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The Lead with Jake Tapper

VP Vance To Voters Ahead Of Midterms: "Give Us Another Chance"; Sen. Jeanne Shaheen (D-NH), Is Interviewed About Awaiting House Vote On Sweeping Russian Sanctions Bill, Iran, Israel, John Sununu; Sen. Eric Schmitt (R-MO) and Sen. Peter Welch (D-VT), Is Interviewed About Bipartisan Push For Reform Amid College Sports "Chaos"; Rep. Robert Garcia (D-CA), Is Interviewed About House Holds Billionaire Leon Black In Contempt Over Epstein Probe; Fed Charge Three People In Alleged $18m Homeless Aid Scheme. Aired 5-6p ET

Aired September 16, 2026 - 17:00   ET

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

KASIE HUNT, CNN HOST: All right. Thanks to my panel. Really appreciate all of you joining us. Thanks to all of you at home for joining us as well.

Don't forget, you can now stream The Arena live. Catch up whatever you want to in the CNN app. Just scan the QR code below. You can also catch up by listening to The Arenas podcast. You can follow the show on X and Instagram.

We are thearenacnn. But don't go anywhere. Jake Tapper is standing by for "The Lead."

Hey, hey. Go Birds.

JAKE TAPPER, CNN HOST: I just wanted to make sure you saw that the mug has returned.

HUNT: I love it. I love t.

TAPPER: Want to know. All right, Kase, we'll look for more tomorrow in "The Arena."

HUNT: Great stuff. See you soon.

[17:00:32]

UNIDENTIFIED MALE: This is CNN Breaking News.

JAKE TAPPER, CNN HOST: Welcome to The Lead. I'm Jake Tapper. And we're going to start with breaking news. Just moments ago, President Donald Trump responded to his new Fed chair and a unanimous vote of the Board of Governors of the Fed, announcing that the Fed is raising the U.S. interest rate. That is despite Trump having long called for lower rates.

Trump, writing on Truth Social just moments ago, quote, "Interest rates in the United states should be 1 percent or less because we are the best credit in the world by far. Our country is booming with new investment. We're carrying almost every country in the world and that cannot go on any longer. Lower the interest rates for the United States of America and fast," unquote. This interest rate hike is making a statement on Trump's economy, not a particularly flattering statement.

With only 48 days left until the midterm elections, this is one of many new signs that President Trump continues to be something of an albatross around the neck of his own Republican Party and the candidates running this November. The two biggest problems for Trump, the worsening economy and the Iran war, have become inextricably linked worsening inflation since the start of the Iran war February 28, has actually spurred this quarter point hike. The goal of the Fed is to make the cost to borrow, such as on credit cards or car loans, more expensive. In turn, therefore, the thinking goes, people might spend less. And if they spend less, perhaps prices will come down and inflation will cool.

That's the theory. It does take time. Now, the latest words and actions by many Republicans not named Donald Trump suggest that they know that this turmoil could come back to bite them at the polls in 48 days. Now, last night for the third time, the House of Representatives approved a measure to require the president to end the war with Iran. This time, though, seven Republicans signed on to this measure.

That's up three from the previous vote. And two of the three, Mariannette Miller-Meeks and Zach Nunn, are members of Congress representing competitive seats in Iowa, which has been, for the last decade or so, a reliably red state. Many Iowa farmers have been struggling due to Trump's decision to import ground beef because of the tariffs making prices so high, nix health care subsidies for Obamacare and escalate the trade war. And then, of course, the Iran war is driving fertilizer prices and diesel prices to historic levels. And that's not hyperbole, highest diesel prices on record.

Now, keep that in mind as you watch this new Senate campaign ad from Republican Congresswoman Ashley Hinson of Iowa.

(BEGIN VIDEO CLIP)

REP. ASHLEY HINSON (R-IA): Used to be that reaching across the aisle wasn't just OK, it was expected. Some people in Washington forgot that. I never have. That's why I worked with Democrats to expand mental health care for veterans and with President Trump to take on health insurance companies to lower your costs.

I'm Ashley Hinson, and I approve this message because working across the aisle isn't always easy, but it's how you get results.

(END VIDEO CLIP)

TAPPER: It's pretty telling that a Republican congresswoman running for Senate in the red state of Iowa feels the need to talk about how much she's willing to work with Democrats. It's definitely, in the past decade at least, not been a successful message or one that's even been tried in red states like Iowa. So with all of this political pressure as Americans struggle to afford gas and groceries, what is the Trump administration doing right now to try to right the proverbial ship and the literal ships struggling to pass through the Hormuz Strait? Well, President Trump often appears to remain in denial about the state of the economy, and he occasionally repeats his line about Iran wanting to make a deal. He does, frankly, seem quite preoccupied with making his mark on the architecture of Washington, D.C.

We suppose this has to do with wanting to leave behind a legacy. And this is, of course, the world he knows best from his time in New York real estate. There is the Kennedy Center, the -- an institution Trump is essentially holding hostage in order to have his own name on the wall there, alongside that of John F. Kennedy. There is Trump's fixation on D.C. makeovers, including this new arch and the new White House ballroom and the new White House helipad, of which he wrote on Truth Social Monday, quote, "It is an honor in my spare time to bring back the beauty and magnificence of the White House to levels it has never been seen before. The White House was a badly maintained dump.

[17:05:03]

Now it's a palace," unquote. So in the parent -- president's spare time, he is building a palace currently for himself.

What do you even do with all that if you're Vice President JD Vance and you are possibly going to run for president in two years and you're asked to give a midterm pitch to voters? Well, this is what Vance said.

(BEGIN VIDEO CLIP)

JD VANCE, VICE PRESIDENT OF THE UNITED STATES: There's a lot of good that's been done, but there's a lot of work left to do. Don't give power to the people who caused the problems that we're fixing. Give us another chance or give us another couple years to continue to work on the amazing things that we've been doing for the past two years.

(END VIDEO CLIP)

TAPPER: There's a bumper sticker for you, Trump, Vance, give us another chance. It even rhymes.

Let's discuss this with two Republican strategists. Shermichael Singleton and Kristen Soltis Anderson.

Give us another chance, Shermichael, that's -- I mean, it sounds like a desperate boyfriend, frankly.

SHERMICHAEL SINGLETON, CNN POLITICAL COMMENTATOR: I'll be in Dallas in a couple of weeks at a major firearms conference talking to gun owners, low propensity voters, as you know. And a part of my speech is going to be a recognition of the economic plight that people are concerned about. You have to guarantee to people that, hey, you give us another shot, we're going to address it. We recognize it's real. But there are also some very important issues, at least to these typical single issue voters that you want to maintain with the Republican majority. I think that message in many ways can be unique to various states, various congressional districts across the country, but it takes a recognition that the economy isn't great. I think what the Fed, his speech today, remarks and questions to many of the press, I think was spot on. He talked about stability. There was one question --

TAPPER: You're talking about the Fed chair.

SINGLETON: The Fed chair, Warsh.

TAPPER: Kevin Warsh. Yes.

SINGLETON: There was one question from a member of the press talking about working class people in the country. And he said, look, my objective here is to stabilize this thing.

TAPPER: Yes.

SINGLETON: It's been a little over five years that we haven't been under that 3 percent mark that the Fed and the previous Fed said that is the key objective to showcase a strong economy. Now, he did say unemployment numbers were somewhat stable. There's significant growth and investment in the country, but a lot of that is tied to AI, which some have predicted that a bubble --

TAPPER: Yes.

SINGLETON: -- may soon rise. So look, my point here, Jake, is if I'm advising the president and you're going out on the campaign trail, you cannot deny the very real pain points for the American people. But two, you have to have a message in response for how we're going to tackle it as a party.

TAPPER: These are problems, these are mistakes that Biden made in 2020 --

SINGLETON: And everything was great. Look at the stock market.

TAPPER: Yes. Exact same problem.

SINGLETON: It didn't work.

TAPPER: Kristen, the latest New York Times/Siena College poll has Republicans losing to Democrats on the economy. This is just the generic ballot by 6 percentage points. And there was a Marquette Law School University poll, similar results. Is there anything you think that Republicans can do to turn things around? Not President Trump, obviously, but like individual House Republicans, Senate Republicans candidates. What should they be doing to change that number?

KRISTEN SOLTIS ANDERSON, CNN POLITICAL COMMENTATOR: I think, one, they need to talk about things that they have actually done in office in the last two years that have certainly not turned the economy around. But they can say, look, we're not just all talk, we've done some action. So whether it's things like, hey, we've tried to help your children have a better economic future through these Trump accounts, or we've passed the working families tax cut. And there are things they can talk about that they've done to say were not just words, we're also action.

TAPPER: Pharmaceutical drugs, no tax -- it go cross (ph) being like no tax on tips. But you and I have now said it more than I've heard it from President Trump, at least on Truth Social.

ANDERSON: That's right. And that's why you're seeing folks like Ashley Hinson, great candidate in Iowa, right? There are some places where Republicans do not necessarily have the best candidates on the ballot --

TAPPER: No, she's a great candidate, but --

ANDERSON: -- that faces jeopardy but she's great.

TAPPER: -- but look at her pitch.

ANDERSON: Well, I think her pitch is the sort of thing that you need to say in a moment when Republicans do not have the wind at their back, you're going to need to bring people across the aisle. She may not even need to win over people who were Kamala Harris voters. For many Republicans, their big problem is going to be reminding their own voters, Republican voters --

TAPPER: Yes.

ANDERSON: -- what is it that you sent us to Washington to do? Because if those voters are looking at D.C. and they're going, oh, you renamed the Lake of America --

TAPPER: Right.

ANDERSON: -- you renamed the Kennedy Center, like, that is not what voters are looking for. They're looking for things that they can feel. And even if you can't turn the Titanic around in a couple of weeks and make people think the economy is wonderful, you have to at least be able to say, here are the things concretely that we have done to try to make it better. Keep us here. We'll keep trying to do more.

TAPPER: Shermichael, what Republicans out there, do you see doing it right?

SINGLETON: You got to put me on the spot.

TAPPER: Well, I mean -- well, I mean, you and I talked privately about how there are Republicans out there who --

SINGLETON: I think -- I think, one --

TAPPER: Yes.

SINGLETON: -- one Senate race that I'm really, really interested in is Mike Rogers in Michigan. And I'm interested in Mike Rogers because of his appeals to Jewish voters there, but also his appeals to Black churchgoers and Black men, who I actually believe could be a deciding factor in which direction this Senate race goes. And so this is a candidate who has endorsed the president, but he's really been focused on statewide issues. He's been hyper focused on statewide issues and trying to draw a contrast between himself and El-Sayed, even making the appeals to nontraditional voters, because I think he and his campaign recognizes what propelled Trump and Republicans to victory in '24 nontraditional voters, low propensity voters. How do you get those folks to turn out again when the president isn't on the ballot?

[17:10:22]

That's an uphill battle. But I think he's one candidate that recognizes what it potentially may take to get some of those folks to turn out again.

TAPPER: What do you think Republicans should be to be doing out there when it comes to distancing themselves from President Trump? One thing John King told me is that regardless of how good candidates Susan Collins in Maine and Mike Rogers in Michigan are, this trade war with Canada on, you know, on these states right at the border is really tough for Rogers and Collins.

ANDERSON: I think it entirely depends on the state and the district that you're talking about. So if you are interested in a Republican running in a swing state or even a blue state, then yes, you want to have this is my own identity. Regardless of what you know, you want to bring over some folks that voted for Kamala Harris in 2024 and say, yep, but I can still do a good job. But if you're running in a red state, running away from Donald Trump is challenging because as Schermichael noted, there are folks that they voted for Donald Trump and they really only turn out when Donald Trump is on the ballot.

I don't think you have to say I'm a clone of Donald Trump. Vote for me, for the Trump agenda. But I think actively trying to say, oh, I don't like him, oh, I'm not for him, there's peril depending on the geography of where you sit.

TAPPER: All right, thanks to both of you.

Some breaking news on the Hill. The House of Representatives is on track to pass a major sanctions bill against Russia. How this cracks down on a so called shadow fleet of tankers carrying Russian oil.

And later, the overnight operation targeting people accused of scheming some $18 million that is supposed to have been helping the homeless. The arrests that the feds wanted you to see. That's ahead.

(COMMERCIAL BREAK)

[17:15:57]

TAPPER: Breaking news on our World Lead, any moment the House is expected to pass a sweeping bill to sanction Russia. It will then go to President Trump's desk. The late Senator Lindsey Graham co-wrote the bill before his death in July. It puts penalties on Russian leader Vladimir Putin and his military leaders and oligarchs. The Bush -- the bill also sanctions Russia's shadow fleet of under the radar oil tankers and puts a 100 percent tariff on countries that buy Russian oil, such as China and India.

This happening as also today the Justice Department charged multiple Russian intelligence operatives who they say were part of an assassination network in the United States, hiring people to kill Russian dissidents, including in the U.S. We're going to dive into that story coming up.

But first let's talk with New Hampshire Senator Jeanne Shaheen, who joins us now, the top Democrat on the Senate Foreign Relations Committee.

Senator, much of Russia's economy relies on oil exports, but you say this shadow fleet provision is particularly important. Explain why.

SEN. JEANNE SHAHEEN (D-NH), RANKING MEMBER, FOREIGN RELATIONS COMMITTEE: Well, what we know is that Russia is funding its war in Ukraine with revenues from oil and gas. And they're getting that oil and gas sold by using the shadow fleet, which means that it's being bought at less than market rates and it's going mostly to countries like China and India. China is the top user of Russian oil and gas and we need to send a very strong message, not just to Vladimir Putin but to China and to anybody who is buying Russian oil and gas that they are going to pay a price for that because they are facilitating Russia's unprovoked and horrific war in Ukraine. We also need to send a message to the Ukrainians that there is bipartisan support in Congress for the heroic effort that they are continuing to undertake every day against terrible Russian attacks. So this is a very important bill that puts the United States in line with our European allies.

TAPPER: New CNN reporting suggests that Iran improved its targeting of U.S. assets in the Iran war. With the help of Russian spy satellites, Iran used that data for a major attack on a U.S. base in Saudi Arabia in March that injured 12 U.S. service members and destroyed a very expensive surveillance plane. Experts say this is Russian payback for the U.S. intelligence sharing with Ukraine. Given that, do you see this as a joint Iranian-Russian attack on American forces?

SHAHEEN: Absolutely. And in fact, Russia and China, by the way, have both been helping Iran before -- long before this story has come out. And the fact that this administration is allowing Vladimir Putin and China to get away with this is unconscionable. They are targeting our men and women in the military. They are targeting our allies in the Middle East.

And they are responsible for the costs that American taxpayers are paying for this horrible war in Iran. So we need to -- this sends an important message to Russia and China on what they're doing in Iran by passing this bill. And next week when the president has his summit with President Xi from China, it would be very nice for him to have a message that the American Congress just put 100 percent tariff on the Russian oil and gas that they're trying to buy that's funding this war.

TAPPER: Staying in the region but turning to Israel, the highest ranking Democrat on the House Foreign Affairs Committee, your counterpart Gregory Meeks, just announced he's holding the Trump administration's $2.8 billion sale of 2,000 pound bombs to Israel because he's worried they would not be used, quote, "in accordance with U.S. and international law." What's your reaction?

SHAHEEN: Well, I think all of us share concern about what Israel is doing, what they're doing in Gaza, they're bombing in places like Syria and what that means for any peaceful solution in the Middle East. And Netanyahu needs to hear from America that we don't like what he's doing. We don't like what's happening in the West Bank where settler violence is killing Palestinians, sending them out of their homes, disrupting basic infrastructure. And the Netanyahu administration has basically done nothing to address that.

[17:20:29]

TAPPER: In your home state of New Hampshire, the Senate race to replace you is now rated a toss-up by the cook -- political report. The Republican former Senator John Sununu is gaining ground in the polls against the Democratic nominee, Congressman Chris Pappas. How worried are you that your retirement might complicate the Democrats attempt to regain the Senate?

SHAHEEN: Well, we keep trying to remind those of you who report on elections and New Hampshire and those people who support candidates on the Democratic side that New Hampshire is not a blue state, despite the success that we've had with our congressional delegation in the last number of terms. New Hampshire is a very purple state. We have a Republican governor and a Republican legislature. And we're going to remind everybody that John Sununu is on the side of Donald Trump and that he supports -- you were talking about Canada and how border states are affected by the tariffs and the attacks that this administration has had on Canada. Well, that's having a huge impact in New Hampshire as well.

And John Sununu has been on that side. Not to mention the fact that when I ran against him in 2008, after losing to him in 2002, what I heard everywhere I went was that John -- I called John Sununu's office and no one ever called me back. They never listened to what I had to say. That's the John Sununu that the Republicans are running in this race. And people understand that if they want somebody to answer their concerns, they're going to vote for Chris Pappas.

TAPPER: I'm going to be going up to New Hampshire in a few weeks. Looking forward to a Democratic senator from --

SHAHEEN: Good.

TAPPER: -- the Granite State.

Jeanne Shaheen, thank you. Live for your day (ph).

Still ahead --

SHAHEEN: Thank you.

TAPPER: -- cracking down on the business of college sports. Is it time to change the rules? Is it the job of Congress? A Republican and a Democrat will be here next on The Lead.

(COMMERCIAL BREAK)

[17:26:31]

TAPPER: Our Sports Lead now. No matter which college team you follow, you may have noticed this overtly political ad stuffed in among the usual commercials for beer and snacks and fast food chains. It features legendary Alabama football coach Nick Saban, who is now an ESPN analyst.

(BEGIN VIDEO CLIP)

NICK SABAN, FORMER FOOTBALL COACH: The Protect College Sports Act ends the NIL chaos in college athletics by protecting our student athletes and teams and safeguarding women's sports and Olympic programs. Join the winning team today.

(END VIDEO CLIP)

TAPPER: We've recruited Republican Senator Eric Schmitt of Missouri and Democratic Senator Peter Welch of Vermont to help us understand what this is all about. In this case, they're on the same team. They support the Protect College Sports Act.

Senator Welch, Coach Saban's reference to the NIL chaos refers to a college athlete's ability to earn money from the commercial use of his or her name, image and likeness, NIL, name and image, likeness. What's wrong with the way things are now? And how would your legislation change it?

Senator Welch.

SEN. ERIC SCHMITT (R-MO), COMMERCE COMMITTEE: I think Peter may be having a hard time hearing that. Jake, I'll take it.

TAPPER: OK.

SCHMITT: And by the way, can I point out that for the record that Peter is not 6'6. He's -- he is standing on a box right now. OK, let's just be clear about this.

TAPPER: Yes, no, I know.

SCHMITT: He's a handsome man and my friend, but he's not 6'6.

Well, look, I think right now we've got this sort of chaotic environment where you have 27 year olds competing against 17 year olds. Unlimited transfer. It's just really, there are no rules that can be enforced. It's why you kind of see this litigation playing out across the country. Who can play that week?

Who can't play that week? There's got to be a better way. Congress is the only entity on the planet that can provide the ability for the NCAA or any governing body to enforce those rules. This doesn't take away a student athlete's right to get NIL dollars. In fact, they would still be compensated under the revenue sharing House settlement that came down a year or so ago.

So athletes are protected here. They can't lose their scholarships because of injury. They get health insurance for the first time codified in federal law. So there's a lot of things here for student athletes, but it provides some stability for fans and protects a uniquely American institution.

TAPPER: Senator Welch, the Protect College Sports Act would set up uniform national rules for college sports. Republicans usually cheer for less government regulation and prefer to leave things up to the states. Why do you think Republicans view this differently? And what's -- and why do you support it?

SCHMITT: Yes, why you support.

SEN. PETER WELCH (D-VT): Jake, I'm sorry, I'm having a tough time hearing on this. But here's the big thing. It's huge, big money business in college sports and it's getting concentrated. And there's also a threat that some of the big conferences would go their own way and take the money with them. The benefit of this, among other things, is it's going to allow for revenue sharing.

And small schools like the University of Vermont or Dartmouth, which you're so fond of, are going to have some capacity to share in the revenue and they're going to be able to support sports, including Olympic sports, including sports for women. So what's really important for me is that there be some sharing of the revenue so that all sports and all athletes of different levels of capacity, have the opportunity to play their sport at their small school and not have just all the money dominated by the big schools that have the big T.V. contracts.

[17:30:01]

TAPPER: Senator Schmitt, what do you say to critics who think that this is going to give the NCAA too much power and they're already pretty powerful?

SCHMITT: Look, I've been skeptical of the NCAA over the years. But the truth is, because of the 10-year window of litigation, they have no ability to force any rules. That's why you saw pro players coming back. I don't think people want that. And I think what's really at risk to, Jake, is that the non-revenue sports, like Olympic sports or women's sports, they're the ones that are really at risk, because the old model for a long time was college football paid for all the non- revenue sports, women's volleyball, men's baseball, quite frankly.

And so you can't have that situation if you're losing money on your football program, or all of your money's going to your football program. And so before we get there, I think it was appropriate for Congress to allow the NCAA to have some rules that can be enforced to protect women, women's sports and Olympic sports while we're at it and have some predictability here. Athletes are still protected. They can still get their NIL dollars.

But I think fans will appreciate the fact that there's not this constant movement with the unlimited transfer situation, Jake, graduation rates have started to plummet. You could see why if they don't have your major or they don't have your degree at the new school you're going to. So I think this is -- it's not a perfect bill. I wouldn't argue that. But this is a really good piece of legislation that comes at a time where Congress in a way that we don't normally do, I think is rising to the moment in a bipartisan way to solve a problem.

WELCH: And also it's not perfect, but perfect is not what we deal in around here. It's significant progress. And the fact that it's bipartisan creates much more potential for us to fix what doesn't work as well as we hoped it would. So I think this is a good deal better than the status quo where you'd have the intense concentration and you'd have the Olympic sports, you'd have the small schools totally left behind.

TAPPER: Senators Peter Welch and Eric Schmitt from Vermont and Missouri, respectively. Thanks. Thanks to both you. Appreciate it.

SCHMITT: Thanks, Jake.

TAPPER: A rare unanimous vote today to hold in contempt Leon Black, the billionaire linked to Jeffrey Epstein, who's accused of giving the dead pedophile $180 million, he says, for tax advice. Why is this censure resolution? Why this push going on right now to hold him in contempt of Congress? The pressure this vote might now put on the Justice Department is next.

(COMMERCIAL BREAK)

[17:36:23]

TAPPER: New today in our Law and Justice Lead in one of its last votes until after the midterm elections, the House of Representatives, the whole House voted to hold billionaire Leon Black in contempt of Congress because Black defied two congressional subpoenas in the Oversight Committee's probe of dead sex trafficker Jeffrey Epstein. It's now up to the as to whether they will criminally prosecute Black.

The investor is currently suing the oversight panel and its Republican chairman, James Comer of Kentucky. In a statement, Leon Black's attorneys say in part, "This committee markup and contempt resolution is a complete abomination. The committee under the leadership of Chairman James Comer and Ranking Member Robert Garcia has lost sight of its legislative purpose and is abusing its power. This is retaliation, plain and simple."

Here with me now is one of those two members, the House Oversight Committee Democrat, leading Democrat Robert Garcia of California. Thanks so much for joining us, Congressman. So what do you expect will happen when this referral hits the Justice Department under Attorney General Todd Blanche?

REP. ROBERT GARCIA (D-CA), RANKING MEMBER, OVERSIGHT COMMITTEE: Well, I think Todd Blanche is going to have to take action. This is a unanimous vote of the House. It was a 41 to zero unanimous vote out of the committee. It was bipartisan. And we need to know why Leon Black gave Jeffrey Epstein $180 million and how, as a billionaire, he was able to take so much of his funds, give them to Epstein without a real accounting of what that money was for.

We have legitimate questions for Mr. Black. We have real questions about the NDAs that he had women sign. He refused to produce those NDAs. He came to give us testimony and then walked out. And so now he's going to be held accountable. And subpoenas need to mean something in the Congress. And so we expect that the attorney general will have to take action.

This is a bipartisan effort. Quite frankly, it's rare where we can meet alignment on this investigation. And this needs to be the beginning of a real serious look at those powerful men of which we need to get answers from about what Jeffrey Epstein was doing and where he got his money to do so much damage and harm to so many women and children.

TAPPER: Survivors of Epstein's abuse and their family members wrote a statement today supporting the committee's vote to hold Leon Black in contempt. The survivors also want this investigation to continue. They specifically mentioned Alan Dershowitz, who has so far failed to appear for a scheduled transcribed interview this summer.

He was invited to reschedule on September 2nd, but he did not come. The survivors also mentioned Attorney General Todd Blanche, whom was responsible for the Justice Department's mishandled release of the Epstein files, mishandled according to the Vice President, at least. What are your intentions for this investigation? If Democrats win the House and the Oversight Committee then falls under your leadership, will it continue as is? Will it change in any way? What do you think?

GARCIA: I mean, there's definitely going to be some change. And we're going to take a very aggressive approach to ensuring that we get justice for the survivors. There have been zero public hearings, zero public hearings on the Epstein investigation. We've had numerous witnesses come in and not be put under oath in their testimony.

We need to hear directly from survivors and them to be able to tell their stories in public and in a way that is recorded in the public record. There's an amount of documents that we still need from a variety of sources. And of course, as Democrats in the majority, we will have the power of subpoena. We will have the power to ensure that folks like Alan Dershowitz actually come in front of our committee and testify. We will have the power to ensure that all the documents, whether they're from the Epstein estate, to the financial institutions that so much of this money came in and out of, that we get all this information.

[17:40:16]

We've had to bring Republicans, essentially kicking and screaming in many cases, to actually do work, to send out subpoenas, to get documents from the Epstein estate. And I'm glad that we had this moment of bipartisanship. I commend Chairman Comer on this contempt charge, on these contempt charges. But there's an enormous amount of work to do. And I've told folks that our work on Epstein is just getting started.

TAPPER: I want to ask as well as about the information you're seeking on this Russian oligarch who footed the bill for Donald Trump Jr.'s second wedding expenses. In your letter to Donald Trump Jr., you say, "This may be the most serious allegation against you to date." What do you want to learn from Trump Jr. and the White House about this wedding and its funding?

GARCIA: I mean, this is just a crazy story that, of course, was not disclosed by the Trumps, or certainly Don Jr., through good reporting. It is crazy that a Russian oligarch with ties to Vladimir Putin, who hasn't known, by the way, Don Jr. since childhood, they weren't best friends, paying hundreds of thousands of dollars to rent all of these extravagant firework shows, the private island, the 50 guests, the parties. Why did this happen? Who made these asks? Why is there this connection to Putin?

This is the President's son. And this just reeks of another level of corruption that the Trumps love to engage in, whether it is these lavish weddings paid for by people close to Putin, whether it is sitting on boards of companies like Don Jr. does, and then getting contracts for these companies through the Pentagon. All of this has to be investigated. And we have a lot of questions.

This is basically the Red Wedding. I mean, this is crazy that this -- we found about this through reporting and that the Trumps believe that they are not accountable to the public, that they're not accountable to doing the right thing. And so this will be a big part of our investigation. We're already getting a lot of information that we think is important to really understand what happened here.

TAPPER: Red Wedding, is that a "Game of Thrones" reference? I mean, that was a pretty horrific scene, the Red Wedding.

GARCIA: It's certainly a reference to the connection to Putin.

TAPPER: I see. The Red Russian Wedding. Got it. OK. Just needed some clarity there. California Democratic Congressman Robert Garcia, the ranking Democrat on the House Oversight Committee, thanks so much.

GARCIA: Thank you.

TAPPER: Let's bring in Sky and Amanda Roberts, the brother and sister- in-law of the late Virginia Giuffre, who was outspoken about her abuse from Jeffrey Epstein and Ghislaine Maxwell. Sky, how are you and Amanda doing today with this news that Leon Black is going to be held in contempt of Congress for defying these two congressional subpoenas?

SKY ROBERTS, BROTHER OF VIRGINIA GIUFFRE: Well, Jake, thank you so much for having us. We really appreciate it. We're doing good. I appreciate that question. We're both hopeful, but we're also still very frustrated. Obviously, justice is a very slow moving wheel sometimes, but, you know, us, the survivors, we're all very relentless in this. That's why we continue to kind of pound the door, if you will. And, you know, I think we're pushing this much farther than it's been before, and I hope that people are really seeing through the lines now. So we're hopeful, but we're also still very frustrated.

TAPPER: Amanda, do you have faith that the Attorney General, Todd Blanche, will pursue criminal prosecution against Leon Black related to this referral?

AMANDA ROBERTS, SISTER-IN-LAW OF VIRGINIA GIUFFRE: Well, I certainly hope so. I mean, when we sat in that meeting and we asked those questions on whether he was going to pursue, you know, we asked if he had gotten a referral from the House committee, and he kind of skirted around that.

But he said he would. If he had gotten a referral, that it would be his job to do so. So, I mean, you petitioned for this job, even though we vehemently opposed and tried to get through to Senate. They put you in this position. So I really hope that Congress is watching. We need to know that Congress has its rights and authorities. And so I'm hopeful. I'm doubtful of Todd Blanche, but this is his time to prove himself. Are you really going to do your job and get justice?

TAPPER: Sky, Chairman Comer announced yesterday on our show that he's introducing a bill that would let survivors of sexual abuse speak freely about their experience, regardless of any non-disclosure agreements they've signed. This comes on the heels of Black defying two congressional subpoenas, one of which is over the information in these NDAs. Leon Black told members of Congress he did not know the extent of Epstein's crimes and that he did not abuse any women or minors. It's not yet clear how this legislation might fare in the full House. What are your thoughts on it?

[17:44:59]

S. ROBERTS: I mean, my initial thoughts on it is that, I mean, we would be incredibly supportive of any legislation that's brought forward to help prevent potential perpetrators out there from hiding behind a piece of paper. I mean, a piece of paper shouldn't prevent survivors and victims from being able to come forward to law enforcement to speak in front of Congress and tell the public that they've been sexually abused. And I think, you know, Chairman Comer really, as Amanda noted, sat in that meeting, really heard those concerns directly from survivors.

And I want to be clear that this piece of legislation wouldn't just affect Epstein survivors. The whole point of us coming forward is to affect real change. I think this is a piece of legislation that can actually do that so that it can prevent any other Epstein's out there that might be abusing people from today to be able to hide behind a piece of paper in the future.

TAPPER: Amanda, we just heard from the ranking Democrat on the Oversight Committee, Congressman Garcia. Are you feeling confident that this investigation will continue to be a priority if Democrats win control of the House in November, even as Democrats also make clear they want to ramp up investigations into Trump and his family?

A. ROBERTS: I am feeling confident. I mean, I think since day one, we've gotten an overwhelmingly amount of support on that side of the aisle. We've also gotten some support on the Republican side of the aisle. I think what's true is that no matter what party, this is an issue that the American public care about because it speaks to the entirety of corruption, and it all aligns. And so I still believe that it will be a top issue, and we're going to make sure that it is.

So I think they've only seen a little bit of us on D.C., and I think it's become a second home for us and our survivor sisters, and we're committed to this journey. Again, like Sky said, it's not just about us, but it's for every survivor moving forward. So we're hopeful. You know, we've been on the road with other Democratic potential nominees who have also said that this is a very large part of why they're running and have gotten commitments from them as well. So I do feel hopeful that this will be a top issue.

TAPPER: Sky and Amanda Roberts, thank you. And as always, may Virginia's memory be a blessing.

S. ROBERTS: Thank you.

TAPPER: The Feds say corruption and fraud diverted nearly $18 million of taxpayer money from programs supposed to help the homeless in the Los Angeles area. The overnight operation to make some new arrests, next.

(COMMERCIAL BREAK)

[17:51:50]

TAPPER: And we're back with our continuing series, Homeless in America, and a major fraud case announced in Los Angeles. The Feds say in total, three people schemed nearly $18 million out of programs meant to help ease the homeless crisis, instead spending that money on real estate, a nightclub, and a bingo hall. Agents wanted to make an example of this case, inviting cameras along for the early morning arrest. CNN anchor Elex Michelson has more.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: Come to the front door with your hands up.

ELEX MICHAELSON, CNN ANCHOR AND CORRESPONDENT (voice-over): Federal agents arrest Lakiya Malone, who they say abused taxpayer dollars meant to help people experiencing homelessness.

MICHAELSON: This arrest, part of a larger effort to try to tackle fraud.

MICHAELSON (voice-over): CNN, along with several news organizations, invited to embed with federal law enforcement before 5:00 a.m. in Los Angeles as they prepared to make a series of arrests. Officials say they're doing all of this on camera to send a message.

SCOTT TURNER, HUD SECRETARY: If you commit fraud, we're coming.

MICHAELSON (voice-over): On hand, U.S. Housing Secretary Scott Turner, First Assistant U.S. Attorney Bill Essayli, and Assistant Attorney General Colin McDonald.

COLIN MCDONALD, ASST. U.S. ATTORNEY GENERAL, NATIONAL FRAUD ENFORCEMENT: There's no population that fraudsters won't steal from, the elderly, the sick, the hungry, and now the homeless.

MICHAELSON (voice-over): According to a federal indictment, Malone is charged with taking bribes and fabricating ghost participants while working for Special Service for Groups, a non-profit which receives millions of dollars each year from the U.S. Department of Housing and Urban Development. The Feds say she was working with Alexander Soofer and his organization, Abundant Blessings From Above.

BILL ESSAYLI, U.S. ATTORNEY, CENTRAL DISTRICT OF CALIFORNIA: In her position of trust, she accepted bribes and funneled money to fraudsters who then misused the money for their personal use.

MICHAELSON (voice-over): Special Service for Groups said in a statement sent to CNN that they have strengthened their prevention protocols and have, "been working with the U.S. Attorney's Office and will continue to do so to ensure that any responsible individuals are held accountable." Malone is just one of multiple defendants facing corruption charges. On the same day, Alexander Soofer's plea agreement was released, outlining admissions of wire fraud and money laundering.

MCDONALD: He bought a house. He went on vacation. He bought a Range Rover. He did everything other than help the homeless.

MICHAELSON (voice-over): Also arrested, Michael Young, a founder of the group Home At Last. A federal criminal complaint charges him with wire fraud, involving spending millions of taxpayer dollars intended for the homeless on a car and even opening his own nightclub.

TURNER: Michael Young's organization was called Home At Last. Instead, he created a home of last resort with a nightclub.

UNIDENTIFIED FEMALE: We have an arrest warrant.

MICHAELSON: Some critics will see this and say it seems like you're targeting blue cities run by Democrats as a way to make them look bad politically before an election. You say what?

MCDONALD: They're wrong. We're going wherever the fraud is.

TURNER: California has really led in the amount of homelessness over almost two decades. And it's been record funding, Elex, record funding, but yet record homelessness. That has to come to an end. Corruption is not Democrat. It's not Republican. It's not blue. It's not red. Corruption is wrong, period.

(END VIDEOTAPE)

[17:55:05]

MICHAELSON: Of course, Jake, as you know, most of the local leaders in California are Democrats. None of them were present at the press conference today. I asked about that. Are they working with them? They said there's an open invite to work on this issue. Those Democratic leaders not issuing any statements about this so far today. CNN reached out to Home At Last and Abundant Blessings From Above. We have not heard back from either of those nonprofits either. Jake?

TAPPER: All right, Elex Michaelson, thank you so much. And Elex is going to have much more tonight on his show. The Story Is with Elex Michaelson. Look at that midnight Eastern or for our West Coast friends, it's at 9:00 p.m. Pacific right here on CNN.

Let's go live to Gastonia, North Carolina, just outside Charlotte. You see the crowd ready. It's a rally for President Trump and the Senate candidate there, the Republican. Ahead, see the numbers that help explain why here, why now and the Republican who could greatly benefit from this visit.

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[18:00:07]

TAPPER: Welcome to The Lead. I'm Jake Tapper. This hour, President --