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CNN Live At Daybreak

Jury Deliberations Resume in Former Klansman Murder Trial; Search Continues for Missing Alabama Teen; Detroit Fire

Aired June 21, 2005 - 06:30   ET

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

ANNOUNCER: From the Time Warner center in New York, this is DAYBREAK, with Carol Costello and Chad Myers.
KELLY WALLACE, CNN ANCHOR: Good Tuesday morning, everyone. Thanks so much for waking up with us. I am Kelly Wallace, in today for Carol Costello.

A judge tells the jury to come to an agreement in the case of a former Klan member on trial for three murders. What happens today? We will talk live to our reporter in Mississippi.

But first, the stories "Now in the News."

Detroit firefighters are battling a huge warehouse fire in a historical section of the city. We will bring you the latest on that blaze when I speak to a member of the Detroit Fire Department in just a moment.

A sign of the times. Vietnam's prime minister will meet with President Bush at the White House this morning. The visit marks a decade of normalized relations between the one-time enemy.

Four months after their cease-fire talks in Egypt, Israeli Prime Minister Ariel Sharon is set to meet again with Palestinian leader Mahmoud Abbas; this time in Jerusalem. But today's talks may be overshadowed by a new wave of attacks.

And remember, you can view more CNN reports online. Just visit CNN.com and click on "watch" to check out the most popular video in a range of categories like politics, sports, entertainment and weather.

And speaking of weather, Chad Myers in Atlanta.

(WEATHER REPORT)

WALLACE: Well, as we've been telling you, today is the 41st anniversary of the deaths of the civil rights workers in Mississippi. And on the anniversary, a jury will again try to reach a verdict in the trial of a former member of the KKK, who is accused of organizing those killings.

CNN's Ed Lavandera is in Philadelphia, Mississippi, for the trial, and he joins us now live.

Ed -- thanks so much for joining us. Talk to us a little bit about how long the jury was actually deliberating before they came back and said they were deadlocked 6-6 when it comes to the fate of Killen?

ED LAVANDERA, CNN CORRESPONDENT: Well, they had come back after about almost three hours of deliberating.

And basically, what had happened yesterday was that the judge was trying to figure out whether to keep them here longer yesterday so they could continue deliberating, or would it be better to send them home for the night and have them come back? And the judge asked the forewoman of the jury where they stood, which was kind of bizarre in a weird kind of way. And the woman said that they were all tied up at six not guilty, six guilty.

So, at that point, the judge realized that there was a lot more work to do, sending the jury home for the night. And they'll continue to deliberate today. They'll come back this morning and continue their deliberations.

As you can imagine, there are many more people and the interest in what is going on now has now ratcheted up.

It was interesting throughout the first week of the trial not many people here in Philadelphia were showing up to come listen to testimony in person. But yesterday for closing arguments there was a full line outside the courthouse and a packed courtroom to hear the ending of this trial that is 41 years in the making -- Kelly.

WALLACE: Right. And, Ed, what was the reaction of Edgar Ray Killen, and also the families of the victims, when they learned that the jury was coming back saying deadlocked 6-6 right now?

LAVANDERA: Well, Edgar Ray Killen kind of had almost kind of a confused look on his face. We asked his attorney afterwards how he felt about it, and his attorney said that he was feeling good. And by all appearances, the defense attorneys, after they had come out of the courtroom yesterday, seemed rather upbeat. Prosecutors hope that there are enough people on that jury, of course, that they will continue to argue and eventually rule in their favor.

And the closing arguments yesterday were intense. At one point, the state attorney general here in Mississippi, Jim Hood, was repeatedly calling Edgar Ray Killen a coward for having organized what he ways were the killings of these three civil rights workers and being a leader of the Ku Klux Klan back here during the 1960s.

WALLACE: All right, Ed, we'll be watching your reports throughout the day, also on "AMERICAN MORNING" coming up shortly. Ed Lavandera reporting from Philadelphia, Mississippi, for us. We appreciate it.

And as I mentioned, "AMERICAN MORNING" will have much more on this case. We are checking in with Miles O'Brien for a look at what is coming up about 25 minutes from now.

Miles -- great to see you.

MILES O'BRIEN, CNN ANCHOR: Good to see you, Kelly, bright and early.

We'll be talking with the prosecutor in the Killen trial, as a matter of fact. Is he surprised the jurors were so quick to tell the judge that they were deadlocked? And how does he think it bodes for a case that has divided Philadelphia, Mississippi, for 41 years now to the day?

We'll also look at a document by CIA Director Porter Goss that's causing a stir in Washington. Goss tells "TIME" magazine that he has an excellent idea where Osama bin Laden is. If that's the case, why hasn't the U.S. caught him yet? We'll ask former acting CIA director and CNN national security advisor John McLaughlin about that.

All of that later on "AMERICAN MORNING." We'll see you then -- Kelly.

WALLACE: All right, Miles. Have you adjusted to New York City already?

M. O'BRIEN: No, no.

WALLACE: No.

M. O'BRIEN: I'm not getting enough sleep. And I really haven't got a chance.

WALLACE: All right. It will take a little while.

M. O'BRIEN: Yes, OK, thanks.

WALLACE: Miles, see you soon. Thanks so much.

Turning now to the search for missing Alabama teenager Natalee Holloway. As we've been telling you this morning, a Texas company is sending a search-and-rescue team to Aruba today to help look for Holloway. She, again, is the Alabama teenager who disappeared three weeks ago now.

CNN's Chris Lawrence is in Aruba following all of the latest developments.

Chris, thanks so much for joining us today. What can you tell us about this Texas company that is coming to Aruba to help in the search for Natalee Holloway?

CHRIS LAWRENCE, CNN CORRESPONDENT: Well, the family is certainly hoping that they can help. We've watched the family going through caves, going to different beaches, trying to do whatever they can, looking for anything that maybe investigators may have missed. They're hoping now that this company can come in and not so much take over for police, but just help in any way possible, maybe pick up possibly something that was missed.

I also want to tell you about this fourth suspect who was arrested on Friday. We asked prosecutors about Steve Croes, and they told us he is accused of the same crimes as the other three -- murder one, murder two and kidnapping -- even though investigators are still holding out hope that Natalee is still alive. That's Croes going into court Monday morning.

Croes is a deejay on a local party boat. His boss told us Croes is an able seaman, but he wasn't able to tell us whether that boat was out to sea on the night Natalee disappeared more than three weeks ago.

Also, the investigation seems to be focusing on one family, the Dutch teenager who hit it off with Natalee the night she disappeared, and his father, Paul Van Der Sloot, who is a local judge here on the island. Van Der Sloot was brought in for questioning Saturday and then brought back again on Sunday. But police say he was only questioned as a witness, not a suspect like the other three men.

I should point out those suspects have been accused under Dutch law, but not formally charged.

Natalee was on her senior class trip here in Aruba. She disappeared. Friends say they last saw her leaving a bar that night with the Dutch teenager and his two friends. Have not seen her since. We are now into the fourth week of the search for her -- Kelly.

WALLACE: All right, Chris, we have to leave it there. Chris Lawrence reporting for us from Aruba. And, again, Chris also on "AMERICAN MORNING" in just a few minutes from now.

We want to get more on that block-sized fire in Detroit at the old Studebaker plant. Fire Lieutenant Kwaku Atara joins us with from the scene of that huge blaze.

Lieutenant, thanks so much for joining us.

We want to ask you first, though, about reports that nearly 50 firefighters were recently laid off. Did that affect in any way the firefighting efforts there?

LT. KWAKU ATARA, DETROIT FIRE DEPARTMENT: Good morning, first of all.

I'm not in a position to speak on the political aspects of what's happening with the fire department. But I can comment on what's going on with the fire.

Currently, the fire has been downgraded, and we are in the process of (INAUDIBLE). We anticipate that the situation will be under control shortly.

There is a gas line that has ruptured. We are waiting on BTE to come out to remedy that situation. And we'll continue to extinguish hot spots until the fire is under control.

WALLACE: Lieutenant, we really do appreciate you joining us. Any sense of the cause of this blaze? What started it all?

ATARA: Arson investigators are on the scene. However, until the hot spots have been extinguished and we can bring some stability to some of the structural concerns here at the building, we won't be able to start the investigation. But we have done some interviews, and we'll continue that investigation.

WALLACE: And we have been reporting all morning about the importance of some of these buildings. We understand that firefighters stopped the fire from burning the original Ford model T plant. What can you tell us about that, and also the status of the Studebaker plant as well?

ATARA: Well, the firefighters were able to prevent further disruption by the fire through an interior attack with (INAUDIBLE). That building did sustain some damage. But through their efforts, we were able to prevent any catastrophic concerns for that structure.

CHAD MYERS, CNN METEOROLOGIST: Lieutenant, Chad Myers here up in the weather office. I have a couple of quick questions for you. I used to live in Detroit, so I kind of know the area. But I can't quite picture where this building was. Where exactly is it? And how is traffic going to be affected today?

ATARA: The traffic shouldn't be a major issue. The facility is located on a one-way street. It's just east of the New Center area or the fishery building near the New Center area.

MYERS: OK.

ATARA: We don't anticipate problems with traffic. Our biggest concern is the Villa Sietta (ph) area right now. It's pretty hazardous here for anyone walking or driving on the street. So, we're more concerned about getting a ruptured gas line shut off and the streets cleaned up so that we can get the area back to a somewhat normal operating condition.

WALLACE: All right, Lieutenant Kwaku Atara with the Detroit Fire Department. We really appreciate you joining us here on that unfolding situation in Detroit.

Still to come here on DAYBREAK, could your prescription prices hit a plateau? That story coming up.

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

(COMMERCIAL BREAK)

WALLACE: It's time now for a little "Business Buzz."

Walgreens is being sued for racial discrimination. Current and former employees of the drug store chain say the company steers African-American employees to stores with mostly black or lower-income customers. The plaintiffs represent seven states. Walgreens say it has zero tolerance for discrimination.

And Tokyo is topping the list for most expensive city again. The ranking by a consulting group compares the cost of housing, transportation, food, clothing and entertainment. Osaka and London come in second and third. New York is the most expensive U.S. city, coming in at 13. Well, I'm surprised about that.

Health care costs, though, keep going up, up and up. But drug prices apparently aren't driving the growth.

Carrie Lee joins us with more details.

I'm surprised about that.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Well, you know, part of the reason: Bextra, Vioxx. Two heavy hitters were taken off the market. So that's part of the reason that drug prices haven't been gaining as much as in past years.

The bottom line, health care costs for privately-insured Americans did rise 8.2 percent to the upside last year; this, according to the Center for Studying Health Care Systems. And this is about the same as the year before, but lower than the recent high we saw in 2001.

Now, this is still much faster than the rate of inflation, which stands at about 3 percent. And this is leading to worries that more and more Americans will not be able to afford health insurance.

Now, one bright spot here is that employers are passing on less of the costs to employees. More than half of the cost increase came from the rise in spending on hospital care. But drug spending, as we said, fell for the fifth consecutive year.

Now, speaking of drugs, did you ever go to the pharmacy, and you have to wait on the long line just to pick up your prescription? Well, California and Virginia pharmacy boards have cleared the way for drugstores to test products like the Script Center. This is basically an ATM machine for prescription drugs. You call the pharmacy in advance. The pharmacist loads your prescription into the machine. Then you go into the store, put your credit card in, and out comes your drugs. The machine scans the package's bar code to prevent it from giving you the wrong drugs.

And I think it sounds like a great idea. You know, you're standing in line. It can take a long time. Why not make it more efficient?

WALLACE: Obviously, security would be a big concern, making sure I don't get Carrie Lee's prescription.

LEE: Exactly, exactly. And that's why they have the bar codes there. And if it's in a store, maybe they'll have a pharmacist on the side as well. So, if you do need to ask a question or something, there's that extra level, yes.

WALLACE: How are the markets looking today?

LEE: Yes. Futures are actually looking a little bit mixed right now. I'd say flat to slightly mixed. We did see a bit of selling yesterday as oil prices came to that $60 mark. So, that's been the big concern on Wall Street over the past couple of days. WALLACE: Carrie Lee, great to see you. Thanks so much.

LEE: You, too, Kelly.

WALLACE: Well, some patients talking about high prices of drugs are going to Canada to get their prescriptions filled. Nevada, though, is becoming just the ninth state, in addition to the District of Columbia, to legalize the sale of prescription drugs from Canada. Nevada's governor signed a bill on Friday that will establish a Web site with a list of Canadian pharmacies approved to do business with customers in their state.

Well, coming up next here on DAYBREAK, let's go sailing in the solar system. We will tell you what powers this device that's set to launch later today.

But first, a look at who is celebrating birthdays on this Tuesday, June 21.

(COMMERCIAL BREAK)

WALLACE: Welcome back to DAYBREAK.

The search for a missing boy in the mountains of Utah will resume shortly. For more, let's go to CNN's Soledad O'Brien for what she'll be covering on "AMERICAN MORNING."

Good morning -- Soledad.

SOLEDAD O'BRIEN, CNN ANCHOR: Hey, Kelly, good morning to you.

This has got to be one of the most heartbreaking stories. We're going to be live from Utah this morning with the very latest on that missing Cub Scout, 11-year-old Brennan Hawkins. He's been missing now for four days. Searchers today are back in the rugged wilderness. They're looking for any clues in his disappearance. Police say at this point they don't suspect foul play. They are, though, conducting background checks on all adults who were on the camping trip with Brennan. Brennan's sister and uncle are going to join us live this morning.

Also, Kelly, a closer look at the mystery of Kryptos (ph), made famous, rather, by "The Da Vinci Code." It's on the sculpture at the CIA. There are several secret messages. Well, 15 years after Kryptos (ph) was created, just one section remains to be decoded. Well, this morning, we're going to talk about why so many folks are obsessed with cracking the code. We'll also meet the artist who created the mysterious sculpture.

Those stories are ahead this morning on "AMERICAN MORNING." We'll see you at the top of the hour -- Kelly.

WALLACE: All right, Soledad. And your new partner is getting comfortable there, right?

S. O'BRIEN: Yes, he's right here. I just hit him. He's doing fine. He bounced back.

M. O'BRIEN: Is that what comfortable is?

S. O'BRIEN: That was a love tap.

M. O'BRIEN: Slapped by the co-anchor?

S. O'BRIEN: No, that was a love tap.

M. O'BRIEN: That's (INAUDIBLE) welcome.

S. O'BRIEN: A love pat.

WALLACE: All right, all right, all right. See you guys in just a few minutes.

S. O'BRIEN: All right, Kelly, we'll see you at the top of the hour.

WALLACE: Thanks so much.

And here is what else what will be making news today on this Tuesday.

A father and son will be arraigned today as part of a terror investigation in Lodi, California. The men were indicted for lying to federal agents.

Also, the NBA and its players' union will be back at the bargaining table. One of the sticking points for a new labor deal is a proposed age limit. Management wants to set a minimum age of 19 for players to enter the draft.

And a little bit of science fiction could become fact today. A spacecraft fitted with a giant solar sail could make its way into orbit today. It will be launched from a Russian submarine in the Bering Sea.

Chad, my favorite time of the morning.

MYERS: Always.

WALLACE: Take it away.

MYERS: Always time to give away a coffee mug. Here we go. The questions from yesterday and the winner.

Lightening. We had all of that how this is lightening safety awareness week. It heats the air to what temperature Fahrenheit? Believe it or not, 50,000 degrees. That's what makes the thunder, and actually that's warmer than the sun.

And if you think you've been the victim of identity theft, how long -- after I just covered that up, there you go -- does a fraud alert last? And the official answer is 90 days, although I've had a fraud alert on my system there for now over two years, and I only put it on one time. So, I guess they're forgetting to take it off.

The winner, the winner, from Naples, Florida, Steve Scrivani. Steve, congratulations. A mug is in the mail to you.

Now the question for today. How many people watched PBS in an average week during 2004? And this is an easy one. What is the world's most expensive city to live in?

Go to CNN.com/daybreak. And there's a link to click on it right there. Submit your answers. We'll give you the winner tomorrow -- Kelly.

WALLACE: All right, Chad, we'll be right back on DAYBREAK. This is DAYBREAK for a Tuesday morning.

(COMMERCIAL BREAK)

WALLACE: Chad has an update now.

(WEATHER REPORT)

WALLACE: Here now are some of the stories "Now in the News."

A block-sized fire in Detroit today. It began about seven hours ago and is still burning. The building formerly housed a plant where the Studebaker auto was built. Firefighters stopped it from burning the original Ford Model T plant.

A car bombing in Beirut killed a former communist party official this morning. He was known as a harsh anti-Syrian politician. The blast coming a day after an opposition leader's anti-Syrian camp declared victory in Lebanon's parliamentary election.

The search for a missing Cub Scout in Utah resumes later this morning. Six hundred volunteers helped hunt for the 11-year-old boys in mountains near Salt Lake City yesterday. That is down from around 3,000 volunteer searchers over the weekend.

And four months after their cease-fire talks in Egypt, Israeli Prime Minister Ariel Sharon is set to meet again with Palestinian leader Mahmoud Abbas; this time in Jerusalem. But today's talks may be overshadowed by a new wave of attacks.

And one final story. A Texas company is sending a search-and- rescue team to Aruba today to help look for missing Alabama teenager Natalee Holloway. They will use dogs and sonar equipment in the search. The 18-year-old vanished three weeks ago while on a senior class trip.

From the Time Warner center in New York, I'm Kelly Wallace, in today for Carol Costello. Carol is back tomorrow. "AMERICAN MORNING" starts right now.

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