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Two Months Until Midterm Elections; Criticism of Obama's Foreign Policy; Three Captive Americans in North Korea Plea for Release; Interview with Stephen Bosworth; Hunt is On for Celebrity Hacker

Aired September 02, 2014 - 07:30   ET

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

(COMMERCIAL BREAK)

CHRIS CUOMO, CNN ANCHOR: There are big decisions that need to be made on pressing situations all over the globe. So what will happen? Let's get the scoop on Inside Politics on NEW DAY with Mr. John King.

JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: Chris, Kate, Michaela good morning. Our first time after Labor Day, we're in the stretch. Two months until Election Day and this big mid-term election year. With me this morning to share their reporting and their insights. Julie Pace of the Associated Press, Jonathan Martin of "The New York Times".

So let's start with the president. He was in Wisconsin on Labor Day. I'm going to ask you to explain why in a minute because the President's number one priority is protecting the Democratic majority in the Senate. Well, there's no senate raise in Wisconsin but listen to the President's message, he's talking about how the Republicans in Congress opposed just about everything he wants and then this.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Most of the policies I'm talking about have two things in common. They're going to help more working families get ahead and the Republicans who run our Congress opposed almost all of them. Don't boo, vote.

(END VIDEO CLIP)

KING: Julie Pace, don't boo, vote. You write about what I'm going to call the Obamacratic Oath. Do no harm. Is that why he's not in a state with a big senate raise?

JULIE PACE, ASSOCIATED PRESS: Absolutely. I mean, if the Senate is his half priority, but he's just not very popular in these states where you have top Senate raises. Places like Louisiana, Arkansas and North Carolina. So what the White House is doing during this election season is looking up places where he can go and those happened to be states that he won in both of his presidential bids and where they have tough gubernatorial raises. Florida, Wisconsin, one of them Michigan. So you're going to see him teaching his message in those states hoping it may resonate with them across back in some of these Senate raises which are really tough...

KING: And keep him on John.

JONATHAN MARTIN, "THE NEW YORK TIMES": For his legacy in the long term. His biggest accomplishment is the Affordable Care Act. And those government raises could decide whether or not the Medicaid expansion piece of that law takes place. So in some ways, those government raises are as important or as the senate for the last two years of his term.

KING: Help me understand this one. Scott Walker is the Republican Governor. This is a 50/50 governor's raise. It is one of the best governor's raises in the country in a state that can be a really tough state. Democrats tend to win it for president but a governor's raises it cause. So Scott Walker shows up on the tarmac. And remember, he is the Republican. Democrats don't like him. He's had fight with labor unions but he shows up and he's done this before.

I actually like this. Whether it's a Democrat or a Republican, this is the President. Any President comes to your state. I think you should respect the offer and go shake his hand. Scott Walker does it, Julie. But Mary Burke, the Democratic candidate for governor does not show up in public. She did though say she had a private meeting with the President, she tweeted about that. Well, is that being too cute here? What's the point?

PACE: Yes. Some of these Democrats are kind of twisting themselves all up in nut and trying to figure out what the right thing to do with. Do you appear with him, do you not? She tried to split the difference, she didn't appear with them in front of cameras but she did have a private meeting with him. You know, I'm with you on this. I think that things like what Scott Walker did is always the best approach. Just have the moment and move on, don't create a lot of drama around it.

KING: But what does Mary Burke gain by saying I'm with the president, I'm going to see him later in the campaign but I won't find minutes to be with him today or show up without labor (inaudible).

MARTIN: Well, and he go to the polling, what is so key for Mary Burke on Wisconsin is that she turns out Democratic voters in that statement, and typically only show up in presidential years. In that sense, she needs President Obama and I picture of her with President Obama in Milwaukee is going to do a lot of good political. Now of course, Walker would use that against her out state but she wants his Democrats to come out. So to me, for her, there's something ought to be gained there.

KING: Right. Well, that's one of the biggest things to watch from here on out, the final two months, where does the President go? Who hugs him? Who doesn't? How much of a liability does he become? And to some Democrats late in the campaign, so, you know what, I'm going to take the risk. I need to turn out...

PACE: Glad, you can turn out.

KING: ... African-American. For example, you wrote about that in a Sunday newspaper.

Let's move on to the foreign policy issue. There's a big Republican, I'm going to call it a cattle call in America's prosperity. That's a Republican group, the conservative group funded largely by the Koch brothers. A lot of the Republican wannabes for 2016 were there. Listen to two of them here criticizing the president when it comes to foreign policy.

(BEGIN VIDEO CLIP)

GOV. RICK PERRY, (R) TEXAS: The deepening chaos in Iraq, in Syria, in and Ukraine, all clear and compelling evidence. The world needs a president who is not one step behind, who is lurching from crisis to crisis, who is always playing catch-up.

SEN. TED CRUZ (R), TEXAS: You look at Russia right now. Sadly, the state of the world is the Russian bear is encountering the Obama kitty cat.

(END VIDEO CLIP)

KING: The two Texans there, to Governor Rick Perry to Senator Ted Cruz, we'll talk a lot about those two heading at the 2016.

But you listen to that red meat, they are criticism from the Republicans, but it's not just the Republicans, this is not anywhere near as impolite you might say and/or as tough, buy listen to Dianne Feinstein, democrat, Chairwoman of the Senate Intelligence Committee.

(BEGIN VIDEO CLIP)

SEN. DIANNE FEINSTEIN (D), CALIFORNIA: I think I've learned one thing about this President, and that is he's very cautious, maybe in this instance ,too cautious.

(END VIDEO CLIP)

KING: She's talking about his response to ISIS in Iraq, too cautious. Essentially saying, she agrees with John McCain and Lindsey Graham.

PACE: Absolutely. I mean this is very interesting coalescing of opinions about the President's warn policy between Republicans and Democrats, they're using different language, but it comes down to maybe he is being too cautious on Russia, on ISIS, on other crisis around the world. And the question for him though is how does he respond? Because he has always responded by saying, "I am doing what the American people want me to do." And yet when you look at poll-in on foreign policy, his ratings are going down. So, how does he respond if both his allies on Capitol Hill and the American public might be changing their views?

KING: The American public, Jonathan, doesn't want to put boots on the grounds anywhere, it doesn't want to invest in big military ventures anywhere, but at the same time, you do see the recent Pew survey, they seemed discouraged that America can't do more, doesn't have more influence, can't fix these things. MARTIN: That's -- the frustration now out there, I think a lot of talk with this president is that they see him as somebody who is representing the country at a time when the country is seemingly not the power that it once was, and does not have the ability to control world events the way it once did. Scholars will question how much we actually could but still that's the perception nowadays. Politically, it adds up to a tough time for this President.

The summer's events at home and abroad have combined, this will keep his numbers down. And that's what has Democrats so concerned is that it was one thing after another, it's Labor Day, here we are, his numbers are in the 40s, and somebody -- John Swing (ph) states his numbers are below the 40s, it's a big, big problem for Democrats.

KING: It is. The best thing they have going to counter that is the Republican brand is still on the tank.

MARTIN: Yup.

KING: So we'll watch this one play out.

Can't end without this one. Yes, it's 2014, but we always ask who might challenge Hillary Clinton from the left in 2016? Well, at New Hampshire's Big Labor Day event, Bernie Sanders, you might remember him, he's an independent, but he could register as a Democrat if he wanted to. He calls himself a Democrat socialist. And listen to him here, sounds pretty populous.

(BEGIN VIDEO CLIP)

SEN. BERNIE SANDERS (I), VERMONT: While the middle class disappears, the people on top don't phenomenally will. And what we need are folks who are running for who have the guts to stand up to this billionaire class...

(END VIDEO CLIP)

KING: Does he not thinking or we'll stand up for the billionaire class? What's that all about?

PACE: I think that might have been when he wasn't flying there. I mean you heard this from him. You heard this a little bit from Elizabeth Warren. We served no what our target is even if they're not going to say it publicly.

KING: Can they soon to be next week 73-year-old Bernie Sanders, can he mount (ph) incredible challenge to Hillary Clinton or he just give her fits (ph).

MARTIN: He can mildly (ph) challenge, John. In fact. Mike (ph) I talk about this is all those are going to be in New Hampshire in January at 2016 divining the sort of town by town, a results. Bernie Sanders got 14 percent in (inaudible), oh my God. It's a real threat to Hillary. What's going on here, you know?

KING: Well, watch him along in Vermont border. (CROSSTALK)

KING: There you go.

MARTIN: Very strong, that's right.

KING: Well, the interesting part to me as if you know there's someone like Bernie Sanders out there, Martin O'Malley, the governor of Maryland. Do you get into that mixed or you think I'm going to stay away from this?

MARTIN: I think there's a lot to be gain there for any Democrats...

KING: Lots to be gain.

MARTIN: Absolutely.

KING: All right. Jonathan, Julie thanks for coming in this Tuesday mornings. We get back to you guys in New York.

Eric Cantor. Kate, remember Eric Cantor, you spent a lot of time with him on Capitol Hill when you roam the Halls of Congress? Well, he's coming your way. He just took a job, remember, he got defeated in his primary -- the former house majority leader got defeated in his primary, took a job now, the boutique investment firm. He spends some time in Wall Street, open an office here in Washington. You guys might see him. Buy him a cup of coffee in Manhattan.

KATE BOLDUAN, CNN ANCHOR: And you know what that means? That's what happened.

KING: Let him buy you a cup of coffee. Yes, you are.

BOLDUAN: Because what you leave Congress, what do you do that you go make money, so he can buy us a cup of coffee. That's exactly right.

KING: And the technical term is "Catching."

CUOMO: But I mean it's like -- you can't hold it against. He's going to take...

BOLDUAN: He needs a job.

CUOMO: ... care of his family, anyway he wants but the interconnection between money and politics. It doesn't give more obvious in this, and not to hold him out.

BOLDUAN: He's using his strength.

CUOMO: Right.

BOLDUAN: He was saying.

CUOMO: I'm not going after represent a former Representative Cantor but, you know, John makes a point, almost ironic, how can they fight money in politics when they all go work for the money guys afterwards. There are so many.

BOLDUAN: We're going to fight about this in the break.

The White House says, it's doing all it can for three Americans detained in North Korea. Calling their situation a top priority. Will President Obama, those send special envoy to try to help free them.

CUOMO: Plus, the latest on this celebrity hacking situation. The FBI is involved, trying to figure out how they got these nude photos to begin with. And then if it happened to them, what about our information? Are we at risk? And those recent pictures of Kate, when will they come out?

(COMMERCIAL BREAK)

CUOMO: Welcome back to NEW DAY. More now on that unprecedented CNN interview with three American hostages still held in North Korea. You will recognize these three gentlemen. Those are the people who are still being held there. Our Will Ripley was given five minutes with each of them. And they all used that time to do the same thing, pleading with the Obama Administration to send a U.S. Envoy to free them. Take a listen.

(BEGIN VIDEO CLIP)

KENNETH BAE, AMERICAN HOSTAGE IN NORTH KOREA: I do believe that special envoy need to come in order to resolve the situation that I am in right now.

MATTHEW MILLER, AMERICAN HOSTAGE IN NORTH KOREA: I've been requesting help for a long time and there's been no movements from my government.

JEFFREY FOWLE, AMERICAN HOSTAGE IN NORTH KOREA: There's an opportunity for maybe Bill Clinton to comeback and be here if he has (inaudible) release a couple of journalist a few years back. Maybe George Bush...

(END VIDEO CLIP)

CUOMO: Is it a coincidence that they all said the same thing? Might they have been coach? Probably. But does it matter? No. The question becomes, "Is sending an envoy a good idea?" These men are obviously in desperate situation.

So, let's talk more about this with Stephen Bosworth. He is the former U.S. Special Representative for North Korea Policy and a former U.S. Ambassador to South Korea. Mr. Ambassador, thank you very much for joining us. It's good to have you with us. So, do you think the U.S. will send a big name, special envoy. let's say, Bill Clinton, because he did it before?

STEPHEN BOSWORTH, FORMER US AMBASSADOR TO SOUTH KOREA: I doubt it. I don't see a long line of people eager to do this. We were willing not too long ago to send Bob King who is the Special Representative for North Korea of Human Rights. He was almost literally on a plane, ready to go. If the North Koreans simply wanted to release these people, it's easy now to do. They could just take them down to the demilitarized zone and let them walk across. They clearly want some political benefit from it. And frankly, I don't think that the Obama Administration is prepared to do that.

CUOMO: Well, is it about the Obama Administration or do you believe that that just sound policy? I mean, obviously, North Korea wants something that's why they're holding these three people. What's wrong with sending an envoy to get them back?

BOSWORTH: Well, the question is who's going to do that? What would that lead to? I think what the North Koreans are signaling very much is they want to talk. They want to talk to the U.S. about improving relations. They want to talk about the future of their nuclear weapons program. So far, the Obama Administration has been unwilling, since the agreement that we have a year or more ago collapsed. The administration has been unwilling to enter into such talks without a clear signal from the North Koreans that they're prepared to give up their nuclear weapons programs.

CUOMO: This gets into a very interesting emerging dilemma in foreign policy. These would be the United States in general. We don't like to talk to people of the U.S. The U.S. doesn't like to talk to people unless they feel the other side is willing to do what they want. Now, is that a sound strategy in today's world or is it just loud things to fester as we're seeing in Syria, as we're seeing in North Africa, and of course, North Korea?

BOSWORTH: Well, in the case of North Korea, I am a believer in the virtue of dialog over no dialog. Admittedly, however, these are very difficult people to deal with. But, yes, I think your point is well taken. There are situations such as North Korea in which what we seem to be requiring is not quite unilateral capitulation before we talk but something pretty far down that road. So, I think if the North Koreans really want to get rid of these people, that's not their primary objective, and we really want to talk, we should be able to come to a meeting of the minds. But, so far, that hasn't happened and I feel sorry for these people.

On the other hand, they're held in North Korea for the most part because they did silly things. And the North Koreans I think are understandably somewhat fed up with having to deal with the public relations' fall out of Americans who go wandering into North Korea and then say that they're being held against their will.

CUOMO: Now, Mr. Bosworth, hopefully, you can knock down reporting that I have on this. You have said that there have been windows of opportunity that have been missed to talk and maybe to get the release of these three man in the past. My reporting is that while the state department is saying nominally that, "U.S. citizen safety abroad is the top priority," there is not a whole lot in the works to get these people free. What do you know?

BOSWORTH: Well, I don't know what exactly has been going on over the last several months. But I do know that at one point in time, not too long ago, Bob King was in Tokyo ready to get on a plane to go to North Korea with some assurance from the North Koreans that Mr. Bae would be released in his custody. At the last minute, the North Koreans cancelled that trip. And since then, I'm not aware of anything that has come that close to being a deal to let Mr. Bae leave.

I think my sense from what the North Koreans are doing now is that they realized that these people have become a liability for them and they would like to figure out some way saving their face to some extent to get rid of them.

CUOMO: ... well, hopefully the opportunity is taking to make some progress this time by the U.S. because, you know, these three men, they have families. And yes, they have become pawns, but it's been a long time and families were in distress. Mr. Boswer, thank you so much for the perspective on us.

BOSWER: You're very welcome. Thank you.

CUOMO: And we'll have you on again. All right.

So, we have the situation in South Korea. We now have another pressing situation back here at home. You've heard about this celebrity pictures and what's going on with their cloud, is that they how they got this pictures hacked? What about you and I? Are we saving things at our own peril here? The FBI is involved because of these nude photos that were hacked. They're trying to figure out how it happened. What does this mean for the rest of us? We have details ahead.

(COMMERCIAL BREAK)

BOLDUAN: The hunt is on for the hackers who posted nude photos of Hollywood A-listers online. The FBI and Apple are both investigating how hackers accessed private photos of Jennifer Lawrence, Kate Upton and other stars. The photos were apparently taken from the private accounts on Apple's iCloud online storage service. Let's learn more about what is really the Federal Government's roll on this.

Pamela Brown is joining us from Washington with much more. So, Pamela, what are we learning about the FBI's rule here?

PAMELA BROWN, CNN CORRESPONDENT: Well, Kate, we're learning this morning, the FBI agents in Los Angeles had been in contact with some of the alleged victims as part of the computer intrusion investigation that is open, that in wake of these nude photographs of celebs such as Jennifer Lawrence that surfaced, seen on sites like Reddit, Twitter and Tumblr and other sites on Sunday, and over the next few days, agents will be interviewing the alleged victims. And we'll likely be in touch with Apple in an effort to find out who the hacker or hackers are that leaked these nude photos of them.

Now, there are a couple of potential issues, cyber crimes investigators are going to be looking at computer intrusion, allegations of propriety and -- proprietary information was stolen. And investigators will be looking at the way the photos were hacked, each cases different, of course, and in some cases, you see hacker figuring out passwords or using malware or using more sophisticated methods to gain access to proprietary information. Of course, in this case, there been allegations that information of these pictures were stolen from the Apple iCloud, that's something that investigators are going to be looking at.

But again, the way each hacking cases investigated, Kate, various motive, it can be monetary in nature, the MO can be different of course, the players can be different. And at this point we still don't know who is responsible for this, Kate.

BOLDUAN: And it may seem unusual to some who say, "Oh, the FBI is looking into celebrities being hacked." But this isn't the first time that the FBI has been involved in trying to track down a hacker, right?

BROWN: Oh, it certainly is not. The FBI has dealt with other similar cases in the past, not only with celebrities. There have been several similar cases to this, Kate, but you may remember of few year ago, a Florida Man was found guilty of wiretapping and unauthorized access to a computer actor (ph). He gained access of the emails of more than 50 celebrities who such as Scarlett Johansson, Mila Kunis, through figuring out their passwords. And in that case, Kate, he was sentenced to 10 years in jail.

So, this is certainly not the first time. And again, the FBI typically deals with some of these big cyber crimes cases. So, it's not surprising that they're involved.

BOLDUAN: No the first, and definitely not the last, unfortunately. This is so dangerous and it has ramifications for all of us, because all...

BROWN: Absolutely.

BOLDUAN: ... of us are sharing these same kinds of accounts. That's exactly right. Pamela Brown in Washington. Great to see you, Pamela, thank you.

BROWN: You too.

BOLDUAN: So, after all of these celebrities were hacked, are you now worried about your privacy and what you put in the iCloud, if you will. Tell us what you think on Facebook. Go to facebook.com/newday.

The United States says it attacked terrorists in Somalia. What we now know about the new air strikes and who were the targets. Ahead.

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