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Early Start with John Berman and Zoraida Sambolin

Defending the CIA; House Passes Spending Bill; Fight Against ISIS Getting Stronger; Oil Prices Fall Below $60; Powerful Storm Pummels West Coast; Iconic Model Accuses Cosby; Sony Pictures Hack Has Hollywood on Edge

Aired December 12, 2014 - 04:00   ET

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


CHRISTINE ROMANS, CNN ANCHOR: Defending the CIA. The agency's director on the record about the scathing Senate torture report admitting some mistakes, but it's what he didn't say that's causing so much controversy this morning.

Government shutdown averted, barely. The House passing a last-minute trillion dollar spending bill to fund the government. So, with Democrats and Republicans attacking the plan, the controversy is far from over.

A powerful storm pummels the West Coast. Rain, snow, winds over 100 miles per hour hammering communities. And it's not over yet. We are tracking what you need to know for the day.

Good morning. Welcome to EARLY START. I'm Christine Romans. John Berman has the morning off. It is Friday, December 11th. Four a.m. in the East.

The battle over the CIA's use of harsh interrogation techniques escalating as CIA Director John Brennan steps into the spotlight to defend those techniques, claiming they produced useful intelligence.

CNN justice reporter Evan Perez has more from Washington.

(BEGIN VIDEOTAPE)

EVAN PEREZ, CNN JUSTICE REPORTER: Christine, it was unprecedented scene for a CIA director, a live news conference beamed around the world from the Langley headquarters of the secretive agency. CIA Director John Brennan made his first public appearance since Senate Democrats released a bombshell report describing brutal interrogations of terrorists. He never used the word "torture" in his 45-minute press conference, but he said at least some of the gruesome techniques went beyond what was authorized. He called them abhorrent.

JOHN BRENNAN, CIA DIRECTOR: Agency officers used interrogation techniques that had been authorized, were abhorrent, and rightly should be repudiated by all. And we fell short when it came to holding some officers accountable for their mistakes.

PEREZ: At the same time, Brennan tried to clarify his earlier statement that the CIA program yielded valuable intelligence.

The Senate report says it didn't. Brennan now says detainees did provide important and useful information, but he says no one can say whether the intelligence came as a result of harsh interrogations.

The CIA director stood a few feet from the agency's memorial wall. It bears 111 stars representing employees killed in the line of duty.

And Brennan was speaking as much to his own employees as he was to the public by taking media questions. He began by reminding everyone that 15 days after 9/11, it was the CIA employees were the first boots on the ground in Afghanistan and it was the CIA officer was the first American killed when the war started. He said the agency did many things right to save American lives during this time.

And, Christine, he says the CIA has learned from its mistakes.

(END VIDEOTAPE)

ROMANS: All right. Evan Perez, thank you for that, Evan.

A top official in the Bush administration out in force fighting the firestorm created by the Senate's 500-page torture report. Bush era Attorney General Michael Mukasey claiming enhanced interrogation techniques did not violate the law.

While CIA Director Michael Hayden argued that rectal feeding and rehydration was not an interrogation technique at all.

(BEGIN VIDEO CLIPS)

MICHAEL HAYDEN, FORMER CIA DIRECTOR: Jake, I'm not a doctor and neither are you. What I am told is, this is one of the ways that the body is rehydrated. These were medical procedures. And to give you a sense --

JAKE TAPPER, CNN ANCHOR: You're really defending rectal rehydration?

HAYDEN: What I'm defending is history. To give you a sense as to how this report is put together, this activity which was done five times in each time for the health of the detainee, not part of the interrogation program, not designed to soften him up for any questioning.

MUKASEY: The torture statute says you can't, under color of law, cause -- intentionally cause somebody severe physical or mental pain or suffering. So, severe physical suffering or pain isn't defined. Severe mental pain or suffering --

ERIN BURNETT, CNN ANCHOR: So, it gave them a lot of wiggle room.

MUKASEY: It's defined in durational terms. It has to last beyond what's tragic. What the CIA did, did not violate that statute.

(END VIDEO CLIPS) ROMANS: Worldwide rage over harsh interrogation building. Harsh words now coming even from U.S. allies. Germany calling CIA torture gruesome. Other countries like China and North Korea accusing the U.S. of hypocrisy for indulging in torture while pointing the finger at them for human rights violations.

CNN's Ian Lee joins us now live from Cairo.

Ian, the U.N. saying the U.S. has lost a moral high ground and the U.N. calling for prosecution. Any chance that will happen? And if it doesn't, what happens next?

(INAUDIBLE)

ROMANS: All right. Obviously, we are having trouble with Ian Lee's microphone. We're going to check in with that again and come back to him when we get the technical bugs worked out.

Meantime in this country, shutdown averted, federal agencies and offices will open on time this morning after the House narrowly approved a massive $1.1 trillion spending bill. The measure keeps most of the government running through September. But House Republicans authorized funds for Homeland Security only through February. That gives themselves a chance to put restrictions on the president's immigration plan once Republicans take control of the House next year.

Liberal Democrats are furious that the budget bill loosens Wall Street regulations.

(BEGIN VIDEO CLIP)

SEN. ELIZABETH WARREN (D), MASSACHUSETTS: I'm here today to ask my Republican colleagues who don't want to see another Wall Street bailout to join in our efforts to strip this Wall Street giveaway from the bill.

REP. JOHN BOEHNER (R-OH), SPEAKER OF THE HOUSE: Democrats have supported this provision in the past. It was agreed to in this bill on a bipartisan, bicameral agreement.

(END VIDEO CLIP)

ROMANS: The president is expected to sign the budget bill later today, following approval by the Senate.

President Obama's hand in the war on ISIS getting stronger this morning. On Thursday, the Senate Foreign Relations Committee approved new war powers. The measure authorized the president to use military force against the Islamic terror group, but it would limit large scale ground combat operations unless it's deemed absolutely necessary to protect or rescue U.S. soldiers or citizens.

Venezuela's president slamming Congress for passing a bill approving sanctions against senior Venezuelan officials. It seeks to punish a number of Venezuelan government and security officials accused of human rights abuses by freezing their U.S. assets and denying them visas. The White House says President Obama will sign the measure.

Outrage over the deaths of two unarmed black men by white police officers still gripping this nation. Attorney General Eric Holder will be in Chicago this morning to discuss race and law enforcement issues in the wake of what happened in Ferguson and New York City. It is latest in the series of meetings he is holding on building community trust. Hundreds of minority congressional staffers walked off the job Thursday.

This action protesting the grand jury's decisions in the deaths of Michael Brown and Eric Garner. This as Eric Garner's daughter Erica staged a die-in Thursday in New York City in memory of her father. The victim's mother was also there calling for justice.

(BEGIN VIDEO CLIP)

GWEN CARR, ERIC GARNER'S MOTHER: Just as he we want everyone to stand together, stand with us. It's been that way and I want it to stay that way. It's not for just my son or your son. It is for everyone's son.

(END VIDEO CLIP)

ROMANS: All right. Seven minutes past the hour. Time for an early start on your money.

Oil prices plunging and that's bad for the stock market. U.S. futures are pointing lower right now. It looks like a tough end to a wild week. Yesterday's stocks snapped a three-day losing streak. The Dow closed up 63 points. We had strong retail sales numbers. That boosted the stock market.

But sliding oil is weighing on stocks sentiment. Oil fell below $60 a barrel for the first time since July 2009. While Oil's plunge means cheap gas for consumers, it is a big problem for oil producers in countries that depend on oil revenue. Analysts are warning that oil still hasn't found a price floor. We could see prices dip below to $50 by the end of the month.

So, big disruption in the oil market. Very good for consumers. Putting money right in consumer's pockets. But it is disrupting the stock market.

All right. West Coast under water. Neighborhoods flooded as rains, snow and powerful wind slam communities. And guess what? It's not over. We are tracking these storms for you this morning.

Plus, see says, "Bill Cosby drugged me." A pioneering model and actress comes forward with her story, next.

(COMMERCIAL BREAK)

ROMANS: International anger over the CIA torture report is growing. Allies offering criticism and U.S. adversaries having a field day.

Live in Cairo now, CNN's Ian Lee. Ian, is there any chance U.S. officials implicated in torture will be

prosecuted? If not, then what?

IAN LEE, CNN REPORTER: Christine, there has been a strong international call for the prosecution of Bush-era officials, especially coming from human rights groups like Amnesty International, Human Rights Watch, as well as the United Nations.

A U.N. human rights official recently talked to our Christiane Amanpour.

(BEGIN VIDEO CLIP)

BEN EMMERSON, U.N. HUMAN RIGHTS OFFICIAL: Whether the program produced actual intelligence or not is irrelevant. The obligation to prosecute crimes of torture is an obligation resting on the United States, because it's party to the Torture Convention. And whether or not actionable intelligence resulted makes no difference to the legal liability of those who committed the crimes of torture.

(END VIDEO CLIP)

LEE: Christine, so far, the Obama administration has resisted any calls for prosecution. But that doesn't mean all options are off. The executive director of the American Civil Liberties Union has issued Obama to offer a pardon.

Now, while that would let these Bush era officials off the hook, it would send a strong message to anyone in the future who considers torture that they could be prosecuted.

The other option is going to the European courts who have shown more willingness to prosecute or to at least investigate U.S. involving torture.

There's one case in particular, from 2009 when almost two dozen CIA operatives were convicted in an Italian court for nabbing a man off the streets of Milan and bringing him to Egypt for investigation. Well, even though those convictions went through, it is unlikely any of them will be brought over to Italy to face their sentence -- Christine.

ROMANS: All right. Ian Lee for us this morning live from Cairo -- thank you, Ian.

The West Coast pummeled by a monster storm packing gusty winds, torrential rain and communities crippled, flights canceled, subway shutdown and streets under water.

I want you to look at this scene, this is San Francisco where cars -- these cars are submerged. The rain is making it completely, absolutely treacherous for people to get around. Winds also packing a punch, toppling trees. You can see this one uprooted, crushing this SUV parked in a driveway.

Two children were hurt when the tree came crashing down on the school playground in Santa Cruz. Emergency crews rushed to save an 11-year- old boy pinned underneath the tree. He is OK. Another young girl who was struck by branches was treated for minor injuries.

One person injured in San Jose when heavy rain sparked a roof collapse at a Safeway grocery store. People who were inside at the time, they describe the scene as chaos.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It's hectic. You just hear loud noises and crashing. And it's just really scary. I had to call 911 and just freaked out.

(END VIDEO CLIP)

ROMANS: Besides the rain, there was also snow. You can see this blizzard coming down in the northern sierra. At least two feet of snow fell there.

Here's a couple of daredevils making the best of the rough surf. This surf, you're never going to believe this, on Lake Tahoe. The storm's gusty winds made for some impressive waves for surfers. Again, on Lake Tahoe.

In Oregon, a homeless man was killed when a tree toppled on his tent in Mt. Ashland. The 40-year-old son said the tree fell across his dad's arm and chest. The teenager said he tried to give his dad CPR, but it was just too late.

And strong winds also picked up a sheet metal, causing it to fly to a high rise in downtown Portland, metal shattered a window in a lawyer's office. People inside had to duck for cover fast.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It was coming so fast, I had about one second to turn away from the window so my back was to the window. It blew in and shattered glass went everywhere, totally. And papers, it was like being in a tornado. My papers in my office were flying in all directions.

(END VIDEO CLIP)

ROMANS: One of the lawyers suffered a nick to the face. Fortunately, no one else was seriously hurt.

So, is there any relief in sight for the West Coast?

Let's get to meteorologist Derek Van Dam for an early look at your weather.

Some of those pictures are just amazing.

DEREK VAN DAM, AMS METEOROLOGIST: Yes, impressive stuff.

Winds totally in excess of hurricane force. I have good news to report. The rain is slowly starting to subside in San Francisco Bay Area. In fact, the National Weather Service has lifted the flood watch for the area. But now, we're going to focus our attention on Los Angeles and San Diego. A band of heavy rainfall will move in over the next three to four hours. That means morning rush hour, avoid it if you can. Two to four inches expected for the greater Los Angeles area. Still, a foot to 2 feet of snow across the Sierra Nevada Mountain range.

We also have high wind warnings for the Southern California region, including Nevada. And that is going to pick up winds in excess of 70 miles per hour in some locations, especially in the higher elevations. We say good-bye to the storm system, but hello to another storm come Monday and Tuesday of next week.

Elsewhere across the rest of the United States, sunny and mild across the Southeast, but very cold across the New England coast. Temperatures in the mid-30s for the Big Apple and surrounding areas. Boston will top 40 degrees.

Christine, back to you.

ROMANS: All right. Derek, thank you for that this morning, this Friday morning. Your weather for the weekend.

Another Cosby accuser steps forward, this time Beverly Johnson, an iconic model from the 1970s. In an essay for "Vanity Fair", she details an incident where she says Cosby drugged a coffee for her during a read through for a role on "The Cosby Show."

(BEGIN VIDEO CLIP)

BEVERLY JOHNSON, MODEL: In the second sip, I knew I had been drugged, and I had been drugged really good. He was getting angry. He was pissed and he grabbed me by my arm and dragged me down the brownstone stairs. He threw me in the taxi.

(END VIDEO CLIP)

ROMANS: Johnson says Cosby escorted her out of his home when she wouldn't stop cursing at him.

CNN has reached out to Cosby's attorney but has not heard back yet.

Stay with us. Johnson will join us live during the 8:00 a.m. hour of "NEW DAY."

New questions are being raised about an alleged gang rape at the University of Virginia. The college students described as friends of the alleged rape victim Jackie have come forward and are challenging key aspects of her story. Two of her friends told ABC News some of "Rolling Stone's" article are false.

(BEGIN VIDEO CLIP)

RYAN, FRIEND OF ALLEGED UVA VICTIM: The reason we did not go to the police is because Jackie didn't want to. INTERVIEWER: Jackie said to you, I don't want to go to police. She

said those words to you?

RYAN: Yes.

INTERVIEWER: They attribute to you in this article as saying, she is going to be the girl who cried rape and will never allowed into any fraternity party again. Did you ever say that?

KATHRYN HENDLEY, FRIEND OF ALLEGED UVA VICTIM: No.

INTERVIEWER: So, this is not true.

HENDLEY: No.

(END VIDEO CLIP)

ROMANS: Police in Virginia are still investigating that alleged assault.

President Obama is backing Washington, D.C.'s vote to legalize marijuana. Voters in the nation's capital approved the measure to legalize possession of up to two ounces of pot, or up to three plants for personal use. Meantime, the Justice Department has given the OK for Indian tribes to grow and sell marijuana on their lands as long as they follow the same federal conditions laid out for states that have legalized the drug.

A whooping cough epidemic spreading in California. The state Department of Health tallying nearly 10,000 cases so far this year. The worse outbreak there in 70 years. Epidemiologists blame the high number on the limitations on the new vaccine introduced in the '90s because it has fewer side effects on better testing and diagnosis.

And another epidemic starting in California. This one spreading among professional hockey teams -- mumps. It's basically a childhood disease, but at least five NHL teams have been affected so far. The outbreak started in Southern California with the Anaheim Ducks, and it spread to teams in Minnesota, New York, New Jersey. Teams offering booster shots to their players.

Hackers exposing private e-mails from Sony executives, revealing some embarrassing moments, comments about celebrities and even the president. New developments after the break.

(COMMERCIAL BREAK)

ROMANS: Hollywood in damage control mode this morning as more explosive secrets emerged from the massive hack of Sony Pictures e- mails and files. Two top Hollywood executives forced to apologize for racially charged jokes they exchanged in their e-mail about President Obama. An FBI investigation into the hack now underway.

CNN's Pamela Brown has more for us.

(BEGIN VIDEOTAPE) PAMELA BROWN, CNN JUSTICE CORRESPONDENT: Well, Christine, we are hearing the first apology from a Sony executive after this devastating hack in the wake of a leaked e-mail exchanged between Amy Pascal and Scott Rudin, a prominent Hollywood producer.

Pascal is now apologizing after these email surfaced showing racially tense communications involving President Obama. In fact, in this communication between Pascal and Rudin, Pascal asked him what she should ask President Obama at an upcoming event. She says, "Should I ask if he liked Django?" In response, Rudin wrote, 12 years responding to the film, refererign rather to the film "12 Years a Slave." Pascal wrote back, "Or the Butler."

So, in this communication implying that President Obama only likes films involving African-American actors.

And that's not all. There's also an e-mail exchange that surfaced talking about the upcoming James Bond movie "Spectre," saying that it's $15 million over budget. And there were lots of e-mails that have surfaced with celebrity bashing, bashing celebrities like Angelina Jolie, Tom Cruise, Adam Sandler, just to name a few. And so now, just talking to sources, it appears that prominent Hollywood, producers and directors and Sony executives are scrambling right now in making lots of phone calls and apologizing.

But as I said, this is the first public apology from a Sony executive Amy Pascal. Scott Rudin also apologized after this latest e-mail exchange surfaced. We know that the FBI is still investigating this.

There are some clues pointing to North Korea. It is widely speculated that North Korea could be behind this. Sources say there are some of the coding used in the hack was written in Korean and there are other clues.

But at this point, we are told by law enforcement sources that they don't know exactly who is behind this hack. It is still under investigation and it may be a while before we find out -- Christine.

(END VIDEOTAPE)

ROMANS: All right. Pamela Brown, thank you for that this morning.

The CIA playing defense after that scathing Senate report accuses the agency of torturing terror suspects. Its director holds an unprecedented lengthy news conference. But it is what he didn't say that is causing controversy, next.

(COMMERCIAL BREAK)