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Michael Cohen Arrives on Capitol Hill for More Testimony; Trump Allegedly Pressured Staff to Give Ivanka Trump Top Security Clearance; White House Rejected Democrats' Request for Jared Kushner Clearance Documents; Rep. Raja Krishnamoorthi (D) Illinois Interviewed About Jared and Ivanka Kushner's Security Clearance and Michael Cohen's House Intelligence Committee Testimony; Rep. Raja Krishnamoorthi (D) Illinois Interviewed About House Democrats Probe of Trump Organization; Trump slams Democrats for Sweeping House Investigations; Satellite Images Show North Korea Rebuilding Missile Facility; GM Stops production at Ohio Plant; R. Kelly Decries Sexual Allegations Scandal; DHS Secretary to Testify Before Congress on Border Security; New York State Regulators Subpoena Trump Organization's Insurance Broker; Michael Cohen Back on Capitol Hill Today to Give Closed-Door Testimony. Aired 9-9:30a ET

Aired March 06, 2019 - 09:00   ET

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

[09:00:01] POPPY HARLOW, CNN ANCHOR: All right. Top of the hour. Good morning, everyone. I'm Poppy Harlow.

JIM SCIUTTO, CNN ANCHOR: And I'm Jim Sciutto.

This was to have been the first day of Michael Cohen's three-year term in prison for, among other things, lying to Congress, tax evasion and campaign finance crimes. Instead President Trump's former lawyer, confidant and fixer is spending one more day behind closed doors this time with the House Intelligence Committee. That is one of three committees before which Cohen testified for much of last week. And one of at least five in the House alone now investigating the president.

Cohen has just arrived on Capitol Hill. It happened moments ago. Those are the pictures there.

HARLOW: All right. Also this morning it seems Jared Kushner was not the only top White House adviser to get security clearance only after a personal intervention from the president. CNN has now learned that the president overrode the objections of the Personnel Security Office and his chief of staff and his White House counsel to grant that security clearance to his daughter Ivanka Trump. Much more on that in a moment.

Let's begin, though, with Manu Raju on the Hill. We just saw moments ago, there's Michael Cohen, his attorneys walking in.

Manu, what are we expecting today behind closed doors as he testifies again before the House Intel Committee?

MANU RAJU, CNN SENIOR CONGRESSIONAL CORRESPONDENT: Well, Poppy and Jim, I just saw Michael Cohen and his attorneys walk into the secure facility I tried to ask him whether or not he brought any new documents to the committee or -- and he wouldn't answer. He said that we're going to make a statement after this fourth appearance that he's had on Capitol Hill.

And there was another question that a reporter asked whether or not he had any discussions with the president about getting a pardon. He did not of course answer that. He walked into kind of the elevation and I was walking into the secure location for this 9:30 a.m. Eastern meeting that's going to take place all day long.

Those are the main questions that lawmakers want to ask. The level the White House involvement over some key issues. One, how the White House may have been involved or the president's attorneys in editing a false statement that Cohen initially gave to this committee back in 2017 about that Trump Tower Moscow project and the pursuit of the Trump Organization of that project during the 2016 campaign. And after Cohen's offices and hotel room and properties were raided by the FBI, did he have discussions with the president and the president's team about potential pardons. Those are questions that lawmakers want to ask.

Now one person that I caught up with yesterday was Adam Schiff. Of course he's the chairman of this very committee. He is making it very clear that this is just part of a larger series of efforts that this committee is going to do to oversee this White House.

HARLOW: OK. Manu Raju, thank you very much.

SCIUTTO: You know --

HARLOW: Yes.

SCIUTTO: Think about it. This is the president's longtime lawyer and fixer. He's going to prison for crimes.

HARLOW: Yes.

SCIUTTO: And he's implicating the president --

HARLOW: Including lying to Congress. Right.

SCIUTTO: -- in at least one crime. It's -- you know, in the churn, the daily churn.

HARLOW: I know.

SCIUTTO: It's easy to lose track of that but that's -- it's a remarkable thing.

HARLOW: About how big it is.

SCIUTTO: Yes.

HARLOW: Right? Manu, keep an eye on it. Keep asking those questions. Thank you very much. Now to the issue of security clearances and presidential intervention,

as it comes to the president's daughter and adviser Ivanka Trump, a source familiar with Ivanka Trump's thinking tells me this morning and I quote, "Ivanka Trump has no knowledge of the president getting involved at all in her or Jared's security clearance and understood that it followed the ordinary course."

So let's go to the White House. Our Joe Johns is there for more on this.

This morning that's what we're hearing from a source familiar with her thinking. But CNN has multiple sources saying look, the president got involved here on both fronts.

JOE JOHNS, CNN SENIOR WASHINGTON CORRESPONDENT: Right. Our reporting is my colleagues at CNN that President Trump pressured then White House Chief of Staff John Kelly, then White House counsel Don McGahn, apparently others, to give Ivanka Trump her security clearance. Our reporting is also that it's totally possible she did not know her father intervened in getting her security clearance.

So I've got to tell you, the thing about this right now is that the White House is in a state of circle the wagons. As they figure out how to handle all the investigations on Capitol Hill including the one into security clearances, a letter from the chairman of the Oversight Committee to the White House from January 23 really set off alarm bells.

Today Sarah Sanders out here on the lawn just a little while ago, we asked her about the story about Ivanka Trump. And she had to give the same answer she gave just a couple of days -- a couple of weeks ago about the husband of Ivanka Trump, Jared Kushner. Both times, Sarah Sanders has had to say we don't comment on security clearances. That's not our policy.

But her rhetoric has really stepped up as the White House tries to deal with this. And she's using words like calling this a small radical leftist fringe of Democrats on Capitol Hill who were doing this. Absurd. Outrageous. Using words like that. So the White House is trying to deal with what is coming at them from Capitol Hill.

[09:05:05] And it is an absolute flood as there are more and more requests for documents especially, especially on this issue of security clearances. The big question of course here is whether there will be a subpoena issuing from the House Oversight Committee. Entirely possible. The chairman has hinted at it. However, Chairman Elijah Cummings also hasn't said whether he will do it.

Back to you.

SCIUTTO: Joe Johns, thank you.

You know, what's interesting the president was clearly aware of the sensitivities of him overruling his advisers because he asked his advisers to order the clearance to be issued. They refused so the president did anyway. HARLOW: Right. Right.

SCIUTTO: He was aware of what -- of the implications.

HARLOW: It's not just -- it's true. It's not just an issue of, do you have a right to do it, it's what does it say that you're doing it overriding that advice when it comes to issuing them for family members?

SCIUTTO: Exactly, and what does it say about the fact that the intel agencies had concerns about issuing those clearances.

Listen, a whole host of questions there. The White House in the midst of this is refusing to hand over documents related to that security clearance decision for both Ivanka and her husband Jared Kushner. All this while the president slams the House Democrats' sweeping probe as, quote, "a disgrace to our country." That is phrasing he's used before.

Sunlen Serfaty has the latest on Capitol Hill. Admittedly this is quite a broad ranging investigation by Hill committees controlled by Democrats now.

SUNLEN SERFATY, CNN CONGRESSIONAL CORRESPONDENT: That's absolutely right, Jim. And when we're talking specifically on that one point of security clearances that Joe was just talking about, the request for information coming from the committees up here on Capitol Hill to the White House it sets up certainly a huge battle ahead potentially as Joe mentioned a subpoena battle between the White House and the House Oversight Committee.

Now the White House counsel on the security clearance issue, they have been pushing back very strongly. They have called the committee's request for documents overly intrusive. Those related to the White House counsel -- excuse me, White House senior adviser and son of President Trump Jared Kushner. They are making it very clear, right now they are not handing over those documents.

And that has really set off the House Oversight Committee chairman Elijah Cummings. He believes in his words that the White House is stonewalling them for their request for this information. Here is how he put it last night on Capitol Hill.

(BEGIN VIDEO CLIP)

REP. ELIJAH CUMMINGS (D), MARYLAND: When you cannot get information you cannot be a check. Under the Constitution we have a duty. It's not some witch hunt.

(END VIDEO CLIP)

SERFATY: And Cummings who has said that he believes the White House certainly is being very reluctant here to hand over that information that he wants, he says that he believes that it's clear the White House has been abusing the security clearance system and he now has a very important decision to make. Will he issue a subpoena or not to get this information specifically related to Jared Kushner?

It isn't clear he has not made up his mind yet. He said he is weighing that decision very heavily and talking with lawmakers as he moves potentially to the next phase of this battle.

HARLOW: OK. And before you go we heard the president in his own words, Sunlen, earlier this week insists, I cooperate with everyone, is essentially what he said. But that is changing now when it comes to this sweeping probe by House Oversight. The White House is now exerting executive privilege?

SERFATY: That's right. That is a huge potential and certainly the rumblings of that is really sending shock waves up here on Capitol Hill. That's again the next phase of this battle as we've been talking about in the last few days. This huge request coming in from the committees up here on Capitol Hill of 81 people and entities, requests for documents.

Very clear the expectation is that they are expecting and bracing themselves for the White House to exert executive privilege. Again the next phase in this very long battle in the months ahead.

HARLOW: Thank you. We appreciate the reporting on both fronts. Thanks, Sunlen. Jim.

SCIUTTO: Let's discuss now with Democratic Congressman Raja Krishnamoorthi of Illinois. He sits on both the House Intel and Oversight Committees, two key committees to the current investigations.

Congressman, thanks for taking the time this morning.

REP. RAJ KRISHNAMOORTHI (D), INTELLIGENCE COMMITTEE: Thank you, Jim.

SCIUTTO: Let me begin first with the president's decision to overrule his senior most advisers but also the recommendations apparently of the intelligence agencies to issue both his daughter and his son-in- law top secret security clearances.

You sit on the House Intelligence Committee. Do you know, do you have any information as to what the concerns were of the intelligence agencies to not issue those top secret clearances?

KRISHNAMOORTHI: Well, thanks for having me on. I don't know the concerns with regard to Ivanka Trump. However the concerns with regard to Jared Kushner are very well-known. For the last two years I've been beating the drum with regard to Jared Kushner's security clearance. He has numerous errors and omissions with regard to unreported foreign contacts. He has tremendous financial vulnerabilities which make him susceptible to compromise and manipulation.

And then finally most of the law enforcement community who looked at his particular case specifically said he should not have access to top secret security clearance. [09:10:06] So when the president then overrode that and directed them

to give him security clearance, he went -- he flew in the face of -- his decision flew in the face of what the career professionals said and he also said later on that he had nothing to do with that decision. So now we're finding that actually the truth is much different.

SCIUTTO: Let me ask you this, because of course a top secret clearance gives someone access to the nation's most sensitive secrets and classified information.

KRISHNAMOORTHI: That's right.

SCIUTTO: With the president here overruling the recommendations of the intelligence agencies to grant these clearances to family members, we should note, is he himself mishandling the nation's secrets to grant that access?

KRISHNAMOORTHI: Possibly. You know, basically it's true that the president has a prerogative to issue clearance, to people that he designates. However, it's our duty to perform oversight. And that's why Chairman Cummings is absolutely correct that there has to be transparency on the process. He's repeatedly requested documents about this. And they have refused voluntary compliance.

I should just note that I offered a law which was an amendment to the Secret Act which required the White House to explain the security process. That was signed into law by President Trump. He then promptly violated the law and didn't actually explain the security clearance process and now he's refusing voluntary compliance with Chairman Cummings' repeated requests.

SCIUTTO: Right. Let me ask you this then, the White House has already refused to deliver documents related to Jared's security clearance, whether they do the same on Ivanka's still an open question, but in light of that, should the chairman of the Oversight Committee, should he subpoena those records?

KRISHNAMOORTHI: I think Chairman Cummings has made it very clear that the subpoena power is potentially the next step. I would be very supportive if that's the direction that he decides to go. I think that he has shown extreme patience at this point in terms of repeatedly asking for the documents and their refusal to comply flies directly against our constitutional duty of oversight.

SCIUTTO: Let me ask you this, of course as you know Michael Cohen just arrived on the Hill. He's now testifying in closed session. It was one of your questions last week in public session that made the most news. I want to replay it to remind our viewers then I want to ask you about it. Have a listen.

(BEGIN VIDEO CLIP)

KRISHNAMOORTHI: Is there any other wrongdoing or illegal act that you are aware of regarding Donald Trump that we haven't yet discussed today? MICHAEL COHEN, FORMER PERSONAL ATTORNEY TO PRESIDENT TRUMP: Yes. And

again, those are part of the investigation that's currently being looked at by the Southern District of New York.

(END VIDEO CLIP)

SCIUTTO: Have you since learned what that investigation -- to that point we did not know about an additional investigation of the president. Do you since learned what that pertains to?

KRISHNAMOORTHI: I have not yet.

SCIUTTO: Will you ask him about it today? And is it something he could speak about in closed session to a degree he did not in public session?

KRISHNAMOORTHI: I can't get into specific testimony or lines of questioning in the Intel Committee. However, suffice it to say that there's a lot of question marks surrounding that particular answer that he gave.

My big concern, I think Chairman Schiff shared this concern as well, which is that we can't just rely on the Southern District of New York or other investigating authorities to do their job because William Barr and the Department of Justice is now saying that they may not turn over the findings to Congress. And so I believe that we in Congress have a duty to actually investigate some of these misdeeds ourselves and get to the bottom of what happened.

SCIUTTO: Yes. You might say Americans have a right to know if there's an additional criminal investigation of a sitting --

KRISHNAMOORTHI: Yes. Yes, sir.

SCIUTTO: Of a sitting president. I do want to ask you a bigger picture about the range of investigations by Democrats today. As you know demands going to more 80 individuals, organizations -- we'll put a list up on the careen -- connected to the president here. Even some Democrats have warned that this is so wide ranging that it gives the impression of Democrats casting too wide a net here. Is that fair criticism?

KRISHNAMOORTHI: Well, I mean, you saw the hearing with Michael Cohen. You know, the president likes to talk about his role on "The Apprentice." And Michael Cohen painted a picture of a White House as "The Sopranos." And, you know, there are so many characters in this particular episode that I think it's only logical that Chairman Nadler would want to get to the bottom of what's going on with each of these particular people. Now the second point is I think last night --

SCIUTTO: But let me -- I do want to ask -- I do want to ask you that because I have been covering this for a couple of years, and I can understand why folks at home would be frustrated. Two years, you know, what is the result of this? Can you, as you begin -- and again, Democrats are just taking control of these committees so they now have these investigative powers they did not have prior. KRISHNAMOORTHI: Yes, sir.

[09:15:00] SCIUTTO: But just in short form, explain to our viewers what you're focusing on. What you see the most convincing evidence of has it being worthwhile investigations?

KRISHNAMOORTHI: I think there are at least three issues. One, was there a conspiracy between the Trump Organization or the Trump campaign and the Russians with regard to influencing the elections of 2016, and how do we prevent that from happening again?

Secondly, was there obstruction of justice following this particular issue surrounding the investigation of 2016? And then third, all of the various, you know, campaign finance violations and other felonies that have been committed, you know, basically last night, a poll was released by Quinnipiac, showing that 60 percent of American people, almost 60 percent think that the Democrats are doing the right thing and serving as a check and balance on the Trump administration now.

That being said, we still have to deliver on the pocketbook priorities of the American people, so we have to walk and chew gum at the same time, Jim.

SCIUTTO: Right, Congressman Krishnamoorthis, thanks very much for joining us this morning.

KRISHNAMOORTHI: Thank you, sir.

POPPY HARLOW, CO-HOST, NEWSROOM: All right, so days after the president walked away in that failed summit with Kim Jong-un, satellite images released overnight appear to show North Korea has begun rebuilding a long-range missile launch site. What does that mean for future talks?

Also the end of the line for workers at a huge GM plant in Lordstown, Ohio. This is the first of four GM plants in North America to close today, and this means thousands of people are out of work. We'll take you there live.

SCIUTTO: Sad news, life-clanging news for those --

HARLOW: Yes --

SCIUTTO: People. And also today, really, just an explosive interview. R. Kelly shouting, crying, defiantly telling "CBS" that he is fighting for his life and at the same time denying all accusations of sexual abuse of minors.

[09:20:00] (COMMERCIAL BREAK)

HARLOW: All right, welcome back.

SCIUTTO: So, what is North Korea been up to during these high tension nuclear negotiations? New satellite images shows it appears to be rebuilding parts of a facility once used to test long-range missile engines. HARLOW: So this comes from 38 North. That's a North Korean

monitoring website that says vehicles were moving around the satellite launch facility between February 16th and March 2nd. Those dates obviously matter a lot. That means that it occurred right before, during or immediately after President Trump failed summit with Kim Jong-un.

Our Barbara Starr joins us this morning from the Pentagon, Paula Hancocks is live in Seoul, South Korea. So Barbara, the timing obviously significant, the images matter a lot. What do they tell us about rebuilding if it's happening at this launch site?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, I think the most important thing to always remember about satellite imagery of North Korea is North Koreans know full well that satellites are overhead picking up these images. So if they want the satellite to see things, they will let it be seen.

Perhaps, what's most interesting in North Korea is what is hidden away that the satellite never sees. These images do appear to show new activity at this site. But we've talked to a number of analysts who say, hang on, does it really mean that North Korea is getting ready to launch another missile to resume weapons testing?

You can't really come to that conclusion just yet from these images. But clearly, a message from North Korea, they're picking up the pace on activity and they want to make sure that the U.S. sees that.

SCIUTTO: Paula Hancocks, you cover South Korea -- it's actually South Korean Intelligence that exposed this movement. President Moon there has a lot invested in these talks, how are they reacting?

PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: Well, Jim, the MIS here was briefing lawmakers on Tuesday, and in turned, the lawmakers briefed the media. And what they were saying is that they had seen some of what had been dismantled at Tongchang-ri actually being restored.

They were quoting things like a roof had been put back after they had been taken down. A door was put back, they spoke about vehicles moving different things around the facility. And the interesting thing about Tongchang-ri is this is a place where they did test missile engines.

They also launched satellites into space. It wasn't a launch site for missiles itself, but this is something that Kim Jong-un and President Moon Jae-in of South Korea had personally spoken about when President Moon was in Pyongyang at that summit. There were discussions about whether or not they were going to be allowing independent inspectors into Tongchang-ri if the U.S. gave corresponding measures.

So despite the timing, and there were many experts here who were quite reticent to make a judgment on this, they say it's just too soon. But it's clearly not a good move.

HARLOW: So Barbara, if these images actually show what it seems like they're showing, which is continued work on their nuclear capability, the thing is the president walked away from the table in Hanoi without a freeze agreement, right, with Iran when we were talking to Iran, you had a freeze on development. That freeze was not instituted here, Barbara.

STARR: Well, you have the national security adviser John Bolton saying just a day or so ago, that, you know, the administration would be willing to consider beefing up sanctions against North Korea if they don't -- pardon me --

(COUGHING)

If they don't make a commitment to denuclearize.

HARLOW: Right.

SCIUTTO: Barbara Starr, Paula Hancocks, we understand Sarah Sanders was asked about this --

HARLOW: Right --

SCIUTTO: Just a short time ago, she had no comments on the ongoing talks, but said talks are continuing. Other news we are following today, the Trump Organization facing new questions from investigators. Did Michael Cohen's explosive testimony tip off officials?

[09:25:00] HARLOW: And it's also not just Cohen with a big hearing today on the Hill. Minutes from now, Homeland Security Secretary Kirstjen Nielsen will face House Democrats as tension grows over border security. She is the highest ranking administration official to testify on this front yet. We'll hear from her in less than an hour, stay with us.

(COMMERCIAL BREAK)

HARLOW: All right, so this morning, the New York State Finance Department has opened an inquiry into the Trump Organization. A source tells CNN, the organization's long-time insurance broker has been slapped with a subpoena.

SCIUTTO: This comes just days after President Trump's former attorney and long-time fixer Michael Cohen made explosive allegations specifically of insurance fraud and of course he did so under oath.

(BEGIN VIDEO CLIP)

REP. ALEXANDRIA OCASIO-CORTEZ (D), NEW YORK: To your knowledge, did the president ever provide inflated assets to an insurance company?

MICHAEL COHEN, LAWYER: Yes.

(END VIDEO CLIP)

SCIUTTO: Cohen back on the Hill this morning to finish his testimony to the House Intelligence Committee, this time behind closed doors.

END