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Senate Passes Housing Bill; Obama Winds Down Trip Abroad; 17 Bombs Hit Ahmedabad, India; Fighting Foreclosure; Iraq Barred from Olympics; Jilted Bride Sues

Aired July 26, 2008 - 15:00   ET

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

FREDRICKA WHITFIELD, CNN ANCHOR: The U.S. Senate votes to lend the housing market a multibillion dollar helping hand, but how will that hand help you?
Right at the end of a campaign tunnel, just about 100 days to go until one of these candidates is elected president.

And you've probably heard this story, jilted bride gets some payback. But what's a broken heart worth these days? Our legal eagles will be weighing in.

Well, it took an extra day, but relief could be on the way if you're staring at foreclosure. The Senate has passed a wide-ranging housing relief bill worth billions of dollars. CNN's Kate Bolduan joins us now from Washington with more on this -- Kate.

KATE BOLDUAN, CNN CORRESPONDENT: Hi there, Fredricka. Well, it was a rare Saturday session for the Senate today but the housing bill passed with overwhelming bipartisan support.

Here's a little bit from Democratic Senator Chris Dodd, a sponsor of the bill, after the final tally.

(BEGIN VIDEO CLIP)

SEN. CHRIS DODD (D), CONNECTICUT: For Americans out there today with distressed mortgages, worried about their economic future, we hope this legislation will be the first piece of good news in a long time that we can actually respond to the situation and offer them some real hope.

(END VIDEO CLIP)

BOLDUAN: Now some Republicans remain concerned that this bill still puts too much risk on the American taxpayer.

Listen here.

(BEGIN VIDEO CLIP)

SEN. KAY BAILEY HUTCHISON (R), TEXAS: While I think it is important to restore confidence in Fannie Mae and Freddie Mac, and alleviate the housing crisis in our country, I think we should do better. I cannot support a proposal like this in its current form.

(END VIDEO CLIP)

BOLDUAN: So here are the main provisions of this massive housing assistance bill. Up to $300 billion in government guaranteed loans to allow homeowners who are facing foreclosure to refinance to more affordable mortgages. The bill also offers $15 billion in tax breaks including a tax credit of up to $7,500 for first-time home buyers. And there's $4 billion in grants to help communities fix up foreclosed properties.

Also the bill gives the government new authority to prop up mortgage giant firms Fannie Mae and Freddie Mac if necessary. But, Fredricka, now the bill heads to the president. And the White House says he will sign it into law as soon as he gets it. And that could happen early this week.

WHITFIELD: All right. So the president will likely sign it, but then this also kind of begs the question, can this country afford even this bailout?

BOLDUAN: That's something that clearly we can see from the debate this morning, that's something that people are talking about. There are some economists who are concerned that this bill, this package still doesn't do enough to prop up and turn around the housing market.

The Congressional Budget Office estimates that about 400,000 homeowners will benefit from that foreclosure prevention program, but the bill does allow for up to 2 million people to participate.

So there clearly is some concern that it doesn't do enough and it also may put too many taxpayers at risk. But as Chris Dodd said after the vote, it's a step -- it's a first step in the right direction, he says.

WHITFIELD: All right. Kate Bolduan, thanks so much, in Washington.

Well, while Congress deals with the mortgage meltdown, the bank crisis seems to be getting even worse. The feds shut down two more banks on Friday. First National Bank of Nevada and First Heritage Bank which has branches in Nevada, Arizona, and California, they will reopen Monday as Mutual of Omaha Branches. A total of seven banks have failed in all this year alone.

For your money, your concerns, be sure to check out cnnmoney.com for in-depth coverage and analysis. And every day at noon Eastern it's "ISSUE #1" with Ali Velshi and Gerri Willis right here on CNN.

All right. Democratic presidential contender Barack Obama heading back home where the presidential election is just about 100 days away. His eight-day jaunt across the world's stage went off without a hitch and now it's back to the issue that voters clearly care about the most, America's ailing economy.

Here now is CNN senior political correspondent Candy Crowley.

(BEGIN VIDEOTAPE)

CANDY CROWLEY, CNN SENIOR POLITICAL CORRESPONDENT: Hi from 10 Downing Street in London, the last stop on Barack Obama's week-long tour through the Middle East and Europe. This has been quite a trip for him. He was greeted warmly both on the streets and in the halls of power.

All along he was given a warm reception, but the question is, how indeed was this taken back home? And it's a question that Obama addressed as he prepared to head back to Chicago.

(BEGIN VIDEO CLIP)

SEN. BARACK OBAMA (D-IL), PRESIDENTIAL CANDIDATE: I wouldn't even be surprised if that in some polls that you saw a little bit of a dip as a consequence, we've been out of the country for a week, people are worried about gas prices, they're worried about home foreclosures.

So the reason that I thought this trip was important was I am convinced that many of the issues that we face at home are not going to be solved as effectively unless we have strong partners abroad.

(BEGIN VIDEOTAPE)

CROWLEY: John McCain and the Republicans took full advantage of Obama's absence from the U.S. campaign trail. McCain was out talking home and hearth issues, gas prices, mortgage foreclosures, that sort of thing.

Today, as he prepared to leave, Barack Obama fired back.

OBAMA: In terms of a victory lap, it's hard for me to understand Senator McCain's argument. He was telling me I was supposed to take this trip. He suggested it, thought it was a good idea. Although I've got to admit we had it planned before he made the suggestion. John McCain has visited every one of these countries post primary that I have. He has given speeches in Canada, in Colombia, Mexico. He made visits.

And so it doesn't strike me that we've done anything different than the McCain campaign has done, which is to recognize that part of the job of the next president, commander-in-chief, is to forge effective relationships with our allies.

CROWLEY: In the end, these sorts of trips are remembered not so much for what was said but the impressions that were left. So whether it was playing hoops with troops, standing, overlooking Amman, Jordan, whether he was before the wall in Jerusalem, in the heart of Berlin addressing 200,000 people, standing at the side of the French president, or here coming out of 10 Downing Street, the impressions that Barack Obama hopes that he leaves on U.S. voters is that he is a man that can play not just president of the U.S., but as a leader in the Western world.

Candy Crowley, CNN, London.

(END VIDEOTAPE)

WHITFIELD: Meantime, John McCain, well, he is at home in Arizona at this hour, or at least he has been home but at this hour he is speaking via teleconference to a disabilities forum in Ohio. Looking at live pictures coming up. Today his campaign released another taped address in which McCain tweaks his opponent.

(BEGIN VIDEO CLIP)

SEN. JOHN MCCAIN (R-AZ), PRESIDENTIAL CANDIDATE: Good morning. I'm John McCain. And this week the presidential contest was a long distance affair with my opponent touring various continents and arriving yesterday in Paris. With all the breathless coverage from abroad and with Senator Obama now addressing his speeches, to quote, "the people of the world," unquote, I'm starting to feel a little left out. Maybe you are, too.

(END VIDEO CLIP)

WHITFIELD: Well, tonight McCain hosts a barbecue for GOP fundraisers at his home in Sedona. Meantime, again, you're looking at live pictures right there where John McCain is in Arizona but through teleconference he's actually addressing people in Ohio and the main topic, disabilities and what the country should be and can be doing for folks with disabilities.

Meantime, CNN's Wolf Blitzer and the best political team on television going one on one with both presidential candidates, that special "LATE EDITION: The Next President," that's tomorrow night at 7:00 Eastern time.

Obama overseas, McCain campaigning here at home. Well, now that we're only about 100 days away from the election, where do the candidates go from here? Our senior political analyst Bill Schneider will be joining us a bit later to talk about the last 100 days.

In India, a string of deadly bomb blasts has shattered any peace in the western city of Ahmedabad. And that's about taking place when 17 explosions rocked the city in just over an hour, and that happened Saturday night. CNN's Sara Sidner joins us now from India with the very latest -- Sara.

SARA SIDNER, CNN CORRESPONDENT: Fredricka, here is what we have confirmed Ahmedabad. It is the capital of the state Gujarat, which is 500 miles from New Delhi. Twenty-nine people have been confirmed dead, 88 people confirmed injured.

There were 17 bomb blasts across that state and there has now been a claim of responsibility, a little-known group that has relatively recently come to the fore. Their name is the Indian Mujahedeen. They have claimed responsibility for these bomb blasts. They are an Islamic group who are anti-Hindu.

So this gives some overtones both politically and religiously. We should also mention that this same group claimed responsibility for a bombing in Jaipur, a very popular tourist site, 63 people were killed in that blast.

However, they have not claimed for several bomb blasts that went off just yesterday in Bangalore, which you know is a huge IT hub. You've got companies like Infosys there. They have not claimed responsibility for that bomb blast. There were about seven of them in Bangalore, one person was killed in that blast. Gujarat, back to Gujarat where these 17 bomb blasts went off, killing 29 people, the numbers keep changing.

We're being updated. This is obviously a breaking news situation here in India. Gujarat is well-known for being the birthplace of Mahatma Gandhi -- Fredricka.

WHITFIELD: And so, Sara, just help us understand, you know, the killing and the threatening obviously an objective, but the overall objective, if it is from this Mujahedeen group, what are they trying to accomplish through these types of bombings?

SIDNER: It's a really good question. Authorities are basically saying they're trying to disturb the peace and fill people with terror. And so at this point it's really a sketchy situation, no one knows exactly what they want, but certainly it has certainly caused some fear in the people of the cities where this is happening -- Fredricka.

WHITFIELD: All right. Sara Sidner, thanks so much for that update, I know you'll be keeping us posted as this investigation carries on throughout the day.

Meantime, while the U.S. is urging Iran to end its nuclear program, there is news that Iran is actually expanding it. Iranian media reports that President Mahmoud Ahmadinejad says his country now has more than 5,000 centrifuges, the machines are used to enrich uranium that could be used in power plants or in bombs. Last weekend, Iran was given two weeks to end the program before it faces more sanctions.

Well, they have trained for years, only to have their dreams dashed at the very last minute. Iraqi athletes are speaking out after learning that they have been banned from the Olympic Games which are to begin just two weeks from now.

And two shark attacks at U.S. beaches. One victim nearly had his foot bitten off.

(COMMERCIAL BREAK)

WHITFIELD: Well, now the U.S. Coast Guard is slowly reopening the lower Mississippi River to shipping traffic, a big oil spill in the heart of New Orleans forced ships to stay put for several days. Well, authorities have launched an investigation now into the tanker collision that actually caused that spill. In the meantime, the tedious messy cleanup does continue and some of it even being done by hand. They're doing all that they can.

(WEATHER REPORT) WHITFIELD: Even though generally being at the beach is pretty safe, very few shark attacks of humans ever take place, but right now, there are shark warnings being posted in Oahu Beach, of all places, after an attack just yesterday. Hawaiian officials say that a woman was snorkeling when her arm was suddenly bitten, she made it back to shore on her own and bystanders were able to help her. At last report, we still have learned that she's in the hospital, but she may still be in serious condition. It is Hawaii's first shark attack this year.

Well, there has been shark attacks off Florida as well. It happened just yesterday at New Smyrna Beach on the Atlantic Coast. A 17-year-old was surfing with his friends when he stepped off the board, a shark clamped down on his right foot. He underwent surgery and is said to be in stable condition. There have been 15 attacks in that area already this year. But in general, people like to tell you that the beaches are generally safe.

A health warning for people who happen to like spicy food. I being one of them. The FDA is urging you to avoid raw jalapeno peppers grown in Mexico. They also recommend that people with poor immune systems avoid similar-looking serrano peppers just to be on the safe side. Jalapenos are the latest suspect in the salmonella outbreak, and that has sickened more than 1,200 people. Meantime, the FDA has clarified that U.S.-grown peppers are OK to eat.

Well, two of the world's richest men joined forces to kick butts, their multi-million dollar pledge to cut smoking around the world.

(COMMERCIAL BREAK)

WHITFIELD: All right. Countdown to Election Day. T-minus 100, 100 days, that is. There's plenty of political ground to cover between now and November 4th. The two parties still have their conventions to hold. The Democrats in Denver, the Republicans in Minneapolis-St. Paul. Well, that's when the nomination of senators Obama and McCain respectively will be made official. So let's bring in our senior political analyst Bill Schneider to help us take the election pulse today.

Well, 100 days, boy, who thought it was finally coming? Because gosh, it just seemed like yesterday we were talking about this being the longest campaign for any presidency than that anyone could ever remember.

WILLIAM SCHNEIDER, CNN SENIOR POLITICAL ANALYST: I can certainly remember freezing in Iowa over the New Year's holiday, waiting for the Iowa Caucuses. I think for the next 30 days we know what to expect. The vice presidential nominations will be -- the nominees will be selected, put into nomination at the conventions. So that will be the big news competing of course for the Olympics for a couple of weeks.

But the big political story is going to be when are they going to name their running mate and who are they going to name?

WHITFIELD: Right. SCHNEIDER: Then 30 days later -- the convention, by the way, is -- the first convention is exactly a month away. Then after the conventions, what's supposed to happen is both of the candidates are supposed to then move to the center to capture those all important independent voters.

But you know, if this election is very close in the polls, the way the elections of 2000 and 2004 were, I think they could be tempted to try different strategies, to try to rally the base, liberals on the Democratic side and conservatives on the Republican side.

How do you do that? You demonize the opposition, you talk about highly divisive issues that divide the country into us and them, and you could win a very narrow victory but you'll end up dividing the country.

WHITFIELD: I was going to say, that demonizing part, that's the official turnoff...

SCHNEIDER: Yes.

WHITFIELD: ... you know, for any voter, but especially those undecideds. So it would seem to me a huge risk for either candidate to say, let me try and demonize the other, because that really may backfire, wouldn't it?

SCHNEIDER: It could easily backfire, but the point is, if the election looks very close, then you make the calculation, if I can just get a few more of my people out to vote, maybe I can win a very narrow victory. That's what George Bush and Karl Rove did in 2004, they won a narrow victory and they divided the country.

WHITFIELD: Wow. And you know, that first point you made about the choice for the running mate, is that something that either one of these candidates would want to wait until they're on the grand stage of the conventions to reveal or is that just making it way too tight?

SCHNEIDER: Well, it does make it rather tight. Candidates often wait until very close to the convention for one reason. That's the one big piece of news that can get people to watch the convention.

WHITFIELD: Yes, because they are kind of, you know, snoozers sometimes.

SCHNEIDER: There are a lot of news-free conventions these days. But a lot of people want to tune in and see who is this person that Obama or McCain picked as a running mate. The problem is if they go too early, they'll be competing with the Olympics. And that could be a problem.

WHITFIELD: OK. Well, let's talk about the two. And one of the contentious issues that still divides them or maybe divides some of their -- I guess their fans. And we talk about the troop pull-out in Iraq. You know, McCain is calling Obama a flip-flopper on the issue. Obama says that, you know, he still believes it's within that 16-month period. How are these views being interpreted especially while Obama was overseas?

SCHNEIDER: Well, while he was overseas, he got a stroke of very good luck because the al-Maliki government, we discussed this just last week, more or less endorsed Obama's position. They said that they thought a shorter timeline was a good idea. That the 16-month proposal for withdrawing American combat troops from Iraq sounded pretty reasonable, and that sort of undercut John McCain.

And then just at the same time the White House started talking about aspirational dates for troop withdrawal. Timelines and they called it a time horizon. So here's John McCain, who seems to want to stay in Iraq. And now he has come up with an interesting new argument.

Most recently the last couple of days, he said, look, if we get out of there too quickly without winning a clear victory, we may have to go back. I want to make sure we get the job done, we win a victory, and then we won't have to go back. That's a new and interesting argument.

WHITFIELD: Yes, and I guess one of the new points that he made today, and I was a little surprised to hear this coming out of the mouth of John McCain, which was hey, where's the attention? How come I'm not getting any?

SCHNEIDER: Well, certainly he's a little bit jealous of all the attention, the media focus...

WHITFIELD: But to let everybody know that?

SCHNEIDER: Well, I think everyone does know that. And he wants to say, look at me, I'm still in this race, and he is. He has been a bit hapless for the last week or so as all the attention has been on Obama. But he's trying to make the case, he's here in the United States, concentrating on things here.

He went to a German restaurant when Obama spoke in Berlin. He ran ads in Berlin, New Hampshire, and Berlin, Wisconsin, he tried to do everything he could to capture a little attention. He met with the Dalai Lama, which is pretty good.

WHITFIELD: Yes, that is pretty good. Meantime, you know, still fascinating is the fact that Senator Obama, as a candidate, name (ph) you, would go overseas and be treated almost like a head of state.

SCHNEIDER: That's right. And McCain campaign called that a presumptuous -- no, what did he call it? A victory lap that he took...

WHITFIELD: Prematurely.

SCHNEIDER: ... prematurely. That's what it was. Premature victory lap around the world. Well, Obama really wanted to try to show Americans that he's a safe choice. You know, one of the interesting things about this election is all the objective indicators, the state of the economy, the incumbent's unpopularity, war weariness, all of them point to a big Democratic victory except the polls.

The polls show it's actually pretty close. Obama is ahead but only by a few points. He has got to convince millions of voters who want change that he's a safe, not a risky alternative, and that's one of the things he tried to do with this trip overseas.

WHITFIELD: Well, it's going to be an exciting 100 days, I guess finalizing what has seemed like 100 months of campaigning. I know it hasn't been that long but boy it has felt like it, right?

SCHNEIDER: It started the day after the 2006 midterm. I was there.

WHITFIELD: Oh, so maybe I'm not so far off. All right. Bill, thanks so much, appreciate it.

Well, all the latest campaign news is right at your fingertips. Just go to cnnpolitics.com. We also have analysis from the best political team on television. You saw a representative of such. It's all there, cnnpolitics.com.

OK. Well, talk about the jilted bride. She lost a fiancee but gained $150,000. A jilted bride sues her ex for dumping her and you see who wins. Our legal team will be weighing in.

And this house you're about to see cost more than a half million dollars, but the owner only banks $50,000 a year. How did she do that and why now is she fighting foreclosure?

(COMMERCIAL BREAK)

WHITFIELD: OK. You might say one woman is taking a very different approach to fighting foreclosure. Even though she knew the she couldn't even afford the house when she bought it. So, how did she get not one, but two loans to cover the entire purchase price? CNN's Allan Chernoff investigates.

(BEGIN VIDEOTAPE)

ALLAN CHERNOFF, CNN SR. CORRESPONDENT (voice-over): Gesille James hasn't paid her mortgage in a year. She received a foreclosure notice in November. But she's fighting to stay in the two-family home. Gesille, a librarian, was earning $50,000 a year when she bought this house 2-1/2 years ago, so she took out two mortgages to finance the entire purchase price of $560,000.

CHERNOFF (on camera): Did you think you could afford this house?

GESILLE JAMES, HOMEOWNER FIGHTING FORECLOSURE: No. No.

CHERNOFF: You never thought you could afford it?

JAMES: Well, the price that was quoted, and I kept getting back don't worry about it. They'll work with what you have. There's the finance thing and...

CHERNOFF: Who said that?

JAMES: Anthony.

CHERNOFF: Your broker?

JAMES: He's with financing -- yes.

CHERNOFF: He said don't worry about the price.

JAMES: Don't worry about the price.

CHERNOFF (voice-over): That broker is Anthony Brown who has his own real estate company nearby.

(on camera): Obviously she couldn't afford it.

ANTHONY BROWN, A PLACE FOR EVERYONE REALTY: Yeah, that's true. But with a...

CHERNOFF: So, why did you sell -- why did you sell the home?

BROWN: No, I don't control her mortgage. You understand? I control the actual sales between her and the developer.

(voice-over): Brown claims the developer, Home Master Development Group arranged Gesille's financing with Alliance Mortgage, which is no longer in business. Home Master says Mr. Brown arranged the financing. Gesille says the same.

(on camera): Did he say you could afford it?

JAMES: He did. He did.

CHERNOFF: He did?

JAMES: He did.

CHERNOFF (voice-over): Gesille rented one of the two apartments in the house, but even with the income she still couldn't cover the mortgage payments.

(on camera): You see how much she earns?

BROWN: Right.

CHERNOFF: How could you sell her a home that was so way out of her price range?

BROWN: Well, that's what she -- from her choice. That was her choice.

CHERNOFF: Well, it's your choice to sell it, no?

BROWN: I don't control -- I don't control what a person chooses to do. If they wanted to get a home, they get a home.

CHERNOFF (voice over): Alliance Mortgage quickly sold Gesille's loan to Morgan Stanley who told us they have no comment since the loan has since been sold off to other investors buying mortgage securities. Gesille's lawyer argues she was misled and therefore has a right to fight foreclosure.

JEFFREY BENJAMIN, ATTORNEY FOR GESILLE JAMES: The goal is to keep the consumer in her home, where she should belong, but at a reasonable monthly burden.

CHERNOFF: Gesille admits she bears much of the responsibility, but says she can't imagine what she'll do if she has to leave her home.

GESILLE JAMES, FIGHTING FORECLOSURE: But, I'm fighting it, because I need somewhere to live. I have to live somewhere. I can't live in the car.

CHERNOFF (on camera): Attorney Jeff Benjamin says he's hopeful of renegotiating Gesille's loan on this home, especially now that banks are being more flexible, since so many of their mortgages have gone bad.

Allan Chernoff, CNN, Bronx, New York.

(END VIDEOTAPE)

WHITFIELD: And now U.S. and Australian investigators are trying to figure out what caused this big hole in a Qantas jet. It happened yesterday as the plane headed from Hong Kong to Melbourne and forced an emergency landing in the Philippines. Passengers reported hearing a loud noise, then the 747 simply lost cabin pressure.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: As you see on the movies, everything just started to shoot out of the aircraft.

(END VIDEO CLIP)

WHITFIELD: Can you image jn oxygen masks then started being deployed in the cabin making people even more nervous. Many passengers said their ears popped as the plane descended into the lower altitude, but none of the 265 passengers and crew on board were hurt, just a little rattled.

Well, dry weather and high winds are fueling a stubborn wildfire on the Greek island of Rhodes. Firefighters and soldiers working for a fifth day to try to contain it. Well, last night several thousand tourists had to be evacuated from their hotels because of the heavy smoke. Today the wind shifts, so most have actually been able to return if they wanted to.

All right, the Olympic torch, it's winding its way through China with less than two weeks to go until opening ceremonies, well, some of the torch bearers on these last few legs are people who helped in the rescue efforts there after China's earthquake disaster in May. The torch will head to that devastated region before actually arriving in Beijing for the start of the games.

Meantime, they have been band from the Olympics, but they are fighting to be able to go to Beijing. The Iraqi government is sending a delegation to Olympic headquarters in Switzerland to try to get the decision reversed. CNN's Morgan Neill talks with some Iraqi athletes.

(BEGIN VIDEOTAPE)

MORGAN NEILL, CNN NEWS CORRESPONDENT (voice over): The last time we visited Iraqi sprinter Dana Hussein, it seemed nothing could stop her. But today she's devastated. She's just learned the International Olympic Committee has banned Iraqi athletes from competing in Beijing.

"After all the effort I've made," she says, "they came and said you can't participate in the Olympics."

NEILL: The IOC suspended Iraq in June for political interference after the government disbanded the Iraqi Olympic committee, saying the committee held meetings without quorums and had officials serving in one-year posts for more than five years.

One member accused the government of acting out of jealousy over the non-governmental committee's achievements. On Thursday, the IOC's suspension was confirmed. A letter to Iraqi officials read, "We deeply regret this out come which severely harms the Iraqi Olympic and sports movement and the Iraqi athletes, but which is unfortunately imposed by the circumstances."

But, why ban Iraq now when teams led by the infamous Uday Hussein, accused for torturing athletes who didn't perform well were allowed to compete? The IOC didn't suspend Uday's committee until after the U.S.-led invasion in 2003.

In Baghdad, reaction was a mixture of sadness and anger. "I blame the Iraqi government," said this young teacher, "they should not interfere in sports."

This government worker still held out hope. "We asked them to review their decision and to allow the athletes to participate in Beijing," he said.

Dana's coach tries to comfort her, saying she'll compete in 2012.

"In this horrible situation," she says, "who can say I'll even be alive in 2012."

NEILL: And that's why this decision is so heart wrenching, first for the athletes, who trained so hard in the midst of war. And second, for a country struggling with it's own sectarian division, where sports is often one of the only things that makes people feel united

Morgan Neill, CNN, Baghdad. (END VIDEOTAPE)

WHITFIELD: And now here on U.S. soil, two humanitarian heavyweights are taking on the tobacco industry. They've launched a multi-million dollar global anti-smoking initiatives and now more from Maggie Lake.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Smoking is preventable.

MAGGIE LAKE, CNN NEWS CORRESPONDENT (voice over): these two men are known for putting their money where their mouths are and they want to mouths around the world cigarette-free. New York City Mayor Michael Bloomberg and Microsoft co-founder Bill Gates are donating half a billion dollars to cut the world's multi-billion dollar cigarette habit. They say the problem needs urgent attention.

MICHAEL BLOOMBERG, NEW YORK CITY MAYOR: If we do nothing, tobacco will kill one billion people by the end of this century, but that is only if we do nothing.

LAKE: This isn't the first time Michael Bloomberg has urged the world to stamp out butt. The Bloomberg Initiative to Reduce Tobacco use was established in 2005 with initial grant of $125 million of his owner money. Bloomberg is increasing his share to $375 million with the Bill and Melinda Gates Foundation pitching in the rest.

BILL GATES, MICROSOFT: With the right government policies you can see big reductions and these other countries shouldn't have to wait until they get to the size of epidemic that we had before they start to raise the taxes and inform people so that people can decide not to smoke for the right reasons.

LAKE: The Bloomberg-Gates efforts aims at 15 high risk countries which you including China, which now accounts for almost 30 percent of the world's smokers. India and Indonesia, together, account for 15 percent. The Gates Foundation will also target Africa in hopes of snuffing out the problem early.

During the press conference, neither man mentioned tobacco companies directly, but anti-smoking groups say the new funds will act as an important counterweight to the millions tobacco companies spend trying to promote cigarettes in low and middle income countries. Bloomberg acknowledges money alone can't change things, he says it will take a much wider effort.

BLOOMBERG: If we can just be the catalyst for governments and other philanthropies to get involved, you can really make a difference.

LAKE: Both men are hoping to duplicate the successes in the united states and Europe where smoking bans have helped cut the number of smokers. They say it shouldn't about problem only rich nations can afford to address.

Maggie Lake, CNN, New York.

(END VIDEOTAPE)

WHITFIELD: All right, well he promised to marry her and then he dumped her, so you know what are she sued. Lots of strong opinions on this one.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: To see that somebody could be sued for dumping someone is outrageous.

(END VIDEO CLIP)

WHITFIELD: So who won?

(COMMERCIAL BREAK)

WHITFIELD: Yes, it's sad, but it happens, brides and grooms to be sometimes get dumped just before the wedding, but one jilted woman refused to go quietly, so he sued and she won, big-time. Diana Davis of our affiliate WSB has the story.

(BEGIN VIDEOTAPE)

ROSEMARY SHELL, JILTED BRIDE: I am thrilled to death.

DIANA DAVIS, WSB REPORTER: Rosemary Shell and her lawyer are all smiles.

SHELL: This has been the most difficult thing I've ever had to do and I think justice has been served.

DAVIS: A stone's throw away her former fiance, Wayne Gibbs, scowling and tight lipped. The jury of six men and six women says he has to pay Mrs. Shell $150,000 for promising to marry Shell then dumping her. Shell gave up her $80,000 a year salary in Florida, moved here for a job that paid $50,000 less only to be jilted before the "I do's".

SHELL: Financially, he destroyed me just a lot of ways, and people shouldn't be allowed to do that and hopefully he'll think twice before he does it to someone else.

DAVIS: Shell's lawyer said it's not a case of a woman scorned, but a broken contract.

LYNDA SARTAIN, ATTORNEY: He never intended to marry her but it cost her a tremendous amount financially.

DAVIS: Outside the courthouse, shock and awe from both men and women.

UNIDENTIFIED FEMALE: To see some somebody can be sued for dumping someone is outrageous.

DAVIS: Juror Delitha Smith said she didn't want to pay Shell the $150,000, but gave in to the other jurors.

DELITHA SMITH, JUROR: He done paid her a bundle along with the engagement ring that was really worth at lot of money that he could a hocked.

(END VIDEOTAPE)

WHITFIELD: Oh, man, so not surprisingly the exfiance actually might appeal. So, is compensation like this justified for a broken engagement? We're going ask our legal experts to take a closer look at this. Avery Friedman is a civil rights attorney and law professor, joining me from Cleveland, good to see you.

AVERY FRIEDMAN, CIVIL RIGHTS ATTY: Hi, Fredericka.

WHITFIELD: And Richard Herman is a New York criminal defense attorney and law professor, as well. Good to see you, as well.

RICHARD HERMAN, CRIMINAL ATTY: Hey, Fred.

WHITFIELD: OK, this is pretty extraordinary, I know you guys can't wait to delve into this one. We're talking about a case of a breach of promise to marry.

FRIEDMAN: Yeah, right.

WHITFIELD: A fancy way of saying a breakup, but there's compensation, Avery.

FRIEDMAN: Yeah. I was stunned when I saw the verdict come in and I actually said this can't be. Well, you know what? It can be. Because Georgia is one of the few states left in America where you can actually do that, so what's going to happen now is Mr. Gibbs is likely to appeal and the question that the three judge panel will consider in Georgia is whether this so-called antiquated doctrine, which what he's going to argue, really works in the 21 str century.

WHITFIELD: Huh? So do we expect now, because of this statute that Georgia had, that now the floodgates are going to own, women and men are going to say wait a minute, you mean to tell me I can sue somebody before the contract of marriage actually takes place and say that the contract of our bond, of our planned commitment has been broken?

HERMAN: Fred, it's absolutely outrageous. Like we saw last week on Christie Brinkley, hell hath no fury. This woman has gone berserk, here. The judicial system in Georgia is berserk.

WHITFIELD: Except that a judge and jury agreed. So, she's not the one who went berserk, is she?

HERMAN: This going to get reversed on appeal. There's no way this is going to withstand. My contrast class at John J. would have a field day with this case, Fred. You can't sue on a future promise of a situation like this. You can't sue to keep the welding ring, you cannot do that, Avery. The case is going nowhere. FRIEDMAN: The case law in Georgia is clear. I was stunned, but if you look at the existing precedent in Georgia, that's what the law is. As unusual as it is, I think it may very well stand on appeal. I think Gibbs has to give it his best shot.

WHITFIELD: Wow. And you know what? Some people don't even get this kind of settlement following a divorce.

FRIEDMAN: For sure.

HERMAN: It's pathetic.

FRIEDMAN: I mean, what's very -- you know, trying to raise this to a public policy question, I mean I understand the outrageous remark about it, but the truth is that there's a real question in the 21st century when people plan to get married and one decides -- this is the run away groom this time, should there be damages? That's the question that the Georgia court of appeals will have to answer. Most states say no.

(CROSSTALK)

HERMAN: Fred, there's no binding contract. She left her job in Florida on her own free will. She was not compelled to leave. She didn't have to leave. She didn't have to say yes to him. Who knows when the wedding was going to be. If the wedding didn't happened...

FRIEDMAN: She loved him. Three days before. Three days before he dumped her.

HERMAN: Then he found out she had like a ton of debt that she failed to disclose to him. I mean, come one, she fraudually (ph) -- she defrauded him into this ridiculous situation.

WHITFIELD: So, you don't think she's going to get that $150,000?

HERMAN: No way, she's getting.

FRIEDMAN: See, Richard is speak on behalf of jilted husbands, I guess, I don't know.

WHITFIELD: OK, well let's shift gears and let's talk about...

HERMAN: I'm speaking the truth.

WHITFIELD: OK. Well, let's talk about Minor League Baseball, now. And let's talk about a brawl taking place. We've been seeing it, whether it be on the football field or the baseball field, but someone in the audience, a fan gets hurt and so now it's Julio Castillo who may be facing some charges here. Even though he says, oops, my bad, but gosh, Avery now he's facing criminal charges?

FRIEDMAN: Well, you know, I actual ly agree that he should have been charged. I mean...

WHITFIELD: Really? FRIEDMAN: Julio, who is 6'3" 220 pounds, intentionally threw that ball trying to get somebody in the dugout, there in Dayton, missed, but we recognize the concept, Fredericka, of transferred intent. I think he's going down on an assault charge.

WHITFIELD: Oh, my gosh.

HERMAN: Fred, it's not "my bad," this guy is nuts. This guy -- I'm sure this is not the first time we see the insanity of this guy. He's a history of doing this like this. I am sure of that. I don't know it for certain, but I would bet on that. And if based on that, they sue not only him, his team, the stadium.

FRIEDMAN: Whoa!

HERMAN: This is going to be a major civil litigation. This is going to be big bucks, and this will be enforceable. This guy is nuts. He takes a baseball, throws it -- wings it into the dugout, of course he's got no aim or direction, goes into the stands, hits someone, they have to go to the hospital...

WHITFIELD: Oh, but they didn't -- even that you say -- you know, Avery, you talk about this transfer of intent. But, don't you have say or try and prove that when he threw that ball down, not just simply out of anger, you know, that he's just throwing the item in his hands, but you're saying or someone is arguing that he threw that ball hoping it was going to hit someone and he just had a bad aim?

FRIEDMAN: Oh yeah. Oh well, Fredricka, the truth is, I don't think there's any dispute if you look at the video, he was trying to hit somebody. He's throwing this thing 85, 95 miles-an-hour. The fact that he missed the dugout means he's a lousy shot. But he hit somebody, and you know what, I don't know, actually, if a felonious assault is going to stick under Ohio law because you have to show a weapon. The question that the case presents is, is a baseball going 95 miles-an-hour a weapon? That's going to be a really interesting question the judge will have to resolve.

HERMAN: And the ball will be a weapon, Fred. Not only that, it'll depend on the nature of injuries that the victim sustained, here. It doesn't matter that he didn't hit his intended target.

FRIEDMAN: Right.

HERMAN: His reckless conduct will rise to the level of the intent required to convict him criminally.

FRIEDMAN: Exactly right. We agree.

WHITFIELD: You agree?

FRIEDMAN: Yeah.

WHITFIELD: All right. I like that. Disagree on the marriage thing, agree on the baseball thing.

FRIEDMAN: It happens that way, doesn't it?

WHITFIELD: All right, I know, that's what brings so much love in the house.

HERMAN: Well, you're happily married, Fred, that's what counts, right.

WHITFIELD: Oh, OK, I am happy. All right, Richard, Avery, thanks so much. Good to see you.

FRIEDMAN: See you soon.

HERMAN: Have a good day, Fred.

WHITFIELD: All right, well an unprecedented look into the lives of African-Americans. A documentary "Black in America" has set off quite the call to action for many people who watched this week.

(COMMERCIAL BREAK)

WHITFIELD: Well, this has been a very special week here on CNN with the airing of our documentary a "Black in America." And it turns out for many African-Americans the program was a call to come together. Susan Candiotti reports.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: When are we going to stop talking and start doing something? Meaning that everyone in this room can touch someone else.

SUSAN CANDIOTTI, CNN NEWS CORRESPONDENT (voice over): for some watching "Black in America" is a call to arms.

UNIDENTIFIED FEMALE: The time is now. The burden is on us. We have to do everything that we can do to make sure that our people are successful.

CANDIOTTI: Invitaled by the mentoring networking group 100 Black Men of Greater Fort Lauderdale, an over blow (ph) crowd weighed in on the CNN documentary. Jeffrey and Bernadette Edwards are a working couple, married just two years. They were intrigued by a story of an Arkansas man who seemed to have it all, a successful job, beautiful home, three sons, then one of them was arrested for assault.

JEFFREY EDWARDS, VIEWER: Didn't have to end up that way, but it did, you know. The father was devastated about the situation.

CANDIOTTI: Bernadette Edwards was surprised by the story of an educated young man with two daughters who struggled to find a steady job.

UNIDENTIFIED MALE: I'm far from lazy.

BERNADETTE EDWARDS, VIEWER: He had (INAUDIBLE), he was intelligent, he was well-spoken. You would think it would be easy to find a job.

CANDIOTTI: For 18-year-old Jerome Blair who's starting college in the fall...

CROWD (singing): Happy birthday to you

CANDIOTTI: ...a segment about nearly 60 percent black children growing up without a father hit home. Jerome's abandoned him when he was only three. Jerome is convinced hell be different.

JEROME, VIEWER: I know what it feels like and I'll never let it happen.

CANDIOTTI (on camera): Organizers of this event say for them the importance of "Black in America" is to outline problems for a national audience and then localize them and find solutions.

Susan Candiotti, CNN, Fort Lauderdale.

(END VIDEOTAPE)

WHITFIELD: And of course, if you want to catch an encore presentation of our "Black in America" reports, tonight 8:00 and 10:00 p.m. Eastern.

Our next hour of NEWSROOM begins right after this.