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Middle East Conflict; Warren Buffett Pledges 85 Percent of Wealth to Charity; Withdrawing Troops From Iraq

Aired June 26, 2006 - 12:00   ET

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


(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: If they have released -- to bring the release and the wellbeing of this soldier and returning to Israel at once.

(END VIDEO CLIP)

JIM CLANCY, CNN INTERNATIONAL ANCHOR: A lot of attention, a lot focused on one man, a man in the hands of Palestinian militants. There's a lot at stake as well for Israelis and Palestinians.

HALA GORANI, CNN INTERNATIONAL ANCHOR: Iraq's plan for reconciliation, it's drawing mixed reactions. Some question how far the forgiveness should go.

CLANCY: And, well, yes, he has a heck of a lot of money, and now he says he's going to give a heck of a lot of that money away. One of the richest men in the world becomes one of the most generous.

Right now it's 7:00 p.m. in Gaza, 8:00 in the evening in Baghdad, Iraq.

I'm Jim Clancy.

GORANI: I'm Hala Gorani.

Welcome to our viewers throughout the world and the United States.

This is YOUR WORLD TODAY.

CLANCY: Israel demanding its kidnapped soldier be released and be released right now. Palestinian militants making demands of their own, though.

GORANI: We begin with the latest involving a soldier who was captured during the first militant raid into Gaza since Israel's pullout last year.

CLANCY: Now, militants say that they're going to provide information about the soldier if Israel releases all women and children held in Israeli jails. Earlier, a spokesman for Hamas said the soldier is alive and being well-treated.

GORANI: Israeli tanks and troops are massed along the Gaza border, ready for what Prime Minister Ehud Olmert warns could be a major offensive if the soldier isn't freed.

CLANCY: Palestinian Authority President Mahmoud Abbas, meantime, in talks involved on several fronts. He's pressing for the release of the soldier.

GORANI: We're going to go live to Gaza in a moment, but first we want to explain what exactly happened along the dusty Israeli-Gaza border before dawn Sunday.

Paula Hancocks has details of the attack and Israel's response

(BEGIN VIDEOTAPE)

PAULA HANCOCKS, CNN CORRESPONDENT (voice over): Hundreds of Israeli troops backed by tanks and armored vehicles are waiting on the Gaza-Israeli border, waiting for the prime minister's orders. The prime minister, who insists there will be a large military operation in Gaza if a kidnapped Israeli soldier is not released.

EHUD OLMERT, ISRAELI PRIME MINISTER (through translator): Let it be clear, we will reach everyone, no matter where they are, and they know it. There will not be immunity for anyone.

HANCOCKS: The soldier was taken during a Palestinian militant attack on an Israeli military post early Sunday. Militants entered Israel for an 800-meter tunnel they dug under the border. The Israeli army blew that up Monday.

Two other Israeli soldiers were killed during the attack. The father of Gilad Shalit (ph), the missing soldier, has appealed for his release on an Arabic Web site.

NOAM SHALIT, FATHER OF KIDNAPPED SOLDIER (through translator): He should be strong. He should try and survive through these difficult moments. I can't judge him in his condition, but he should try to survive. That is all that is possible now.

HANCOCKS: The military wing of Hamas, the governing Palestinian party, was involved in the attack and is warning of more to come. But the political wing of Hamas is calling for the soldier not to be harmed, to head off military repercussions from Israel.

GAZHI HAMAD, HAMAS GOVERNMENT SPOKESMAN: And we are interested to put in for this point and this problem in order to avoid any military escalation from the Israeli people. We heard from the front parts that the soldier kidnapped is well and he was treated very well with these people of this faction.

HANCOCKS: Israel blames the Hamas government for the kidnapping.

ISAAC HERZOG, ISRAELI SECURITY CABINET MEMBER: It is clear that the government headed by Hamas leader Ismail Haniyeh knows exactly where the soldier is hidden.

HANCOCKS: Thousands of Israelis were at the Western Wall Sunday night praying for the safe return of the soldier. Meanwhile, in Gaza, families of Palestinians jailed in Israel demonstrated to demand the Israeli soldier should be traded for the release of their relatives.

(END VIDEOTAPE)

HANCOCKS: Israeli officials have made it very clear that no matter who is holding this Israeli soldier, the Israeli government itself holds President Mahmoud Abbas and the Hamas-led government responsible not only for the attack in the death of two soldiers, but also for the safekeeping and the safe return of this soldier -- Hala.

GORANI: Paula Hancocks, a quick question. Ehud Olmert and Mahmoud Abbas said they wanted to meet. Will that meeting still take place despite this kidnapping?

HANCOCKS: Well, before Sunday, that looked like it was going to happen. Plans were being started and made so that they could have an official summit and try and get back on track with the peace process. At the moment, that isn't even being discussed. The only discussions ongoing at the moment is trying to find out where exactly this soldier and, of course, Abbas himself is undergoing negotiations with militants, along with Egyptian media, just to find out where he is.

So talks between Abbas and Olmert are very much on the back burner at the moment -- Hala.

GORANI: Paula Hancocks, live in Jerusalem -- Jim.

CLANCY: Now our John Vause is in Gaza following all of these developments.

John, as we look at the situation now, what signs do you see that the Israeli troops may be massing outside Gaza? How much time do the Palestinians and the Israelis have?

JOHN VAUSE, CNN CORRESPONDENT: Well, that really is an unknown quantity at this stage, Jim, especially in light of the word that we've just received from the three Palestinian militant groups believed to be holding 19-year-old Gilad Shalit (ph).

Now, according to these three group, the military wing of Hamas, the Army of Islam, and the Popular Resistance Committee, a document was circulated, a leaflet here on the streets of Gaza, a very carefully-worded document. This is it here, and what they point out in this document is they refer to 19-year-old Gilad Shalit (ph) as a missing soldier.

They don't say he's currently being held as a hostage, only that he's missing, and that Israel will receive no information until they release all Palestinian women and children being held in Israeli jails. The issue of Palestinian prisoners is one which is uppermost on the minds of many Palestinians.

Nine thousand Palestinians currently being held by the Israelis. Today there were demonstrations. A short time ago, another one here in Gaza City.

At that demonstration, a spokesman for Fatah, the political party of Mahmoud Abbas, the Palestinian Authority president, demanding the release of some high-profile Fatah members currently being held in Israeli jails. We've heard from the Israeli government there will be no direct negotiations.

But the key to all this, the timing in all of this, how long this will drag on, could well be in the hands of the international mediators who are here working behind the scenes, talking to the Palestinians, trying to secure the release of this soldier. That delegation is being led by a team from Egypt -- Jim.

CLANCY: It would seem, too, though, that the Israelis are under a lot of pressure. The prime minister is under a lot of pressure that if there's no progress in those kinds of negotiations, military action could be taken.

VAUSE: Well, military action is definitely on the table. We've seen the pictures, we've seen -- we've seen it ourselves. Coming into Gaza today, we've seen the troops massing on the border, preparing for that major ground operation.

But the reality is, the last things that the Israelis really want would be some kind of military operation here in Gaza. But it appears that regardless of what happens, even if the soldier is released, the Israelis have promised some punishment for those who have been involved in this kidnapping.

So, there will be some kind of military escalation in the wake of this kidnapping. Of course. this if this goes badly and the soldier is not released unharmed, then that will determine the scope of the military operation in the coming days. But it appears from the Israeli side that they are trying to avoid, at least for the time being, entering into Gaza into what could be a very bloody conflict if it gets to that stage -- Jim.

CLANCY: John Vause, reporting live from Gaza -- Hala.

GORANI: All right. We're going to switch gears into something a bit lighter. You know when you know you're rich? You know you're rich when you can give away almost $40 billion and still be a billionaire.

The world's second richest man, Warren Buffett, is giving most of his money to a charity founded by the world's richest man, Bill Gates. Some call it the merger two of great minds for charity.

Allan Chernoff joins us now live from New York with details of this -- on this giveaway -- Allan.

ALLAN CHERNOFF, CNN SR. CORRESPONDENT: Hala, just imagine how the Buffett children are feeling right now. Perhaps they should have mowed the lawn when dad told them to.

Actually, they that their father would be giving away the vast majority of his wealth. What they didn't know is that he would be giving it to Bill Gates, or at least a foundation that Mr. Gates and his wife are running. Essentially, what Warren Buffett is saying here is that Bill Gates can do a better job of giving away his fortune than he could.

(BEGIN VIDEOTAPE)

CHERNOFF (voice over): Mega billionaire Warren Buffett says he'll give away much of the fortune he spent a lifetime accumulating. In an exclusive interview with "Fortune" magazine, the 75-year-old Buffett says he will gradually give away 85 percent of his wealth to five charitable foundations.

Buffett is worth nearly $44 billion. His gifts in stock would be worth $37 billion at today's value.

The lion's share of that will go to the world's largest philanthropic organization run by Buffett's close friends, Bill and Melinda Gates. The Gates Foundation focuses mainly on world health issues like AIDS and malaria, and improving education in the U.S.

In a statement Sunday, Bill and Melinda Gates said, "We are awed by our friend Warren Buffett's decision to use his fortune to address the world's most challenging inequities. We have a tremendous opportunity to make a positive difference in people's lives."

BILL GATES, MICROSOFT CHAIRMAN: The change we're announcing today is not a retirement. It's a reordering of my priorities.

CHERNOFF: Buffett's pledge comes on the heels of Gates' announcement two weeks ago that he will give up running Microsoft day to day to concentrate on his charitable efforts.

ANDREW KILPATRICK, BUFFETT BIOGRAPHER: And what this is, really, is a merger of Buffett and Gates. It's not a business deal, but it's two great minds joining together for charity. He says he's really not giving it to Bill Gates, he's giving it through Bill Gates to give to the causes that foundation deems -- deems the best.

CHERNOFF: Warren Buffett built his fortune as chairman and guiding genius of the Berkshire Hathaway investment company based in Omaha, Nebraska. For years Buffett said his fortune would go to good causes after his death, but when his wife Susan died two years ago, he started to rethink his charitable timetable.

Buffett's children who control the foundation is getting the rest of the stock. Twenty years ago he famously remarked about the dangers of leaving too much to the kids, saying, "A very rich person should leave his kids enough money to do anything but not so much they will do nothing."

(END VIDEOTAPE)

CHERNOFF: And they certainly won't be doing nothing. They'll be running their own foundations, and those foundations are devoted to causes such as environmentalism and also education for needy children -- Hala.

GORANI: All right. Allan Chernoff, live in New York. And we'll speak to a journalist from "The Economist" a bit later in the program who has written extensively about Warren Buffett with more and ask him who really will benefit from this giveaway.

CLANCY: You know what I want to know, Hala?

GORANI: What do you want to know, Jim?

CLANCY: What would you do? I mean, if you had all that money, what would you do with it?

GORANI: Well, $44 billion, I don't know. There's so many permutations possible.

And that's what we're asking you. What would you do if you had Warren Buffett's fortune?

CLANCY: Well, we would like to get your thoughts. E-mail us at YWT@CNN.com -- YWT@CNN.com. We're going to be reading some of the responses right here on the air.

Right, Hala?

GORANI: Right.

All right. We're going to take a short break here on YOUR WORLD TODAY.

When we return...

CLANCY: Do upcoming U.S. elections have anything to do with it?

GORANI: Well, it depends who you talk to. Up next, the talk about withdrawing U.S. troops from Iraq. We'll explore how firm the plans are and what's behind them.

Stay with us.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: I think they should first try out every diplomatic solution possible, whether it's from within Israelis and Israeli sources or with other -- with other allies abroad.

UNIDENTIFIED MALE (through translator): We kidnap soldiers not residents. They kidnap innocent residents. They kill children. We don't kill children like they do.

(END VIDEO CLIP)

CLANCY: Well, just some of the conflicting emotions form the Middle East regarding the kidnapping of an Israeli soldier by Palestinian militants.

Let's get some perspective now on what's happening between the Israelis and the Palestinians -- and among the Palestinians.

Robert Malley of the International Crisis Group joins us now from Jerusalem. The International Crisis Group, of course, a think tank that delves deeply into the politics and the background of all of this.

Robert, just when people say, well, it couldn't get any worse, suddenly it does.

ROBERT MALLEY, INTERNATIONAL CRISIS GROUP: Absolutely. And a very complicated situation has just gotten much more so. And you have really the interplay of two clashes taking place right now.

There's an inter-Palestinian clash, a very violent one, in fact, or potentially very violent one between Fatah, which used to be in power, and Hamas, which is the Islamist group which just won the elections, and you have the other dynamic, which is the clash between Palestinians and Israelis. And both are now being concentrated and focussed in Gaza, most of all, with very, very potentially disastrous consequences.

CLANCY: Israel, this government, the previous government, all worked under the notion that time to go forward unilaterally. Now they suddenly find themselves in a position where they need to work with the Palestinians.

MALLEY: Well, they do, although it's not clear then who they -- who are they going to work with? The president, Abbas, doesn't really have control over the situation in Gaza, particularly with regards to the fate of the soldier. Those who do are linked to the government of Hamas, although it's not even clear the government has much to do with it.

It's the more militant military wing of Hamas. And so, finding the right address, knowing who to talk to and knowing what it is that they want is going to be a very difficult situation.

CLANCY: Robert, in your analysis, will the Palestinians be able to get anything for that soldier?

MALLEY: Frankly, I think the most they'll be able to get is a guarantee that Israel is not, once it gets the soldier back, assuming they get him back in good condition, that Israel won't retaliate. I think that probably is the maximum they could obtain.

Now, for the Hamas government, that at some level may be -- may be good enough because it's one way for them to be acknowledged as an interlocutor. But it's not clear how that will sell with their base.

We just saw on your television some Palestinians who feel very strongly that if Israel can kidnap or can abduct Palestinians and kill Palestinians, then Palestinians should have the right to do the same. And so Hamas is caught between its desire not to -- or at least the government is caught between its desire not to see the situation escalate to the point where they will be targets, but also, on the other hand, their sense that their own base, their own constituency is not going to be too happy if all they do is return the soldier for nothing in return.

CLANCY: Israel and a lot of people in the West pointing to the fact that Israel did pull out unilaterally from Gaza. Now they have missiles coming across the border there, coming into Israel proper, they have soldiers being kidnapped.

The unilateral withdrawal hasn't worked. Why?

MALLEY: Well, you know, many people felt from the beginning that this was a very iffy proposition to begin with. That if you withdraw from parts of Palestinian territory, you will have resolved the Palestinian question in any way.

(CROSSTALK)

CLANCY: But Robert, everybody was always saying -- Robert, everybody -- excuse me for interrupting. Everybody was also saying, if you end the occupation that, that will end the resistance to it.

MALLEY: As I'm saying, the occupation is ended in parts of Palestine. But, you know, what's going on right now perhaps as anything else is an inter-Palestinian fight between Fatah, which lost the elections but doesn't want to acknowledge that it's lost its power, and Hamas, which has won the elections and doesn't want to acknowledge that it hasn't won all the power. And that's what's really playing out right now, and in a way, in a tragic way, the Israeli soldier is a pawn in that fight.

I think that is more important now in understanding what's happening in Gaza than the relations between Palestinians and Israelis. It's a very violent fight for power going on between those two organization. If it's not resolved, I think nothing else can happen, nothing positive can happen.

CLANCY: Robert Malley of the International Crisis Group.

Robert, thank you very much for being with us on YOUR WORLD TODAY.

MALLEY: Thank you.

CLANCY: Hala.

GORANI: And we're going to keep covering that story of that kidnapped Israeli soldier and its aftermath.

Moscow now, though. Shifting to another story in the headlines today, Russia trying to verify claims that four of its diplomats have been murdered in Iraq.

An insurgent group linked to al Qaeda says it killed the four captives. The group released a video purportedly showing the beheading of three of the men. The fourth man was shot. The Russian embassy workers were kidnapped earlier this month.

Bringing stability to Iraq, of course, is crucial to withdrawing American troops. Regardless of what happens, the U.S. military already is thinking about the topic. There is some debate about how firm the plans really are and what role politics may be playing in all of this.

Here is our Ed Henry.

(BEGIN VIDEOTAPE)

ED HENRY, CNN WHITE HOUSE CORRESPONDENT (voice over): Military sources tell CNN General George Casey is considering pulling two combat brigades, up to 10,000 U.S. troops, out of Iraq this fall, with even deeper troop cuts on the horizon in 2007, according to a "New York Times" report of Casey's recent classified briefing at the Pentagon. Democrats charge the White House, which has repeatedly refused to set a timetable, is giving in to the political pressures of the midterm elections.

SEN. CARL LEVIN (D), MICHIGAN: I don't think there's the slightest doubt that there will be reductions in American troops before the elections. The Casey plan has a reduction prior to November. And I think it's kind of the worst kept secret around here that the administration is going to find a way, one way or the other, to reduce American troop presence in Iraq.

HENRY: Senior Republicans insist General Casey does not have a formal plan to withdraw U.S. troops. And facts on the ground, not politics, will dictate any redeployment.

SEN. JOHN WARNER (R), ARMED SERVICES CHAIRMAN: We will move to reduce our troops as soon as the new government gets up and gains the full confidence of its military to direct them to put down the insurgency.

HENRY: Democrat Russ Feingold's plan to bring U.S. troops home by next July was soundly defeated in the Senate last week amid Republican charges it was "cut and run." Feingold, a potential presidential candidate, says it appears the White House has a timetable after all.

SEN. RUSS FEINGOLD (D), WISCONSIN: And I wonder what all this talk was about how a timeline is a bad idea, we can't tell the terrorists what we're going to do. Well, General Casey just told them.

HENRY (on camera): But Republicans insist there's a big difference between the Kerry-Feingold proposal and the so-called Casey plan. The general does not have a firm deadline, giving the military more flexibility to make sure Iraqis can take over security before there's a full hand-over of responsibility.

Ed Henry, CNN, the White House.

(END VIDEOTAPE)

CLANCY: We're going have more on that story a little bit later.

Meantime, for viewers in America, we'll take a short break, but you'll see the U.S. headlines summary up next.

GORANI: Now, the rest of our audience will get the latest from the World Cup and global financial markets.

And later, a group of children receive one of the United Kingdom's most coveted invitations, and one of our most fun to watch reporters, Richard Quest, was there. He'll bring us that story.

Stay with us.

(COMMERCIAL BREAK)

DARYN KAGAN, CNN ANCHOR: I'm Daryn Kagan at CNN Center in Atlanta. More of YOUR WORLD TODAY in just a few minutes. First, a check on stories making headlines here in the U.S.

A word of warning in Washington, don't take the tunnel. Heavy rains have flooded streets in the nation's capital. There's limited train service outside the city, and some metro stops are closed. And things aren't much better by car. Drivers on the Capital Beltway had their ride slowed by a mudslide.

Conditions appear worse outside the beltway. Take a look at these damaged cars at a parking garage in Anne Arundel County, Maryland.

A lot of commuters weren't able to make it to work. Others didn't even have to try. Flooding and electrical problems forced the closing of the Justice Department, IRS headquarters, and the National Archives.

High water also a problem in Seaford, Delaware, today. A couple of bridges are washed out there and many streets are closed. Some residents who evacuated have managed to go back. Officials say they are just hoping the clouds move on and don't drop any more rain, but -- oh, Bonnie telling us that there's more to worry about than just hope.

BONNIE SCHNEIDER, CNN METEOROLOGIST: That's right. And we were just showing some video of Seaford, and I can show you that right here on the map as we look across Maryland and Delaware.

Seaford a s right here. And just to the -- further to the west into parts of Maryland, we had reports of 11.5 inches of rain. So very heavy rain still accumulating. And yes, it is still raining even at this hour.

What's happening is the storm system is slowly pushing to the west. High pressure is off to this region, and it's kind of nudging a little bit further westward. So we're getting some of that moisture now towards western Pennsylvania, parts of upstate New York, into Ohio, and even further to the south, into Kentucky, as well. We've been watching for the rain to just continue its journey further off to the north and to the east.

Now, as we take a look at our future cast over the next 48 hours, what you'll find is some relief in sight for folks into Delaware, Maryland, and Virginia, but not much. The rain will be more widespread.

We're looking at at least another three inches in some regions, especially, as I mentioned, further west of D.C. and Baltimore. Here's the areas in white where we're expecting the heaviest rain. But still some rain coming in, at least less than an inch of rain over the next couple of days. So it will still be raining in areas that are completely flooded out, like those low-lying areas into Delaware and into Maryland.

And if you're wondering if this is affecting travel, it certainly is. We have numerous airport delays today. We did yesterday. And this is continuing -- New York City, 45 minutes; Chicago, 45 minutes; and Philadelphia, 40 minutes. These are likely to increase, Daryn, throughout the day.

KAGAN: All right. Bonnie, thank you.

We're also tracking the western wildfires. A 2,300-acre blaze just outside of the New Mexico town of Galina. Crews are digging the fire lines there, but air tankers have been grounded due to thunderstorms. A hundred and twenty homes have been evacuated. So far no structures have been lost.

Next door in Arizona, firefighters are still attacking a 4,200- acre blaze near Sedona. Today crews will focus on one flank of the fire. Full containment is expected by Wednesday.

A bit of a break at the pump as the Fourth of July holiday nears. Gas prices are dropping. The average for a gallon of self-serve regular is now just under a nickel -- down just a nickel over the last two weeks. It's now $2.89.

Consider yourself lucky if you live in Charleston, South Carolina. The average price there, $2.61. But sorry if you're in Honolulu. The price there, $3.26 a gallon. That is the nation's highest.

Protesters around the world do it a lot, but if some members of Congress have their way, burning the flag, at least at home, would be prohibited by the U.S. Constitution. Just a few hours from now, the Senate is scheduled to start debating a flag desecration amendment. The amendment says simply, "Congress shall have power to prohibit the physical desecration of the flag of the United States."

Critics charge it would erode free speech. The House passed the measure last year.

Was she truly insane when she drowned her five children in the family's bathtub? That is the issue today as Andrea Yates goes back to court. Opening statements are getting under way in her retrial. The Texas mother had her 2002 murder conviction overturned on appeal. Her lawyers are again going with the insanity defense.'

Even Las Vegas police are shocked by this shooting rampage caught on video. Look closely. Police are hoping someone recognizes a gunman who appears to be skipping through a north Vegas casino, shooting as he goes. One man was killed, a woman was shot in the hand. The shooting appears to have erupted after a fight.

And then listen up to this. Researchers say that smaller is better when it comes to prostate cancer treatment. Obese men run a higher risk -- and yes this video is out of focus -- that their cancer will return after radiation more than thinner men. That's a finding from a University of Texas study. It's being called the first to examine the link between obesity and prostate cancer progression after radiation treatment.

The world's second richest man giving away most of his fortune to those who need it most. Live coverage about an hour from now on "LIVE FROM" with Kyra Phillips.

YOUR WORLD TODAY continues after a quick break. I'm Daryn Kagan.

(COMMERCIAL BREAK)

CLANCY: Look, Hala, they're all back.

GORANI: Right.

CLANCY: Welcome, this is YOUR WORLD TODAY. I'm Jim Clancy.

GORANI: And I'm Hala Gorani. Welcome from me as well. Here are some of the top stories we're following for you this hour.

Israeli tanks and troops are amassed along the Gaza border, reading for Prime Minister Ehud Olmert warns could be a major offensive. Israeli is demanding the release of one of its soldiers. He was kidnapped by Palestinian militants and taken back into Gaza from the other side of the border. Militants say they'll provide information about the soldier seen here if Israel releases all women and children in Israeli jails. Palestinian Authority President Mahmoud Abbas is on talks on several fronts pressing for the soldier's release.

CLANCY: The world's second richest man is giving a good deal of his money to a charity that is founded by the world's richest man. Investor Warren Buffett promising to donate nearly 85 percent of his fortune. Most of that $37 billion will be going to the Bill and Melinda Gates Foundation, the move the biggest donation ever in the United States.

GORANI: Russia says it's not sure if the gruesome Internet images claiming to show the executions of Russian hostages in Iraq are real. The four embassy workers were kidnapped earlier this month. You see them there. The video, posted on an Islam Web site, showed what appeared to be the beheading of two men and the shooting of a third. Russian foreign minister Sergei Lavrov told Russia's Ren TV that experts are currently studying the footage -- Jim.

CLANCY: Well, trying to battle their way out of what is certainly a crisis in Iraq, the Iraqis are finding themselves now in a controversy. The prime minister's new reconciliation plan aims to bridge the sectarian divide, extending an olive branch to some of the Iraqi militants.

GORANI: Really trying to bring the country together, but a controversial amnesty provision is drawing mixed reaction everywhere from Baghdad to Washington. Nouri al-Maliki's 24-point plan would grant amnesty to detainees who haven't committed war crimes and acts of violence.

CLANCY: Now, he calls for the release of 2,500 detainees from Iraqi prisons. Nothing new there. That's a process actually that's already begun.

GORANI: The plan outlines the steps for Iraqis to assume control of the country's security.

CLANCY: Yet it sees no specific timetable for the withdrawal of U.S. and coalition troops.

GORANI: The plan also focuses on reconstruction, the economy and unemployment.

CLANCY: Now, U.S. lawmakers expressing some serious concerns about the amnesty provision in this plan. Some Iraqis skeptical that the plan offers a new way forward for their country.

For some prospective on all this, we're joined in Baghdad by our senior international correspondent Nic Robertson and on Capitol Hill by Andrea Koppel.

First to you, Nic Robertson. Some groups already complaining they should have reached out more to the Baathists, they should have even reached out to the Islamic militants. If you want peace, you can't include some and not include others.

NIC ROBERTSON, CNN CORRESPONDENT: Well, it appears what the prime minister has done is reach out to the nationalists. What he is saying categorically -- and we also heard this from the Zalmay Khalilzad, the U.S. ambassador here, who is trying to clarify exactly who the amnesty applies to -- if you want amnesty, if you're in jail, you have to sign up and support the new Iraqi government.

And that's something that the Baathists don't appear to have been doing and certainly the al Qaeda-type fighters inside Iraq haven't been doing that, either. And that's who -- that's who the prime minister is appealing to, appearing to try to divide the insurgency here. We've seen efforts of this in the past. They haven't been particularly successful. That's the route that he's going down.

People on the streets here are saying that the prime minister, because of all the problems in the country at the moment, is really speaking from a position of weakness.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (through translator): It's a good effort, but we hope that the government of Nouri al-Maliki will ignore the task and turn a new page for all Iraqis, whether they were Baathists or intelligence or security forces.

UNIDENTIFIED MALE (through translator): The only thing this plan shows is the weakness of the government. It's as if it's playing its last card and wants to distract people from what's really going on in Iraq.

(END VIDEO CLIP)

ROBERTSON: But what the plan has been short on, principally, is details. The government is due to begin to release prisoners. It has released about 200,200 this month. It says it will release 25,000 through the whole month. It's due to release several hundred on Tuesday -- Jim?

CLANCY: All right, Nic Robertson, I'm going to ask you to stick right there while I go over to Capitol Hill. Let's talk to Andrea a little bit. Andrea, up there on the Hill, I know that when they started talking about clarifying things in Iraq, they're really looking at wriggling there on Capitol Hill. People like Senator Carl Levin just adamant that this amnesty plan goes too far.

ANDREA KOPPEL, CNN CORRESPONDENT: You're right, Jim. What we're seeing so far is that the reaction among lawmakers here on the Hill seems to be split down party lines with the Republicans, calling the plan a good move, seeming to be more optimistic or at least to give the Iraqi government more of a benefit of the doubt that when they say they're going to offer amnesty that it wouldn't be to insurgents responsible for killing American troops.

And on the other side, you have Democrats expressing more skepticism. People like Delaware Democrat Joe Biden saying, you know, yes, it's true, that almost every government, at one point or another, has offered amnesty, but the devil is in the details. In fact, Iraq's prime minister, when he did make this announcement about national reconciliation, said that terrorists would not be included in this plan, nor would those who still support Saddam Hussein or who supported him in the past.

Now lawmakers saying whether amnesty would be offered to those insurgents, the question is, would they be offered to those who either planned or financed attacks against Americans?

(BEGIN VIDEO CLIP)

CHUCK HAGEL, U.S. SENATE REPUBLICAN: My understanding of what he actually proposed in the parliament was not unconditional amnesty for everyone who has been involved in criminal acts or violent acts, especially against American troops. Again, down the road at another time, when more has been accomplished and developed in the way of building a foundation of reconciliation, that may well be something that they're going to have to deal with.

(END VIDEO CLIP) KOPPEL: Now Democrats also accuse Republicans of rubber stamping the White House, saying that last week when they had this amendment that they put forward -- this resolution, rather -- that would have basically said that Iraq's government cannot provide amnesty to those who attacked American troops. Nineteen Republicans, Jim, voted against this resolution -- Jim.

CLANCY: All right. Back to Baghdad here for a minute, get a final word from Nic Robertson.

Nic, from Iraqi officials, is there a shred of evidence that any of the militants are willing to talk, willing to negotiate, or are they just running this up the flagpole to see if anybody salutes?

ROBERTSON: Well, certainly behind the scenes this kind of idea has been run up the flagpole on many occasions. We have heard from the prime minister's office this evening, saying that they have had some communication, some noises being made that give them a feeling that perhaps there is going to be some dialogue, perhaps there will be some shift in this direction, but fundamentally what we see playing out here everyday speaks volume about all those who are willing to continue the fight and less about those who are willing to put down their weapons, Jim.

All right, back to Capitol Hill, last word from Andrea Koppel. The controversy over setting a date, a troop withdrawal, stepping it down, is there a sense there that things are moving toward some kind of a pull-out?

KOPPEL: Well, certainly, now that we've heard General Casey's, or at least the leak about General Casey's plan that he discussed with President Bush about bringing out brigades from the end of this year, Jim, but there's so much frustration that's being vented by Democrats on the Hill when he heard this. Just last week, Democrats had a couple of amendments out there, one sponsored by John Kerry, calling for withdrawal to be completed by a year from now, and the another by Senators Levin and Reid, saying that withdrawal should begin by the end of this year. It was overwhelmingly opposed by Republicans, the same people now who are saying perhaps General Casey's move is the right one, Jim.

CLANCY: All right. A view from two capitals. I want to thank Andrea Koppel in Washington, Nic Robertson in Baghdad for joining us. Thank you, both.

GORANI: If you were to stack 37 billion one dollar bills it would reach some 2,500 miles or 4,000 kilometers into the sky. Can you visualize that?

CLANCY: Yes, I can, and I can't visualize being involved in the process.

GORANI: Me either.

CLANCY: But who knows what people could accomplish here on Earth with that money. When YOUR WORLD TODAY returns, we're going to look at the man behind the enormous gift to charity. Is Warren Buffet a new breed of philanthropist, and is he first of many more to come?

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(BEGIN VIDEO CLIP)

CAROL J. LOOMIS, "FORTUNE" MAGAZINE: He's always been very tough on the kids in the sense that his daughters says, if I write him a 10 dollar check, he cashes it!

(END VIDEO CLIP)

CLANCY: All right, welcome back to CNN International and YOUR WORLD TODAY. That was Carol J. Loomis. She's the editor-at-large at "Fortune" magazine there, on U.S. billionaire Warren Buffet.

GORANI: All right, he certainly had very clear and established rules on how to raise his kids with regards to money. As you've probably heard by now, the world's second richest man is giving much of his wealth to the world's richest man, Bill Gates and his foundation.

CLANCY: That's right, the final tally expected to be $37 billion. Don't worry, he can afford it. Let's put that into perspective for you, though.

GORANI: All right, $37 billion, roughly, get this, this is unbelievable when you think about it, that this was in the hands of one person, roughly the GDP of the entire country of Kenya.

CLANCY: Now it's also the total amount of debt relief approved by the World Bank to many of the world's poorest nations.

GORANI: Now it is three times the amount of money distributed by the United States.

CLANCY: And get this, it would be the double the budget of the U.S. National Aeronautics and Space Administration.

GORANI: Exactly.

CLANCY: NASA, the space agency.

GORANI: All right, let's get more on the famous Nebraska philanthropist. Let's turn to Matthew Bishop. He is American business editor for "The Economist" and joins us live from New York.

What do you think is motivating warren buffet to give away 80, 85 percent of his personal fortune at this stage of his life?

MATTHEW BISHOP, "THE ECONOMIST": Well, Warren Buffet has been thinking about philanthropy for many years, and how he can use his money to make a difference to tackle some of the world's toughest problems. And I think he feels that what is happening at the Gates Foundation is now sufficiently advanced and effective that he can put his money to best use by giving it over to the care of Bill Gates an his wife, particularly now that Bill Gates has decided to scale down his work at Microsoft and focus full-time on philanthropy?

GORANI: Will this change the corporate world in any way? we've been hearing about corporate scandals and high level CEOs being sentenced to years behind bars. Now we're hearing the world's richest men are giving away billions and billions of dollars, will this set a trend?

I mean, just a few weeks ago, we are hearing about these corporate scandals and high-level CEOs being sentenced to years behind bars. Now we're hearing that the world's richest men are giving away billions and billions of dollars. Will this set a trend?

BISHOP: Well, there's been a long tradition in America, going back to Andrew Carnegie and the Rockefellers 100 or so years ago, in wealthy people giving away their money. What's different now I think is that more and more people who are younger in their careers -- I mean, Bill Gates is only 50; the Google guys are in their 30s -- feel that they want to do philanthropy much earlier in their careers, as well as running businesses, and I think what Buffett is doing is going to clearly accelerate that trend. He himself this morning mentioned that there are many other people with not quite as much money as him, but significant amounts of money, who will probably follow his lead. And I speak to rich people all the time who actually feel they don't want to spoil to their children, because it will spoil their children, and they'd like to actually give back to society, having benefited from living here for so long and doing so well.

GORANI: Also we're living in a world where it's possible for one individual to accumulate such a large and vast amount of wealth, because of the way the stock market has performed over the last few decades.

BISHOP: Well, that's right. There a lot more millionaires, and billionaires and multibillionaires now than ever in human history. And I think as the world becomes more globalized, these American billionaires, as many of them are in America, see the problems out there in the world, and feel that they are the people who can bring together both their money and connections and their business skills to actually try and solve problems that otherwise look intractable.

GORANI: Let's try to put this in even a wider context, Matthew. All right, you have men who are able to give away the GDP of Kenya with one single check, all right? Is this going to change the way governments, do you think, tackle the problems of poverty? Will this shame, do you think, even some officials whose job is it is to relieve poverty around the world into doing more? Or is that too ambitious?

BISHOP: Well, I think two things. One is the amounts of money are big, but actually in terms of government expenditure globally, even Warren Buffet with Bill Gate's money is relatively small. So they need to be very focused on finding the most effective way to spend that money.

And I do that think, secondly, governments are the biggest problem. If you look at what Gates and Buffet want to do in tackling problems in the poorest parts of the world, they need to deal with countries that are very badly governed, and a bad government is going to make it much harder for Gates and Buffet to achieve the great goals that they have unfortunately.

GORANI: It's going to be interesting to see how that money is distributed, how it's used, how much of it will actually go to helping poor people.

BISHOP: It will. I think a lot of it will, because that's why Buffett has picked the Gates Foundation, because they are really focused on how is our money spent? Is it being spent effectively? Can we measure the impact that we're having? So he's really backed a winner here, rather than starting a another foundation or following in the footsteps of many past philanthropists who have not actually done a terribly good job of monitoring how their money is used.

GORANI: All right, Matthew Bishop of "The Economist" magazine. Many thanks for putting this all into perspective for us.

CLANCY: Well, most of us are not billionaires and not even millionaires. But it's surprising, as you do travel around the world...

GORANI: Not even thousandaires.

CLANCY: As you travel around the world, you arrive in some cities where they obviously think you are.

GORANI: Up next, we'll tell you about Buckingham Palace's most unusual garden party.

CLANCY: Some of the most unusual characters in the world were the guests of honor, and the queen had 2,000 children round for tea. We'll have that story coming up next.

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CLANCY: Fans in the stands have something to celebrate in that game between Italy and Australia. You can tell by the flags who it was. The score, 1-0, that says it all. Italy.

GORANI: Francesco Tutti (ph) scored in a penalty shoot-out, 1-0 for Italy, moving on to the quarterfinals.

OK, let's come back to one of the most interesting stories of the day, Warren Buffet. We were discussing him a bit earlier there with Matthew Bishop of "The Economist," giving away much of his fortune to charity.

CLANCY: Now, it's been a subject for our inbox question. We were asking you...

GORANI: What would you do if you had that kind of money? We're talking $40 billion.

CLANCY: Muzi in Johannesburg writes, "Mr. Buffett has done the right thing, and I would certainly do the same thing. It's all about empowering disadvantaged communities."

GORANI: Yang in Taiwan agrees, telling us, "I would build schools and shelters for the homeless and hungry children of the world. It would give them a future and a fair chance in this life."

CLANCY: Ryan in California weighs in with this, "I would help mankind by building a colony on Mars. I'm getting tired of politics on this planet. Let's try politics on another one." Well said.

GORANI: All right. And lastly, Mike in Canada, with an answer a little closer to home, writes, "If I had his fortune, I guess I wouldn't worry about the price of a large chai latte at Starbucks."

CLANCY: No, I guess you wouldn't.

To be invited to tea with Britain's Queen Elizabeth, quite an honor, though. All right.

GORANI: All right. Maybe another person who doesn't care about the price of a chai latte at Starbucks. Yes, indeed, some 2,000 children from across the U.K. got that coveted invitation.

CLANCY: And Richard Quest was one of them. He didn't wear his short pants, though.

GORANI: One of those children? I don't know. Take a look.

(BEGIN VIDEOTAPE)

RICHARD QUEST, CNN CORRESPONDENT (on camera): You expect to find one of these at Buckingham Palace, but today you don't expect to find everything else that's in the queen's garden. Thank you.

(voice-over): This was a party like none other, with cartoon characters festooning the palace, out to amuse, entertain or simply bewilder. The children were delighted to see so many of their favorite friends coming to life.

UNIDENTIFIED FEMALE: It's very, very nice.

UNIDENTIFIED MALE: And very big.

UNIDENTIFIED FEMALE: Fantastic. Mmm, you need a closer shave, I think.

QUEST: Sometimes it seemed the adults were enjoying the whole thing far more than their offspring.

UNIDENTIFIED FEMALE: Oh, oh.

QUEST: Also in the garden, a pretender to the throne, the Queen of Hearts.

UNIDENTIFIED FEMALE: Almost like Mum! sAlmost.

QUEST: And then, there was the real queen, watching her garden being turned into a real-life comic strip. When the last sandwich had been eaten, there was a play called the Queen's Hamburg, a story about someone stealing her majesty's famous bag, containing her glasses and her speech.

CROWD: No specs, no speech!

QUEST: Harry Potter, Winnie the Pooh and Mary Poppins were all roped in to get the royal handbag back. Her majesty is very grateful.

QUEEN ELIZABETH, UNITED KINGDOM: I'm delighted to have my handbag back. I do like happy endings.

(END VIDEOTAPE)

CLANCY: And that is a happy ending. Richard Quest at the tea party in London.

GORANI: All right. And thanks for watching. LIVE FROM is up next for our viewers in the U.S. I'm Hala Gorani.

CLANCY: And for our other viewers elsewhere, another hour of YOUR WORLD TODAY is next. I'm Jim Clancy, thanks for being with us.

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