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CNN Live Today
Cambodia Crisis Ends; Identity Theft; FTC Settlement with BJ'S Wholesale Supermarket; Park Ranger Hero; Top Five Tips: Dangers of the Appraisal
Aired June 16, 2005 - 10:00 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.
SOLEDAD O'BRIEN, CNN ANCHOR: We are out of time.
BILL HEMMER, CNN ANCHOR: Yes, we are.
O'BRIEN: Let's throw it right to Daryn Kagan. She's at the CNN Center.
Hey, Daryn. Good morning.
HEMMER: Good morning.
DARYN KAGAN, CNN ANCHOR: Good morning. You guys have a great day.
HEMMER: You, the same.
KAGAN: In New York City. It's a big day tomorrow, Bill. Looking forward to it.
We'll get behind that giggle tomorrow.
Right now, let's go ahead and take a look at what's happening "Now in the News."
Police say a Canadian boy was killed by hostage-takers today. The standoff took place at an international school in a town in Northwestern Cambodia. More than 50 elementary school students and teachers were held six hours. Police rushed a van the gunmen were using to escape. Two gunmen were killed and four others were captured.
A big capture today Mosul. A U.S. military spokesman says the man in custody is al Qaeda's leader in that northern Iraqi city. Abu Talha is said to be a trusted agent of Abu Musab al-Zarqawi.
Updating John Bolton's nomination for U.N. ambassador. Democrats say it will stay stalled until the White House gives in to demands for information they want. Democrats want records of communications intercept Bolton sought from national security agency. The Republican head of the Senate Intelligence Committee has offer a compromise. One top Democrat rejects that proposal.
And President Bush spoke at the National Hispanic Prayer Breakfast this morning. The president noted the strong commitment of Hispanic-Americans to family and the culture of life. He said the administration would continue to support and defend the sanctity of marriage.
Good morning to you on this Thursday morning. I'm Daryn Kagan.
We begin overseas. A bloody end to a hostage siege at an elementary school. It was in the northwestern Cambodian town of Siem Reap. A Canadian boy is dead and so are two of the gunmen. So what was behind the attack? For answers we turn to CNN's Aneesh Raman. He is in Bangkok, Thailand, joining us by video phone.
Aneesh.
ANEESH RAMAN, CNN CORRESPONDENT: Daryn, good morning.
The standoff lasted some six hours after four mass gunmen took control of an international elementary school in that tourist town of Siem Reap. Dozens of children between the ages of two and six held captive all day long. Among them, some 15 nationalities. Siem Reap home to a number of expatriate families working as part of the tourism industry. The scene outside was one of intense anxiety. Tanks surrounded the school while parents of the children stood by for hours awaiting the fate of their loved ones.
Negotiations, Daryn, centered on three demands. The hostage- takers wanted about 1,000 U.S. dollars in cash. They wanted transport and safe passage to the Thai border. And they also wanted additional arms. They got into the school with AK-47s and shotguns. They wanted RPG launchers as well. The government willing to give them the first two, refusing on the third.
And essentially what happened, after six hours was a breaking point, gunfire heard within the school, at which point officials say a Canadian boy was shot by the hostage-takers. The rest of the hostages ran outside in scenes of just heroism, people grabbing them forward. The hostage-taker tried to exit in a van, at which point they were taken wounded into custody by Cambodian officials.
We don't yet know with specificity what the motive of this attack was. Suggestions, Daryn, were that it could be politically motivated, looking to cripple the economy of Cambodia which is hugely dependent upon Siem Reap. Instead, the prime minister, Hun Sen, saying it was not politically motivated. Essentially there were small-time criminals out for some money.
Daryn.
KAGAN: And any reason why this international school would have been the target?
RAMAN: That remains unclear as well. Some suggestions were that these men worked at the school, others, that they stumbled upon it looking to steal stuff from within it and found the children and decided to take them hostage. The school is not in session. It's summer recess in Cambodia. But this was sort of an ad hoc language class that was going on. Initially large numbers were able to flee but one class, dozens of these elementary school children, held all day long. But either way, whatever the desired effect was by the hostage-takers, the unintended consequences are raising eyebrows in terms of security at international schools throughout the region, Daryn.
KAGAN: Understandable.
Aneesh Raman from Bangkok, Thailand.
Thank you.
We move on to today's "Security Watch."
Your name, your identity, your life savings, they are all more vulnerable than you might want to believe. So right now on Capitol Hill, the Senate Commerce Committee is holding a hearing on what can be done at the federal level. An estimated 10 million Americans a year are victims of identity theft and data breaches revealed just within the last few months have left more than a million wondering, are they next? So what can be done to protect you? For that we're going to see some expertise. We've got our tech guy, CNN Technology Correspondent Daniel Sieberg.
Good morning.
DANIEL SIEBERG, CNN CORRESPONDENT: Daryn, good morning.
Yes, there are members of the Federal Trade Commission there at the hearing today. They reported 635,000 identity theft complaints last year. That's an enormous number and it's really only growing. This is, unfortunately, a very profitable crime for identity thieves out there who basically want to rip off your good name, whether it's using your credit, your personal information, and really make your life miserable. Because for a lot of people who suffer from this, getting back on their feet, while the cost may not be all that big, getting past all the credit reporting can be a huge hassle for people like that.
KAGAN: Really interesting to see a Senate committee take this up. One thing that's come to light in recent months is just how unregulated this business is.
SIEBERG: Exactly. We are certainly seeing government get more involved after we hear ChoicePoint, LexisNexis, other groups with data left breaches, basically. They're sort of jumping on the bandwagon here but it is a tough jurisdictional issue.
You see ChoicePoint there. They were one of the first ones that people heard about these data brokers who are basically handling your information. There's a good chance you haven't heard of ChoicePoint, at least before it came out in the news, but they've definitely heard of you.
These are growing companies. Our information is out there. It needs to be handled. It needs to be transported. These companies are in charge of doing those types of thing.
You remember Time Warner, the patient company of CNN, also had a similar breach. Or they at least lost some data.
Now we're not sure how much of all of this data ended up in the wrong hands at this point. However, it does make it very difficult to go after these guys who get the information because of the jurisdictional issue with borders.
KAGAN: Right. And one thing that you showed in your -- a recent story that you did, this is borderless crime. So Congress can do all it wants but you may be getting hacked or have your information stolen from South America or Europe.
SIEBERG: Exactly. And a lot of these guys do operate overseas. We talked not to long ago to a guy named Dan Clements at CardCops. And we actually went in to some chat rooms. These are underground chat rooms where your information is bought and sold. So, potentially, one of these companies is hacked, or the information is lost or stolen. It ends up here in these chat rooms online where it is basically bought and sold in realtime.
Now that is very difficult to police, because they're overseas. The secret service is the lead agency on something like that, but even they admit that they're overwhelmed by this. It's happening so fast, so quickly, in these sort of virtual black markets that it's very difficult to go after them.
KAGAN: Basically, at the end of the day, you're going to be your own best cop, aren't you?
SIEBERG: You are. You are. I mean the Senate will probably be considering some very important things like expanding this disclosure law in California where, if a company is basically broken into and your information is stolen, if you're from California, they need to tell you. The rest of country, you're out of luck. So they may be expanding that nationally. And regulating these data brokers.
But really, the bottom line is, it's up to you. The most important thing you can do is watch your credit reports. Be on top of things like that. You can request a fraud alert from one of the big three credit reporting agencies. But don't do nothing. That's what a lot of people end up doing.
KAGAN: And then they end up doing a big thing in cleaning up a mess.
SIEBERG: Exactly.
KAGAN: Daniel, thank you. You always explain so well in easy terms.
SIEBERG: Oh, thanks.
KAGAN: Daniel Sieberg our technology correspondent.
Thank you.
Now on to the Patriot Act. That's the anti-terror measure that expanded law enforcement powers after the 9/11 attacks. Advocates who want to change the Patriot Act say they gained momentum with yesterday's House vote that limits accessing library records. President Bush said he will veto the restrictions which he says weakens the law. Critics say the Patriot Act threatens civil liberties.
And be sure to stay tuned to CNN day and night for the most reliable news about your security.
A scary situation. This one, a happy ending. A Kentucky park ranger is credited with saving the life of a whom says she was abducted. The park ranger, Chris Evans, will join me live and tell his story.
Plus, what might have happened to Prince Harry is a question being asked in Britain as a new tape, a royal security breach, surfaces.
And you've seen them before. You know you've seen them somewhere. Now supporting actor, Stephen Tobolowsky, gets a movie all of his own. It's all centered around his birthday. He'll be here with me live to talk about his offbeat movie this hour on CNN LIVE TODAY.
(COMMERCIAL BREAK)
KAGAN: We were talking about identity theft and the Senate Commerce Committee that's looking at that right now. There's news coming out of that committee meeting. Our Ed Henry is on the phone with that news.
Ed, good morning.
ED HENRY, CNN CORRESPONDENT: Good morning, Daryn.
That's right, the Federal Trade Commission is now disclosing to the Senate Commerce Committee that BJ'S Wholesale Club Incorporated has agreed to settle charged that it failed to take appropriate security measures to protect sensitive information of thousands of its customers and that this was an unfair practice that "violated federal law," according to the Federal Trade Commission. This involves the fact that the company did not have adequate safeguards to prevent criminals from stealing credit card numbers from customers of BJ's Wholesale Club.
This complaint from the FTC and now this settlement says that the information was used by an unauthorized person or persons to make millions of dollars of fraudulent purchase. This settlement will require BJ's to implement a comprehensive information security program. It will also have to obtain audits by an independent third party security professional for every other year over the next 20 years.
Then to gives you an idea of the scope. BJ's operates 150 warehouse stores across the country in 16 states. They have about 8 million consumers who are members of this club. And their net sales in 2003 was $6.6 billion. So it's a vast company. It's in 16 different states across the country. And the Federal Trade Commission is saying that lack security compromised thousands of credit and debit cards at BJ's Wholesale Clubs.
Now this was originally disclosed in March that there was a problem. That the Federal Trade Commission is now disclosing to the Senate that BJ's Wholesale Club has agreed to settle these charges.
Daryn.
KAGAN: Very good. Ed Henry on Capitol Hill with the latest from that Senate Commerce Committee hearing.
Thank you.
Nearly 100,000 utility customers in Southeast Texas were in the dark last night. High winds from a storm caused the power outages. The electricity has been restored. Workers are still stabilizing the system. So the utility company is asking customers today to try to conserve electricity.
How easy will that be? It depends, I guess, how toasty things are in Texas. Rob Marciano is here with a look at the weather.
(WEATHER REPORT)
KAGAN: A Kentucky park ranger being credited with saving a kidnaping victim. Authorities say Beverly Copeland had been forced to drive around for an hour and a half with a knife at her throat. But Chris Evans came to her rescue, taking down the suspects and ending a nightmare.
(BEGIN VIDEO CLIP)
BEVERLY COPELAND, ALLEGED KIDNAP VICTIM: He told me that if I didn't do what he said, that he was going to slice my throat, and he was going to -- when he got done with me, he was going to kill me and stick me in the trunk of my car.
(END VIDEO CLIP)
KAGAN: Scary stuff.
Chris Evans, the hero, the ranger, joins us on the phone this morning from Aurora, Kentucky.
Ranger, good morning.
CHRIS EVANS, KENTUCKY STATE PARK RANGER: Good morning, ma'am.
KAGAN: Well, take us back a few days, June 11th. You're driving along. Is it your regular patrol? What happens?
EVANS: Yes, ma'am. It's my regular patrol. And I was going to get gas for the police car and I got to the intersection of Kentucky 402 and 68 East, I saw a gold car sitting there but didn't pay no attention to it at a stop sign.
As I entered the intersection, the gold car pulled out, was coming right at my driver's door. So I swerved, run off the road. The car come around he, stopped about 20 feet, right in the middle of the road, had both lanes of traffic blocked. So I thought something's up. So I pulled in behind him to keep us from getting hit and turned my blue lights and flashers on. I radioed in the license plate number.
And about that time I noticed the driver side door open and a woman flying -- come running and screaming and beating on my car window and said, please, let me in. Please, let me in. He's kidnaped me. He's going to kill me. Please, let me in. So I immediately got out, put her in the back of my car, talked to her a little more and finally got more detail.
I called for Mash (ph) County Sheriff's Office Deputy Tim Reynolds (ph) to come out. He was on his way. And I was talking to her while I was waiting for him to get there. He just sat in the car.
KAGAN: The alleged kidnapper just sat there?
EVANS: He just sat there. And I couldn't see him because the windows of the car were tinted. So . . .
KAGAN: Then you did what's called a felony takedown. What is that?
EVANS: Yes, ma'am. I was going to wait until the deputy got there, because I didn't know what all weapons were involved, besides the hunting knife.
KAGAN: Sure.
EVANS: But then shortly after that, before anybody arrived, he -- the car door opened on the passenger's side and I had to do something then. So we did what we call a felony takedown. I opened my door, pulled my weapon, (INAUDIBLE) pointed towards him. And he got in the car and turned around and looked add at me. I just issuing the commands for a standard felony takedown. That's, put your hands up in the air, lock your hands and fingers together behind your head and get on your knees, lay flat down on the road, and spread your arms out, palms up (INAUDIBLE).
KAGAN: So, at that point, he was listening to you. Did these two know each other before this incident?
EVANS: Yes, ma'am. It's my understanding they worked together.
KAGAN: Ah.
EVANS: For a while.
KAGAN: OK. But it looks like they're calling you a hero today. You feel like a hero? EVANS: No, ma'am, I don't. In fact, if anybody's a hero, Ms. Copeland is because she, you know, went through a horrific ordeal for an hour and a half, two hours, and she still had enough sense about her, after going through that, is to see me coming and attempt to run into my police car to get my attention.
KAGAN: Because she was actually driving at that point?
EVANS: Yes, ma'am.
KAGAN: Yes. Well, good for her. How is she doing today?
EVANS: She's still a little upset and nervous but she's doing pretty good.
KAGAN: Well, you know, we like to tell the stories with a happy ending. So we appreciate that and we appreciate your good work. And whether you see yourself as a hero or not, a good day at the office, I think you can agree.
EVANS: Yes, ma'am.
KAGAN: Yes, a successful one. Ranger Chris Evans of the Ken Lake State Resort Park in Kentucky.
Thank you, sir.
Well, somebody you've probably seen at least, at least a dozen times. But now the supporting actor finally has a strong role. He just made his own movie. Why not? Actor Stephen Tobolowsky joins me. He's here live to talk about his birthday.
And Gerri Willis is here with some home buying tips.
Hey, Ger.
GERRI WILLIS, CNN CORRESPONDENT: Hey, Daryn, good to see you.
If you're buying a house, you know there's a blizzard of paperwork to get through. One thing to pay big attention to, the appraisal. We'll tell you what you need to know when CNN LIVE TODAY continues.
(COMMERCIAL BREAK)
KAGAN: And let's go ahead and check the markets. They've been open about 53 minutes. Well, things not a lot -- not a lot happening on Wall Street. The Dow is negative. It's down well just two points. That's about flat. And the Nasdaq is up just a little bit. It is up five points.
So you say you have found your dream house. Don't forget one critical step in the home-buying process. Gerri Willis has today's "Top Five Tips" on home appraisals.
Good morning. WILLIS: Yes, hi, Daryn. Good to see you.
A lot people don't pay any attention to the appraisal process, and it's critically important, especially now. Here's why. The appraiser tells you what your house is really worth. They establish a value for the bank by going both inside and outside the house, by looking at values in the neighborhood. So their report, it's the law as far as the bank is concerned and in terms of what you should be paying for that loan. And guess what, it could come in below what you have offered on that house.
KAGAN: Right. And you don't want to get upside down in your loan especially.
WILLIS: No, no, no. Yes. Here's what's at risk. There's been testimony in front of Congress in the last couple of weeks about how the arms of appraisers are being twisted by mortgage bankers, brokers, real estate agents to inflate those values, to keep the market, keep it kind of going along red hot in prices moving higher and faster. But guess what, there's a risk if this happens to you. You could end up owing more on a house than it's worth. And if you had to sell in a heartbeat, it might be difficult because your value could be inflated.
KAGAN: Gerri, why should people consider getting a buyer's agent?
WILLIS: You want a reputable real estate agent when you're looking for a house's because they're going to help you pay the right amount for that house. They'll know values in the neighborhood like the back of their hand and they'll know exactly how much you should be paying.
KAGAN: Here's the hard part, when you fall in love with a house, you have to be willing to walk away.
WILLIS: That's right. You know, I call this, compromise your goals. A lot of people, they think they can only live in one neighborhood when they're looking around. But guess what, you may find that prices are just beyond your wallet. So you may have to look at a second, third choice when it comes to the neighborhood you want to buy in.
KAGAN: And how can a good lender make a difference?
WILLIS: Well, you want to make sure you avoid the fly-by-night operator because there are some lenders out there that are not reputable. If you pick a good one, they'll be more likely to cooperate with you in getting a really good and fair, accurate appraisal that will help you find your dream home.
This Saturday on "Open House," Daryn, many buyers are taking on more house than they can afford. Foreclosures could be on the rise. Should you take advantage? We're going to take a look at that.
And I know you're going to like this, Daryn.
KAGAN: What's that?
WILLIS: Our weekend project is a vegetable garden.
KAGAN: You know, there's something fascinating about doing a vegetable garden.
WILLIS: That's right. And we're all about it this weekend.
KAGAN: Have you done?
WILLIS: Not yet. I plan . . .
KAGAN: Not yet. Oh, you're going to plant . . .
WILLIS: I'm taking notes. I have to tell you, I'm so excited about this.
KAGAN: OK. You'll have to tell us next week what you actually plant.
WILLIS: OK.
KAGAN: OK.
Thank you.
WILLIS: 9:30 a.m. Eastern.
KAGAN: Oh, I'll be awake and be there.
WILLIS: Saturday morning.
KAGAN: You got it.
Gerri, thank you.
WILLIS: You're welcome.
KAGAN: More fallout over the Downing Street Memo. Who knew what and who knew it when? We're going to take a closer look at what's being said about that's coming up.
(COMMERCIAL BREAK)
KAGAN: We're coming up on the half hour. Good morning once again. I'm Daryn Kagan. Here's what's happening "Now in the News."
Take a look at these jerky images. They capture the drama of a deadly siege at an Cambodian elementary school. Gunmen had taken hostage more than 50 students and teachers and killed a Canadian boy when their demands were not met. Police rushed the gunmen, killing two and capturing four.
The U.S. Ambassador to Afghanistan called a news conference today saying he doesn't believe that Osama bin Laden or his top lieutenant are in that country. The claim comes a day after a reported Taliban leader publicly said both men are alive and well. U.S. officials have long to believe the men are somewhere in the mountains bordering Afghanistan and Pakistan.
Right now in Philadelphia, Mississippi, the widow of one of the freedom riders murdered four decades ago is face-to-face with the man now charged in the killings. Former Klansman Edgar Ray Killen is now 80 years old.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
Aired June 16, 2005 - 10:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SOLEDAD O'BRIEN, CNN ANCHOR: We are out of time.
BILL HEMMER, CNN ANCHOR: Yes, we are.
O'BRIEN: Let's throw it right to Daryn Kagan. She's at the CNN Center.
Hey, Daryn. Good morning.
HEMMER: Good morning.
DARYN KAGAN, CNN ANCHOR: Good morning. You guys have a great day.
HEMMER: You, the same.
KAGAN: In New York City. It's a big day tomorrow, Bill. Looking forward to it.
We'll get behind that giggle tomorrow.
Right now, let's go ahead and take a look at what's happening "Now in the News."
Police say a Canadian boy was killed by hostage-takers today. The standoff took place at an international school in a town in Northwestern Cambodia. More than 50 elementary school students and teachers were held six hours. Police rushed a van the gunmen were using to escape. Two gunmen were killed and four others were captured.
A big capture today Mosul. A U.S. military spokesman says the man in custody is al Qaeda's leader in that northern Iraqi city. Abu Talha is said to be a trusted agent of Abu Musab al-Zarqawi.
Updating John Bolton's nomination for U.N. ambassador. Democrats say it will stay stalled until the White House gives in to demands for information they want. Democrats want records of communications intercept Bolton sought from national security agency. The Republican head of the Senate Intelligence Committee has offer a compromise. One top Democrat rejects that proposal.
And President Bush spoke at the National Hispanic Prayer Breakfast this morning. The president noted the strong commitment of Hispanic-Americans to family and the culture of life. He said the administration would continue to support and defend the sanctity of marriage.
Good morning to you on this Thursday morning. I'm Daryn Kagan.
We begin overseas. A bloody end to a hostage siege at an elementary school. It was in the northwestern Cambodian town of Siem Reap. A Canadian boy is dead and so are two of the gunmen. So what was behind the attack? For answers we turn to CNN's Aneesh Raman. He is in Bangkok, Thailand, joining us by video phone.
Aneesh.
ANEESH RAMAN, CNN CORRESPONDENT: Daryn, good morning.
The standoff lasted some six hours after four mass gunmen took control of an international elementary school in that tourist town of Siem Reap. Dozens of children between the ages of two and six held captive all day long. Among them, some 15 nationalities. Siem Reap home to a number of expatriate families working as part of the tourism industry. The scene outside was one of intense anxiety. Tanks surrounded the school while parents of the children stood by for hours awaiting the fate of their loved ones.
Negotiations, Daryn, centered on three demands. The hostage- takers wanted about 1,000 U.S. dollars in cash. They wanted transport and safe passage to the Thai border. And they also wanted additional arms. They got into the school with AK-47s and shotguns. They wanted RPG launchers as well. The government willing to give them the first two, refusing on the third.
And essentially what happened, after six hours was a breaking point, gunfire heard within the school, at which point officials say a Canadian boy was shot by the hostage-takers. The rest of the hostages ran outside in scenes of just heroism, people grabbing them forward. The hostage-taker tried to exit in a van, at which point they were taken wounded into custody by Cambodian officials.
We don't yet know with specificity what the motive of this attack was. Suggestions, Daryn, were that it could be politically motivated, looking to cripple the economy of Cambodia which is hugely dependent upon Siem Reap. Instead, the prime minister, Hun Sen, saying it was not politically motivated. Essentially there were small-time criminals out for some money.
Daryn.
KAGAN: And any reason why this international school would have been the target?
RAMAN: That remains unclear as well. Some suggestions were that these men worked at the school, others, that they stumbled upon it looking to steal stuff from within it and found the children and decided to take them hostage. The school is not in session. It's summer recess in Cambodia. But this was sort of an ad hoc language class that was going on. Initially large numbers were able to flee but one class, dozens of these elementary school children, held all day long. But either way, whatever the desired effect was by the hostage-takers, the unintended consequences are raising eyebrows in terms of security at international schools throughout the region, Daryn.
KAGAN: Understandable.
Aneesh Raman from Bangkok, Thailand.
Thank you.
We move on to today's "Security Watch."
Your name, your identity, your life savings, they are all more vulnerable than you might want to believe. So right now on Capitol Hill, the Senate Commerce Committee is holding a hearing on what can be done at the federal level. An estimated 10 million Americans a year are victims of identity theft and data breaches revealed just within the last few months have left more than a million wondering, are they next? So what can be done to protect you? For that we're going to see some expertise. We've got our tech guy, CNN Technology Correspondent Daniel Sieberg.
Good morning.
DANIEL SIEBERG, CNN CORRESPONDENT: Daryn, good morning.
Yes, there are members of the Federal Trade Commission there at the hearing today. They reported 635,000 identity theft complaints last year. That's an enormous number and it's really only growing. This is, unfortunately, a very profitable crime for identity thieves out there who basically want to rip off your good name, whether it's using your credit, your personal information, and really make your life miserable. Because for a lot of people who suffer from this, getting back on their feet, while the cost may not be all that big, getting past all the credit reporting can be a huge hassle for people like that.
KAGAN: Really interesting to see a Senate committee take this up. One thing that's come to light in recent months is just how unregulated this business is.
SIEBERG: Exactly. We are certainly seeing government get more involved after we hear ChoicePoint, LexisNexis, other groups with data left breaches, basically. They're sort of jumping on the bandwagon here but it is a tough jurisdictional issue.
You see ChoicePoint there. They were one of the first ones that people heard about these data brokers who are basically handling your information. There's a good chance you haven't heard of ChoicePoint, at least before it came out in the news, but they've definitely heard of you.
These are growing companies. Our information is out there. It needs to be handled. It needs to be transported. These companies are in charge of doing those types of thing.
You remember Time Warner, the patient company of CNN, also had a similar breach. Or they at least lost some data.
Now we're not sure how much of all of this data ended up in the wrong hands at this point. However, it does make it very difficult to go after these guys who get the information because of the jurisdictional issue with borders.
KAGAN: Right. And one thing that you showed in your -- a recent story that you did, this is borderless crime. So Congress can do all it wants but you may be getting hacked or have your information stolen from South America or Europe.
SIEBERG: Exactly. And a lot of these guys do operate overseas. We talked not to long ago to a guy named Dan Clements at CardCops. And we actually went in to some chat rooms. These are underground chat rooms where your information is bought and sold. So, potentially, one of these companies is hacked, or the information is lost or stolen. It ends up here in these chat rooms online where it is basically bought and sold in realtime.
Now that is very difficult to police, because they're overseas. The secret service is the lead agency on something like that, but even they admit that they're overwhelmed by this. It's happening so fast, so quickly, in these sort of virtual black markets that it's very difficult to go after them.
KAGAN: Basically, at the end of the day, you're going to be your own best cop, aren't you?
SIEBERG: You are. You are. I mean the Senate will probably be considering some very important things like expanding this disclosure law in California where, if a company is basically broken into and your information is stolen, if you're from California, they need to tell you. The rest of country, you're out of luck. So they may be expanding that nationally. And regulating these data brokers.
But really, the bottom line is, it's up to you. The most important thing you can do is watch your credit reports. Be on top of things like that. You can request a fraud alert from one of the big three credit reporting agencies. But don't do nothing. That's what a lot of people end up doing.
KAGAN: And then they end up doing a big thing in cleaning up a mess.
SIEBERG: Exactly.
KAGAN: Daniel, thank you. You always explain so well in easy terms.
SIEBERG: Oh, thanks.
KAGAN: Daniel Sieberg our technology correspondent.
Thank you.
Now on to the Patriot Act. That's the anti-terror measure that expanded law enforcement powers after the 9/11 attacks. Advocates who want to change the Patriot Act say they gained momentum with yesterday's House vote that limits accessing library records. President Bush said he will veto the restrictions which he says weakens the law. Critics say the Patriot Act threatens civil liberties.
And be sure to stay tuned to CNN day and night for the most reliable news about your security.
A scary situation. This one, a happy ending. A Kentucky park ranger is credited with saving the life of a whom says she was abducted. The park ranger, Chris Evans, will join me live and tell his story.
Plus, what might have happened to Prince Harry is a question being asked in Britain as a new tape, a royal security breach, surfaces.
And you've seen them before. You know you've seen them somewhere. Now supporting actor, Stephen Tobolowsky, gets a movie all of his own. It's all centered around his birthday. He'll be here with me live to talk about his offbeat movie this hour on CNN LIVE TODAY.
(COMMERCIAL BREAK)
KAGAN: We were talking about identity theft and the Senate Commerce Committee that's looking at that right now. There's news coming out of that committee meeting. Our Ed Henry is on the phone with that news.
Ed, good morning.
ED HENRY, CNN CORRESPONDENT: Good morning, Daryn.
That's right, the Federal Trade Commission is now disclosing to the Senate Commerce Committee that BJ'S Wholesale Club Incorporated has agreed to settle charged that it failed to take appropriate security measures to protect sensitive information of thousands of its customers and that this was an unfair practice that "violated federal law," according to the Federal Trade Commission. This involves the fact that the company did not have adequate safeguards to prevent criminals from stealing credit card numbers from customers of BJ's Wholesale Club.
This complaint from the FTC and now this settlement says that the information was used by an unauthorized person or persons to make millions of dollars of fraudulent purchase. This settlement will require BJ's to implement a comprehensive information security program. It will also have to obtain audits by an independent third party security professional for every other year over the next 20 years.
Then to gives you an idea of the scope. BJ's operates 150 warehouse stores across the country in 16 states. They have about 8 million consumers who are members of this club. And their net sales in 2003 was $6.6 billion. So it's a vast company. It's in 16 different states across the country. And the Federal Trade Commission is saying that lack security compromised thousands of credit and debit cards at BJ's Wholesale Clubs.
Now this was originally disclosed in March that there was a problem. That the Federal Trade Commission is now disclosing to the Senate that BJ's Wholesale Club has agreed to settle these charges.
Daryn.
KAGAN: Very good. Ed Henry on Capitol Hill with the latest from that Senate Commerce Committee hearing.
Thank you.
Nearly 100,000 utility customers in Southeast Texas were in the dark last night. High winds from a storm caused the power outages. The electricity has been restored. Workers are still stabilizing the system. So the utility company is asking customers today to try to conserve electricity.
How easy will that be? It depends, I guess, how toasty things are in Texas. Rob Marciano is here with a look at the weather.
(WEATHER REPORT)
KAGAN: A Kentucky park ranger being credited with saving a kidnaping victim. Authorities say Beverly Copeland had been forced to drive around for an hour and a half with a knife at her throat. But Chris Evans came to her rescue, taking down the suspects and ending a nightmare.
(BEGIN VIDEO CLIP)
BEVERLY COPELAND, ALLEGED KIDNAP VICTIM: He told me that if I didn't do what he said, that he was going to slice my throat, and he was going to -- when he got done with me, he was going to kill me and stick me in the trunk of my car.
(END VIDEO CLIP)
KAGAN: Scary stuff.
Chris Evans, the hero, the ranger, joins us on the phone this morning from Aurora, Kentucky.
Ranger, good morning.
CHRIS EVANS, KENTUCKY STATE PARK RANGER: Good morning, ma'am.
KAGAN: Well, take us back a few days, June 11th. You're driving along. Is it your regular patrol? What happens?
EVANS: Yes, ma'am. It's my regular patrol. And I was going to get gas for the police car and I got to the intersection of Kentucky 402 and 68 East, I saw a gold car sitting there but didn't pay no attention to it at a stop sign.
As I entered the intersection, the gold car pulled out, was coming right at my driver's door. So I swerved, run off the road. The car come around he, stopped about 20 feet, right in the middle of the road, had both lanes of traffic blocked. So I thought something's up. So I pulled in behind him to keep us from getting hit and turned my blue lights and flashers on. I radioed in the license plate number.
And about that time I noticed the driver side door open and a woman flying -- come running and screaming and beating on my car window and said, please, let me in. Please, let me in. He's kidnaped me. He's going to kill me. Please, let me in. So I immediately got out, put her in the back of my car, talked to her a little more and finally got more detail.
I called for Mash (ph) County Sheriff's Office Deputy Tim Reynolds (ph) to come out. He was on his way. And I was talking to her while I was waiting for him to get there. He just sat in the car.
KAGAN: The alleged kidnapper just sat there?
EVANS: He just sat there. And I couldn't see him because the windows of the car were tinted. So . . .
KAGAN: Then you did what's called a felony takedown. What is that?
EVANS: Yes, ma'am. I was going to wait until the deputy got there, because I didn't know what all weapons were involved, besides the hunting knife.
KAGAN: Sure.
EVANS: But then shortly after that, before anybody arrived, he -- the car door opened on the passenger's side and I had to do something then. So we did what we call a felony takedown. I opened my door, pulled my weapon, (INAUDIBLE) pointed towards him. And he got in the car and turned around and looked add at me. I just issuing the commands for a standard felony takedown. That's, put your hands up in the air, lock your hands and fingers together behind your head and get on your knees, lay flat down on the road, and spread your arms out, palms up (INAUDIBLE).
KAGAN: So, at that point, he was listening to you. Did these two know each other before this incident?
EVANS: Yes, ma'am. It's my understanding they worked together.
KAGAN: Ah.
EVANS: For a while.
KAGAN: OK. But it looks like they're calling you a hero today. You feel like a hero? EVANS: No, ma'am, I don't. In fact, if anybody's a hero, Ms. Copeland is because she, you know, went through a horrific ordeal for an hour and a half, two hours, and she still had enough sense about her, after going through that, is to see me coming and attempt to run into my police car to get my attention.
KAGAN: Because she was actually driving at that point?
EVANS: Yes, ma'am.
KAGAN: Yes. Well, good for her. How is she doing today?
EVANS: She's still a little upset and nervous but she's doing pretty good.
KAGAN: Well, you know, we like to tell the stories with a happy ending. So we appreciate that and we appreciate your good work. And whether you see yourself as a hero or not, a good day at the office, I think you can agree.
EVANS: Yes, ma'am.
KAGAN: Yes, a successful one. Ranger Chris Evans of the Ken Lake State Resort Park in Kentucky.
Thank you, sir.
Well, somebody you've probably seen at least, at least a dozen times. But now the supporting actor finally has a strong role. He just made his own movie. Why not? Actor Stephen Tobolowsky joins me. He's here live to talk about his birthday.
And Gerri Willis is here with some home buying tips.
Hey, Ger.
GERRI WILLIS, CNN CORRESPONDENT: Hey, Daryn, good to see you.
If you're buying a house, you know there's a blizzard of paperwork to get through. One thing to pay big attention to, the appraisal. We'll tell you what you need to know when CNN LIVE TODAY continues.
(COMMERCIAL BREAK)
KAGAN: And let's go ahead and check the markets. They've been open about 53 minutes. Well, things not a lot -- not a lot happening on Wall Street. The Dow is negative. It's down well just two points. That's about flat. And the Nasdaq is up just a little bit. It is up five points.
So you say you have found your dream house. Don't forget one critical step in the home-buying process. Gerri Willis has today's "Top Five Tips" on home appraisals.
Good morning. WILLIS: Yes, hi, Daryn. Good to see you.
A lot people don't pay any attention to the appraisal process, and it's critically important, especially now. Here's why. The appraiser tells you what your house is really worth. They establish a value for the bank by going both inside and outside the house, by looking at values in the neighborhood. So their report, it's the law as far as the bank is concerned and in terms of what you should be paying for that loan. And guess what, it could come in below what you have offered on that house.
KAGAN: Right. And you don't want to get upside down in your loan especially.
WILLIS: No, no, no. Yes. Here's what's at risk. There's been testimony in front of Congress in the last couple of weeks about how the arms of appraisers are being twisted by mortgage bankers, brokers, real estate agents to inflate those values, to keep the market, keep it kind of going along red hot in prices moving higher and faster. But guess what, there's a risk if this happens to you. You could end up owing more on a house than it's worth. And if you had to sell in a heartbeat, it might be difficult because your value could be inflated.
KAGAN: Gerri, why should people consider getting a buyer's agent?
WILLIS: You want a reputable real estate agent when you're looking for a house's because they're going to help you pay the right amount for that house. They'll know values in the neighborhood like the back of their hand and they'll know exactly how much you should be paying.
KAGAN: Here's the hard part, when you fall in love with a house, you have to be willing to walk away.
WILLIS: That's right. You know, I call this, compromise your goals. A lot of people, they think they can only live in one neighborhood when they're looking around. But guess what, you may find that prices are just beyond your wallet. So you may have to look at a second, third choice when it comes to the neighborhood you want to buy in.
KAGAN: And how can a good lender make a difference?
WILLIS: Well, you want to make sure you avoid the fly-by-night operator because there are some lenders out there that are not reputable. If you pick a good one, they'll be more likely to cooperate with you in getting a really good and fair, accurate appraisal that will help you find your dream home.
This Saturday on "Open House," Daryn, many buyers are taking on more house than they can afford. Foreclosures could be on the rise. Should you take advantage? We're going to take a look at that.
And I know you're going to like this, Daryn.
KAGAN: What's that?
WILLIS: Our weekend project is a vegetable garden.
KAGAN: You know, there's something fascinating about doing a vegetable garden.
WILLIS: That's right. And we're all about it this weekend.
KAGAN: Have you done?
WILLIS: Not yet. I plan . . .
KAGAN: Not yet. Oh, you're going to plant . . .
WILLIS: I'm taking notes. I have to tell you, I'm so excited about this.
KAGAN: OK. You'll have to tell us next week what you actually plant.
WILLIS: OK.
KAGAN: OK.
Thank you.
WILLIS: 9:30 a.m. Eastern.
KAGAN: Oh, I'll be awake and be there.
WILLIS: Saturday morning.
KAGAN: You got it.
Gerri, thank you.
WILLIS: You're welcome.
KAGAN: More fallout over the Downing Street Memo. Who knew what and who knew it when? We're going to take a closer look at what's being said about that's coming up.
(COMMERCIAL BREAK)
KAGAN: We're coming up on the half hour. Good morning once again. I'm Daryn Kagan. Here's what's happening "Now in the News."
Take a look at these jerky images. They capture the drama of a deadly siege at an Cambodian elementary school. Gunmen had taken hostage more than 50 students and teachers and killed a Canadian boy when their demands were not met. Police rushed the gunmen, killing two and capturing four.
The U.S. Ambassador to Afghanistan called a news conference today saying he doesn't believe that Osama bin Laden or his top lieutenant are in that country. The claim comes a day after a reported Taliban leader publicly said both men are alive and well. U.S. officials have long to believe the men are somewhere in the mountains bordering Afghanistan and Pakistan.
Right now in Philadelphia, Mississippi, the widow of one of the freedom riders murdered four decades ago is face-to-face with the man now charged in the killings. Former Klansman Edgar Ray Killen is now 80 years old.
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