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Early Start with John Berman and Zoraida Sambolin

Second New York Escapee Captured; Greece Nears Default On Huge Debt; Iranian Nuclear Talks Extended; ISIS Claims Tunisia Hotel Attack; Stocks Plunge Around The World. Aired 5:30-6a ET

Aired June 29, 2015 - 05:30   ET

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

[05:30:00] JOHN BERMAN, CNN ANCHOR: -- world leaders now say they will miss a crucial deadline as it fast approaches. We are live with what is happening right now. Welcome back to EARLY START, everyone. I'm John Berman.

CHRISTINE ROMANS, CNN ANCHOR: Yes, a very busy Monday morning, folks. I'm Christine Romans. It is 30 minutes past the hour.

BERMAN: Happening now, New York prison escapee, David Sweat, is in critical condition after being shot by police. The huge manhunt that lasted more than three weeks, it is now over.

The other convicted killer who escaped with Sweat, Richard Matt, he was shot and killed on Friday. A crowd cheered New York's governor, Andrew Cuomo, as he announced that this nightmare is finally over.

(BEGIN VIDEO CLIP)

GOVERNOR ANDREW CUOMO (D), NEW YORK: Today ends with good news. These were really dangerous, dangerous men, both Matt and Sweat. They were killers. Mr. Matt killed at least two people. Mr. Sweat killed a sheriff's deputy in Broom County in a savage, savage way. These were dangerous people. We could not tolerate them being on the loose.

(END VIDEO CLIP)

BERMAN: CNN's Alexandra Field right near the scene of the capture with the very latest.

ALEXANDRA FIELD, CNN CORRESPONDENT: Christine, John, a single New York trooper hailed as a hero guy by Governor Cuomo. He made the capture solo of David Sweat, the fugitive who has been on the run for more than three weeks after breaking out of that maximum security prison.

Sergeant Jay Cook was alone on a roving patrol when he spotted someone walking down a road in the town of Constable just under two miles south of the Canadian border. Cook approached Sweat who fled, took off running, toward the tree line.

At that point, Sergeant Cook fired twice striking Sweat two times in the torso. David Sweat has now been taken to Albany Medical Center for treatment. New York State Police say that he was unarmed at the time that Sergeant Cook confronted him. He was found in a spot 16 miles north of the place where Richard Matt was killed by a tactical team two days earlier. Still no word yet from investigators on when Sweat and Matt may have broken apart and whether or not Sweat was with Richard Matt at the time that he was shot and killed -- John, Christine.

BERMAN: Thanks, Alexandra for that. So in Dannemora, New York, residents, they were also cheering. That is the town that houses the maximum security prison where Matt and Sweat escaped.

No doubt breathing sighs of relief. Triple locking their doors and probably many of them sleeping with guns to be certain. As for David Sweat, if he survives, officials say his life will change permanently.

(BEGIN VIDEO CLIP)

ANDREW WYLIE, CLINTON COUNTY, NEW YORK DISTRICK ATTORNEY: Privileges will be limited. No more honor block. No more freedom of working in a tailor shop. He will be basically in 24/7 lockdown for the rest of his life.

(END VIDEO CLIP)

BERMAN: What about other people potentially involved? Prison guard, Gene Palmer, he appears in court later today. He has been charged with official misconduct and destroying evidence after admitting to unintentionally helping Matt and Sweat escape.

Palmer says he provided them with tools in exchange for information. That apparently cozy relationship between inmates and correction officers is now the subject of a state inspector general investigation.

A person briefed in the inquiry tells CNN that investigators think Sweat and Matt have been gathering information on cabins and fields around the prison for almost a year before they broke out.

ROMANS: All right, breaking news this morning, stocks tumbling around the world because Greece is on the verge of financial collapse. Asian and European shares plunging. U.S. stock futures sinking as well here.

Greece's stock exchange is closed and the country is closing its banks. The banks are closed for six days. The Greek citizens can only withdraw 60 euros a day from ATM machines. It's about $66, $67. These are drastic measures leading to long lines at cash machines.

Greece is spiraling toward default on its huge debt. That default could come as soon as tomorrow. It is a big payment due to the International Monetary Fund. Greece could be forced to leave the Eurozone, something no country has ever done. It is a critical situation.

On the ground, we have CNN's Isa Soares live in Athens. Isa, we have seen the reaction around the world. The idea that Greece at the end of a five-year long road and people waiting to see if the banks open for a bit today so pensioners can get some money.

ISA SOARES, CNN CORRESPONDENT: Absolutely. We were told they were expected to open midday or so. As you can see behind me, Christine, shutters are still down. We have seen people hovering to see if they will open. We have been hearing they are filling up the machines.

One Greek man told me it is 12:00 midday. It could be 12:00 midday tomorrow. We have seen pensioners walking to every ATM to see which one will be open to get pensions.

A lot of them don't have debit cards and a lot of the government said they will be announcing today, but they did not give a time, exactly what banks would reopen so they can get money.

[05:35:11] It is a very dire situation for people waking up this morning. All they can get out is 60 euro a day. That is roughly $67. Some people say that is a lot when you put in context with a week.

When you have bills to pay and children to feed, a lot of the families have one family member working. It is a lot of pressure on the Greek people. Interesting to see today how they react here in the square in Athens to really the protests we are expecting, anti-austerity protests.

A lot of people I've been speaking to, they are angry and frustrated and weary. At the same time, they are still backing Alexis Tsipras which to many it's so surprising -- Christine.

ROMANS: Where does it go from here then? You've got banks closed for six days. Is it business as usual? Are stores open? Are people going to their jobs? I know it's very high unemployment in Greece right now. A very tough five years. Is it business as usual expect for the banks closed?

SOARES: Pretty much. Shops are open. People are walking around. People are getting their Greek coffee and Greek bread. You see people walking around for normally. They are going to work. You know, but the mood is very different.

We have heard people going to supermarkets and trying to buy as much food as they can and stocking up in case things deteriorate in the next week or so. In the moment, people are optimistic. That perhaps the deal will be done before tomorrow.

That deadline, the bailout, ends tomorrow. IMF payout is due tomorrow. The Greek government says it does not have the money to pay it. It prefers to pay pensioners and wages. That Alexis Tsipras says is the priority.

So it's unclear, uncertain and confusing future for the Greek people. But I think in the days ahead, as the situation deteriorates, people may come into reality of the idea of the referendum -- Christine.

ROMANS: Thank you so much, Isa Soares. You know, for tourists, John, we should point out, they can use their credit cards. They can use their debit cards. They can withdraw money if they can find an ATM machine that has money in it and not very, very long lines.

For tourists, at least right now, they are not subject to the capital controls. It is the Greek citizens who are. Tomorrow, the deadline -- they have to pay this bill tomorrow. There's no sign that there is any kind of meetings or anything happening right now for them to fix that by tomorrow.

BERMAN: It has been some times since we have any days like this or weeks like this, and wild swings to the market. This could be one of them so brace yourselves.

All right, happening now, other news, deadline extended. Iran and United States and other world powers are working on the assumption that the nuclear talks will go beyond the official deadline of June 30th. Secretary of State John Kerry met with Iranian foreign minister Saturday and Sunday.

Kerry says he is hopeful that there will be an agreement, but he does not there is still work to do. A senior American official says any extension would last a few days.

Our senior international correspondent Nic Robertson is at the talks in Vienna with the very latest this morning. Good morning, Nic.

NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Good morning, John. Well, one of the reasons the talks are likely to go beyond the deadline is because the negotiating partner for Secretary Kerry, that's the Iranian foreign minister, left Vienna yesterday, and went back to Tehran.

He is due back here tomorrow. That of course is the day of the deadline, but the reason that this unexpected step has happened appears to be, and we've been hearing this from all the other diplomats who are arriving here for the talks yesterday.

That was the British foreign secretary, the German foreign minister, the French foreign minister, the EU foreign policy chief, the deputies, the foreign ministers of Russia and of China, all coming here.

And what we are hearing from all of those speaking was the problem seems to come from Iran. Iran supreme leader essentially rolled back agreements that were made three months ago at negotiations in Switzerland that would design to pave the way for this June 30th, the tomorrow deadline.

What has he now changed? Well, he said that for him, it is a red line. That Iran will not agree to inspections of sites across Iran. They demand and want immediate lifting of all U.S. and U.N. sanctions and that they want to be able to continue research and development into nuclear technology in the near and short-term.

All of these things were put on paper three months ago in April. The agreement was this was all set. Now that has rolled back. That is appearing to be why the foreign minister went back to Tehran. The question is has Iran or the supreme leader changed those red lines? Is there something to negotiate with?

Because all of those things I've just listed there, they are red lines as well for Secretary Kerry and all of others involved in the talks here -- John.

BERMAN: Are they building on the preliminary deal already reached or they have to start fresh and new very interesting times in those negotiations. Nic Robertson for us, thanks so much.

[05:40:13] ROMANS: All right, it's 40 minutes past the hour, chilling new video released of the deadly terror attack at the beach at least 38 people dead. The latest developments next.

(COMMERCIAL BREAK)

BERMAN: New information this morning about the gunman who killed at least 39 people at the beach front hotel in Tunisia and injured at least 38 more. The 24-year-old shooter died in the attack in the Imperial Marhava Hotel in Sousse, Tunisia.

ISIS has claimed responsibility and posted a picture of the gunman, though, it is unclear whether the militant group had any direct role in the attack. CNN's Nick Paton Walsh is in Tunisia. He has been pressing officials for answers. Good morning, Nick.

NICK PATON WALSH, CNN SENIOR INTERNATIONAL CORRESPONDENT: John, we have some breaking news to bring you (inaudible) from the prime minister who just completed a conference. He said they do not believe there is a direct link to ISIS here. They believe that the lone gunman here, they believe he was alone despite accomplices elsewhere, they believe he was radicalized online.

He had associates in the university, which he was for a couple of years. He also referring to how they looked at the vehicle took him to the site of the attack and still they are, of course, working under the premise that he did in fact act alone.

[05:45:10] He did also say in the interview that they are not ruling out the possibility of some sort of foreign travel, but they don't believe that was the case. They believe he was radicalized online.

That brings us to the worrying speculation that ISIS can take a picture, but in the eyes of the authorities, don't have the role in the plotting of attack. Perhaps that was the university associates. The question is who, if it wasn't him, drove the car that took him to the site of the attack.

How possible is it to be entirely schooled in the attack on the beach, purely on the internet. These questions still hanging around here, but interestingly, the chief executive of the country, the prime minister speaking to us minutes ago saying that they do not at this stage have a categorical link to ISIS.

That may be because they are still looking at it, but it is interesting to note in this comparatively late stage in the investigation, we are three days in now, they don't actually have that nailed down yet -- John.

BERMAN: These pictures are so difficult to see. Our Nick Paton Walsh in Tunisia, thanks so much, Nick.

ROMANS: Let's take a look at what is coming up on "NEW DAY," Chris Cuomo and Alisyn are joining us right now.

CHRIS CUOMO, CNN ANCHOR, "NEW DAY": Good morning to you both. The good news, the manhunt in upstate New York now history when the second killer was captured Sunday after his fellow escapee, as you will remember, was killed on Friday.

So we are going to be live where this guy, David Sweat was found and give you the latest on his medical condition. We'll have New York's governor on to give us what he knows about how this went down.

Remember, you have two big aspects now, one, can they keep him alive so he can tell authorities exactly what happened and then second, whether he can do that or not. What do they do to figure out how these guys get out and stop it from the next time?

We are also dealing with this historic Supreme Court ruling allowing gays to marry or extending the understanding of equal protection that there is a right for this. Not everyone is thrilled. People think it is over because the court decided. They are up for a disappointment.

We will speak with someone in the latter category, someone who is at the forefront of the jubilation right now. The plaintiff who got a call from the president live on CNN.

We will tell you both sides of this because not only is it not over, as you two very well know, for equal rights for LGBT in that community, but there is going to be push back now. We are going to look at the path forward.

BERMAN: Thank you, Chris.

ROMANS: All right, a violent explosion injuring hundreds at a water park. The moments of terror caught on camera. What we are learning new about that this morning.

(COMMERCIAL BREAK)

[05:51:28] BERMAN: In Taiwan this morning, one woman has died as officials put out an urgent call for medical supplies and skin grafts. They are needed to treat the hundreds of people burned when the flammable powder exploded mid-air during a musical performance at a water park. In addition to the 20-year-old woman who was killed, the number of people injured is 485. More than 200 of those are in critical condition.

ROMANS: All right, this morning renewed fears of chemical weapons in Syria. U.S. intelligence agency says the Assad regime is desperate to protect key government strongholds from falling to ISIS and may resort to using chemical weapons. Now American officials are scrambling to determine which kind. Last year, Syrian President Bashar al-Assad agreed to destroy his government stockpile of deadly saran and other gasses. But officials suspect the regime saved a secret supply and the regime has already expanded it to use of a new chlorine-based bomb.

BERMAN: And Turkey, tear gas and water cannons fired at protesters during this weekend's pride parade in Istanbul. You can see this right there, swept off the streets by water cannons. The march is considered the largest gay pride parade in the Muslim world. Organizers say riot police held them back because it is the Muslim holy month of Ramadan. Despite the police warnings not to march, a lot of people gathered anyway.

ROMANS: All right, the big story this morning is Greece tumbling toward default. Why a tiny economy is tanking world markets. That's next.

(COMMERCIAL BREAK)

[05:57:00]

ROMANS: Good morning. I'm Christine Romans. Let's get an EARLY START on your money this Monday morning, a terrible day for stocks around the world. Asian and European stocks down sharply. Look at that, Shanghai, Paris. Paris is down 3.2 percent. Futures are down here. Investors' worse fears in the Greek crisis are coming true.

Greece tumbling toward default and an exit from the Eurozone. The Greek stock exchange is shutdown. Greece has closed its banks. Greece on the verge of collapse after months of negotiations between Greece and its creditors demanding reforms. For Greek citizens, it's a disaster.

The country closed banks for six days. Greek citizens can withdraw 60 euro a day when ATM machines reopen. Greece could exit the Eurozone. That has never happened before. It would need a new currency, the dragma. That would mean massive devaluation.

For tourists, they do have access to cash right now although some ATMs, we are told, are running out. Debit and credit cards issued abroad should function normally. If the shutdown continues, it will obviously scare away tourists and hurt the Greek economy even further. It is a real disappointing turn for people.

BERMAN: The manhunt for two escaped killers is finally over. "NEW DAY" with details right now.

(BEGIN VIDEOTAPE)

A. CUOMO: The nightmare is finally over. It took 22 days.

UNIDENTIFIED MALE: Shot twice in the torso.

UNIDENTIFIED MALE: At this time, his condition is listed as critical.

WYLIE: He will be 24/7 lockdown for rest of his life.

ROMANS: Greece on the brink of financial ruin this morning.

UNIDENTIFIED MALE: We don't know if a last minute deal can be stitched together.

UNIDENTIFIED MALE: Situation in Greece will deteriorate very rapidly.

UNIDENTIFIED MALE: Barely five hours of meetings. The Tuesday deadline seems in tatters.

UNIDENTIFIED MALE: We have a lot of hard work to do.

UNIDENTIFIED MALE: We still have major differences of interpretation.

UNIDENTIFIED MALE: Everybody would like to see agreement.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES OF AMERICA: This ruling is a victory for America.

TED CRUZ (R), PRESIDENTIAL CANDIDATE: It is wrong. It is not law. It is not the constitution.

UNIDENTIFIED MALE: It is the law of the land and we'll abide by it.

(END VIDEOTAPE)

C. CUOMO: Good morning. Welcome to your NEW DAY. It's Monday, June 29th, 6:00 in the east. Mich is off today, but we have big news for you. They ran, but they could not hide. The manhunt two for escaped killers in upstate New York is over.

There was a chase on foot through the woods. Police then shooting and wounding David Sweat just as he was reaching the Canadian border, all this days after gunning down his fellow escapee, Richard Matt.

ALISYN CAMEROTA, CNN ANCHOR: So Sweat was taken down just miles from the Canadian border. Now his mother is speaking out about his capture. Let's begin our coverage with CNN's Sara Ganim in Albany where Sweat is hospitalized in critical condition. Sara, investigators need to keep him alive so they can get some answers.

SARA GANIM, CNN CORRESPONDENT: That's right. We assume that they are happy about that. He may be able to talk to them about who may have helped them escape, but Alisyn, going back to that search, there were more than 1,300 officers who were out looking for this fugitive. At the end, it came all down to one sergeant who is not able --