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Iraqi National Soccer Team Wins The Asia Cup; News Copter Crash; Wiretapping Controversy

Aired July 29, 2007 - 19:00   ET

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


RICK SANCHEZ, CNN ANCHOR, CNN NEWSROOM: There are new details in this deadly news chopper crash. What eyewitnesses on the ground are now tell police, we will tell you.
Also, the crew was covering a car chase. Can the suspect in that car chase be charged with murder or accessory? Sounds like a stretch, doesn't it?

Also, you want to become an American? Get ready to dig twice as deep into your pockets. Twice as deep, as a matter of fact.

Plus --

(BEGIN VIDEO CLIP)

(CROWD CHANTING, CHEERING)

Gunfire in Iraq. But not the type that we've grown accustomed to. These are shots of joy. Finally something the Sunnis, the Kurds and the Shias can all agree on.

Barry Bonds hitting that magic number, that home run that everyone in the world seemed to want to see -- no. We'll have it all for you in the CNN NEWSROOM.

Didn't know Rockies were baseball fans, did you? They're not.

Hello again, everybody. I'm Rick Sanchez. Following the news here in B Control.

It's been a day of joy, a day of harmony all over Iraq. No need to adjust your sound. You heard it correctly. The Iraq that America hoped for has finally shown its face, if just for one day.

(BEGIN VIDEO CLIP)

(CROWDS CHANTING, CHEERING)

(END VIDEO CLIP)

SANCHEZ: They are celebrating in the streets. Not for Barry. Iraqis swarmed the streets to celebrate, not Sunnis, Shias or Kurds, just Iraqis. One word, call all of them. And why? The country's national soccer team, the newly anointed champions of Asia. Can you believe it? From Baghdad, CNN's Dan Rivers.

(BEGIN VIDEOTAPE)

DAN RIVERS, CNN INTL. CORRESPONDENT: There were really quite remarkable scenes here in Iraq, as thousands of people took to the streets to celebrate Iraq's victory in the Asian Cup, beating Saudi Arabia 1-nil. The sound of celebratory gunfire was deafening all around Baghdad, and around where I'm standing, as the results came through.

Thousands of people took to the streets. Not only here, but in cities all around the country, both Kurdish, Shiite, Sunni. For once the sectarian divisions seemed to fade away as everyone was united behind the soccer team, waving the Iraqi flag, singing and dancing.

But -- and there is a big but -- people are still nervous that these celebrations that are still ongoing right now, could still be marred by violence. Already, the authorities say they have found one car bomb and arrested one -- they describe as an Al Qaeda suspect who was holding a detonator attached to that car bomb in the eastern Baghdad district of Zauna (ph). They say that was in an area where people later went to celebrate the victory. Clearly, if that car bomb had gone off, it could have caused bloodshed and mayhem just as happened last Wednesday when people were celebrating the semifinals here.

But for now, so far, the peace seems to be holding. And the gunfire is still ringing out across the city. Not, for once, in conflict, but in celebration, that Iraq's soccer team has won the Asian cup. Dan Rivers, CNN, Baghdad.

(END VIDEOTAPE)

SANCHEZ: There is a change. If the soccer team can do it, can get along and get things done, then why can't the Iraqi government? It's the question that many Iraqis have been asking and a former U.S. ambassador. Now the U.N. delegate says the Baghdad government should take a cue from its athletes.

(BEGIN VIDEO CLIP)

ZALMAY KHALILZAD, U.S. AMBASSDOR TO U.N.: They were truly united, unlike the government and the political process where the unity that exists is very much hashed. This unity was truly a united effort by the team that produced results. And I hope that the Iraqi politicians will learn from the soccer team.

(END VIDEO CLIP)

SANCHEZ: By the way, the winning goal was scored by a Sunni, for what it's worth. His name is Younis (ph) Mahmoud, who had taken a pass from the team's only Kurdish player, Mullah Muhammad.

In this country, what made two news helicopters crash in Phoenix as they fed live pictures of a police car chase? What might be getting closer to the answer? "The Arizona Republic" reports that federal investigators have interviewed witnesses who say that one of the choppers was doing a steady, hover when the other one hit it. In his last radio contact, the pilot performing the hover was asking where the other chopper was. His last words -- oh, jeez. All four people on the helicopters died. And as you may have heard by now, it was a tragedy that was televised live.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Oh, my God! Channel 15 and Channel 3 just had a mid-air collision. They're in the park. Oh, man!

SANCHEZ (voice over): The horror in his voice tells the story, the pain of watching colleagues die. He is a chopper pilot for TV station KSAZ, a lucky one, one who survived, but seems tortured by what he saw.

UNIDENTIFIED MALE: Get over here at the park. Two helicopters -- two helicopters down. Oh, my God!

SANCHEZ: Five news choppers were tracking this police chase over Phoenix's crowded skies. They described the stolen car. The car getting ditched, the suspect getting out. Then on live TV, the story suddenly changes.

UNIDENTIFIED MALE: Oh, oh! Scott! We're going to have to turn back around and get away from this. We have two helicopters down during this track.

SANCHEZ: Two news helicopters crash into each other. They fall about 500 feet into a city park, and explode into flames. Witnesses say one seemed to get sucked in by the other.

DAVID WILSON, WITNESS: I heard like a loud gunshot. And then about two seconds after that, there was a real loud -- like a huge bang. And then just two helicopters coming straight down, falling about three different areas, bursting into flames, and debris all over the place.

SANCHEZ: There was a pilot and photographer onboard each helicopter. All four were killed. Jim Cox and Scott Bowerbeck worked for KTVK. Craig Smith and Rick Krolak worked for KNXV. On the ground, no one was killed, though it was raining helicopter parts.

STEVE CHEALANDER, NTSB: A rotor blade came off of one of the helicopters, and it hit a truck, it was a delivery truck. It hit the front windshield of the truck, just in front of the driver, but then embedded itself in the asphalt.

SANCHEZ: Piece after piece fell into the pond in the city park. Investigators are draining it, looking for clues.

(END VIDEOTAPE)

SANCHEZ: By the way, a memorial is now growing in the park where the choppers went down. The names of the four victims, Pilot Craig Smith and Photographer Rick Krolak of KNXV, also Photographer Jim Cox and Pilot Scott Bowerbeck to KTVK. As for the car chase suspect, this has been making a lot of conversations on blogs all over the country; 23-year-old Christopher Jones -- see the new pictures of him right there? He's being held on $1 million bond. Preliminary charges include theft, resisting arrest and aggravated assault.

Jones eventually could face charges connected to the deaths in the helicopter crash. Although that's just an assumption at this point being made by some of the investigators. Most people who know the legal system say that would be a bit of a stretch.

An air show in Dayton, Ohio, resumed today after the tragic crash of a stunt plane there. Medical officials say that veteran pilot Jim Leroy died instantly when his biplane crashed at 200 miles an hour.

This is the last picture we got. I think you can see it right there. As you look at the picture, you see that he actually goes into the ground, and then they had the rescue crews come back in.

What's interesting is, thousands of spectators watched in horror. There it is again as the plane slammed into the runway across from a viewing area. A couple of pictures that we took in. These are iReports, by the way, that were sent to us by some of the people who were there at the air show, who ended up just in horror and shock.

Tragedy struck another air show as well. One of the two pilots died Friday when two vintage warplanes collided when landing at the Air Venture Show, this is in Oshkosh, Wisconsin. The second pilot came away with only minor injuries.

Lucky for these folks, of the four people involved in this helicopter crash, none was seriously injured. The medical helicopter, there it is, crashed Saturday -- what's going on with helicopters and crashes suddenly -- while taking off from a hospital in Marks, Mississippi. Among those flying, a patient who just survived a car wreck himself.

Did he do it at home before the Giants road swing? This is what everybody was looking for. Dan Simon is on Barry Bonds watch for us today.

Barry, what did we find out? Did he, or didn't he?

DAN SIMON, CNN CORRESPONDENT: Well, Rick, the game is over. The stands have cleared. The kayaks have come back in. We'll tell you how Barry did coming up.

SANCHEZ: I don't see any celebration behind you. But I'm not going to give it away. I promise. I told Jeneesha (ph) I wouldn't, so I won't. I'm winking.

Also ahead, more heat for Alberto Gonzales. This is Gonzogate, lawmakers latch onto the attorney general's testimony about a controversial wiretap program, and we're looking into it for you.

Also, forget street corners. Police say some ladies of the night have moved online. To Craigslist? You are in the CNN NEWSROOM, and we'll be right back.

(COMMERCIAL BREAK)

SANCHEZ: Just how far will some of the congressional leaders go in the case of the attorney general? There's something called inherent contempt. It is questionable, hasn't been used in decades. Will they use it in this case? What problems will it cause for the president of the United States, while Alberto Gonzales tries to clarify contradictions in his testimony to avoid a perjury probe. Questions our Ed Henry is looking into it.

(BEGIN VIDEOTAPE)

ED HENRY, CNN CONGRESSIONAL CORRESPONDENT (voice over): The internal dispute in 2004 over President Bush's warrantless wiretapping program centered on data mining of information gleaned from the program. Rather than the actual eavesdropping, a former government official told CNN. The distinction is critical, because it will be Attorney General Alberto Gonzales's defense against allegations he committed perjury.

ALBERTO GONZALES, ATTORNEY GENERAL: There's not been any serious disagreement about the program that the president has confirmed.

HENRY: That, despite the fact former Deputy Attorney General James Comey threatened to quit because of his concerns.

JAMES COMEY, FMR. DEPUTY ATTORNEY GENERAL: I prepared a letter of resignation.

HENRY: In 2005, when the president acknowledged conducting eavesdropping without warrants, he did not admit the government was searching through data bases of information picked up by that surveillance, which is what Gonzales is hanging his defense on. If you listen to his precise words.

GONZALES: The disagreement that occurred, and the reason for the visit to the hospital center, was about other intelligence activities. It was not about the terrorist surveillance program that the president announced.

HENRY: Democrats charge this is a distinction without a difference. Because the data mining and the surveillance are both part of the broader wiretap program.

SEN. RUSS FEINGOLD (D), WISCONSIN: The truth is, that the attorney general, in my view, has at least lied to Congress and may have committed perjury.

HENRY: One Republican insists Gonzales did nothing wrong.

SEN. ORRIN HATCH (R) UTAH: This is not really about the attorney general, this is about the Democrats. They're using him as a punching bag to get to the president.

HENRY: The White House, meanwhile, is using the threat of a potential summer terror attack to try and speed through a small package of changes to the law overseeing the surveillance program.

According to a letter obtained by CNN, Director of National Intelligence Mike McConnell on Friday told House and Senate leaders, "... in light of the urgency of the situation, I offer the attached significantly narrowed proposal, focused on the current urgent need of the intelligence community to provide warning of potential terror attacks."

(On camera): Democrats say they're reading the changes closely to make sure nothing controversial is being pushed through too quickly. But after months of stalled talks, Democrats say they're close to a deal that would give the White House short-term tweaks to the program. A major clash over bigger changes is coming in September. Ed Henry, CNN, Washington.

(END VIDEOTAPE)

SANCHEZ: Here's the story tonight that has a lot of critics of the administration fuming mad. A planned sale of U.S. weapons to Saudi Arabia. The deal is an expected topic this week as the Secretary of State Condoleezza Rice and Defense Secretary Robert Gates visit the region as well. There they are.

Top administration officials are saying it's Washington's way of strengthening the defenses of the Saudis and other moderate Arab allies against menaces like Iran and Al Qaeda and, quote, "terrorists." But there are skeptics.

(BEGIN VIDEOTAPE)

REP. JANE HARMAN (D) CALIFORNIA: I think the record is extremely mixed. And Saudi Arabia continues to fund the terror movement in the Middle East. They continue to try to get -- wreak havoc inside, with the civil war in Iraq. And I also think that the reason we have this huge Al Qaeda menace had with Saudi Arabia exporting that movement out of its country.

(END VIDEO CLIP)

SANCHEZ: The deal still needs congressional approval. Lawmakers could see the proposal by sometime next fall. We'll be following it here at CNN.

Let's talk about weather now. In the Northeast, it could just be plane bad. By the way, that p-l-a-n-e. As in zoom-zoom plane.

JACQUI JERAS, CNN METEOROLOGIST: Yeah, nice pun there.

SANCHEZ: Jacqui, Jacqui, Jacqui, what you got?

JERAS: It's not just the Northeast, either, Rick. It's the Southeast, too. People have been hearing a lot of noise outside, from Mother Nature. And it's still an ugly mess at the airports. If you're traveling at all, today or tomorrow, it's a forecast you won't want to miss.

SANCHEZ: Great. I am. Thanks for the good news -- not.

Also ahead, for many becoming a U.S. citizen is priceless. It's also getting pricey. As if they want a green card, they're going to have to pay for it. See this guy, we're going to show you right here? You got him, Rodger?

He's smiling right? He's got a lot of stories to say about this, because he came that way himself. This guy is as popular as Rush Limbaugh in L.A, by the way. Got one of the hottest radio shows out there. You're going to hear what he has to say in just a little bit. Hang on.

Also, they may top the polls nationwide, but Rudy and Hillary are not faring as well in independent Iowa. Why? You're in the CNN NEWSROOM, coming right back.

(COMMERCIAL BREAK)

SANCHEZ: We welcome you back. I'm Rick Sanchez. Here again in the CNN NEWSROOM.

About those airport delays tomorrow, Jacqui Jeras checking that off for us. I can't tell you who it is, but I can give you his initials. I know who's going to be paying a lot of attention.

Rick Sanchez, some Spanish name like that.

JERAS: Where you going?

SANCHEZ: Phoenix. Putting a piece together for Anderson Cooper on the helicopter crashes.

JERAS: OK, safe travels to you hopefully.

SANCHEZ: When am I going to be able to get out?

JERAS: You might have a little trouble here. Phoenix is having the pop-up thunderstorms. But it's been pretty good the last couple of days. I think you'll be okay there. Here might be your trouble.

(WEATHER REPORT)

SANCHEZ: Across the country immigrants are racing to beat the clock to become American citizens. Why? Because the fees double tomorrow. The cost to get a green card is nearly tripling. That's a lot of pesos, folks. The Customs and Immigration Service said the fee hikes are necessary to deal with the large number of people wanting to become citizens.

Los Angeles' favorite radio deejay is Eduardo Sotelo, or he probably goes by Eddie. A Mexican immigrant himself with the highest- rated radio program in the United States in many ways. He's joining us now.

I want to start by asking you this question, because I was reading your file. You came to the United States in the trunk of a car? Is that true?

EDUARDO SOTELO "PIOLIN", RADIO TALK SHOW HOST: Yeah, that was in 1986 when I came to the United States.

Rick Sanchez, how are you doing? Thank you for letting me be here.

SANCHEZ: It's a pleasure to talk to you. Hopefully we'll have some pretty good discourse on this. That's the way you came, huh?

Let's go back to this topic now. I'm thinking if I'm an immigrant and I want a green card, I'll get on my knees and I'll walk on glass to get it. The fact that they're charging another $300, big deal, right?

PIOLIN: You know what, this is another obstacle that we had to just, you know, jump so we can get the citizenship. And a lot of people were working so hard already so we can be here in the United States, you know, legally. And I'm sure a lot of people are going to make it happen. Since we started last year, inviting people to become citizens, a lot of reports from Immigration office saying that it jumped 100 percent, the increase of the people --

SANCHEZ: But see, that's the point that I think a lot of people don't understand. And maybe sometimes that's where I have a disagreement with my good friend and colleague Lou Dobbs, for example. The onus, every one seems to think is on the immigrants, thinking maybe they don't want to become citizens. They want to become citizens, the system hasn't let them become citizens. There doesn't seem to be an invitation for them to be able to do so, right?

PIOLIN: Yes, Rick, one of the things we have to understand is that, as an immigrant, we contribute on the economy of the United States, and we have to try to tell our people, our neighbors, the American family, that, you know what? We're trying to contribute. We're trying to help our community at the same time.

Let's go back when you went to the Katrina to report for CNN.

SANCHEZ: Right.

PIOLIN: I remember that, you know, people told me you were there, at the same time we were working with the American Red Cross. And on my show, I was inviting my listeners to bring us food, for the people who were in need, at that moment. My listeners never came to me on the streets, giving us food, asking me, Piolin, this is food, or water, that you're going to give to a Latino family? No! Our immigrant people, our listeners and said, this is the water to take to the family that is needy.

SANCHEZ: But, by golly, here's my point. If you're going to be in the United States living, you should, a, try and get accustomed to the language, the culture and become legal, become a citizen of the United States. Get your residency, get the ball started. Too often people don't do that. What I'm trying to figure out is, is it because it because they don't want to, or because they feel so scared and so removed from the system that they don't know how to -- and it's not inviting enough for them?

PIOLIN: Most of the time, Rick, it's because we're kind of scared. This is a new nation, a great nation, America. And what we're doing right now on my show on Univision, on Channel 24, Ellaio (ph) is a not-for-profit organization, and so many non-profit organizations, we invited people and telling them how to become citizens, on the street with our promotions department.

SANCHEZ: And are they responding? Do you see people saying, hey, yeah? Are you seeing them doing it?

PIOLIN: Yes. Because we're giving away the guides of how to become citizens at the same time. Here you can find all the documents that you need to apply for a citizenship. Plus we can find the questions and the answers when you're going to take the exam to become a citizen.

SANCHEZ: El Piolin, un placeda (ph). (SPEAKING SPANISH) Mucho gracias.

PIOLIN: Por a mi es an honor!

SANCHEZ: Thank you. It's an honor for me as well. Eduardo Sotelo, right there, a Mexican immigrant himself. We'll do it again, my friend. Thanks for having the conversation.

PIOLIN: Thank you, Rick.

SANCHEZ: It took them decades to do it. Now doctors feel like they have hit a genetic jackpot. Gene pot is what they're calling it? Whatever you call it, scientists hope it's a huge step in the fight against multiple sclerosis.

And their your two national front runners for presidential nominations. Until they get to Iowa, that is. Then the story, and the lead changes. So how does the Hawkeye State roll? We'll bring it all together for you. Stay with us. We'll be right back.

(COMMERCIAL BREAK)

SANCHEZ: We've got a visitor over here, by the way. We'll be talking in a minute. Don't say anything yet.

Multiple sclerosis is an unpredictable, it's a mysterious, it's a nervous system disease. And many of us have followed it and have had family members who have had to deal with it. Some patients suffer from numbness as a result, blindness, or life in a wheelchair. Some 400,000 people in the United States have this.

Every hour, another person is diagnosed with it. After a decades-long search, researchers have now identified new genetic risk factors for this disease. And it's something we've been putting together for you. CNN medical correspondent Elizabeth Cohen has this story.

(BEGIN VIDEOTAPE) ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT (voice over): Thirty three- old Jennifer Paretta was diagnosed with multiple sclerosis ten years ago. Now her son is worried he could be next.

ANTHONY PARETTA, JENNIFER PARETTA'S SON: Am I going to have MS, mommy?

JENNIFER PARETTA, HAS MULTIPLE SCLEROSIS: No, you're not going to have MS in your life, you know why? Because they're going to come out with a cure.

COHEN: There's a reason 6-year-old Anthony is concerned. The disease runs in his family. Paretta's dad's twin brother had it. Right now there is no way of testing someone for MS.

But a breakthrough discovery may one day change that, 30 years after the first MS gene link was found, a long-awaited discovery. Analyzing the DNA of thousands of people with MS, researchers from around the world have identified two new genes they say increase an individual's risk of MS by 30 percent.

DR. JONATHAN HAINES, VANDERBILT UNIVERSITY: That now will allow us to understand much better what is going on with MS and then be able to, again, develop better treatments and better therapies for MS.

COHEN: Much about MS remains unknown. It's widely considered an autoimmune disease. Something makes the body attack and destroys insulation along nerve fibers, stopping the flow of information from the brain to the body.

But identifying two more genes will help solve only part of the MS puzzle. Most of the time people don't get MS because it runs in their family. They get it for reasons doctors don't fully understand.

Still, researchers believe this discovery puts them on track for eventual genetic testing, even preventing MS.

DR. JOHN RICHERT, NATIONAL MS SOCIETY: It gets us much closer to understanding the basic cause of the disease and to understanding how to prevent the disease in the first place.

COHEN: The discovery makes Paretta optimistic that one day a mom like her won't have to worry if her child will get MS.

J. PARETTA: I think my kids will be OK.

COHEN: And if they're not, she knows they can handle it.

Elizabeth Cohen, CNN, reporting.

(END VIDEOTAPE)

SANCHEZ: Three presidential candidates must be grinning ear to ear, after seeing the results of a new Iowa poll. They're all showing big gains. Senior political analyst Bill Schneider said Iowa voters are used to going their own way.

(BEGIN VIDEOTAPE)

WILLIAM SCHNEIDER, CNN SR. POLITICAL ANALYST (voice-over): The frontrunners in the national polls are Hillary Clinton and Rudy Giuliani. But there isn't any national primary. The race starts in Iowa. And national trends don't mean much in Iowa, where caucus goers are famous for not being trendy. Remember what happened in 2004 to national frontrunner Howard Dean in Iowa?

HOWARD DEAN, DNC CHAIRMAN: Take back the White House!

SCHNEIDER: A new poll of Iowa Democratic caucus goers taken this week shows John Edwards in the lead with Clinton second and Barack Obama third. Both Clinton and Obama have dropped six points since the last Iowa poll in May. What happened? Here's one theory -

JOHN EDWARDS (D), PRESIDENTIAL CANDIDATE: Two good people, Democratic candidates for president, who have spent their time attacking each other instead of attacking the problems that this country has faced. And we -- we need to be doing -- we need -- I got your attention with that one, didn't I?

SCHNEIDER: If Clinton and Obama are down in Iowa, who is up? Undecided is up the most. Plus Bill Richardson, whose dogged campaign may be beginning to pay off.

In the Republican race, national frontrunner Rudy Giuliani is coming in third in Iowa. Giuliani's now slightly behind Fred Thompson, who is not even a declared candidate yet. Mitt Romney is making a strong pitch to conservatives and now leads the Republican field.

MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: The most encouraging experience is going into a roomful of people, having that room somewhat skeptical as you walk in, but have a number of folks come up afterwards and say, you know what, I'm on your team now.

SCHNEIDER: If Romney is up in Iowa, who is down? John McCain. McCain was leading the field in May. Now he's coming in fourth.

(END VIDEOTAPE)

SCHNEIDER: If Hillary Clinton loses Iowa, it will nick her image of inevitability. She'll have to rely on New Hampshire to make her the comeback kid, just like it did for her husband. If Romney wins Iowa and New Hampshire, where he's also ahead, he'll then face a big test in South Carolina. Will evangelical Christians vote for a Mormon candidate? Bill Schneider, CNN, Washington.

SANCHEZ: Boy and Bill Schneider knows how to put those stories together that involve those numbers, doesn't he? Tonight in our Sunday spotlight, since we're rather passionate here about our politics, especially on Sunday nights, he was an old Southern Republican when it wasn't cool to be one. I'm going to talk to Senator Lamar Alexander about the white South's swing to the right, way right. How Democrats lost the South, and whether they're ever going to be able to get it back. It's a conversation that we're going to have tonight at 11:30 Eastern. Well, it's the debate that everyone's been talking about. If you missed CNN's groundbreaking interactive YouTube debate, you can catch it again tonight. We're going to have an encore presentation, complete with the cool music and the masks, and even the guy with the snowman suit. It's at 9:00 Eastern right here. Our newscast will come on right after it.

Up next, a group of young people that backed the war in Iraq. You're going to watch them then as they try to respond when asked if they back the war, they're certainly young enough to be able to join and go over there, why haven't they done so? Why haven't they even tried? Joshua Levs is going to be talking about that. That sounds interesting.

JOSH LEVS, CNN CORRESPONDENT: It is interesting. You know, what happened was one guy went to this meeting with a bunch of College Republicans, posed that question, put together this Internet video that is now catching a lot of praise, but also a lot of flack on the Internet. We're going to show you some of it and the responses that are going on. That's coming up, right after this.

SANCHEZ: Sounds like one of those all show, no-go stories.

Also, the popular Craigslist where you can buy almost anything these days online. And when I say anything, I'm not kidding. Prostitution on the Internet? Has it gotten to that level? Coming up right here in the NEWSROOM. Stay with us.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

ALI VELSHI, CNN ANCHOR: Your natural foods grocer might soon be changing its name. Whole Foods is trying to buy its main competitor, Wild Oats. But the Federal Trade Commission things the merger could mean higher prices for organic and natural foods. So they're suing to block the deal. Hearings in that case begin on Tuesday.

I don't have to tell you how much you're paying for gas. And you probably know that a lot of the increase in gas prices in the last couple of years have been because of problems with America's refineries. Valero Energy, the country's largest independent oil refiner is expected to report record profits this week thanks to you and your insatiable thirst for gasoline.

Much of last week's wild market swings were based on concerns on how American consumers will spend their money in the next few months. Lower house values and higher energy prices leave consumers with less money to spend in America's businesses, and that hurts stock prices.

On Tuesday, we'll get the monthly U.S. consumer confidence report. It's a survey of thousands of Americans about how they feel about the economy today, and what they think is going to happen in the coming months. Consumer confidence is often an indication of how Americans will spend in the near future. If you want more of this sort of thing, watch me on "Minding Your Business" each week day on "AMERICAN MORNING." That's it from New York. I'm Ali Velshi.

(END VIDEO CLIP)

SANCHEZ: Time for Josh's corner. A writer, opposed to the Iraq war goes to a national meeting of College Republicans and creates a video that's fuelling a hot political debate over the Web.

He says that he's exposing the quote, "hypocrisy of a group of young people who are behind the war but won't put their own lives on the line when it comes to the war."

CNN's Josh Levs here with Josh's corner now. This is interesting, because I know a football coach who used to say, it doesn't work if it's all show and no go. And it does appear that this is moving in that direction.

LEVS: You know what, a lot of people have associations when they see this. That's one reason it's catching on so big. It's really interesting. You know, first of all, we're talking about the ultimate political question in America right now.

It's all about Iraq. So what happens here, yeah, it boils down to one guy who went to this meeting, but he put together this video that right now is catching a lot of attention on the Internet.

And you're going to see here that some of the people he talks to may have been asked a question that they did not expect.

(BEGIN VIDEOTAPE)

LEVS (voice-over): Max Blumenthal is a writer who regularly takes on conservative politicians, positions, and groups. He has a new video on his Web site and on the "Huffington Post," tracing his visit to a meeting of the College Republican National Committee. Everyone Blumenthal interviews strongly supports the Iraq war.

UNIDENTIFIED MALE: So that we're not fighting them here in the United States.

UNIDENTIFIED FEMALE: Not even them, the Islamic fascists.

LEVS: But then Blumenthal asks something they may not have expected. Why haven't you enlisted?

MAX BLUMENTHAL, WRITER: Why are you not fighting them over there?

UNIDENTIFIED MALE: Why am I not fighting them over there? I'm in college right now.

UNIDENTIFIED MALE: I'm an undergraduate right now and I just had a scholarship. And I just didn't have any real -- I didn't have any strong urge. UNIDENTIFIED MALE: I don't think you can talk about this issue if you're not serving.

LEVS: Blumenthal staunchly opposes the war. He calls his video Generation Chickenhawk.

BLUMENTHAL: An ideology that says you can support this war, which is not supported by most Americans, and which is wearing down the military without serving it in any way, or participating in it, or making any kind of sacrifice.

LEVS: Isn't it possible to absolutely, thoroughly support a war but not enlist with no hypocrisy?

BLUMENTHAL: It's possible to absolutely support a war, but at this point, with the military worn thin, I think at this point it is hypocritical since this country probably needs them to serve.

NICK MICCARELLI, COLLEGE REPUB NATL CMTE: I think we should take it for what it is, and that's a political hit piece. It's totally one sided.

LEVS: The group's head, 25-year-old Nick Miccarelli is also in the National Guard, and served in Ramadi, Iraq.

MICCARELLI: People who support stricter laws and a lot of things in this country, and aren't necessarily willing to become police officers.

LEVS: He says some College Republicans do enlist.

MICCARELLI: We're more concerned with what the troops think about us than what a bunch of radical left-wing people think.

LEVS: Blumenthal, who's 29-years-old, summarizes his message in this shot and said he's had some positive responses from some members of the military.

(END VIDEOTAPE)

LEVS: And Blumenthal also, for the record, really rejects that radical left-wing label. He says, you know what, a lot of people in America agree with him.

And Rick, it's also relevant to keep in mind there have been a lot of Internet videos, and this whole argument over Iraq, and sometimes you've got people making fun of anti-war protesters as well.

SANCHEZ: Well, Blumenthal looks like a straight-up guy. But the people who are in his organization do seem to be taking a hypocritical position.

LEVS: Miccarelli? Yes. It's certainly - that's definitely the way Blumenthal sees it. And the fact is, one reason that he goes after this, one reason he thinks it's so important, is that to him, this isn't just a group of college people. He says, you know, College Republican organizations are the training ground for people who might one day lead the country.

SANCHEZ: I've got to tell you, the idea knowing that you want to be a politician when you're that age just looks a little superficial.

LEVS: But it happens. It's hard for us to believe because a lot of us didn't know that young.

SANCHEZ: Is that where people like Karl Rove came from?

LEVS: Karl Rove, Jack Abramoff, Ralph Reed. These people have their training ground in the College Republican organizations. So don't be surprised if some of the people that we saw there, are running the country some day. And that's what he says, relevant to challenge.

SANCHEZ: Seems a little strange, whether it's Democrat or Republican. By the way, it's interesting when you did this. Last week, I had some folks here. You may have seen our newscast last week.

We had a bunch of young college students visit us here in the studio for a CNN/YouTube debate. We were talking about Iraq. A lot of them said we should be in Iraq, I'm gung ho behind it, a lot of them also said that they weren't.

But then I asked the question, how many of you are now ready to go over there and defend your country and serve in Iraq? Watch what happens.

(BEGIN VIDEO CLIP)

SANCHEZ: We mentioned a little while ago when we started this conversation that you guys are of the age where you can be called to go. Raise your hand if you're ready to go? Raise your hand if you're ready to go to Iraq tomorrow.

MIRACLE JONES, GEORGIA STATE UNIV: I'm not allowed to go because I have medical issues that...

(CROSSTALK)

SANCHEZ: Is there anybody who is going to raise their hand and say they are ready to go to Iraq?

DAVID KIRBY, STUDENT, UNIV. OF GEORGIA: If my country needs me tomorrow, if they call me, if they draft me, then I will go.

SANCHEZ: You said it's the right war. So are you ready to go?

KIRBY: If my country need me to go, I will go.

DANIYAL INAMULLAH, STUDENT, EMORY UNIV.: Hey, if one Republican senator can send their kids in, I will go, too.

SANCHEZ: Thank you so much. We appreciate that, guys.

(END VIDEO CLIP)

SANCHEZ: That's interesting. You know, you hear a lot about the medical thing, don't you?

LEVS: You hear the medical thing used a lot. And maybe it's true, maybe it's not. You have no way of knowing. But the fact is, you know, as the war goes on, and the military needs more people, the pressure is going to be more and more on the young people. I'm telling you, the things that the young people who could enlist are saying is going to be more and more significant in the coming months, years.

SANCHEZ: Choose your words carefully.

LEVS: Watch out, someone might be taping you.

SANCHEZ: Thanks Josh. Good stuff, by the way, good talker.

Chasing, hammering Hank Aaron. Still ahead right here in the NEWSROOM, we're going to take you live to San Francisco. Barry Bonds, yes, it's hard to say his name without saying, steroids as well.

Also, one of the world's most popular websites meet the world's oldest professions. What? On the Internet, that, too? The story later, here, in the NEWSROOM.

(COMMERCIAL BREAK)

SANCHEZ: Here now, some of the most popular stories on CNN.com today. If you go and click, this is what you'll find.

A bizarre accident at a Philadelphia Phillies stadium put two workers in the hospital. One in critical condition. The twist, the men are brothers. One of them was driving a cart and somehow plunged down an elevator shaft, landing on the elevator, landing the elevator that his brother was riding on.

KISS singer Paul Stanley had to pull out of a California show after a scary health episode. During rehearsal, Stanley's heart rate suddenly spiked forcing paramedics to start an IV and give him a shot. The band played on, as a trio.

And a loopy stunt for a good cause. The town of Collinsville, Illinois, was knee deep in ketchup yesterday in the bid to create the world's largest ketchup packet. The Guinness Book attempt is also a fundraising drive for a local school.

By the way, log on to CNN.com for details of these stories. And a whole lot more.

Now, that question that we've been posing about the possibility of Internet prostitution? It hasn't gotten the attention of its notorious cousin Internet porn, but authorities are taking notice of this. Just this week, police in Oregon arrested two people in suspicion of promoting prostitution on Craigslist. More now from reporter Anna Song of CNN affiliate KATU in Portland. (BEGIN VIDEOTAPE)

ANNA SONG, KATU CORRESPONDENT (voice-over): This is video from the search warrant executed at the home on Park Avenue in Milwaukee. The center of operations, deputies say, for an Internet prostitution ring. Inside the home, deputies found drug paraphernalia and cash. John Rouse lives next door.

JOHN ROUSE, NEIGHBOR: Yeah, I've seen that on Craigslist, you know, they've got some -- they put their pictures on -- on the Internet.

SONG: You never imagined it would be right next door.

ROUSE: I'm 54. Nothing surprises me anymore.

SONG: Detectives say the ads on Craigslist, a free online classifieds Web site, made no attempt to hide what was being sold. This ad listed a 22-year-old woman named Brandy, touting she's ready to play all day, offering full services at $125 an hour.

DET. JIM STROVINK, CLACKAMAS CO. SHERIFF'S OFFICE: It's my understanding that these gals would rent a room for several days at a time, along McLaughlin Boulevard, then they would set up these business arrangement and have their customers respond to that location, as many as nine a day.

SONG: Here's the real Brandy, actually Randi Jo Goodwin and the man authorities say was running the operation, 41-year-old Jimmy Varner.

Both were arrested at Varner's home Wednesday in Milwaukee, both charged with promoting prostitution and both have bailed out. Clackamas County detectives say the problem goes far beyond prostitution. Rather the ripple effect of this alleged behavior on those who were innocent.

STROVINK: She was leaving, it's my understanding, her three children under the ages of five in the custody of a 14-year-old teenager while she was gone for several days at a time.

(END VIDEOTAPE)

SANCHEZ: That was Anna Song of CNN affiliate KATU reporting. We'll keep tabs on it.

Well, did he do it yet? That's the big question out of San Francisco today. Right Dan Simon? What's going on with Barry Bonds and the controversial record he is about to break?

DAN SIMON, CNN CORRESPONDENT: Hi there, Rick. It was a great day for baseball. But would it be a great day for Barry Bonds? We'll tell you coming up in the NEWSROOM.

(COMMERCIAL BREAK)

SANCHEZ: Most Americans don't like it, don't like him. They think he's a jerk. They think he's cheating. They think he's on steroids. But that's not the question. Oh, by the way, most Americans also think that the guy who's got the record right now, Hank Aaron, is one of the classiest guy who's ever walked or played baseball. Nonetheless, the real question tonight is, did he break the record?

Regardless of all that baggage, let's go down to Dan Simon and get the answer to that question. Dan, what do you have?

SIMON: Well, hi Rick. I can tell you, people here in San Francisco love Barry Bonds. And every time he came up to the plate today, you could feel the energy and excitement in that ballpark behind me. And I can feel the excitement even where I'm standing right now.

But I've got to tell you, Barry Bonds did not break the record today. He was one for four. The only thing he broke was his bat. He broke his bat, one of those times there at the plate. It looks like he may not break the record here in San Francisco. The San Francisco Giants are headed to Los Angeles for a series next week against the Dodgers.

I've got to tell you, this is one of these times where Giants fans are hoping that he does not hit a home run because they would like to see him break the record here in San Francisco.

Be that as it may, there is a lot of excitement surrounding this record. But you cannot have this conversation about Barry Bonds without bringing up those allegations, the allegations that Barry Bonds has used performance-enhancing drugs.

No question, Bonds' legacy will be debated for many years to come. Rick, they're trying to put all that aside here in San Francisco. They want to see him break the record and they want to see him do it on his home turf.

SANCHEZ: We know there's going to be an asterisk to this thing. Anybody whose ever followed the game. But there is a double standard here to a certain extent. Because the whole country was captivated by Mark McGwire when he broke Roger Maris's record. And yet the whole country seems to be boo-hooing this guy's achievement as he gets ready to break the record. So there seems to be hypocrisy in that, is there not?

SIMON: No question about that. That's true. And he's going to receive a lot of boos there in Los Angeles. Fierce rivals, the Giants and Dodgers. So expect to see maybe some beach balls with asterisks perhaps at Dodgers Stadium. We'll see about that.

SANCHEZ: Dan Simon, thanks so much. You'll be hanging in there let us know what happens hopefully when it happens.

There's much more ahead here on CNN tonight. Up next on "CNN SIU," the story of one of the worst aviation disasters in history. "CNN SPECIAL INVESTIGATIONS UNIT," details, decades of miscalculations and flawed assumptions about airline safety. Could it happen again? Don't miss "CNN SIU: TWA 800, No Survivors." That's next. Then at 9, an encore presentation of the debate that everybody seems to be talking about. The CNN/YouTube Democratic debate in its entirety tonight at 9 Eastern.

I'm Rick Sanchez. If there is breaking news, we'll be break back in and bring it to you right away. And then we'll bring you our newscast tonight right after the YouTube debate. We'll see you then.

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