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Ashley Madison Users Threatened by Group of Hackers; Donald Trump Refusing to Back Down from Blistering Comments About Fellow Republican Senator John McCain; Video of Queen of England as a Young Girl Giving a Nazi salute Released. Aired 3:30-4p ET

Aired July 20, 2015 - 15:30   ET

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

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[15:30:27] BROOKE BALDWIN, CNN HOST: Bottom of the hour. You're watching CNN, I'm Brooke Baldwin.

Shut it down or else the quote-unquote "dirty cheaters will be exposed." Those words from a group of hackers who say to him to seize the names, the credit cards details, the sexual fetishes and preferences of 37 million Ashley Madison users. Listen, if you haven't heard of Ashley Madison, the slogan pretty much sums this whole thing up. "Life is short. Have an affair," simple as that. It's a dating website -- dating. Catering to people who want to cheat on their spouses.

So let me bring in Keren Elazari, former cyberhacker, now cybersecurity researcher and analyst and I also have Dr. Judy Kuriansky, a clinical psychologist and certified sex therapist.

So ladies, welcome.

UNIDENTIFIED FEMALE: Thank you.

BALDWIN: Keren, let me just begin with you. Because listen, I was talking to someone in the last hour who used the website for work journalism purposes and he talked to me about, you know, the information you give up to be on a site like this. It is not just your credit card information, it's your inner wants and desires, sometimes very personal, very embarrassing information. How -- knowing that, the notion that this could all be out there, that it would be hackable would be frightening.

KEREN ELAZARI, FORMER CYBERHACKER: So these are pretty intimate details we're talking about. But it's important to point out that 37 million people potentially affected by this breach have not yet had all of their information exposed. The people behind this attack calling themselves the impact team are firing the service to shut down or else they will publish all of the details. So far they have only leaked a very small percentage of the information out just to prove that they really have what they claim they have.

Now, the details are very, very intimate, not just credit card details, real names and addresses, but all of the sexual activities, fantasies, all of the intimate information that someone might share on a service like this. So this is a very scary notion indeed.

BALDWIN: Judy?

Well, I'm --

BALDWIN: Thirty-seven million people. That's what got me this morning when they said we have to do this story, 37 million people using this Web site.

JUDY KURIANSKY, CLINICAL PSYCHOLOGIST/CERTIFIED SEX THERAPIST: I know. And I'm outraged the Web site exists but I see a positive to this because it has raised the issue. Couples are afraid to ask their partner, what do you want in sex? There are a lot of people who want oral sex, men will not ask their spouse for it and so they'll go ask an anonymous person and --

BALDWIN: So they are not having these discussions?

KURIANSKY: No. But that's an interesting motion. But, yes --

BALDWIN: Judy, we're on CNN. Come on. Professionalism.

KURIANSKY: Yes, right. OK. That's the point. There's no conversation going on between couples. And they should really be asking what they want. And fortunately, as we just heard, maybe people are, you know, not being exposed but they should have the conversation. Now, they can say, I saw this discussion on CNN, you know. Is there something that you want in sex that we're not doing, what would that be? And so that can really solve this kind of a problem.

BALDWIN: Let me just ask -- Keren, what are these that the hackers, what are they essentially demanding of this Web site?

ELAZARI: So this is the interesting aspect. We've seen so many data breaches. It's already, you know, every week that we hear about a new attack or a new problem. But with this hacker or hackers, they want the service shut down. They are not asking for money. They are not asking for a movie not to be screened like we have seen with "the Interview" movie last year with North Korea. All they are asking for is the service to be shut down. Obviously, this is a multimillion dollar business for the something who front the Ashley Madison who also runs few other services including all kinds of special dating services. There might be controversial, to say the least.

And what these hackers are asking for is to shut down the service and what is really interesting is the reason that they are stating in their manifesto with this publish, the impact of these manifesto, the reason is not that they feel this is, you know, an unethical or immoral service, but what really bugs them is that the company offers a service for a paid fee of $19, you can have your information quote/unquote "spool deleted from the service."

And so, this company, Ashley Madison, while catering to a lot of people, also request people to pay a little extra premium if they want to make sure their information is deleted. However, according to the impact team hackers, the information is not actually deleted and the credit card information, the real names and addresses of the users are still kept with that company. So, at least according to the manifesto, this is their prime motivation for this attack. And I think that's worthy of some discussion in and of itself. [15:35:20] BALDWIN: Yes.

KURIANSKY: You know, the question that they are saying is, go ahead and, you know, have an affair. But we used to say, as psychologists and marriage counselors, go and have an affair with your spouse. So this is the phrase that people should be thinking about because there are things you want to do and you are afraid to do them as I mentioned. But you should be able to communicate about them and ask your spouse about what their sexual desires are. And then we'll have better relationships and people will not be looking for permission on the websites.

BALDWIN: Yes. Dr. Judy Kuriansky, thank you very much. Thank you.

And Keren Elizari, thank you as well.

Let's go from that to politics, shall we?

Apologize? Forget about it. Donald Trump refusing to back down from blistering comments he made about fellow Republican Senator John McCain's war record where he questioned McCain's status as a war hero. As you know, the party's 2008 presidential nominee spent more than five years as a prisoner of war in Vietnam. His first response directly addressing the comments, Senator McCain said the real estate mogul should not actually apologize to him specifically, rather he said Donald Trump should apologize to the veterans captured in war and their families.

So let me bring in our CNN chief Washington correspondent and host of "the LEAD" and "STATE OF THE UNION" Jake Tapper with me from Washington.

So when asked if he was angry that someone who had avoided the draft was knocking him, senator McCain said he preferred to move past the issue. But my question to you is, how did Donald Trump avoid serving in Vietnam?

JAKE TAPPER, CNN CHIEF WASHINGTON CORRESPONDENT: He did it in a way that was very popular at the time. First, he was a student at Fordham University and he sought and obtained student deferment. It's officially called a class 2S student deferment and then after his sophomore year he transferred to the University of Pennsylvania and got another class 2S student deferment. And then he got an examination -- a medical examination by the armed forces and got what was essentially called a medical deferment. It's called a 1-y classification.

When asked about it over the weekend he said -- and we've never heard the reason why officially. He said it was because he had a bone spur in his foot. He wasn't sure which foot it was. But after that reason, he was basically at a 1-y classification. That's given to men didn't qualify for military service, only in time of national emergency basically saying you don't have to serve. The 1-y was later done away and he got a 4-f which may be some of the viewers know more commonly. So he received the number of deferments.

BALDWIN: OK. And then, I just want to bring up a point. This is something, this is a point you brought up on your Sunday show, just sort of talking on what is happening now and fellow Republicans using this moment really to pounce on Donald Trump and sort of juxtapose that with 2004 with John Kerry. And then it was OK for Democrats to go after him.

TAPPER: Well, I mean, I just thought it was --

BALDWIN: Or rather, Republicans.

TAPPER: Yes. I just thought it was interesting that the Republican National Committee was obviously objects to Donald trump's language very, very strongly saying that there's no place in the party or the country for the kind of questioning that Donald Trump made for the kind of allegations and unproven smears. That's my language, not theirs.

BALDWIN: And RNC is supposed possible neutral, yes?

TAPPER: Yes. They are supposed to be neutral. So that was very unusual statement. Perhaps revealing how excited they are to get Trump out of the race or push down his polls numbers because he does seem to be hurting the Republican brand, in their view. Buy in any case, I just remembered that it was not really all that unusual to go after John Kerry's military service in 2004, mainly by the outside groups with both veterans for truth which made charge after charge once contradicted by military records and by most people who are actually in the swift vote with lieutenant commander John Kerry in Vietnam at the time.

It was interesting, actually, because CNN has gotten a hold of a letter that then governor Jeb Bush wrote to one of this with veterans, former POW. Bud Day thanking him for standing up with his fellow swifties against John Kerry. When we asked the Jeb Bush campaign if this was something of a contradiction given Jeb Bush's outrage against the charges by Trump against McCain, the campaign spokesperson said, we reject the entire premise of my question. A thank you letter to Col. Bud Day, Medal of Honor winner, that should say Medal of Honor recipient actually to correct the campaign there and air force cross recipient, twice captured as a POW is not in any way analogous to condemning Donald Trump's slanderous attack on John McCain. So they do not see the comparison as act, Brooke.

[15:40:08] BALDWIN: OK. Jake Tapper, we'll see you in a couple minutes here on "the LEAD." Thank you, sir, very much.

TAPPER: Thanks, Brooke.

BALDWIN: Coming up, it is the decade's old video that it suddenly surfaced in Britain. The queen of England as a young, young girl giving a Nazi salute. How the royal family is responding to this today. That's next. (COMMERCIAL BREAK)

[15:44:45] BALDWIN: Video has surfaced showing Britain's Queen Elizabeth at the about the age of six giving a Nazi salute and now tabloid that released the footage is now under fire.

CNN's Atika Shubert has the story.

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ATIKA SHUBERT, CNN CORRESPONDENT (voice-over): "The Sun" newspaper has sparked an uproar in Britain for publishing decades old photos and video then 6-year-old Elizabeth, the future queen, giving the Nazi salute. Tabloid's front page shows Elizabeth alongside her mother, her 3-year-old sister Princess Margaret and her uncle, the Prince of Wales with the headline, "Their Royal Heilnesses."

Buckingham palace swiftly condemn Saturday's publication with this statement.

Quote "It is disappointing that film, shot eight decades ago and apparently from her majesty's personal family archive, has been obtained and exploited in this manner."

The still images were taken from a short black and white clip film that the royals moral estate in Scotland in 1933 when Adolph Hitler was rising to power in Germany. The 17-second video posted online shows Edward, from the paper described as Nazi sympathizing apparently encouraging his young nieces and sister-in-law to perform the salute before himself joining them.

Royal biographer Hugo Vickers calls the story sensationalist.

[15:46:01] HUGO VICKERS, ROYAL BIOGRAPHER: What is was doing is showing people frolicking along on the lawn (INAUDIBLE) and unfortunately "the Sun" decided to freeze the frame to make it look as bad as possible and (INAUDIBLE). So my reaction was I think the whole thing was rather pointless but also very unfair.

SHUBERT: "The Sun" responded to the fury with a written story justifying its decision to show the image. Quote "these images have laid hidden for 82 years. We publish them today knowing they do not reflect badly on the queen, her late sister or mother in any way. They do, however, provide a fascinating insight into the warped prejudice of Edward VIII."

At the time the video was taken, the queen's uncle was accused of being a Nazi sympathizer. A royal source says the queen and her family's service to the nation during World War II and 63 years of her reign, she has spent quote "building relations between nations and people speaks for itself." A legacy that analysts say far outweighs the stunts of a tabloid.

Atika Shubert, CNN, London.

(END VIDEOTAPE) BALDWIN: Atika, thank you.

Coming up next, this is the moment from this weekend's KKK rally in South Carolina that has everyone talking and clicking on it. You can see here this police officer helping a man wearing a neo-Nazi t-shirt. We'll discuss this image, next.

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[15:51:41] BALDWIN: Protests erupt in South Carolina between these protesters, many of whom are African-America, and then you have these neo-Nazis and KKK. Several people were arrested after some pretty heated moments here. Protesters denouncing the removal of the confederate flag from the capital grounds there in Columbia, South Carolina. But there was a single image that really seem to defy all that anger and unrest on display.

I want to show you this image. It shows this police officer here, this African-American police officers on the left of the screen, her is clearly helping this other elderly protester escape the blazing hot sun, and the man here on the right of your screen was wearing a neo- Nazi shirt.

So joining me from South Carolina's capital, I have Lonnie Randolph Jr., the state conference president fort the NAACP.

Lonnie, thank you so much for joining me.

LONNIE RANDOLPH JR., SOUR CAROLINA CONFERENCE PRESIDENT, NAACP: Thank you so very much for having me.

BALDWIN: You got it, sir. And I want to get to this image in just a moment because it's resonated with a lot of people. But first, you know, you know, of the hate in this country. We covered what happened with this confederate flag, incredibly closely, and knowing that this KKK rally would happen and knowing some 2,000 people showed up to counter these protests, what does that say to you?

RANDOLPH: Well, it says that we still have a long way to go in this country with race relations. As much as we tried to make people think these problems no longer exist in this so-called country of great democracy and freedom, things of that nature, we still have too many hate groups in America. We still have too many hateful people, and evil and mean people in South Carolina. And unfortunately, you would think that race relations are much better than they are, but the reality of it is that they're not. We can't use what happens on Saturdays at football games and what happens during the week Wednesdays and Thursdays on basketball games to think that that means the race relations have improved in America. While they have improved, there's still a various strain on race relations.

1968, since the commission report, we've had a problem with race in this country, and we still have that prone today. And I'm sad it is that way, but I hope we all will work to make things better for everybody, not for just some people. BALDWIN: Yes, sir. And you have this image. It was captured -- the

photographer was actually governor Haley's deputy chief of staff. And he was quoted saying this image of this African-American officer by the name of Leroy Smith, he is the state's director of public safety, and you see him here in the sweltering heat of Columbia, South Carolina, you know, helping this man wear ago neo-Nazi shirt, helping him seek some shade, and the photographer said this is not an uncommon example of humanity in the state of South Carolina.

To your point about, you know, racism being alive and well today, do you think something like this then is a rarity?

RANDOLPH: Well, in certain parts of South Carolina, we still have pockets. To say the stay is perfect, it would be untrue. We have too much of a problem with race. And as I stated, athletic events still should be a barometric to determine that things are OK. We still should work every day. It is America's idea and South Carolina's number one issue, race, whether it's in the criminal justice system, the education system.

What you saw on Saturday, though, the person you mentioned, the officer, no offense, but he is more than an officer. He is the director of the agency of the DPS agency, which is one of the largest law enforcement agencies in the state, and he is a first-class human being, he is a first-class individual, and he does his job that way, regardless of who he is dealing with. The type of person he is dealing with, the issues they stand for, he supports the constitution.

Bill of rights gives those individuals the right to get out there and look ugly. The bill of rights also gives director Smith and the persons who work in that agency the right to go out there and do their job, which they do on a daily basis for citizens all over the state of South Carolina.

And I'm happy that we have, in spite of the problems we have, that we have agencies and people who run agencies in South Carolina. He does not represent all of them, because we still have some that are not doing the right things.

BALDWIN: Let me just say his name again Leroy Smith, state's director of public safety.

Lonnie Randolph, thank you very much.

We'll be right back.

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