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Early Start with John Berman and Zoraida Sambolin

Obama Caught In The Middle On Torture; Al Qaeda Bomb-Maker May Still Be Alive; Spending Plan Hits Snag; Markets Rattled By Falling Oil; Heavy Rains Pummel Washington State; Hong Kong Clearing Protest Camp

Aired December 11, 2014 - 05:30   ET

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

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JOHN BERMAN, CNN ANCHOR: Demanding action -- leaders around the world outraged after the United States Senate releases details of CIA tactics against terror suspects. The CIA chief getting sent to answer questions to reporters, but will this lead to even more questions?

We're live with new reaction to the Senate report, coming up.

CHRISTINE ROMANS, CNN ANCHOR: A dangerous setback. Another big fish gets away. A key al Qaeda bombmaker thought dead in a drone strike turns up alive, after a similar story played out with the ISIS leader. Are drone strikes still proving effective? We'll go to the Pentagon.

BERMAN: Serious weather hitting both coasts. Parts of northern California gearing up for heavy rain, even blizzard conditions. In the northeast, another day of rain, snow, sleet, the whole shebang; makes for dangerous conditions. We'll tell you what to expect ahead.

Welcome back to EARLY START, everyone. I'm John Berman.

ROMANS: I'm Christine Romans. It's 30 minutes past the hour. A lot going on this morning.

Let's start with the president, President Obama finding himself walking a fine line this morning in the wake of the Senate's new report on the use of torture by the CIA after the September 11th attacks.

The president who banned harsh interrogation techniques immediately after taking office, he says he supports the release of the report showing this decade-old behavior.

The Congressional Democrats are upset that the president has not endorsed the report's conclusion that torture failed to produce useful intelligence. Now many Democrats are also unhappy that the president is standing behind his CIA Director John Brennan.

Senator Mark Udall attacked Brennan as deceptive from the Senate floor called for him to resign.

(BEGIN VIDEO CLIP) SEN. MARK UDALL (D), COLORADO: Director Brennan and the CIA today are continuing to willfully provide interactive information and misrepresent the efficacy of torture. In other words, the CIA is lying.

(END VIDEO CLIP)

ROMANS: Some Republicans meanwhile are attacking the Senate report calling its release a danger to Americans. They call it a betrayal of promises. The United States made to its allies. Some of the architects of the enhanced interrogation are defending it as effective and they say it was necessary.

(BEGIN VIDEO CLIP)

DICK CHENEY, FORMER VICE PRESIDENT: We did exactly what needed to be done in order to catch those who were guilty on 9/11 and prevent further attack. We were successful on both parts.

(END VIDEO CLIP)

ROMANS: The controversy over the explosive Senate torture report continues today. The CIA Director Brennan will field questions from reporters at a news conference this afternoon. You do not want to miss this. CNN will carry it live starting around 1:30 p.m. Eastern Time.

BERMAN: This morning, United Nations and human rights groups are bolstering their calls for the prosecution of any CIA or other U.S. officials who were involved in what they call torture.

A spokesperson for the United Nations Secretary General says that Ban Ki-Moon hopes the report marks the start of a process toward criminal prosecution.

U.N. Human Rights official, Ben Emerson, says the fact that the policies revealed in this report were authorized at a high level within the U.S. government provides no excuse whatsoever indeed. It reinforces the need for criminal accountability.

The White House says the decision on criminal charges is for federal prosecutors to make, not the president.

(BEGIN VIDEO CLIP)

JOSH EARNEST, WHITE HOUSE PRESS SECRETARY: This report as important as it is to release it, as far as I know, at least, doesn't include a lot of new information that wasn't previously available to these federal prosecutors.

(END VIDEO CLIP)

BERMAN: Yes, the Justice Department says it has no plans to prosecute anyone who acted in good faith here. The department released a statement saying the U.S. is, quote, "committed to complying with its international obligations, but best handled by domestic and not foreign courts."

It's really no sense that the Justice Department will pursue this. While that is going on, there are leaders from around the world, interesting leaders who are denouncing the CIA tactics. CNN's Karl Penhaul joins us now live from London. Karl, what are they saying?

KARL PENHAUL, CNN CORRESPONDENT: John, it seems to be the leaders of the countries who themselves have the most appalling human rights records that are making the most fuss over the CIA torture report.

We've had a statement from the Russian Foreign Ministry, for example, accusing the U.S. authorities of gross and systematic violations of human rights and calling for the perpetrators brought to justice.

We've heard a statement from Iran accusing the CIA of being a symbol of tyranny against humanity. We've heard from North Korea calling on the United Nations Security Council to police up the officials responsible for these torture tactics.

And we've also heard from China saying that the U.S. should get its house in order and respect international treaties. Of course, it sounds like a bad joke because, as I say, of their own appalling human rights records.

Well, we have been hearing from staunch U.S. allies like Britain, for example, David Cameron came out and said that torture is wrong and undermines the U.S. moral authority.

But at the same time, what David Cameron did not spell out is that Britain may also be complicit in some of the international aspects of the CIA torture program.

The Polish ex-president, for example, has come forward and said maybe the United States should not reveal too many details because this will hamper U.S. efforts to gain international intelligence cooperation in the future.

Of course, the United States is not a member of the International Criminal Court. That could make it very difficult, if not impossible to bring officials to trial there. The United States has already said it doesn't have much interest in doing -- John.

BERMAN: No, probably no cooperation from the United States can be expected. Karl Penhaul, thanks so much.

ROMANS: All right, new information this morning about a high level terrorist the U.S. thought had been killed in an air strike. This concerns a bombmaker for al Qaeda offshoot operating in Syria. He appears very much alive this morning. CNN's Barbara Starr at the Pentagon with more.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: John and Christine, two U.S. officials are now telling me they believe a key leader in the Khorasan Group, that al Qaeda group in Syria is still alive even after months of U.S. air strikes. A French bombmaker, named David Drugeon, a master bombmaker, they thought they had killed him potentially in an earlier airstrike. Now officials have every reason to believe he is still alive. The concern about Drugeon, he has the skills and knowledge on how to make bombs that can potentially bypass airport security measures.

So the fact that he is still alive causes a good deal of concern to U.S. officials. They also believe the leader of the group, a man named Musan al Fattli, also still alive after months of U.S. airstrikes against the Khorasan Group.

This is a group of hard core al Qaeda operatives that move from Pakistan to Syria over the last several years. It is a group that causes the U.S. a great deal of concern because of their abilities and desire to potentially attack the United States. John, Christine.

BERMAN: Thanks, Barbara. The Senate Foreign Relations Committee meets later today. Leaders from both parties are trying to reach an agreement on authorize and use of military force against ISIS.

The White House wants all options on the table with no limits on how or where the U.S. can attack ISIS. Senator Rand Paul is demanding the U.S. declare war on ISIS. He is calling the current conflict flat out illegal. The measures that are being discussed right now inside Congress do not allow for ground troops.

ROMANS: The United States no longer operating prisons or holding detainees in Afghanistan. The final three inmates have been transferred or released as NATO's combat mission winds down to the December 31st withdrawal date. The Afghan military will be in charge of all prisoners and detention facilities effective the 1st of the year.

BERMAN: All right, developing overnight, a $1.1 trillion spending plan to keep the federal government operating beyond midnight tonight hit a snag. Democratic House Leader Nancy Pelosi is demanding two provisions be removed from the measure.

One would ease financial regulations on derivatives. The other raises limits on some political donations. A short-term extension of tonight's deadline might be needed in order to avert a government shutdown. Neither side really expects a shutdown right now. However, it does seem like it will be a very close call on this much bigger deal.

New this morning, a growing number of people believe the American dream is out of their reach. A new poll in the "New York Times" just out finds that there is more pessimism now than there was right after the financial crisis in 2008 at least by one measure.

The poll revealing that only 64 percent of Americans believes it is still possible to work hard and become rich. That is the lowest number in two decades.

ROMANS: It is interesting. Gas prices hit multiyear low and stock market doubled and job market has come back, but people don't feel it. BERMAN: Not yet. Not yet. Hopefully that will change.

ROMANS: All right, time for an EARLY START on your money. Oil prices keep falling. That is a problem for stocks. U.S. futures right now turned higher. But yesterday, the Dow down 268 points, a 1.5 percent. The S&P 500 did the same, I think down 1.6 percent.

The big reason is oil, energy stocks. This morning, it looks like they are trying to rebound, but yesterday it was an ugly day, look at that. ExxonMobil and Chevron are the two biggest losers down more than 2 percent. Several smaller players fell 5 percent.

John, when you look at some of these energy stocks, they are down like 50 percent since the summer. Oil prices keep moving lower, sitting now at about $61 a barrel.

Yesterday, OPEC predicted 2015 will be the weakest demand for oil in 12 years. They have yet to find a floor. What is interesting, lower oil prices are good for you.

They are good for the economy. They are good for economic growth, but when they fall this abruptly, it disrupting the energy sector, which is a big driver of jobs and investment in America.

BERMAN: Maybe bad for 401(k) at least for a little bit.

ROMANS: All right, big weather concerns in California. Damaging rain and winds in the forecast, flooding is possible, folks. This is being billed as one of the biggest storms to hit the region in years. We will check the forecast for you in just a second.

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BERMAN: Extreme weather is due today coast to coast. A nor'easter dumping 20 inches of snow in the east while the west is bracing for the biggest storm in about a decade, look at this, this is Palo Alto, California.

Crews have been working around the clock placing sand bags near rivers to look out for possible flooding there. The area could see up to 5 inches of rain into late today. While that's going on, further inland, they are bracing for blizzard conditions.

ROMANS: Then look up the coast, heavy storms soaking the ground in Washington State, more than a foot of rain flooding roads around Puget Town. These beach front homes on the state south coast are gone. With wind gusts up to 75 miles per hour, forecast for the north coast, you can expect power outages there.

BERMAN: New Hampshire got about 4 inches of snow. They are making best of it as they do in that part of the country, a lot of skiers out. Some snowboarders as well finding peace together on the slopes.

ROMANS: For an early look at your weather let's turn to meteorologist Pedram Javaheri. PEDRAM JAVAHERI, AMS METEOROLOGIST: Yes, good Thursday morning, guys. Conditions across the northeast will improve over the next couple of days. The storm system that pushed in on Tuesday, heavy rainfall, record rains across New York, and areas even around Newark as well.

But you take a look at Wednesday, it was all snow. Today will be a mix of rain and snow across New York City and Boston, but at best, a half an inch, maybe a quarter of an inch, really not much left with the storm system.

It will try to pull away come Saturday and Sunday, and at that point, finally we have late improvement to your weekend there with the storm exiting the picture.

The next couple of days in the Pacific Northwest in California, one storm move in and a secondary one lines up. We are talking about getting upwards of 6 to 10 inches across Northern California of rainfall, higher elevations of snowfall of 2 to 3 feet.

Even down around San Francisco and Los Angeles, keep in mind, they saw 3 to 4 inches of rainfall in 2013. They could see similar amounts in the region in the next couple of days. Beneficial, yes. Flooding a concern, absolutely. That's the latest on weather. Back to you.

ROMANS: All right, Pedram, thanks for that.

BERMAN: All right, this is a phenomenal story. A 67-year-old boater who was missing at sea for 12 days is back on dry land. The family, they are hoping to reunite over the holidays.

Ron Ingraham sent out a distress call on Thanksgiving Day. He was stuck on a 25-foot sailboat for days. Its waves swell 15 to 20 feet high. The Coast Guard called off their search after three days.

Then nine days after that, Ingraham sent out another distress call and this time it worked. His son describes what it was like to hear that his father was found alive some 60 miles south of Honolulu. Listen to this.

(BEGIN VIDEO CLIP)

ZAKARY INGRAHAM, SONE OF RESCUED BOATER: I got that phone call. It was rough. The commanding officer of the Coast Guard said they would call off the search. I just broke down and started crying. I was thinking of an image of somebody floating in the water. I said did you find the sailboat, too, and they said we found your dad and sailboat and he's alive.

(END VIDEO CLIP)

BERMAN: What fantastic news that must have been. Ingraham survived on the boat by fishing. He joked it wasn't as good as a sushi bar.

ROMANS: No. Let's take a look at what is coming up on "NEW DAY." That's really quite a story. Alisyn Camerota has top it. ALISYN CAMEROTA, CNN ANCHOR, "NEW DAY": I'll try but I'm not promising anything. Great to see you, guys. As you know, there are growing calls this morning for CIA Director John Brennan to step down as former Vice President Dick Cheney calls the new Senate torture report, quote, "crap."

So did the enhanced interrogation techniques lead to the capture of Osama Bin Laden or not? We are going to get answers this morning from a CIA operative.

Also you will hear from an intelligence officer who had studied the most effective interrogation techniques and they are not what you would expect.

Plus a new lawsuit against Bill Cosby, one of the accusers is trying a new strategy to hold the comedian responsible for alleged sexual assault decades ago. So we'll bring you all of that. We'll see you at the top of the hour.

BERMAN: Police taking actions against protesters this morning who refused to abandon a protest site in Hong Kong. The barricades are coming down. There are arrests being made. We have seen amazing pictures this morning so far. We will check in right after the break.

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ROMANS: A really tense standoff right now between police and protesters in Hong Kong as officials there trying to clear out the main protest site near the city's financial hub. The police ordered protesters to leave area or face arrest.

Thousands of police officers deployed to clear out that crowd and they are bringing in the heavy equipment in with them. Our Saima Mohsin is live there in Hong Kong with the latest.

Saima, I mean, the pictures are pretty unbelievable. The heavy equipment is moving out what has been 12 weeks of pro-democracy protesters.

SAIMA MOHSIN, CNN CORRESPONDENT: I had to move out of the way of one of the excavators, Christine. What a surreal sight. We have the excavators and this huge equipment scooping everything up that comes in their path.

Now let me explain to you what happened. Earlier today, the injunction was carried out. It was cleared out further down the road and now police have moved on to the main highway. Not sure if I'll be able to stand in the middle of the highway in Hong Kong again.

Police then came inch by inch forcing protesters back. They finally have been able to bring their vehicles down here and take over. Take a look at this. We have been looking at this over the last few weeks. It has been filled with tents.

Now it is completely clear. So much so, the cleaners have been able to come in. There are a number of die-hard protesters, Christine, refusing to leave. A couple hundred meters away. There is a standoff. Police are physically picking them up and carrying them to police vans. So far dozens have been arrested -- Christine.

ROMANS: All right, Saima Mohsin with the end of the 12 weeks of pro- democracy protests in Hong Kong. Thank you, Saima.

BERMAN: All right, big changes coming to my favorite restaurant. McDonald's is getting ready to pull some menu items. Change some ingredients. Will this bring back customers? An EARLY START on your money is next.

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ROMANS: Let's get an EARLY START on your money this morning. Oil prices keep falling. U.S. futures have turned up a little bit right now. But yesterday, look at what happened? The Dow is 268 points lower, 1.5 percent and the reason is oil.

Oil prices tumbling, $61 a barrel right now. Yesterday, OPEC predicted next year would be the weakest demand for oil in 12 years. Oil prices have yet to find a floor.

McDonald's shrinking its menu in an effort to boost slumping sales. Staples like Big Macs and McNuggets, of course, are not going anywhere. But the chain is cutting eight items from the menu starting in January and cutting the number of extra value meals from 16 to 11.

That is a pretty small cut when you consider the chain has more than 100 menu items. McDonald's is trying to make room for more customized build your own options that millenials want.

All right, going beyond coach or first class, Delta is splitting the aircraft into five classes. Starting in March, Delta will offer two different high-end options and three choices in the main cabin.

That means if you want to pick your seat, if you want to have dedicated overhead bin space, you have to upgrade from the basic economy fare designed to compete with discount airlines like Spirit.

Delta has not announced the pricing difference will be, but I think you can bet that the barebones option may not be cheaper than coach tickets now, maybe it is, but then you won't be able to get overhead bin space or even a seat assignment.

A lot of people saying this looks like, if you are a business traveler, this could be good options for you. If you are a budget traveler --

BERMAN: Yes. Every little thing, you know, the overhead to the seat assignment. They will make money.

ROMANS: You know, it is not funny. Oil prices rise, you get these fuel surcharges. When you fly or when oil prices fall, you don't get a credit.

BERMAN: All right, the CIA, the chief of the CIA will answer questions today at 1:30. He has a lot to say and there are a lot of questions headed his way about the new Senate Intelligence Committee report. There are new calls for his resignation. We have full coverage all day on CNN starting on "NEW DAY" right now.