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Trump's Russia Problem Won't Go Away; Controversy of Russian Orthodox's Increased Role in Government; South African President Reshuffles Cabinet; Rex Tillerson Delivers Contradictory Messages in Europe; Park Geun-hye Arrested. Aired 8-9a ET

Aired March 31, 2017 - 08:00   ET

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


[08:00:15] IVAN WATSON, HOST: I'm Ivan Watson in Hong Kong. Welcome to News Stream.

As allegations continue to swirl over the Trump campaign's ties to Russia, former National

Security Adviser Michael Flynn says he will testify if he's given immunity.

The U.S. secretary of state meets NATO partners but wants those partners to increase spending on the alliance.

And the rise of the Russian orthodox church brings rising tensions between these who want the church to play a bigger role and those who already think

it's too cozy with the Kremlin.

Welcome to the program. We begin with a major twist in the investigation of potential Trump campaign ties to Russia. Former U.S. national security

adviser Michael Flynn says he has a story to tell investigators, but before he does that, he has set out one big condition, one that President Trump

seems to be standing behind.

Sara Murray lays it out for us.

(BEGIN VIDEOTAPE)

SARA MURRAY, CNN CORRESPONDENT (voice-over): President Trump's fired national security adviser, Michael Flynn, offering to testify before

congressional investigators if he gets immunity from prosecution. Flynn's lawyer saying in a statement, "General Flynn certainly has a story to tell,

and he very much wants to tell it, should the circumstances permit. No reasonable person who has the benefit of advice from counsel would submit

to questioning in such a highly-politicized witch hunt environment without assurances against unfair prosecution."

Flynn's lawyer saying discussions with both House and Senate committees have taken place, but so far the offer has not been accepted.

The Trump administration is already battling allegations of collusion, amid probes in both the House and Senate about Russia's meddling in the U.S.

election. The White House declining to comment about the Flynn news, as Flynn's own words from last year about Hillary Clinton loom large over his

potential testimony.

FLYNN: The very last thing that John Podesta just said is no individual too big to jail. That should include people like Hillary Clinton. I mean, five

people around her have had -- have been given immunity, to include her former chief of staff. When you are given immunity, that means that you

probably committed a crime.

MURRAY: Then-candidate Trump echoing Flynn's words.

DONALD TRUMP (R), PRESIDENT OF THE UNITED STATE: And if you're not guilty of a crime, why do you need immunity for? Right?

MURRAY: For weeks, House and Senate investigators have expressed interest in speaking with Flynn, in addition to at least three other former Trump

associates.

SEN. RICHARD BURR (R-NC), INTELLIGENCE COMMITTEE CHAIRMAN: I think it's safe to say that we have had conversations with a lot of people. And you

would think less of us if General Flynn wasn't in that list.

MURRAY: The retired general was forced to resign less than a month into Trump's presidency after admitting he misled Vice President Mike Pence

about the nature of his contacts with Russian Ambassador Sergey Kislyak. Flynn's firing coming only after intense media scrutiny about Flynn's

account and weeks after the Justice Department warned the administration that Flynn may have opened himself up to blackmail.

But even after forcing Flynn out, the president praising his former adviser.

TRUMP: General Flynn is a wonderful man. I think he's been treated very, very unfairly by the media.

(END VIDEOTAPE)

WATSON: And surprise, surprise, President Trump just weighed in on Twitter. He tweeted this, quote, "Mike Flynn should ask for immunity in

that this is a witch hunt, excuse for big election loss by media and Democrats of historic proportions."

So let's take a look at what we do know about ties between the Trump campaign and Russia. You already heard that Michael Flynn had contacts

with Russian ambassador Sergey Kislyak. It's also come to light that Flynn received more than $30,000 in a 2015 to make a speech at an event for a

state-run Russian broadcaster. He sat right next to Russian President Vladimir Putin.

Then there is President Trump's son-in-law and trusted adviser Jared Kushner. In the weeks after the election, during the transition, he met

with Ambassador Kislyak, as well as a top Russian banker, who has close ties with Mr. Putin.

Another Trump supporter who met with Kislyak during the campaign was U.S. attorney general Jeff Sessions. At that time he was a senator.

And finally, there's Paul Manafort. Before he was hired as Mr. Trump's campaign manager, he worked for years in Ukraine as an adviser to pro-

Russian politician and President Viktor Yanukovych.

Let move on now to U.S. Secretary of State Rex Tillerson who says his country is committed to NATO, but he wants to see more spending from its

neighbors - members, rather. They've gathered for a summit in Brussels. Tillerson is pushing for partners to fulfill their commitment to spend 2

percent of their GDP on defense.

Our international diplomatic editor Nic Robertson is following the summit in Brussels and

he joins us now. Good to see you, Nic.

Tillerson made some news this week when he was in Turkey before Brussels. He said that

Bashar al-Assad's future as president of Syria should be left up to the Syrian people. How are other NATO allies responding to that position, Nic?

[08:05:59] NIC ROBERTSON, CNN INTERNATOINAL CORRESPONDENT: You know, Ivan, it's very interesting because the French foreign minister when he arrived

here, that's what he wanted to speak about with the journalists who were waiting. He said I want to understand from

Secretary Tillerson what is the U.S. policy on Syria, what is their position. We want to learn more about that.

And he said key to that is you know, the French want the peace talks in Geneva to be successful. These are the UN peace talks. And they're

predicated on the fact that there would be a political transition in Syria, that President Assad would go over a

relatively short period of time, and the United States had been supportive of that until recently. So clearly what Secretary Tillerson has had to

say, and what Ambassador Haley has also said, the U.S. ambassador to the UN, has also

said is causing European allies some concern.

On the point of Tillerson's visit, which seems to a large degree to be about the expectation of desire to get NATO allies, there are 28 NATO

countries all together, only five of them so far meet the 2 percent of GDP commitment on defense spending, that is a part of his message, as he comes

here.

We've learned in more detail about that, but this is how he explained what he wants to achieve here today.

(BEGIN VIDEO CLIP)

REX TILLERSON, U.S. SECRETARY OF STATES: I think we have three important areas we want to talk about. First is ensuring that NATO has all of the

resources, financial and otherwise, that are necessary for NATO to fulfill its mission. Secondly, we want to discuss how we can build on NATO's

already important involvement in the fight to defeat ISIS and other counterterrorism actions that NATO can provide, and ultimately bring

stability to the Middle East.

And then lastly, we want to obviously have a discussion around NATO's posture here in

Europe, most particularly Eastern Europe in response to Russia's aggression in Ukraine and elsewhere.

(END VIDEO CLIP)

ROBERTSON: So, what he also said was that he wants the meeting, the NATO leaders meeting in May, this is where President Trump will attend, he wants

that to be a success. So clearly feeling the need to communicate the United States' position and have

everyone on board to support it for when President Trump gets here in a couple of months, Ivan.

WATSON: Nic, it's so intriguing, you know, just a couple months ago Donald Trump in the transition, he generated some bad blood by basically

criticizing NATO and its relevance today, and more recently Secretary Tillerson has been talking about inviting another country to the alliance,

Montenegro. What are other NATO members saying about potential expansion of NATO to include another country, albeit a small one?

ROBERTSON: Yes, and Montenegro, a population of about 600,000. But it is important to NATO, particularly important at this time of a dynamic where

Russia is seemed to be concerned about what they see as NATO expansion. NATO sees the need to sort of shore up its, if you will, its eastern

flank. Montenegro, small nation in the Balkan states, Russia keen to insert influence there. So this

is seen as very much as a sort of a tussle between NATO and Russia at the moment. We heard Tillerson arrive here and describe Russian aggression in

Ukraine.

And in a way what's happening in the Balkans reflects some of that. The new prime minister in Serbia is sort of seen as perhaps a bridge between

the east and the west, but there is this tussle developing, so the idea is to sort of bring Montenegro into the fold, would in some ways take away a

potential Mediterranean port for Russia to use. Montenegro of course being on the coast. So there's a lot at play here, you know. Asnd Montenegro is

only part of it, but it is that developing tussle that we see between the United States, its NATO allies, and Russia. It's another piece of that

puzzle that we're looking at, Ivan.

[08:10:11] WATSON: And Nic Robertson keeping an eye on that geopolitical puzzle. Thank you very much, Nic. Good to see you.

Now, as the top diplomat is in Brussels meeting with NATO, the U.S. defense secretary, James Mattis, is in London. And he'll meet soon with Prime

Minister Theresa May.

Mattis and his British counterpart Michael Fallon, they held a news conference within the last hour. Both men were pressed on the NATO

alliance and relations with Russia.

(BEGIN VIDEO CLIP)

JAMES MATTIS, U.S. SECRETARY OF STATES: I would just say that we look to engaging with Russia on a political or diplomatic level, but right now,

Russia is choosing to be a strategic competitor and we're finding that we can only have very modest expectations at this point of areas that we can

cooperate with Russia, contrary to how we were just ten years ago, five years ago. It's no longer a cooperative engagement with them right now.

It's when we have to carve out diplomatically some kind of maneuver room here, assuming Russia can change its behavior and act in accordance with

international norms and international law.

(END VIDEO CLIP)

WATSON: Of course there's another huge story in the UK right now, and that's Brexit, and the UK has proven that a week is a long time in

politics. We've seen two leaders pen two letters with one purpose, and that is divorce.

On Tuesday, the British prime minister signed off to start Britain's exit from the European

Union, and now Scottish First Minister Nicola Sturgeon has written to request a second independence referendum. That letter is on its way to

Downing Street, but the UK government says no vote will take place until after the Brexit process.

The EU has issued its own formal response to Britain's opening move in the Brexit

process. In the last few hours, European Council President Donald Tusk, he laid out draft guidelines saying negotiations will be difficult, but

there's just no way around it.

(BEGIN VIDEO CLIP)

DONALD TUSK, EUROPEAN COUNCIL PRESIDENT: In essence, it is about damage control. We need to think of people first. Citizens from all over the EU

live, work and study in the UK. And as long as the UK remains a member, their rights are fully protected. But we need to settle the situation

after their withdrawal with reciprocal, enforceable and nondiscriminatory guarantees.

Second, we must prevent a legal vacuum for our companies that stem from the fact that after

Brexit, the EU laws will no longer apply to the UK.

(END VIDEO CLIP)

WATSON: Donald Tusk there explaining the four areas that the EU will focus on in these negotiations. Erin McLaughlin is covering the story and these

European divorce proceedings from Malta. Good to see you, Erin.

So, the European guidelines, do you think Britain is going to be open to these requests, demands

coming from the EU?

ERIN MCLAUGHIN, CNN INTERNATIONAL CORRESPONDENT: Well, I think today what we heard from President Tusk, he was being very matter-of-fact about this

process, making it clear that the European Union is in control of the order, and the timing of the negotiations, and at this point it doesn't

seem as though there is much that the UK can do about that. After all, remember, Article 50 has been triggered. The clock is ticking. There's

two years now to reach a deal, that's not a lot of time. And if a deal isn't reached then the UK is kicked out of the EU entirely, something that

has been characterized by EU officials as being potentially catastrophic for

the United Kingdom.

Now, take a listen to what President Tusk had to say today. He was very matter of fact that this process is going to be punishing for both sides.

Take a listen.

(BEGIN VIDEO CLIP)

TUSK: The talks which are about to start will be difficult, complex and sometimes even

confrontational.

There is no way around it. The EU 27 does not and will not pursue a punitive approach, Brexit in itself is already punitive enough.

(END VIDEO CLIP)

MCLAUGHLIN: Now today, to coincide with that press conference, as you mentioned, Ivan, President Tusk releasing the so-called draft guidelines,

the negotiating principles and the objectives for the European Union going into this process. Those guidelines going out to the 27 remaining EU

member states. They can weigh in. And then that has to be approved or will be approved most likely by the end of April at a summit.

But as I said, EU member states still can weigh in on those guidelines, which highlights a problem for the EU going into the negotiations, and that

is maintaining a united front. And the guidelines addressing that specifically, saying that there will be no unilateral negotiations between

individual member states and the United Kingdom, clearly they see that as a potential pitfall for them,

the UK trying to divide potentially the 27 remaining EU member states.

WATSON: And I understand the EU very concerned about European Union citizens who would remain in the UK and what their status would be when

Brexit is finalized.

Now Sarah McLaughlin live from Malta. Thank you very, very much, Erin.

Moving on to Pakistan, there the city of Paruchinar (ph), officials say there was a bombing at a Shia mosque that has killed at least 22 people and

injured dozens of others. Pakistan Taliban splinter group has claimed responsibility. Officials say the bomb exploded outside a gate used

exclusively by women.

In Iraq, a military official tells CNN 141 bodies have now been removed from the site of a

March 17 strike in Mosul. The U.S. has acknowledged it carried out an air strike in that area, and that it likely contributed to the deaths of

civilians. Now some of the civilians who survived recent attacks in the city are speaking out, and our senior international correspondent Arwa

Damon spoke with them.

(BEGIN VIDEOTAPE)

ARWA DAMON, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice-over): The bodies are rolled down the streets passed the rubble of homes where children used

to run and laugh. In a five-day timeframe hundreds of civilians were killed in western Mosul. And we went to a hospital in Irbil to look for some of

the survivors.

Aliya was cradling her granddaughter, Hawra, who was just four-and-a- half years old.

ALIYA, GRANDMOTHER: (Graphics) I am thinking it's better to be dead. I am thinking about dying. Better than a life like this. She was like a flower,

playing and running. Now she has no mother. No eyes.

DAMON: It was March 17th, which is the main day under investigation by both the U.S. and Iraqi governments. Hawra's father, Ala'a, drew their streets

for us showing us where the ISIS fighters were on the corner. There were multiple explosions. Hawra was in a home down the road with her mother and

two relatives. They were baking bread when the airstrike started. Hawra's father ran towards the house.

ALA'A, FATHER: (Graphics) All I heard was -- I ran. There was a block that had fallen on her. I screamed for her mother, my aunt and uncle. But no

response.

DAMON: His daughter's little body was black. It was barely recognizable at all. After Ala'a pulled her out of the rubble, he begged the ISIS fighters

to be allowed to leave just for the sake of saving his little girl.

ALA'A: (Graphics) I carried her out, the ISIS fighter said, I can shoot her. Why do you want to save her? She's going to die anyway? I saw my wide

the next day under the rubble. I saw her leg and intestines so I covered her in a blanket and left.

DAMON: On a different day, Muhammad stuck his head out the front door when an airstrike came in to take out a suicide car bomb. Now he has a shrapnel

lodge in his head. He can't talk. He's lost his memory.

Down the hall in another ward, we found a bunch of children. Fatima, she's just 16. She lived in an apartment block and was on the second floor.

FATIMA, AIRSTRIKE SURVIVOR: (Graphic) ISIS was on the roof, then there was an airstrike. The building fell on us.

DAMON (on camera): What's the last thing you remember?

FATIMA: (Graphic) I just remember being pulled out of the rubble.

DAMON (voice-over): Her back is broken. She probably won't ever walk again, but no one has the heart to tell her. And she still has dreams of being a

doctor. She's here with her sister whose son was also injured.

Much of western Mosul has been physically destroyed. People are dying every day, coalition airstrikes, mortar, sniper shots, ISIS explosions, deaths

that don't make headlines. Its population is emotionally shattered and they're haunted by the ghosts of those who are gone.

(Graphics): What is she asking?

[08:20:24] UNIDENTIFIED FEMALE: (Graphics): She says, "I want my mommy."

DAMON: She still has shrapnel in her eyes. She may never see again. "Don't say you're sorry," her father told us. "Sorry doesn't help. It's not going

to bring her mother back."

Arwa Damon, CNN, Irbil, Iraq.

(END VIDEOTAPE)

(COMMERCIAL BREAK)

WATSON: Welcome back to CNN. Live from Hong Kong where it's been a stormy day, but it has cleared up as you can see there.

Now, there's another bizarre chapter in the murder mystery that's gripped North Korea's ruling dynasty. The remains of the older half-brother of

leader Kim Jong-un have been returned to his homeland. His assassination in Malaysia triggered a nasty, public diplomatic spat that leaves North

Korea even more isolated than ever.

(BEGIN VIDEOTAPE)

WATSON: After years in exile, the murdered half-brother of North Korea's dictator has finally gone home. The body of Kim Jong-nam flown back to

North Korea from Malaysia. The murder victim's corpse returned effectively in exchange for nine Malaysians, diplomats and family members, from

Malaysia's embassy in Pyongyang. Their release from North Korea part of a highly unusual deal aimed at ending one of the most bizarre diplomatic

disputes in recent history.

It started with Kim's brazen murder in Kuala Lumpur Airport on February 13. Malaysian officials accuse North Korea of poisoning Kim with VX nerve

agent, charging these two women with smearing the banned chemical weapon on Kim's face.

North Korea vehemently denies any involvement, as do the two female suspects. For weeks, three North Korean persons of interest in the

Malaysian investigation were believed to be hiding behind the walls of North Korea's embassy in Kuala Lumpur. As part of the deal, the three men

believed to be filmed here also allowed to fly home.

Malaysian officials insist they will continue to investigate the murder.

As for North Korea's leader, Kim Jong-un, the half-brother that some speculated could one day

usurp his throne, has been violently eliminated.

(END VIDEOTAPE)

WATSON: Someone removed Kim's potential rival with a brazen daylight assassination. The only real cost to North Korea is its relationship with

Malaysia, but reports say Malaysia will maintain ties with Pyongyang.

There are a number of important developments in South Korea. The salvaged wreck of

South Korea's Sewol ferry has been taken to shore for investigation. The sunken vessel was raised from the seabed last week and carried back to

port on an enormous semisubmersible ship. 304 people, mostly students, died when the Sewol sank three years ago. Nine bodies are still missing.

South Korea's former President Park Geun-hye has been arrested and being held behind bars facing corruption charges. The judge in the case says

Park is being detained because of concerns she could destroy evidence.

It's been a remarkable political fall from grace as Paula Hancocks reports.

(BEGIN VIDEOTAPE)

PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: From the palatial Blue House, the highest seat of power, to her private home in an upscale Seoul

neighborhood, to a single cell in a detention center, three dramatic moves in three weeks for former south

Korean President Park Geun-hye.

DUYEON KIM, GEORGETOWN UNIVERSITY; Certainly it would be the biggest fall from grace compared to anyone, the first South Korean leader to ever fall

that hard and that deep.

HANCOCKS: Park's expression was strained as she made the early morning trip to the

detention center which is to be her home for the next few weeks, potentially longer.

Prosecutors have up to 20 days to indict Park. They've told CNN they absolutely will indict her within that timeframe. They're seeking charges

of abuse of power, bribery, and leaking important documents. Park has denied any wrongdoing.

Park for now will be held in a solitary cell, say prosecutors. The Justice Ministry says daily

wake-up is 6:30 a.m., lights out at 9:00 p.m. Inmates can have approved visitors and are able to go

outside for exercise time.

A green prison uniform is standard, a brown uniform can be bought once inside, but the ministry would not comment on Park's specific case or

whether she'd be given bigger than the standard six-and-a-half square meter solitary cell.

As Park spends her first night behind bars, this country remains bitterly divided. While many who protested to see her impeached and imprisoned will

be pleased that she's facing justice, there are others who believe this say political witch hunt and want her reinstated.

Paula Hancocks, CNN, Seoul.

(END VIDOETAPE)

WATSON: There is political tension in Russia as well. At the center of a national debate, the orthodox church and its growing influence in the

country. Stay with CNN.

(COMMERCIAL BREAK)

(HEADLINES)

[08:31:44] WATSON: Now, take a look at this. A rare sight in St. Petersburg, Russia's second largest city. For months, protesters have been

staging big rallies with a pretty unusual demand. They don't want a much beloved cathedral to officially become a church.

(BEGIN VIDEOTAPE)

WATSON: Russian Orthodox faithful staging a show of force. Clerics saying uniformed Cossacks marching around St. Isaac's Cathedral. His church in St.

Petersburg is at the center of a debate over the resurgent role of the Russian Orthodox Church in modern day Russia.

VITALY MILONOV, RUSSIAN LAWMAKER: We are going to the true, real values -- family, church, state.

WATSON: Firebrand lawmaker Vitaly Milonov wants the church to play a bigger role in Russian society.

MILONOV: This disease of anti-christian activity will pass and, of course, in every country like Russia and America will face a new good renaissance,

revival of true values against fake values.

WATSON: During the Soviet Union, the Russian Orthodox Church was a target of brutal persecution. Atheist communists demolished churches like Moscow's

Christ the Savior cathedral. And though they left St. Isaac's standing, the Soviets pillage its treasures and executed its top priest.

A recent government proposal to hand the cathedral to the direct management of the Russian Orthodox Church sparked rare public protests. Secular

demonstrators formed a human chain around the building. They demand the church remain a museum.

VLADIMIR KUDRYAVTSEV, SECULAR PROTESTOR: I am fine with the church as long as they mind their own business. But when they overstep their boundaries,

like say on the question of abortions or middle school education, or taking buildings like this, well, I'm not OK with that.

WATSON: In the quarter century since the end of the Soviet Union, once loyal members of the atheist communist party have publicly embraced the

Russian Orthodox Church. The Kremlin now works closely with the church's leader Moscow patriarch Kirill, who gives speeches in the national

parliament. But there are some rare critics within the clergy who warn that the church has gotten too cozy with the Kremlin.

"I'm against this political union," says Father Andrei Kuraev, an ex-speech writer for the former patriarch of Moscow.

The church is being perceived as a ministry of the government that can threaten and arrest people, he says. And this is very bad.

In 2000, Moscow rebuilt the demolished Christ the savior cathedral. That's where dozens of bishops from Russia and across the world gathered to

celebrate the anniversary of the enthronement of Patriarch Kirill. In the front row of the congregation, volunteers from a new group of religious

activists that calls itself the 4040s movement.

"We're experiencing the second baptism of Russia," the group's leader tells me. "If there were no orthodox Christianity," he adds, "there would be no

Russia."

Russia is still officially a secular country that's home to many religions. But as it enjoys it rebirth, the Russian Orthodox Church seems more and

more like an extension of the Russian state.

Ivan Watson, CNN, Moscow.

(END VIDEOTAPE)

[08:35:39] WATSON: Despite being an officially secular country, Russia has been introducing laws that crack down on insulting religious freedom. The

most famous case involves the female punk rock group Pussy Riot. Its members served 22 months in jail for storming a cathedral to perform an

anti-Putin song.

Still ahead in the program, a political bust up brings financial turmoil. South Africa's president uproots his cabinet and the currency plunges.

We'll have a live report from Johannesburg next.

(COMMERCIAL BREAK)

WATSON: Welcome back.

In the southern U.S., a portion of a major interstate has collapsed in the city of Atlanta. The cause is a fire that started underneath I-85 Thursday

night. The city has now shut down that section of the interstate indefinitely.

About 250,000 cars pass through there every day. There are no reports of any fatalities.

To South Africa now where a political shakeup has rocked the country's currency and financial

markets. President Jacob Zouma has fired his Finance Minister Pravin Gordhan and reshuffled

his cabinet. The purge follows months of tension between Gordhan and Mr. Zouma.

Our David McKenzie is following the story from Johannesburg and joins us now live.

Welcome, David.

Let's start by talking about the immediate consequences of this cabinet reshuffle. I understand the South African currency has taken a bit of a

hit.

DAVID MCKENZIE, CNN INTERNATIONAL CORRESPONDENT: Well, that's right, Ivan. The currency has taken a dive and the markets are in turmoil and there

could be a ratings downgrade.

But perhaps the more important issue here is a battle for the soul of South Africa as the outgoing Finance Minister Pravin Gordhan put it in a very

emotional, extraordinary press conference after he had been told by the media, he says, that he had been fired from his position, along with ten

other or nine other ministers in the cabinet of Jacob Zouma, who have either been fired or moved to other positions.

Now, he said this really is about the future of South Africa. He said that, quote, "their souls could not be bought" and that the people of South

Africa need to mobilize against corrupt forces. Take a listen.

(BEGIN VIDEO CLIP)

PRAVIN GORDHAN, OUTGOING FINANCE MINISTER: We don't need anybody -- and we hope that more and more South Africans will make it absolutely clear

that our country is not for sale.

(END VIDEO CLIP)

MCKENZIE: Well, that announcement came in an email after midnight here in South Africa, Ivan, and Jacob Zouma has been himself under fire for

corruption allegations for several years. Many different scandals bedeviling the president and now it seems he's gone on the nuclear option,

and many say he's trying to get the keys to the treasury to kind of finalize some of those deals that the treasury has been trying to push back

that critics of Zouma's say are a way for him to enrich himself and his family.

But what we could see in the future, very near future, is a real battle, what's in the ruling ANC and between the opposition and the people of South

Africa to try and take their country back.

[08:40:37] WATSON: David, so how is the president, the South African president, justifying his move? How is he defending himself against his

critics after this cabinet reshuffle, and its dramatic financial consequences?

MCKENZIE: Well, he has said over a time and again that he is not guilty of any wrongdoing, despite the fact of having more than 700 corruption charges

hanging over him on a previous issue.

What the president has said is that this is about radical economic transformation. He has said that there are people within the government

that really are stopping him from putting through radical economic platform to help the poor of this country, but to many South

Africans that kind of falls flat, because they believe that both the short- term implications of this shock announcement to purge the cabinet and the long-term issues of corruption in this country can only

hurt the poor, but we will see this battle moving into parliament with a potential no confidence vote in the coming weeks.

Whether the ANC, the ruling party, and liberation movement of this country, will turn its back on Zouma, that is the key question because really the

power to do so is in their hands.

WATSON: All right, David McKenzie live from Johannesburg on the latest financial and political drama in South Africa. Great to see you, David.

Before we go, a remarkable day that will down in history. For the first time ever, a recycled rocket has been launched into space and brought back

to Earth. SpaceX founder Elon Musk calls the mission a huge revolution in space flight. The Falcon 9 rocket landed on a barge at sea just minutes

after it launched.

The ability to reuse rockets is essential to cutting the cost of space missions by tens of millions of dollars.

And with that, that is News Stream. I'm Ivan Watson. But don't go anywhere, World Sport with Riannon Jones, that's coming up right next.

END