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NEWS STREAM

Zetas Cartel Leader Captured; Many Egyptians Say Life Better After Morsy; 6,000 Missing In Northern India Presumed Dead; Navy Veteran Wakes Up Speaking Only Swedish; Rory McIlroy Hopeful Ahead Of British Open; Stand Your Ground Challenges In Wake Of Zimmerman Verdict; Network Extenders Make Cellphone Vulnerable To Hackers

Aired July 16, 2013 - 08:00   ET

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

KRISTIE LU STOUT: I'm Kristie Lu Stout in Hong Kong. And welcome to News Stream where news and technology meet.

Now the man in charge of one of Mexico's most violent drug cartels has been captured.

Panama seizes a North Korean ship carrying hidden weapons.

And we hear from one of golf's biggest names ahead of the year's third major tournament.

Now the top boss of a violent Mexican drug cartel has been captured and not a shot was fired.

Now Mexican authorities say that they had tracked the leader of the Zetas Cartel Miguel Angel Trevino Morales for months.

Now the military swooped in before dawn to seize him near his hometown of Nuevo Laredo, it's near the U.S. border.

And this dramatic operation used a helicopter to stop the pickup truck that Trevino was traveling in.

And officials say he was heavily armed and carrying $2 million.

This is the first capture of a major drug lord since President Enrique Pena Nieto took office. His government insists it is committed to fighting organized crime and has promised to focus on the social problems that fuel drug violence.

Now high profile cartel take downs were a hallmark of his predecessor. Felipe Calderon launched Mexico's battle against drug traffickers in December of 2006. And during his time in office, drug related killings soared.

Human Rights Watch estimates that more than 60,000 people were killed between 2006 and 2012.

Now a senior U.S. official has praised Mexico for capturing the Zetas leader.

And Nick Parker joins us now live from Mexico City. And Nick, this arrest a major coup for the current Mexican president.

NICK PARKER, CNN CORRESPONDENT: Certainly a major coup, Kristie, yes. I think, you know, you've seen a situation where they were tracking him for a number of months, having picked up some intelligence that an area just to the south-southwest of Nuevo Laredo was of some interest.

So I think Enrique Pena Nieto, the president of Mexico who has been in office only since last December can point to this as perhaps his first major success when it comes to the fight against the drug cartels. And the United States, as you said, has praised these actions and congratulated the Mexican government and basically said that this is a very, very big get and a major blow for Los Zetas, which as you said is one of the most brutal cartels that had been operating at the moment in Mexico.

They were formed in the late-1990s by a group of deserters from the Mexican special forces. And at the time, they were hired as bodyguards for the Gulf Cartel as it was then known. But around 2008, 2009 they began to splinter from the Gulf Cartel and wanted to set up their own operations, which they then consolidated and are now - they now have tentacles stretching right across the country into Central America and into the United States.

So, certainly, an extremely influential cartel that pioneered perhaps its own brand of gruesome violence and became notorious for this as well as stretching its own activities as well as drug trafficking into extortion and kidnapping, often impacting the daily lives of Mexicans - Kristie.

LU STOUT: Yeah, the cartel, like its leader, known for a very notorious and brutal past. What impact do you think will the arrest of Z- 40, the Zetas Cartel boss, what impact will that have on the overall drug war in Mexico?

And I ask, because some people are fearful that there could be a lot more fighting, a lot more violence ahead.

PARKER: Yeah, that's correct, Kristie. I mean, that is certainly, you know, a concern.

As you mentioned in your lead-in there, the previous president Felipe Calderon did go after these capos, these big fish. He had something like 22 on his list and got a high majority of them. But the overall effect of that from when he launched his drug war in 2006 was to splinter and apparently so-called vulcanize many of the cartels that operate in Mexico. It triggered in-fighting as people jockeyed for position within these relative cartels.

When you look at Los Zetas, perhaps they are slightly different in that their military background really gave them a strong sense of hierarchy. And certainly when the previous leader was killed in 2012, power passed to Trevino Morales without any major incident. So that certainly the case that they may have a succession plan in place. But overall, you know, you have to say that there will be some jockeying for power, certainly. And perhaps some cartels looking to capitalize on the situation at the moment by moving in on their territory, Kristie.

LU STOUT: So we should expect more violence ahead in Mexico's brutal drug war. Nick, thank you very much indeed for that.

Now you heard Nick mention the Zetas' reputation for brutality. They were behind that 2011 casino attack in Monterrey that killed at least 52 people. The casino owner allegedly refused their extortion demands.

And Los Zetas, they were also believed to be behind this gruesome murder in Nuevo Laredo. Two mutilated bodies, they were hung from a bridge with a sign saying that they were killed for denouncing cartel activities on social media.

Now Trevino is accused of ordering the kidnapping and killing of hundreds of migrants.

Now the Mexican government has killed more than 40 major cartel members and arrested a number of others. And as the military battles the traffickers, the cartels, you heard it just then, they are fighting each other for control. Disputed territory is white right here on the map. And Los Zetas' area of influence is in red.

Now Mexico provides transit for 90 percent of the cocaine that enters the United States.

Now a North Korean ship containing a haul of weapons hidden under a shipment of sugar has been seized in Panama. It was trying to pass through the canal when it was intercepted. And Pamana's President Ricardo Martinelli says that it was taken to the port of Manzanillo on the Atlantic side of the Panama Canal on Monday night.

And the country's security minister says that the ship had come from Cuba.

Now Panama will ask the United Nations for help in working out what type of weapons were seized.

Now CNN's Barbara Starr is following developments for us live from Washington. And Barbara, the president of Panama so unhappy with this he tweeted a photo of what they found on board. What did they find?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, that's what they're trying to determine. But it's quite extraordinary, Kristie. Panamanian President Ricardo Martinelli tweeting this photo of the cargo that they found on board the ship. It appears by all accounts when you look at the picture to be some sort of missile or rocket part in a shipping container.

A lot of drama over this entire incident, because the Panamanians are reporting when they stopped the ship and tried to board it, the crew resisted arrest. The captain tried to commit suicide. A lot of drama here.

And so they are asking for international inspectors now to go board the ship, determine exactly what is on board and what potentially the North Koreans might have been trying to smuggle - Kristie.

LU STOUT: So we still need confirmation just to find out exactly was on board, but we do know that under UN sanctions, North Korea is banned from weapons exports. Is there a chance here that North Korea has been caught red-handed. And if so, what would be the response?

STARR: Well, there's a good chance they've been caught red-handed, because of course they have done this before. They tried to sell weapons, missile parts, rockets abroad outside of North Korea to earn hard currency that they very desperately need.

We have seen this in the past. Back in 2002, they tried to ship some Scud missiles to Yemen. They got caught doing that on the high seas. U.S. intelligence services watch North Korean shipping very, very carefully for just this kind of activity.

If it's proven, I think you - it's a safe bet you will see more condemnation from the world community and especially from the UN.

LU STOUT: That's right, North Korea has been caught before. North Korean ships carrying weapons intercepted off Yemen. This time, they've been intercepted by Panama.

And Panama security minister says that the ship had come from Cuba. What can we read from that?

STARR: Well, that's what's really interesting, because we don't really know at this point. That's what everyone is trying to figure out. Did the ship simply stop in Cuba on some other business loading or unloading? Was it some sort of ploy to disguise their transit. Were these weapons somehow loaded up when it stopped in Cuba? That seems unlikely.

If you take the Panamanians at their word, which everyone does, the ship was trying to transit the canal possibly to go back to North Korea.

And, you know, it's worth noting that the Panamanian government takes great pride in keeping control of security operations in the Panama Canal. This is, of course, a choke point for world shipping commerce, the economy. The Panamanians are very strict there. There's a constant sort of terrorism threat against the Panama canal, but this kind of weapons smuggling through the canal, President Martinelli making very clear he's going to have no part of it - Kristie.

LU STOUT: Well, it's an incredible development. Barbara Starr on the story for us, thank you.

Now ships wanting to pass through the Panama Canal, they must meet strict regulations and undergo regular inspections. Now they have to declare all the cargo they're carrying on board at least four days before they arrive. And if a vessel does not do that, or the information provides as missing are wrong, canal authorities can board it and conduct a security search.

Now we don't know if this is what happened with that North Korean ship.

And now to some new developments in the case of Edward Snowden, the man who leaked details of U.S. government surveillance programs.

Now media are quoting a Russian lawyer who says Snowden has requested temporary asylum in Russia. Now Russia's RIA Novosti News Agency also says that the NSA leaker could be issued a special document that would allow him to stay in Russia while his request is considered.

Now Snowden has been stranded at Moscow's Sheremetyevo Airport since June 23 when he fled Hong Kong. And Phil Black has been following the story since Snowden arrived there in Russia. He joins us now live from Moscow.

And Phil, there's a chance here that Snowden could finally get out of the transit area soon.

PHIL BLACK, CNN INTERNATIONAL CORRESPONDENT: Well, that is the suggestion here, Kristie, yes.

As you mentioned, Snowden has finally submitted his paperwork. You remember last Friday afternoon, he called a group of human rights activists and lawyers and other prominent Russians to meet him at the airport terminal, in the transit area. And it was there that he declared his intention to now seek political asylum in this country, which is something he'd avoided doing earlier, a real change of plan there.

So now some four days or so later, he has finally submitted that paperwork. The key question is what happens from here.

In our dealings with the federal migration service, this is the Russian government department that Snowden is now said to have formally made his application through, this is the government department that really handles this, it has always said that this sort of application can take at least a month, possibly more. But there is this suggestion now in Russian media that it is possible he could be issued with some sort of temporary permit or document that would allow him to leave their transit side, actually formally enter the country and wait here within Russian territory while his application is being assessed regardless of how long it takes.

What that means is that it would appear there is a possibility that his long camp out at Moscow Sheremetyevo Airport could be coming to a close very soon. No doubt, that's something he would be very excited about, something that would be much less exciting to the American government, Kristie.

LU STOUT: Yeah, that for sure.

Now what kind of signals have Vladimir Putin, or the Kremlin, been giving up to this moment about willingness to help Snowden out, to grant him this special application or even asylum?

BLACK: There's always been mixed signals from Vladimir Putin, the president, on this. On one hand, he's refused to extradite him to the United States and shown some sympathy for him, but in the past and as recently as yesterday when discussing the idea or the possibility of Snowden receiving political asylum in this country he's always assisted on this condition that Snowden must stop any and all political activity, he must stop talking about America's intelligence and electronic surveillance gathering operations both domestically and around the world and so forth. And he said he's very much concerned about damaging Russia's relationship with the United States, that is why.

So he hasn't completely poured cold water on the idea of Snowden receiving some sort of Asylum or protection here, but it comes with conditions.

And at the same time, another one of those conditions again mentioned as recently as yesterday was that Snowden would eventually move on, that his stay here would not be a permanent one, Kristie.

LU STOUT: All right.

Well, now we're just waiting for Russia's response to this. Phil Black joining us live from Moscow, thank you very much indeed for giving us that update.

Now you're watching News Stream. And coming up next, how did jurors in the George Zimmerman case decide that he was not guilty of murdering Trayvon Martin. Now CNN's Anderson Cooper speaks to one of them in an exclusive interview. And we find out what was the decisive factor?

And just how secure is your smartphone? New research shows that technology aimed at extending cellphone coverage could leave our phones vulnerable to hackers.

And over in Egypt, many are saying that things have suddenly improved after Mohamed Morsy's removal, but are things really as they seem? Reza Sayah has that later in the program.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

You're watching News Stream. And you're looking at a visual version of all the stories we've got in the show today. And we started with the capture of a notorious drug lord in Mexico. In a few minutes, we'll look at life after Mohamed Morsy in Egypt.

But now to the aftermath of a closely watched trial in the United States. The George Zimmerman case may be over, but many are still struggling to understand what happened. How did the jury reach a verdict of not guilty for the Florida man who shot and killed a teenager. What was the decisive factor?

Now CNN's own Anderson Cooper had this exclusive interview with juror B37, the first one to speak publicly about the case.

(BEGIN VIDEO CLIP)

ANDERSON COOPER, CNN ANCHOR: Because of the only, the two options you had, second degree murder or manslaughter, you felt neither applied?

JUROR: Right. Well, because of the heat of the moment and the stand your ground. He had a right to defend himself. If he felt threatened that his life was going to be taken away from him or he was going to have bodily harm, he had a right.

COOPER: Even though it's he who had gotten out of the car, followed Trayvon Martin, that didn't matter in the deliberations. What mattered was those final seconds, minutes, when there was an altercation, and whether or not in your mind the most important thing was whether or not George Zimmerman felt his life was in danger?

JUROR: That's how we read the law. That's how we got to the point of everybody being not guilty.

COOPER: So that was the belief of the jury, that you had to zero in on those final minutes/seconds, about the threat that George Zimmerman believed he faced?

JUROR: That's exactly what had happened.

COOPER: So whether it was George Zimmerman getting out of the vehicle, whether he was right to get out of the vehicle, whether he was a wannabe cop, whether he was overeager, none of that in the final analysis, mattered. What mattered was those seconds before the shot went off, did George Zimmerman fear for his life?

JUROR: Exactly. That's exactly what happened.

(END VIDEOTAPE)

LU STOUT: There you have it, we just heard from one of the jurors because of the Florida Stand Your Ground law. Zimmerman had, quote, a right to defend himself.

Now this controversial self-defense law, it was not used in this case, but David Mattingly explains how it still affected the outcome. And if amendments could follow soon.

(BEGIN VIDEOTAPE)

DAVID MATTINGLY, CNN CORRESPONDENT: If outrage becomes a movement and voices become votes, could a new conflict over Florida's stand your ground law be far behind? The parents of Trayvon Martin are counting on it.

TRACY MARTIN, TRAYVON MARTIN'S FATHER: We have to use all this energy in a positive way to have to go out and say we want to make an amendment to the stand your ground laws. We suggested this Trayvon Martin amendment that stands for the proposition you cannot be the aggressor, you cannot initiate the confrontation, shoot somebody and then put your hands up and say I was standing my ground.

MATTINGLY: George Zimmerman did not seek a stand your ground hearing that could have made him immune from prosecution if the judge agreed. But after testimony, the judge did allow this line to be included in her instructions to the jury, "he had no duty to retreat and had the right to stand his ground."

Critics say, this could have limited the jury's options.

DWIGHT BULLARD, FLORIDA STATE SENATE DEMOCRAT: It gave the jury the green light for acquittal, because he no longer had to find a reasonable way in which to not use deadly force.

MATTINGLY: In February, a task force review of stand your ground ordered by Florida Governor Rick Scott produced a few recommendations, including restrictions on neighborhood watch groups. But lawmakers made no changes to the law.

DENNIS BAXLEY, FLORIDA STATE HOUSE REPUBLICAN: The purpose of our stand your ground law is very clear. It's for law abiding citizens who are doing nothing wrong, who suffer a violent attack.

MATTINGLY: The co-sponsor of Florida's stand your ground law says he expect to see new challenges. State representative Dennis Baxley argues the law doesn't apply to the Zimmerman acquittal.

BAXLEY: This case is not about stand your ground, it was handled definitely as a simple self-defense case of who was the aggressor and who was not. And was it kill or be killed?

(END VIDEOTAPE)

LU STOUT: And David Mattingly reporting there.

Now protests continued on Monday two days after George Zimmerman was cleared of 17-year-old Trayvon Martin's murder. In Los Angeles, 13 people were arrested after clashing with police. And protesters raided a Wal-Mart store and stomped on cars, even assaulted bystanders.

Meanwhile, in Atlanta, Georgia, hundreds matched and then gathered outside CNN Center. Now the group was largely peaceful.

Now we want to take you to Libya. It has been more than 10 months since a bloody attack on the U.S. consulate in Benghazi. Now the assault killed four Americans, including ambassador Christopher Stevens. And so far, no one has been held responsible for their deaths.

Arwa Damon is back in Benghazi to search for answers. And in this excerpt from her upcoming special Return to Benghazi, she goes back inside the compound with one of its owners.

(BEGIN VIDEOTAPE)

ARWA DAMON, CNN INTERNATIONAL CORRESPONDENT: Nosid (ph) remembers Ambassador Stevens fondly, as a friend of Libya. He says most Libyans were horrified by his death.

But the signs of growing insecurity in Benghazi were plain to see, long before September. The British closed their consulate after an attack on the UK ambassador's car. A Red Cross office was attacked in July. And a small bomb had exploded outside the U.S. compound.

There were warnings, too, from the Libyans, that they could not guarantee the American safety. In a cable to the State Department entitled "The Guns of August," Stevens warned, "attackers are unlikely to be deterred until authorities are at least as capable."

Stevens worried in e-mails and conversations about what he called never-ending security concerns.

UNIDENTIFIED MALE: Four Americans were murdered by terrorists.

DAMON: Eric Nordstrom, the security officer at the embassy in Tripoli, had twice asked for more security agents in Benghazi, and cataloged nearly 50 security incidents in the city.

It's still stunning to see how little protection this sprawling compound had.

(END VIDEOTAPE)

LU STOUT: And you can find out more of what Arwa uncovered in this CNN special investigation return to Benghazi. It premiers on Friday. Tune in at 11:30 pm here in Hong Kong, that's 4:30 in London and 7:30 in Abu Dhabi.

Now, not everything you do on your smartphone is safe from prying eyes. Up next, we hear from hackers who have exposed a security flaw in an increasingly common piece of telecom tech.

(COMMERCIAL BREAK)

LU STOUT: Now, new research shows that a technology aimed at extending wireless coverage in areas where reception is bad could also be making cell phones vulnerable to hackers. Now, it uses something called a femtocell. And Laurie Segal spoke to the researchers who discovered this security flaw.

(BEGIN VIDEOTAPE)

TOM RITTER, SECURITY CONSULTANT, ISEC PARTNERS: We can operate a cellphone tower and see everything that your phone would send to a cellphone tower - phone calls, text messages, picture messages, mobile web surfing, we can see and record it all.

LAURIE SEGALL, CNN CORREPSONDENT: We spent the afternoon with a couple of hackers. Here's what we learned, not everything you do on your cellphone is private.

(on camera): I've got a phone right here, I can text your phone. And you're going to be able to use this to intercept and see exactly what I'm texting.

RITTER: We see the text message after it leaves your phone, before it reaches the carrier, before it reaches the recipient's phone.

SEGALL: I'm going to text him now. So I'm sending it...

(voice-over): But before my friend even gets the text, these guys are reading it on their computer.

RITTER: And you can see right here, looks like an outgoing SMS from this identifier sent a text message to this phone number with the message, "hey, what is up?"

SEGALL: What else do you got?

RITTER: Well, how about a voice call.

SEGALL: Let's call...

Hi, Andrew. How are you?

I'm good. I'm good.

RITTER: Now I'll play it back for you.

SEGALL: Hi, Andrew. How are you?

UNIDENTIFIED MALE: I'm good. How are you, Laurie?

SEGALL: I'm good. I'm good.

(on camera): You can also see pictures if I text on a picture, right?

RITTER: Yeah. Let's do a picture message.

SEGALL: All right.

RITTER: So, you're phoned used your data connection to send a picture message. We intercepted the data connection, logged it, and it grabbed the picture out of it, showed it on the screen.

SEGALL: How do they do it?

RITTER: So, this is a small cellphone tower that's sold or provided by carriers to extend coverage into places where you have weak signal.

SEGALL: They're called femtocells. And these security consultants say they're easy to hack.

RITTER: You do need some level of technical skills, but people are learning those skills in college. This is breaking into one of these devices or a device like this is within the realm of smart people working at home.

SEGALL: They cost a few hundred bucks. Researchers say there could be 50 million femtocells around the world by 2014.

RITTER: There's 30 carriers worldwide that have femtocells. And so if they are vulnerable to similar issues, then potentially a whole lot of people can be affected.

SEGALL: So who are these guys?

RITTER: We are security consultants. And what that means is companies hire us on a temporary basis to look at their web applications, their networks and assess them for security. So we basically act like bad guys. We act like bad hackers and attempt to find security holes so we can tell them about them so they can fix them.

SEGALL: We asked Verizon, whose service these guys tested, what they had to say.

"Verizon Wireless takes device security seriously. The demonstration CNN saw for an identified issue that was fixed earlier this year on all network extender devices. The fix prevents the network extender from being compromised in the same manner. There were no reports of any customer impact. The Verizon Wireless network extender remains a very secure and effective solution for our customers."

To protect yourself, keep all your software up to date. You can also download apps like Lickr (ph), Cellcrypt and Silent Circle that offer more security. But these guys are less than optimistic.

RITTER: Number one, you should assume that everything you're saying is being intercepted. That is a bit of a defeatist opinion, but that's sometimes that has to be the way it is.

SEGALL: Laurie Segal, CNN Money, New York.

(END VIDEOTAPE)

LU STOUT: And don't forget that Verizon isn't the only mobile network that uses femtocells. I mean, here's one from Japan's NTT Docomo, and another one from Britain's Vodafone. They're not always called femtocells, they're sometimes called network extenders or 3G base stations, but they all perform the same job, acting as a tiny cellphone tower to extend your signal.

Now supporters of the deposed Egyptian president say that he is still the country's legitimate leader. Now others say that life is much better now, now that Mohamed Morsy is no longer in power. We'll tell you why coming up next on News Stream.

Plus, the world's number two golfer speaks to CNN. Rory McIlroy discusses his hopes of winning at The Open.

(COMMERCIAL BREAK)

LU STOUT: I'm Kristie Lu Stout in Hong Kong, you're watching News Stream. And these are your world headlines.

Now one of Mexico's most wanted drug lords has been captured. Miguel Angel Trevino Morales is behind bars after a military helicopter swooped down and stopped his pickup truck. Authorities say a force of marines intercepted the head of the Zetas Drug Cartel who was arrested without a shot being fired.

Now Panama has seized a haul of weapons from a North Korean flagged vessel that had arrived from Cuba. Now the President of Panama has published an image showing what he says is a missile discovered on board. Now the Panamanian official says that the ships crew of 35 North Koreans resisted arrest and the captain attempted suicide during the struggle.

Now reports out of Russia put a lawyer who says Edward Snowden, the man who revealed the U.S. has a national surveillance system, has requested temporary asylum in Russia. And Russia's RIA Novosti news agency reports that Snowden could be issued a special document that would allow him to stay in Russia while his request is considered.

And to Egypt now and more unrest on Cairo's streets. Egyptian media report at least seven people were killed and more than 250 injured when security forces clashed with supporters of ousted President Mohamed Morsy. Now police fired tear gas at pro-Morsy protesters who had blocked a bridge and threw Molotov cocktails and stones.

Now the violence broke out as a top U.S. diplomat met Egypt's interim leaders. Deputy Secretary of State William Burns called on all sides to settle their differences peacefully.

But some Egyptians will tell you that everyday life has actually improved after the military took power from Mohamed Morsy earlier this month. Essential services that were scaled back or completely cut have been restored. But as Reza Sayah tells us, Morsy supporters say that was part of the plan to force him from the presidency.

(BEGIN VIDEOTAPE)

REZA SAYAH, CNN INTERNATIONAL CORRESPONDENT: In Mohamed Morsy's final weeks as Egypt's president, a fuel shortage had Egyptians waiting hours to fill up, power cuts were a daily burden, and police seemed nowhere to be found, even amid mayhem and chaos. The absence of some of the most basic services fueled the angry protests that led to Morsy's ouster.

(on camera): But almost immediately after the former president was pushed from power, many Egyptians say suddenly things seemed to change.

(voice-over): No more long waits for fill-ups, fewer annoying power cuts, and police were back patrolling the streets.

"I thank god things are much better," says this taxi driver.

"From the day Morsy was ousted, things have improved," says this butcher.

What looked like all these sudden improvements has Morsy supporters convinced that this was all part of a plot by his political enemies to topple him from power.

You're saying they were out to undermine the government.

YEYHA HAMED, FRM. EGYPTIAN INVESTMENT MINISTER: Yes. Absolutely.

SAYAH: Yeyha Hamed was investment minister in Morsy's cabinet. He claims from the day Morsy took office, remnants of the Mubarak regime, still in power in key institutions, did everything to make him fail.

HAMED: Many of the entities and facilities in the government was not in help with the relation to the president as if, again, they were penalizing him because he's coming from religious background.

SAYAH: Morsy's backers point to the police force, part of an interior ministry widely believed to be run by Mubarak loyalists. Days before Morsy's ouster, protesters attacked numerous offices of the Muslim Brotherhood. Few police were seen helping to fight off the attacks.

But right after Morsy's ouster, there they were shoulder to shoulder with the military, declaring their mission to protect the people.

(on camera): So you believe the police force didn't support your government.

HAMED: Absolutely. Absolutely.

SAYAH (voice-over): But Egypt's new interim leaders reject those claims, and accusations of a plot to topple Morsy. A spokeswoman for political factions that opposed Morsy says any improvements in services are due to the ups and downs of Egypt's unstable economy.

Meanwhile, economist Ahmed Ghoneim says the perception that things have suddenly improved is not based on facts.

AHMED GHONEIM, ECONOMIST: Now Morsy is off and we're starting a new era. This does not mean that we solved the problems. And the problems remain there. And definitely they have to be tackled very soon.

SAYAH (on camera): Why there's this perception that all of a sudden things are better here in Egypt is not clear. What it does show is a growing mistrust between supporters and opponents of former President Morsy and that doesn't bode well for a smooth transition to a new government.

Reza Sayah, CNN, Cairo.

(END VIDEOTAPE)

LU STOUT: OK. Time now for the global weather picture. And let's look at the impact of those recent heavy floods in India. Mari Ramos joins us now from the World Weather Center - Mari.

MARI RAMOS, CNN WEATHER CORRESPONDENT: Kristie, there's a grim milestone that just has been reported now by Indian authorities. You remember the flooding that we had at the end of June across northern India. Thousands of people were trapped in the mountains when the monsoon rains came early. This is just one image, kind of tells the story the helicopters. It was the largest helicopter rescue ever done in India as they had to pluck thousands of people from the mountains when this flooding came. But it flooded village after village across northern India and thousands of people were reported missing.

The death, though, stood about 1,000. And now with about 6,000 people missing. Now, authorities have said those 6,000 people are presumed dead. So they're no longer looking for them. It really is a sad situation.

This makes this the worst monsoon disaster ever in India's history, since they've been keeping records. That's something very important. It's also the fourth, the deadliest, the fourth deadliest weather disaster since the year 2000 in the entire world. So this is also a big huge number here when we talk about over 6,000 people, nearly 7,000 people dead just from the flooding alone. It's really a very sad situation. That happened across the north of India at the end of June, but now authorities are saying those 6,000 people now presumed dead.

You can see over here the rain across the south. This is normal monsoon rains. It has been quite heavy across areas to the south. Nothing unusual happening right now. But unfortunately those two weeks that it came early were extremely destructive as we've heard.

Let's go ahead and move on and look over here at China. Now China has been dealing with extremely heavy rainfall. Let's go ahead and roll the pictures. The latest video that we've gotten is of the rescue that is ongoing. They are now bringing supplies to people trapped by flooding. Hundreds of people in this one village alone trapped by flooding. It used to take an hour-and-a-half. It used to take about 15 minutes to get from one side of the village to the other. Now it takes an hour-and-a-half by foot just to bring them food and water and supplies.

Why is all of this happening? Because of the widespread rain.

Look at those precarious situations that those people have to travel in just to be able to bring the basic necessities.

Let's go ahead and roll the next piece of video. This is where we have the landslides. And this has been, of course, a byproduct of this deadly flooding.

They are still rescuing - trying to rescue people, but unfortunately all they're finding are bodies. The death toll stands at over 100 now in this one area alone. And unfortunately they think that that death toll may actually rise.

Some of the rainfall totals across southeastern China are pretty impressive, as you can see here, in some areas. Over 100 millimeters of rain in just a period of 24 hours. That particular rainfall normally from the remnants of what was Typhoon Soulik that moved across Taiwan, remember, and then came ashore here near southeastern China, kind of fell apart, but there's a lot of moisture associated with that weather system. And that combination of just that persistent rainfall is what continues to cause problems, not just here in the south, but also in areas to the north. So there it's widespread.

Here's a big picture across east and central Asia. You can see here. We can't forget our tropical cyclone, this tropical depression that formed near the Philippines. This one expected to become a tropical storm in the next couple of days and probably move close to Taiwan again, so that will bring you some very heavy rainfall. Right now, most of the rain is actually there near Luzon.

And last but not least, Kristie, I was telling you about the heat in Japan. Well, finally yesterday, they barely made it to - or today I should say, barely made it to about 20, eight-and-a-half degress, it's a huge change from the 35 degrees that they had yesterday and the upwards of 30 that they've had over the last few days, 21 right now. Maybe we'll start finally to see a little bit of relief there.

But floods and heat, the two biggest killers worldwide when it comes to weather.

LU STOUT: Yeah. Thank you for giving us the update about the situation there in northern India, just very tragic to see that dramatic rise in the death toll there. Mari Ramos there, thank you.

Now, we are going to talk sport now. And the world's top male golfers, they are arriving in Scotland. It is for the third major tournament of the year known simply as The Open.

And play begins on Thursday.

Now it will be the first time that the world number two Rory McIlroy will be competing on the course. Now the 24-year-old Northern Irishman, he won the USPGA championship last year, but he has yet to register a win in 2013. Now World Sport's Alex Thomas, he spoke to Rory McIlroy about his hopes at The Open.

(BEGIN VIDEOTAPE)

RORY MCILROY, WORLD NUMBER TWO: It's the first time I've ever been here, been to Muirfield, and I really liked what I saw. I think it's set up really well, really fair. I think everything is sort of is in front of you and you're going to have to hit fairways. The rough is pretty penal if you go a little bit off line, off the tee. So, but you know, the course is in phenomenal shape. You know, the weather has been so good up here for the last couple of weeks, so it's going to be fairly fast and playing like a true links course.

ALEX THOMAS, CNN SPORTS CORRESPONDENT: Is your game strong enough to see you holding the claret jug come Sunday night?

MCILROY: I think so, yeah, I really do. You know, I've been working hard the last few months and not really seeing the results so much. So, you know, hopefully this week will be a great week for it all to click into place.

But I feel good about my game. All aspects of my game are good. They're - you know, in practice, you know, more than anything else they feel really good and then it's just a matter of bringing it from there onto the course. And, you know, it feels - it feels good, you know, I really think that if I can get off to a decent start, you know, at Muirfield that that will give me a little bit of confidence and it could carry me through for the rest of the tournament.

THOMAS: You say you've been working hard, what specifically? Probably more than one thing.

MCILROY: Yeah, yeah, for sure. More my swing. You know, I got into a couple of bad habits at the start of the year. And usually it doesn't take me long to sort of iron them out. But this year for some reason it's just taken me a little bit longer. And I've just been working on a few things with my swing. I was getting in a couple of bad positions. I was taking the club a little bit too far on the inside. And then that meant I was getting the club a little deep in the backswing. And then I was getting a little bit too far inside on the (inaudilbe) swing.

And - yeah, it just isn't, you know, it isn't what I want. You know, I want to see the club more in front of me on the way down. And I've just been working on that.

But I've been putting in the hard work. And, you know, hopefully I can reap the rewards of that pretty soon.

THOMAS: Looking at your stats, this is nowhere near a disastrous season, four top 10s, earned more than one-and-a-half million dollars. Plenty of golfers would have loved to have done that. Is it just because you had such a stellar 2012 that you've had some criticism? And has that criticism been at all fair?

MCILROY: I think it is, because last season was so good. And I think people are quick to forget how I struggled in the middle of last season as well. You know, I went through a run of form which was probably worse than the run of form that I've had at some points this year. So, yeah, there's probably been a bit more expectation on me this year. And I probably haven't lived up to that. I haven't lived up to the expectations of myself, to be honest.

But yeah, I mean, it hasn't been a disastrous year. I've still, you know, played well in parts. And it's been disappointing in others, but you know there's still half the season left to play and I'm not going to let a mediocre six months get to me.

THOMAS: Normally, weather questions are really boring, but hot, sunny and calm around an Open Championship course could really suit your game.

MCILROY: Yeah, it could, especially if it's firm, because if it's calm at all or at least a light breeze I've got the ball flight to stop it on firm greens and I think that could definitely benefit me. You know, it looks like the weather is going to be good. And if it is, hopefully it does suit my game and I can take advantage of it.

(END VIDEOTAPE)

LU STOUT: And that was world number two Rory McIlroy speaking to Alex Thomas there.

And CNN will be following all the developments at The Open. The tournament begins on Thursday.

Now in California, a U.S. navy veteran wakes up with a new identity and a new language. How Michael Boatwright, he was found unconscious in a motel room a few months ago. And now he only responds to the name Johan Ek (ph) and only speaks Swedish. This medical mystery coming up.

(COMMERCIAL BREAK)

LU STOUT: Now this week on Leading Women, a top executive was inspired by other women she met at MIT to strive for the coveted corner office. And today, Ilene Gordon is just one of only a handful of female chief executives to run a Fortune 500 company. Poppy Harlow has her story.

(BEGIN VIDEOTAPE)

POPPY HARLOW, CNN CORRESPONDENT: We're in Chicago and Ilene Gordon is headed to work as chairman, president, and CEO of Ingredion, the multibillion company that makes food additives like starches and corn syrup.

(on camera): You really faced headwinds against the backlash - against high fructose corn syrup and there was really this sort of public perception change. You had to really change the company.

ILENE GORDON, CEO, INGREDION: Well, actually, absolutely. Now, of course, it's a - it is a perception problem. And high fructose and sugar are really the same dynamics. So we've made acquisitions and we've diversified away from that and really run the company with modified starches.

The big transactions are picking up.

HARLOW (voice-over): Under her leadership, Ingredion has grown.

GORDON: On the day I started at Ingredion, our stock was trading at $25 a share. Today, the stock is well over $60 a share.

HARLOW: Her job is global, as was her past here.

GORDON: Well, we're a very global company with over 11,000 people. So really my job entails not only running the company from our Chicago base, but really getting out into the field and to our 40 different factories.

HARLOW: Well, what do you think, Ilene, are some of the most pivotal moments, or pivotal decisions you've made that have led you here.

GORDON: In the mid-70s, I volunteered to move to London. So I lived internationally and operated with global customers. So that was a pivotal point to really see the rest of the world and what the challenges were and to be a young woman.

HARLOW: As was her time at MIT where she was out-numbered 18 to 1 by men.

GORDON: I met these incredible women that were going to be lawyers, doctors and PhDs in nutrition science. And it really influenced me.

HARLOW: Gordon says she went against the grain early on.

GORDON: I think it's important that women take on opportunities to run businesses. And manufacturing was a place where there were no women, and so that - I tended to go where there - as a pioneer, where nobody had been.

HARLOW: It eventually led her to her first CEO role, heading up Alcan Packaging (ph) in Paris. That's when she finally felt she'd made it.

GORDON: It was a great opportunity to be a global CEO of a $6.5 billion company. And I said, I'll take it. And I'll figure it out.

HARLOW: You've said it's a mistake to always be looking towards what's next in your career. Why?

GORDON: I think it's very important to really enjoy every position you're in and to understand what's the challenge, what are the goals. But the question should be, what skills do I need to get to the next level, not when are you going to give me that job.

(END VIDEOTAPE)

LU STOUT: Good advice from Ilene Gordon there.

Now expectant parents now have a new way to see what their baby will look like and to hold a model of his or her face in the palm of their hand. We've got the details next on News Stream.

(COMMERCIAL BREAK)

LU STOUT: And now to a medical mystery that's unfolding in the U.S. State of California.

Now four months ago, a U.S. navy veteran was found in a hotel room there. He still has no memory of who he is or how to speak English. Now a senior medical correspondent Elizabeth Cohen joins us live with more on this case of apparent amnesia.

And Elizabeth, this is such an astounding story.

ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: It really is, Kristie. It really is just this big puzzle. And you know what, it does happen. This has happened to other people where they travel around and they actually forget who they are.

(BEGIN VIDEOTAPE)

COHEN (voice-over): Four months ago, police found this navy veteran unconscious in a Southern California Motel 6. On him, a U.S. passport and his veteran's I.D. identifying him as Michael Boatwright, but when he woke up in the emergency room, he'd never heard of Michael Boatwright. He said his name was Johan Ek he and spoke only Swedish, according to this interview with "The Desert Sun" newspaper. He couldn't explain why he had five tennis rackets in his luggage or who the woman was in this photo found with him. His whole past, a blank. "Walk in my shoes for one day and you'll experience the nightmare of a life time," he told the newspaper. A hospital social worker helped Boatwright set up this Facebook page and she discovered he lived in Sweden in the 1980s and ran a consulting company.

He lived in China, too, teaching English. On the school website was this photo and Boatwright's own essay revealing he was married to a Japanese woman and had a 12-year-old son. So, why was he in Southern California? He told CNN the clues suggest he's a tennis coach. Hse'd arrived during tennis tournament season. His diagnosis, Boatwright is in what's called a fugue state brought on by trauma.

DR. AARON ANDERSON, NEUROLOGIST, EMORY UNIVERSITY: Stressful events, life changing events, family deaths or loved one's death, recent travel or major accidents.

COHEN: For now, Boatwright is at Desert Regional Medical Center. They'd like to send him home as soon as they learn where home is.

(END VIDEOTAPE)

COHEN: Now we're told that Boatwright being in the hospital all these months in California has become lonely, because he doesn't have anyone to talk to. So the hospital social worker encouraged him to reach out to local members of the Swedish-American community. They've been visiting with him and bringing him Swedish foods - Kristie.

LU STOUT: He's still in the hospital. He hasn't gone home yet. He doesn't even know where his home is. Has anyone come forward to give information about this man?

COHEN: Yes. Now that there has been so much media attention, some people have come forward. For example, in Sweden, this story is playing up very big. And some Swedes are saying, hey, wait a minute I knew this guy, I knew him back in the 1980s. And in fact the Desert Sun, the newspaper in California, they say that a woman in Louisiana got in touch with them and said, hey, I'm his sister.

LU STOUT: Well, it's good to hear he's getting at least some answers. This is such a medical mystery. Elizabeth Cohen joining us live from CNN Center. Thank you.

Now, it is not uncommon for expectant parents to have photos of their baby while it's still inside the womb, but a Japanese company has taken it one step further. As Diana Magnay reports, the technology its using could help scientists make some medical breakthroughs.

(BEGIN VIDEOTAPE)

DIANA MAGNAY, CNN CORRESPONDENT: Little Kyusuke (ph) is two months old, but when he was born his family already knew what he'd look like from this 3D printout of his face made when he was in the womb.

KYOKO AIZAKA, MOTHER (through translator): When we did it, I was eight months pregnant so he already had a human shape and baby face. I wonder how I would have felt if I'd seen him earlier in my pregnancy?

MAGNAY: What do you think of that?

Just a little kiss.

AIZAKA (through translator): She likes the printout, so she would pull it out sometimes and look at it. And she'll start telling people we met that there was a baby in my belly.

MAGNAY: Tokyo based medical engineering firm Fasotec experimented with printouts of the entire fetus based on MRI scans, but because of possible risks of MRI during pregnancy, now they're sticking with models of just the face using standard ultrasound scans.

TOMOHIRO KINOSHITA, FASOTEC: What's amazing about this technology is if you bring your body and you do a scanning we can make whatever that's in the scanning screen.

MAGNAY: So doctors can practice before they operate.

KINOSHITA: So this is the tumor.

MAGNAY: Know the exact location of a growth in a kidney.

Printed bones where the texture inside is just like the real thing.

That's what the inside of my bone feels like?

KINOSHITA: Yes.

MAGNAY: Oh my god.

But there are no real medical reasons why having your baby's head printed out would matter?

KINOSHITA: No. It's more of a memento.

MAGNAY: Nostalgic. For your pregnancy. I don't know why people would be nostalgic for their pregnancy, but anyway.

A memento that will set you back some $500, one that's a lot more durable than a photo.

Diana Magnay, CNN, Tokyo.

(END VIDEOTAPE)

LU STOUT: And that is News Stream, but the news continues at CNN. World Business Today is next.

END