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The Situation Room

Supreme Court Rules on Military Tribunals for Terror Suspects

Aired June 29, 2006 - 19:00   ET

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


WOLF BLITZER, CNN ANCHOR: To our viewers, you're in THE SITUATION ROOM, where new pictures and information are arriving all the time.
Standing by, CNN reporters across the United States and around the world to bring you tonight's top stories.

Happening now, a Supreme Court stunner. It's 7:00 p.m. here in Washington, where the justices jolt the Bush administration by ruling that military trials at Guantanamo Bay for terror suspects are illegal.

Now what?

It's 3:00 a.m. in Moscow, where an open mike lets the world listen to a closed door conversation between a very candid Condoleezza Rice and her Russian counterpart.

And they're going to Graceland. It's 6:00 p.m. in Memphis, where President Bush and the Japanese prime minister, Koizumi, will make a pilgrimage to the home of Elvis Presley. Jeanne Moos will tell us why.

I'm Wolf Blitzer and you're in THE SITUATION ROOM.

All that coming up.

But we begin with breaking news in the Middle East.

Israel is stepping up the pressure again on Palestinians, with more arrests and now with air strikes. Within just the past few minutes, word that Israeli aircraft have launched two air strikes into Palestinian offices in Gaza.

CNN's John Vause is in Gaza City.

He's joining us live on the phone with the latest -- John.

JOHN VAUSE, CNN CORRESPONDENT: Hello, Wolf.

Right now the interior ministry is ablaze after Israeli -- after an Israeli air strike there. Also, another Israeli air strike on the Fatah headquarters, the political party of the Palestinian Authority president, Mahmoud Abbas -- Wolf.

BLITZER: John, as the situation continues to escalate, these latest steps by the Israelis come supposedly at a time when there's word of diplomatic efforts to try to bring this crisis to an end.

What is the latest you're hearing on that?

VAUSE: Well, the military offensive to the north apparently was put on hold. But that was a limited incursion, to the north of the Gaza Strip, while diplomatic efforts were underway.

Apparently the Egyptians and the Qataris have been deeply involved in negotiations to try and win the release of the Israeli corporal. They had asked for more time.

The Israelis, though, have made no promises about military activity elsewhere in Gaza. We've seen that throughout the day with artillery strikes, as well as other air strikes within the Gaza Strip.

Now, according to the Israelis, this interior ministry was hit. It's under the control of the Hamas (AUDIO GAP)...

BLITZER: Unfortunately, we just lost John Vause on the phone in Gaza City.

We're going to try to reconnect with John.

But important developments unfolding right now in the standoff, this escalating crisis between the Israelis and the Palestinians. And only within the past hour or so, we've learned that the Egyptian president, Hosni Mubarak, has suggested to one Egyptian newspaper, "Al Ahram," that there could be, could be a deal in the works to release that kidnapped Israeli soldier under certain conditions. Unclear what those conditions are.

We're following this important story.

We'll get you the latest a soon as we have it here in THE SITUATION ROOM. Once we know what's going on, you'll know it, as well.

Other news we're following here in Washington.

It's being called a stunning blow and a sharp rebuke to a White House seeking to exert its authority in its war on terror. President Bush may be commander-in-chief, but the U.S. Supreme Court says he does not have the power to put detainees before military tribunals.

We'll go live to the White House and CNN's Ed Henry in just a moment.

But Brian Todd is standing outside the U.S. Supreme Court with what happened today -- Brian.

BRIAN TODD, CNN CORRESPONDENT: Wolf, no getting around it, a setback for the president in the ongoing and increasingly heated debate over what to do with America's so-called enemy combatants.

(BEGIN VIDEO TAPE) TODD (voice-over): He may be the commander-in-chief, but the U.S. Supreme Court just cut back on President Bush's power in the war on terror.

At issue? How to try detainees at the Guantanamo Bay Naval Base. The White House wanted to use a military commission that was not specifically authorized by Congress and some believed did not meet international legal standards.

In a 5-3 decision, Justice John Paul Stevens's message for President Bush was clear: "The executive is bound to comply with the rule of law that prevails in this jurisdiction. That means the White House needs a new way to try 10 enemy combatants."

Justice Clarence Thomas, among the dissenters, wrote that the president's plan to try a suspected al Qaeda member before a military commission "is entitled to a heavy measure of deference."

The winner in this case? Salim Hamdan, Osama bin Laden's alleged bodyguard, personal assistant and driver. Coalition forces picked him up in Afghanistan in 2001 and flew him to Guantanamo Bay.

The loser in this round? The White House. But President Bush is not admitting defeat.

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: To the extent that there is latitude to work with the Congress to determine whether or not the military tribunals will be an avenue with which to give people their day in court, we will do so.

TODD: Hours after the decision, Republicans on Capitol Hill vowed to write new legislation that would give the administration a way to handle the suspects so the government does not have to use courts-martial, the federal courts or send accused terrorists to their home countries.

PETER BERGEN, CNN TERRORISM ANALYST: It's going to be 75 people who it's going to be a problem. Either they really are kind of dangerous or they may face torture when they return to their home countries.

(END VIDEO TAPE)

TODD: In the meantime, the government can still keep the detainees at Guantanamo Bay indefinitely -- Wolf.

BLITZER: All right, Brian, thanks very much.

Brian Todd reporting.

Let's go to the White House and get reaction from our White House correspondent, Ed Henry -- what are they saying there, Evacuated?

ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Well, they're insisting it is not a slap at President Bush. But Democrats insisting, in fact, it is a both legal and political slap at the president. A conservative leaning Supreme Court declaring the president does not have a blank check in conducting the war on terror.

This decision came down this morning while the president was busy behind closed doors here at the White House in a meeting with the Japanese prime minister. So the president got what he himself called a drive-by briefing from staff on his way to a joint press conference with Prime Minister Koizumi.

This enabled the president to mostly difficult questions, saying administration lawyers are still sorting through the details.

And the president quickly shifted the discussion to more politically advantageous ground, focusing on his efforts to protect the American people.

(BEGIN VIDEO CLIP)

BUSH: One thing I'm not going to do, though, is I'm not going to jeopardize the safety of the American people. People have got to understand that. I understand we're in a war on terror, that these people were picked up off of a battlefield. And I will protect the people and, at the same time, conform with the findings of the Supreme Court.

(END VIDEO CLIP)

HENRY: Now, the president and his spokesman, Tony Snow, also quickly latched onto the opinion from Justice John Paul Stevens that basically laid out a potential legislative solution, for Congress to act here. The White House very eager to now dump this right in Congress's lap -- Wolf.

BLITZER: Ed Henry reporting from the White House.

Thanks, Ed, very much.

Let's go to New York.

Jack Cafferty is standing by with The Cafferty File -- Jack.

JACK CAFFERTY, CNN CORRESPONDENT: The House, Wolf, is scheduled to vote at just about any time on a resolution formally condemning newspapers that reported on a secret Treasury Department program last week. The president and some congressperson are angry that the "New York Times," the "Wall Street Journal" and the "Los Angeles Times" all did stories on a secret government program that collects financial records in order to track terrorists.

The resolution doesn't have -- name the newspapers, but it does say that the House expects the cooperation of all news media organizations in protecting the lives of Americans by not reporting on intelligence programs that help the government catch terrorists.

President Bush claims these news reports jeopardize the program itself and make the country less safe.

Meantime, the newspapers all defend their decision to go with the story, saying that the public interest outweighed any concerns on the part of the administration.

Here's the question. In this ongoing debate between the press and the administration -- it's been an off and on battle since the war began, I suppose -- who eventually is going to win this tug of war between the government and national security and freedom of the press?

E-mail your thoughts to caffertyfile@cnn.com or to go cnn.com/caffertyfile.

BLITZER: Jack, thanks very much.

Jack Cafferty in New York.

And this just coming in, the Israeli Defense Forces telling CNN that a third and fourth Israeli air strike have been launched. One target, according to the Israelis, one target including a Hamas training site in Gaza. Another target, Hamas offices in Gaza City.

This comes on the heels of earlier Israeli air strikes, including, including the Palestinian interior ministry in Gaza, as well. The Israelis clearly escalating the situation right now.

We'll go back to Gaza once we get more information, once we hear what the Palestinians are up to and what the Israelis are up to, we'll update you on this breaking story, as well.

Coming up here in THE SITUATION ROOM, Nancy Reagan's mission. A key Republican takes up her cause for stem cell research, embryonic stem cell research, despite the wishes of the Bush White House. And tonight, there could be a breakthrough in the Senate on this sensitive issue.

Plus, candid Condi -- audio feed that was not supposed to be heard by the public. You're going to hear her strong words for the foreign minister of Russia when it comes to Iraq.

And reaching out to gay Republicans -- Arnold Schwarzenegger trying to make new allies without losing old friends.

What is the governor up to?

Stay with us.

You're in THE SITUATION ROOM.

(COMMERCIAL BREAK)

BLITZER: And this just coming in to CNN.

Perhaps a potential breakthrough tonight in the United States Senate. It concerns stem cell research -- embryonic stem cell research, an issue very dear to the former first lady, Nancy Reagan.

Today, the Senate majority leader, Bill Frist, introduced a bill to fund such embryonic stem cell research. It's already passed in the House of Representatives, but the Senate has been deadlocked and unable to make progress on the funding.

Now, Senator Frist says the bill could come up for debate in the Senate in July.

Let's get more from our senior national correspondent, John Roberts.

This is significant.

Why is it so significant?

JOHN ROBERTS, SENIOR NATIONAL CORRESPONDENT: It is a pretty significant development.

It's significant because the bill which would increase federal funding for embryonic stem cell research -- this was the thing that the president talked about way back in the early going in 2001, which he opposes -- passed the House of Representatives in May of last year. It's just been languishing in the Senate.

Nancy Reagan talks very frequently with Senate Majority Leader Bill Frist about this. She talked with him very recently. She urged him to bring this back up again. He was already in the process of working on it.

He struck a deal today which will allow a vote in the Senate after the July recess, the 4th of July recess, as you said, to bring this up, to just do a straight out vote on the House bill -- that's H.R. 810 -- without attaching any amendments to it, without it having to go to a conference. If it passes the Senate, it goes to the president.

A couple of catches, though.

Because of this agreement, it'll need 60 votes to pass. But Frist's office believes they have 62 to 65 votes.

Here's the other catch. The president has vowed that he's going to veto any bill expanding embryonic stem cell research that comes across his desk.

They don't yet have the number of votes in the Senate to override a veto. That would take 67 votes. And it looks like there wouldn't be enough votes in the House.

So this could be a symbolic show more than anything. There's a chance that when this comes up in July, it will pass the Senate, but would probably die under the president's veto pen.

BLITZER: And it's interesting that Nancy Reagan, the former first lady, playing a significant role behind-the-scenes.

ROBERTS: Of course. Her husband died from Alzheimer's Disease and there are a lot of scientists out there who say that embryonic stem cell research holds a lot of promise in treating diseases like Alzheimer's, Lou Gehrig's, Parkinson's, other diseases like that. But there are a lot of other people who believe that the real problems would be adult stem cells, and as well, this cord blood from infants, as well.

So, a lot of scientific debate on this. Proponents on all sides, opponents on all sides.

BLITZER: We'll see if the president goes ahead and actually casts what would be his first veto since becoming president.

ROBERTS: Can you imagine?

BLITZER: We'll see.

John, thanks very much for that, a potentially significant story.

Now to a story that every parent out there needs to hear.

A CDC advisory panel is now recommending that all girls as young as 11 years old get a new vaccine that prevents a sexually transmitted disease and potentially cancer.

Our senior medical correspondent, Dr. Sanjay Gupta, is joining us with details -- Sanjay, why is it important for children, for girls, to be vaccinated for this potential disease?

DR. SANJAY GUPTA, CNN CORRESPONDENT: Well, you know, it's so interesting, Wolf. We're talking about cancer here. And what's interesting is that, you know, you usually don't know what actually causes any specific type of cancer.

In this case, with regards to cervical cancer, most of the time it's caused by human papilloma virus. And now there is a vaccine out there to prevent that virus from taking hold.

The vaccine, if given at the right time, before someone actually develops any of the problems associated with cervical cancer, can be 100 percent effective in terms of letting that cervical cancer take hold.

So the reason that's important is because, really, for the first time -- and this is huge in the world of medicine -- you have a vaccine out there against cancer, but it has to be given to people early, preferably before they ever become sexually active, which is why you're hearing what's sort of mind-boggling for a lot of people, that people be protected against this disease as young as 11 years old -- Wolf.

BLITZER: What I would ask, as a father, is how dangerous is this vaccine?

What are the potential negative side effects for little girls?

GUPTA: Yes, you know, and I'm a father of a daughter, as well. And something I thought about when this was -- the vaccine was coming out -- I mean the vaccine itself appears to be safe, which is why the FDA just approved it. Of course, you won't know a lot of the results for several years to come, still, but it does appear to be safe.

The larger question, I guess, Wolf, is, you know, you're giving a vaccine now to very young girls to try and prevent a sexually transmitted disease, again, this human papilloma virus, which can cause cervical cancer. So it's a discussion, really, that needs to take place between parents and, in this case, very young girls, about this particular vaccine.

The CDC advisory committee is recommending that, you know, kids get this vaccine much the same way they'd get a vaccine for chicken pox or for measles, mumps, rubella, things like that. So it could become just a part of the normal vaccination schedule for children.

BLITZER: And this is just for girls, I take it, not for boys?

GUPTA: Well, that's -- it still remains to be seen. For the most part, cervical cancer, obviously, is something only that can occur in women, girls -- young girls or women. But men might also have some protection against other sort of genital cancers, as well. That still remains to be seen. But they're sort of holding out on that.

For now, it's just recommended for girls. Maybe boys later on.

BLITZER: Dr. Sanjay Gupta joining us.

Thanks, Sanjay.

GUPTA: Thank you.

BLITZER: Very important information for our viewers.

And we're getting more pictures now, the breaking news we're following out of Gaza. There's new video -- check this out -- that's coming in to CNN.

Israel has now launched several major air strikes tonight in Gaza.

We'll get you the full story.

That's coming up.

Also, Condoleezza Rice caught on an open mike. She had some candid comments, very tough comments, for her Russian counterpart on Iraq. It was a conversation none of us were supposed to hear, but guess what? We're all going to hear it, and that's coming up.

And ominous odds -- NASA says the Space Shuttle Discovery crew -- get this -- has a one in 100 chance of dying in outer space. But they're planning to launch on Saturday in any case.

We're going to have an exclusive look inside the facility that's now at the center of the debate.

Stay with us. (COMMERCIAL BREAK)

BLITZER: Welcome back.

Let's go to a CNN exclusive right now.

The Space Shuttle Discovery scheduled to launch Saturday. It's only the second shuttle flight since the Columbia disaster three years ago, but NASA's chief engineer argued against this upcoming launch because he's worried the falling foam problem that doomed Columbia still is not fixed.

Our Gulf Coast correspondent, Susan Roesgen, is taking us inside the NASA facility that's at the center of the debate -- Susan.

SUSAN ROESGEN, GULF COAST CORRESPONDENT: Wolf, this is where the external fuel tanks are made. In fact, you can see the nose of one of them being built here behind me. When they're finished, they're 15 stories tall. And it's these external fuel tanks that power the shuttle into orbit. Now it's the foam, the protective foam on the tanks, that is the big concern.

(BEGIN VIDEO TAPE)

ROESGEN (voice-over): The foam is sprayed on wet and when it dries, it's about as stiff as Styrofoam. That foam cover is critical, because that's what keeps the tank from getting too hot or too cold. Here at the NASA Michoud Assembly Facility in New Orleans, workers not only spray the foam on the tanks, they are now scraping some foam off the tanks for future shuttle flights.

The foam on the tank attached to Shuttle Discovery right now also has had large sections of foam removed.

(on camera): On most of the external fuel tank, the foam is only about one inch thick. But before Columbia, there were some areas of foam that were as much as a foot thick. And it's in one of those areas that some of the foam fell off, ultimately leading to the Columbia shuttle disaster.

(voice-over): These are two of the areas where large sections of foam have been removed from the tanks. NASA admits that some pieces of foam are still likely to fall off during the launch. But the hope is that any falling pieces will be too small to seriously damage the shuttle.

(on camera): NASA expects to make more modifications to the external tank after the upcoming launch. And, in fact, NASA has ordered more than dozen of these tanks to be made for flights between now and the year 2010 -- Wolf.

BLITZER: Susan Roesgen reporting for us exclusively.

Susan, thank you very much for that.

And just ahead, more on a breaking news story we're following out of the Middle East.

New Israeli air strikes targeting Hamas Palestinian targets inside Gaza. Dramatic developments unfolding.

We'll have the latest. We'll go to Gaza live for that.

Also, a private exchange that now has become very public. Some extremely sharp words between Condoleezza Rice and her Russian counterpart. We'll go inside and see what's going on.

Stay with us.

(COMMERCIAL BREAK)

ANNOUNCER: This is CNN breaking news.

BLITZER: More Israeli air strikes against Palestinian targets in Gaza.

Let's go to Gaza City.

John Vause is joining us via video phone with the latest.

What is the latest -- John?

VAUSE: Well, Wolf, since we last spoke, they have been a number of more air strikes, not just here in Gaza City, but also to the north of the Gaza Strip.

Earlier tonight -- well, about 20 minutes ago, the interior ministry was hit by an air strike. So, too, another building.

In the short time since then, there's been a total of five air strikes tonight in and around Gaza. Apparently a Hamas training camp in the north has also been targeted; an Hamas office; and, also, possibly, a storage house used by Hamas militants for explosives and other weapons -- Wolf.

BLITZER: John, how close are you to where these strikes are?

Gaza is a relatively small area. It's packed with about 1.3 million people. These air strikes, are they in populated areas near Gaza City? Or are they remote, relatively remote areas?

VAUSE: Well, the one on the interior ministry was in the downtown area, which is in that direction, as far as we know. That is a business area, so while Gaza is crowded and there's a lot of people, they would -- that's not a residential area.

As far as these missile strikes in this direction over here, it was in the area of what's known as the Shaadi or the beach camp, the refugee camp here next to Gaza City. That is a very densely populated part of the Gaza Strip -- very small houses, narrow alleyways, a back part, I think.

The other ones to the north, a training camp, it sounds like it was in a fairly deserted area. The fourth air strike or the fifth air strike -- we're not too sure about the precise location for that one -- Wolf.

BLITZER: The Israelis say, John, they're doing this to try to get their one kidnapped Israeli soldier released.

Even as the Israelis launch these air strikes and the other military action unfolds, I take it there's diplomatic action behind- the-scenes, including involving the Egyptian president, Hosni Mubarak, trying to get the soldier freed.

VAUSE: Well, that's right.

According to the official newspaper, the official Egyptian newspaper, Hosni Mubarak apparently trying to mediate between Hamas and the Israelis, saying that Hamas is ready to release the Israeli soldier. But there are conditions and other specifications. And I think there is -- two more rockets have just come in and the explosion is just to the north area.

(EXPLOSION HEARD IN BACKGROUND)

VAUSE: That was the explosion which you just heard there. So that would now make seven air strikes in Gaza within the last 20 or 30 minutes, Wolf.

We're not entirely sure what the target was. It was to the north of Gaza City. But we know that the IDF, the Israeli Air Force, as well, has been targeting training camps and Hamas facilities tonight.

The reason why the interior ministry was hit, according to the IDF, they say that the interior ministry has been a meeting place to plan and direct terror activity.

The interior ministry comes under the control of the Hamas government. They run-the security services here in the Gaza Strip.

BLITZER: John, I want you to be...

VAUSE: Right now, you can hear the helicopters overhead.

BLITZER: I want you to be careful out there. If there's any danger whatsoever...

(EXPLOSION HEARD IN BACKGROUND)

BLITZER: ... let us know.

VAUSE: We just had another air strike, Wolf. They are now up to eight.

BLITZER: Can you see the remnants? I don't know if our photographer there can pan over and show our viewers any light that may be emanating from those air strikes?

VAUSE: Yes. BLITZER: But if you can, that probably will be useful. But once again, John, if you're close to this and you want to step down, just let us know.

VAUSE: I think we're OK where we are, Wolf. We're on the roof of a building. There's no point in moving the camera, because it's just pitch black. All we're seeing is glimmers of missiles going into -- being launched from the sky and hitting the ground and a huge flash of light followed by the explosion. It appears that power, once again, has been knocked out to most of Gaza. It's incredibly black all around me. We've been plunged into darkness once again.

So just to recap, what we have managed to see from up here within the last 20 minutes or so, eight airstrikes, in Gaza City -- in and around Gaza City. The last one around was around the Jabalya refugee camp area. Once again, a very crowded, densely populated area of Gaza City, Wolf.

BLITZER: And I just want to point out, John, our viewers around the world are joining us now on CNN International. Recap for our viewers in the United States and around the world what is happening right now in this very tense confrontation between the Israelis and the Palestinians.

VAUSE: Well, this flare-up all began about 30 minutes ago. It started with an Israeli airstrike on the Interior Ministry. That building is still ablaze as far as we know. Also, other airstrikes in and around Gaza City, also around Gaza itself, not far from the beach camp, the refugee camp. Missiles hit the ground there.

We have been told by the IDF that they've targeted a Hamas training ground. They've also targeted a Hamas office, as well as what could have been a storage place for Hamas ammunitions, and bomb- making facilities as well, that kind of thing.

Since then, we have seen about three or four other airstrikes, some in the direction of the Jabalya refugee camp, which is also here in Gaza City, as well. We've counted about eight airstrikes in very quick succession, Wolf.

BLITZER: Does it sound like these airstrikes are coming from F- 16s, from fighter aircraft or from Apache helicopters?

VAUSE: What we have heard over the last 20 minutes or so, I have heard helicopters in the sky. I am assuming that they're Apache helicopters, but we have also heard the hum of the unmanned drones which have been flying overhead. Now, whether they're put up as far as surveillance and to help find the targets that the IDF is trying to find with these airstrikes, that is what the drones could be used for, although the drones could also be launching the missiles, as well.

But certainly drones and helicopters have been in the skies. We have not heard fighter jets, but much earlier tonight, about an hour or so, there was a lot of activity with fighter jets in the skies over Gaza. Right now, though, helicopters and drones, Wolf. BLITZER: And we heard some of those explosions live here on CNN only within the past few minutes, not very far away from where you are. Once again, John, if you sense any danger whatsoever, just let us know. Of course, we want to make sure that everyone is safe and secure. What time is it over there? It's middle of the night right now.

VAUSE: Yes. It's 2:30 in the morning so, once again, a lot of the activity that we have seen over the last 48 hours as far as this Israeli military campaign is concerned, has been happening overnight. The Israelis have chosen to move their soldiers in under the cover of darkness. That's when they moved in to Rafah about 48 hours ago.

They moved their tanks and their troops into the northern part of Gaza last night, as well. So all of the activity which Israel has been carrying out for the last couple of days has been at night and there have been airstrikes during the day, but certainly nothing like we've been seeing over the last 30 minutes, Wolf.

BLITZER: Clearly an escalation. We heard earlier from the Israeli ambassador to the United States, Daniel Ayalon, that that initial Israeli airstrike against the power plant and electricity power plant in Gaza, his estimate, the Israeli government's estimate, that that has removed electricity for about 100,000 Palestinians in Gaza. Is that what you're seeing and hearing there? Because we had been earlier been told that it was a lot more than that.

VAUSE: Well, the Palestinians themselves say about 700,000 at least are now without electricity because that power plant is not online. It is the only power plant in Gaza. To be fair, a lot of electricity still comes in from Israel, but earlier tonight, one of the transmitters which brings that electricity in was apparently hit by an Israeli artillery shell, so many other people have been left without electricity because of that, as well.

So the situation as far as electricity is concerned, according to the United Nations, according to humanitarian groups, as well as according to aid groups is going to be dire unless they can work out some way to bring in some kind of temporary power generation here in Gaza.

Because of the lack of electricity, there's concern about water pumping. Obviously, trying to run hospitals and schools and that kind of thing will become increasingly difficult in the coming days, in the coming weeks, Wolf.

BLITZER: John, I see you keep looking around. I anticipate that you are watching and listening to see if there are anymore airstrikes as we saw and heard here in THE SITUATION ROOM only a few moments ago.

As you go and speak to Palestinians out there who are clearly suffering, as a result of what's happened these last few days, is it heartening their attitudes against Israel, or is the pressure mounting as the Israelis would like for them to lean on the Hamas-led government to let that Israeli soldier go? VAUSE: Well, really in many ways Palestinians are split about what to do with Gilad Shalit, the 19-year-old soldier, who's currently being held by the militant wing of Hamas. Some say if it avoids bloodshed, hand him back, enough is enough.

But one thing that is uniting all Palestinians here is these Israeli attacks. It's a common enemy, a common threat. All Palestinians are united against Israel when it comes to this escalation of this military campaign. But there is pressure from the Palestinian families who have relatives being held by Israel to hold on to this Israeli soldier to use him as a bargaining chip.

Others want to give him back so they can end this conflict. They say enough is enough. After months of economic sanctions, after months of not being paid because the international community has stopped giving funds to the Palestinian Authority, it's time to bring this all to an end, Wolf.

BLITZER: And as you know, and many of our viewers know, over the past few hours, the Israelis have arrested about 80 or so Hamas members including members of the Palestinian cabinet and Hamas parliamentarians. What's been the reaction to that sweep of arrests?

VAUSE: Well, across the West Bank today, there were protests. There was anger and outrage from many Palestinians that these Hamas officials were rounded up and really humiliated. Some were blindfolded and handcuffed and taken away, detained by Israel, not even being arrested, just simply detained by Israel.

Many Palestinians are demanding that these Hamas lawmakers -- 20 members of Parliament were rounded up, as well as eight cabinet ministers who were taken in by the Israelis. The Palestinian Authority President Mahmoud Abbas has called on the U.N. to try and intervene to have these lawmakers and cabinet ministers released.

Also, Hamas is saying that this is an open declaration of war. They say this is a deliberate attempt by the Israelis to try and topple the Palestinian government. And some here in Gaza, some leading Palestinians, are now saying it's time to end the Palestinian Authority. Pack it up. Hand the responsibility for the Palestinian territories back to Israel, or pull in the United Nations, send in a U.N. peacekeeping force.

BLITZER: John Vause on a dangerous site for us, a dangerous location. Stand by. We're going to get back to you. We will monitor this escalating tension with the Israelis and the Palestinians. John Vause doing some outstanding reporting for the viewers here in THE SITUATION ROOM. We want to thank our international viewers for joining us, as well.

There's an international diplomatic dilemma that's unfolding at the same time. Today, the Secretary of State Condoleezza Rice met with her counterpart from Russia, but one of their private exchanges has now become very, very public.

Our Zain Verjee is joining us now with more on this story -- Zain.

ZAIN VERJEE, CNN ANCHOR: Wolf, the right words, the right smile, the right style. That's the diplomatic image we're most used to seeing. We're not used to hearing less than diplomatic spats, but accidents do happen.

(BEGIN VIDEOTAPE)

VERJEE (voice-over): The mistake was in Moscow. The microphones were left on while Secretary of State Condoleezza Rice and Russian Foreign Minister Sergey Lavrov were discussing a joint statement on Iraq. What we hear is an impatient and testy exchange. Here, Rice apparently interprets one Lavrov proposal as suggesting foreign meddling in Iraq. Listen.

(BEGIN AUDIO CLIP)

SERGEY LAVROV, RUSSIAN FOREIGN MINISTER: I did not suggest this. What I did say was not involvement in the political process, but the involvement of the international community in support of the political process.

CONDOLEEZZA RICE, SECRETARY OF STATES: What does that mean?

LAVROV: I think you understand.

RICE: No, I don't.

(END AUDIO CLIP)

VERJEE: After the recent brutal killing of Russian diplomats in Iraq, Lavrov pushed for better diplomatic security.

LAVROV: By the way, I repeatedly asked the Iraqi minister of interior to pay more attention to the protection of our embassies, and if you're uncomfortable about it, why don't we make it shorter, saying there is a need for improved security for the diplomatic missions.

RICE: Sergey, the problem is there's a need for improved security in Iraq, period. The problem isn't diplomatic missions.

VERJEE: Then secretary Rice asked Russia to back a request by Iraqis for more aid. Lavrov said the Russians were studying it.

RICE: I just want to register that I think it's a pity that we can't endorse something that has been endorsed by the Iraqis and by the U.N. But if that's how Russia sees it, that's fine.

LAVROV: Condi, no one challenges the sovereign right to endorse such a thing, but when you consider assistance programs, IMF and the World Bank, you do not automatically endorse something that a government endorses.

(END VIDEOTAPE)

VERJEE: So what happened in the end? Well the final statement mentioned the need for more security in Iraq, but it did not mention security for diplomats. It's also urges an international response to Iraq's call for aid, but didn't endorse the idea. Wolf, just a sense for you there of how difficult it actually is to negotiate just a few words in a statement in the diplomatic world.

BLITZER: What an exchange. Thanks, Zain very much. Zain Verjee reporting.

Still to come tonight, here in THE SITUATION ROOM, the House of Representatives has just voted on a resolution to condemn the news media. We'll tell you what happened.

Plus, the prime minister, the president, and Elvis. Jeanne Moos will have that story. Stay with us.

(COMMERCIAL BREAK)

BLITZER: There's been a key vote in the House of Representatives condemning the U.S. news media. Andrea Koppel is our congressional correspondent. She is joining us on the phone. What happened, Andrea?

ANDREA KOPPEL, CNN CONGRESSIONAL CORRESPONDENT: Wolf, as expected the resolution passed, the vote just took place on the House. 227 votes in favor of the resolution, 183 against. Only 7 Democrats crossed over to support the resolution. At its heart it was condemning the administration who leaked stories to, the 17 Democrats, rather, at its heart, the resolution condemned the administration officials that leaked stories to the media and demanded the cooperation in not disclosing classified intelligence programs, Wolf. This doesn't have the force of law, but Republicans hope it sends a strong message, not just to the media, but to those that leak from within the Bush administration.

BLITZER: And at the heart was the story in the "New York Times," the "Wall Street Journal," the" Los Angeles Times," the other day, reporting on international money, banking transactions and how the U.S. government is using that to try to find terrorists. Andrea, thanks very much for that.

Other political news we're following, from local councils to Congress, liberals beginning to use the i-word, two i-words, actually. Investigation and impeachment. Our senior political analyst Bill Schneider joining us with the story. What's going on, Bill?

BILL SCHNEIDER, CNN SENIOR POLITICAL ANALYST: Well, Wolf, will impeachment be an issue in this year's congressional campaign?

(BEGIN VIDEOTAPE)

SCHNEIDER (voice-over): Local governments in liberal enclaves across the country, San Francisco, Vermont, have passed resolutions calling on Congress to impeach President Bush. This week, the Berkeley, California, City Council, went one step further and put an impeachment measure on the November ballot. The grounds? Lying about the case for war in Iraq, torture of detainees, and unlawful domestic spying.

BETTY OLDS, BERKELEY CITY COUNCIL: The worst president in the history of this country.

SCHNEIDER: The idea is to build grass roots pressure on Democrats to take a stand. Some have. More than 30 House Democrats are supporting a measure that calls for a committee to investigate grounds for impeachment. But, for the most part, congressional Democrats are staying away from the impeachment issue.

RON BROWNSTEIN, AUTHOR "THE POWER AND THE GLITTER": I have to think they would be extremely leery of going at all in this direction because, again, it would seem as though they were using their new power to settle partisan scores rather than to address the problems of the public.

SCHNEIDER: Polls show that about a third of the public favors impeachment of President Bush. About the same number that favored impeachment of President Clinton in 1998, when the issue backfired on Republicans in the midterm election. That's why there's one other constituency eager to make impeachment an issue this year, conservatives. They think it could energize a demoralized Republican base. Let have this impeachment debate before the election so voters can know what's really at stake, the "Wall Street Journal" editorialized. In other words, bring it on. Do the voters of Berkeley want to bring it on? They're not so sure.

UNIDENTIFIED MALE: I don't know of anything he did that was impeachable.

(END VIDEOTAPE)

SCHNEIDER: Impeachment is a base issue. It excites the base of both parties, the kind of people you need to turn out in a midterm election. Wolf?

BLITZER: Bill Schneider reporting, good work. Thanks very much for that.

Still ahead here in THE SITUATION ROOM, national security and freedom of the press. Where do you think the lines are? Jack Cafferty going through your e-mail.

And the president, the prime minister and the king of rock n roll. It's a buddy road trip of the highest order. CNN's Jeanne Moos will take us there. Stay with us.

(COMMERCIAL BREAK)

BLITZER: The death toll from the flooding that swamped parts of the northeast is now up to at least 14 and officials are just beginning to tally the damage from high water along the Susquehana and Delaware Rivers. Mary Snow is right in the middle of all of this. She's joining us from New Hope, Pennsylvania. It looks like a mess over there Mary. MARY SNOW, CNN CORRESPONDENT: It really is, Wolf. And this town right sits along the Delaware River. You might be able to see it behind me, moving pretty quickly.

This river crested earlier today in this spot, but as you see, the water hasn't been receding, and officials say tonight they're still waiting for some areas for the Delaware to crest.

Not far from here, officials tell us, there are about 20 to 30 water rescues in a town along the Delaware.

Now, elsewhere in the state, the Susquehanna, which we saw so much flooding yesterday, those waters have been receding. The governor of the state saying that he feels the state dodged a bullet -- Wolf.

BLITZER: Mary Snow, thanks very much for that. Let's go to New York, Jack Cafferty has got "The Cafferty File" -- Jack.

CAFFERTY: Within the last few minutes, the House, Wolf, passed a resolution formally condemning newspapers that reported on a secret Treasury Department program last week. The vote, 227 to 183. The question, who's eventually going to win the battle between national security and freedom of the press in this country?

Allen writes from Mountain Home, Idaho: "We'd better all hope it's the press. If President Bush wins, our freedoms and liberties will be going fast. The press is the only thing holding President Bush's agenda back. Congress has proven inept, and he ignores the judiciary."

Gail in Forest Hills: "No one wins if the press continues to leak sensitive programs. It gives the enemies the edge. The real question is, do we need to know everything, and what price do we pay as a result? Another 9/11 perhaps."

Lothar writes: "We'll find out who wins this battle by counting the reporters and editors who are in prison and the number of newspapers closed for publishing stories critical of this administration."

Jason in California: "The question is irrelevant. The number of blogs and alternative media sources is so large, the truth will come out no matter how much of a muscle President Bush places on our docile, conventional, corporate media."

Michael in Ohio: "If both are doing their jobs well, neither the government nor the press will ever win the perpetual tug-of-war over access to information. We're always struggling to find the balance between the people's right to know and the government's desire for secrecy. That's why an independent judiciary is so crucial."

And Roger writes from California: "I have it on good authority Osama gets home delivery of 'The Los Angeles Times.' He really likes to clip the coupons in the Sunday edition. I bet he was completely caught off guard to learn we were tracking his finances." And if you don't see your e-mail here, you can go to CNN.com/caffertyfile. We put a bunch more of them over there on the Internet -- Wolf.

BLITZER: Good idea, Jack. Thanks very much.

Paula Zahn is here, live in THE SITUATION ROOM to tell us what's going on. What brings you to Washington?

PAULA ZAHN, CNN ANCHOR: Came down here for an exclusive interview for the secretary of homeland security, Michael Chertoff, and today we got a rare inside look at the nerve center where his Border Patrol agency -- agents actually monitor both the northern and southern borders of this country.

But we had a wide ranging discussion, mostly about immigration and terrorism, and we're going to share with our audience now parts of that.

(BEGIN VIDEO CLIP)

ZAHN: What do you think is the greatest threat to our national security today? Internal or external?

MICHAEL CHERTOFF, HOMELAND SECURITY SECRETARY: If you ask me in terms of consequence what would be the biggest threat, it would be a weapon of mass destruction. A nuclear bomb, radiological bomb. A biological attack.

If you ask me about likelihood, I think it is much more likely we will get a conventional attack. Like they had in London, like they had in Israel, like they had in Madrid. And there, the threat is not only external, but it's internal as well. We have to start to worry about what I sometimes call virtual jihad, which is home grown terrorists who have radicalized themselves on the Internet. They learn on the Internet how to make bombs. They build bombs in the bathtubs, and then they go blow up a subway, like they did in London, or blow up a shopping center.

(END VIDEO CLIP)

ZAHN: The secretary and his agency have been widely criticized, and tonight he will react to some of that criticism. The most recent one coming from conservatives on a survey giving him a three out of 10 on their scorecard.

BLITZER: We'll be watching. Paula, good to have you here in Washington.

ZAHN: Nice to be here.

BLITZER: Coming up right at the top of the hour.

ZAHN: Thanks, Wolf.

BLITZER: Happening now, the California Governor Arnold Schwarzenegger seeking support from gay voters. Chris Lawrence is in Los Angeles. He's got the story -- Chris.

CHRIS LAWRENCE, CNN CORRESPONDENT: Wolf, in just a couple hours, Schwarzenegger will address a gay group for the first time since he took office in an attempt to broaden his appeal before the election.

(BEGIN VIDEOTAPE)

LAWRENCE (voice-over): During his three years as governor, Arnold Schwarzenegger has been a friend to gay voters.

PATRICK GUERRIERO, LOG CABIN REPUBLICANS: He has a record of signing over a dozen pro-gay bills since he took office.

LAWRENCE: And a times, a foe.

GEOFF KORS, EQUALITY CALIFORNIA: A lot of the bills wouldn't be necessary if he hadn't vetoed the marriage equality bill.

LAWRENCE: The governor refused to back legislation that would have granted same-sex partners the right to marry. He also threatened to veto a bill that would mandate teaching gay history at California schools.

KORS: The ones he's vetoed are the ones that the extreme right wing hatemongers of the Republican Party have yelled the loudest about, and it seems when they yell, he jumps.

LAWRENCE: He's also signed three bills that the gay community fought for, including one that prohibits insurance companies from doing business in California if they don't give the same breaks to domestic partners as married couples.

GUERRIERO: I'd encourage the critics to compare his pro-gay record against any governor in America, Democrat or Republican.

LAWRENCE: Patrick Guerriero heads the Log Cabin Republicans and its 20,000 members. His group invited the governor to speak.

PROF. KAREEM CRAYTON, UNIVERSITY OF SOUTHERN CALIFORNIA: If the strategy is simply to appear moderate to the public at large, then maybe this is going to be enough.

LAWRENCE: USC professor Kareem Crayton says gay voters will demand more from Schwarzenegger than a photo-op.

CRAYTON: So from the perspective of the people in the Log Cabin Republicans, I'm sure this has to be a down payment on something much larger in the future.

(END VIDEOTAPE)

LAWRENCE: Political analysts say the governor can only go so far or he risks alienating his conservative base when he needs to be adding to them -- Wolf.

BLITZER: Chris Lawrence, thanks very much for that. Chris in L.A.

Still ahead, the president, the prime minister and, yes, Elvis. And Jeanne Moos is there as well. Stay with us.

(COMMERCIAL BREAK)

BLITZER: President Bush is hosting the prime minister of Japan right now in an official state dinner over at the White House. But what happens when the guest is a huge fan of the king of rock 'n' roll? Our Jeanne Moos tells us.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): This is the story of a president who seems smitten by a prime minister who is himself smitten by the king.

President Bush...

(END VIDEOTAPE)

BLITZER: Unfortunately, we lost that report from Jeanne Moos. We're going to get that fixed. We're going to make sure that get that for you. We apologize for that technical lapse.

Let me update our viewers right now. We are getting new information from Gaza as it's coming in. These are pictures that just have come in to CNN. You see Palestinians in Gaza milling around. It is approaching 3:00 a.m. in Gaza. Within the past half hour or 45 minutes, the Israeli air force has launched several major air strikes against targets in and around Gaza City, targets described by the IDF, the Israel Defense Forces, as Hamas-related targets, including the Ministry of Interior, which John Vause in Gaza City says is now ablaze, as well as other Hamas training sites and offices in Gaza.

All of this being done designed to try to put pressure on the Hamas-led Palestinian government to release that one Israeli soldier, 19-year-old Israeli soldier who was taken along the border between Israel and Gaza last weekend. And the Israelis now have launched these air strikes to put pressure, further pressure on the Palestinians to go forward and release this Israeli soldier.

We're also being told that even as the Israelis put enormous pressure on the Palestinians, including the arrest of about 80 Hamas officials, including members of the Palestinian cabinet and parliamentarians over the past 24 hours, there are behind-the-scenes efforts under way right now, behind-the-scenes efforts under way to try to get some sort of release of that Israeli soldiers, Corporal Gilad Shalit. We're told that the Egyptians, among other intermediaries, are trying to intervene. In fact, the Egyptian president, Hosni Mubarak, said only within the past few hours, he told an Egyptian newspaper, "Al-Ahram," that he thought it was possible the Palestinians would release that Israeli soldier under certain conditions. Unclear what those conditions would be. But there he is. That's the Israeli soldier who is being held by the Palestinians, and as a result, as a result, this effort has now been under way by the Israelis to get him freed.

We're going to continue to monitor this story throughout the night here on CNN.

Until then, thanks very much for joining us. I'm Wolf Blitzer in THE SITUATION ROOM. Paula Zahn is here right now in Washington. She's got an exclusive interview that's coming up next -- Paula.

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