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American Morning
Negotiations Continue With Hijacker of CanJet Aircraft in Jamaica; NATO Fires on Pirates off African Coast, U.S. Navy on Alert; Banks Reporting Better Than Expected Earnings, Signs of Stimulus Working?; Ex-Smuggler Says All Drugs Should be Legalized in America
Aired April 20, 2009 - 06:59 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
JOHN ROBERTS, CNN ANCHOR: We're coming up to the top of the hour. You're watching the Most News in the Morning, Monday, the 20th of April. Good morning to you. Thanks for being with us. I'm John Roberts this morning in Atlanta.
KIRAN CHETRY, CNN ANCHOR: And I'm Kiran Chetry here in New York. It is a busy Monday morning already. Here's a look at the stories we're going to be breaking down for you in the next 15 minutes.
A tense hostage situation still unfolding now on board a CanJet. That's a Canadian Boeing 737 in Montego Bay, Jamaica.
A government official there says that a hijacker armed with a gun slipped on to that plane late last night and that he's been holding six crew members hostage for hours or originally, 174 passengers and eight crew. All passengers and two crew members were released, but again, six others still being held.
This flight originated out of Halifax, stopped in Montego Bay, was going to Cuba before going back to Canada. Jamaican officials confirm that all of the passengers were freed safely.
In just a few hours for the first time, President Obama will gather his full cabinet and challenge them to cut a combined $100 million in the next 90 days. Administration officials tell CNN that the move is part of the president's commitment to cut government spending. Our White House team is working this story.
Also, President Obama grabbing headlines this Monday morning in a little bit of controversy as well with a handshake. The president shaking hands and getting his picture taken with Venezuelan leader Hugo Chavez at a summit in Latin America. Chavez has been a fierce critic of the United States and once called former President Bush the devil. He even insulted our current president, Barack Obama, last month.
And we begin with the latest on the hostage situation in Montego Bay, Jamaica. A government official says that a gunman slipped past security at Sangster International Airport and is holding six crew members on board the Canadian Boeing 737 on the tarmac.
Our Alina Cho is tracking this breaking story for us and joins us now live with the latest.
Good morning, Alina.
ALINA CHO, CNN CORRESPONDENT: Good morning, Kiran.
As the standoff continues, the most important bit of information that we should pass on is that Jamaican officials tell CNN that the gunman has freed all passengers on board CanJet Flight 918 and that nobody was injured. But now that tense standoff still unfolding on the tarmac right now.
You're looking at a still photo of what it looks like there in Montego Bay at the airport. Jamaica's information minister says the hijacker is a Jamaican man in his 20s with "mental challenges."
The airline, rather, is also updating earlier reports saying that six crew members, not five, are still being held on the plane.
(BEGIN VIDEO CLIP)
KENT WOODSIDE, VICE PRESIDENT & GENERAL MANAGER, CANJET AIRLINES: Jamaican authorities have secured the area and the aircraft. Efforts are continuing to secure the release of the remaining crew. None of the passengers or crew have been injured, and there has been no damage to the aircraft.
(END VIDEO CLIP)
CHO: We should mention as well that the "Associated Press" is reporting that the hijacker was demanding to be flown to Cuba, the original final destination of the flight.
So far, authorities are not releasing the hijacker's name, but they do say that his father, interestingly enough, is on site to help with hostage negotiations.
Now the flight, as I mentioned, originated from Halifax, was heading to Cuba after this stopover in Jamaica. Jamaica's information minister also says the hijacker was demanding to be taken to Cuba. That's where the plane was originally headed.
It bears repeating. CanJet says, in all, there were 182 passengers and crew on board. All of the passengers are said to be safe. Two crew members - still important here - two crew members freed as well, but six still on the plane.
Negotiators, of course, Kiran, still trying to get those crew members who are still on the plane freed safely. So, obviously, still a very tense situation going on there, and we're watching it very, very closely for you.
CHETRY: All right. Alina, thanks for the update.
CHO: You bet.
CHETRY: John.
ROBERTS: The airport in Montego Bay still on lockdown this morning. For the very latest, let's bring Jamaica's information minister, Daryl Vaz. He's keeping in touch with the situation.
Mr. Minister, can you update us of where we are right now in terms of this hijacking, this hostage situation there at Sangster International Airport?
DARYL VAZ, JAMAICA INFORMATION MINISTER (via telephone): I will say there are still six crew members onboard with the gunman; there's three men, three females.
Negotiations are continuing. The family -- additional family members are here, as well as family of the gunman. And they are working with the authorities and the police to try and have this matter resolved without any injuries.
So as we speak, the situation remains the same. It's still six people. However, the airport is open as the area where the plane has been actually restricted to just military and the police personnel.
ROBERTS: And Minister Vaz -- Minister Vaz, who is this gunman? You say the family members are there. His father is there, other members of the family. What do you know about him?
VAZ: He is Jamaican, and he's actually from Montego Bay. The information that we are getting is that he definitely has had some mental challenges. And as such, the family members are obviously here trying to persuade him, along with the authorities, to release the remaining six crew members.
But it is definitely an isolated situation that we are really hoping can be brought under control as quickly as possible without any injuries to anyone.
ROBERTS: And certainly that would be the preferred outcome. Is he making any demands at this point?
VAZ: Yes. Original demand was to be flown to Cuba. And at this point in time, the negotiators are down near the plane, I'm not actually aware of what's happening now.
ROBERTS: Right. And the way that we understood it from talking with Latoya Johnson, who you know from Radio Jamaica, this hijacker may be the son of a Montego Bay businessman, his family well known in the area?
VAZ: I know that he definitely is from Montego Bay. I don't have the details in terms of the family background.
But definitely, as I said before, it is a case of a troubled young man and we are really hoping that it can be resolved.
And just to let you know that we have moved all of the 157 passengers and two crew members off of the airport compound to a hotel and have them there waiting to have this matter resolved.
ROBERTS: All right. A troubled young man obviously taking some desperate measures this morning. VAZ: Very, very sad circumstance.
ROBERTS: Minister Daryl Vaz, the information minister for Jamaica, Daryl Vaz this morning updating us with some more information.
The makeup of the crew being held hostage right now -- three men, three women. The 157 passengers and two crew members and two crew members who were released shortly after the hijacking took place are now off of the airport property and heading for hotels in the Montego Bay area.
We'll stay on top of the story, Kiran, news breaking by the moment here. Make sure, folks, that you keep it here on CNN. We'll have all the latest for you with our global resources -- Kiran.
CHETRY: All right. Thanks a lot, John.
Seven minutes after the hour now and there are some new developments this morning in the search for the Craigslist killer as they're calling him.
Police just releasing a photo of a man who they say they believed killed a woman after luring her to a Boston hotel last week. That woman had advertised massages on Craigslist, according to police. And now another woman who advertised in the erotic services section has also been attacked and police say these cases appear connected.
Jason Carroll joins us now with all the developments this morning.
JASON CARROLL, CNN CORRESPONDENT: Yes, a lot of similarities between the two cases but the picture that police have released should help with their investigation.
The man in the photo appears to be blonde, somewhat clean-cut. Police are hoping it will help them find the killer.
(BEGIN VIDEOTAPE)
CARROLL (voice-over): The search is on for an Internet predator who uses a popular online classifieds Web site to find his victims.
CHIEF STEPHEN MCCARTNEY, WARWICK POLICE DEPARTMENT: Preliminary investigation suggests that the assailant was responding to an advertisement that was posted by the victim on Craigslist.
CARROLL: Three women have been attacked in the past week and a half, one of which was murdered. Police say this man, captured by a surveillance camera, is their prime suspect.
In the latest attack, a 26-year-old exotic dancer was contacted after she placed an ad on Craigslist offering private lap dances. According to Rhode Island police, she met the suspect in a hotel room where she was then tied up and held at gunpoint. The suspect demanded money, but was unexpectedly interrupted. MCCARTNEY: The victim's husband returned to the room and was confronted by the subject at gunpoint. The subject then fled on foot.
CARROLL: Investigators believe this incident is linked to two other similar attacks in Boston. Twenty-six-year-old Julissa Brisman was shot and killed in a Boston Marriott last Tuesday, and a 29-year- old woman was robbed at gunpoint four days earlier at another hotel.
Police say both victims had been contacted by their attacker after they placed personal ads on Craigslist. Police say the suspect was caught on surveillance tape in the Rhode Island attack but have yet to release those images.
MCCARTNEY: There are strong similarities here based on the information that we have, you know, particularly the fact that there is an individual that seems to fit the description of the individual in Boston.
CARROLL: Craigslist CEO Jim Buckmaster declined a CNN interview request, but released this statement.
"There appears to be a psychopath on the loose in the Boston area, and we will, of course, do everything in our power to assist law enforcement. We are evaluating this incident to see if there are any additional things we could do to better protect Craigslist users."
(END VIDEOTAPE)
CARROLL: Online experts say this shows why caution should always be used when meeting people over the Internet. Again, police have surveillance tape from the incident in Rhode Island as well. Investigators say the tape is significant, but we are still waiting to see if they end up releasing it.
CHETRY: Wow. That's unbelievable. All right. Thanks so much, Jason.
CARROLL: You bet.
ROBERTS: Here are some of the other big stories that we're following right now.
Senator John McCain's daughter taking a swipe at the Republican Party. Meghan McCain speaking this weekend at an event hosted by the Log Cabin Republicans, a conservative gay rights group.
Listen to what she said.
(BEGIN VIDEO CLIP)
MEGHAN MCCAIN, DAUGHTER OF JOHN MCCAIN: Number one, most of our nation wants our nation to succeed.
Number two, most people are ready to move on to the future, not live in the past.
And number three, most of the old school Republicans are scared (EXPLETIVE DELETED BY NETWORK) of that future.
(END VIDEO CLIP)
ROBERTS: McCain also went on to say that she was proud of challenging the mold and the notions of what being a Republican means.
Exxon Mobil shoving Wal-Mart aside to retake the top spot on the Fortune 500 list of the largest U.S. companies. The oil giant raked in nearly $443 billion in revenue last year. That's almost a half a trillion dollars and that's despite a huge drop in oil prices. Wal- Mart has held the top spot for six of the past seven years.
And the handshake seen across the hemisphere, President Obama shaking hands with the man who once called former President Bush "the devil." We're breaking down the president's impromptu meeting with the Venezuelan leader, Hugo Chavez.
It's coming up on 11 1/2 minutes after the hour.
(COMMERCIAL BREAK)
CHETRY: Welcome back to the Most News in the Morning.
It's the handshake that everyone is talking about between President Obama and Venezuelan President Hugo Chavez. The two shared words and smiles. They posed for pictures at the conference of the Americas.
Chavez is one of the United States' harshest critics once calling former President Bush, the devil. And he also called President Obama ignorant or ignoramus last month.
The president is brushing off the controversy.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: If we are practicing what we preach and if we occasionally confess to having strayed from our values and our ideals, that strengthens our hand.
(END VIDEO CLIP)
CHETRY: There are plenty in Washington who are now raising some questions about it, including Stephen Hayes, a senior writer for "The Weekly Standard" and a CNN political contributor.
Stephen, thanks for being with us this morning.
STEPHEN HAYES, CNN POLITICAL CONTRIBUTOR: Good morning.
CHETRY: There are a lot of Republicans expressing outrage over this situation. Is this political posturing or is this a move that the president should not have made?
HAYES: Well, it's certainly not political posturing, I can tell you from having spoken to a number of those Republicans. That there is considerable uncomfortability (ph), at least on the right, with the handshake. With I think the warm embrace between Barack Obama and Hugo Chavez, getting more disturbing than just shaking hands. He seemed to actually be enjoying it. And as you say, you know, this is somebody with a very long past of making comments, disparaging to the United States.
I think there were conservatives at least were looking for something from the president who would have said hey, enough is enough. We want to go forward. We want to put the arguments of the past in the past, but you've got to own up to the arguments you've made, the statements you've made.
CHETRY: You know, it doesn't seem to be out of line with what President Obama, then candidate Obama said on the campaign trail, which is just because we don't like the leaders of these other countries, it doesn't mean we cannot engage them. That we have to sort of listen to what they're saying.
He made no apologies for the situation even though it has raised quite a dust storm and, in fact, it wasn't just the handshake, then there was a second clearly an opportunity on Hugo Chavez's part, saw the cameras rolling, made his way over to a seated President Barack Obama and handed him the book, "Open Veins of Latin America." It's a leftist book from the '70s documenting centuries of American abuse in the region, and President Obama also laughed that off.
Here's a look at how that went down. In this situation, what was our president supposed to do?
HAYES: Yes, not much.
I mean, later at his press conference, President Obama said, you know, he's good at positioning the cameras. I thought that was sort of a funny comment, and we all know that about Chavez. So I think, you know, there's a risk involved here.
I don't know that he had to embrace him as he did. What you'll hear from Obama defenders is that, look, if we would have avoided the handshake, if we would have avoided, you know, accepting the book, what you would have had is an even bigger scene where you would have Hugo Chavez running around this summit for several days trying to get a handshake with Barack Obama.
And Barack Obama at a time that he's trying to sort of press the reset button, or restart relations in that part of the world, running away from them, and they think that would have sent the wrong signal.
CHETRY: President Obama has also said that, you know, admitting our past mistakes allows us to speak with greater moral force. There are critics that say that too much appeasing and apologizing on the part of America actually puts us in a weaker position. What's your take?
HAYES: Well, I'm probably in the latter group. I mean, it's one thing to sort of recognize that we've made mistakes or recognize our flaws. It's quite another in every seemingly every public pronouncement to call attention to those mistakes.
I mean, you know, I've got a little bit of a gut, but I don't wear a half shirt. I mean, you don't need to do that every time. You can know that you've got this problem but you don't need to sort of broadcast it to the world.
CHETRY: The anti-Americanism on the part of Hugo Chavez, might we see this change? I mean, what is the --we saw a lot of the showmanship but what substance, if anything, could possibly come out of what happened and the future of our relations with Venezuela?
HAYES: Well, I think there's good reason to be skeptical. I mean Chavez is not likely to change who Chavez is because of a handshake or an embrace or the acceptance of a book. And I think you saw some of the difficulties in substantive policymaking at the end of the conference where you had several leaders of these countries refuse to sign sort of the final declaration in protest that Cuba wasn't invited.
So I think there's a lot of work to be done and just because he's shaking hands, just because he's reaching out doesn't mean that he's going to be able to do the kinds of things he's promised to do or would like to do on behalf of American interests.
CHETRY: All right. Stephen Hayes, hey, summer is just around the corner. You may want to reconsider the half shirt, you never know.
All right. Thanks for joining us this morning - John.
ROBERTS: Shots fired in the lawless waters off of Somalia as NATO forces stop a group of pirates in their tracks. New developments live from Nairobi, Kenya, this morning.
And some banks now making billions of dollars in profits. Does that mean that your bailout money is working? Are they going to give it back sooner? Was it really necessary in the first place? Questions we're asking this morning.
It's 18 minutes after the hour.
(COMMERCIAL BREAK)
ROBERTS: Twenty-one minutes after the hour. We continue to follow breaking news this morning.
In Montego Bay, Jamaica, a CanJet charter aircraft Flight 918 from Halifax, Nova Scotia, landed at Jamaica at Montego Bay at Sangster International Airport last night. As it was getting set to turn around to go to Santa Clara, Cuba, which was its next intended destination, a gunman ran on board the aircraft, firing one shot outside the airplane, taking everyone inside hostage. Let most of the -- let all of the passengers, two crew members go.
There continue to be six crew members on board. Three men, three women, according to the information minister Daryl Vaz. And right now, negotiations are under way trying to get that hijacker to give himself up and let the remaining crew members go. We're following that story for you this morning.
We're also following more developing news. The United States Navy on alert after NATO forces foiled another pirate attack. It happened off of the coast of Somalia in the Gulf of Aden, and it produced some dramatic video. We've got it for you.
Night cameras were rolling as a Canadian warship fired a series of warning shots. The pirates then took off but after a remarkable seven-hour long chase, NATO hunted the pirates down.
We're following the story this morning using the global resources of CNN. Our David McKenzie live in Nairobi, Kenya.
David, those pirates were detained but later released. What are the authorities saying about that?
DAVID MCKENZIE, CNN CORRESPONDENT: That's right, John.
And that dramatic seven-hour chase through the Gulf of Aden, a Canadian frigate that's part of the NATO forces, went after those pirates. They were firing warning shots over them for hours. They sent out a helicopter, and then after all that effort when they caught up to the pirates on their skiffs, the commandos went after them. They disarmed them and then they released them.
NATO is saying it's not part of their mandate, in fact, to take on pirates and then arrest them. We double checked that the Canadian military just minutes ago, they told CNN that this is not what they do. They're there to deter piracy but not to arrest pirates -- John.
ROBERTS: So, what do they do then in terms of law enforcement? Obviously, these pirates could just rearm themselves and be back out there on the high seas. Where is the next step to try to get them out of the business?
MCKENZIE: Well, it is a very good question because, basically, if you let the pirates go, they'll just sail back to Somalia, grab new weapons and go out to sea again.
It's a difficult position though that NATO is in. They have very strict guidelines and both NATO and the countries that form NATO, like Canada and the Netherlands, which also kept the pirates over the weekend then released them, they say this isn't their mandate.
But, John, as we saw what the USS Bainbridge and with the French Navy, they're taking a much more aggressive approach. And international law suggests that if you get a pirate on a warship, you can arrest them. So there's sure to be some fallout if not now but at some point over these incidents because they need to keep these pirates and arrest them according to many experts -- John.
ROBERTS: Yes. Interesting twist here, catch and release policy.
David McKenzie for us in Nairobi, Kenya this morning. David, thanks so much - Kiran.
CHETRY: All right. Will the ice continue to thaw between Washington and Havana? Are we inching closer to lifting our trade embargo with Cuba? We're talking to experts on both sides of the issue?
Also, billions to bailout the banks. Signs that your money is paying off.
Twenty-four and a half minutes after the hour.
(COMMERCIAL BREAK)
CHETRY: And welcome back to the Most News in the Morning. Just in to CNN now, Bank of America reporting its quarterly earnings and it's well above what analysts expected.
Gerri Willis joins us now with more.
Hi, Gerri.
GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Hi. Good to see you.
Yes, another surprise bank earning statement for the first quarter. This time, Bank of America reporting earnings of $4.2 billion for the first quarter. Huge turnaround from the last quarter when the company earned $1.79 billion. That's 44 cents a share. The expectation had been five cents a share. These banks are getting healthier as we've been saying, mostly on the backs of the mortgage business, believe it or not.
With interest rates so low, these companies are doing all kinds of mortgage business, banging up refis, first time loans. In fact, the company is hiring 5,000 people for its mortgage business, believe it or not.
Now, you might be asking what does this mean for the broader economy and what about our taxpayer dollars? Is this our taxpayer dollars showing up in earnings releases?
Well, as you know, loans don't go through to the bottom line. It just doesn't work that way. However, it certainly does make it easier for these companies to do their business and to make money. It's a big assist for these companies, and we'll be watching them as time goes on.
But I have to tell you, CEO Ken Lewis, this was a very important report for him. He had to have a very positive result. He's under incredible fire right now, scrutiny right now. So it will be interesting to see what happens there.
CHETRY: And so, are they going to give that money back to the taxpayers then?
WILLIS: Well, they're already paying that money back right now. Some of these banks are. As a matter of fact, I think it was some $6.4 billion in loss reserves that they are setting aside for future losses in their mortgage business. They're paying the banks or the federal government back.
So we'll continue to watch that.
CHETRY: All right. Some good news. Thanks, Gerri.
WILLIS: My pleasure.
ROBERTS: So Bank of America as Gerri was saying is just the latest financial institution to report an extraordinary turnaround in revenues and profits. It does raise a lot of questions. Is this the bailout money working? Will all of these institutions soon be able to pay back taxpayers and was the bailout even necessary in the first place?
Our Allan Chernoff is looking into all of that and joins us now live this morning in New York.
Good morning, Allan.
ALLAN CHERNOFF, CNN SENIOR CORRESPONDENT: Good morning, John.
Well, some bankers actually have been complaining that TARP is a trap. They don't like the restrictions that come with government funding. But as we can see, those taxpayer billions have stabilized the financial system and allowed some banks to move from bust to boom.
(BEGIN VIDEOTAPE)
CHERNOFF (voice-over): Bankers are back in the black after taking billions in taxpayer bailout. Profits of $1.6 billion at Citigroup, slightly more at Goldman Sachs, and better than $2 billion for JPMorgan Chase. Is TARP, the Troubled Asset Relief Program, working? You bet.
UNIDENTIFIED MALE: TARP is a success relatively speaking because it kept the banking system afloat. Without TARP, I don't think the banking system could have kept afloat.
CHERNOFF: Bank profits are coming not just from TARP. The Federal Reserve is letting banks borrow at very low interest rates, and low rates have fueled a boom in profitable mortgage refinancing. While banks are booking profits, they're paying dividends back to taxpayers as well, more than $2.5 billion so far.
Remember, the government got preferred stock in each bank that received TARP money. On top of the dividends, banks eventually are supposed to repay their bailout loans. Experts say most banks should be able to pay Washington back.
UNIDENTIFIED MALE: We've put money in as an investment and we're getting dividends back out. Now in the end, we'll probably lose some money total. But that's worth it for avoiding the absolute disaster we could have had. Bad as things are, they could have been far worse. CHERNOFF: Some big banks want to give the money back now, squirming under new TARP restrictions like limits on executive pay. JPMorgan Chase CEO Jamie Dimon has even labeled TARP money a scarlet letter.
(END VIDEOTAPE)
CHERNOFF: TARP may be annoying to some bankers, but much of the economy remains in trouble and that definitely is going to mean more loan losses and mortgages, commercial real estate business loans.
In fact, smaller banks, we've had some failures over there and analysts say that we'll have more failures are coming.
The fact is, the Treasury Department says that several hundred banks are still waiting to participate in the TARP program - John.
ROBERTS: But, Allan, if some of these bigger banks can start to pay back taxpayers, that's all good news.
Allan Chernoff for us this morning -- Allan, thanks so much.
CHERNOFF: You're welcome.
ROBERTS: Kiran.
CHETRY: All right. Well, dominating discussions at the Summit of the Americas, relations between Washington and Havana. And President Obama has lifted travel restrictions for Cuban-Americans. Some are hoping it's a sign that America's trade embargo with the communist state could also be lifted, but is that a good idea?
Well, let's bring in now Mauricio Claver-Carone. He's a Cuban- American and a board member at the U.S.-Cuban Democracy Pac. He is against easing restrictions on Cuba. And Alfredo Duran was born in Cuba, the founder of the Cuban Committee for Democracy. It's a group that encourages reconciliation.
And I want to say welcome to both of you. Thanks for being with us this morning.
UNIDENTIFIED MALE: Thank you for having me.
CHETRY: Well, I want to hear briefly from both of you what you think is the most significant thing to come out of lifting the travel restrictions to Cuba?
Alfredo, you start.
ALFREDO DURAN, FOUNDER, CUBAN COMMITTEE FOR DEMOCRACY: Well, I believe that the moment that the Cuban-Americans starts traveling back and forth to see their relatives -- to see their neighbors, to see their friends in the little towns in Havana, who are able to bring back -- take money with them and help them out, and start making the government less relevant in their lives, give them an opportunity to deal with themselves, and by themselves without requiring the government to furnish everything in Cuba -- I think that's going to have a tremendous impact in bringing about a change in the status quo.
And whenever you have a rigid political system where the status quo changes, things begin to happen. Nobody knows which way they will go, but hopefully, towards a transition, towards democracy and national reconciliation amongst all Cubans. I think that is very important that Cuban-Americans are able to visit their families.
CHETRY: OK.
DURAN: The restriction was something which is not well worth it.
CHETRY: And I want ask you about that part of it, Mauricio, some of what Obama is doing like allowing more travel, lifting some -- limits on spending -- it sounds like it might make things better for people living in Cuba.
Why were you against that?
MAURICIO CLAVER-CARONE, EDITOR, CAPITOLHILLCUBANS.COM: Well, I think, first of all, I have 50 reasons today up on my blog CapitolHillCubans.com on why we should not lift sanctions. The important thing here is that we do not want to give the Cuban regime any more weapons of repression.
You know, it's one thing for the United States to lift or ease sanctions on Cuban-Americans going to the island, but it doesn't mean that the regime is going to allow all Cubans into the island. If you're a human rights advocate or if you're someone that they consider threatening in any way, then they will not allow you into the island.
I agree with -- furthermore with regards to the remittances, you know, the Cuban regime takes 30 percent right off the top. Eventually, 100 percent ends up in the regime's hands through something called TRDs, which are currency recuperation things which are owned and operated by a company which is run by Raul Castro's son- in-law, Colonel Lopez-Callejas, which is very convenient.
You know, Cuba is a totalitarian country. Everything is owned, operated and controlled by that regime. It's not China. It's not Vietnam. It's Burma and North Korea.
CHETRY: So, you're saying that, basically, it doesn't matter how much more money flows into it, it's not going to reach the hands of the people.
CLAVER-CARONE: Eventually, 100 percent of every dollar that goes into the island ends up in the hands of the Cuban government. It is a totalitarian economy.
CHETRY: Alfredo, what do you say to that?
DURAN: Look, I think Mauricio is repeating something that we have been saying for the past 50 years, and nothing has changed. It hasn't worked in 50 years and it won't work for the next 50 years. We need to start changing things. And I think that the best way that we can change dynamics inside of Cuba is Cuban-Americans can travel and Cuban Americans can give support to their relatives on the island.
CHETRY: All right. Well, I ...
DURAN: That makes them more independent.
CHETRY: Before we go, I want you to hear what Cuba's new leader Raul Castro said. He talked about it after President Obama said, you know, the ball is in their court. He said, "Everything's on the table for discussion."
Let's listen.
(BEGIN VIDEO CLIP)
RAUL CASTRO, PRESIDENT OF CUBA (through translator): We told the North American government, in private and in public, that we are prepared wherever they want to discuss everything, human rights, freedom of the press, political prisoners -- everything, everything, everything that they want to discuss.
(END VIDEO CLIP)
CHETRY: He sounds very passionate about that, Mauricio. Do you think that that's just political posturing? Or, do you think that he's willing to make some changes that might change things for U.S.- Cuban relations?
CLAVER-CARONE: Sure. I agree with President Obama that we need to take a new direction in Cuban policy. Raul Castro and Fidel Castro are 77 and 82-year-old, it's not a new direction. That's actually going way, way to the past.
You know, it's almost an illusion to believe that anyone that's been in power for 50 years, obsessed with power for 50 years, you know, that somehow tomorrow, overnight, they're going to want to change. It reminds me here of like the anti-slavery abolitionist movement. William Lloyd Garrison, "With reasonable men, I will reason. With compassionate men, I will plead. With tyrants, I share no quarter for arguments go on deaf ears."
Cuban people deserve to be free. And for that happen, we need to have a bottoms-up, grassroots approach toward the Cuban pro-democracy movement, towards the Cuban resistance. To those young people that are out there every day, practicing civil disobedience, fighting against that regime -- that's what we need to be having a dialogue with. That's what we need to be approaching, not those old septuagenarian leaders.
CHETRY: All right. Well, we're going to have -- we're going to have to leave it there. But I want to thank you both, Mauricio Claver-Carone, as well as Alfredo Duran. Thanks for the discussion this morning.
CLAVER-CARONE: Thank you.
ROBERTS: Drug cartel violence still raging at the border. Many ask, can the vicious fighting ever stop as long as the drugs continue to be illegal. We're talking to a former smuggler about that -- just ahead.
And the real-life "X-Files." A former astronaut calls on President Obama to let Americans know the truth about UFOs and extraterrestrials.
It's 36 1/2 minutes after the hour.
(COMMERCIAL BREAK)
ROBERTS: Welcome back to the Most News in the Morning.
We want to update you on the breaking news that we're tracking out of Jamaica this morning. A hijacker is holding six crew members hostage on board a CanJet Boeing 737.
Jamaica's information minister says that the hijacker is a Jamaican man in his 20s with, quote, "mental challenges." Officials say all of the passengers were freed safely.
The flight originated from Halifax and was heading to Cuba. Jamaica's information minister tells CNN that's where the hijacker was demanding to be taken. Members of his family are now involved in the negotiations to try to give himself up.
Now back to our special series, "Drug Nation: The War on the Border." You've heard from security analysts, lawmakers, even those who support drug legalization. Now, we want you to hear directly from a former smuggler.
Brian O'Dea helped bring as much 75 tons of marijuana into the United States from Southeast Asia -- that was back in the 1980s. He served time behind bars and is now writing about his time as a smuggler. The book is called "High: Confessions of An International Drug Smuggler" and comes out very soon. Brian joins us now live. He's in Toronto this morning.
Brian, you recently wrote an op-ed regarding the legalization of marijuana, on which you said, quote, "It is time to legalize marijuana. The tax revenue generated could then be used to help addicts. I work with these folks every day, in one way or another and not one of them wants to live the way they do, but they don't know how to stop. They need help, not punishment."
So, that's one side of the argument. But then there are people who say, if you legalize pot, you're just going to create a whole bunch of new addicts who are then going to need treatment.
What do you say?
BRIAN O'DEA, AUTHOR, "HIGH: CONFESSIONS OF AN INTERNATIONAL DRUG SMUGGLER": I say that's nonsense. I personally believe that all drugs should be legalized, John, not just pot because drugs are a medical issue. They're not a corrections issue. And similar to what Alfredo said about Cuba, we've done this for 50 years now and nothing has changed. As a matter of fact, it's simply exacerbated the situation.
And so, it's time for us to take another approach. We can't continue to do the same thing and expect different results.
ROBERTS: Right. OK, well back on this idea then of legalizing not just marijuana but all drugs. I mean is there -- I'm sure that there are a lot of people who don't do drugs because they're not readily available. Could those people potentially wanting to experiment if drugs became more widely available and were legalized, try them and therefore get addicted?
O'DEA: John, I have never met anybody who didn't do drugs because they were illegal. The people who use drugs run the gamut of our population from the wealthiest to the poorest. And they simply are available, they don't need to be legalized to become any more available.
As a matter of fact, if they were legalized, the distribution of them would be much more controlled and then the people who are using these drugs could be educated, could be rehabilitated through the money that we save.
We're throwing $70 billion approximately against the war on drugs this year. We've been doing it for far too long, in excess of $1 trillion has been thrown that way and nothing has changed.
Don't you think -- I'm sorry.
ROBERTS: I was going to say, Michael, you make the argument that if you look at the -- if you look at the debate over drugs and you look at what's being written about drugs and you look back at the prohibition era of the 1920s through the early 1930s, if you get the word "drugs" out of everything that's been written lately and you substitute it to the word "alcohol," it would just -- it would look like everything that was written during the prohibition era.
Many people say the very fact that you -- the 21st Amendment legalized alcohol, got rid of the criminal enterprise around it. But they'll say, OK, hard liquor is one thing, but hard drugs -- I mean, we're talking about cocaine, heroin, methamphetamine -- I mean, how could that be publicly acceptable to legalize those drugs?
O'DEA: Well, we give a methamphetamine type product to kids with Attention Deficit Disorder today, by the way. And it's a horrible thing that we do to these kids. There must be another way and I don't know what that way is.
And look, I wrote an op-ed some years ago. And they went to the Toronto Research Library and they took headlines and stories from the 1920s that, as you said, told stories about alcohol smuggling. Changed one word in the stories, they were yesterday's paper.
And so, this -- this didn't work then, it's not going to work now. In the number of prisons that I've been in and there were a few, 95 percent -- through my straw poll, 95 percent of the violent offenses committed were committed by people under the influence of alcohol not heroin, not cocaine, not methamphetamine.
Now, granted those substances are horrible substances and to be hooked on them is a horrible thing. I worked with people as recently as two days ago, spent three hours knocking on a person's door, trying to get in there, to save this guy's life. And he was in there smoking the crack pipe. It's horrible.
ROBERTS: Right.
O'DEA: And this guy, he gave up his whole life -- everything he loved in his life out the door for the crack pipe. And it's terrible, but should we lock him up? No, I don't think we should.
ROBERTS: Right.
O'DEA: Should we lock up alcoholics? I don't think so.
And also, in this town, in Los Angeles, in Atlanta, all over the country and all over the world, neighborhoods are being controlled by gangs.
ROBERTS: Right.
O'DEA: And those gangs have a currency. What's the currency? It's illegal drugs.
And so, I believe that if we take the currency from these gangs, we'll stop seeing the warfare in the streets in Mexico and the wanton killings in Vancouver, in Toronto, in New York.
ROBERTS: Well, it's a fascinating but controversial discussion.
Brian O'Dea, thanks for being with us. Former person on the front lines of drug smuggling, it's interesting to get your perspective on all of this - Kiran.
O'DEA: Thanks for having me.
CHETRY: All right. Millions of Americans' homes were damaged, looted, left for dead. Now, they may never ever be sold. It's an ugly angle to the housing crisis that you haven't heard much about until now. CNN investigates.
Also, Madonna hospitalize over the weekend, she fell off of a horse. We're going to let you know who she's blaming for the mishap.
It's 45 minutes after the hour.
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CHETRY: It's 48 minutes past the hour. We fast forward through the stories that will be making news later today. The Senate is voting at 2:00 this afternoon on the nomination of Christopher Hill as ambassador to Iraq. Senators will also consider sending more money to the Justice Department to tackle financial fraud.
At 10:00 this morning, Apollo 14 Astronaut Edgar Mitchell will be urging President Obama to declassify government files on UFOs. Mitchell and others, who just attended a three-day extraterrestrial conference in Washington, want documents that may have been kept from the public for six decades to be unsealed.
And at 3:00 this afternoon, the 2009 Pulitzer Prize winners will be announced at Columbia University in New York. Among the favorites for the prestigious award, Lynn Nottage's "Ruined" for best drama, and also, the musical "In the Heights" is getting a lot of buzz as well - John.
ROBERTS: All right. Thanks, Kiran.
Let's take a look at some pictures from Boston this morning. More than 20,000 runners are in town for 113th annual running of the Boston Marathon. It's the oldest in the world. It's going to be on the chilly side today, clouds and sun with a high of about 50 degrees, which is actually perfect temperature for running a marathon. The big question is, is the rain going to hold off?
Rob Marciano is here at the weather center this morning with the answer to that question.
(WEATHER REPORT)
CHETRY: I had a blast down there. I spent all of my time at Chick-fil-A though, that was the problem. That's the problem when you have that right in the building. Do you know what I mean?
ROBERTS: Well, I was here last night for a charity event for the Brain Tumor Foundation For Children. It was a great foundation. They raise all sorts of money for funding this organization. So, I didn't make it to Chick-fil-A, but...
MARCIANO: We'll get him there this morning.
ROBERTS: I'm still in Atlanta.
CHETRY: There's still time, before you head out to the airport.
(LAUGHTER)
CHETRY: All right, guys, take it away.
We have breaking news this morning. An airplane hijacked at gunpoint, it's happening in Jamaica. Right now, six people are being held hostage still, six crew members. He let the passengers go, but how this thing ends is still up in the air. We have the latest developments. Also, Madonna's people blaming the paparazzi for her fall from a horse this weekend. So, why aren't there any pictures of it? The photographer's side of the story -- straight ahead.
It's 51 minutes past the hour.
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CHETRY: Welcome back to AMERICAN MORNING.
Madonna's people are blaming the paparazzi for a fall this weekend from a horse on Long Island. The photographer, though, who was there is painting a different picture of the mishap this morning.
Alina Cho joins us now with the latest bruise suffered by the "Material Girl."
Hey there.
CHO: You had to know this is going to happen. A lot of he said/she said going on.
Kiran, good morning.
Madonna's representative says the paparazzi jumped from the bushes, startled the horse, and that's what caused the fall. The photographer says this -- one photographer tells "Newsday" that the only photographer present when the accident happened was the same Steven Klein who happened to be Madonna's host in the Hamptons.
Now, that photographer added that he did snap a photo of her on a public road before and after she fell, but was not there when it happened. Of course, it's a he said/she said, very public.
The 50-year-old singer suffered minor injuries and bruises when she was tossed from a horse on Saturday. It did happen on Long Island in the Hamptons. She reportedly is recovering at her friend, Gwyneth Paltrow's house nearby.
And, of course, this is just the latest setback from Madonna. You will recall that earlier this month, a judge in Malawi denied her request to adopt a 3-year-old girl from the African country. Madonna, who's adopted son David is from Malawi. So, she is appealing that ruling.
And then, of course, there is this. Late last year, Madonna and director Guy Ritchie announced they were getting a divorce and that settlement reportedly cost her as much as $92 million. That divorce was finalized in November.
And there are reports, interestingly enough, Kiran -- you may remember this -- that another fall from a horse may actually have been the beginning of all of her marital problems. Back in 2005, just after her 47th birthday, Madonna was thrown from a horse in Britain. She suffered much more serious injuries after that fall. She cracked three ribs, and broke her hand and collarbone at that time. There were widespread reports that Guy Ritchie showed a, quote, "complete, lack of love (AUDIO GAP).
Having said that, Madonna is said to kick off a European tour in London on July 4th. So, she'll have to get better fast.
CHETRY: Right. This time, at least, not nearly as serious as with that last fall.
CHO: Not nearly as serious, suffered minor injuries. And I think she spent the night at the hospital over there. But hopefully, she'll be fine soon.
CHETRY: Alina, thanks so much.
CHO: You bet.
ROBERTS: We're following breaking news. And as we speak, six crew members are being held hostage by an armed gunman on board a plane in Jamaica. It's in Montego Bay. Negotiations with the gunman are underway, according to officials down there. Breaking details as we get them here in the Most News in the Morning.
Plus, boarded up and beaten up. Foreclosed homes are badly damage they can no longer be sold. CNN investigates the story that you have not heard much about.
It's coming up now and 57 minutes after the hour.
