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Threat To Winter Olympics; A Plea For Help; Deep Freeze Round Two; Did Christie Withhold Sandy Aid? Interview with Rep. Pallone; Credit Card Security Breaches Spreading; Broncos and Seahawks Set for Super Bowl XLVIII

Aired January 20, 2014 - 06:00   ET

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

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: I would not go. It's just such a rich target.

CHRIS CUOMO, CNN ANCHOR: New terror tape. Militants vowing to hit the Olympic Games. U.S. officials saying it's not safe. Vladimir Putin finally speaks out as the torch passes through the most dangerous part of the country. We're live with the latest.

KATE BOLDUAN, CNN ANCHOR: Fighting back. Chris Christie under fire. A Democratic mayor meeting with federal prosecutors now accusing Christie of withholding Sandy relief funds to her city. The governor's team set to go on offense today.

MICHAELA PEREIRA, CNN ANCHOR: Breaking news, the Kenneth Bae, the American held in North Korea speaking out to reporters this morning, pleading for his release. We're live with the latest.

CUOMO: Your NEW DAY starts right now.

ANNOUNCER: This is NEW DAY with Chris Cuomo, Kate Bolduan, and Michaela Pereira.

(END VIDEOTAPE)

CUOMO: Good morning. Welcome to NEW DAY It is Monday, January 20th, Martin Luther King Day. It is six o'clock in the east as well.

Now, we have new and good reason to worry about security of the upcoming Sochi winter Olympics. A video has come to light from two suicide bombers claiming responsibility for deadly attacks in Russia last month. Now, the warning, more attacks may come during the games which are just days away. How real is the threat? How good are the security measures in place to protect athletes and visitors? Serious questions, we are looking for answers. Phil Black is in Russia this morning with more. Phil, what do we know?

PHIL BLACK, CNN CORRESPONDENT: Chris, it was three weeks ago that a man walked into this train station behind here in Volgograd and blew himself up killing 18 people. The next day, another man also a suicide bomber killed 16 on a bus nearby. In this video, men are heard saying that these attacks are only a small taste of what is to come during the Olympics.

(BEGIN VIDEOTAPE)

BLACK (voice-over): Mounting concerns in Russia this morning as the Olympic torch relay makes it way for the bomb stricken city of Volgograd. Two extremists in this video claiming responsibility for two back to back suicide bombings last month that claimed 34 lives, and warning that more attacks could come during the Sochi Olympic Games.

In the hour-long video, the purported suicide bombers are seen constructing explosives and explaining their motives all before heading into their targets triggers in hand. The two men apparently part of an Islamist militant group vowing to prepare a present for the Olympics and all the tourists who'll come over. Members of Congress are very concerned.

REPRESENTATIVE MICHAEL MCCAIN (R), TEXAS: If something does happen, what is the evacuation plan and emergency response plan that would think twice?

BLACK: Others worried about Americans heading to Sochi.

UNIDENTIFIED MALE: I would not go and I don't think I would send my family.

REPRESENTATIVE MIKE ROGERS (R), MICHIGAN, INTELLIGENCE COMMITTEE CHAIR: I am very concerned about the security status of the Olympics. I do believe that the Russian government needs to be more cooperative with the United States when it comes to the security of the games.

BLACK: Russian President Vladimir Putin deploying a security force at 40,000 police officers and soldiers to the region. In an interview with ABC News, Putin says that he will do whatever it takes to keep athletes and visitors safe, and pledging that Russia has adequate means of security. Security around the Olympic venue on high alert. Metal detectors and bomb sniffing dogs are visible as the games get underway in just over two weeks.

(END VIDEOTAPE)

BLACK: When the Olympic flame arrives at this train station this morning, there were more members of the security forces than members of the public who turned out to see it. Now Russian officials say they are not changing their security plan in Sochi because they believe they have been thorough. They have thought of everything, but clearly following the bombings here in Volgograd, there are now concerns about potentially vulnerable target in other parts of the country. Back to you, Kate.

BOLDUAN: And for good reason. Phil Black, thank you so much from Russia for us this morning. Now we are going to turn to some breaking news, this morning, we are hearing this morning from Kenneth Bae, the American jailed in North Korea for more than a year speaking out to reporters today in Pyongyang.

CNN's Paula Hancocks is live with more details from Seoul, South Korea this morning. So what are we hearing from Kenneth this morning?

PAULA HANCOCKS, CNN CORRESPONDENT: Well, Kate, this was an unexpected press conference to say the least. We are hearing from Associated Press that it took place today and he was basically calling on the U.S. government to do even more to try and secure his release. Remember, he is being held in North Korea since November 2012. He was sentenced to 15 years hard labor and has spent the past months in a hospital because of deteriorating health.

Now according to "Shinhwa," the Chinese state media, which also have the presence in Pyongyang, they have some quotes from Bae himself saying that he wanted to clarify some false media report. Now one can only assume that is being because of the NBA veteran, Dennis Rodman being in North Korea. The focus has been on North Korea and this is what he had to say in this press conference.

The DPRK government, which is what the North Koreans call themselves does not abuse human rights. On the contrary, it gave me a lot of humanitarian support. Now, of course, it's not known whether or not these are in fact Kenneth Bae's word whatever he says would have had to be sanctioned by the North Korean government.

But he said that he wants to become the bridge between North Korea and the west saying that he is a criminal that had committed a serious crime against the DPRK, but of course, wanted the U.S. government to do more to try and release him. So a very interesting press conference and obviously one that would have been sanctioned by North Korea -- Chris.

CUOMO: All right, thank you very much for the update, a situation we are obviously following. And I hate to say it, but it is the truth, more cold air is heading our way. Arctic air will send temperatures plummeting across the Midwest in north east and then head south. How do I know, Indra Petersons is here with what to expect. She told me all this, blame her, why is this happening again?

INDRA PETERSONS, AMS METEOROLOGIST: This is just when we are all starting to feel a little bit out there, but we know it is January. We know it's the time we typically see some of these coldest temperatures and once again it looks like we are going to be seeing a third of this cold air making its way farther to the south and spreading into the north east.

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PETERSONS (voice-over): Who could forget the bone-chilling cold from earlier this month? Most of us are still thawing out from images like these where some places felt colder than the North Pole. Bundle up because another blast of cold air is on its way. Arctic air will usher in dangerously cold temperatures and bring more rounds of snow and ice, driving in some parts already proving treacherous.

On Interstate 65 in Indiana Saturday, a 13-vehicle accident, including nine semi-trucks ended in this fiery blaze. There were over 30 reports of crashes in that area over the weekend. Further west, on a snowy Interstate 80 in Iowa, this FedEx truck jack knifed, leaving a 40-car pileup and shutting down the highway for more than three hours.

UNIDENTIFIED FEMALE: Masses of cars that were sideways, backwards, in the ditch.

PETERSONS: By Tuesday, the arctic chill will plunge into the Midwest, northeast and parts of the south driving temperatures 20 to 30 degrees below normal. But while it may be cold, take solace in knowing that plummeting temperatures are not expected to be as severe as earlier this month.

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PETERSONS: All right, so it is just at the beginning here, let's talk about where that cold air is today and where is it expected to go? Now Minneapolis seeing temperatures by the afternoon averages only about 6 below. Chicago will be below freezing as well today, but notice still on the east coast, not too bad, expecting temperatures above normal.

By tomorrow morning, that cold air it has already moved in. Notice your morning low, a lot of single digits already out there. Morning low just about 12, if not 9 degrees only in Boston. We have an added in that windchill just yet. That's when you start to see that drastic difference again.

It's 30 below in Minneapolis, but notice the difference. Last few weeks ago, the last time we saw that cold air, there's about 65 low. There's a drastic difference here. Either way, you are still going to be cold and that cold air is really spreading in.

So by Tuesday or so you'll notice temperatures well below normal even having spread all the way to the northeast and down to the southeast so while it's going to be very cold, it not going to be that polar vortex air that we had just a few weeks ago.

BOLDUAN: It will feel like what it's going to feel like.

PETERSONS: Semantics.

BOLDUAN: Thanks, Indra. There are some more breaking news overnight, news surrounding New Jersey Governor Chris Christie after new accusations of political strong arming, his administration is fighting back, denying allegations that they threatened to withhold Superstorm Sandy recovery money.

Erin McPike is following the new developments from Trenton, New Jersey for us this morning. Good morning, Erin.

ERIN MCPIKE, CNN CORRESPONDENT: Kate, good morning to you. Well, Christie said at a big political dinner party for 500 guests thrown for him last night in Florida that he hasn't enjoyed the last 11 days, as no sane person would, and as to questions about whether he'll seek his party's presidential nomination in 2016, he said "come see me next year," for now he's focused on doing what's right for New Jersey.

(BEGIN VIDEOTAPE)

MCPIKE (voice-over): The embattled New Jersey governor's second in command is expected to come out swinging today against allegations of bullying and intimidation. Hoboken Mayor Dawn Zimmer has gone public with allegations that Christie's lieutenant governor, Kim Guadagno delivered what she called a threat on the governor's behalf to withhold much needed Superstorm Sandy relief funds for her flood damaged city if she did not support a development project.

MAYOR DAWN ZIMMER (D), HOBOKEN, NEW JERSEY: The fact that she came, the lieutenant governor pulled me inside and she said you got to move forward with the Rockefeller project. This project is really important to the governor. She said she had been with him on Friday night and this was a direct message from the governor.

MCPIKE: On Sunday, Zimmer met with federal prosecutors for several hours, turning over a journal that she says details the alleged ultimatum and other documents at the request of the U.S. Attorney's Office. Christie's spokesman calls her accusation categorically false saying the allegations are false. The bridge lane closure investigation is going full throttle.

Christie spent the weekend fundraising in Florida for fellow GOP Governor Rick Scott and talking to prospective donors to a Christie for president campaign. When asked last night in a closed door event when the so-called Bridgegate scandal will end, "Politico" reports that Christie replied "I don't know" and questions continue to mount about whether the governor misused funds in Sandy relief commercials featuring his family while running re-election.

The public relations nightmare for Team Christie has reached a on television while using his family. Rudy Giuliani is calling it all --

RUDY GIULIANI: It's a political witch hunt.

(END VIEOTAPE)

MCPIKE: Well, now, with all of these charges of cronyism piling up, Christie's inaugural festivities tomorrow are sure to be less festive than the potential 2016 candidate hoped. He's got a prayer breakfast at 8 a.m. tomorrow, a swearing in ceremony here in Trenton at noon, followed -- followed by what aides say will be about a 25-minute address and then a party tomorrow night on Ellis Island -- Chris.

CUOMO: All right, Erin, it seems like this has gotten beyond the point of mere criticism. Let's treat it more like what it seems to be a political prosecution or persecution, depending on your partisan perspective.

Joining us now from Long Branch, New Jersey is New Jersey Congressman and Democrat, Frank Pallone Jr. He is the man who requested the federal probe into Christie's use of Sandy relief money. Congressman, thank you for joining us. Do you believe a federal investigation is warranted by what we know so far? Why? REPRESENTATIVE FRANK PALLONE JR. (D), NEW JERSEY: Well, I mean, if this is a whole issue of abuse of power and what I call a culture of corruption, I mean, many of these, in many cases, including the one that I brought to the public's attention, it's really an administration that's threatening people, bullying people and this is what we're hearing.

So I don't think there's any question that the U.S. attorney and various legislative committees need to look into this. There are too many allegations now. We don't know all the facts, but the facts keep coming out every day and they're not good.

CUOMO: But when you pick through them, just for the point of debate here, OK, because this is getting serious. It's taking a lot of your time and taking a lot of my time so it deserves the parsing because it's become too convenient for too many in politics and those in the media to pick sides here. When it comes to Bridgegate do, we have any information yet that connects what happens there to Governor Christie directly in any way?

PALLONE: Well, these are all the people that work for him, you know, top people in his administration. You know, they're not saying that he's directly involved, but now with this latest development in Hoboken, the mayor is saying that this was basically a threat that came from the governor himself. So I think it's a pretty serious charge that needs to be looked into.

CUOMO: Right. Here's what I want to ask you about that. Let's not be naive, Congressman, you're much more savvy than I, but neither of us are surprised to hear that any kind of executive said to a lesser executive do this and you'll get something else, if you don't, you may not. That's not unusual leverage in politics so let's unpack what happened --

PALLONE: Well, I don't agree with you, Chris.

CUOMO: Go ahead.

PALLONE: I think it is unusual. I don't agree with you. I think it is unusual. Remember, we're talking about money that's coming from the federal government for relief after a major superstorm. And to say that you're not going to get that unless you do a development project, I don't think that's business as usual. I think we have to hope it isn't and make sure it doesn't continue.

CUOMO: I think that's a fair point of criticism that this is the kind of thing you want to stomp out. I'm going to how unique it is and let's unpack her situation. She had only gotten $300,000 and she said she'd asked for like $100 million, but then she wound up getting like $70 million and got a special development that only four places in New Jersey supposedly got. That's the push back from the governor's office. Doesn't that greatly mitigate her original charge?

PALLONE: No, I don't think so. Look, as you know, I brought up this whole issue with the TV ad campaign. Once again what we're hearing in this case, that I have brought to the in there were two bidders. Rather than take the low bid ex -- bidder, they took the high bidder because they offered to put his family in the ads. It was $2 million more. A lot of people haven't even gotten money to help them rebuild. So all these things are pretty serious in my opinion and it's this sort of -- go ahead.

CUOMO: When you look at the other side of it, you know, January 11th, nine days ago, Mayor Zimmer said something different. She said I don't think that this was a quid professional quo, I don't think I was being strong armed and then she changed. It's unusual someone has such an easy shot at a political opponent and doesn't take it. What do you make it have?

PALLONE: Chris, you have to understand there are too many charges like this now. We've known as elected official for years that the Christie administration, you know, does bullying, does threats. I mean, you know, I hear it all the time and I just think that what we are seeing is this culture that comes from the top, in this case from the governor that sort of encourages this type of behavior. Now the details will continue to come out.

We don't know all the details at this point, but there's so many indications between Bridgegate, between what the mayor of Hoboken has says between what, you know, the Asbury Park press, which is our local paper here in - at the shore, brought out about the TV ad campaign. There're just so many different facts coming out now. Look, we'll see what develops, but I think that so far there are a lot of serious charges here that need to be fully investigated.

CUOMO: So, if they're fully investigated, as you requested, and they all come to fruition the way you are worried they may, do you believe the governor has to step down?

PALLONE: Well, I think that if the charges that are begin alleged are true, yeah. I mean this isn't the type of behavior that's acceptable for the governor or the governor's administration. We can't have an atmosphere where, okay, you're going to get your money for your Sandy relief if you do a development project or if we agree to have you in the ads. I mean, it's just - I don't think that we can accept that in the state of New Jersey as the norm.

CUOMO: So, literally, you think it's grounds for impeachment or for him stepping down - these types of offenses?

PALLONE: If he's - oh, absolutely. These - the charges that are being made, I think would lead to that if they turn out to be accurate.

CUOMO: Congressman, thank you for joining us. Thank you for standing outside to do it. I know the weather's not that pleasant. I appreciate it; I know this was important to you. Thanks for coming on NEW DAY.

PALLONE: Thank you, thank you.

CUOMO: Mick, over to you.

PEREIRA: All right, Chris, thanks so much. Let's take a look at more of your headlines at this hour. We now know the identities of three Americans killed in a rampage at a restaurant in Afghanistan last week. Lexie Kamerman and Alexandros Petersen both worked at American University of Afghanistan. Basra Hassan was working for Unicef. The suicide bomber blew himself up before gunmen opened fire during dinner Friday. The Taliban said the attack was revenge for an air strike north of Kabul.

Breaking overnight, a strong earthquake rattling New Zealand's North Island, knocking out power for thousands of people. So far, no reports of casualties. We're told train service in the area has been suspended. The 6.2 magnitude quake's epicenter was about 70 miles northeast of Wellington, the country's capital. The quake also shook loose a giant eagle sculpture, which was promoting "The Hobbit" movie trilogy.

The historic nuclear deal between Iran and major world powers goes into effect today. Reuters is now reporting U.N. nuclear inspectors are disconnecting the centrifuge program at Iran's primary nuke site. Meantime, Iran's surprise invitation to a peace conference to end the fighting in Syria seems to be backfiring. Syria's opposition says we'll withdraw unless Iran's invite is revoked.

Rescue efforts are underway this mourning to help free two dozen pilot whales that became stranded in shallow waters off of Naples, Florida. Several of the whales beached themselves and had to be pushed back into the water. High tide is also helping push the pod into deeper waters. You'll recall that back in December, more than 50 pilot whales became stranded in the everglades. Eleven of those stranded whales died.

"The Bachelor" star, Juan Pablo Galavis apologizing now after some controversial comments. Asked if same-sex couples should be features on "The Bachelor," Galavis said no because he, quote, didn't think it was a good example for kids and that gays are, quote, "more pervert in a sense." Galavis blamed his poor English and said that his words were taken out of context. We'll discuss more of this coming up on NEW DAY.

In fact, it was quite a weekend for celebrities on Twitter and on Facebook, and in social media.

BOLDUAN: Bad weekend for social media.

PEREIRA: Yeah, a lot of them apologizing this morning.

CUOMO: The headline today should be "there are no take-backs" on Twitter. Once you say it, it lives.

Coming up on NEW DAY, tens of millions of Target shoppers had their information stolen in one of the biggest hack attacks ever. You know this, but there is new information this morning about who else got hit that reveals what we do not know. Turns out, you could be a victim and not even know it. We'll give you the latest.

BOLDUAN: Plus, two of the best make it to the Super Bowl, the Seahawks and the Broncos setting up a battle of number one's like we haven't seen in years. And did you hear that epic rant on the field? We're going to play it for you in case you missed it.

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BOLDUAN: Welcome back to NEW DAY. This morning, that massive security breach at Target could be spreading we know, of course, upwards of 110 million customers had their information stolen. Well, now cyber crime's experts say at least six other large U.S. retailers were hit by that very same type of attack, and there could be even more. CNN's George Howell is in Chicago, tracking the very latest on - just continues to be a troubling story for any customer out there, George.

GEORGE HOWELL, CNN CORRESPONDENT: Kate, good morning, We know that that malware no doubt caused all kinds of chaos for retailers like Target, and now we've learned that the person who made it also made it accessible to be used again, and again, and again.

(BEGIN VIDEOTAPE)

HOWELL: It's kind of like playing that old game, Whack-a-Mole. First, it was Target. The security breach that compromised the confidential information of millions of Americans. Then, we learned about Nieman Marcus, the high-end retailer disclosed it too had been hacked. We're still waiting for word on how many people are affected. And now a report from the cyber watch group Intel Crawler suggests at least six more retailers have yet to tell customers they've been breached as well, with the same malware attacking their online credit card processing. So, the question now, where should we look next?

UNIDENTIFIED MALE: Once it's identified, then security community can rally around it and start to put controls in place. But the problem is the hackers know that, so they manipulate or mutate this malware and then reuse it.

HOWELL: According to Intel Crawler, the source of the malicious can all be traced back to one place, a hacker close to 17-years-old in Russia. The report claims the very first sample of the malware was created in March of 2013, hitting stores in Australia, Canada, and the United States.

PAUL CALLAN, CNN LEGAL CORRESPONDENT: Let's say hypothetically a retailer has 40 million transactions by 40 million different customers. All 40 million may have been damaged in some way, and under law they can be joined together in a class action lawsuit.

HOWELL: Legally, the burden is on retailers to protect customer information, but from what we know now this could be the tip of the iceberg. Experts say the team who made the malware that started this whole mess shared it with other hackers.

UNIDENTIFIED MALE: And was able to put that up on the internet for download for other hackers to then take and potentially use it for malicious harm, and that's what we believe happened to Target as well as Nieman Marcus.

(END VIDEOTAPE) HOWELL: So, if you find yourself the unlucky victim of card hacking, experts tell us that customers are not liable for the costs incurred, but rather the bigger concern, the bigger issue, Chris, it's identity theft. So, it's just always important to go back and check those banking statements to make sure you know exactly what's on those statements.

CUOMO: Good point, George. Also important for these retailers to come clean as soon as they know that they've been hacked so their customers can protect themselves, you know? Little bit of brand protection going on I fear.

Appreciate the reporting this morning.

So, it's going to be the horses versus the hawks in Superbowl XLVIII. Both championship games yesterday were great, but this morning everyone is talking about Seahawks cornerback Richard Sherman's post- game rant. Let's bring in Andy Scholes with this morning's Bleacher Report.

I liked what Sherman had to say. I like the smack talk. He stepped up, he took care of business.

ANDY SCHOLES, CNN BLEACHER REPORT: Yeah, you know he walked the walk and then he definitely talked the talk. You know, him and Richard Sherman and Michael Crabtree, they've been going at it pretty much all night, and Sherman ended up making the play of the game, and as you said, Christ, he made sure to let everyone know how great of a play it was. Now here we go.

This, take a look at it. The Niners were driving to win the game in the closing seconds, Colin Kaepernick going for Crabtree in the endzone, but check it out. This play be Sherman knocks it away, intercepted, the game is over. Great play. Sherman then gets in Crabtree's face to gloat, then throws the choke (ph) sign over at the Niner's bench. Now, Sherman didn't stop there. He then went on an epic rant during his post-game interview on the field.

(BEGIN VDEO CLIP)

RICHARD SHERMAN, SEATTLE SEAHAWKS: Well, I'm the best corner of the game! When you try me with a sorry receiver like Crabtree, that's the result you're going to get! Don't you ever talk about me!

UNIDENTIFIED FEMALE: Who was talking about you?

SHERMAN: Listen, Crabtree, don't you open your mouth about this (ph), or I'm going to shut it for you real quick!

(END VIDEO CLIP)

SCHOLES: All right, he should be a lot of fun on Super Bowl media day.

All right in the AFC championship game, it was Peyton Manning against the New England Patriots, and Manning was as dominant as ever. He threw for 400 yards and two touchdowns while yelling "Omaha" 31 times. Now the Patriots, they tried to make this game interesting late, but when they needed to they just couldn't stop Peyton. Broncos get the win, 26-60. So for just the second time in the last 20 years, the NFL's top cedes from each conference are going to square off in the Super Bowl.

Broncos and Seahawks. Going to be Sunday February 2, at MetLife Stadium in New Jersey. Right now guys, Las Vegas has the Broncos at about a two point favorite. And of course all the talk leading up to the Super Bowl is going to be about Peyton Manning. He's trying to become the first quarterback ever to win the Superbowl for two different teams.

BOLDUAN: Literally all day yesterday, all I had going through my head was Omaha! Omaha! Omaha! The way he says it.

SCHOLES: He said fatman (ph), fatman twice too. I caught that once during the game.

BOLDUAN: Oh, it was - he might have been talking about you.

(LAUGHTER)

(CROSSTALK)

BOLDUAN: Bye Andy, thanks. He's running.

CUOMO: He doesn't like you.

BOLDUAN: He loves me. And we all love Peyton Manning.

PEREIRA: That's a sensitive issue.

BOLDUAN: Wow, that was really funny for a Monday morning. All right we're going to take break now, but coming up next on NEW DAY, President Obama is marking six years in office with a very revealing interview. He talked about the NSA and his legacy, but it's what he said about marijuana that is raising eyebrows this morning. We're going to tell you about it.

CUOMO: And let's give you a little live look now in Washington. Martin Luther King, Jr.'s memorial. On this day, we celebrate all he did for the nation. Keep him in mind. We'll be back.

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