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Israeli Air Strike Continue; Obama's Economic Recovery Plan; Senate Seat Controversies; Gaza Ground War
Aired January 03, 2009 - 12:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN NEWS ANCHOR: Of course, we're keeping a close watch on the Middle East where Israeli air strikes are in their eighth day, now. Here's when we know, right now, Palestinian sources say an Israeli air strike hit a mosque in northern Gaza today killing nine people and wounding 60 more. Israeli military officials say they're checking that report.
Palestinian medical sources say at least 435 people have died since the air strikes began. Israeli tanks and troops are massed on the border now. A military spokesman says ground forces are prepared to enter Gaza as soon as they get the order. CNN's Paula Hancocks is watching the events unfold. She's standing by with the latest on the border with Israel and Gaza, right now.
PAULA HANCOCKS, CNN NEWS CORRESPONDENT: Hello, Fredricka. In the past couple of hours we've certainly seen a marked know crease in what the Israeli military has been through. We've seen an increase in the amount of artillery shelling going into Gaza itself and also many air strikes.
Now, we heard as you did, as you did, there was an attack on a mosque in Beit Lahiya, now, this is northern part of Gaza and our Palestinian medical sources say nine killed and 60 wounded. So, certainly the amount of air strikes has increased significantly. I should say the amount of shelling has increased significantly over the past couple of hours and of course, everyone watching to see if that is an invitation of anything or whether it is just a continuation of Israel trying to hit these Hamas installations. The weapons factories, the places, they believe, that Hamas is stockpiling their weapons.
Many mosques over the past few days have been targeted as the idea says that is where they're stockpiling these rockets. Now, when it comes to the rockets we have seen a dramatic drop in the number that have hit Israel today. The number I have is about 14. This is from a few hours ago from the Israeli military. But certainly, what we've been seeing earlier in the week is about 70 a day. So, has Israel started to whittle down on the amount and the ability of these Hamas militants to fire into Israel -- Fredricka.
WHITFIELD: And Paula, what's the breaking point as to what determines whether this becomes a ground war or is it also safe to speculate that perhaps those weapons along the border might simply be a bluff?
HANCOCKS: It's a good question. Frankly, we don't know the answer to that. Certainly, we have seen a lot more shelling from the ground from Israel into Gaza. This is something that we really haven't seen much of before. The shelling has often come from war ships in the Mediterranean, these Israeli navy ships. So, certainly, the fact that it has increased over the past couple of hours could be very interesting. Is this a prelude to something bigger?
The fact is that Israel does have to take a very careful look at whether or not it deems a ground operation necessary. The defense minister and all the chief of staff and all of the military know that there will be more than likely many Israeli casualties. The Hamas leadership, that is still left and not underground, has said that they will try and kill as many Israeli soldiers as possible and take them captive.
So, certainly, it is not an easy decision to take, plus there are going to be more Palestinian civilian casualties. The number of civilian casualties in Gaza is too high as it is. Is it necessary for Israel to go in and do this ground operation? Is there a lot more for them to do that they, quite frankly, can't do from the air?
WHITFIELD: Right. Paula Hancocks, thanks so much from the border there with Israel and Gaza. Appreciate it.
All right, well, U.N. Secretary-General Ban Ki-Moon is calling for an internationally monitored truce in Gaza. The Security Council is expected to resume deliberations on Monday. It is scheduled to discuss an Arab draft resolution, condemning Israel and demanding a halt to the Israeli offensive. The United States says the draft resolution is unbalanced because it ignores Hamas rocket attacks.
In his weekly radio address, President Bush called Hamas rocket attacks an act of terror. The Bush administration is not saying whether it would support an Israeli ground attack. CNN's Kate Bolduan is at the White House or actually she's in Washington, but the White House not far from where you are.
KATE BOLDUAN, CNN NEWS CORRESPONDENT: Never is. Hi there, Fredricka. Well, in his first comments since this latest conflict began, President Bush, in his weekly radio address, said another one- way cease-fire that leads to rocket attacks on Israel is not acceptable and promises from Hamas will not suffice.
Bush also says the U.S. is leading diplomatic efforts, but the question is how much traction is the administration's approach having while the fighting continues?
(BEGIN VIDEOTAPE)
(voice-over): A week into Israel's attacks in the Gaza Strip and Hamas rockets being fired into Israel, the Bush administration is still pushing for a long-term solution. Secretary of state Condoleezza Rice appeared for the first time in public after briefing the president.
CONDOLEEZZA RICE, SECRETARY OF STATE: I have talked with our European colleagues and we are talking constantly with the Israeli government to find a solution to Gaza that will be a sustainable one.
BOLDUAN: However, the top U.S. diplomat says at this point she has no plans to head to the Middle East to broker a cease-fire and repeated the administration's diplomatic stance.
RICE: It is obvious that a cease-fire should take place as soon as possible, but we need a cease-fire that is durable and sustainable.
BOLDUAN: But with the threat of the conflict escalating within an Israeli ground assault the White House is declining to comment on whether it would be justified.
GORDON JOHNDROE, WHITE HOUSE DEP PRESS SECY: You know, I don't want to speak to an operation that has not taken place that may or may not have taken place. Those will be decisions made by the Israelis.
BOLDUAN: Decisions that Middle East expert James Phillips says the U.S. has little influence over.
JAMES PHILLIPS, HERITAGE FOUNDATION: Think the U.S.' hands are relatively tied here and the first priority should be avoid making a situation worse by pushing for an abrupt end to the conflict that will leave Hamas in a position to continue threatening Israeli civilians.
(END VIDEOTAPE)
BOLDUAN: But by the U.S. not taking a stronger position it could appear as the U.S. giving the green light to an Israeli escalation. Both the White House and the State Department, Friday, declined to comment on reports that some diplomats are suggesting international monitors be brought into Gaza as part of any peace deal -- Fredricka.
WHITFIELD: All right, Kate Bolduan in Washington, thanks so much.
Well, the unrest is not over overseas, but here, as well. No letup this hour in the protest, both for and against the Israeli air strikes in Gaza. Organizers say several thousand demonstrators marched in London denouncing the Israeli attacks and in Chicago hundreds turned out last night condemning Israel's action, rather, targeting Hamas militants and similar demonstrations played out in Los Angeles, yesterday. Palestinian supporters waved flags and signs and called for an end to the Israeli attacks.
Israeli supporters are also out across U.S. cities. A small group of pro-Israeli demonstrators gathered in front of the Consulate in Chicago waving Israeli flags. In L.A. yesterday, pro-Israeli protestors stood on the opposite side of the street from their Palestinian flag waving counterparts. More demonstration are planned today in Chicago, San Francisco and in the nation's capital as well as many other U.S. cities.
All right, the Gaza conflict has apparently triggered violence against two mosques right here in the U.S. Miami police are investigating shots fired at a mosque and Islamic school. An American Islamic group says bullet holes were discovered on the wall of the mosque yesterday. The shots were believed to have been fired Thursday. No word of injuries.
And in Pittsburgh mosque officials say vandals splashed red paint across the building's front steps, yesterday. Friday is the Muslim day of worship.
All right, the Obama's are moving to Washington tomorrow, but the president-elect is already working to fix the economy. This morning he laid out details of his economic recovery plan in his radio address. Brianna Keilar is in Chicago to break it all down for us - Brianna.
BRIANNA KEILAR, CNN NEWS CORRESPONDENT: Hi there, Fred. Well, this is really the longer version of the Obama/Biden economic plan, but the president-elect really distilling it down in his weekly radio address, today, highlighting, in particular, what he wants to do, doubling renewable energy production, he wants to rebuild crumbling roads, bridges and schools and put in place tax breaks for American workers among some other things that we have heard him mention in the past.
This is really the plan that he's going to be selling when he gets to Washington. He leaves for Washington from here in Chicago tomorrow and then he's on Capitol Hill Monday trying to win over Democrats and Republicans on the Hill.
(BEGIN VIDEO CLIP)
BARACK OBAMA (D), UNITED STATES PRESIDENT-ELECT: However we got here, the problems we face today are not Democratic problems or Republican problems. The dreams of putting a child through college or staying in your home or retiring with dignity and security, know no boundaries of party or ideology.
These are America's problems and we must come together as Americans to meet them with the urgency this moment demands.
(END VIDEO CLIP)
KEILAR: Now, the tough sell here remains Republicans. They've had many concerns over the past year about other spending plans, big spending bills, economic stimulus bailouts, that kind of thing, and they continue to have some persistent questions about this particular plan, as well -- Fredricka.
WHITFIELD: All right, Brianna Keilar in Chicago. Thanks so much for that update. Appreciate it.
And of course, tonight you can get to know a little bit more about the Obama's, perhaps stuff that you didn't know before now. You'll hear them in their own words. "The Obamas" tonight at 8:00 p.m. Eastern only on CNN.
Actors John Travolta and Kelly Preston dealing with a real-life tragedy, the death of their teenage son.
(COMMERCIAL BREAK) WHITFIELD: All right, let's check in with our Reynolds Wolf for a little look at the weather picture. It's been a pretty frigid New Year, everywhere.
(WEATHER REPORT)
WHITFIELD: All right, this very sad story. Heartbreak for actor John Travolta. An autopsy is being planned in the death of his teenage son, 16-year-old Jett Travolta was found dead yesterday in a bathroom of a resort in the Bahamas. A police officer says he apparently hit his head in a tub. Travolta's attorney tells CNN the boy had a seizure. A caretaker at the resort found the body, which was rushed by ambulance to a nearby hospital.
(BEGIN VIDEO CLIP)
AL JONES, BAHAMAS BAY RESORT REP: It was just -- it was a seizure and that was it.
(END VIDEO CLIP)
WHITFIELD: Oh, so sad. Jett Travolta had a developmental disability that his parents had linked to Kawasaki disease, that's an inflammatory disorder of the artery walls.
All right, Before Barack Obama's swearing in, Democrats deal with a headache from his home state. What to do about the next senator from Illinois?
(COMMERCIAL BREAK)
WHITFIELD: All right, it's what Democrats have been waiting eight long years for, the swearing in of one of their own as president. What they didn't expect was trouble in the Senate thanks to Illinois governor, Rod Blagojevich. Well, CNN's Samantha Hayes reports, now.
(BEGIN VIDEOTAPE)
SAMANTHA HAYES, CNN CORRESPONDENT (voice-over): If Roland Burris shows up on Capitol Hill Tuesday, the welcoming committee won't be waiting. Burris may enter the Capitol here, but once through security, he has no office, no staff, and it's possible no one will acknowledge him as the new freshman senator from Illinois, but that's not stopping him.
ROLAND BURRIS (D), FMR. ILLINOIS ATTORNEY GENERAL: We're certainly going to make contacts with the leadership of the Senate to let them know that the governor of Illinois has made a legal appointment and that I am currently the junior senator for the state of Illinois.
HAYES: Tuesday, Senate Majority Leader Harry Reid made his position clear stating, "...anyone appointed by Governor Blagojevich cannot be an effective representative of the people of Illinois and will not be seated by the Democratic Caucus." But a confrontation with Burris, who was constitutionally qualified and would be the only African- American senator, is a risky matter for Democrats.
MARTIN KADY, POLITICO.COM CONGRESSIONAL EDITOR: There have to be some back-channel negotiations that must be going on to have some sort of middle ground where they don't necessarily seat him as a full-fledged senator, but they don't sit there and have the chaos and the poor imagery of blocking this guy at the Senate door.
HAYES: Senate rules could prevent Burris from entering the floor because he is appointed, not elected. But the man in charge of enforcing those rules says a confrontation is unlikely.
TERRANCE GAINER, U.S. SENATE SERGEANT OF ARMS: I do not think he's the type of person and the Senate is not the type of institution that looks for fistfights at the door. I think we'll have this all worked out. And then if there's disagreement, we'll leave it to the courts.
HAYES: Whatever happens next week, the conflict may soon take a backseat to other news.
MARTIN KADY, CONGRESSIONAL EDITOR, POLITICO.COM: Congress, regardless of whether it's Senator Burris or not so much Senator Burris, they'll have to go to work on an $800 billion economic stimulus. Then we're going to inaugurate President Obama. That's -- those events will overtake this -- this fascinating little side story here.
HAYES (on camera): One reason the sergeant at arms, Terrance Gainer, is so confident there won't be any problems, is because he knows Burris from the Illinois state government.
Samantha Hayes, CNN, Washington.
(END VIDEOTAPE)
WHITFIELD: All right, still a lot more on the political play, today. Joining us to sort through all of this, our senior political analyst, Bill Schneider.
Good to see you in Los Angeles.
BILL SCHNEIDER, CNN SR POLITICAL ANALYST: Hi, Fred.
WHITFIELD: I hope you had a good New Year and holiday.
SCHNEIDER: Thank you.
WHITFIELD: OK, is this about to be a spectacle on Capitol Hill?
SCHNEIDER: I think everyone wants to try to avoid a spectacle and I think they will try to do that, but Roland Burris is there to make the point that it is about him. This Democratic majority and the Senate is trying to argue it's not about Roland Burris or his qualifications. They think he'd be a fine senator; it's about Governor Blagojevich and his credentials in appointing Burris because he has been arrested, he could end up under indictment, he could be impeached and they want him to put off any seating of a new senator until they can get someone else to name that senator from Illinois.
But Burris is there in Washington saying hey, wait a minute, this is about me and that's provoking a very difficult confrontation.
WHITFIELD: And the sergeant at arms, we just saw in Samantha's piece, says something is going to be worked out. What could that something be? Meaning the secretary of state of Illinois would eventually sign off and so the Senate would have to accept him?
SCHNEIDER: What they can do is refer the matter to the Senate Rules Committee and let them study it over a period of time to decide how to sort it out and in the meantime hope that the Illinois state legislature will go ahead and impeach Governor Blagojevich and remove him from office which would then empower the new governor, who is now the lieutenant governor, to name a senator and he might go ahead and name Roland Burris.
WHITFIELD: OK, yet another Senate race that has yet to be determined, but because of all of the absentee ballots and recounts, et cetera, what's it going to be -- Norm Coleman, Al Franken? This, too, is pretty messy, isn't it?
SCHNEIDER: It is very messy. Right now Al Franken is about 49 votes ahead in the latest count, but there is still something like a thousand absentee ballots which were questionable that have to be reviewed. Just this weekend the final total could be certified by the canvassing board, but the Republicans are insisting that just like in Illinois, the certificate of election should be signed by both the governor, who is a Republican, and the secretary of state in Minnesota.
It's not likely that this will be resolved very quickly, particularly because you have the Franken case if -- he's the Democratic senator from Minnesota, and the Burris case both on the agenda and it'll be awkward for the Democratic Senate to seat Franken, even provisionally, while excluding Burris.
WHITFIELD: Wow, and whether or not these two races are actually resolved by Tuesday, which we know they won't be.
SCHNEIDER: No.
WHITFIELD: You know, on Capitol Hill there's a lot to grpel with, mainly the stimulus package, the economy, the stimulus package that President-elect Obama wants to get settled right away when he is sworn into office.
SCHNEIDER: That's right. There is some push to get that on his desk so that very quickly after he's inaugurated he can sign this economic -- he calls it a recovery plan, for the country. It's a vast amount of spending; nearly $800 billion over the next two years, but the economy desperately needs it. Something is needed to boost public confidence to build some jobs, to create a sense of economic momentum. Congress wants to pass it and President-elect Obama is meeting with Republican leaders in Congress because he would like this package, a huge spending package as it is to have some Republican support, he doesn't want a strictly partisan package.
WHITFIELD: All right, Bill Schneider joining us from Los Angeles. Always good to see you. Thanks so much.
SCHNEIDER: Sure.
WHITFIELD: All right, separating banks from their bailout bucks. Some expert tips on how to get a loan in this cranky credit market.
(COMMERCIAL BREAK)
WHITFIELD: New images right now we want to share with you. We understand that Israel is using flair bombs to light up the areas, there in Gaza, as you see right here. Still unclear exactly why these are being used or what potentially could be next. This is the eighth day of this conflict between Gaza and Israel, now heading into the second week of this conflict. More information as we get it on exactly what's taking place involving these flair bombs.
Meantime, Israeli military officials say they're checking out reports that an air strike hit a mosque in northern Gaza today killing nine people and wounding 60 more. Palestinian medical sources say at least 435 people have died since the Israeli air strikes began a week ago. There are growing indications a ground attack may come soon an Israeli military spokesmen says ground forces are prepared to the enter Gaza as soon as they get the order.
Two and a half years ago Israel invaded Lebanon with mixed results. Would the Israelis do any better in a ground war in Gaza?
CNN's Brian Todd takes a look.
(BEGIN VIDEOTAPE)
BRIAN TODD, CNN CORRESPONDENT (voice-over): Missiles and planes in the air tanks and soldiers on the border -- all too familiar nervousness all around. The possibility of an Israeli ground incursion into Gaza has many observers warning this could be Lebanon 2006 all over again.
In that operation, aimed at Hezbollah, the Israelis inflicted devastating civilian casualties and took significant military losses of their own. They also left perceptions that Hezbollah had won by simply surviving the onslaught and that their once mighty force had lost a step.
HISHAM MELHAM, AL ARABIYA: The Israeli military is no longer invincible. The days of clear, stunning victory like '67 are gone.
TODD: Now, the Israelis will encounter a tough guerrilla-style force at close range if they invade Gaza. Analysts and Israeli officials say Hamas has hundreds, possibly thousands, of hardened fighters, likely equipped with anti-tank missiles, rocket-propelled grenades and expert training in urban warfare.
ISAAC HERZOG, ISRAELI SECURITY CABINET: We know, of course, that Iran has trained Hamas militants, has given them training and, of course, structure of managing warfare. The whole concept of the bunkers that they've built and laid out in Gaza is similar to the operation of Hezbollah.
TODD: That means ambush positions and landmines likely in the path of Israeli troops.
Iran denies training Hamas fighters. Analysts say the Israelis have learned lessons from 2006. They likely won't make this a drawn out ground operation. And they'll lower expectations beforehand, likely avoiding predictions that they'll completely destroy their enemy, as they said in 2006.
Still, Hamas may emerge the winner in public opinion, as Hezbollah did.
PROF REZA ASLAN, UNIVERSITY OF CALIFORNIA-RIVERSIDE: An oppositional force like Hamas, like Hezbollah, thrives precisely on conflict. It is only relevant when it is being attacked. It can only -- it can only matter when it is being seen as defending Muslim people.
TODD: Hamas's overall structure, with social services and a political arm, is another reason why analysts say Israel likely won't wipe them out completely. But that's likely not Israel's goal, here. Analysts say the Israelis simply want to take away Hamas's ability to launch those rocket attacks into Israel.
Brian Todd, CNN, Washington.
(END VIDEO TAPE)
WHITFIELD: And this programming note, Anderson Cooper will have special coverage from Israel Monday night at 10:00 p.m. Eastern.
All right, turning around the automaker's mess. Chrysler says it has received a $4 billion loan from the Treasury Department. The shot in the arm comes from the $700 billion the government set aside to bail out banks and other financial institutions. Chrysler says it is nearing the minimum level of cash it needs to operate. GM got $4 billion from the government just last Wednesday.
Wall Street starting off the new year with a bang after a horrendous 2008. The Dow closed yesterday above 9,000 for the first time since November. The Standard & Poor's 500 Index closed up by 3.2 percent and not to be outdone, the NASDAQ composite rose 3.5 percent.
All right, the banks got that huge federal bailout, so why is it still so hard to get a loan? Richard Bitner used to be a subprime lender in Dallas. He quit to write about fraud and greed in the system. Richard is with us now.
So, what would be the holdup in general for folks who want to get a car loan, a home loan or some sort of student loan?
RICHARD BITNER, "CONFESSIONS OF A SUBPRIME LENDER": Well, Fredricka, one of the things I always try to remind consumers is you've got to kind of start with the end in mind when you understand how the financial system works.
One of the things that created this sort of insanity that we saw in the market was the ability to take these mortgages, package them together, sell them via the private securitization market ultimately and sell them to bonds on Wall Street.
What we've seen, of course, is that entire market has dried up and even more importantly one of the challenges is that because of the rising defaults that we have in the industry that continue to mount, is that there's very little appetite even for the traditional mortgages on the secondary market, so ...
WHITFIELD: But wasn't the whole idea -- wasn't that part of the big sell is that the government helps bail out or at least helps resuscitate some of these lending institutions so that they can keep the economy going. So, why is it that it seems that they've got their money, but now the breaks have been put on all lending? On most lending.
BITNER: Well, there's a couple of things. Part of it, too, is you've got to understand is just because an institution like Wells Fargo has received a $20 billion or $25 billion or $5 billion infusion of cash. Remember, we didn't actually put any strings attached to that.
So, in a lot of respects, you've got institutions that are still dealing with losses on loans, that are still very reluctant to lend and have largely taken this money and have used it as a cushion relative to their own reserves.
WHITFIELD: As opposed to being given the money and say OK, you've got to keep the lending going.
BITNER: Right, absolutely. So, now keep in mind, there's also the private piece (ph), but there's also -- when we start again talking about those loans that are still put into securities, the Fannie Mae, Freddie Mac mortgages, one of the things that we've seen the Treasury Department have to do is step in and actually start buying those securities at the end of the day.
So, you got to think about it this way. Even if you as a consumer were a lender and you had a pot of money and you were still suffering losses based on decisions that you made six or 12 months ago, how is that going to affect your decisions in terms of how you want to lend going forward?
WHITFIELD: OK.
BITNER: It's still going to create limitations from the mindset in terms of I still have these mounting problems. How aggressive do I want to get? Well, not very when it comes to it. WHITFIELD: OK, so that's good information, that helps me be a little bit smarter, a little bit more knowledgeable about the situation at hand, but you know what? I want to buy a house or I want to buy a car. How do I make it happen? How do I go to a lender? How do I go to a bank? How do I put myself in a position for them to say, yes, here's the money?
BITNER: Absolutely. Well, several things. No. 1, you've got to come prepared. As with anything else, when it comes down to the lending process for a home today, lenders are going to be very meticulous. They're going to look at everything. So, come armed with all of your information, your bank statements, your last two years tax returns, most recent pay stubs.
The other thing to remember is that if you don't have very good credit today, you are going to have a challenge. There's no two ways about it. I mean ...
WHITFIELD: Why do we keep hearing that people who have excellent credit still can't get a loan?
BITNER: Well, and there certainly is, there's a give and a take there. One of the things that we've seen in many cases has been the case of -- for example, minimum requirements for people who might want to buy a house with as little as five percent down as being required to have a 720 or higher credit score.
For those who don't understand, that's a very good credit score on the scale of things. So, yes, we're seeing a lot of that pushback. One of the other things to remember that sort of influences the housing market ...
WHITFIELD: Yes.
BITNER: ...is private mortgage insurance. Now, this is a mortgage insurance policy.
WHITFIELD: Oh, that PMI.
BITNER: Right, PMI, exactly. The consumers have to take ...
WHITFIELD: Nobody likes it.
BITNER: ...that ultimately protects the lender when the borrower puts less than 20 percent down. Well, at the end of the day, it's not only getting approved with the lender, it's also getting your mortgage insurance company to approve you.
And because these folks have taken a hammering when it comes to the losses as well, we've seen a lot of companies like MGIC that have stepped up and said hey, we're not going ensure anything less than 10 percent down. And in declining markets, meaning where values are declining, it becomes even more problematic.
WHITFIELD: Oh my gosh. I'm not getting encouraged here at all.
BITNER: Yes, sorry to be the bearer of bad news, but ...
WHITFIELD: This is real gloom and doom. OK, so what if I want to buy a car? I mean, you hear from a lot of car dealers who say you know what, we don't have access to get you a loan either. So, does this mean that a lot of folks have to go to their banks in order to get a loan to buy a car?
BITNER: Certainly. You know, in many respects, the bank, and again, obviously your larger banks or even your larger community banks that you might be dealing with certainly are some of the better places to go for that. Absolutely.
WHITFIELD: Richard, you've totally depressed me.
BITNER: Sorry.
WHITFIELD: Can you give me anything good? Anything hopeful?
BITNER: Well, here's the thing. We've got a problem we need to work through. There's no question. We're still not there. You know, I was on CNN a couple of days ago and we were talking about this and the reality is I still think we're probably in the fourth or fifth inning of a nine-inning match. And you know, the reality is we will work through this.
Most important thing for consumers is as with anything else, pay your bills, be on time, do what you can to not fall behind because your credit rating is going to be more important than ever going forward.
WHITFIELD: Wow. All right, Richard Bitner, thanks so much, I guess.
BITNER: Good to be here.
WHITFIELD: No, it is. It's great information to get. It's just, you know, it's not that sugary yummy stuff that everybody wants to hear.
BITNER: Yes, I understand.
WHITFIELD: Hey, here's the way you get around all the nasty stuff. All right, housingwire.com. Folks can ask some questions and learn a little bit more there, too?
BITNER: Absolutely.
WHITFIELD: All right, excellent. All right, thanks, Richard. Happy New Year.
BITNER: Thanks, Fredricka. Same to you. Take care.
WHITFIELD: All right.
All right, and then there's the legal battle over the next senator from Illinois. We touched on a little bit with Bill Schneider. Well now, we're going to touch on it some more with Avery Friedman who's going to talk to us about kind of the legal obstacles that are straight ahead.
(COMMERCIAL BREAK)
WHITFIELD: All right, the Obamas are coming to Washington this weekend. The president-elect will see his girls off to school on Monday. He's expected to meet leaders in Congress and lunch with four presidents who preceded him.
Here now is CNN's Jim Acosta.
(BEGIN VIDEOTAPE)
JIM ACOSTA, CNN CORRESPONDENT (voice-over): Their vacation may be over, but the Obama family has its sights set on the trip of a lifetime. America's next first family lands in Washington this weekend. Their first digs, the city's historic Hay-Adams Hotel. No stranger to presidents, this 80-year-old landmark according to local legend also happens to be haunted by a ghost from the 19th century.
The traditional residents of presidents in waiting, the Blair House won't be available until the 15th. No worries, the Hay-Adams is just steps from the White House.
MAYOR ADRIAN FENTY (D), WASHINGTON: It is exciting ...
ACOSTA: D.C. Mayor Adrian Fenty says the Obamas' return to Washington will usher in a new era for the nation's capital.
FENTY: He's shown a concern for Washington D.C. that I think goes above the average federal politician this year that you may see just driving through the streets, but ignores the city issues. He's going to care.
ACOSTA: The Obamas are moving in early because daughters Sasha and Malia start school next week at the elite private institution Sidwell Friends, a ride to class this town hasn't seen since the Clintons.
ELEANOR HOLMES NORTON (D), D.C. DELEGATE: When he comes this weekend, we'll say he's here. We're going to say he's here.
ACOSTA: D.C. Congressional Delegate Eleanor Holmes Norton says Mr. Obama could make history in the district by signing into law a bill he co-sponsored in the Senate, a measure giving D.C.'s delegate full voting rights in the House, something city leaders have long sought.
NORTON: We think the stars are aligned now for the D.C. Voting Rights Act.
ACOSTA (on camera): And for years, we have known the District of Columbia as the place with the license plate that says "Taxation without representation." Does this mean you'll get rid of the license plate? NORTON: Yes. We may even use that license plates as he goes down Pennsylvania Avenue. We don't know for sure.
ACOSTA (voice-over): Perhaps they can make a pit stop at D.C.'s gastronomic hot spot Ben's Chili Bowl which has the welcome mat out saying "The Obamas can eat for free."
(END VIDEOTAPE)
WHITFIELD: And of course, CNN will bring you live coverage of the president-elect in Washington all next week right here in the NEWSROOM.
All right, Roland Burris, former Illinois attorney general, he's calling himself the junior senator from Illinois thanks to an appointment by Governor Rod Blagojevich.
Let's find out what kind of legal obstacles might be ahead for him. Avery Friedman flying solo today.
AVERY FRIEDMAN, CIVIL RIGHTS ATTORNEY: Yes.
WHITFIELD: Civil rights attorney and law professor, good to see you.
FRIEDMAN: Nice to see you, Fredricka.
WHITFIELD: OK, Roland Burris says, you know what? I am the senator because the governor said so and the governor has not been convicted of anything yet.
FRIEDMAN: Right, right.
WHITFIELD: So, does he have a good point?
FRIEDMAN: Well, you know, this is a constitutional explosion this week, Fredricka, but you know what? I think I can break it down into short-sleeve English. It's basically that the governor needs to make it official by having the Secretary of State, Jesse White, certify that he's been appointed.
WHITFIELD: Who so far has not done that.
FRIEDMAN: Right.
WHITFIELD: Can you make the secretary of state do that as governor?
FRIEDMAN: That's the issue because the Senate, you know, in trying to block this is going use the lack of certification as the way to block Roland Burris' appointment to the Senate. So, right now, what's happened less than 24 hours ago, Roland Burris filed a mandamus action, which is a strange-sounding thing.
WHITFIELD: And he knows the law, former attorney general, by the way. FRIEDMAN: Yes, sure does.
WHITFIELD: Again.
FRIEDMAN: And he's using the right thing. This is an extraordinary writ that says, you know what? Jesse White, the secretary of state in Illinois, doesn't have the discretion not to sign. And so, if Roland Burris is right, the last technical obstacle will be out of the way. That means Senate Democrats can no longer send it to rules. They can't block his appointment.
WHITFIELD: Is this something that happens within a matter of days? Because we're talking Tuesday as the actual swearing in day.
FRIEDMAN: Right. Well, there's a bit of a delay because the attorney general of Illinois doesn't have -- has until Wednesday to respond. So, there's going to be a little bit of a delay, but the truth is when he gets right down to it, Roland Burris is heading to the U.S. Senate.
WHITFIELD: Wow. All right, well, let's talk about something else that will happen in the shadow of Capitol Hill. It will be happening on Capitol Hill come January 20th. We're talking about the swearing in of the next president of the United States.
FRIEDMAN: Yes.
WHITFIELD: And some folks have a beef with these words that he will say. "I do solemnly swear (or affirm) that I will faithfully execute the office of President of the United States; and will, to the best of my ability, preserve, protect and defend the Constitution of the United States. So help me God."
FRIEDMAN: So help me God.
WHITFIELD: It's the "So help me God" part that folks have a problem with and there are lawsuits in play. What are the chances of that being removed because atheists and other non-religious groups say this offends me.
FRIEDMAN: Well, "so help me God," I don't think they're going anywhere, and I think the reason is that very much like the case the same guy brought, Fredricka, this is the same fellow that brought the Pledge of Allegiance, "One nation under God" case. And that case went all the way up to the U.S. Supreme Court five years ago and the U.S. Supreme Court said, you know what? This guy isn't directly affected. He doesn't have standing to bring the case.
Well, you know what? Barack Obama has the right to say anything he wants. The correct thing about the plaintiffs in this case is that, you know what? "So help me God" is actually not in the Constitution. FDR put it in the first time in 1933, but it's the right of the individual, the right of Barack Obama to make that decision, not the plaintiffs in that case. That case is going to get tossed out of court. WHITFIELD: Oh, interesting. OK, so the court says you know what, been there, done that, let's move on. Which I imagine some courts are saying the same thing about this $54 million lawsuit over pants missing, dry-cleaners.
FRIEDMAN: Gosh darn.
WHITFIELD: Oh my gosh. I kind of feel like been there, done that. Have we talked about this case enough this year or what?
FRIEDMAN: I mean, I actually ...
WHITFIELD: Uh-oh, I mean in 2008 or what.
FRIEDMAN: Yes, I mean, I actually -- in 2007. I mean, we talked about the wackiest case and believe it or not, just a short time ago, the District of Columbia Court of Appeals Judge Noel Kramer wrote an opinion because Roy Pearson, the guy that's been complaining about the pants, appealed. And that appeal decision came down saying, you know what? There's absolutely no basis for it and the case has been thrown out of court.
WHITFIELD: What was the argument over the $54 million anyway?
FRIEDMAN: Well, it was crazy. I mean, the fact is this was a case, Fredricka, where a guy claimed that because the dry-cleaner and we see this all the time.
WHITFIELD: Yes, lost displays (ph).
FRIEDMAN: You know, says you know, "satisfaction guaranteed, one-day service." Well, the Court of Appeals recently wrote, you know what? That's the form of advertising. Employ the Court of Appeals said ...
WHITFIELD: Don't believe everything.
FRIEDMAN: Right, common sense. And that's exactly what was missing, that's exactly why probably Roy Pearson lost his job as an administrative law judge.
WHITFIELD: Oh, oh, man.
FRIEDMAN: And guess what? He actually brought a lawsuit against the District of Columbia ...
WHITFIELD: Oh darn.
FRIEDMAN: ...to federal court because he lost his job as a judge.
WHITFIELD: So, you say the common sense was missing just like the pants were.
FRIEDMAN: Common sense is missing all over the place in that case. WHITFIELD: All right, Avery Friedman, thanks so much. And happy New Year and a great 2009.
FRIEDMAN: Happy New Year to you, too. All the best.
WHITFIELD: All right, take care.
FRIEDMAN: Take care.
WHITFIELD: All right, teenagers thinking about some heavy subjects these days. You'd be surprised. Our own Tony Harris heads back to class to hear them debate on the War on Terror and it gets pretty heated, you know.
(COMMERCIAL BREAK)
WHITFIELD: All hour long, we've been seeing this, these flares. We were told that they are flare bombs there over Gaza initiated by Israel, lighting up the sky. It's unclear exactly why or what perhaps might be next, but we're now into the eighth day of this conflict between Gaza and Israel and we continue to monitor the developments there out of that region.
All right, also word of a former high-ranking Taliban official being arrested in Pakistan. He is the former spokesman for Taliban leader Mullah Omar. Ustad Mohammed Yasir was taken into custody at the home of a relative in Peshawar, that's according to one of his relatives and a Taliban source. Yasir was arrested in 2004, but later released in exchange for a kidnapped Italian journalist. The deal was criticized for encouraging more kidnappings at the time.
All right, class in session. The wars in Iraq and Afghanistan have a lot of young people in this country talking. CNN's Tony Harris headed back to class to hear their arguments.
(BEGIN VIDEOTAPE)
TONY HARRIS, CNN ANCHOR: Do you believe ...
UNIDENTIFIED FEMALE: I think we're being a little bit hypocritical. I absolutely ...
UNIDENTIFIED MALE: There are people in the army ...
HARRIS: I'm curious to your thoughts on war and peace. We've got our nation now fighting two wars.
MICHAEL, 10TH GRADE: When I think of Afghanistan, the War in Afghanistan, I think of bold people that had the audacity to steal our airplanes, threaten lives of Americans, run them into American assets and cause chaos across the American country. And once you do that, you deserve what's coming to you.
(CROSSTALK)
STEPHANIE, 11TH GRADE: Trying to say (ph) that it's necessary to go bomb another country just because they, quote, unquote, messed with us. That to me, that doesn't just give you automatic justification to do whatever you want to another country. Violence, point-blank, is wrong.
HARRIS: How many in the room believe it was appropriate for the United States to respond in Afghanistan after 9/11? Tell me why.
MICHAEL, 12TH GRADE: The government does have a fundamental responsibility to protect its citizens and the point at which people in other countries have caused the death of American citizens, we need to act and we need to ensure that that does not happen again.
CAROLINE, 11TH GRADE: I think we're being a little bit hypocritical. I absolutely -- I support the -- I support invading Afghanistan, and I support our troops, and I think it's absolutely wrong that Americans were killed, but we have supported 14 Qs (ph) in other countries in the past 100 years. We have killed -- I think in August, we killed 60 civilians, 30 of which were children, something like that in Afghanistan. And so, we kill people, too.
TAYLOR, 10TH GRADE: Us killing other people won't justify anything. I think that we did that out of anger. I don't think that us going over there was appropriate. I think that us doing that only caused more problems in the United States and endangered our lives even more because we don't even know what we're going over there to do.
HARRIS: What are your expectations for the Obama administration?
MICHAEL, 12TH GRADE: One of the things that he's promised to do is ramp up our force levels in Afghanistan, and the question, the ultimate question that I have with that is how realistic is it? Do we expect to do in Afghanistan what 60,000 soldiers, 30,000 of whom can't even fight with utmost humanitarian concern, what the Russians couldn't do with 115,000 soldiers and the utmost barbarity of brutality? I don't see the realistic possibility here.
TAYLOR, 12TH GRADE: It seems to me like our politicians are afraid to talk to these people. They want to indirectly talk to them whereas it takes getting on a plane, going to their country and sitting in their houses and in their government and talking to them.
MICHAEL, 10TH GRADE: I understand diplomacy, but sometimes you can't sit down with bin Laden. You can't sit down with Vladimir Putin because those people ...
(CROSSTALK)
MICHAEL, 10TH GRADE: You cannot sit down with ...
MICHAEL, 12TH GRADE: I want to understand that I'm distancing myself from the position of a nuclear war with Russia? I am not in favor of this.
HARRIS: All right, we'll take this and we'll take this one offline. Thank you very much. (END VIDEOTAPE)
WHITFIELD: Oh wait, but there's more. These kids are really thinking deeply about a lot of issues. Next Friday, you'll hear their conversation on race in America. And you're not going want to miss that one either. That's next Friday at Noon Eastern, right here on CNN with Tony Harris.
Free beer and resume advice. We'll take you to a place where they're offering up the perfect combination for these hard economic times.
(COMMERCIAL BREAK)
WHITFIELD: On tap at a Missouri bar, free beer and resume advice. What more could you want? Alex Fees is of affiliate KSDK has the story.
(BEGIN VIDEOTAPE)
UNIDENTIFIED FEMALE: Here's the deal with objectives. I think they serve a purpose in certain instances.
ALEX FEES, KSDK REPORTER (voice-over): If you came into the Royale on South Kings Highway Monday afternoon ...
UNIDENTIFIED FEMALE: It allows them just to stand out that much more.
FEES: ...you could get some professional advice about your resume and a free beer.
STEVEN FITZPATRICK SMITH, OWNER, THE ROYALE: And we need to remember who we are. Our city was built as a brewery city. People came here from all over the world, especially the Germans. They came here to build breweries.
FEES: Steven Fitzpatrick Smith came up with the idea right after Inbev (ph) snatched up St. Louis Original Anhaeuser Busch. Smith is the bar owner and program director.
SMITH: I'm just a tavern that hosts these types of discussions, but I hope that we can come out of this and talk about it.
She's a resume person. I need to talk to her. Sorry.
FEES: And he's a busy man.
SMITH: You'll be next.
UNIDENTIFIED FEMALE: In this case, too, functional resumes also work better.
FEES: Education consultant Allison Trombly (ph) is serving up advice on resumes.
(on camera): Allison, is it safe to say put your best stuff at the top?
ALLISON TROMBLY, EDUCATION CONSULTANT: Yes.
FEES: How many pages should a resume be?
TROMBLY: One.
FEES (voice-over): Fred Hesse is a real estate agent.
FRED HESSE, REAL ESTATE AGENT: I think I have the wrong type of resume format right now. That was my biggest question, too.
FEES (on camera): Smith can be forgiven if his motives are not entirely altruistic. After all, his concern for business applies to his business as well. And having programs like this in the middle of the afternoon gets people in to his establishment at what recently has been a slow time of day.
SMITH: Handing out beer with no compensation doesn't necessarily help my bottom line, but ...
FEES: But it gets people in here.
SMITH: It does get people in here and it's important that activity is very important. Sedentary businesses don't succeed.
(END VIDEOTAPE)
WHITFIELD: And stay with CNN throughout the day for the latest breaking news. I'm Fredricka Whitfield. "Gimme My Money Back" starts right now.
