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American Morning: Wake Up Call

Libyan Rebels Reach Tripoli; Gadhafi's Options; Pivotal Meeting in Strauss-Kahn Case

Aired August 22, 2011 - 05:00   ET

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

CAROL COSTELLO, CNN ANCHOR: It is Monday, August 22nd. This is your A.M. WAKE-UP CALL.

I'm Carol Costello, joining you live this morning from New York.

ZAIN VERJEE, CNN ANCHOR: And I'm Zain Verjee, live in London.

Our top story today could go down in history as the day a dictator's long, tight grip came to an end. Libyan rebels made fast and furious advances over the weekend. They claim they now control a great majority of Tripoli.

It could be a mortal blow to leader Moammar Gadhafi's 42-year rule. Some of his forces are still putting up a fight. There have been reports of tank fire near Gadhafi's home.

There was no sign of Gadhafi yet himself. The rebels are saying they've got three of their sons and opposition leaders already are making plan to govern.

(VIDEO CLIP PLAYS)

COSTELLO: As you might expect, there are celebrations around the world. Libyans living in Manchester, England, took to the streets to celebrate the leader's push into Tripoli.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: We've been suppressed for 42 years. Now, we're tasting the freedom -- the freedom of speech, the freedom of movement, the freedom of everything. That means Libyan people are free, no longer suppressed. And Gadhafi, the dictator, he's out. His sons are being captured, and we are -- we can't describe the joy we're feeling right now.

(END VIDEO CLIP)

VERJEE: And Libyan natives went to the Libyan consulate in Alexandria in Egypt to celebrate the news. Egypt helped inspire the revolution in Libya. Back in February, just three days after the fall of the Egyptian President Hosni Mubarak, calls went out on Facebook for peaceful protests against Moammar Gadhafi.

CNN's Sara Sidner was with the rebels as they arrived at the heart of their grand prize, Green Square in Tripoli. It was clear that the rebels' victory wasn't complete.

Here's Sara's report.

(BEGIN VIDEOTAPE)

SARA SIDNER, CNN CORRESPONDENT: Right now, what's happening as everyone's --

(GUNFIRE)

SIDNER: We're here in the middle of Tripoli. What we're seeing is rebels all over the square. There are really no civilians, mostly men with guns in the square.

But we're also seeing people running. There's a lot of gunfire. They say there are snipers. We all had to pull back.

The situation is very tense here. But there is a lot of celebrating going on. Some of this is just gunfire in the air.

But people are very, very concerned because they say there were snipers posted at the top of some buildings. They're not sure exactly where some of the gunfire is coming from. So, every now and then, you see people running, trying to get out of the way. But right now, the rebels have Green Square, and it is a historic moment here in Tripoli, in the capital. The real stronghold of Moammar Gadhafi has now been taken over by the rebels.

(END VIDEOTAPE)

VERJEE: CNN's Sara Sidner joins us now.

Sara, just describe what's happening around you.

SIDNER (via telephone): I can barely hear you. I can tell you what's going on.

In this area -- we are on the main drag that leads into Green Square, and we can hear lots of celebrating -- we can hear basically people shooting in the air a little bit. But mostly what you're see regular just trucks full of men, armed men with rebel flags flying. They are (INAUDIBLE) moving into Green Square, yelling Allahu Akbar, "God is great." This is a victory.

Everyone's saying you're seeing history, Moammar Gadhafi is gone. No more Moammar Gadhafi.

But nobody has actually seen Gadhafi. We do know, there are still some Gadhafi troops in this city, the rebels are saying they have not been able to clear the city. But they say they have control of most of it. And they are very, very excited today. They really believe that this is their final, final push to getting Gadhafi forces completely out of the city.

So, we do know they have engaged -- we see some (INAUDIBLE) running around buildings and at the gas station where we're standing now. So, it's still tense but mostly the mood is one of relief. There's -- the strange sense here because we're seeing finally a few, just a few residents who are sticking their heads out windows, putting the victory sign out. Obviously, some of this city certainly did support the Gadhafi regime. And so, unlike other cities where we've been like Misrata and Benghazi and Zawiya, where there were more and more people who felt comfortable coming out against the regime, here you have a little bit different situation. But we are seeing a few residents out and about and cheering basically the rebels on.

VERJEE: Sara, do the rebels you're with believe that they may still have to engage loyalist Gadhafi forces even now?

SIDNER: We actually came into the city -- and this is significant -- without any escort. We came into the city. We had hardly any trouble getting in. There were no checkpoint up until we got relatively close to the city square.

Yes, there is a certain amount of caution. We are being told that there are snipers in some areas still. We're going told that they have not been able to completely clear out certain sections of the city.

This is, you know -- this is Tripoli, it's the capital. There are a lot of buildings here. There's a lot of space. But mostly in the street, all we're seeing are rebel cars filled with men holding guns, celebrating, waving the flag, and a few residents around watching them as they go about trying to go street by street, looking to try and push out or find any of Gadhafi's remaining support and remaining troops.

COSTELLO: Sara, this is Carol. I was just wondering -- everybody's wondering where Moammar Gadhafi is. Is it possible that he could slip out of Tripoli?

SIDNER: Anything's possible. But, you know, the problem here is that the speculation goes wildly one way and then another. For a long time there were rumors that he had already left. And then there were rumors that he was holed up in his compound, under his compound.

The rumors are really rampant, and I think nobody really knows except for his inner circle exactly what is going on with him, where he is, what he's doing, what state he's in, what state his family is in. Again, after hearing of the arrest of his sons, this place just went absolutely wild overnight. But nobody yet has any solid information as to exactly where Moammar Gadhafi is.

COSTELLO: And just in looking forward, let's say Tripoli is completely taken by these rebels, what happens then? Who's in control?

SIDNER: Well, that's a great question. What we're seeing is something very interesting because we thought that they would be really wildly celebrating and shooting as they have been in every single city and doing doughnuts in the street and just being a bit wild. And that's not what's happening here. It's almost as if these rebels did not expect it to come so soon. They're kind of in the city looking around and trying to assess. I think they're as just surprised as anyone that they made it to the city so quickly.

As for going forward, what kind of political mechanism will be put in place? The National Transitional Council that was being put together in Benghazi with people from different tribal councils helping make up that group, they have had some issues. They had to get rid of their executive committee because of the killing of one of the commanders of the rebel forces.

But what we're seeing is a slow process of trying to figure out who is going to lead. The council has said what they will do is try to facilitate. They will be an interim government. But those who are members of that council will not try and run for office. They want to have a free and fair election with a solid constitutional that allows freedom for their people.

So, this is going to be quite a process. But it's a good question as to who will lead this country if indeed Moammar Gadhafi is captured, caught, or leaves the area.

VERJEE: Carol, we're just receiving new information right now. According to one rebel spokesman, Moammar Gadhafi's forces in one Tripoli neighborhood are negotiating their surrender. The name of the neighborhood negotiations are said to be occurring is the Tajura neighborhood. That's one of three areas in the Libyan capital where Gadhafi's forces are still believed to be in control. It's also the neighborhood that's home to a hospital, and Gadhafi forces are asking to surrender according to the rebel spokesperson right now -- Carol.

COSTELLO: Things are still very fluid. Thank you.

The rebels say they have detained three of Gadhafi's son, we've been telling you about that. One of them could end up in the Netherlands. Today, the International Criminal Court is working to bring Saif al- Islam to The Hague. He could be tried for crimes against humanity.

Rebels say they detained another Gadhafi son, Mohammed, at his home. Al Jazeera television reports one of this anchors was on the phone with Mohammed when rebels exchanged gunfire with guards. Listen with this clip from that phone call.

(BEGIN AUDIO CLIP)

MOHAMMED GADHAFI, MOAMMAR GADHAFI'S SON (via telephone): They're standing outside my house. I'm being attacked right now. There's gunfire outside my house. They're outside my house. Good-bye, good- bye, good-bye.

(END AUDIO CLIP)

COSTELLO: Al Jazeera later reported that Mohammed Gadhafi and his family were not harmed but their movements were under the control of rebel forces. The European Union is urging Gadhafi to step down without delay, and NATO says the sooner Gadhafi realizes he can't win, the better it will be for the Libyan people. The alliance has conducted about 7,500 strikes on Libya since the end of March to protect civilians from Gadhafi.

Here's what a NATO spokeswoman said.

(BEGIN VIDEO CLIP)

OANA LUNGUESCU, NATO SPOKESPERSON (via telephone): Those responsible for starting the bloodshed in Libya are the Gadhafi regime. As the United Nations Security Council resolution made very clear, the mandate of NATO is to continue protecting civilians and civilian- populated areas against attacks and the threat of attacks. And what we've seen consistently, systematically and brutally are attacks by the Gadhafi regime, ever since February. And NATO has consistently implemented that mandate, and we have saved countless lives since we started this mission.

(END VIDEO CLIP)

COSTELLO: NATO, as you know, has been enforcing a no-fly zones and an arms embargo as part of its Libya mission.

VERJEE: Could the end be near in the case against Dominique Strauss- Kahn? There's a really important meeting on top a little bit later today.

COSTELLO: And developing just moments ago, tropical storm Irene is now a hurricane. The story leaving a wet wake-up call on Puerto Rico. Why the United States should be on guard -- whether we come back.

(COMMERCIAL BREAK)

COSTELLO: Twelve minutes past the hour. Time to look at some of our other top stories.

It could be a pivotal day the in case of former IMF chief Dominique Straus-Kahn. A meeting is scheduled between prosecutors in New York and the hotel maid who accused him of sexually attacking her. There are reports the case will be dropped. The accuser's attorney wants the D.A. taken off the case and a special prosecutor assigned.

Gunfire after an NFL pregame on Saturday night. It happened in San Francisco after the 49ers beat the Oakland Raiders. Two shootings in the parking lot left two men injured. Another man was beaten.

More protest expected today in San Francisco targeting the bay area rapid transit system known as BART. Similar protests last week closed a number of BART stations.

And Irene is now a hurricane and crossing Puerto Rico right now with heavy rain and high winds. People in the southeastern United States should keep an eye on this storm.

Oh, but the man who's really keeping an eye on the storm is Reynolds Wolf live in Atlanta. He's live in Atlanta.

So, what's up with Irene?

REYNOLDS WOLF, AMS METEOROLOGIST: Well, the latest of the storm, as expected, is really beginning to gain strength. And as we take a look at enhanced radar, or at least satellite imagery, you'll see we've got deep convection just north of Puerto Rico. Outflow looks pretty good at the top.

One thing about the system, it chugs to the west, obviously, it's getting closer to the U.S. and the latest forecast that we have from the National Hurricane Center bring it right past the Turks and Caicos as we get into Wednesday morning at 2:00 a.m., with winds of 85 miles per hour. Then as we fast forward into Thursday, if you were to follow that line, it will take you right into the Bahamas by 2:00 a.m. on Thursday, with winds of 90 miles per hour, a strong category-one storm.

Keep in mind, though, if you look at the cone of uncertainty, there's the chance the storm could move a little bit farther south, staying over land, which would cause it to weaken considerably. Or it could stay a bit more to the east, and that, of course, keep it closer to sea. However, this is the time of the year where we're going to be seeing these systems develop in the Atlantic. It's certainly one of the situations all you have to do is be prepared along the Eastern Seaboard, certainly in the Gulf of Mexico, all the way through November.

Meanwhile, your flight delays. Here's what we can expect through the day. New York metro, take a look -- the afternoon wind could keep you grounded up to an hour. Same situation in Boston with some morning rain, some low clouds. Thunder boomers in Kansas City could keep you delayed for just under an hour on the tarmac. In San Francisco, yes, that fog is going to be back, major delays over an hour.

Wrapping it up in Seattle after a dry weekend. The rain is back, and with it, so will the delays be back at Sea-Tac Airport. That's the latest we got. Again, we're going to touch base a bit more this hour with the very latest on Irene. Again, the first named hurricane of the season.

Let's send it back to you in New York.

COSTELLO: Knew it was coming sooner or later.

WOLF: Absolutely.

COSTELLO: Reynolds Wolf live in Atlanta -- thank you.

They are celebrating in Libya this morning. Is it the end of Gadhafi? And where the heck is he? We'll hear from residents and CNN reporters on the grounds.

(COMMERCIAL BREAK)

COSTELLO: Celebrations on the streets of Benghazi, Libya. Moammar Gadhafi may be gone, may be running.

I'm Carol Costello, live in New York.

VERJEE: Nobody knows where exactly he is. That is the big question right now.

I'm Zain Verjee in London.

There are celebrations erupting across Libya as rebels capture the capital of Tripoli. A little bit earlier, there was a young resident in Tripoli who talked to CNN's Hala Gorani about what she was hearing in the city. Let's just listen.

(BEGIN VIDEO CLIP)

RESIDENT OF TRIPOLI (via telephone): All the men of our area downtown went out and chanting anti-Gadhafi slogans for the first time in 42 years. Finally, they feel like it's -- they're free. They have some sort of freedom of speech.

Right, now we hear gunshots, not sure where they're coming from. A bit earlier, everyone went out -- all of the men were outside on the streets, the women were outside on the balconies screaming, chanting anti-Gadhafi slogans, and we feel like it's so close, we're winning, it's the end.

(END VIDEO CLIP)

COSTELLO: It's so close.

So, let's switch gears just a tad. How are the world markets reacting to the fall of Tripoli and what does all of this mean for oil prices?

Let's go to Kristie Lu Stout. She's live from Hong Kong.

So, how what's happening in Libya affecting the world markets?

KRISTIE LU STOUT, CNN INTERNATIONAL ANCHOR: Well, oil producers are trading higher. In fact, in Europe, we're seeing gains from companies like BP, Petrofac, and Total after rebel forces entered the Libyan capital and seized much of Tripoli.

Now, the thinking is that the possible end of Gadhafi's government would allow these companies to access oil fields that have been closed by the ongoing civil war.

Now, overall, the markets in Europe, with the exception of the DAX, appear to be on the rise. But it's a different story here in Asia. The Nikkei, it closed down 1 percent. The Seoul KOSPI down 2 percent.

So, Carol, Asia remains focused on the risks of growth due to the global market turmoil.

Back to you.

COSTELLO: Kristie Lu, I know the United States doesn't directly get any oil from Libya -- but how might what's happening in Libya affect oil prices?

STOUT: Well, right now, oil prices are falling. And analysts expect prices to fall even further as the civil war looks to be coming to an end.

Now, Libya's economy is heavily dependent on oil. It's a key revenue stream that's been cut off during this months' long conflict. Libya was producing more than 1.5 million barrels per day. That means it supplied 2 percent of the energy the world consumed on a daily basis. So, Libya clearly has an impact on the global oil supply.

And we can expect the price of oil to fall through the rest of the year as the supply increases.

Carol, back to you in New York.

COSTELLO: Kristie Lu Stout, live in Hong Kong -- many thanks.

President Obama, of course, watching developments in Libya very closely. Just ahead, his strongly worded statement about Moammar Gadhafi as the dictator's 42-year rule crumbles around him.

(COMMERCIAL BREAK)

COSTELLO: Good morning to you. I'm Carol Costello in New York.

VERJEE: And I'm Zain Verjee in London.

Carol, today could be going down in history as the day a dictator's long, tight grip came to an end. The speed that it's happening at is so astonishing.

Moammar Gadhafi has controlled Libya for 42 years. And it appears to be on the brink of collapse. Right now at this moment, everyone asking where is he, is he even in Tripoli? His compound has been surrounded. There's a lot of fighting around it. We don't even know if he is in the city.

There have been mass defections. Three of his sons have been captured by rebels. They're in custody.

And the rebels have marched on Tripoli, Carol.

COSTELLO: Yes. We also have word that Moammar Gadhafi's forces in one Tripoli neighborhood are actually negotiating their surrender with rebels, which is certainly a good sign. As you said, three of Gadhafi's sons are now in custody.

But the big mystery today, as you said, Zain, where is Moammar Gadhafi? Some people believe he escaped the country or maybe he could be hiding inside of Tripoli. Anything is possible at this point.

VERJEE: It really is. We're going to keep a close eye on it. We're also taking a look at some of the great video and sound coming in from Libya and around the world of so many people celebrating as rebels appear to be on the brink of toppling Gadhafi's regime. Just a some moments ago, we talked to CNN's Sara Sidner who says rebels may be celebrating in Green Square now, but they have not cleared Tripoli yet. Just watch this.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: After 42 years, it seems that Gadhafi might, might just go where he belongs -- to hell.

(END VIDEO CLIP)

VERJEE: This is video from the eastern part of the country in Benghazi, a rebel stronghold. IReporter Sammi Addahoumi sent in that video. Thousands of people are gathering, as you see, to show support for the rebel advance on the capital Tripoli.

They were amazed, Carol. Moments ago, Sara Sidner reporting that they hardly met any resistance as they came in through Zawiya and into Tripoli.

(VIDEO CLIP PLAYS)

COSTELLO: That question remains up in the air.

This is video of hundreds of Libyans. They gathered outside the Libyan consulate in Alexandria, Egypt. As you there, one man climbed to the top of the Libyan consulate there and replaced the Libyan flag with the Libyan independence flag.

Egyptians, of course, are no stranger to revolution, having recently toppled its crushing rule of Hosni Mubarak.

VERJEE: In front of the White House, they were celebrating their country's progress toward democracy. Men, women, and children waving Libyan flags and holding signs, Carol, that read "Finally." There were also chants of "USA, USA, Gadhafi is gone today, Libya is free."

COSTELLO: We're going to check with Sara Sidner after the break. She is in Tripoli, in the thick of things, where the rebels are hoping to break Moammar Gadhafi's long tight grip once and for all.

We'll be right back.

(COMMERCIAL BREAK)

COSTELLO: Good morning to you. It's Monday, August 22nd. This is your A.M WAKE-UP CALL,

I'm Carol Costello, joining you live from New York this morning. It's 29 minutes past the hour.

VERJEE: And I'm Zain Verjee live in London.

Friday, we hardly mentioned Libya. Now, we're talking about the end of a 42-year regime. So, how did things seem to turn so quickly in the rebels' favor? COSTELLO: It did go along at lightning speed. First of all, the rebels, they captured the city of Zawiya. That's just about 30 miles from the capital. And once Zawiya went down, Tripoli could not be far behind. CNN Sara Sidner rode with the rebels as they moved toward their biggest prize.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Finished, finished. Gadhafi finished.

UNIDENTIFIED MALE: Very, very happy. Gadhafi finished. Now, Libya free at all.

SARA SIDNER, CNN CORRESPONDENT: What you're seeing behind me are a few people, but the rebels are now saying that there's going to be a massive battle here. They do not have full control of the city.

UNIDENTIFIED MALE: At the moment, we're not fully control of Tripoli because you can see that.

SIDNER: What does this make -- how do you feel about this day? You are from Tripoli.

UNIDENTIFIED MALE: Yes.

SIDNER: Why is this day important?

UNIDENTIFIED MALE: It's historic day because we had to leave from here. I scheduled out anything. And now, we had to fight. I'm not a fighter. I'm a student. It's my first time (INAUDIBLE).

SIDNER: The civilians are now going leaving (ph) from here, and now, we also have to leave.

(GUNFIRE)

SIDNER: What's happening is everyone is (INAUDIBLE). We are in the middle of Tripoli. What we're seeing is rebels all over the square. There are really no civilians, mostly men with guns in the square. We're also seeing people running. There's a lot of gunfire. They say they are snipers. We had to pull back. The situation is very tense here, but there's a lot of celebrating going on. Some of this is just gunfire in the air, but people are very, very concerned because they say there were snipers posted atop some of the buildings.

They're not sure exactly where some of the gunfire is coming from. So, every now and then, you see people just running, trying to get out of the way, but right now, the rebels have Green Square, and it's a historic moment here in Tripoli, in the capital. The real stronghold of Moammar Gadhafi has now been taken over by the rebels.

Sara Sidner, CNN, Tripoli.

(END VIDEOTAPE)

VERJEE: Sara Sidner joins us now from Tripoli. Sara, what information do you have about what's going on outside Gadhafi's compound right now from your sources?

SIDNER: We're in -- closer in toward Green Square. We're not quite at the square just yet. There are celebrations. Very small groups of families that we're seeing as you can hear the noise behind me. Women who are yelling at the top of their lungs saying "Libya is free." They are putting on hats with rebel flags. There are families that are yelling from their balconies, but they're small groups. In other words, I'm looking at one family in one area, another family in another area.

People are celebrating here, but mostly, the streets are quiet. You can drive through this town without stopping. There are -- there is no traffic other than the rebel trucks going back and forth. Most of all of the building are shuttered. People are in the streets, but in very small numbers. Most of them that are in the street are fighters, people who are looking around.

We're being told there are snipers still in some neighborhood. Again, you're hearing the horns of some of the rebel trucks that are going down this main thoroughfare into Green Square.

VERJEE: Do the rebels believe it 's over or that there's still a fight ahead?

SIDNER: I'm having real trouble hearing you. We do know oftentimes that when the satellite fails us that NATO is perhaps in the area. We're hearing that also from rebels saying that NATO is in the area. We're not hearing any loud blasts or booms. The only gunshots we're hearing are up in the air at this point, but, it certainly is an odd scene because what you have is for several kilometer you can drive and you see almost nothing. It's just very clear.

And then, suddenly, you'll come upon a neighborhood where a few people have decided to come out and celebrate. They're on the tops of their buildings. They've come down to street level, but mostly, what you're seeing in this city as we get closer and closer to the city center are rebels in their truck and just waiting around. Some of them, some of them are driving through the city, trying to root out any Gadhafi forces that may be left behind.

VERJEE: Sara Sidner with the rebels in Tripoli

Yes, and talk and still no sign of Moammar Gadhafi. In fact, we know his compound has been mostly destroyed -- actually pre-rebels moving into Tripoli. It's pretty unlikely he's there, but, at this time, no one knows where Moammar Gadhafi is. You remember NATO started operation unified protector back on March 31st. Since then, NATO planes have flown more than 19,000 missions.

That number includes more than 7,000 air strike missions. NATO says it's enforcing a United Nations-mandated arms embargo and a no-fly zones as well as protecting civilians in Libya. So, what will NATO'S role be in a post Gadhafi regime? Here's part of that answer from NATO's spokeswoman.

(BEGIN VIDEO CLIP) OANA LUNGESCU, NATO SPOKESPERSON: Those responsible for starting the bloodshed in Libya are the Gadhafi regime as the United Nations Security Council resolution made very clear. The mandate for NATO is to continue protecting civilians and civilian populated areas against the attack and threat of attacks, and what we've seen consistently, systematically, and brutally are attacks by the Gadhafi regime ever since February. And NATO has consistently implemented that mandate, and we have saved countless lives since we started this mission.

(END VIDEO CLIP)

COSTELLO: Let's bring in our Pentagon correspondent, Barbara Starr. So, Barbara, when the celebrations stop and everyone comes home, how can NATO, including with help from the United States, rebuild a new Libya? We don't even know who's going to be in charge quite.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, that's exactly the problem, isn't it, Carol? How do you rebuild the country and help establish political, government, economic, and security structures? Right now, NATO is indicating that it will stay and finish the job in Libya to deal with the Gadhafi regime. As my colleague, Sara Sidner, on the streets of Tripoli was pointing out, look, already this morning, you're seeing these interrupted communications.

If that is NATO, the goal of NATO is to cut off any communications between Gadhafi, Gadhafi loyalists, and any troops out and about in the countryside. So, you're still seeing operations unfold even as the celebrations go on. The -- the decision now for NATO is how does it continue to deal with the Gadhafi regime until he is gone, until some of the civilian structures are established, and it becomes clear to any of us who is really in charge in that country -- Carol.

COSTELLO: The other big question looming out there is unlike Egypt, Libya doesn't have a huge middle class. So, you're dealing with a population who doesn't have very much. There's more than one editorial this morning calling for American boots on the grounds to help with humanitarian issues and sort of rebuilding Libya because they don't have the wherewithal to do it themselves. How possible do you think that is that U.S. boots on the ground will be in Libya for some sort of humanitarian mission?

STARR: Well, look, it's recently as last week, Defense Secretary Leon Panetta said no to U.S. boots on the ground. I think most Obama administration officials want the Libya operation to continue the way it has, to be a coalition, a NATO-led operation, not to put a U.S. military face on it. They feel very much the sting of Iraq and Afghanistan, not looking for a third country to become significantly involved in with U.S. troops.

Now, that is not to say that the U.S. could not help fly in supplies, that the U.S. could not assist international aid organizations, even assist the U.S. state department which has a growing contingent of involvement in Libya. But U.S. boots on the ground, not very likely, Carol.

COSTELLO: Barbara Starr live at the pentagon. Many thanks. From the European union to world leaders, the sentiment is the same. Gadhafi must go. We take you to Martha's Vineyard where President Obama is weighing in.

(COMMERCIAL BREAK)

VERJEE: As the rebel news tightened around Tripoli, Libyan leader, Moammar Gadhafi's options are growing pretty limited. Now, one possibility for Gadhafi is exile. A rebel spokesman says Col. Gadhafi has asked the governments of neighboring countries for refuge for family members, but apparently, not for himself.

Outside of Libya, Gadhafi has had a pretty strong supporter in the Venezuelan president, Hugo Chavez, but the international criminal court wants Gadhafi to answer for crimes against humanity. Gadhafi seems determined to stay in Libya until the end.

COSTELLO: Of course, leaders from around the world are weighing in on the development from Libya. Britain is one of the pillars of NATO's mission there. Prime Minister David Cameron has released this statement. Let me read it to you. He says, "It is clear from the scenes we are witnessing in Tripoli that the end is near for Gadhafi." The statement goes on to say, "He has committed appalling crimes against the people in Libya, and he must go now to avoid any further suffering for his people."

France took the early lead when NATO began military operations against Libya back in March. And now, as rebels begin taking control of Tripoli, French president, Nicolas Sarkozy, is urging Moammar Gadhafi to give up immediately what power he has left. In a statement from Paris, Mr. Sarkozy said Gadhafi should avoid having the Libyan people endure more suffering unnecessarily. The French president also condemned the courage of the -- or commended, rather, the courage of the rebel fighters as they fight for control of that country.

VERJEE: President Obama also says it's time for Gadhafi to go. He's been watching the developments closely from Martha's Vineyard where he's vacationing with his family. Our White House correspondent, Dan Lothian, joins us now live from there by phone. Dan, what's the White House saying this morning?

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Well, of course, this is still very early in the morning, but we're told that the president will be briefed sometime later this morning on the latest development in Libya. This has really been a dramatic turn of events for a president that while on vacation had been focusing on the whole issue of jobs domestically and this new plan that he plans to roll out once he returns, and, now, the president dealing with Libya.

He has been briefed throughout his stay, so far, by his counterterrorism adviser, John Brennan. They've also brought in other advisers via conference call, the president last night holding a conference call with his senior national security team, including his chief of staff, his secretary of defense, and also, national security adviser, Tom Donlin, upon others, as well. So, the president very much staying on top of the situation. We don't know if we'll hear or see the president today. That's always a possibility, but nothing on the schedule, so far. What we did hear from the president overnight, though, was a written statement in which the president had very strong words for Moammar Gadhafi, saying that, quote, "The momentum against Gadhafi's regime has reached a tipping point. Tripoli is slipping from the grasp of a tyrant."

The president going on to say that the Gadhafi regime is showing signs of collapsing. That the people of Libya are showing that the universal pursuit of dignity and freedom is far stronger than the iron fist of a dictator. That was President Obama in a written statement given to the press last night, Zain.

VERJEE: White House correspondent, Dan Lothian, reporting. Thanks, Dan.

Other news we're following, could the end be near in the case against the former IMF chief, Dominique Strauss-Kahn? Details of a very important meeting on tap for later today.

Also, developing a short time ago, tropical storm Irene is now a hurricane. The story leaving a wet wake-up call on Puerto Rico. Why the U.S. should be on guard, too? When we come back.

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COSTELLO: Forty-five minutes past the hour. Taking a look at some of our other top stories this morning. It could be a pivotal day in the case of former IMF chief, Dominique Strauss-Kahn. Meeting now scheduled between prosecutors in New York and the hotel maid who accused him of sexually attacking her. There are reports the case will be dropped. The accuser's attorney wants the D.A. taken off the case and a special prosecutor assigned.

Gunfire after an NFL preseason game on Saturday night. It happened in San Francisco after the 49ers beat the Oakland Raiders. Two shootings in the parking lot left two men injured. Another man was beaten.

More protests expected today in San Francisco targeting the Bay Area Rapid Transit System known as BART. Similar protests last week closed a number of BART stations.

And Irene is now a hurricane and crossing over Puerto Rico right now with heavy rain and high winds. People in the Southeastern United States should keep an eye on this storm.

Amid the battles and the last push in Tripoli, residents are voicing pride in their newfound freedom. We'll hear from one Libyan woman who can barely contain her excitement. It's coming your way next.

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COSTELLO: Good morning to you. It is Monday, August 22. This is your A.M. WAKE-UP CALL. I'm Carol Costello live from New York. It's 49 minutes past the hour.

VERJEE: Hi. I'm Zain Verjee live in London.

COSTELLO: Today could go down in history as the day a dictator's long tight grip came to an end. Libyan rebels made fast and furious advances over the weekend. They claim they now control a great majority of Tripoli, the capital of Libya. It could be a mortal blow to leader, Moammar Gadhafi's, 42-year-long rule.

Some of his forces are still putting up a fight, though, but rebels claim Gadhafi forces in one Tripoli neighborhood are negotiating their surrender, and that others forces are trying to keep the last of his forces from escaping into Tunisia. Gadhafi's whereabouts unknown, but rebels say they have three of his sons in custody, and opposition leaders already are making plans to govern.

VERJEE: Moments ago, we spoke to our correspondent on the ground in Tripoli who described the scene in Green Square there saying there is so much celebrating. Rebels are flying flags. They're chanting "God is great." They also are aware that they have not fully cleared the city, that there could be snipers in their midst, as well, and that pro-Gadhafi forces may still put up a fight.

We're getting new information from al Arabia-TV citing a rebel source that says Moammar Gadhafi's son, Khamis, is leading forces toward Central Tripoli right now. Three of Moammar Gadhafi's sons are in rebel custody, Saif al-Islam al-Gadhafi, Saadi Gadhafi, and Muhammad Gadhafi (ph). This is a fourth son, Khanis, set to be leading a battalion toward Central Tripoli.

Our senior international correspondent Matthew Chance joins us now who's also in Tripoli. Let's check with them on that. Matthew, what can you tell you us about the pro-Gadhafi forces that are still out there, and how much of a threat they could still be to rebels?

MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, it's a difficult one to answer. Clearly, Tripoli is a sort of patchwork of different areas of control at the moment. Yes, we've seen these huge advances by the rebels. In many places, they come in unopposed which has been surprising to many observers because, you know, the Gadhafi loyalists, Col. Gadhafi himself said even right up until last night that, you know, he had tens of thousands of soldiers who had prepared to resist and defend the city.

But I can tell you that's not quite how it's happened, although, there are certain areas like the area around Gadhafi's compound a short distance from here and around this hotel, the Rixus Hotel -- hold on -- in the center of Tripoli. And they're saying that, you know, obviously, around here, there are still a lot of Gadhafi loyalists in the area, and there's still fighting underway between, you know, the various groups. I mean, just a few moments ago, before I came on air, there were fierce gunshots taking place right behind me.

VERJEE: The million-dollar question, Matthew, is where is Moammar Gadhafi right now? Nobody knows, right?

CHANCE: No. I mean, there are rumors circulating about where he is located. Obviously, he's made these addresses over the course of the past several nights, apparently, from Tripoli. That's certainly what officials have told us last time we spoke to them. They said he remains in Tripoli and intends to lead this fight from the front, but we haven't seen Col. Gadhafi for some time.

And so, I think very much now as the rebels sort of consolidate their hold on various areas of Tripoli, and they'll be searching high and low for Col. Gadhafi, but his exact whereabouts, that's the big question for the rebels.

COSTELLO: Matthew, this is Carol. I was just wondering. We hear gunfire behind you. Is that celebratory gunfire or is that the sound of fighting between the rebel forces and the Gadhafi forces?

CHANCE: It's not celebratory gunfire. You know, as I was mentioning earlier, Tripoli is made up of a sort of patchwork of areas of control, maybe 10 percent, 20 percent of it is in the control of Gadhafi loyalists' hands. And the area where I'm sitting right now in the Rixus Hotel in the sort of Gadhafi compound a short distance from here and few other installations, that's one of those pockets that is still under the control of Gadhafi forces.

And so, we're not with the rebels still. We're with the Gadhafi forces in this small part of Central Tripoli. It's not clear how long that will last. We've heard rumors that some kind of, you know, counteroffensive may be underway or maybe being planned by Gadhafi forces. But, at the moment, you know, what we're hearing is sporadic clashes between opposition fighters and the government loyalists who are still very much in control of this area around the Rixus Hotel in this part of Central Tripoli.

COSTELLO: And I know something you were grappling with or have been, used to be you'd have government minders all around you. You don't have those minders anymore. Yesterday, I was watching your live report, and I -- I kind of felt you were in danger. What are things like now?

CHANCE: Well, somebody uncertain, because, I mean, the whole problem with being in this situation is that we're -- you know, we're facing a transition which could be quite hazardous for us. At the moment, to say, it's still government controlled. All the minders that were here have left, that's true. But what's come back in their place is a kind of armed men, obviously, very loyal to Col. Gadhafi.

They're patrolling sort of the outskirts of the hotel. They're in the lobby of the hotel, as well. And, you know, the expectation is that, at some point, and already this morning, there have been fierce battles around the compound of Col Gadhafi just behind me.

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CHANCE: At some point, the expectation is that they're going to come to the Rixus to try and take the hotel over.

COSTELLO: Well, are we back? I lost -- I lost audio with Matthew. Could you hear him, Zain? VERJEE: He cut out a little bit, but I think the focus right now is on what the situation is outside that compound he was talking about and whether Moammar Gadhafi is in his compound or not or has left Tripoli. Carol, the first hurricane of the season bearing down on Puerto Rico, right?

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VERJEE: We'll be --

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COSTELLO: We are just about to hit the top of the hour. Let's talk about Irene, the first hurricane of the Atlantic season. Meteorologist, Reynolds Wolf, is in Atlanta to tell us where she is.

REYNOLDS WOLF, CNN METEOROLOGIST: Well, right now, the center of the storm is actually just to the north of Puerto Rico, as we speak. It is beginning to gain a little bit of strength. Really a far cry from where it was 24 hours ago is winds back to sustain around 50 miles an hour. Now, it's 75. It's a minimal hurricane, but still, the future for the storm looks frightening.

It looks like it may, indeed, intensify, and very quickly, if you look at the latest forecast path from the National Hurricane Center, it brings another line moving north of Cuba, possibly through the Bahamas, and of course, Florida in the cone of probability. We'll take a -- we'll examine a look at this later throughout the morning and through the afternoon as well. Again, hurricane season runs all the way through November 30th. So, of course, we always have to be on guard along the eastern seaboard and gulf. Let's send it back to you, Carol.

COSTELLO: Thanks, Reynolds. AMERICAN MORNING continues right now.