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American Morning

American Hostage; Gambling Ring

Aired February 10, 2006 - 06:31   ET

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

MILES O'BRIEN, CNN ANCHOR: Michael Brown ready to spill the beans. He's on Capitol Hill today to talk about FEMA's role in the aftermath of Katrina. We'll tell you why the White House is worried.
And another video from that kidnapped American journalist in Iraq. Jill Carroll say time is short. We'll analyze the tense, terse message.

And is it Gretzky or Betzky (ph)? Either way, the great one faces more questions about gambling. The scandal around him might tarnish his sterling image.

ANNOUNCER: You're watching AMERICAN MORNING with Soledad O'Brien and Miles O'Brien.

ZAIN VERJEE, CNN ANCHOR: Good morning. I'm Zain Verjee in for Soledad. And you are?

M. O'BRIEN: I would be Miles O'Brien. That was Columbus Circle before the storm. We hear a blizzard is on the way. That will be interesting.

VERJEE: We're very miserable about that. You know, in Atlanta, Georgia, I just have a thin, little jacket and no winter one.

M. O'BRIEN: It's all you need.

VERJEE: So I'm going to be doing a little...

M. O'BRIEN: One snowfall a year and it melts in an instant.

VERJEE: ... shopping.

M. O'BRIEN: Carol Costello, good morning to you. What's going on in the world?

CAROL COSTELLO, CNN ANCHOR: Good morning. Well, let me tell you. Good morning to all of you.

We begin in England, where Neil Entwistle has agreed to return to the United States. Pretty surprising. He's the British man accused of killing his wife and baby daughter in Massachusetts. We first brought you word of his arrest on Thursday. Entwistle was fighting extradition to the United States, but he has now agreed to return. There are also new details that the killings may have been a failed murder-suicide plot, and that Entwistle was struggling with massive amounts of debt. Paula Newton and Paula Hancocks are live in Britain to bring us anymore breaking details from England this morning.

Potentially revealing testimony on the government's slow response to Hurricane Katrina. Former FEMA director Michael Brown is set to testify before a Senate committee in the next three hours. His testimony is on the heels of a revealing report from Senate Democrats that officials gave early indications about problems with levees, really early indications. Brown himself came under fire for his agency's response to the disaster. But today he could be pointing the finger at some White House officials. We will bring you that hearing at 9:30 Eastern this morning.

In a CNN security watch this morning, officials in Southeast Asia are adding new details to President Bush's outline of a foiled plot to attack Los Angeles. The president telling of an al Qaeda plan to fly a hijacked airliner into L.A.'s 72-story Library Tower. Now, Malaysian officials say they've been holding a man since 2002, who they believe was recruited to pilot the plane. In the meantime in Los Angeles, the president's announcement is ruffling some feathers. The mayor there says he was blindsided.

(BEGIN VIDEO CLIP)

MAYOR ANTONIO VILLARAIGOSA, LOS ANGELES: Nowhere near the level of detail that was shared with the public today was shared with us, and there was no direct call to my office. I'm not expecting that the president of the United States would call me directly, but certainly somebody from his office would call us directly.

(END VIDEO CLIP)

COSTELLO: Nonetheless, the White House and state officials both say the mayor did get a heads-up on Wednesday. The mayor appeared on "THE SITUATION ROOM" seen weeknights at 7:00 Eastern Time. And stay with CNN day and night for the most reliable news about your security.

A bit of a shaky start before the Winter Games in Torino, Italy, officially gets started. Two American skiers are among eight athletes being barred from competing. They'll have to sit out for five days for high hemoglobin levels. The tests were carried out by the International Ski Federation. We'll keep tracking this story for you. And, of course, we will bring you the latest.

Back to you -- Zain.

VERJEE: Thanks, Carol.

She says she's fine but that her kidnappers' demands must be met. American hostage Jill Carroll has surfaced again on TV in a new videotape that was released on Thursday by her captors. It comes more than a month after the journalist was kidnapped.

AMERICAN MORNING's Dan Lothian has more.

(BEGIN VIDEOTAPE)

DAN LOTHIAN, CNN CORRESPONDENT (voice over): Appearing stronger than she did in the last two videotapes, kidnapped journalist Jill Carroll issued a plea that her captors' demands be met soon.

JILL CARROLL, KIDNAPPED JOURNALIST: I'm here. I'm fine. Please just do whatever they want. Give them whatever they want as quickly as possible. There is very short time. Please do it fast. That's all.

LOTHIAN: Carroll's kidnappers have been calling on the U.S. to release all Iraqi female prisoners or she would be killed. A 72-hour deadline expired three weeks ago. Now comes a much stronger, direct appeal.

CARROLL: I sent you a letter written by my hand that you wanted more evidence, so we're sending you this new letter now just to prove that I am with the mujahedeen.

LOTHIAN (on camera): Carroll was snatched off the dangerous streets of Baghdad while on assignment for the Boston-based "Christian Science Monitor." Her translator was killed. The driver escaped.

(voice over): The "Monitor" says: "It is always difficult to see someone speaking under coercion and under these circumstances. We are seeking more information about the letter that Jill refers to in the video."

This drawn-out crisis is agony for family and friends.

William Martel, an international security expert from the Fletcher School at Tufts University, says, terrorist organizations not only fight for a cause, but feed on attention.

PROF. WILLIAM MARTEL, TUFTS UNIVERSITY: The longer they can draw out this story, the more media attention they can gain.

LOTHIAN: Carroll's supporters are trying to get attention, too. It's a growing global effort. In Rome, this large banner hangs from City Hall. Officials say it will stay there until she's set free.

In Paris this week, the group Reporters Without Borders staged a show of solidarity. French actress Juliette Binoche, known for her roles in "Chocolat" and "The English Patient," says Carroll should not be abandoned.

JULIETTE BINOCHE, FRENCH ACTRESS: (INAUDIBLE) here, it's a way to sustain the possibility of freedom.

LOTHIAN: The "Monitor's" chief European correspondent, who took part in the Paris event, says public appeals tend to catch the attention of kidnappers.

PETER FORD, "CHRISTIAN SCIENCE MONITOR": I would say to her, hold on, Jill that we will get you out, that you will soon be free.

LOTHIAN: As readers show their support on the "Monitor's" Web site, the message here remains the same: Every option is being exploited to secure their freelance reporter's safe return.

Dan Lothian, CNN, Boston.

(END VIDEOTAPE)

VERJEE: Thursday's tape was the third one that's been released since Carroll's kidnapping. The second one featured the logo of a group known as the Brigades of Vengeance. That group has claimed responsibility for the kidnapping -- Miles.

M. O'BRIEN: Time for a check of the forecast. Chad Myers at the CNN center.

(WEATHER REPORT)

M. O'BRIEN: Coming up, the latest on Operation Slapshot. Wayne Gretzky is not implicated in that NHL betting scandal, but he sure is surrounded by it. Was he trying to protect his wife from being ensnared in the probe?

VERJEE: Also, Senator Cindy Sheehan? We'll tell you what she had to say about getting into politics, ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

WAYNE GRETZKY, HEAD COACH, PHOENIX COYOTES: I didn't bet. It didn't happen. It's not going to happen. It hasn't happened. It's not something that I've done.

(END VIDEO CLIP)

M. O'BRIEN: That's the great one last night. Take a look at the headline in the "New York Post" today: "Betzky, the Great One." Betzky. He's not going to like that one, is he? "Wayne tried to cover wife in gamble probe."

Andrew Marchand is with the "New York Post." He covers sports and media for the paper. He joins us now.

Let's be clear about this. Gretzky is not implicated. His wife is. His assistant coach is. It's all around him. Bring us up to date on what we know about this apparent conversation that went on between him and the assistant coach, Tocchet, who is the alleged mastermind.

ANDREW MARCHAND, "NEW YORK POST": Yes, he was trying to figure out, apparently, how to -- you know, how to avoid having his wife be implicated in this probe.

The thing for Wayne Gretzky and why the headlines there and why you're talking about it on CNN and it's on the front cover of the "New York Post" is because of Wayne Gretzky. He's the Babe Ruth of hockey. And so he is not -- like you said, he's not the central figure of this probe, but in public relations it's about Gretzky now.

And unfortunately for him, it's really -- it's hard for it to get better. It can only get worse. Maybe it could stay where it is now, but it's not going to get better.

M. O'BRIEN: Yes. I don't see an easy way out for him without some sort of tarnish, given how close all of the main players to him in all of this. Let's turn the way-back (ph) machine just back to Tuesday. This is the great one then.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: We've heard that your wife may also be involved in this.

GRETZKY: I don't know. I mean, that -- you'd have to ask her that.

(END VIDEO CLIP)

M. O'BRIEN: A little nervous laughter there maybe, Andrew? What do you think?

MARCHAND: Yes. You know, Wayne Gretzky has a lot of credibility. You know, he's been untarnished his whole career. That hurts his credibility a little bit, because, you know, obviously it seems as if, if the reports are true about the leaks and that he knew about the -- you know, that Janet Jones was betting and his assistant coach was, you know, a big financier of this gambling ring, it's hard to fathom that he didn't know about it.

So, but, you know, it's OK to lie to you or me or to the media. You can't lie, you know, during an investigation. So, you know, people lie to me all the time and I'm sure, perhaps, even you.

M. O'BRIEN: This has happened, yes. But when you have a wife who is betting in, you know, deep into the six figures, I mean, that's the kind of thing, unless you're not talking to her very much, you would know about it, you would think, right? I mean...

MARCHAND: Yes, he...

M. O'BRIEN: ... it's hard to cover your tracks.

MARCHAND: It's hard to, you know...

M. O'BRIEN: Yes.

MARCHAND: The only thing, in his defense, though, what do you do in that situation? He's not betting. It's his wife who is betting. Now, can you...

M. O'BRIEN: You'd tell her to stop, right? You'd say, you know, this is not good for the great one.

MARCHAND: Are you married?

M. O'BRIEN: Yes, I am.

MARCHAND: Does your wife always listen to you? M. O'BRIEN: Yes, but there you go. Let's -- we'd better get -- yes, I know how that goes. She says, you be quiet now.

Let's read a Janet Jones' statement quickly, so we get that in. She says this: "At no time did I ever place a wager on my husband's behalf, period. Other than the occasional horserace, my husband does not bet on any sports."

A very narrow response to this probe. In other words, she's trying to protect him. He's trying to protect her at this point.

MARCHAND: Yes, a very difficult situation. I mean, getting away from the legal issues -- and I really can't tell you, I can only speak on the sports and the media part of it. Getting away from the legal issues, to me when you're in this type of situation, the smartest thing to do is say all the truths that you have. And hopefully there are more truths that, you know, more good things than bad things.

You put them all on the table. If you're Wayne Gretzky, you say, you know what? I knew about this. If this is the case, I knew it was going on. But I had nothing to do with it.

And I think the public is going to be forgiving, especially of someone who has built up so much credibility like Wayne Gretzky.

M. O'BRIEN: Yes, but what you're talking about here is a good PR campaign, not necessarily a good legal campaign. And usually they're at odds. The lawyers will tell you to be quiet. The PR people will tell you to do just what you said.

MARCHAND: You're right. And so that's where Wayne Gretzky has tried in some respects. And he's almost guilty until proven innocent in this case, because people associate, you know, maybe Janet Jones, his wife Janet Jones Gretzky was betting for him. You know, that was an implication people thought of. They have denied that.

So he's in a difficult situation. There's really -- it's a no- win situation.

M. O'BRIEN: All right. The great one has a lot of tricks up his sleeve. This will be a tricky one. Andrew Marchand with the "New York Post." Thanks for dropping by.

MARCHAND: Thanks for having me.

M. O'BRIEN: Zain.

VERJEE: Miles, we want to update you on a story that's developing out of England. Neil Entwistle's lawyer has indicated that Entwistle will be extradited to the United States within a week. Entwistle has been charged with killing his wife and his daughter in Massachusetts.

Now, this move, what we're learning about this extradition really is an about-face, because Neil Entwistle had told a judge on Thursday that he was not going to pursue this avenue. But it represents a bit of a turnaround. And in court, Entwistle himself turned to his own father and said, "Dad, I'm OK."

Once again, Entwistle will be extradited to the U.S. within a week.

More AMERICAN MORNING after the break. Stay with us.

(COMMERCIAL BREAK)

VERJEE: Andy is "Minding Your Business" in just a moment. But first, we want to check the headlines with our favorite, Carol Costello.

M. O'BRIEN: Carol Costello.

COSTELLO: Favorite! I'm loving that. Good morning, everyone.

Some developing news to tell you about this morning. That British man suspected of killing his wife and infant child in Massachusetts will return to face charges in the United States possibly as early as next week. Neil Entwistle faced a British judge just in the past half-hour. Entwistle was expected to fight the extradition. It's not clear what caused him to change his mind.

Hope for friends and family of kidnapped journalist Jill Carroll. Kuwaiti television aired new video of Carroll nearly a month after she was abducted in Baghdad. Carroll says she's fine but urges her supporters to do whatever it takes as quickly as possible. A letter was sent along with the tape. No word on what the letter says.

Antiwar activist Cindy Sheehan is not quitting her day job. Sheehan says she has decided not to challenge Senator Diane Feinstein for the U.S. Senate, but will remain a thorn in her side and in the side of any politician supporting the war.

(BEGIN VIDEO CLIP)

CINDY SHEEHAN, ANTIWAR PROTESTER: I have decided not to run. But I am calling on all Californians and Americans to support all antiwar candidates, to promote a paradigm of peace in the world. And I will be supporting and working for dozens of antiwar candidates all over the country.

(END VIDEO CLIP)

COSTELLO: Sheehan is apparently planning another protest. She'll reportedly pitch her tent outside of President Bush's ranch in April.

Los Angeles Mayor Antonio Villaraigosa says he should have been told sooner about a foiled terror attack against his city. President Bush released details of the planned attack on Thursday during his global address on terror. The apparent target was the U.S. Library Tower in downtown Los Angeles.

(BEGIN VIDEO CLIP) GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: We now know that in October, 2001, Khalid Shaikh Mohammed, the mastermind of the September the 11th attacks, had already set in motion a plan to have terrorist operatives hijack an airplane using shoe bombs to breach the cockpit door and fly the plane into the tallest building on the West Coast.

(END VIDEO CLIP)

COSTELLO: Despite the president's comments, officials stressed they have no details about any imminent terror threat in Los Angeles.

And the White House is keeping mum on new reports about leaks in the CIA probe. Court documents indicate Lewis Scooter Libby told a grand jury he got the OK from his superiors to give secret information to reporters. Libby, as you know, is Vice President Dick Cheney's former chief of staff.

That's a look at the headlines this morning. Back to you -- Miles.

M. O'BRIEN: Thank you very much, Carol Costello.

Here's a little way to get your attention, because that's our goal is to get people's attention and keep it.

ANDY SERWER, "FORTUNE" MAGAZINE: Yes. Don't touch that dial.

M. O'BRIEN: Watching CNN will save you money.

SERWER: Right.

M. O'BRIEN: Watching Andy Serwer will make you wealthy.

SERWER: OK, I like that.

M. O'BRIEN: Did I overstate that? Did I overstate that?

SERWER: No. I'll take it. I'll take it.

VERJEE: Or drive you insane.

SERWER: Yes. I'm going to just start.

M. O'BRIEN: Please do.

SERWER: This is an "oops" by the Federal Communications Commission. You may remember this has to do with ala carte cable -- excuse me -- where you could choose which cable channels you could watch. And the FCC said this is a fine idea, except it's going to cost consumers more money. This is in a study they released in 2004.

Oops! Now they say that it would actually cost consumers less money to choose your own cable channels. Wow! What a surprise.

They said because the average consumer would be watching 17 channels, and now they say the average consumer would be watching 20 channels and could still pay less money.

So some good news there.

M. O'BRIEN: I'm confused. So basically they're saying people watch so many channels that the ala carte costs would be more than their cable bill is currently. Is that what you're saying?

SERWER: Well, they're saying that if you watch 20...

M. O'BRIEN: Yes.

SERWER: ... you would still be saving money.

M. O'BRIEN: OK.

SERWER: OK?

M. O'BRIEN: I understand.

SERWER: Instead of 17, where you would be...

M. O'BRIEN: Twenty is the threshold.

SERWER: Right, 20 is the threshold.

M. O'BRIEN: Of course, most people watch about four or five, right? Isn't that...

SERWER: CNN and whatever your kids watch.

M. O'BRIEN: Yes, right. That's right.

SERWER: Isn't that what you watch?

M. O'BRIEN: Cartoons and CNN.

SERWER: Right.

VERJEE: (INAUDIBLE) most of all.

SERWER: OK. Or desperate something. John McCain is a big supporter of this, by the way.

I want to move on this next story, because it is the strangest sports trade of all time. And I'm not exaggerating here. Sports broadcasting legend Al Michaels straight up for Oswald, the lucky rabbit. There is Oswald, the lucky rabbit.

This is -- let me explain here, because I need to do this. You may recall that "Monday Night Football" is on ABC, but it's moving from regular ABC to ESPN. The broadcasters of that football game, John Maddon and Al Michaels, are moving from ABC to NBC. First Maddon moved. Then Michaels was trying to decide what to do. Now, it turns out, he is going to NBC.

Why did ABC -- excuse me again -- decide to let him go? What's in it for them? Well, it turns out that NBC had the rights to Oswald the lucky rabbit that ABC coveted.

Now, why would ABC covet Oswald the lucky rabbit, you ask? Because this is a cartoon character that Walt Disney himself created in the 1920s. The Disney Company always wanted this back. They always wanted to get this cartoon character back. Now, they finally have it back.

They're also getting some rights to the Ryder Cup and some Olympic highlights as well. But the thing here is Oswald the lucky rabbit for Al Michaels straight up.

M. O'BRIEN: Wow!

SERWER: Amazing.

M. O'BRIEN: A rabbit out of the hat.

SERWER: What would they trade for you, clutch cargo, right? I mean...

M. O'BRIEN: Hodgy (ph)...

SERWER: Spider-Man?

M. O'BRIEN: Hodgy (ph) for me.

SERWER: OK. Isn't that something?

VERJEE: Thanks, guys.

M. O'BRIEN: All right, thanks.

SERWER: You're welcome.

VERJEE: Thanks.

In a moment, the day's top stories. Now, terrorism isn't the only security concern for Olympic officials. We're going to tell you why they're worried about anarchists. Back in a moment.

(COMMERCIAL BREAK)

(WEATHER REPORT)

CHAD MYERS, CNN METEOROLOGIST: More on that coming up in the next half-hour. It starts right now.

M. O'BRIEN: Good morning to you. I'm Miles O'Brien.

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