sadr to come out or forces will begin sealing all of the mosques entrances and exits tonight.

Also in Iraq, two separate car bombings this morning apparently were targeting two Iraqi ministers. The education and environmental ministers were not hurt. At least five other people were killed, along with the bomber.

In Guantanamo Bay, Cuba, the U.S. military is starting pretrial hearings today for four terror suspects. They include Australian David Hicks, who is accused of fighting for the Taliban in Afghanistan.

Is Scott Peterson's former mistress Amber Frey telling police all she knows? Peterson's lawyer, Mark Geragos, says she is not. Frey will be back on the stand later today for more cross-examination.

To the forecast center now and Chad.

CHAD MYERS, CNN METEOROLOGIST: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: Patience has run out, that is the message from the Iraq defense minister to Mahdi Army fighters in control of a mosque. Planning now under way for an operation to force those inside that shrine, including women and children, to get out.

Let's head live to Baghdad for more and Diana Muriel -- Diana, this is an ultimatum, but we've heard ultimatums before. What makes this different?

DIANA MURIEL, CNN CORRESPONDENT: Well, we certainly have, Carol, so perhaps we should treat this with a little suspicion. But it's certainly different to the ones that we've seen before. The defense minister, Minister Shaalan, gave a press conference just outside Najaf at the U.S. Marine base there. And he said that U.S. defense troops, Iraqi defense -- rather, Iraqi defense troops would be sealing the exits and the entrances to the mosque. There were loudspeakers outside the mosque urging those inside to leave. And the ultimatum seems to be set for tonight.

Now, this is -- certainly the situation on the ground has intensified. The shooting, the fighting has intensified today in the daylight hours, which is something that we haven't seen in recent days. There was heavy machine gun fire. There was U.S. tanks coming very close to the compound where the shrine is and they were firing around the city of -- the old city of Najaf.

In the past we've had aerial bombardments overnight and last night was no different. The bombardment started at 11:00 p.m. and it went through until around 3:00 a.m. in the morning. And there is heavy black smoke seen rising from the city of Najaf.

So it certainly seems as if there's been some softening up of the target area. Now this ultimatum from the defense minister. We'll wait to see what will happen tonight in Najaf -- Carol.

COSTELLO: But we know a few specifics. They're going to use loudspeakers for some reason and they're going to seal off the exits and entrances.

Can you expound for us?

MURIEL: Well, certainly the technique of using loudspeakers is something that is not uncommon in Najaf. In fact, on Monday, the police were using loudspeakers to tell those inside the mosque and, indeed, the residents of Najaf, that this cleric, Muqtada al-Sadr, had fled the city and gone north to Sulaymaniyah. Now they're telling them that they have to leave the mosque and that they will seal up those exits and those entrances. A very tense situation on the ground there.

A lot of people have already left the city of Najaf and moved to the suburbs for safety, taking refuge in some of the mosques outside of the center of the city. They've left their houses. They've abandoned their shops and they've fled already.

But there is a group of people -- it's hard to say just how many and just how many of them are Mahdi militia -- but there's a group of people, perhaps around 300, perhaps more, inside the mosque and there are women and there are children in there. And the Iraqi defense forces very keen that those people, all of them, including the women and children, should get out. They seem to be very serious about this ultimatum -- Carol.

COSTELLO: We'll keep our eyes open today.

Diana Muriel live from Baghdad this morning.

Thank you.

It has been nearly 60 years since there's been anything like it, but that changes today at the U.S. naval base in Guantanamo Bay, Cuba. Pretrial hearings are set this week for four suspected terrorists. They are the first accused enemy war combatants to face trial before a military commission since the end of World War 2.

One is accused of being Osama bin Laden's bodyguard and driver leading up to the 9/11 attacks. Two others are charged with conspiracy. And a fourth is accused of fighting for the Taliban.

Human rights groups say the proceedings, with no independent judge or civilian appeals, are unfair.

They were just following orders. That is the defense for an Army specialist charged as the ringleader in the Abu Ghraib prison scandal. Today, an Army staff sergeant is expected to plead guilty at a pretrial hearing to at least some of the charges he's facing.

Let's go to Chris Burns now.

He's live at the tribunal site in Mannheim, Germany -- good morning, Chris.

CHRIS BURNS, CNN CORRESPONDENT: Good morning, Carol.

Well, not only is the defense saying they were just following orders, but they're trying to find exactly who gave those orders. And that is really what the crux of the matter is today at these pretrial hearings, as well as the trials coming up.

Now, Staff Sergeant Ivan Frederick has made a statement in the last 24 hours saying that he is willing to take some of that responsibility, to plead guilty to some of those charges. Which of them it's not clear. But he is charged with assault, maltreatment, indecent acts, dereliction of duty, conspiracy. And he was among those who were in those pictures that have horrified and angered many around the world from Abu Ghraib Prison in the abuse of prisoners there outside Baghdad.

Now, the question is when he pleads guilty, and he could become a prosecution witness, but he could also become a defense witness. And this is where the defense is rubbing its hands together and saying it could help quite a bit.

Here is the lawyer for another of the defendants, Specialist Charles Graner.

(BEGIN VIDEO CLIP)

GUY WOMACK, GRANER'S ATTORNEY: It would help us greatly. Staff Sergeant Frederick is a veritable fountain of information that we want. He has quite a string of e-mail traffic and other communications between his family and him, other persons, as well as military intelligence, sources that we would like to have. And if he is not a government witness, I would have to try to get immunity for him.

On the other hand, if he pleads guilty and becomes a government witness, he is handed to me as a witness and he would be a fountain of information that we really need.

(END VIDEO CLIP)

BURNS: Well, as part of that information, one of those e-mails is quoted as saying, let me read that, "This is how military intelligence wants it done."

Back to you -- Carol.

COSTELLO: Chris Burns reporting from Mannheim, Germany this morning.

Thank you.

In other stories across America this Tuesday, in North Carolina, a federal grand jury has indicted a Pakistani man. Police say Kamran Akhtar had videotapes of buildings in six southern cities. But police say they haven't found any links to terrorism. Akhtar is accused of making false statements. Police in Charlotte, North Carolina arrested him last month after he videotaped an office building.

In Texas, a state law maker doesn't have the law on his side this time. A judge has ordered Representative Talmadge Heflin to return a 20-month-old boy to his mother, an African immigrant who once lived in Heflin's home. Heflin and his wife wanted temporary custody, claiming the boy's mother didn't care for him properly.

In Los Angeles, a rolling protest against high drug prices. Elderly activists left Monday for Canada aboard two trains dubbed the "Prescription Express." They're heading to Vancouver to buy prescription drugs. The Foundation for Taxpayer and Consumer Rights is paying for the trip.

And Scott Peterson's former mistress, Amber Frey, back on the stand today for more cross-examination in Peterson's murder trial. During Monday's session, defense attorney Mark Geragos attacked Frey's credibility. He tried to get her to admit she did not tell investigators about all of the calls she had with Peterson.

So, the cross has begun. It's still unclear, though, exactly what Peterson's attorney is trying to accomplish.

So time for a little "Coffey Talk."

Our legal analyst, Kendall Coffey, joins us live from New York this morning -- good morning, Kendall.

KENDALL COFFEY, CNN LEGAL ANALYST: Hey, good morning, Carol. COSTELLO: So, Mark Geragos starts off with a little joke, telling the court no questions, and then he said, oh, I was just kidding. Kendall, some say that was a great move.

Why?

COFFEY: Well, I don't know if it was a great move or not. I think in general a double homicide trial is a no joke zone. But, on the other hand, this is the one lawyer in America that could probably get away with something like that. And the view of the hope he had is that it sets up a little bit of jury identification with him and indicates that hey, he's really got the courtroom on his side.

COSTELLO: And the tension in the courtroom was really high, so maybe he was trying to cut the tension a bit.

But after that bit of little humor, he went in for the kill, trying to portray Amber Frey as a woman scorned, who would even lie about being pregnant to nail Scott Peterson.

Can this strategy work?

COFFEY: Well, I think it's a pretty good strategy so far. First of all, there's something fundamentally unappetizing about somebody who would make up a pregnancy in order to trap Scott Peterson. And where I think he's going and what would make the most sense, maybe, is not so much as to totally try to trash her, but to make her look like a pawn and a part of a police department which was out to get Scott Peterson.

In other words, she turned herself over to them. She was part of the police team. They were out to get Scott Peterson and they didn't care about any other evidence, because that has been his theme from day one -- a stumbling, bumbling police investigation that went after Scott Peterson like a heat seeking missile and ignored all the leads that might have taken them to the real killer.

COSTELLO: Interesting.

Let's listen to Gloria Allred, Frey's attorney, responding to the "let's say I'm pregnant" ruse.

(BEGIN VIDEO CLIP)

GLORIA ALLRED, AMBER FREY'S ATTORNEY: She made suggestions to the police as to how to draw Scott out with relevant information. There was a woman and an unborn child missing. She wanted to help find them. I would simply ask Mr. Geragos where's the beef? Or is your only beef that Amber assisted law enforcement by tape recording telephone calls with Scott Peterson?

(END VIDEO CLIP)

COSTELLO: Well, she does have a little of a point because the police certainly didn't want Amber Frey to tell Peterson that she was pregnant. COFFEY: Well, I think it's one thing to be just a good citizen cooperating. But what Geragos is trying to do is make her look like a lot more than that, someone who was anxious to be part of the police effort to set up Scott Peterson. And to that extent, I think the defense is making a few points early on in the cross-examination.

COSTELLO: Is it going to get worse for Amber Frey today?

COFFEY: I think so. I think they've got to be building up to some broader themes. It's going to be more of the same in terms of Amber Frey, part of the prosecution team. But I think, as I see this thing going, by the end of the cross-examination, he's going to really try to go after her character. And that, if he does it, is the riskiest part of all, because it could backfire and make her look like the victim. And if this becomes a trial where the single most important person is whether Amber Frey is credible, whether her tapes are sustainable, then that's a big problem for the defense, because at the end of the day, Amber Frey shouldn't be enough to convict. And sometimes if you make her too important in a trial, you tell the jury that it's all or nothing. If you believe Amber Frey, he's guilty of murder. And that's a risky approach.

COSTELLO: Thank you for your perspective.

Kendall Coffey, our legal analyst, on the phone live from New York this morning.

Still to come this Tuesday morning, the link between women, diabetes and dementia and how it can be prevented. That's at 20 minutes past.

And at the half hour, the candidates, the issues and where Bush and Kerry stand on the hot button topic of defense.

But first, here's a look at what else is making news this Tuesday morning.

(COMMERCIAL BREAK)

COSTELLO: Your news, money, weather and sports.

It is 6:15 Eastern.

Here's what's all new this morning.

A new ultimatum comes amid some of the most intense fighting in Najaf. Iraq's defense minister is warning Iraqis to leave the sacred Imam Ali Shrine or they'll be wiped out. You're looking at new pictures just in to us from that embattled city this morning. As you can see, the fighting there goes on.

British Foreign Secretary Jack Straw is in Sudan's violence plagued region of Darfur. He's trying to determine if the Sudanese government is following through on a promise to end a conflict blamed for tens of thousands of deaths. In money news, after tossing around a few numbers, Kmart has settled on 18 stores that will sell -- that it will sell to Home Depot. The price is $271 million. About 1,600 people work at the stores. They're now being closed.

In culture, the hands that created the classic rock of Led Zeppelin -- now fans can see Jimmy Page's prints at London's new British Walk of Fame. This is -- Page is the first celebrity to be honored here. His reaction? "It's a great honor. I'm really chuffed."

In sports, quarterback Phil Rivers and the San Diego Chargers have finally reached an agreement. The Chargers will pay the former N.C. State star more than $40 million for six years. Rivers has missed four weeks of training camp, but he'll be back now -- Chad.

MYERS: He should be. Plenty of time to get that starting position, maybe.

(WEATHER REPORT)

COSTELLO: Those are the latest headlines for you.

They are the talk of the Summer Games. Later, a look at the successful strides the Iraqi soccer team is taking to get the gold.

But first, women, diabetes and dementia -- how studies are now linking the illness to brain decay in women.

This is DAYBREAK.

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COSTELLO: Welcome back to DAYBREAK.

A little health news for you now. People who have diabetes may face a new health risk that's linked to the disease.

CNN medical correspondent Holly Firfer is here to tell us about that -- diabetes and dementia, are we talking Type 1 or Type 2?

HOLLY FIRFER, CNN CORRESPONDENT: We're talking Type 2, late onset diabetes. And, yes, we know that too much sugar can cause tooth decay. Well, now doctors say it also may cause brain decay.

According to a study from the University of California in San Francisco, diabetes may cause a decline in mental function for women who suffer from the disease. Looking at over 7,000 elderly women over four years, doctors found those with diabetes or those with pre- diabetes did poorly on cognitive tests. They scored lower than those without the disease.

Now, doctors say what's important to note is even these women with pre-diabetes or early signs of the disease are at risk of developing mild cognitive impairment or even dementia. And this is the first time they've actually looked at this type of group, these pre-diabetics.

COSTELLO: So what's the connection? I mean what is the connection between diabetes and dementia?

FIRFER: It's a good question. You know, doctors aren't really quite sure what exactly it is, but they say there could be several reasons. One, typical complications of diabetes that we're used to hearing about, like kidney or heart disease or stroke or high blood pressure, they can lead to poor mental performance. Another, diabetes often have arteriosclerosis or clogged arteries. And that may cause indirect damage to small and large blood vessels in the brain.

And doctors also say an enzyme that helps break down sugar in the body, which is deficient in many diabetics, may also have an adverse effect on mental ability.

Now, there are many theories, but whatever it may be, doctors say this study that we've done on such a large group of women is further evidence that the mind and the body are really strongly connected. So they say what's good for your, you know, heart, could be good for your head.

COSTELLO: So let's talk about prevention now.

FIRFER: Yes. What everybody needs to know, doctors say that is most important. We know, as I said, good for the heart, good for the head. So eat well. Exercise regularly. Stay healthy. Keep your blood pressure and your cholesterol down. And use your brain. Exercise your brain, as well. Give yourself daily mental tasks or routines, but stay active, both physically and mentally.

And if you're post-menopausal, have regular screenings. Go to your doctor to have a cognitive test done. If you have a parent who is, or a spouse, who might be exhibiting signs of early dementia, get them to the doctor right away. That's the most important, because some doctors did say you might be able to, you know, see early signs of diabetes if you notice early signs of mild cognitive impairment, as well.

COSTELLO: Fascinating.

Holly Firfer, thank you for joining us DAYBREAK this morning.

FIRFER: Sure.

My pleasure.

COSTELLO: Headlines coming your way in two minutes.

This is DAYBREAK for a Tuesday morning.

(COMMERCIAL BREAK)

COSTELLO: Fighting intensifies in the Iraqi city of Najaf this morning, as the defense minister, the Iraqi defense minister, lays down the law to insurgents. It is Tuesday, August 24.

This is DAYBREAK.

And good morning to you.

From the CNN Global Headquarters in Atlanta, I'm Carol Costello.

Now in the news, get out or you will be wiped out -- that is the latest ultimatum from Iraq's new government to the militia at the Iman Ali Mosque in Najaf. It comes amid some of the most intense fighting in days. You're looking at new pictures just into us from the besieged city. The fighting goes on this morning.

In the meantime, in Baghdad, at least five are dead and four others wounded in separate car bombings this morning. These pictures also just in to us. The bombers were apparently targeting two Iraqi ministers. Both escaped unharmed.

The man who allegedly drove Osama bin Laden around and protected the terrorist mastermind is about to become Guantanamo Bay's first terror suspect to be tried. His arraignment is scheduled for today. Three other detainees will also be arraigned this week in the first U.S. military commission since World War 2.

And back here in the States, Scott Peterson's former lover, Amber Frey, due back on the stand today in California. She'll face more questioning from defense attorneys in Peterson's murder trial.

To the forecast center now and Chad.

MYERS: Good morning, Carol.

(WEATHER REPORT)

COSTELLO: Turning our attention to Iraq now, explosive violence in Najaf and in Baghdad this morning.

Joining us now is CNN's senior international editor, David Clinch.

And I want to specifically talk about Najaf right now and this ultimatum that has come down.

DAVID CLINCH, CNN INTERNATIONAL EDITOR: Yes.

Our Matthew Chance, embedded with U.S. forces just outside Najaf, hearing directly from the Iraqi defense minister there in Najaf today, issuing an ultimatum to the Mahdi militia inside the mosque and in Najaf itself, saying that the Iraqi forces are prepared to wipe out the Mahdi militia if they do not leave the mosque within hours. But either way, he says the Iraqi forces are prepared to enter the mosque within hours and clean it out.

COSTELLO: What makes this ultimatum different from past ultimatums? CLINCH: Well, that's a very good question. We have heard ultimatums before, including one from the prime minister himself, which ended up not being followed through on. So we are obviously aware of that.

On the other hand, our other set of eyes in Najaf, in central Najaf, our crew there seeing today U.S. tanks within just a very few yards of the walls of the mosque itself; not out in the cemetery, but right at the mosque itself. And eyewitness reports of Iraqi forces with them there, these same Iraqi forces that we've reported on preparing specifically, a highly trained force preparing specifically to be the ones that would go into the mosque.

COSTELLO: So in other words they're softening up the target.

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