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Glenn Beck

Suspected Terrorists Arrested in New Jersey; Middle East Children`s Show Uses Mickey Mouse Double; Woman Credited with Saving Mother, Daughter from Tornado; Paris Hilton Supporters Ask for Leniency in Sentence

Aired May 08, 2007 - 19:00   ET

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


(BEGIN VIDEOTAPE)
GLENN BECK, HOST (voice-over): Tonight, are terrorists among us? Reports of Islamic extremists arrested in a frightening New Jersey terror plot.

And Paris Hilton pleads her case to the Governator. Will Arnold terminate her sentence? Good heavens, I hope not.

All this and more, coming up tonight.

(END VIDEOTAPE)

BECK: Welcome to the program.

You know, people have been talking about this pseudo Mickey Mouse video. You`ve probably seen it everywhere, but you haven`t seen it on this program. I`ll tell you why, coming up. Something doesn`t smell right.

First, I told you that terrorists are living among us just last week. And last night, six men were arrested on charges of plotting to attack Ft. Dix Army Base in New Jersey, where they intended to kill as many soldiers as possible. Officials say these men are, quote, "Islamic radicals" who trained in the Poconos, of all places.

Here`s what the U.S. attorney, Christopher Christie, had to say this afternoon.

(BEGIN VIDEO CLIP)

CHRISTOPHER CHRISTIE, U.S. ATTORNEY: The philosophy that supports and encourages jihad around the world against Americans came to live here in New Jersey and threaten the lives of our citizens through these defendants. Fortunately, law enforcement in New Jersey was here to stop them.

(END VIDEO CLIP)

BECK: OK. Here`s the point tonight. The terrorists are trying to destroy us. Only our complacency and political correctness will allow them to succeed. And here`s how I got there.

It is human nature to try to suppress painful memories. Maybe we do it to protect ourselves from the horrors of the world, and there`s plenty of them. Plus there are forces at work who want us to take our eyes off the ball.

Now, while the Democrats and Republicans have been waging their little power struggle over in Washington, we have forgotten as a nation that there are millions of people around the world who literally want to slit our throats from ear to ear. And there are possibly thousands of them right here. We don`t know how many exactly, because we`ve never fixed our little visa problem, and our borders are wide open.

These people were in training in the Poconos. Not exactly Fallujah. I think terrorists are a little like rats. For every one that you see, there are probably hundreds that you don`t.

I think it`s great that we nabbed these guys before they massacred a bunch of people. But what about the many others who are lurking in the shadows, planning deadly attacks? What about the ones who are well connected and well funded by groups like Hamas and al Qaeda?

It doesn`t amaze me that they`re here. What amazes me, quite honestly, is in this political world of political correctness, it amazes me that anyone felt comfortable enough to point these guys out to authorities. In today`s climate, there`s no incentive to report anything suspicious. The message is shut up for you might get sued, fired or worse.

We must not yield to the forces of political correctness. And we can never forget what the terrorists want to do to us. We cannot become complacent. Arrogance and denial are just as lethal to us as bombs and machine guns.

Today, Ft. Dix was the target. But what about tomorrow?

Here`s what I know tonight. They`re here. What I don`t know: how many.

Sari Horwitz, she is covering the terrorist arrest for "The Washington Post". Sari, the White House says there is no suspected link to al Qaeda. What are the authorities saying? What`s the latest?

SARI HORWITZ, "THE WASHINGTON POST": Law enforcement authorities are saying although there`s no evidence there`s a link to al Qaeda or any other international terrorist group, they are calling these -- they are calling these home grown terrorists, Islamic militants.

These men, what we do know about them, three of them are brothers. Some of them are in this country legally, some are in this country illegally. They worked at jobs like one was taxi driver, one worked at a 7-Eleven, one worked at the supermarket. They`re from former Yugoslavia, from Turkey and from Jordan.

BECK: How did the investigation start? I understand that they were looking to copy a DVD?

HORWITZ: What happened is one of these men brought a video into a video shop and wanted it duplicated, dubbed as a DVD. An employee in the shop looked at it, and what was on the video was ten men in the Poconos and at a firing range, shooting rifles and calling for jihad, and in Arabic saying various jihadi phrases. And this alarmed this employee, and he went to the FBI.

BECK: This guys -- these guys, first of all, two things. They`re dumb as a box of rocks if they`re just going in and thinking nobody`s going to report that. And the second thing is, there were ten in the video, and how many have been arrested?

HORWITZ: Well, there were ten men in the video. Six have been arrested and charged.

BECK: OK. Are we still looking for the others, or have we dismissed them for some reason or another?

HORWITZ: We are not sure if they`re looking for more people. What they did do is they put two men, infiltrated -- informants of them, into this organization, who recorded conversations and did surveillance.

BECK: OK. And there was also a last will and testament of two of the 19 hijackers of 9/11. Do you have any explanation on that?

HORWITZ: Well, there were many things on the computer that the FBI received from this group. And that was one of them, the last will and testament of the hijackers. There were also tapes, recruiting jihadi tapes. There were speeches from Osama bin Laden calling Muslims for jihad. That sort of thing.

BECK: OK, Sari, thanks very much.

HORWITZ: Thank you.

BECK: If you`re still on the fence whether or not terrorists are living among us, here`s a little story for you. It`s about a doctor. He was studying at Columbia University in New York. Normal, right?

What kind of extremist activity could come out of Columbia? Nothing, I`m sure. Well, instead of reciting the Hippocratic Oath, this guy swore an oath of allegiance to al Qaeda. The doctor, whose name is Rafiq Sabir, is currently being tried on charges that he conspired to use his medical expertise to treat wounded al Qaeda operatives overseas.

He allegedly made this pledge to an undercover FBI agent, posing as an al Qaeda recruiter. He said, quote, "I have an oath and a promise to God to obey the guardians of the pledge, to exalt the word of God and to be protective of my brothers on the path of jihad, and protect the secrecy of this oath and on the path of al Qaeda."

By the way, this happened in the Bronx.

Joining me now is Clark Kent Ervin. He is former inspector general from the Office of Homeland Security and author of "Open Target: Where America is Vulnerable to Attack".

Clark, Doctor Sabir is not the only guy involved in this sting. There are other Americans who have also pled guilty?

CLARK KENT ERVIN, AUTHOR, "OPEN TARGET": That`s exactly right. This is a very, very serious matter, Glenn, particularly coming on the heels of the Ft. Dix story. It just shows that the problem of home grown terrorism is real and growing and that there really is complacency in this country. It is true that we haven`t been attacked, but that does not mean that we`re out of the woods.

BECK: You know, the White House said today, Tony Snow came out and he said, "Hey, I want you to know, these guys do not have ties to al Qaeda." Like it was supposed to make me feel better. That actually kind of makes me feel worse. That means we`re breeding them and growing them here in our own country with no ties. Makes them harder to find, doesn`t it?

ERVIN: That`s exactly right. It really is the worst of all possible worlds now. There was a brief time right after 9/11 where we had al Qaeda central, bin Laden, his top deputies on the run.

Now, of course, they`ve reconstituted themselves in Pakistan, and they`re reclaiming Afghanistan. So, again, al Qaeda central can carry out operations themselves.

At the same time, we have this proliferation of metastasized cells, and that`s what we have here in this Dr. Sabir, apparently, and in the Ft. Dix story. So it`s the worst of all possible worlds.

BECK: I got to tell you, not playing political games here, because I think the Republicans and the Democrats are both responsible. There is going to come a time when we cry bloody murder in this country because something`s going to happen. And our visa problem has doubled since 9/11 and these borders.

Here we just find out the guys in Ft. Dix, some of them are here illegally. What the hell are we doing in this country?

ERVIN: It`s absolutely ridiculous, particularly with regard to a critical infrastructure facility like a military base.

You know, I wrote a book, "Open Target" last year, and I pointed out that between April of 2004 and September of 2005, the last period I had available, there were 19 incidents at 19 installations of 342 illegal aliens arrested. That goes to show that we really don`t know who`s working in the most sensitive places in the country. I think it`s just a matter of time before we`re hit again. Thank goodness this Fort Dix plot was foiled.

BECK: Unfortunately, again, let me point out the darker side. I hate to be the bearer of bad news here, but Yugoslavians were involved. You`ve got Jose Padilla. The spokesman for al Qaeda now, I believe, is from California, Southern California.

These guys, we are so far behind them every time. They are changing the look of al Qaeda. They are blending in. How do you expect, in a world of political correctness, in denial, in political gains, how are we expected to win?

ERVIN: It`s very difficult, Glenn. On the one hand we continue to have a problem with Arab males and those from South Asia. No question about it. It`s also the case, as you point out, that increasingly, we`re seeing African-Americans, like Earnest James Ujaama, who was trying to set up a terrorist training camp in Oregon, of all places.

Hispanic-Americans like, as you said, Jose Padilla, and Anglo- Americans. The chief al Qaeda spokesman is, as you said, Adam the American, an American growing up in California. So the person right next to us with blond eyes and blue hair could be a terrorist.

BECK: Clark, thanks. We`ll have you back.

ERVIN: Thank you.

BECK: Now, you know that Mickey Mouse video that everybody is showing you? There was something fundamentally wrong with it, and I have the details next.

It`s also time for the annual gas price hike. Congress is sitting around blaming big oil. I`m going to tell you "The Real Story" on why you may pay $4 for gas this summer. That is tonight`s "Real Story". We don`t need a congressional investigation to figure it out. Don`t miss it. It`s coming up.

(COMMERCIAL BREAK)

BECK: You know it; I know it: we live in a culture of narcissism in this country, and the latest Paris Hilton scandal is just a perfect example of it. I`ll have more of that, coming up in just a bit.

But first I want to talk to you about something that you`ve probably seen a million times on other networks. It`s the video of Mickey Mouse, a rip-off of Mickey Mouse, co-hosting a kid`s TV show in the Middle East.

The media -- and this is important -- I believe, has this story all wrong for a couple of reasons. The most important of which is because we on this program believe that that translation may be inaccurate.

If you are a long-time version -- viewer of this program, you know that we broke new ground last fall. We were the first in American television to show you the videos that are indoctrinating a new generation of Middle East children. I am not afraid to show you what I believe is true, diabolical evil. But I will not show you something I believe may be wrong.

We are having that video of Mickey Mouse retranslated. I don`t know if it`s going to make the story better or worse. But I will bring it to you tomorrow with an accurate translation.

Now let`s just assume that the main message and the spirit of that video is generally correct. Dr. David (sic) Butterworth joins me now. He is a noted child psychologist.

Robert, these videos, how does it affects -- how does it affect the kids that would watch it every day in the Middle East?

DR. ROBERT BUTTERWORTH, CHILD PSYCHOLOGIST: Well, Glenn, looking at those things I was saying to myself, is nothing sacred? Here we have Mickey Mouse`s evil twin...

BECK: Yes.

BUTTERWORTH: ... indoctrinating propaganda into the kids` lives, and not just where they`re in school or being taught by parents, but seeping into their fantasy lives.

BECK: Yes.

BUTTERWORTH: Remember, kids learn from play just as much as they learn from education, and they`re getting these kids early. And regardless of the message, it`s really not a good idea to mix politics and cartoons.

BECK: Yes. I will tell you that I think the other part where the media has really missed this story is that they chose Mickey Mouse for a reason. Mickey Mouse is an icon, an American icon.

What role do you think that -- do you think that plays any role on they chose that because it is -- if they showed some Barney the dinosaur that we didn`t recognize, we see this video. And it shocks and horrifies us because it is a beloved figure doing these things. Am I wrong? Am I out to lunch on that?

BUTTERWORTH: No. What you`re saying is Mickey comes on the scene already with credibility in a sense for these kids. I mean, the mouse is generally a pretty good mouse and does pretty good things.

And when you get this mouse giving messages, regardless of what they are, they`re not -- you know, regardless of the translation, we know the mouse isn`t going to have everybody holding hands saying, "We are all one."

BECK: You`re exactly right on that. I don`t know. It could be worse. It may not be quite as bad. But I`m pretty sure that when Mickey was posed like this, I`m pretty sure he`s not saying, "Hey, let`s go get the water gun out by the pool."

BUTTERWORTH: Yes, I think it would have been a better idea to use Goofy, but that`s another -- that`s another segment.

BECK: I have -- I have said on this program, and there are very few people that will go down this road. And I don`t understand it, because if this would have happened, if these were conservative Christians that were teaching their kids values that people just disagreed with, strongly disagreed with -- not let`s go blow each other up and behead each other -- people would be calling for the taking out of these children away from their parents like crazy in America.

But America won`t even call this stuff evil. Is there anyone in history that has -- even Hitler didn`t do this, did he?

BUTTERWORTH: No, Hitler didn`t do this. And you`re right, people are -- I think maybe psychologists are sometimes to blame.

Remember in the last 15 or 20 years, everybody is supposed to have an internal goodness. No one`s really bad, and don`t ever use the word "evil." I don`t think I`ve ever in a lecture, all the way through my Ph.D., in talking to all these kinds of things that people can have, ever heard the word evil.

But, you know, sadly there is evil, and there are people doing evil things. And when you see something like this, where kids are being indoctrinated. Cartoons, fairy tales, their point is to teach right from wrong.

BECK: And unfortunately they`ve clipped it.

Robert, thank you very much.

We will have that update for you tomorrow.

Now, up next, the latest on Paris Hilton`s bid to avoid the big house. You`re not going to believe this. They`re already making -- they`re cashing in on it.

But first, Friday`s killer tornado in Greensburg, Kansas, makes 2007 the deadliest tornado season in the U.S. since 1999. Now, back in March, 19 people were killed when a twister ripped through Alabama and Georgia. The death toll might have been even higher, had it not been for the quick thinking of a woman named Debra Boyd.

Tonight, she`s "CNN`s Hero".

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: Is Miss Debra your hero?

EMMA SMITH, RESCUED FROM TORNADO: Yes.

UNIDENTIFIED FEMALE: Can you tell me why she`s your hero?

E. SMITH: Well, she did save me from the tornado.

GRAPHIC: March 1, 2007, 4-year-old Emma Smith was saved from a tornado.

DEBRA BOYD, RESCUED GIRL FROM TORNADO: We knew it was bad weather, but we had bad weather a lot of times. It wasn`t anything out of the ordinary, I didn`t think. And then all of a sudden tornado sirens were going off.

UNIDENTIFIED MALE: That`s the first thing, Enterprise, Alabama. That is certainly an area where you want to take cover immediately.

BOYD: There was a tornado coming this way.

This was full of parents, and we were pushing them into this office, and we had gotten them all in. And I was about the last person, and I was about to close the door when I saw Emma with her mother, Barbara.

GRAPHIC: At approximately 1:12 p.m. Emma and her mother, Barbara arrived at Enterprise High School.

BOYD: She had no idea that a tornado was about to hit. There wasn`t time to yell or -- I just ran out and grabbed Emma and grabbed Barbara, and we ran -- I said, "We`ve got to get down."

BARBARA SMITH, RESCUED FROM TORNADO: The front door blasted out, glass went everywhere.

BOYD: The wind had just taken one of the trophy cases and put it right there, where she was.

I just took them over to the side and got on top of them.

SMITH: Mama was on my head, and Miss Debra was on my -- they were trying to protect me.

GRAPHIC: Eight people died at Enterprise High School that day. Barbara and Emma Smith credit Debra Boyd with saving their lives.

B. SMITH: I shutter to think what would have happened to us, had I been standing in that front door when that glass blasted out and the trophy case shattered everywhere.

GRAPHIC: Debra Boyd, "Everyday Hero".

BOYD: It`s just really something that I did. There wasn`t time to do anything else. I really never thought of myself as a hero.

E. SMITH: Well, she`s a super girl, because she`s not a man like Superman.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

BECK: Well, Paris Hilton is set to spend 45 days in jail -- she`ll serve about 15 -- for violating her probation. But some of her fans think that`s just not hot.

A group of supporters have started a FreeParis.org web site where you can actually buy t-shirts. They`re merchandising on this already. You can post a message of support, sign a petition addressed to Governor Schwarzenegger, the superior court judge, Michael T. Sawyer, the city and county of Los Angeles. They want Paris spared her time behind bars, and they hope to get a million dopes to sign it by June 5.

Paris is doing her part by linking the petition from her MySpace page. Now, I`m sure she knows how to do that.

Michael Graham is a radio host for 96.9 WTKK in Boston.

Michael, what part of this story sickens you the most?

MICHAEL GRAHAM, RADIO TALK SHOW HOST: Well, first of all, let me point out, it`s only 999,999 signatures they need, thanks to me. I`m doing my part for Paris.

BECK: Are you really?

GRAHAM: Wouldn`t it be great, Glenn, if -- because you know this is a widespread problem in the country -- if Paris Hilton went to prison and came out as a convert to Islam?

BECK: Well, let me...

GRAHAM: Nice twist on the story. That`s what I`m waiting for.

BECK: Come on, man. You know, I guess -- you know, I guess, Michael the only way to deal with this stuff is -- is to laugh at it. Because we are in -- we are in such trouble. We are a country of narcissists.

GRAHAM: I mean, first of all, Glenn, I`m going to interrupt you. You don`t mean that at all. We and I both want the hot chick in prison story to end the same way. I can`t discuss the plot line here on your show. But I have the DVD set at home. That`s what we want.

BECK: See, this is what it`s turned into. This is what it`s turned into.

GRAHAM: I usually take the profound and try to make it laughable. I think there`s actually something profound in this laughable story, which is I want Paris Hilton in jail, in all seriousness, because it reinforces that notion that, in America, despite all the high-priced lawyers and money and celebrity, that when the day comes, the system works on everybody. Even Paris Hiltons have to go to prison.

And I think Arnold Schwarzenegger would be doing something stupid politically to let her off. I don`t think it`s a schadenfreude, we like to see the great fall.

I think people want to think, hey, even as rich as your family is, if you screw up, you keep driving after the sweetheart DUI deal that I couldn`t get, you`re going to eventually go to jail. That`s just sort of a cynic`s lesson for guilty people who pay attention to Nicole Richie.

BECK: OK. I cannot imagine a parent that would vote for Arnold Schwarzenegger if he would send that message. Because that`s -- I mean, really, that would be the message that you would send. As a parent, I`d be like, what are you doing? Can you help me raise my kids just a little bit, not throw them underneath a bus?

GRAHAM: Bad news. The fix is already in. He`s going to let her out on a pardon, but she has to wash his Hummer in her underwear with a hamburger. So it`s already done. I`m sorry, Glenn.

BECK: I`m uncomfortable with that whole sentence for multiple reasons. You know, I`m watching this, Michael, and I`m thinking to myself, you know, if you`re Amish or if you`re somebody in the Middle East. You`re not a whack job, but somebody in the Middle East and you`re devout in your religion, and you watch our society -- you`re not plugged in -- you can see how easy it is for people to take our society and say, what an evil group of people. Don`t you think?

GRAHAM: You know -- I mean, you say that in the sense that we make a celebrity out of Paris Hilton, and yes, she lives in this pseudo porno world. And she`s certainly not worthy of the attention she gets. But she gets most of her attention in the tabloids on that goofy show she does and on Headline News...

BECK: Come on. We celebrate her as a society.

GRAHAM: You don`t see -- you don`t see the civics lesson here? It`s kind of like Enron except for dumb people, that everybody goes to jail. You know what I mean? Everybody.

BECK: I like that. We`ll leave it at that. Michael, thanks a lot.

GRAHAM: Thank you.

BECK: Up next, $4 gallon gasoline by August? Might happen.

Plus, Pakistan may have misplaced some radioactive material. What did I do with those nukes? You`re not going to believe what they`re trying to do to get it back. Don`t miss tonight`s "Real Story". That`s next.

(COMMERCIAL BREAK)

BECK: Welcome to "The Real Story."

It`s May, so that means it`s time for the usual summer rituals. Baseball season getting into full swing. People frantically trying to lose weight so we can get into swimsuits. And Chuck Schumer is standing in front of television cameras threatening the oil companies once again this year.

(BEGIN VIDEO CLIP)

SEN. CHUCK SCHUMER (D), NEW YORK: ... for the oil companies to have their refineries running at low capacity at a time when prices are going through the roof and people are demanding gas cries out for a whole lot of questions and a whole lot of answers.

(END VIDEO CLIP)

BECK: Chuck, I`ve got an answer for you right now. No need for an investigation. Work on the people`s business, will you? Gas prices are going to keep getting higher because of special interest groups, politicians and capitalism.

House Democrats can have all the hearings they want, like they did this afternoon, to look for the villain. But the truth is that $3 a gallon only seems high because that`s the perception we`ve created. In five or 10 years, oh, I think we`re going to be looking back and wishing we`d converted our in-ground swimming pools to a gas holding tank when you see what fuel costs then.

Who knows? In fact, may I make a prediction? We will see close to $4-a-gallon gas by the end of summer. Politicians make short-term price hikes seem like it`s an international incident, when the real crisis is our massive addiction to oil and our unwillingness to actually solve the underlying problems.

But you know what? Let me just humor Chuck for just a second and play, "Why have gas prices spiked so high again?" game that we seem to play every single summer. The real story why gas prices spike is because the refineries can`t operate at full capacity because they`re old and decrepit. They`re old and decrepit because we can`t build any new ones. We can`t build any new ones because of the environmental lobby. And the "not in my backyard" groups have made it ridiculously expensive.

In 1981, the United States had 324 oil refineries. Got it, 324? By 2005, only 132 refineries are left. Now, I`m not sure if you`ve noticed, but our demand for oil hasn`t exactly decreased in the 24 years that have passed. Our refineries are like an elderly Wal-Mart greeter putting in 70- hour work weeks. They just can`t keep up with the pace. And you`re not going to hear the oil companies crying for more refineries because they like keeping the supply low and the profits up.

Those are the three problems, Chuck. And you know what? Let me tell you what those investigations will reveal right now, for free. On one side, you`ve got the environmentalists who want the combustion engine gone. On the other side, you`ve got the oil companies who, like most American business, enjoy big profits.

Guess who`s getting squeezed in the middle every time? Yes, it`s us, Chuck, the public. You don`t need an investigation to figure that one out.

Rakesh Shankar, he is from MoodysEconomy.com. Rakesh, you`ve been investigating these companies for years. What have you found?

RAKESH SHANKAR, MOODYSECONOMY.COM: Well, I mean, I`ve found the same thing that the FTC has found for investigating for years, that there`s no real example of collusion, there`s no real example that any kind of interaction between these companies has really resulted in raising prices. There`s several market-related forces why gas prices have gone up as high as they have, and there`s no real strong evidence that it`s because companies are colluding with each other.

BECK: So why is -- I mean, like I don`t know the answer -- why is it that we have these congressional investigations every single summer?

SHANKAR: Yes, exactly. It`s like you say, you have it every April. You go back last April, you heard the Republican leaders of the Congress and you heard even President Bush talking about how we should be very vigilant in investigating to see why gas prices are so high.

Look it, when gas prices rise, it hurts. It hurts American consumers, and, more importantly, it hurts American consumers in the lower income categories. And so when that you have that kind of pain, I mean, it`s the most visible measure of pain. I mean, you drive by the street, down the road, and you see gas prices rising. And that`s why there`s a very direct relationship between gas prices and consumer confidence. When gas prices go up, consumer confidence goes down. That`s what they see.

BECK: OK, I want to show you something from a press conference today with Nancy Pelosi. I warn you: Wrap your head in duct tape, because your head might just explode. Watch this.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI (D-CA), SPEAKER OF THE HOUSE: Americans are paying more than double for gas then when President Bush first took office, $1.47 an average the day he took office, 2002, and now double that cost. This is what is important here today.

(END VIDEO CLIP)

BECK: I can`t take it. Even the gas pumps on the chart are red and blue. This is not a partisan politics -- I mean, this is amazing to me. First of all, have we forgotten that there was a little war and some things that have been going on in the last eight years? What is the fair price that we should be paying? Love to hear this answer.

SHANKAR: Well, to be honest, we are paying what we should be paying. I mean, you either believe in the market, you either believe market forces work, or you don`t. To be honest, this is really what the market has come down to.

Right now, we`re paying high prices for three very simple reasons. First of all, they`re making less gasoline, because refiners are still facing the echo effects of Katrina and the hurricanes we suffered two years ago. Second of all, demand is still very strong. I mean, people talk about how much it hurts, but demand growth is still extremely strong, even though gasoline prices are close to three dollars, which tells me that maybe it`s not hurting that much and maybe this really is the right price.

And, third, because we`re just not importing as much gasoline as we used to. If you believe in the market, then, honestly, this is the right price that you should be paying.

BECK: What can we do to change the structure of this? I mean, the blends every summer is a problem, right, because California says you have to make it a certain way. Would it help if we had one national blend, even if it was to the California standard?

SHANKAR: Right. I think it would definitely help. I mean, right now, California, for example, is its own market. You can`t get that gasoline anywhere else, and you don`t need it anywhere else. And every market -- you have all these submarkets around the country.

There`s no doubt about it that, if you had one national market, it would definitely ease some of these pressures. But that`s not the only problem. We`ve seen a level shift in prices, right, I mean, the blend issue is why prices are slightly higher in the summer than they are in the winter. But beyond that, you have a level shift in prices, and that is more structural issues, and those are the kind of things you can`t take care of overnight.

BECK: Rakesh, any truth to what I pointed out in the beginning of the monologue, that you`ve also got -- I mean, the oil companies aren`t, you know, screaming about new refineries because they don`t mind the high prices. But the reason why we`re not building new refineries is because you also have the environmentalists groups that want to see the end of the combustion engine.

SHANKAR: That`s absolutely true. And, you know, that`s not completely true that they`re not talking about it. I mean, several refineries have come out, and several oil companies are doing some major expansion of refineries. I mean, we`re going to be seeing -- in the next five years, we`re going to see as much new refinery capacity as we saw in the past 15 years. So they`re talking about increasing it, but there are several things they need to worry about it, like if they`re going to get enough money back on their investment.

BECK: Rakesh, thank you.

SHANKAR: My pleasure.

BECK: You know, people are always saying that Americans are closed- minded, that if we would just try to understand other cultures, then we could all be friends and move to Candyland together and live together forever in harmony. Well, this may not be as exactly as eye-opening as a Chris Hansen "Dateline" investigation, but the real story tonight is that`s a big load of bull crap.

Sure, we need to be more open-minded. I get it, blah, blah, blah, blah, blah. But there`s a point to where my willingness to embrace other cultures ends, and today I find out exactly where that was with Pakistan. Let me show you.

Here is a screenshot of some lost and found ads that you might find in a local newspaper. Somebody lost some keys. There are a few missing dogs. You know, pretty typical stuff.

Now, here`s a lost and found ad that ran in actual major newspapers in Pakistan. You know, one of those places we just don`t understand. Now, you probably can`t read it, but you might recognize that international symbol for radioactive material, along with big, nice question mark there at the top. Yes, those actually translate perfectly.

They have lost some nuclear material, and they need your help. But don`t worry. They say it`s not a big deal. Honestly, this stuff`s been missing for a long time. Well, I feel all warm and fuzzy now, like 7,000 degrees warmer. But if you happen to be walking around Islamabad and you see something glowing that shouldn`t, just go ahead, you know, back away slowly, and give us a call, will you?

Can you imagine something like that in "USA Today" running? Hey, everybody, don`t panic or anything, but we`ve misplaced a few vials of weaponized anthrax. You know, if you see anything, let us know. I`m sure that would leave us all with a great deal of confidence in our security and our government.

But I did notice that we have one thing in common with the Pakistani government. We both lie through our teeth. When officials were asked about the ads, they said, "Oh, don`t worry, just a precaution. Mostly we`re just trying to heighten the public awareness." You know, I know I`m not exactly an IAEA member or anything like that, but I am a thinker, and I`d like to believe that the nuclear club is a "one lost chunk of radioactive material and you`re out" sort of organization.

Sorry, Pakistan, but I`d like to make a motion to take your club jacket away. Could I get a second? Thank you, India. Motion carries.

Finally tonight, about two months ago, I brought you a little story about Casey Harmeier, an 11-year-old boy from Texas who is facing a year in jail for allegedly pulling the cover off a fire alarm in school. His trial -- yes, you heard that right, his trial -- was supposed to be next week. But we just heard from his parents today that the district attorney has, after seven months, finally decided to drop the charges.

Strangely enough, they`re a little disappointed. They were actually looking forward to their day in court when they could embarrass this dimwit prosecutor. But they did want me to pass along their thanks to all of you who called in and wrote and make sure that Casey got justice. Now if he could only get an apology, as well.

We`ll be back in a minute with our Public Viewer, who`s here to celebrate our one-year anniversary on television, by showing exactly how bad that one year has actually been. Stick around.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

BECK: Boy, this is the sloppiest show in America. I mean, we just figured things out on the air, and, you know, other people take time and really think it through before they get on the air with a major political candidate. How frustrating is it that everyone says that you`re too slick? No, not us.

(END VIDEO CLIP)

BECK: We don`t think things through. Now, if you`re like millions of Americans, a year ago, you were probably huddled in front of a television ready to watch history in the making. Yes, it was one year ago that Chris Daughtry was voted off "American Idol." It was crazy, isn`t it? And this stupid show had its debut, as well. The memories, the tears, the ironclad contract that CNN`s regretting.

Since television is indeed a public trust, one of the first things I did was bring what we call the public viewer on. He was a designated watchdog whose only job was to be critical of this show. And, yes, I have regretted that decision ever since. So here with the "Year in Review" is our public viewer, Brian Sack.

Hello, Brian.

BRIAN SACK, PUBLIC VIEWER: How are you, Glenn?

BECK: I`m very good. Where have you been?

SACK: I caught Obama fever. Yes, I was laid out for five months. I feel better. Now it`s a malaise.

BECK: That`s good.

SACK: I`m back. But I had a baby, working on a book. Busy, busy. Can you believe it was a year ago?

BECK: It seems like 10.

SACK: It does. It really does. And, a year ago, we polled 2,100 people and asked them when they thought you`d actually be off the air, and 1,400 thought that you wouldn`t make it until now. I`ve got the names here. I`ve got everybody.

BECK: I`ve got to tell you, America, I`m with you. I didn`t think so, either. I can`t believe it`s been a year. Now, you have highlights?

SACK: I do. What happens -- I didn`t have time to put together -- get you a gift, so what I did was I got you kind of a retrospective package I threw together for you right now. And it`s not very good, but it compiles one whole year of the GLENN BECK program into about two minutes.

BECK: OK, here we go.

(BEGIN VIDEOTAPE)

BECK: Welcome to the first episode of the GLENN BECK program.

When I say the name "Glenn Beck," you think...

UNIDENTIFIED MALE: I have no idea who it is.

BECK: I`m a rodeo clown. I am 42 years old. I`m a recovering alcoholic former deejay. I am riddled with ADD. I have no idea what I`m talking about.

Don`t adjust your sets, America. I really am this handsome. I`m going to give you some numbers that will absolutely make blood shoot out of your eyes. This is not about left and right; this is about right and wrong.

Iran is the head of the snake. Where am I wrong? Where am I wrong here, Greg? Peter, where am I wrong?

UNIDENTIFIED MALE: I can`t say that you are, Glenn.

UNIDENTIFIED MALE: Glenn, I wish you were wrong, but you`re right.

UNIDENTIFIED MALE: You`re absolutely correct, Glenn.

BECK: Mahmoud Ahmadinejad?

ERICA HILL, CNN HEADLINE NEWS ANCHOR: Mahmoud Ahmadinejad.

BECK: Ahmadinejad. Iran`s Islamic end of times proficiencies could be fulfilled on August 22nd -- August 22nd...

UNIDENTIFIED MALE: It`s the end of the world, and we all know why. It`s August 22nd, and we`re all going to die.

UNIDENTIFIED MALE: I`m going to build a super-fence with lasers, because lasers are cool.

BECK: Swear to god, that worked in rehearsal.

UNIDENTIFIED MALE: (INAUDIBLE)

BECK: Perfect. My driver`s here. See you.

UNIDENTIFIED MALE: Start off really this interview apologizing for that pink shirt that you`re wearing.

BECK: It`s fuchsia, all right?

UNIDENTIFIED MALE: Apologize...

BECK: Actually, I`m wearing leather pants right now. Oh, no, I`m not wearing pants.

HILL: OK, that was definitely more information than I needed.

BECK: Well, you said dress down, and you`re still in pinstripes. I was hoping that it would be the...

(CROSSTALK)

BECK: You`re a bastard.

Glenn Beck, an honor to have you on the program. And it really is. This is a nice tie there. No, really, seriously, the honor is all mine.

UNIDENTIFIED MALE: Thanks for having me.

BECK: You bet.

Is it true that you save your own waste?

UNIDENTIFIED MALE: What does that mean?

BECK: Birds fly over the rainbow, why then, oh, why can`t I?

(END VIDEOTAPE)

BECK: I tried everything I could to get this show cancelled. And it just won`t do it.

SACK: I spent my whole lunch on that.

BECK: Damn it, CNN, don`t you see what I`m doing to your network?

SACK: I spent my entire lunch working on that thing.

BECK: That was beautiful, Brian. It was.

SACK: Glad you liked it.

BECK: No, it would good.

SACK: I got a lot of viewer mail that I want to catch up with, a lot of questions coming your way, if you don`t mind.

BECK: Sure, yes.

SACK: One of the questions somebody asked was, do you have any pre- show rituals or superstitions that you do before you go on air?

BECK: So the show doesn`t stink as much, you mean? Some sort of a -- I found the best thing that I can do is to call Michael Smerconish. That`s the best thing I can do.

SACK: OK. And another question I have, do you hang around with a lot of the other talent at CNN, like the Dobbs or the other guys?

BECK: Lou and I rollerblade. And occasionally I`ll play squash with Larry King, but not lately.

SACK: All righty.

BECK: Yes. They avoid me like -- you know, there are people that won`t even look at me in an elevator. I`m not kidding you.

SACK: Are you serious?

BECK: Oh, yes, I`ve had people walk into an elevator and they go -- and they walk in, and they`re like -- they say hi to everybody in the elevator. "Hey, how are you doing?" Then they see me and they`re like -- and turn around. I swear to you.

SACK: Does that hurt your heart?

BECK: Yes, a lot.

SACK: Does it pain you?

BECK: Keeps me awake at night. I feel bad.

SACK: I can tell. Another question: Which guest made you the most nervous?

BECK: You.

SACK: Another question: Who`s the one guest you`d like to have on your show but won`t come on?

BECK: Anybody that anyone knows.

OK, well, we`re all out of time. It`s been a great year. Brian Sack...

SACK: I`ve got a gift for you, anniversary gift. I`m going to be here every two weeks critiquing you.

BECK: That`s great. Remember, I`ve got your gift, too. It`s paper for year one. Brian, thanks. We`ll be back in a minute.

(COMMERCIAL BREAK)

BECK: You know, I told you earlier about the Islamic radicals using that Mickey Mouse kind of character to indoctrinate their kids to their cause. It is horrifying on a number of levels, and we`ll have further information on what I believe is a mistranslation of this cartoon tomorrow.

But I want you to take that a step further. What is to stop the terrorists from branching out into movies or toys or even theme parks? I mean, forget about EuroDisney. How far away are we from something like IslamoDisney, you know, a place where you`ll see signs that say, "You must be this tall and have this many explosives to enter," a place where you`ll find rides like Infidels of the Caribbean, attractions like the Hall of Dictators, and, of course, the ever-popular game, Whack-a-Jew. A place where Mickey Mouse or Minnie Mouse is covered in a burqa, Winnie the Pooh gets stoned in public for not wearing pants.

Now, is any of this going to happen? No, of course not. Well, except for the Winnie the Pooh thing. I mean, he`s not wearing pants. But what is actually happening is quite sinister, and it`s a frightening example of what we`re up against. These enemies of ours are not just breeding an army of terrorists for the present, but an army for the future, as well. How do you defend yourself against people who preach hate, racism and destruction to otherwise innocent children?

Right after 9/11, I said the only way we could lose is if we allowed ourselves to crumble from within. We`ll only defeat ourselves. When we, as a country, are united and focused, we can do anything. We`re an amazing group of people. But when we have our hands tied by the P.C. police and our leaders in Washington are playing the greedy, bull-crap, mealy-mouthed, wishy-washy, say anything just to get elected politics, when they should be working with and for us, well, that`s when we`re vulnerable.

What do I believe? I believe we can come together, focus on our common goals rather than what divides us. For the past year, you`ve allowed me to come into your home every night, and hopefully I`ve asked honest questions that matter to all of us. Now, whether you like what I have to say or whether you want me fired immediately, my goal has always been to pursue the truth as I understand it and let you at home come to your own conclusions.

Have I hacked a few people off? Oh, yes, long list, absolutely. And I`m sure tomorrow I`ll be in trouble with Al Qaeda or the lawyers at Disney, which I`m not sure which one`s scarier. Kidding. It`s clearly the Disney lawyers. But through it all, it`s been incredibly rewarding. It`s been a fun year, and I can`t wait to do it again tomorrow night.

From New York, good night.

END