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Trains Collide in Colorado; Ice Storm Blankets Midwest; Slow Going on Campaign Trail Due to Weather

Aired December 11, 2007 - 11:00   ET

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

HEIDI COLLINS, CNN ANCHOR: Terrorists strike U.N. workers in North Africa. Dozens of people are killed, wounded or still missing this hour.
He knows the inside line on CIA interrogations and he's talking to CNN. An ex-CIA officer and doubts about waterboarding.

An ice storm makes life miserable for millions of you today. Trees come down. Power goes out.

Snap, crackle and pop, in the NEWSROOM.

Want to get to this story right off the top here now. More news coming in from Colorado. There's a collision between two trains. One of them carrying passengers, the other one carrying coal.

T.J. Holmes in the newsroom now with the very latest -- T.J.

T.J. HOLMES, CNN ANCHOR: One derailment leads to another is the problem we have out here. You're looking at a mess going on in Colorado around Littleton.

Enough of a mess just with the weather you're seeing in your picture, but you've got a derailed train and you can see the cars on their side. This is a coal train that derailed.

We don't have word on what happened to cause that derailment, but you can certainly see those cars just all pretty much toppled over on that coal trail. Well, up comes a light rail train that was carrying passengers on the same track. The conductor did not see that there had been this derailment, this mess ahead of him.

Of course it was dark, the weather conditions -- maybe he just didn't see it. Also, he just wasn't informed of it. And that is the mess that happened. That's the light rail that came up behind that derailed coal train and hit that coal train and then derailed itself.

Now, you can see most of those cars there on the light rail train are still upright. And so that's why the result is that we don't know of any injuries.

According to officials out there, none of the about 30 passengers who were on the light rail train were injured at all. And you can see just the front wheels of that first car, that light rail train, came off the tracks. So it wasn't a major derailment, but still a derailment, nonetheless, caused by that initial, much larger, derailment.

So this has caused a few issue this morning. Certainly going to cause problems with passengers who ride that light rail line trying to get to work this morning. It's going to be shut down for quite some time.

Also, surrounding roads were closed as well. Emergency officials tried to get in there and tried to start cleaning up this mess. You can see some of the traffic moving now, but, still, again, we can see in these pictures with the weather, that's enough of a commute nightmare. But this will add to it, just be kind of a mess out there for the day.

So, folks, get ready for it. But nobody injured. Certainly going to be looking for answers now of what caused that first derailment and why the conductor of the light rail train was not aware of and then wasn't able to see the derailment in front of him.

That might just be a simple matter, Heidi, of, hey, it's dark. And look at this snow. You can't see a thing out here.

COLLINS: Yes, no question about that.

All right, T.J. Thank you.

HOLMES: All right.

COLLINS: And from the weather in Colorado to the Midwest. Millions of people in the Midwest are waking up to the sound of car wheels spinning and tree branches snapping.

A heavy coating of ice and snow reaching all the way from Oklahoma to Illinois. For many people, no heat, no lights, no school and no way to get around.

At least 23 people have died in the storm. Mostly in accidents on frozen roads.

In Oklahoma, the biggest power outage ever. Half a million customers now in the dark.

CNN's meteorologists are busy this morning. Bonnie Schneider is tracking the storm for us here in the severe weather center. And Jacqui Jeras is in the middle of things.

I want to go to Jacqui now in Kansas City, Missouri.

Hi, Jacqui.

JACQUI JERAS, CNN METEOROLOGIST: Hi, Heidi.

We have seen a lot of changes with the weather just in the last couple of hours. We dealt with pretty solid freezing rain in the Kansas City area from yesterday evening all the way through, say, you know, early to mid-morning. Then we have been having a period of just rain, as our temperature has been hovering around 32 degrees. And normally you would think that would be good news, but take a look at what has been going on here.

The ice has accumulated on all of the trees a good quarter-of-an- inch-plus thick. And now that the water is coming in on top of that, it's actually bringing the weight of it down even further. And these trees have been bending more.

Now, on top of that, I think that cold air we've been talking about expecting to arrive and make things worse here is finally starting to arrive. If you look really closely, you can kind of start to see some light snow flurries begin to move in. So we think additional ice is going to be accumulating in the upcoming hours and make things very hazardous.

You know, overall this morning it hasn't been that terrible. Our sidewalks have been awful but the streets have been fine. So it's going to catch people off guard as we head toward the afternoon hours.

There you can see the trees bending over behind me along the river. A beautiful place here in Kansas City along the plaza. A lot of people come down here to try and do their Christmas shopping.

Most of the government buildings have been closed for today, as well as the schools, although people have been trying to get around town. An ice storm warning remains in effect until midnight tonight.

There have been a number of power outages, tens of thousands of people in the Kansas City metro area. But they also made a little progress throughout the day and about 18,000 people got their power back on. So they are kind of trying to play catch-up and they're hopeful.

But up the road a ways, up towards St. Joe, Missouri, and up towards Leavenworth, we have more reports of outages and more significant ice accumulations. So it's been real rough going around here this morning. Unfortunately, we're expecting things to get worse throughout the afternoon.

As for the airports, by the way, as well, if you're planning on traveling in this area the next couple of days, good luck with that. It's been rough. There have been a few arrivals, but all morning long several departures have been cancelled. In fact, over a hundred flights have been cancelled in and out of Kansas City just today -- Heidi.

COLLINS: Yes. People are stuck, it seems, no matter which way you look at it. That is for sure.

Jacqui Jeras coming to us live from Kansas City.

Jacqui, thank you for that.

(WEATHER REPORT)

COLLINS: And you know the campaign trail is actually turning pretty slippery for some of the presidential candidates, as well.

CNN's Dana Bash has a firsthand look at this. She is now on the road near Council Bluffs, Iowa, and joins us by telephone.

So the weather really getting to some of the candidates here, Dana.

DANA BASH, CNN CONGRESSIONAL CORRESPONDENT: It is, Heidi.

I'm actually in Council Bluffs, Iowa, which is on the western part of the state. I was with Mike Huckabee, the Republican candidate for president. He did end up having sort of a hastily-arranged press conference this morning, but that was only after he decided to go ahead and cancel six planned events that were going to go on throughout the day here in south and southwest Iowa.

He's not the only one who's had trouble. Bill Clinton had three campaign events here in Iowa that were cancelled. John Edwards also had an event that was cancelled. He might resume later in the day depending on how the weather is because basically, look, this is -- you know, you're a Minnesota native, you know how this works. But this is -- this is very typical weather for Iowa.

Even though it is typical though, the roads are pretty bad right now. It's sort of a mixture of snow and sleet, and that's why they are deciding, you know what, it's better off not to endanger people.

People do want to come out. They want to hear their candidates. They want to get an up close and personal look at them just like they always have.

But, you know, schools are closed. There are some power outages. That's why the candidates across the board, Democrats and Republicans, are trying to be a little bit careful in what they do with their events today -- Heidi.

COLLINS: Yes, no question. You just cannot control the weather, that's for sure. Kind of can't control voters either, but it is important to point out, isn't it, Dana, that the campaign really needs to try to stay on schedule in a timely manner, even though I know everybody wants to stay safe.

Why? Why do things need to keep progressing as scheduled?

BASH: It does because, look, I mean, look where we are in the calendar. You're exactly right, it's just about three weeks before the Iowa caucuses. People who are home, what are they doing? They're turning on their television and they're seeing more and more advertising, particularly, let's just say, on the Republican side.

Mitt Romney has a brand new ad out going after Mike Huckabee on immigration, on a plan that he pushed back in Arkansas. That is why this morning it was on again, it was off again. But they decided to go ahead on the Huckabee side, for example, and have this press conference.

He was endorsed by an anti-immigration leader, the head of the Minuteman Project. That was crucial for Mike Huckabee to continue to do this because they know it is every single minute of campaigning right now that really, really matters.

They also know, Heidi, that this is not necessarily going to be that different from the way the weather is going to be on caucus news (ph). So they need to figure out how this is -- how this is going to play out with regard to organization later on.

COLLINS: Yes, no question about it.

All right. Well, slow going, but want everybody to stay safe, obviously.

CNN's Dana Bash reporting for us from Council Bluffs, Iowa.

Dana, thank you.

And we are learning much more this morning about the gunman in those fatal Colorado shootings. Matthew Murray identified now as the lone shooter at a megachurch and youth missionary center. He killed four people, and there probably would have been many more, if not for one security guard.

CNN's Jim Acosta has the story.

(BEGIN VIDEOTAPE)

JIM ACOSTA, CNN CORRESPONDENT (voice over): Cool under fire, Jeanne Assam says she never flinched as she took down a killer inside the New Life Church.

JEANNE ASSAM, CHURCH SECURITY GUARD: I saw him coming through the doors, and I took cover. And I waited for him to get closer. And I came out of cover and I identified myself and engaged him and took him down.

ACOSTA: An armed volunteer security guard at the church, Assam had never fired a shot before. But church leaders say her steady hand saved lives when she stopped 24-year-old shooter Matthew Murray.

According to police, Murray had a high-powered rifle and a thousand rounds of ammunition as he tried to storm the sanctuary's hallways, just as several thousand parishioners were leaving Sunday services. Assam's security detail was on hand for just such an emergency.

BRADY BOYD, SR. PASTOR, NEW LIFE CHURCH: If we had not had an armed person on our campus, 50 to a hundred people could have lost their lives.

ACOSTA: Murray gunned down two teenage sisters, Stephanie and Rachael Works, and wounded the girl's father before Assam took aim.

ASSAM: I just knew I was not going to wait for him to do any further damage.

ACOSTA: Police say one of the weapons found on Murray after he was shot has been positively linked to an earlier deadly shooting at this missionary training center in nearby Arvada.

SGT. Jeff JENSEN, COLORADO SPRINGS POLICE: There is a forensics -- a positive forensics match between forensics evidence recovered from their scene, as well as evidence that was recovered from our scene.

ACOSTA: The mission says Murray had trained there but was asked to leave because of his strange behavior. According to others at the mission, he told people he was hearing voices. Later in the evening, the gunman's uncle read a brief statement expressing the family's sorrow.

PASTOR PHIL ABEYTA, UNCLE OF COLORADO SHOOTER: Our family cannot express the magnitude of our grief for the victims and families of this tragedy. On behalf of our family and our son, we ask for forgiveness.

ACOSTA (on camera): Police in Colorado are investigating what appears to be the online manifesto posted by Murray between the two shootings. That manifesto, according to "The Denver Post," appears to follow word for word the message left by Columbine killer Eric Harris before that school massacre.

Jim Acosta, CNN, Colorado Springs, Colorado.

(END VIDEOTAPE)

COLLINS: Teenage sisters Stephanie and Rachael Works were killed at the New Life Church in Colorado Springs. At the Youth With a Mission center, two other people died, Phillip Crouse (ph) and Tiffany Johnson. Their parents told our Larry King how they found out about the shootings.

(BEGIN VIDEO CLIP)

TOM JOHNSON, FATHER OF SHOOTING VICTIM: I heard of it about 2:00, 2:30 in the morning Minnesota time from my wife, and she was being transported to the hospital, talking to the ambulance driver and telling -- apparently telling the description of the assailant. And at the hospital, she passed away.

LARRY KING, HOST, "LARRY KING LIVE": Did she talk to you while in the ambulance?

JOHNSON: She did not.

GENE CROUSE, FATHER OF SHOOTING VICTIM: My daughter called me from Warren, Pennsylvania, and said that -- she asked me where I was, and I said I'm located at the church right now. And she said that my son Phillip (ph) had been shot and killed. And the initial shock was that this couldn't possibly be correct. I mean, I knew he was in Arvada, Colorado, at Youth With a Mission. That is certainly not a war zone.

(END VIDEO CLIP) COLLINS: Dozens of people are dead after terror attacks in northern Africa. A pair of car bombs exploded just minutes apart. Hospital sources in the capital of Algeria say at least 62 people are dead. United Nations officials say at least one staffer is dead, more than a dozen are still missing. The massive explosions sheered off the fronts of at least two agency buildings.

(BEGIN VIDEO CLIP)

RON REDMOND, UNITED NATIONS SPOKESMAN: This car bomb went off in the street between two U.N. buildings, so it certainly does appear that the U.N. was targeted in this. It comes with the territory, but it becomes increasingly difficult for our field workers to do the kind of work that needs to be done to help people in a humanitarian neutral way.

(END VIDEO CLIP)

COLLINS: So far no group has claimed responsibility for the blasts. In April, a wing of al Qaeda boasted of a bomb attack in downtown Algiers. Thirty-three people died in that blast.

Posing drunk and then posting the pictures -- young women without shame but at risk.

(COMMERCIAL BREAK)

COLLINS: The Fed ready to pull the trigger on a rate cut. So what happens next?

Our Ali Velshi here to solve a mystery about your money.

Of course, like we said last time, Ali, we look at this rate cut and they're already looking ahead to see if there might be another one.

ALI VELSHI, CNN SR. BUSINESS CORRESPONDENT: Well, that's exactly right. Let's talk about what happens.

At 2:15 Eastern, about three hours from now, the Fed, which gathers this group of people every six weeks or so to decide on interest rate cuts, will make its announcement. It will likely cut interest rates by a quarter of a percentage point. That's what we expect.

Now, immediately after that happens, over the course of the next couple hours, all of the major banks will announce that they are cutting the prime rate which is now 7.5 percent. That will probably go down and that will affect your home equity lines of credit and auto loans and credit card loans.

That means adjustable loans are going to cost less starting today. It's also probably going to have a further effect on the U.S. dollar, which has weakened in part because the Fed has been cutting rates. So you can probably expect that if not today, over the course of the next few weeks you'll see that U.S. dollar weakening. And then as you said, Heidi, we'll get the announcement about the rate cut at 2:15, but what we'll really be studying is the press release, the statement that comes out of the Fed to tell us what they think about the economy, about whether there are any fears of a recession, about the housing crisis, where they think we're going and what is yet to come.

COLLINS: What words in particular will you be looking for when you look at that thing?

VELSHI: The Fed is very careful about the way they write things, but what you want to look for is whether -- last time they said they were concerned about something. Are they very concerned? These are the kind of words that we actually parse to see whether they're more concerned.

What are they likely to keep on doing? Because that is what investors will be waiting for. In fact, if you look at this Dow today, it's been in this very narrow range. Everybody is waiting to see what the Fed says.

Heidi, we've heard from Merrill Lynch and Morgan Stanley that we're going to have a recession next year. Goldman Sachs said we're not going to have a recession.

We see that shopping for the holiday shopping season has eased up. So what you'll look at is whether this prime rate goes down to 7.25 percent later today. But fundamentally, it's much bigger. It's about the economy and what does the Fed say about that.

COLLINS: Yes. Numbers guys using adjectives and how strong those adjectives are.

VELSHI: That's right.

COLLINS: All right. We'll be watching 2:15.

Ali, thank you.

VELSHI: OK.

COLLINS: An assistant principal accused of macing students and even choking one.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Certainly, we don't approve of the physical manhandling of youngsters to get them to do what needs to be done.

(END VIDEO CLIP)

COLLINS: School daze, in the NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: Wild nights plastered on Facebook. Young women drinking proudly and risking it all.

CNN's Elizabeth Cohen has the story.

(BEGIN VIDEOTAPE)

ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT (voice over): Dancing drunk. Sloppy drunk. Falling down drunk. And apparently not embarrassed.

There are nearly 5,000 photos like these on a Facebook group for young women who like to get not just tipsy, but plastered. It's called "30 Reasons Girls Should Call it a Night." And here is what is really amazing -- a lot of these young women post these photos themselves, often with full names and colleges attached.

We decided to blur their faces since we can't be sure everyone is of legal age. The group has more than 172,000 members from around the globe. The young women pictured here seem to be celebrating binge drinking, seemingly enjoying the attention it brings them but ignoring the very real dangers -- alcohol poisoning, date rape, and an increased risk of becoming an alcoholic.

"We know how to get drunk and have a good time" is the caption on this video. "Hammered!" is the caption here. "Wow! Party! I just got drunk and fell out of a car."

Wrapping oneself around a toilet, puking, peeing in a waterfall? Apparently nothing is too embarrassing.

Curious, I instant-messaged one of the group's moderators, this woman. "Why would you post a picture of yourself wrapped around a toilet?" I asked her. "I think it's just something fun to do," she answered. "Everyone's been there at some point. You need to be able to laugh at yourself."

And what about the future? She says she hopes employers will see past these photos. Apparently a lot of other young women are hoping the same thing.

(END VIDEOTAPE)

COLLINS: We're following breaking news from Colorado. Off the tracks and into the snow, look at these pictures we're getting now courtesy of KUSA out of Denver, Colorado. Denver commuters getting an awfully bumpy start to their day.

(COMMERCIAL BREAK)

COLLINS: A judge feels the heat -- a remark about a 10-year-old gang-rape victim, and no jail time for her attackers. The story ahead.

You are in the CNN NEWSROOM. Hi there, everybody. I'm Heidi Collins. Tony Harris is off today. We're keeping a close eye on a train crash in Colorado. Look at these pictures. It happened this morning outside Littleton during a snowstorm. A coal train toppled over in the path of a light-rail passenger train. That will cause several travel headaches for both train passengers and nearby motorists. There are no injuries reported at this time, though. The cause is still under investigation.

The Midwest, spending another day in the grip of a major winter storm. Snow and ice reach everything Oklahoma to Illinois. At least 22 deaths are now blamed on the storm. Mostly from accidents on frozen roads.

President Bush declared a state of emergency for Oklahoma, making the state eligible now for federal aid. Half a million people lost electricity in Oklahoma. It's the state's biggest power outage ever. And it could be more than a week before they get it back.

(WEATHER REPORT)

COLLINS: Today on Capitol Hill CIA chief Michael Hayden goes behind closed doors to face angry senators. Lawmakers want to know about the CIA's decision to destroy the videotaped interrogations of two terror suspects. It happened in 2005. Hayden was not they'd of the CIA at the time. But he is defending the move. He says Congress knew about it. Some lawmakers, though, deny that. The destroyed tapes apparently showed what the administration has called harsh interrogation techniques.

A former CIA agent says it took only seconds to break the silence of an al Qaeda mastermind, and believes it information that Abu Zubaydah gave up saved lives. It came through a controversial technique -- waterboarding, which makes prisoners think they're about to drown. Earlier the former agent spoke to John Roberts on CNN's AMERICAN MORNING.

(BEGIN VIDEOTAPE)

JOHN ROBERTS, CNN ANCHOR: Now you've actually had this procedure performed on you as part of a training exercise.

JOHN KIRIAKOU, FMR. CIA AGENT: In training we tried it on each other just to see what it was like.

ROBERTS: And?

KIRIAKOU: I only lasted five seconds. It's entirely unpleasant.

ROBERTS: What happens to the body when you're undergo the process.

KIRIAKOU: It almost seizes up. You're so full of tension that you just tense up. Your muscles tighten up, and it's very uncomfortable.

ROBERTS: So this was performed on Abu Zubaydah, to the best of your knowledge?

KIRIAKOU: Yes.

ROBERTS: How long did he last?

KIRIAKOU: It's my understanding he lasted 30 or 35 seconds, which was quite remarkable.

ROBERTS: So he had been resisting all of the time, then within 30 to 35 seconds, he suddenly folded up and said, I'll give you anything you want.

KIRIAKOU: The next day he told his interrogator that Allah had visited him in his cell during the night and told him to cooperate because it would make it easier on the other brothers who had been captured.

(END VIDEOTAPE)

COLLINS: The former agent says he believes waterboarding is torture and should not be used by American interrogators now. He says for one thing the U.S. has become successful in its war on terror and such extreme measures are no longer needed..

Shooter identified -- police say Matthew Murray is the gunman in those fatal attacks in Colorado. Two people killed at a youth mission in Arvada. Two others at a church in Colorado Springs. A former roommate identified this picture of Murray. Murray worked at the youth center five years ago but wasn't allowed to go on a mission trip. Two staff members, Tiffany Johnson and Philip Crouse, died in the shooting. Teenager sisters Stephanie and Rachel Works were killed at New Life Church 12 hours later. Their father was wounded. He is now in fair condition.

Echoes of Columbine. Police in Colorado are combing through Matthew Murray's computer and looking at Internet posting he may have made.

CNN Internet correspondent Veronica de la Cruz has more.

(BEGIN VIDEOTAPE)

VERONICA DE LA CRUZ, CNN CORRESPONDENT (on camera): I've been checking out our affiliate KUSA Web site's, also "Rocky Mountain News" and Denverpost.com, and here's what I found. These Web sites are reporting Matthew Murray used the screen nghtmrchld26, and posted messages in a chatroom for people who break away from the fundamentalist religious lifestyle.

Before he left for the first shooting, Murray reportedly posted this message to the group. "You guys were awesome. It's time for me to head out and teach these" expletives "a lesson." He then went on to write, "thanks for listening and all, even though many of you ex- pentecostals don't understand. See you all on the other side. We're leaving this nightmare behind to a better place."

According to denverpost.com, Murray left along a manifesto, or an online diatribe, which mirrors the one left behind by Eric Harris before the Columbine shooting. He also posted lyrics from a song by KMFDM, an industrial rock band. Others in the chatroom realized what he might be up to.

One of the users tried to stop him, posting, "Please don't do it. You'd only make them into martyrs and yourself into a fanatical, hateful zealot in the public opinion."

Then in a message time-stamped between the two shootings, Murray writes, "I'm coming for everyone soon, and I will be armed to the teeth. And will shoot to kill. God, I can't wait until I can kill you people. All I want do is kill and injure as many of you I can, especially Christians, who are to blame for most of the problems in the world."

Here is a photo of Murray spent by the i-Reporter Richard Werner (ph). It was taken back in 2002 when the two studied together YWAM, Youth With a Mission. Warner says Murray slept on the bunk next to him and would always make very bizarre comments. Police say Murray spent up to five hours a day on the computer he used to attend an online school.

Now police say that they confiscated the computer during a search of the family's home and are investigating for further evidence.

I'm Veronica de la Cruz, CNN, New York.

(END VIDEOTAPE)

COLLINS: Race for the White House. New national polls show leads just really aren't safe. CNN's Bill Schneider now, part of the best political team on television.

(BEGIN VIDEOTAPE)

WILLIAM SCHNEIDER, CNN SENIOR POLITICAL ANALYST (voice-over): Big shakeup in the Republican race. Last month, Rudy Giuliani was the clear Republican front runner, Fred Thompson, second, John McCain, third. But look at the race now.

Mike Huckabee is breathing down Giuliani's neck, a statistical dead heat. Huckabee support has more than doubled in the last month. Mitt Romney is now running third. He too has picked up support, looks like his speech on faith and politics just before this poll was taken earned him some points, but not with evangelicals where Romney is still running fifth.

The big loser? Fred Thompson down to fifth place. Huckabee now leads among conservatives and evangelical Republican voters. His support has nearly tripled among women. Huckabee scores well on likability and on respecting Republican values. But Giuliani is still seen as having the best chance of beating the Democrats.

RUDY GIULIANI (R), PRESIDENTIAL CANDIDATE: Every poll shows that I would be by far the strongest candidate against Hillary Clinton.

SCHNEIDER: And the Democrats? Shakeup there, too, last month Hillary Clinton was 19 points ahead of Barack Obama. Now her lead has shrunk to 10 points. Clinton is still way ahead among women, but Barack Obama has made big gains with men where he now leads Clinton.

Last month, Clinton was leading Obama by two to one among liberals. Now Obama is 10 points ahead. Democrats say Obama's most likable and least like a typical politician. But when asked who has the best chance of beating the Republican, Democrats say Clinton.

HILLARY RODHAM CLINTON (D-NY), PRESIDENTIAL CANDIDATE: I have been standing against the Republicans George Bush and Dick Cheney and I will continue to do so, and I think Democrats know that.

(END VIDEOTAPE)

COLLINS: Two big presidential debates this week to tell you about, beginning with the Republican Iowa face-off tomorrow, 2:00 to 4:00 p.m. Eastern. It's live on CNN. And the Democratic candidates face-off the following day, Thursday, December 13. Their Iowa debate also from 2:00 to 4:00 p.m. Eastern, live right here on CNN.

Want the most up-to-the-minute political news anywhere available. CNN politics.com is your one-stop shop. It's the Internet's premiere destination for political news, CNNpolitics.com.

COLLINS: You don't want to be called to this assistant principal's office, accused of pepper spraying students.

(COMMERCIAL BREAK)

COLLINS: ...assistant principal's office, accused of pepper spraying students.

(COMMERCIAL BREAK)

COLLINS: A developing story to tell you about now. In fact, it regards this case of an Ohio attorney who went missing last week, then was found here in Atlanta. A lot of new details coming out in fact.

T.J. Holmes is working the story for us in the newsroom right now. Hi there T.J.

T.J. HOLMES, CNN CORRESPONDENT: Pretty big detail here Heidi. It didn't happen like she said it did. Something about this story didn't smell right. And now we got the fact that, no, it did not happen. She was not abducted. Karyn McConnell Hancock is the name.

There she is, she's a former Toledo, Ohio, city councilwoman. Disappeared last Wednesday. She's six months pregnant. So when she disappeared, of course, everybody is concerned, the whole country looking for this lady. She calls her husband from a pay phone on Thursday saying that they have me. Claiming that she had been abducted by two men and a woman.

And again, she was six months pregnant. Well she was found in suburban Atlanta, about ten miles west of where we sit right here in downtown Atlanta over by Six Flags. She flagged down a passing motorist, said who she was. They found -- everybody was relieved. We did this story as a developing story on Saturday. Great story, great to hear she had been found, and in good health. Well, now after eight hours of questioning, police say she recanted the whole thing. Made the whole thing up. She was not abducted at all. In fact, her car was found not too far from where she had flagged down the motorist on the highway here in suburban Atlanta.

Now, her husband now claims that she has had some psychological issues, and she was attempting to deal with that on her own and did not seek professional help. But the story here, still Heidi, everybody happy that, yes, she is OK. And six months pregnant, certainly a concern there.

But the story was in fact made up. Hopefully now she will get the help that her husband says she needs.

COLLINS: Yes, hopefully. All right T.J., thank you.

HOLMES: All right.

COLLINS: New York has passed a bill of rights for air travelers, but the airline industry hopes the law won't fly. Stephanie Elam is at the New York Stock Exchange now with more details on this.

Hi there Stephanie.

STEPHANIE ELAM, CNN CORRESPONDENT: This is one of the stories that people who are flying like, but the airline, not so much. New York's bill of rights for airline passengers is set to take effect on January 1st. And it will require the airlines to provide food, water, electricity and maybe most importantly, waste removal when planes sit for more than three hours before takeoff.

New York would be able to fine the airlines up to $1,000 a passenger. It comes on the heels of some horrendous delays last winter. However, an airline trade association has asked a judge to block it -- Heidi?

COLLINS: All right, so you know, you have to wonder why the airlines would be opposing the plan. Isn't that something to do with deregulation and the fact that, you know, the feds sort of step in and tell them, the airlines themselves, what to do?

ELAM: Yes, well part of it is the government, the federal government versus the state. And they probably aren't too happy about being fined by the government for poor customer service. But also the airlines say, they are working with the federal government to improve customer service overall.

They say New York state is overstepping its bounds. And that this is a federal matter. The airlines also worry about having to comply with different laws in each state. So if every state has their own setting on this it could be even more expensive for the airlines, Heidi.

COLLINS: Yes and also, I remember reporting myself on this show about some of the bill of rights that are coming out by the airlines themselves.

ELAM: Oh, yes, and Jet Blue is a good example of that. In the wake of those long delays, remember last Valentine's Day in February. It voluntarily passed its own bill of rights, in addition to the provisions spelled out in the New York law.

Jet Blue customers receive vouchers for long delays. The vouchers range from 50 bucks to the cost of the flight, depending on the length of the delay. That all started after the flights were grounded in New York for such a long time.

All right. Let's take a look at the markets here. Stocks are grounded ahead of the fed's interest rate decision this afternoon. The central bank is expected to cut the fed funds rate by at least a quarter of a percentage point. The announcement comes at 2:15 Eastern.

Let's take a look at the numbers right now. The Dow down 20 points, 13,706, just a narrow little range we're trading in here today. Nasdaq on the upside by 2.5 points, at 2721.

That's the latest from here Heidi. Back to you.

COLLINS: I know we have other important stories today, but when you talk about this bill of rights I remember a fabulous flight sitting on the tarmac for eight hours inside an airplane on my way to Disney World. It was lovely.

ELAM: That is an awful, awful story.

COLLINS: I will not mention the airline.

ELAM: Yes.

COLLINS: All right Stephanie. Thanks so much.

ELAM: Sure.

COLLINS: To this story now in Australia. Outrage over a very disturbing case there. National leaders demanding a review in fact. Nine young Australians get no jail time even though they admitted to gang raping a 10-year-old developmentally disabled girl. What may be worse, the reaction of the judge.

She said the girl, "probably agreed to have sex with the offenders." Australia's new prime minister is among those appalled by the decision.

(BEGIN VIDEO CLIP)

KEVIN RUDD, AUSTRALIAN PRIME MINISTER: I am horrified by cases like this involving violence, including sexual violence, toward women and children. My attitude is one of zero tolerance.

(END VIDEO CLIP) COLLINS: Six attackers, all teenagers in fact, got probation in the case. Three others got suspended sentences. Among them, a 26- year-old who is already in the country's national child offense registry.

YOUR WORLD TODAY coming up in just a few short minutes. Hala Gorani standing by to give us a look at the program -- howdy, Hala

HALA GORANI, CNN CORRESPONDENT: Hello Heidi. It's at the top of the hour, join Jim Clancy and myself. A lot going on, especially in north Africa. Two car bombs kill more than 60 people in the capital of Algeria, Algiers. Targeted a U.N. Office. al Qaeda shifting support, money, recruiting to north Africa. We're talking about Tunisia, Morocco and Algeria. Europe of course, very concerned. This is on Europe's doorstep.

Also you mentioned the case of this 10-year-old girl gang raped by ten people in Australia. The offenders, none of whom were sentenced to jail time. We're going to be looking deeper into this and ask what it is in Australia that has led to this decision. We'll be talking to Aborigine leaders, as well.

Also Led Zeppelin, the reunion, almost three decades after breaking up. We'll take you to the London concert. Heidi?

I only know one Led Zeppelin song, I'll be honest.

COLLINS: How old are they?

GORANI: How old am I?

COLLINS: No, how old are they?

GORANI: How old are they? I was going to say, oops. I don't know, they're in their 60s. I have to admit, I'm not a huge fan. I only know "Stairway to Heaven" because everyone knows "Stairway to Heaven," but apart from. I think they're probably in their 60s at this point.

COLLINS: Something like that.

GORANI: Apparently they're still rocking, though.

COLLINS: Yes. Hala, we'll be watching. Thank you.

Who's the Christmas Grinch? A church nativity scene stolen for a second time in two years. We'll have the story for you in just a moment.

(COMMERCIAL BREAK)

COLLINS: Just want to let you know that every day after the broadcast here, from 9:00 to noon, we record a podcast. We always put some great stories in there. Some of them you won't see anywhere but in the podcast. We call that exclusive to the podcast. Is that true? Is that what we call it? So anyway, you can download us 24/7, podcast.com. Tony is way better than this. But it's CNN.com/podcast. See.

All right, moving on now -- a Christmas crime spree. For the second year in a row a Connecticut church has been robbed part of a nativity scene stolen. Last year someone took Baby Jesus. So the church put a security camera in. But just last week two people caught on tape stealing Mary and a sheep.

And it happened in Florida, too, two women also caught on tape, walking into a church nativity scene in the middle of the night. Police say they made off with a flute, rams horns and other props. A flashlight, as you can see, to guide them. Really not funny at all.

COLLINS: An assistant principal accused of macing students, and even choking one.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Certainly we don't approve of the physical manhandling of youngsters to get them to do what needs to be done.

(END VIDEO CLIP)

COLLINS: School daze, in the NEWSROOM.

(COMMERCIAL BREAK)

COLLINS: Assistant principal with anger-management issues? The school has suspended him for allegedly pepper spraying students.

But as reporter Karen Zatkulak from affiliate WTBC explains, there is more on his record.

(BEGIN VIDEOTAPE)

KAREN ZATKULAK, WTBC REPORTER (voice-over): You send your kids to schools like Brainerd High, thinking administrators will keep them safe. But what if an administrator is the one causing the arm. That's exactly what assistant principal Joshua Barber is charged with.

Back in the spring of last year administrators say he used pepper spray to break up a fight between students. Afterwards he was told not to bring to back the aerosol device back to the building, but in September he did. This time witnesses say when a crowd of students wouldn't disperse he told them to stay where they were. Then he went to the office, came back with the spray, and hit dozens of students, causing irritation to eyes, noses and throats.

JIM SCALES, SUPERINTENDED, HAMILTON CO. SCHOOLS: We feel like we need to have better relationships with our students than to, you know, use any kind of aerosol type sprays to control them.

ZATKULAK (on camera): As if that wasn't enough, administrators say earlier in the year Barber choked a student who was involved in a fight. Witnesses say the boys veins were sticking out and he was struggling to stay conscious. They say even after the boy tapped Barber to surrender the choking continues. SCALES: Certainly we don't approve of the physical manhandling of youngsters to get them to do what needs to be done.

ZATKULAK (voice-over): Superintendent Dr. Jim Scales put Barber on suspension without pay on October 14th. But now he wants him gone from this school for good.

While Barber admits in this statement that he choked a student he says it's better than what he wanted to do, which was, quote, "hit him in the face with his fist." And as for the spray, he still says, quote, "Who sprayed the mace, I don't know."

(END VIDEOTAPE)

COLLINS: WTBC tried to reach the assistant principal for comment. HE did not return his phone calls.

CNN NEWSROOM continues just one hour from now. A big story is developing today. "YOUR WORLD TODAY" is next with news happening across the globe and here at home.

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