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American Morning
U.S. Soldier Captured in Afghanistan by Militants; DEA Joins in the Michael Jackson Investigation; Jackson's Will Raises New Questions; Wounded Troop Deaths on the Rise Due to Prescription Drugs?; FAA Ignores Problems and Whistleblowers; South Carolina Governor Scandal Deepens; Al Franken's Serious New Role
Aired July 02, 2009 - 06:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
ANNOUNCER: This is CNN breaking news.
KIRAN CHETRY, CNN ANCHOR: Welcome, glad you're with us on this AMERICAN MORNING. 6:00 a.m. here in New York on this Thursday, July 2nd, actually. We have some breaking news this morning.
JOHN ROBERTS, CNN ANCHOR: Yes, good morning. John Roberts along with Kiran Chetry. Glad you're with us this morning.
CHETRY: We start, though, with the stories that we're breaking down in the next 15 minutes. Out of Afghanistan this morning, word that a U.S. soldier has been captured by militants in that nation. This as the military launches a major operation against Taliban militants in southern Afghanistan.
Our Barbara Starr is following all of the developments. She's going to join us momentarily live from the Pentagon.
There are also new details on the Michael Jackson investigation. The DEA is now on the case and we know the King of Pop may sell out one more arena before he's finally laid to rest. We'll get more on that live from Neverland in just moments.
And also, Michael Jackson's will surfaces. It answers some questions, also raises a lot more, especially about his estate and whether there are enough assets to pay off creditors. We have the best legal minds here to make sense of it all.
ROBERTS: We begin this morning with the breaking news out of Afghanistan. We have learned that militants have captured a U.S. soldier just as the Pentagon is launching a major operation against the Taliban.
Our Barbara Starr live at the Pentagon for us this morning. What do we know right now about this captured soldier?
BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, John, the U.S. military just releasing an official statement a short while ago saying a soldier who was missing from his unit since Tuesday now believed to be captured by militants. The U.S. military saying they are exhausting all available resources in their words to try and get him back. What that means, of course, is operations are under way at this hour to try and find this man and get him back. By all accounts, they believe this happened in eastern Afghanistan. And, John, by all accounts, this was not a combat situation where there was a firefight and someone was captured.
The working theory right now, sources tell us, is that this soldier, for some reason, was outside the wire, outside a camp base on his own. That is the working theory about what has happened. No one can explain the circumstances.
The family has been informed, we are told. But the name of the captured soldier has not been released. Obviously, there is a good deal of concern about this and a good deal of concern that the Taliban could broadcast some sort of video claiming that the man they will show is this man. None of that confirmed yet -- John.
ROBERTS: We know that you're going to stay on top of this for us this morning. Barbara, hang in there because we also want to ask you about this new operation, Operation Khanjar. And we want to run a little animation here to bring the folks at home up to speed on exactly what's happening.
This began this morning in Afghanistan in Helmand province which is in the southwestern part of Afghanistan. It's a Taliban stronghold, home to about 740,000 people, primarily Pashtun.
The area of operation because Helmand province is mostly desert, really is here along the Helmand River Valley. This is a major opium poppy growing area. In fact, this part of the world provides 42 percent, it's responsible for 42 percent of the world's opium production. And this has been an area of fierce firefights between coalition forces and Taliban. There are 4,000 Marines in there right now.
Barbara, what can you tell us about this operation? Again, Khanjar, or "Strike of the Sword"?
STARR: John, the Helmand River Valley is, in fact, the Taliban stronghold because of the poppy crop. This is where they get their money from. This is where they are not going to go gently. So the U.S. Marines have moved in. A number of forces operating in that area, combat forces. But also there are already bringing in those assistance forces, engineers, rebuilding, economic assistance.
This is the test case of the so-called new strategy in Afghanistan. The new counter insurgency strategy. Move in, push the Taliban out. If they have to flee the area, the theory goes that they will lose their strength. They'll lose their power base. There will be nowhere for them to come back to.
All of that, of course, remains to be seen. This is just the latest of the major operations we have all been told about over the years. But this is the first one under the new strategy. We will see if it works -- John. ROBERTS: All right. We know that you'll keep us updated on all of that this morning as well. Barbara Starr for us at the Pentagon this morning. Barbara, thanks so much.
Kiran?
CHETRY: There are some new developments this morning in the death of Michael Jackson. The nation's top drug cops are now joining the investigation. CNN is confirming that the Drug Enforcement Administration is now working alongside Los Angeles police. DEA agents looking specifically at the role that prescription drugs could have played in Michael Jackson's death.
Meantime, fans around the word are wondering when they'll be able to say goodbye to Jackson. This morning, just a week after his death there are plans now for a public funeral or memorial service that still remain unclear.
CNN's Kara Finnstrom is live outside of Jackson's Neverland Ranch. And, Kara, let's start with the role of the DEA in this case now. What do we know about that?
KARA FINNSTROM, CNN CORRESPONDENT: Well, Kiran, two separate law enforcement sources are now telling CNN that the DEA is officially involved in this probe. And what they're telling us is that agents will be looking into several positions that Jackson has been associated with, taking a closer look at their practices and the different medicine supplies that they had.
Of course, you know, the possible involvement of drugs here has been an issue. It's been raised ever since Jackson died back on June 25th.
At this point, the coroner has not stated an official cause of death. He's waiting on those toxicology results. But you'll remember early on, right after Jackson's death, the LAPD did impound the car of his cardiologist saying they wanted to search it for pertinent evidence in their investigation, possibly some prescription drugs.
We should say that car was released yesterday back to the physician with no word on whether that evidence was found. And, of course, we've been hearing from Cherilyn Lee. She's the nutritionist who says that Jackson was suffering from severe bouts of insomnia and had asked her for Diprivan, which is a powerful sedative.
CHETRY: And also, let's talk a little bit more about the funeral or memorial service. There is a lot of changing information yesterday about when this is taking place and where it might be. What are we hearing this morning?
FINNSTROM: Well, the only official word we have from the new family spokesperson is that those private and public viewings that we were told were slated for here at Neverland will not be taking place, and that they are planning a public memorial for Jackson. The details of that have not been released by that family spokesperson. But, of course, lots of speculation floating around out there and numerous media outlets are naming some possible venues, the Staples Center. That's the home of the L.A. Lakers and the Clippers, it's huge. And also the L.A. Coliseum, which is this huge football stadium that could seat 100,000 people.
The interesting thing with both of these is you're not going to have those issues that you have here at Neverland, you know, which is with crowd control and traffic.
CHETRY: Yes, but it's still going to be just a huge undertaking because of -- how many hundreds of thousands of fans who might be thinking about trying to make a public goodbye to Jackson. So keep us posted on that as well. Kara Finnstrom for us this morning outside of Neverland Ranch, thanks.
And also this morning, Michael Jackson's will continuing to create a lot of buzz, especially the section about who he wanted to care for his kids. In the 2002 document filed in court yesterday, Jackson named his mother Katherine as his choice for guardian. His second choice, though, long-time friend and famed entertainer Diana Ross.
Also in the will, Jackson intentionally omits Debbie Rowe, his ex-wife and mother of his two oldest children. He also makes no mention of his father, Joe. Estimates for his fortune are around $500 million.
So what happens to what's left of all that money especially when you talk about needing to pay off so much debt? We're going to break it down with attorney Paul Callan in just about 10 minutes.
ROBERTS: We have other stories new this morning, though, to tell you about. There is even more evidence that the Securities and Exchange Commission dropped the ball on Bernie Madoff's $65 billion Ponzi scheme.
The "Washington Post" reporting an SEC staffer assigned to look into Madoff's relationships with hedge funds told her supervisor back in 2004 that his information did not add up, but she says she was told to focus on a completely unrelated problem. Madoff was sentenced on Monday to 150 years in prison.
Also new this morning, more calls for South Carolina Mark Sanford to resign. And they are coming from his own state. Republican Congressman Gresham Barrett says people have lost confidence in the governor after he revealed new details about his extramarital affair this week in an interview with "The Associated Press." Sanford has said that he will not step down. Barrett, by the way, is one of a number of people who are running for governor next year.
And an amazing tale of survival. The teenager who is thought to be the only survivor of Thursday's plane crash off of the southeastern coast of Africa is back home with her family in France this morning. A French government plane flew the 13-year-old to Paris. Officials say she survived by clinging to a piece of wreckage for nearly 13 hours. What's even more incredible, though, there are reports that she couldn't swim very well. When the teen was found, she was suffering from hypothermia, also had a broken collarbone.
It's eight minutes now after the hour.
(COMMERCIAL BREAK)
ROBERTS: Shocking new details this morning over Michael Jackson's will. The document shows Jackson wanted his money put into a family trust, but we don't know anything about how that trust will be managed.
We also know that Jackson wanted lifelong friend Diana Ross to take care of his children if his mother was incapable of doing so.
So there's still many lingering questions and joining us to try to answer some of those is civil trial attorney Paul Callan of New York.
Good morning, Paul. It's good to see you.
PAUL CALLAN, CRIMINAL DEFENSE ATTORNEY: Good morning, John.
ROBERTS: So you read some of the contents of the will. You saw some of the court proceedings yesterday in which the executors of the will actually tried to get Katherine Jackson removed as the temporary administrator. What are your initial thoughts about how this is all going?
CALLAN: Well, this is not surprising that they would try to get her removed. Remember when she was appointed, there was an assumption that there was no will. And she, therefore, would become the court- appointed administrator.
Now they have the will, and in the will there's a specification that three executors will manage the estate. So they're petitioning to have her removed. And this is a big, big decision because remember we're talking about potentially a $500 million empire. The executors could collect as much as three percent of the fees. A lot of money, a lot of power, a lot of control involved.
ROBERTS: And a lot of people will be trying to get a piece of that pie, I'm sure. But, you know, the judge said he thought it was probably wrong to leave Katherine Jackson on, but for the sake of comity he thought he would.
And, you know, yesterday you talked about this idea that, you know, it might take four to five years for this to finally be, you know, put through probate. And yesterday the judge implored all sides and said I would like the family to sit down and try to make this work so we don't have a difficult time in court. How long do you think this might all take now?
CALLAN: Well, I stay with that, anywhere from three to five years. But think about the complexity of this situation. This is a guy who lived in the Middle East. He lived in different states all over the country. He was a notorious spending. He was spending money every place. So a lot of debtors and creditors will be trying to collect from the estate. So winding down an estate like this with global implications has got to take a long time.
ROBERTS: In 2002, when this will was written, Michael Jackson estimated the value of his holdings to be about $500 million. But as we know there's been some famous racking up of some very famous debts in those years. Is there any way to know how much is left at this point?
CALLAN: Well, there is a way and there's simply -- and that's the job of the executors. They're going to hire accountants, and they're going to go out and find out what the current value of the estate is.
But it's an interesting situation because the estate might, right now, look like it's worth nothing but it has potential assets of enormous scope and quantity.
ROBERTS: Yes, "The Beatles" catalog.
CALLAN: "The Beatles" catalog. His record sales, I understand, have skyrocketed over the last week. So this is an estate that will be worth a lot of money. There will be funds available to pay off creditors.
ROBERTS: Now, you described this will as a poor over will, because it's just basically a covering document which says everything is covered, the allocation of all these assets by the Jackson family trust. Do we know anything about that document and who is named within it to be the beneficiaries of all of this?
CALLAN: No, we don't, John. You know, what's really interesting, this will is only five pages long. It is such a tiny document that it's really incredible. But what they do is they pore over the contents of the will into the Michael Jackson family trust. And there, the distribution remains absolutely secret.
This was a very clever way to set it up. It was Michael Jackson trying to grab himself a little bit of privacy in his death. Ironic, I think, because he was such a highly publicized entertainer.
Now, a trust remains strictly confidential. So who gets the money through the trust, who manages the trust, all of this may never be revealed to the public unless, of course, it's leaked to the press. But that's the intent, to protect the privacy of the estate.
ROBERTS: I haven't seen anything about this case leaked to the press yet. So I'm going to stand by on that one.
Hey, one other quick issue and that is the $85 million in concert tickets for this upcoming series of dates in London that Jackson was supposed to do. I know that his attorneys really want to start to get into some mediation about that to try to mitigate the costs. How much liability to the estate could there be there?
CALLAN: Well, that's going to depend on their contract with the promoters. But, obviously, there could be a substantial liability. There were going to be 50 concerts at enormous expense that sold a lot of tickets, so that's a big worrisome debt for the estate.
ROBERTS: All right. Paul Callan this morning again. It's good to see you, Paul. Thanks so much for coming in.
CALLAN: Good to be with you, John.
ROBERTS: And tonight in a primetime exclusive, our Larry King will be broadcasting from inside Michael Jackson's beloved Neverland Ranch home. Larry is getting special access tonight. That's Larry King tonight at 900 p.m. Eastern and midnight only on CNN.
It's 15 minutes after the hour.
(COMMERCIAL BREAK)
CHETRY: Welcome back to the "Most News in the Morning." Eighteen minutes past the hour.
Well, today, the Sears Tower is opening "The Ledge." I don't know if I'd dare, but it's this glass balcony that hangs out over the city of Chicago from the 103rd floor. There's no way.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: No way.
CHETRY: You couldn't pay me enough to do that. Three layers of half-inch glass support those brave enough to step out and see the city below. They say it can hold five tons. Do you trust it, John?
ROBERTS: You know, it's sort of like that cantilever observation platform over the Grand Canyon as well.
CHETRY: Yes. I won't do that either.
ROMANS: It's cool, but I don't know.
CHETRY: You know, it's against human nature. You know that they say when babies, they do that experiment with babies, they're crawling, they're crawling.
ROMANS: That's right.
CHETRY: And then they have them crawl on to glass. And as soon as they see it, they think they're falling. It's against human nature to stand there on glass and look down.
ROMANS: I bet they're going to have long lines, though, because people love that kind of stuff. To look out over -- over the city of Chicago like that, it's kind of cool.
CHETRY: Very cool.
ROBERTS: It's very cool.
CHETRY: Christine Romans is here "Minding Your Business" this morning. And we're talking about a new poll about the economy and how people feel. You talked more about this as more people are saving, as gas prices have ticked down. Are we feeling better?
ROMANS: Well, actually, about one in eight of you think a recovery has started. But still most people, four out of ten think that we're still in a downturn overall.
And we know that issue number one is still your money. Here are the top three things -- the economy, the deficit and health care. These are the three things that all have to do with your money.
Here's what the opinion is now of our economic conditions. Is the economy starting to recover? About 12 percent of you say it is. Has the economy stabilized? About 48 percent of you say that.
Remember, stabilized doesn't mean getting better. It just means stabilized. Are we still in a downturn? About 40 percent of you say so.
A recent optimism seems to have stalled. When you look back on how you were feeling over the past few months, now the number of people, the percentage of people who say economic conditions are very poor, 41 percent. In April, it was about 37 percent. Now in March and in January, you'll recall, that percentage was a lot higher because people were still much more nervous about things.
We're going to get a jobs report today. We're getting more economic data all the time, you guys. We're trying to sift through it and feel is there a sense that things are less worse.
And John always teases me because I never say better. I always say less worse because that's the situation we're in. It's still a fragile outlook for the next, you know, six months, seven months, eight months.
There's a lot of uncertainty but that feeling of panic has subsided, and that's why people are starting to sift through all the data and look for any kind of spot that there's a bottoming in the process.
ROBERTS: Take note, Rush Limbaugh. You're saying things are less worse as opposed to better.
ROMANS: Oh, that's right. He thought I was being too optimistic the other day. But as you know, I mean, I've been --
CHETRY: You're our resident angel of darkness.
ROMANS: I know. I've been pretty consistent on this but trying not to fall.
ROBERTS: Note to Rush, she's wearing black. ROMANS: I try not to -- I try not to talk about false dons, but he was a little irritated that I was talking about the stock market rally in the third quarter.
ROBERTS: Yes.
ROMANS: Yes, people are still really hurting. But the stock market was up in the second quarter.
ROBERTS: You have a "Romans' Numeral" for us?
ROMANS: I do, 150,000 is this number. It has to do with the jobs report later today.
CHETRY: How many people are still out of work?
ROMANS: Yes. There's still 150 -- there's definitely. This is the number of jobs needed to create every month just to keep up with population growth -- 150,000.
ROBERTS: Oh, really.
ROMANS: So you're going to be hearing a lot today about maybe are the pace of layoffs slowing. They're not as bad as they were in January and February, but the perspective here is that you need to create 150, closer to 150,000 jobs every month just to keep up with new people coming into the labor market who need a job.
So we need to go back to a situation where we're creating 100,000, 150,000 jobs a month. That's just getting back to par.
ROBERTS: Wow.
ROMANS: And we've got to create jobs on top of that. So it's just indicative of how much work we have yet to do to fix this labor market. And a lot of economists tell me it will be a very long time before we get back to stabilization in the labor market.
ROBERTS: So overall, what kind of shape is the economy in?
ROMANS: It is still -- it is still probably in a recession, but it could be bottoming out and looking to a recovery somewhere in the future. We just don't know when that is.
CHETRY: And as we look to that jobs report, what have we seen over the past few weeks? We've seen more than half a million people still in terms of jobless claims?
ROMANS: We have seen jobless claims that have been still in the, I think, the 500,000 range, right? But it hasn't been -- today, though, looking for 615,000 in the jobless claims number. So, you know, companies are still laying off a lot of people, but they're not laying off as many people as they were at the beginning of the year.
ROBERTS: Christine Romans "Minding Your Business" this morning. Christine, thanks so much for that. ROMANS: OK.
Well, we know that there's historically been a tug-of-war between the National Transportation Safety Board and the FAA. The NTSB makes recommendations. The FAA sometimes goes, yes, no thanks. Apparently, it spreads far beyond that.
Allan Chernoff with the latest report on what the FAA is doing to keep you safe in the skies. Coming up right after the break.
It's 22 1/2 minutes after the hour.
(COMMERCIAL BREAK)
CHETRY: Welcome back to the "Most News in the Morning." They serve their country in the fields of battle but now some of America's wounded warriors are suffering just as horribly on the inside as they are on the outside.
ROBERTS: This morning in an exclusive report, we're looking at whether some of our heroes are harming themselves and whether enough is being done to help them. Barbara Starr back with us from the Pentagon this morning with that story.
Barbara?
BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, you know, John, we heard so much in recent days with the Michael Jackson story about prescription drug deaths, this very critical issue. Well, now, we have an exclusive look at how it's affecting the U.S. military.
(BEGIN VIDEOTAPE)
STARR (voice-over): Army warrant officer Judson Mount's wife, Jennifer, knew something was wrong when she didn't get a scheduled phone call from her husband at his barracks at Brooke Army Medical Center in Texas. She tells CNN he was found two days later dead in his room.
Mount was recovering from shrapnel wounds he got in Iraq. In an outpatient rehab unit, he was supposed to get the best of care. His widow believes he died from a reaction to multiple prescription drugs, but so far, she says, the army hasn't told her what happened, only that it's under investigation. The general who oversees the Army's care program is not surprised.
GEN. GARY CHEEK, WARRIOR TRANSITION PROGRAM: We are seeing a rise in our deaths due to drug toxicity as we described, illegal drugs or alcohol, et cetera, and prescription drugs.
STARR: Drug and alcohol deaths among soldiers in these high-care outpatient warrior transition units are up dramatically. Nine soldiers have died. Four other deaths are under investigation in just the last nine months, almost double the number from the previous year.
Some units are also seeing a dramatic rise in soldiers with mental health issues, such as depression, stress and anxiety.
CHEEK: We've got about a 40 percent increase in the soldiers in the warrior transition unit with behavioral health conditions.
STARR: The Army is trying to keep soldiers from dying due to alcohol and drugs. Those deemed high risk are checked on several times a day. Alcohol use may be restricted.
There is more monitoring of prescription drugs. Only a small supply may be given out at a time, and doctors check for possible deadly drug interactions.
(END VIDEOTAPE)
STARR: But the reality is despite all these efforts, these types of deaths are on the rise in the U.S. military and these unintended casualties of war, their deaths because they're not dying of their war wounds, may never even be publicly announced by the military -- John.
ROBERTS: Barbara, thanks.
CHETRY: All right. And, Barbara, are they dealing with an epidemic when it comes to these prescription drugs?
STARR: Well, you know, it's interesting, because when we spoke to the military about this, what they sent us back was some of the latest medical research that shows prescription drug deaths across the United States in the civilian population are sharply on the rise.
We hear about these headlines, Michael Jackson, the actor, Heath Ledger, some time ago dying of an accidental prescription drug situation. And what they're saying is in the military is this is a problem that is crossing society right now. But for these troops, they are in a situation where they're supposed to be very closely monitored. So the real advantage, if you will here, is they're trying to see what works, what solutions work to keep this from happening.
Back to you guys.
ROBERTS: Thanks so much. You can read more about Barbara's exclusive report and share your thoughts on that and any story you see here in the "Most News in the Morning." Just go to our show blog CNN.com/amFIX.
CHETRY: Twenty-eight minutes past the hour now. We're tracking breaking news out of Afghanistan. We've learned that a U.S. soldier has been captured by militants. This as thousands of Marines launched operation -- a major operation against the Taliban.
These are new pictures just coming in to us this morning on AMERICAN MORNING. A statement says that the military is not going to give any more details about the missing soldier right now, but a Taliban commander is claiming that he was drunk when he got ambushed. CNN cannot verify that claim.
ROBERTS: The Drug Enforcement Administration joining the investigation into Michael Jackson's death. That's fueling speculation narcotics could have killed him. And the family is now saying there will not be a public viewing of Jackson's body at the singer's Neverland Ranch on Friday.
We're also learning more about Jackson's will. But the document is raising new questions about who will get Jackson's assets.
CHETRY: Fifteen people recovering from injuries this morning after a New York ferry accident. A Staten Island ferry slammed into a dock at the end of rush hour last night. We're hearing the injuries are minor, but it was a scary reminder of a deadly crash at that same terminal back in 2003 that left 11 people dead and many more wounded.
ROBERTS: And now a report that you're only going to see here on CNN. We have uncovered evidence that the Federal Aviation Administration, an agency that is supposed to keep you safe while you fly, has ignored more than two dozen safety concerns.
CHETRY: The problems are being raised by some whistleblowers who worked for the FAA. And our senior correspondent Allan Chernoff has been covering this story. He has an exclusive report for us this morning.
So more of these whistleblowers claim that they're facing retaliation from officials inside their own agency at the FAA.
ALLAN CHERNOFF, CNN SENIOR CORRESPONDENT: It's incredible but very true. Some FAA inspectors like Christopher Monteleon, who we told you about a few weeks ago, say they've gotten nowhere when flagging safety violations like maintenance, runway and air traffic issues. Now the office of special counsel tells us many of the inspectors are pointing to legitimate problems.
(BEGIN VIDEOTAPE)
CHERNOFF (voice-over): FAA inspector Christopher Monteleon warned of safety problems at Colgan Air for several years before a Colgan plane crashed near Buffalo in February killing 50 people.
CHRISTOPHER MONTELEON, SUSPENDED FAA SAFETY INSPECTOR: My supervisor called me into his office and said stop your investigation. He said --
(BEGIN VIDEOTAPE)
ALLAN CHERNOFF, CNN SENIOR BUSINESS CORRESPONDENT (voice-over): FAA inspector Christopher Monteleon warmed of safety problems at Colgan Air for several years before a Colgan plane crashed near Buffalo in February killing 50 people.
CHRISTOPHER MONTELEON, SUSPENDED FAA SAFETY INSPECTOR: My supervisor called me into his office and said stop your investigation. He said that this violation -- these violations never occurred.
CHERNOFF: But Monteleon continued raising safety concerns about the airline. Eventually, he was demoted, then put on leave of absence.
MONTELEON: They have had my aviation safety inspector credentials taken from me. It's just been humiliating.
CHERNOFF: Monteleon filed a complaint with the federal Office of Special Counsel, which investigates allegations of reprisal against whistleblowers. CNN has learned the OSC has found merit in Monteleon's case against the FAA.
He's not alone. The Office of Special Counsel tells CNN it has made a positive determination that the FAA improperly responded to 27 current cases of FAA employee whistleblowers warning of safety violations.
TOM DEVINE, GOVERNMENT ACCOUNTABILITY PROJECT: It means that FAA is a very sick agency. There's never been an agency that has had that large of a surge of whistleblowers whose concerns were vindicated.
CHERNOFF: The Department of Transportation told CNN, "We acknowledge it's a large number of cases. We take all of them seriously."
But the Office of Special Counsel finds the FAA repeatedly retaliates against employees who flag safety problems, often deferring to the airlines they regulate.
The former inspector general of the transportation department in the 1990s, now an attorney for families of accident victims, says the problems she saw seemed to have gotten worse.
MARY SCHIAVO, FMR. DEPT. OF TRANSPORTATION INSPECTOR GENERAL: That's shocking. And it's really unconscionable for government agency that's supposed to be about safety, not about witch hunts for those who find safety lacking.
CHERNOFF: What's going on at the FAA? Critics say it's the culture. Former FAA administrator Marion Blakey in 2003 established a customer service initiative that defined airlines as customers, not the flying public. The current transportation department inspector general found FAA's definition of its customer has had a pervasively negative impact on its oversight program. While there's no evidence of illegal dealings, the FAA has had an active revolving door. Agency managers regularly going on to work in the aviation industry while industry executives take top spots at FAA.
Former FAA administrator Blakey is now president and CEO of the Aerospace Industries Association. Former FAA chief operating officer Russell Chew moved on to become president of JetBlue Airways. FAA's chief operating officer of air traffic Hank Krakowski is a former United Airlines vice president. Linda Daschle, wife of the former Senate Democratic leader, was FAA's acting administrator, and then became a lobbyist representing the airline industry.
SCHIAVO: There's a very cozy relationship between the lobbyists for the industry and the Department of Transportation and the FAA.
CHERNOFF: In spite of past problems, the new transportation secretary and FAA chief say the agency will change. Whistleblowers will now get an open ear.
RAY LAHOOD, SECRETARY OF TRANSPORTATION: We will pay attention to any kind of complaint or accusation or any kind of concern that is expressed by an employee of the FAA. It's a new day at the FAA, and it's a new day at DOT.
(END VIDEOTAPE)
CHERNOFF: While FAA says it does investigate all whistleblower safety concerns, it has resisted calls for an independent office within the agency to examine such claims. A pending House bill to reauthorize FAA would require the agency to create such an office. The bill would also require FAA to change its customer service initiative to remove any reference to airlines as customers. The Senate should be working on its version of the bill after the July 4th break.
As in all federal agencies, senior executives leaving the FAA are subject to a one-year cooling off period that forbids them from representing a client before the agency. The Office of Special Counsel has referred all 27 cases to the transportation secretary who is investigating and must tell the Special Counsel what steps will be taken to fix the safety problems.
John?
Kiran?
KIRAN CHETRY, CNN ANCHOR: Pretty big mess that needs to be untangled right now with that agency.
CHERNOFF: Well, this is affecting our safety, so it's very, very important.
CHETRY: Absolutely. Allan, thanks so much.
And, by the way, you can read more about Allan's report and weigh in, if you would like to. Head to our show blog, the address, CNN.com/amFIX.
Thirty-five minutes past the hour.
(COMMERCIAL BREAK)
JOHN ROBERTS, CNN ANCHOR: Welcome back to the Most News in the Morning.
Michael Jackson's will has been read. It states that if something should happen to his mother, he wants Diana Ross to be the guardian for his three children. As we hear from Mary Snow, it's not quite as strange as it sounds.
MARY SNOW, CNN GENERAL ASSIGNMENT CORRESPONDENT: John and Kiran, Diana Ross had a big influence on Michael Jackson both on stage and off. They've known each other for roughly 40 years. And she was seen as a role model for him.
(BEGIN VIDEOTAPE)
SNOW (voice over): After Michael Jackson died, Diana Ross said in a statement she couldn't stop crying, that she was praying for Jackson's children and his family.
Jackson's will shows how highly he regarded her. The will says if Jackson's mother Katherine died or was unable to take care of his three children, that Ross should be named guardian.
MIKE WALTERS, TMZ.COM: It is fitting, if you think about that, and the people that he trusted, Michael didn't have very many people around him for a long time, including some of his family members that he trusted.
SNOW: Jackson knew Ross most of his life. She lent her star power to the young Jackson family. Their first album was called "Diana Ross Presents the Jackson Five."
Ian Drew of "U.S. Weekly" says Ross, who has five children of her own, taught the Jacksons the ropes in show businesses, but also provided emotional support.
IAN DREW, SR. EDITOR, "U.S. WEEKLY": A lot of times when they were visiting Los Angeles before they had a house, they would stay at Diana's home. He would often seek refuge there when things were very bad at home. She really was a surrogate mother to him almost.
SNOW: As Michael Jackson got older, he remained close to Ross. The two of them seen here in "The Wiz" in the late 70's performed together at times. And former president of CBS Records, Walter Yetnikoff, recalls how Jackson turned to Ross before releasing his blockbuster "Thriller."
WALTER YETNIKOFF, FMR. PRESIDENT, CBS RECORS: Two people other than Michael who saw "Thriller" for the first time, he invited me and Diana Ross to preview, you know, "Thriller."
(END VIDEOTAPE)
SNOW: That's just a glimpse of the kind of influence Diana Ross had on Michael Jackson. Some industry watchers say it's unclear how close the two performers were in the last several years since the will was written in 2002. And Diana Ross has not commented publicly on the fact that she is mentioned in the will.
John and Kiran?
ROBERTS: Wow. I guess, you know, his mother is 79 years old, looking after young children. You got to wonder, you know, can she handle that. And well, I guess she'll have the money to hire a lot of help, that's for sure.
CHETRY: Right. But I mean, you know, and the children, that's their biological link there. And then if something would happen to her because of her age, I mean, it's a tough situation really for the children.
The other big story this morning, though, is the DEA now joining the investigation into Michael Jackson's death. And in about 30 minutes, we're going to be speaking to a retired special agent from the agency about why they would be called in for help now.
It's 41 minutes past the hour.
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CHETRY: Welcome back to the Most News in the Morning. It's 44 minutes past the hour right now.
We fast forward through some of the stores that will be making news later today.
Officials in France will be holding a press conference at 9:00 a.m. Eastern time, getting some new information on the crash of an Air France flight off the coast of Brazil back on June 1st.
Also at 2:20 Eastern this afternoon, President Obama will be talking jobs and the economy. It follows a meeting that the president has scheduled with business leaders from companies large and small that are trying to create new jobs in the sluggish economy.
And it's that time of year again, the annual Nathan's Famous hot dog-eating contest. New York Mayor Michael Bloomberg will oversee the weigh in of this year's contenders. That's taking place at 1:00 p.m. Eastern here in New York City. The contest itself usually taking place on Coney Island. It's a gut-busting competition for sure that takes place on Saturday.
I was wondering why they have the weigh-ins, because the guy who wins right there, Takeru Kobayashi, there on the corner. Although I think Joey Chestnut beat him last year. He's only weighs about 140 or 150 and he can eat some hotdogs.
ROBERTS: He's a very small guy, very expandable, though, I think you could probably say.
CHETRY: Apparently.
ROBERTS: Forty-five minutes after the hour.
Rob Marciano is tracking all the extreme weather for us in the country today. He's in Atlanta.
And they got a lot of rain in parts of the northeast yesterday, Rob.
ROB MARCIANO, AMS METEOROLOGIST: Yes. And once again, and we're going to try to clear some of that out. The big weigh-in for the big fight. You know, it's all about the pre-fight hype, as long as we're talking about the Fourth of July.
(WEATHER REPORT)
ROBERTS: Rob, thanks so much for that.
MARCIANO: You got it.
ROBERTS: Forty-six minutes now after the hour.
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ROBERTS: Welcome back to the Most News in the Morning.
Democrats on the Hill are passing around new details on a revised plan for health care reform this morning. The president took the plan to an online town hall denouncing so-called scare tactics from his opponents. As critics say, this is the first step towards government- run health care.
Our Jim Acosta sat down with one insider from the health insurance industry.
Jim joins us now live from our Washington bureau.
With that side of the story, what did the industry insider have to say, Jim?
JIM ACOSTA, CNN GENERAL ASSIGNMENT CORRESPONDENT: Well, John, he wants to get in on this battle over health care that is escalating in Washington. Groups on both sides are flooding the airwaves with ads on the issue. Now, a health insurance company insider has stepped forward to warn the public about the industry's practices and some of those ads shaping the debate.
(BEGIN VIDEOTAPE)
ACOSTA (voice over): For 15 years, Wendell Potter worked for the health insurance giant CIGNA, most recently as the company's chief spokesman. These days, he's telling a different story about the industry. WENDELL POTTER, FMR. VP OF COMMUNICATIONS, CIGNA: I know from personal experience that members of Congress and the public have good reason to question the honesty and trustworthiness of insurance companies.
ACOSTA: Potter told a Senate hearing on health care the industry is only out to please investors.
SEN. JAY ROCKEFELLER (D), WEST VIRGINIA: I was going to say -- you are better than Russell Crowe on "The Insider."
ACOSTA: He told CNN how his former company would drive small businesses with expensive claims to dump their CIGNA policies, a practice Potter says the industry calls "purging."
POTTER: When that business comes up for renewal, the underwriters will jack the rates up so much that the small businesses have no alternative but to drop insurance or...
ACOSTA (on camera): The employer walks away.
POTTER: The employer walks away.
ACOSTA (voice-over): In an email to CNN, a CIGNA spokesman says we do not practice that. We will offer rates that are reflective of the competitive group health insurance market. We always encourage our clients to compare our proposed rates to those available from other carriers.
Potter finally decided to leave CIGNA after visiting this medical charity event at a Virginia fairground...
POTTER: It was almost like an electrical jolt. Almost like being hit by lightning. And it really was.
ACOSTA: ...where he snapped these pictures of doctors offering free health care to the uninsured.
POTTER: The volunteer doctors were seeing patients in barns and treating people in animal stalls.
ACOSTA: And this changed it for you?
POTTER: It changed it for me, just seeing that.
ACOSTA: Now supporter of health care reform, Potter is taking aim at those TV ads warning of a government-run system.
UNIDENTIFIED ANNOUNCER: Now Washington wants to bring Canadian- style health care to the U.S.
POTTER: Sometimes you will see misleading information, sometimes outright lies like that is. ACOSTA: Not so says the conservative group running the spot.
AMY MENEFEE, PATIENTS UNITED NOW: We are not saying that there's a Canada, you know, health care act of 2009.
ACOSTA: But that's what the ad implies. The ad implies Washington wants to bring Canadian-style health care to the U.S.
That's what it says.
MENEFEE: Well, it is. It is that trend. It's trending in that direction.
POTTER: There are a lot of critics of health care reform who say that we would be possibly rationing care if we reform health care. What you have is rationing by corporate executives, who are beholding to Wall Street. It happens all the time.
(END VIDEOTAPE)
ACOSTA: The leading health care proposals in Congress would not set up Canadian-style health care in the U.S. They do offer Americans the options of joining a government-run plan. Critics say that would drive insurance companies out of business. Wendell Potter says the option would keep the industry honest.
John?
ROBERTS: Got to have a lot more discussion about this in the days and weeks ahead.
Jim Acosta for us in Washington.
Jim, thanks so much.
Fifty-two minutes now after the hour.
Kiran?
CHETRY: All right. Well, still ahead, we're going to be speaking with two of the best political minds out there, Bill Bennett and James Carville. We're talking about new details about the saga of South Carolina Governor Mark Sanford. New information about trips that he took without his security detail.
And we're also going to talk about the newest member of the Senate, former comedian Al Franken, who is known for partisanship in the past. How is he going to get along in what is known as the collegial body there in Congress. We're going to talk much more about that as well.
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CHETRY: Welcome back to the Most News in the Morning. A scandalous affair in South Carolina, also a former comedian goes to Washington. How much political drama can we take?
Well, here to answer that is CNN political contributor Bill Bennett from Arlington, Virginia, and also Democratic strategist and CNN political contributor James Carville is live in Washington. Great to see both of you today.
BILL BENNETT, CNN POLITICAL CONTRIBUTOR: Thank you.
CHETRY: We're going to start with love and politics in South Carolina.
And James, I want to start with you on this one.
There are new reports out this morning that Mark Sanford, the governor of South Carolina, traveled last year 38 times without security. In the first half of this year, 39 times without security. They are now officially investigating travel records.
Is there any way that Sanford hangs on as more Republicans are also now calling for him to step down as governor?
JAMES CARVILLE, DEMOCRATIC STRATEGIST: I don't know. I mean, even is -- I was reading this morning, even his friend Tom Davis that he's going to look at whether or not he's going to support him or not. I'm not sure he should lose his job, though, but that's apparently the people in the South Carolina legislature, probably in the South Carolina legislature saw it go south on him. Didn't go any further south in South Carolina, but, we'll see. But it does feel from up here at least a little dicey for him right now.
CHETRY: You know, Bill -- and also just the questions about whether the GOP has really lost a great conservative voice. "The Post and Courier" newspaper wrote in this morning's paper, "For years, he's been known as a principled, if stubborn, conservative heralded for his disdain of big government and thrifty ways in only a week he has gone from a potential presidential candidate to someone who more closely resembles a love-sick teen."
Now, is he going to be able to rebuild his credibility enough to remain on as governor and possibly continue in a political career?
BILL BENNETT, CNN POLITICAL CONTRIBUTOR: No. The answer is no, not now. Maybe some time in the future -- far in the future. But he needs -- politically, he's a dead man walking.
I know Mark Sanford. I know him pretty well. He needs to get his life back in order. He needs to try to get his marriage back in order. He's got four young boys. He's embarrassing himself.
You know, there is the old notion of indecent exposure, usually that refers to somebody showing some skin they shouldn't. There's another kind of indecent exposure.
He is telling us way too much. We're not interested. We shouldn't be interested in any case. He needs to stop, take care of his life. He's done. We have other people. And we have other people who are not only fiscally interesting and sound, but also can keep their lives together.
CARVILLE: But as political voyeurism, this is kind of hard to beat when he talks about taking a spiritual impasse to New York to see his mistress.
(CROSSTALK)
CARVILLE: I know.
(CROSSTALK)
CHETRY: Right. I mean, Bill, did he bring -- I mean, he brought some of it on himself by continuing to talk about it.
BENNETT: It's a show. It's a show. Right.
CHETRY: And giving more details possibly than people expected to hear.
BENNETT: That's the other side of the indecent exposure as James points out. James points out the voyeurism. You know, people watch. And the whole thing is pretty ugly. It needs to stop for sake of that family. The longer he does this, the harder it is for that family to heal and for us to move on. It's not a pretty business.
CHETRY: Right. All right, well, let's leave that there.
And James, I want to ask you about Al Franken, one time comedian. He's going to Washington. He's going to be the most junior senator now in the chamber. And, you know, he hosted a liberal talk show for years. He wrote books like "Lies and the Lying Liars Who Tell Them a Fair and Balance Look at the Right." He hasn't hidden partisanship. He's actually thrived on insulting conservatives. So how does he then transition to having, you now, Republicans as his colleagues and working with them in what's known as the more collegial body in Congress?
CARVILLE: Well, he comes with the greatest gift that anybody can come to Washington. He didn't come of low expectations. He really comes with no expectation.
And I think that he's a very smart, clever guy. And we'll wait and see. But, you know, let somebody perform before we start, like, jumping on them too hard.
And like I said, it's a good thing to come here with the kind of expectations he has. Basically nonexistent, but he won the election, and that's the way this country was.
CHETRY: Yes. Well, I'm sure the people in Minnesota have expectations for him.
CARVILLE: Right.
CHETRY: I mean, he was a huge supporter of the late Paul Wellstone, the senator who died and really made it, you know, tried to help reclaim that sit for the Democrats. And so, I think they're expecting stuff from him.
But Bill, I want to ask you about how Republicans are going to receive Al Franken in the Senate.
BENNETT: Well, you know, what was it? One of James Carville's heroes, I'm sure, General Chesty Puller of the Marine Corp, and North Korea look around said divisions to our left, to our right, north, south, we got them just where we want them. We're surrounded.
I mean, you know, it's a bad time for Republicans. They now have 60 in the Senate. That's not going to be a lock on everything, but he will be received the way we have to receive. They won. And he asked to be received and respected.
In terms of flirting, how to talk nice to Republicans, I had noticed that was the fashion this year in Washington, on the Florida Democrats. But we'll see.
It is interesting given the strength, to make a serious point, given the strength of the Democrats, Barack Obama has got the White House, they have the House, they have the Senate, he is still is having to push very, very hard on things like cap and trade and health care. It's not as if it's grass to a goose here.
CHETRY: All right.
BENNETT: Given even the strength of his hand, he's not there.
CHETRY: All right. Last word, real quick, James.
CARVILLE: All right. I'll talk nice to you, Mr. Secretary.
(INAUDIBLE). Look, the 60 votes themselves, I don't know how much that means, but that is a Senate seat that went from Republicans to Democrats. A Senate seat is worth something, and it's one they'll got to hold for the next five and a half years.
CHETRY: Right.
CARVILLE: If you are from the Democratic side, that's sort of good news for you. But I wouldn't make too much of it. But a Senate seat is a Senate seat, which is worth something.
CHETRY: All right. Well, I want to thank both of you for being with us this morning.
James Carville and Bill Bennett, great to see you.
CARVILLE: Thank you.
BENNETT: Thank you.
