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Bill Richardson Endorses Barack Obama; Flood Levels Worsen in Midwest; Investigation Begins into Breached Obama Passport

Aired March 21, 2008 - 10:00   ET

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


TONY HARRIS, CNN ANCHOR: At the top of this hour, both Obama and Clinton wanted it; Obama is getting it. The New Mexico governor Bill Richardson endorsing Obama at a rally just hours from now.
Jessica Yellin live from Indianapolis with details.

Jessica, good to see you. Good news for Obama. The endorsement should make for an pretty enthusiastic rally later today in Portland.

JESSICA YELLIN, CNN CONGRESSIONAL CORRESPONDENT: That's right, Tony. For Barack Obama, this is wonderful news for a number of reasons, because Senator Obama has been aggressively courting Bill Richardson ever since Richardson left the race as frankly have the Clintons.

But now Barack Obama has some good news to break the fate of bad news he's been buffeted by over the last few weeks. Also a strong argument to other superdelegates that, as Bill Richardson says, the time is now -- is here for Democrats to unite behind Barack Obama and to argue that they should form a united front against the Republican Party and end this primary.

At the same time, of course, this is very disappointing news for Senator Clinton who's been arguing exactly the opposite which is that they should let the voters in the next primary states decide before superdelegates go or sort of preempt the voters' decision by choosing a nominee.

Also, for Senator Clinton, this has to be a personal disappointment. As you know, Bill Richardson was a member of the administration and a close personal friend of the Clintons. So this has to be a morale downer for them.

I'll tell you, we should look for Barack Obama to emphasize Bill Richardson's foreign policy expertise. That's something Barack Obama could benefit from, having a strong ally with significant foreign policy experience on his team. And we will hear from both of them this afternoon, both at that event and then in a press conference afterwards -- Tony?

HARRIS: CNN's Jessica Yellin for us this morning.

Jessica, appreciate it. Thank you.

Former presidential candidate Bill Richardson throwing his support behind Senator Barack Obama. That will happen at an event scheduled to begin at 12:30 Eastern in Portland, Oregon. When it happens, you'll see it live right here in the CNN NEWSROOM.

HEIDI COLLINS, CNN ANCHOR: So who has been peeking at Barack Obama's passport file and what were they looking for? This is an investigation that's unfolding this morning at the State Department.

Our correspondent Zain Verjee is following the investigation for us.

So Zain, what more do we know at this point?

ZAIN VERJEE, CNN STATE DEPARTMENT CORRESPONDENT: Well, Heidi, we just got a little more information from the State Department spokesman Sean McCormack. He told us personally about the investigation. What he said was the acting inspector general here at the State Department, Bill Todd, he said, was on the case. Todd had been contacting the Department of Justice. He had a conversation with them this morning.

And McCormack told us that this -- the Department of State and the Departments of Justice will proceed together if it merits the legal realm. The Departments of Justice, he said, can step in. He insisted, though, this was nothing out of the ordinary. He said it's better to have the Department of Justice involved in the early stages so if down the line there is legal action to be taken they already know what's been going on.

But we asked him what exactly would the role be that the Department of Justice would play if they were going to proceed together. He wasn't clear on that. He said he'd give us a little more information when he had clarity on that himself.

Undersecretary of Management, Pat Kennedy is going to go off to Capitol Hill around noon today to meet with Senator Obama's staff and explain what exactly happened, how on earth it could have happened, and what they're going to do to try and resolve this situation.

One more thing, Heidi, Secretary of State Condoleezza rice, we're told, is going to call Senator Barack Obama directly. It's not happened yet but it's likely to happen later today.

COLLINS: Well, that will be interesting. So is there going to be an investigation, or no?

VERJEE: Well, yes, there is. The Department of Justice along with the State Department's acting inspector general is going to be looking into this. Right now the State Department is insisting that its current position on whether or not this was politically motivated in such a sensitive and volatile stage in the campaign and reflecting very poorly on the State Department itself.

What they're saying is this, "At this time it is our initial view that this was imprudent curiosity on the part of these three separate individuals."

They accessed Senator Obama's records on three separate occasions. They were not authorized. One on January 9, one on February 21, and the third on March 14. This happened, Heidi, in three separate locations here at the State Department, and apparently it was detected immediately, two of the contractors were fired and one was disciplined.

But the investigation is going to push ahead. The State Department saying that when the results come out they will make it public, and that they will involve professional investigators to decide what to do and how to handle things like the records, notes and e-mails and things like that. They talked to the legal department here and said, you know, you need to preserve those documents for review.

COLLINS: All right. CNN's State Department correspondent Zain Verhee this morning.

Thank you, Zain.

Race and religion, war and diplomacy. A major Democratic endorsement. Huge issues playing out in the presidential race this week. Insights coming up from our political insiders so you make sure you stay tuned for that.

HARRIS: Also, a big story this morning, flooding in the nation's midsection. We have been talking about these days now. And we will continue to talk about it. The water rises. The misery deepens to Missouri, Kentucky, Arkansas, to Indiana. Rivers are already spilling beyond their banks but most alarming, many aren't expected to crest until this weekend.

The devastation in power already staggering. Watch this video out of Calico Rock, Arkansas. Can you believe this? A building swept off its foundation and shattered against a bridge. The building gone, damage obviously to the bridge.

Throughout the region raging rivers have swallowed up entire neighborhoods. This is the scene in Fenton, Missouri. Residents there are scrambling to fill sandbags. At least 60 deaths are blamed on the flooding triggered by as much as a foot of rain in some areas. Two people are missing.

COLLINS: Wow. As you imagine, we are following all angles on this developing story. CNN meteorologist Jacqui Jeras is in Eureka, Missouri. Her colleague Reynolds Wolf, with a bigger picture in our extreme weather center.

Jacqui, let's begin with you. All of that water behind you.

JACQUI JERAS, AMS METEOROLOGIST: Can you believe this? Yes, the water is rising so rapidly here and now that the sun has come up people are waking up, getting out of their homes and assessing the damage thus far. And there are a lot of unhappy faces here in Eureka, Missouri.

I'm standing on what was highway W here in the Eureka area. It is covered with water. Off to my right is where the confluence of the Big and the Merrimack Rivers come together. You can't tell the difference between the two. In fact, locals here tell me that normally you can't even see water from this location.

There's 50 to 75 homes back there that are under water. You can see the water from these homes about mid level. On the first level of the house, we're talking to one of the home owners further back here. His name is Skip Jones, and he owns an old historic mansion on the other side. He said he spent all of yesterday getting all of his belongings, bringing it up to the higher level. And he has a lot of antique. But now that water is moving into the upper level.

Fire officials tell us that some of these homes may even become topped. That's how high the water is supposed to be before all is said and done. It's already almost 20 feet out of flood stage. It's expected to move up another ten feet. That's not going to happen until tomorrow afternoon.

Take a look at this cone that we have over here, Heidi and Tony. We started off this morning and put this cone here, 6:30, 7:00 Eastern Time. And take a look at how far the water has risen up the roadway since that time. And something else to think about. We've seen a lot of gawkers, a lot of people coming out with their cameras and with their videos. You don't want to get in this water if you don't have to. Look at all the debris that is washed up here. We're seeing all kinds of garbage and dirt. There's even a tennis shoe over there somewhere that I saw earlier.

So use a lot of caution. Officials say not everybody is listening to them. Some people are staying in their homes despite their best effort to try and get everybody out. In fact, there were several high-water rescues that took place near this area yesterday. About 10 to 15 people needed that help to get out and water -- rescue officials say they expect to do more of that today. In fact, they say they drove their boat up to one house and they were eye level to the attic window.

COLLINS: Wow.

JERAS: One man was staying in his home with his dog and he wouldn't get out. They're also worried about downtown, too. It's not just here under the river bank area. Downtown they've been sandbagging. There are 300 volunteers filling up the bags trying to protect some of the businesses.

If this river reaches the record flood stage that it's anticipated to by tomorrow afternoon or evening it will likely flood half of the downtown area with four to five feet of water. So things here in Eureka certainly getting worse before they're ever going to get better -- Heidi?

COLLINS: Oh boy. Certainly not what we want to hear. You got to get out, you got to get out of the home if you're there. I know that's -- they'll be able to watch us right now. (INAUDIBLE)

JERAS: That's right.

COLLINS: All right. Jacqui Jeras...

JERAS: You can replace things, not people.

COLLINS: Yes, absolutely. Jacqui Jeras live from Eureka this morning. Thank you, Jacqui.

HARRIS: OK. Just in to the CNN NEWSROOM, we have been waiting for reaction to the news that New Mexico governor Bill Richardson was endorsing Barack Obama. We have reaction from the Clinton campaign. Senator Clinton's statement on Richardson's endorsement.

And here it is, "Senator Clinton likes and respects Bill Richardson, but both of us have many great endorsers and the voters, not endorser, will decide this election. And there are still millions of voters in upcoming contests who want to have their voices heard despite the Obama campaign's push to disenfranchise Florida and Michigan and end this primary early."

"We believe everyone's vote should count" -- and this is the Clinton campaign's response to the endorsement of Barack Obama by New Mexico governor Bill Richardson. Of course that announcement, that endorsement to take place at 12:30 Eastern time today at a Barack Obama event in Portland, Oregon. When it begins we will bring it to you right here at the CNN NEWSROOM.

COLLINS: We want to get you back over to the weather situation that we've been telling you about. Reynolds Wolf is standing by here in severe weather station. Just to take a look at some of the maps and show us more about what Jacqui said, Reynolds, which is it's going to get worse before it's going to get better.

(WEATHER REPORT)

COLLINS: All right. Reynolds, thank you.

REYNOLDS WOLF, AMS METEORLOGIST: You bet.

COLLINS: As you know the economy is sputtering and it makes your head spin, doesn't it? We're going to field your tough money questions. Gerri Willis is ahead right here in the CNN NEWSROOM.

(COMMERCIAL BREAK)

HARRIS: Welcome back, everyone, to the CNN NEWSROOM. Good Friday morning to you. I'm Tony Harris.

Twenty-three years in prison an innocent man freed.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Today is a glorious day. It's a great day. I never gave up on this day.

(END VIDEO CLIP)

HARRIS: We unravel this bungled case in the NEWSROOM.

(COMMERCIAL BREAK) COLLINS: A crazy week of news affecting "Your Wallet." That's for sure. Here to make sense of the economic turmoil, Steve Moore, senior economics writer on the "Wall Street Journal's" editorial board.

Hi there, Steve.

STEVE MOORE, "WALL STREET JOURNAL" EDITORIAL BOARD: Hi, Heidi. Good morning.

COLLINS: All right. So Bear Stearns, the markets, oil and gas prices, I mean, we could go on and on. What are we supposed to think now that it's Friday? Obviously the markets are closed today for Good Friday, but I think a lot of people are really going to be trying to have a relaxing therapeutic weekend.

MOORE: Yes, well, unfortunately when they make the Easter Bunny cake and have their Easter dinner it might be a little more expensive this year, Heidi...

COLLINS: Yes.

MOORE: ...because inflation is up. You know, if you go to the grocery store you're going to notice obviously and consumers have been noticing this that milk prices, egg prices are up and of course, gasoline prices are one of the biggest things that's increasing. So I'm a little bit worried about inflation. Something we haven't worried about for a long time. But it's back.

COLLINS: Yes. Well, we're watching that, of course. A lot of the polls coming out now. People talking about that, too. Very concerned about it obviously. And then we look at the markets. I mean, talk about an insane week. The stocks rallied on Tuesday huge.

MOORE: Right.

COLLINS: And then slumped on Wednesday which we've seen before, I guess. But then actually ended the week up. So was this roller coaster a surprise?

MOORE: You know, this is the way these financial markets have been now, Heidi, for the last six months or so.

COLLINS: Yes.

MOORE: You'll have a day where the markets are up by 200, 250 points and then they fall. You know it really a -- the week really started with this Bear Stearns bailout. And I want to just briefly explain to people this, because there's a lot of confusion. When most people think about the big failure or a run on banks, do you remember that movie, Heidi, "It's A Wonderful Life" with Jimmy Stewart?

COLLINS: Yes, of course.

MOORE: Remember when, you know, it's the savings loan. Everyone banging on the door to get their deposits out. COLLINS: Yes.

MOORE: And that's why we created something called deposit insurance. So what now when you put your money into a bank it's federally insured. What's new here about this Bear Stearns bailout or rescue plan or whatever you want to call is it that Bear Stearns is not a bank, Heidi. Bear Stearns is an investment company.

COLLINS: Exactly.

MOORE: This is the first time in, I think American history, where the federal government has come in and provided a rescue package for an investment firm not a bank. And so --

COLLINS: Well, they were terrified of the domino effect, the possible domino effect.

MOORE: They were. But you know, I'm a very mixed minds about this because, you know, the reason our capital markets work is when people take risks in the market. They get the reward if the risk bears out.

COLLINS: Of course.

MOORE: But they also bear the cost. And in this case now the federal government is coming in and saying, you know what? If your risk doesn't turn out we might be there to provide a cushion for you. And then the question is, well, does this mean the federal government will bail out insurance companies? Microsoft, Boeing, any company -- any big company that gets in trouble? Free market out (INAUDIBLE), that makes me a little bit nervous.

COLLINS: Yes. I can absolutely see your concern there. I think a lot of people are wondering the same thing. But as we get back to some of the other issues...

MOORE: Yes.

COLLINS: ...of the week, it was a long week because that whole thing started on Sunday.

MOORE: Right.

COLLINS: It seems like it made things last a little longer. And oil prices, crude oil prices hit a record on Monday. Gas prices, all- time high on Sunday. And then, now, today, we're looking today, they're actually down, I mean, ever so slightly but they are down.

MOORE: Yes.

COLLINS: So what do you think? Could this continue? Could they continue to go down?

MOORE: Here's the story I think on these rising commodity prices. What you've seen is in the last six years, the price of gold, and that's -- really the most important commodity of all, has gone from $350 an ounce. And remember, earlier in the week, Heidi, gold went to $1,000 for the first time in history. That was not exactly a red letter day.

Now gold prices have come down a little bit. Oil price hit $110 a barrel. I am old enough to remember, I don't know about you, Heidi, I remember when oil was at $20 a barrel. And now it's hit a high of 110. And the point about all this, is it a sign of what we started this conversation about, inflation.

When you have the dollar falling, as it has been doing for the last 18 months. That means all of these things that we buy get more expensive because you're dollar buys less.

COLLINS: Yes, Absolutely. You know I don't remember that $20 a gallon. You're very, very much older than me, you know.

MOORE: Well, it wasn't so long ago. But you know, I never thought I would see the day when we had $100 a barrel of oil.

COLLINS: Yes.

MOORE: It was one of those things. And also I never thought I'd see the day when we had $1,000 a barrel. And here's the point. This dollar bill, this dollar bill has been falling relative to every currency in the world. An it's a very depressing thing when the American dollar, Heidi, is now worthless than the Canadian dollar. I mean how humiliating is that?

COLLINS: Yes. Well, it's not so good.

All right. Steve Moore, appreciate it so much, senior economics writers on the "Wall Street Journal's" editorial board.

MOORE: Things are going to get better, I promise.

COLLINS: All right. Thank you, Steve.

Could we -- want to get to Condoleezza Rice making some comments here regarding Barack Obama.

Let's listen in.

CONDOLEEZA RICE, SECRETARY OF STATE: ...who will get to the bottom of it and make certain that nothing more was going on. We are in contact with the senator's office and indeed will provide briefings concerning this incident. But none of us wants to have a circumstance in which any American passport file is looked at in an unauthorized way, and in this case it should have been known to senior management. It was not, to my knowledge.

And we also want to take every step that we can to make sure that this kind of thing doesn't happen again. I can't comment before there's an investigation but there will be a full investigation.

(CROSSTALK) RICE: I've talked to the senator. I told him that I was sorry and I told him that I myself would be very disturbed if I learned that somebody had looked into my passport file and, therefore, I will stay on top of it and get to the bottom of it. Thank you.

COLLINS: All right. There you have, Secretary of State Condoleezza Rice making some comments on the story we've been telling you about today, about Senator Barack Obama's passport file that had been looked into by three people, two from the State Department -- three from the State Department. Two of them were contract workers. They have sense been fired. And the third disciplined is what we're being told.

Currently, she did make a phone call to the senator and you heard her comments there that she said she was sorry and that she, too, would be very concerned if someone looked into her passport file.

We will continue to follow this story as you might imagine and the investigation that is under way now.

HARRIS: A helping hand from a philanthropist with so much to illegal immigrants but so little.

(COMMERCIAL BREAK)

COLLINS: Real quickly, one of the top stories we are following today. We just heard from Secretary of State Condoleezza Rice who had made a phone call to presidential hopeful and Senator Barack Obama regarding this apparent passport breach that happened and we now know that two contractors working for the State Department as well as another one, two of the three have been fired. A third has been disciplined for looking into this passport file on three separate occasions of Senator Barack Obama.

There is an investigation going on. We want to find out the very latest now. Our State Department correspondent Zain Verjee has been following the story all morning long.

And Zain, I wonder, you may not know the answer to this, but I know that there's been quite a bit of discussion about which portion of the file was accessed. Was it the passport application, which I understand has some pretty limited information on it? Or was it the full file that would have obviously had a lot more sensitive information?

VERJEE: Well, the State Department isn't being specific about that. With everyone I've talked to here, what they've said is that what's really on the file is fairly minimal routine information, things like bio information, your birth date, emergency contact, Social Security number, they would have been possible photographs. I'm told also scanned copies of passports applications.

So in terms of anything more sensitive in that nature, the State Department hasn't revealed that if that is the case. But nonetheless, breaching the security here and going into this files that are protective under the privacy act is a big problem and embarrassing to the State Department and they're trying to get on top of this as quickly as they can.

COLLINS: In fact, Zain, I just -- a few moments ago we did hear from Secretary of State Condoleezza Rice who had made a phone call to the senator essentially apologizing to him that this had happened. Let's go ahead and listen for just a moment to what she said.

(BEGIN VIDEO CLIP)

RICE: We are very concerned about this. It appears on the first examination that indeed the system worked, in that there is a flag that goes up if there's any unauthorized look into files of that kind. We are going to do an investigation through the inspector general who will get to the bottom of it and make certain that nothing more was going on. We are in contact with the senator's office and, indeed, will provide briefings concerning this incident.

But none of us wants to have a circumstance in which any American's passport file is looked at in an unauthorized way, and in this case it should have been known to senior management. It was not to my knowledge. And we also want to take every step that we can to make sure this kind of thing doesn't happen again.

I told him that I was sorry and I told him that I myself would be very disturbed if I learned that somebody had looked into my passport file and, therefore, I will stay on top of it and get to the bottom of it.

(END VIDEO CLIP)

COLLINS: Zain Verjee joining us again now.

Zain, after listening to that, there are also more questions about how quickly this information, once discovered, was sent up the chain so as to have, as Condoleezza Rice said, that system work?

VERJEE: Well, the State Department is saying it worked in the sense that a breach was detected and a flag went up. Let's be honest here. I mean there was a major failing here. And the State Department has acknowledged that.

But they only discovered that this happened yesterday. They were told yesterday afternoon when a reporter phoned them up and started asking questions and they checked it out and they found out, yes, in fact, that it happened in January, in February and again earlier in March.

And what they're saying is, is that once they realized this was a case, they immediately let Senator Obama's aides on the Hill know. But it's a major failing and the State Department has been embarrassed by this and they're trying to rectify it by launching an investigation.

COLLINS: All right. Zain, we know you'll stay on top of it for us. As always, Zain Verjee this morning.

Thanks, Zain. HARRIS: Tax rebate, home buying and student loans, those are the topics, here are the questions. CNN personal finance editor Gerri Willis answering your e-mails this morning.

Gerri, Good Friday to you. Good to see you?

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Hey, Tony, good to see you.

HARRIS: Ready to dive in here?

WILLIS: Let's go.

HARRIS: All right.

Donna in Montana writes: "Oh Gerri, what is your advice to a young person who wants to buy a house, starting out with a degree no debt but fearful of a mortgage and playing the debt game?"

WILLIS: Donna, it's natural to feel hesitant about taking on a lot of debt, especially when you think about the current credit crisis and the number of foreclosures out there. But look, if you are ready to be a homeowner you will find some great deals out there right now.

The trick to getting the right mortgage is to figure out how much house you can afford. You want to make sure that you spend no more than a third of your income and calculate in the other expenses that all homeowners face like maintenance, taxes and insurance and be sure to have a down payment of at least 20 percent when you're buying a home.

HARRIS: You may as well forget about zero money down on a home right now.

WILLIS: Not so much, no. They're not doing that.

HARRIS: OK, Lori in California writes: "When I get my rebate check I'm debating on whether I should pay off debt. I hear we are supposed to spend this money and paying off debt is not spending money. So, should I spend my $1200?"

WILLIS: Lori, you know the government may say spending that check on, say, a flat screen TV or a new laptop as your patriotic duty. But the smartest thing you can do is pay down your high interest debt. Now that means targeting your highest interest credit card, paying that off, maybe you want to knock out an extra mortgage payment.

Of course, there's not to say you can't enjoy some of the money. Look, the bottom line here, what you're really obligated to do is take care of yourself and your family.

HARRIS: You've been consistent on that, you know, if you have some debt issues take the money. You've been really consistent.

WILLIS: Well, I mean, it makes a lot of sense to people out there.

HARRIS: I think it does. Apollo writes: "Gerri, I have a combination of government student loans and private loans, I will be starting my payments next month. I would like to consolidate my private loans into one low rate."

What's your advice?

WILLIS: Well, good idea though, keep in mind the consolidating will get a lower monthly payment and it stretches out the life of your loan. You really want to think about, first things first here. Is that ultimately with private loans they're going to want to have a good credit score when they lend to you.

If you've just graduated your credit is probably at a low number. Credit rating agencies don't even know you. Once you've been in the workforce for a year or two, you've been paying down your debt, your credit score will rise and the interest on your consolidation loan will go lower.

HARRIS: Nice.

WILLIS: That's what we want.

HARRIS: Time for one more?

WILLIS: Sure.

HARRIS: This is from Wilma from the town of Bedrock, I'm sorry from Texas, who writes, Gerri -- I'm sorry, I'm sorry, to your credit report. A short sale and a foreclosure is basically the same thing. It will be seen as a deficiency on your account and both are devastating to your credit score says foreclosure attorney Mauri Brenner. Look at your -- no, this is your information.

How different is the impact on your credit rating from a short sale to a foreclosure.

WILLIS: Well you've got the answer right there Tony.

HARRIS: OK.

WILLIS: You know that's the thing, you hear this all the time. People are thinking, should I do a short sale, should I go into foreclosure. Ultimately what's going to be worst for me, they're about the same, I have to tell you. Neither is good. They're both devastating to your credit score.

What you want to be sure that you do is if you have to do either one, that you take great care in building up your credit behind that, after that make sure that you're paying absolutely everything you can on time. You can fix your credit score but it will take you some time.

Be sure to send us your questions at toptips@cnn.com and don't forget, tune into "ISSUE #1" today at noon and all next week. We're looking at your debt, your housing, your job and your savings -- Tony.

HARRIS: With all of this on your plate, do you have time for "Open House" this weekend?

WILLIS: Yes, well definitely, we don't leave "Open House", come on. We are going to talk about being debt free. Health care and your credit score. You're definitely going to want to tune into that, interesting info, and being displaced by foreclosure. 9:30 a.m. Saturday right here on CNN, Join us. I know you will be there Tony.

HARRIS: I'll be there, we love it in our house, that's for sure. Thanks Gerri, appreciate it.

WILLIS: Thank you.

COLLINS: You know I have to say I figured out what our problem is today.

HARRIS: What's that?

COLLINS: It's because downstairs, we're still doing a lot of work and cleaning up the CNN Center from the tornado that came through and all the damage.

HARRIS: Yes.

COLLINS: And the whole atrium down there where we get our coffee, closed.

HARRIS: Oh, oh.

COLLINS: No coffee. We're just not with it. Come on, I'm trying to make excuses for us.

HARRIS: What's our problem?

COLLINS: I don't know.

Up hill climb. Hillary Clinton's past, three things need to happen for her to get to the top. We'll take a closer look coming up in just a moment.

(COMMERCIAL BREAK)

HARRIS: Hillary Clinton still trails Barack Obama in delegates but some new opinion polls show her moving ahead of Obama in national popularity among democrats. A Gallup poll conducted between Friday and Tuesday gives Clinton a 49 to 42 percent edge. That's more than the sampling error of three percentage points, that's for sure. Gallup says it's the first statistically significant lead for Clinton since just after Super Tuesday.

COLLINS: Three keys to victory. What Hillary Clinton needs to save her campaign? Here's CNN's Tom Foreman.

(BEGIN VIDEOTAPE) TOM FOREMAN, CNN CORRESPONDENT (voice-over): Trailing Obama in delegate states won and the popular vote, Hillary Clinton needs a trifecta of events to salvage her hopes for the nomination. First, the Pennsylvania primary.

SEN. HILLARY CLINTON, (D-IL) PRESIDENTIAL CANDIDATE: I'm going to work hard across Pennsylvania, every corner of the state.

FOREMAN: She is heavily favored to win there, but she wants to win big. A decisive victory would bolster the case that she knows how to fight and can take the big population centers the democrats will need in the general election. Second, she needs Florida and Michigan. The Democratic National Committee has resisted reinstating the delegates stripped from those states and Clinton did not complain back when it happened. But now --

CLINTON: Ignoring Michigan and Florida would be a grave mistake.

FOREMAN: Now, even though any revote seems unlikely, she desperately needs any deal to bring those delegates back and give her more than a 50 percent cut. And third, she needs the superdelegates. Recent polls show both Clinton and Obama would run dead even with McCain in November. But, Clinton insists she is more electable than Obama.

(on-camera): And if enough superdelegates believe her, they could effectively override the popular vote and give her the nomination.

(voice-over): So, what Hillary Clinton needs most of all right now is time, because remember, she is behind and the convention is coming.

Tom Foreman, CNN, Washington.

(END OF VIDEOTAPE)

HARRIS: Allegations of sex for a green card. "The New York Times" reports a U.S. immigration officer has been arrested for demanding sex from a woman seeking citizenship and she recorded the incident on her cell phone.

(BEGIN AUDIO CLIP)

UNIDENTIFIED FEMALE: I don't know. Tell me. We going to be friends, or?

UNIDENTIFIED MALE: Be friends. I want sex, one or two times. That's all. You get your green card you won't have to see me anymore.

(END OF VIDEO CLIP)

HARRIS: Wow. The agent himself an immigrant has been suspended without pay while an investigation is under way. He pleaded not guilty to federal charges of coercing a young woman to have sex. COLLINS: He's a mystery millionaire. His money helped illegal immigrants get out of jail after a raid in Massachusetts. He remained anonymous for nearly a year.

Now he's explaining why he did it to CNN's Dan Lothian.

(BEGIN VIDEOTAPE)

DAN LOTHIAN, CNN CORRESPONDENT (voice-over): Lots of wealthy business people give money away, but to people accused of breaking the law?

UNIDENTIFIED MALE: It is an obligation, if you have the choice to be philanthropic.

LOTHIAN: Last March federal immigration agents raided a factory in Bedford, Massachusetts and detained more than 350 suspected illegal immigrants. Some were split up from their families and shipped to Texas. That caught Robert Hildreth's attention.

ROBERT HILDRETH, BOSTON FINANCIER: Struck me, when these people are in jail, how are they going to get out? They need bail money. Looking at a national city right now --

LOTHIAN: Hildreth who made his riches in finance started writing checks with one condition.

HILDRETH: I wanted the families to put up some of the money so that everybody involved would understand there would be a very heavy price for jumping bail.

LOTHIAN: Hildreth says he's funded other immigrant causes but never posted bail for anyone until now when he shelled out $130,000.

HILDRETH: And by God, 40 people ended up being flown back to Massachusetts with bail.

LOTHIAN: What motivated this? Why did you decide to do this?

HILDRETH: I have a long record of helping these people. I saw this as a front line of the fight over immigration.

LOTHIAN: Aren't you just helping people who are breaking the law?

HILDRETH: What I did was I allowed these 40 people to have their day in court. Some of them have already been deported. Their day in court has happened and they have been sent back. I'm OK with that.

LOTHIAN: Harvey Kaplan is an immigration lawyer who represented some of the factory workers who got Hildreth's bail money.

UNIDENTIFIED MALE: There are people out there I'm sure who will give him a lot of flack.

LOTHIAN: Like Ken Pittman, a New Bedford conservative radio host.

UNIDENTIFIED MALE: I just wish he had that sort of compassion for the Americans that are displaced, that are competing for the limited funds.

LOTHIAN (on-camera): Hildreth says he doesn't mind the criticism. His wealth has allowed him to do what he thinks is right, even if it's not always popular.

Dan Lothian, CNN, New Bedford.

(END OF VIDEOTAPE)

HARRIS: Convicted of killing. He waited a quarter century for justice to show up at his prison cell.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: But I knew that this day would come because, like I said earlier, I never asked for mercy. I only asked for justice to be served.

(END OF VIDEO CLIP)

HARRIS: Twenty-five years in prison and he is not bitter. The story in the NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: As you know, it is Good Friday but some retailers have their sights set on another holiday, a sales tax holiday. Stephanie Elam is in New York with details on it.

Hi, there Stephanie.

STEPHANIE ELAM, CNN CORRESPONDENT: Hey Heidi.

Yes, no, we've been talking about this a lot. When are those rebate checks going to come out? In May the first of them will start making their way back to Americans. The checks are going to be up to $600 for individuals and $1,200 for couples plus $300 for each child that you may have.

With the economy sagging and many people struggling, those checks for some people just can't come soon enough. But will consumers spend them, maybe they'll save them or use the money to pay off debt. So to encourage spending and give a boost to local businesses, Illinois, Missouri and New York City are all considering sales tax holidays this spring. That means you spend those rebate checks for certain items without paying sales tax. You'll like hearing that.

COLLINS: I love that.

ELAM: I know, isn't that a happy thing?

COLLINS: I'm coming up to visit you by the way. ELAM: Yes exactly. You have to come on up.

National Retail Federation is hoping other places will follow suit. The sales tax in New York City is more than 8.25 percent. That's a healthy chunk of change. We just got more news too that says 40 percent of the checks that will go -- forty percent of the checks that are going to go out will be spent on shopping. So obviously that's a big deal to take a look at a number like that. In the past retailers have seen big bumps during tax holidays.

COLLING: Sure, well that's what you're hoping for. I just saw some very cute shoes in that video you were showing.

ELAM: I'm so glad to know you were listening to me.

COLLINS: Gold, about six-inch heels, they are awesome. Anyway, back to the news. This holiday weekend though, a lot of people are going to be hitting the road to be with family. It's a holiday. Even though they're going to be paying pretty darn high gas prices we know that the prices are down just a tiny, tiny bit today but it's still high.

ELAM: Down this much.

COLLINS: Yes I know.

ELAM: Can you see that?

COLLINS: Yes, OK.

ELAM: Let's start with the good news. Gas prices have steadied in the past few days, and our off the record high, but literally only by one penny. The nationwide average fell to $3.27 a gallon.

COLINS: It's a penny.

ELAM: It's a penny. It still has value. Well, some people are like, no, they just leave them on the street I see them on the street, people are walking past them. The nationwide average fell $3.27 from a record of $3.28 on Sunday. A year ago at this time we were paying $2.57. Remember that? We thought that was awful back then. Way back then, until last year.

Now it's 70 cents higher. Of course that is money that is no longer in our pockets and therefore can't be used to spur the economy, pay down debt or save for retirement. It does have an affect here. As you mentioned, it is Good Friday, so the stock markets are closed.

That's why I'm not at the New York Stock Exchange right now. Yesterday the Dow wrapped up a volatile week jumping 261 points. For the week, actually the Dow and the NASDAQ -- I'm sorry, the Dow and S&P added about three percent, NASDAQ better by about one-and-a-half percent. So it's still an up week -- Heidi.

COLLINS: I know, it's amazing that it's an up week though. Isn't it? After all that. ELAM: It was a lot to track, too. Up 400, down 200, you know up, it's hard to keep up.

HARRIS: I know, it's probably best it's closed today.

ELAM: Yes.

COLLINS: All right. Stephanie Elam, thanks so much.

ELAM: Thanks.

HARRIS: You will love this next story. He thought he would die in San Quentin but he never stopped believing in his innocence. Now that faith has paid off.

(BEGIN VIDEOTAPE)

WILLIE GREEN, CLEARED OF MURDER: I'm talking to you on a cell phone.

HARRIS (voice-over): A new day for Willie Earl Green, the first time he's used a cell phone. And even better, the first time he's embraced his wife outside of prison or courtroom. Green was released Thursday after nearly a quarter century behind bars.

He had been found guilty in a 1983 crack house killing. But his conviction was overturned when a witness recanted his testimony four years ago. Green said he wasn't bitter about the long wait for justice.

W. GREEN: If I want God to forgive me for my sins and who am I? I'm not God. So I have to forgive him for what he did to me.

HARRIS: Green also forgave the forewoman of the jury that convicted him. He admits to making mistakes before he was imprisoned but he says he turned his life around in San Quentin, getting a college degree and becoming a teacher and meeting the woman who would become his wife.

MARY GREEN, WIFE OF WILLIE GREEN: The best thing that has ever happened to me in my life, today, well I can't say the best. I was going to say the best. But the first -- the best thing was when I married Willie Green. And this is the second best because now he's going to be finally home.

HARRIS: And for Willie Earl Green, going home for the first time means intimacies may no longer be interrupted.

W. GREEN: You get one hug, one kiss, a brief hug and a kiss and that's it. So that's what I'm looking for them to come tell me now, you've got a brief one hug and a kiss and let's go. And you're too close to them cameras Inmate Green.

(END OF VIDEOTAPE)

HARRIS: Story of the day there. Here's another great thing about going home from the big house. The "Los Angeles Times" says Green is planning lobster for Easter dinner. My man.

COLLINS: When the contract's over but the tour of duty is not. A military policy gets Hollywood treatment.

(COMMERCIAL BREAK)

COLLINS: It's called stop loss, the military's policy of holding service members beyond their contracts. Usually in the time of war. It's also a new movie.

CNN's Kareen Wynter takes a look.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: By the authority of the president you've been stop lossed.

KAREEN WYNTER, CNN ENTERTAINMENT CORRESPONDENT: The movie "Stop Loss" gets at the core of what many consider a controversial military practice, when a soldier's contract is involuntarily extended.

UNIDENTIFIED FEMALE: How can they do this?

UNIDENTIFIED MALE: They're doing whatever they want to do. With a shortage of guys and no draft, they're shipping back soldiers who are supposed to be getting out. It's a backdoor draft that's what it is.

WYNTER: Actor Ryan Phillippe leads the film's young cast.

RYAN PHILLIPPE, ACTOR: You live every day over there hoping to get home and get home alive and to be forced back against your will is really -- can't imagine it.

WYNTER: Currently some 7500 active service soldiers are subject to stop loss. Since 2001, the policy is effected more than 100,000 soldiers. For Stewart McKenzie, the consequences were devastating.

STUART MCKENZIE, STOP-LOSSED SOLDIER: I think it's dishonest. I really don't feel if somebody wants to be at war and somebody wants to go, then let them go. But if they've done their four years, they've been like OK, I've signed the contract for four years and I'm done.

WYNTER: Like the characters in the film, McKenzie was 18 when he enlisted in the army. He was eager to serve his country but now questions the explanations the recruiter offered about the stop loss policy.

MCKENZIE: Basically made it sound like World War III and popped off and it would be activated but they said there's no chance. Don't worry about it. Just sign right here..

WYNTER: The army says stop loss is necessary to sustain a cohesive force and is used sparingly. McKenzie was months while still stationed in Iraq. Seven months after he was scheduled to finish his four-year contract, a roadside bomb severed his left hand and blew off part of his leg.

MCKENZIE: When you go over there, you're always just dodging bullets.

UNIDENTIFIED MALE: Waiting around to get blown up.

WYNTER: Now discharged on medical retirement, McKenzie's hope for stop loss, the movie, is that it helps people understand stop loss the reality.

MCKENZIE: Just to open everyone's eyes and let the people judge if they think it's right or wrong.

WYNTER: Kareen Wynter, CNN, Hollywood.

(END OF VIDEOTAPE)

HARRIS: Your passport information, it is protected by law. Why were State Department contract workers peaking at Barack Obama's passport file? New developments ahead in the CNN NEWSROOM.

(COMMERCIAL BREAK)

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