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Obama Seeks Tough Compromises on Middle East; Advocacy Group Engages Young People on Politics; Father Keeps Pressing to Get Son from Brazil; Gas Prices Rise for 41 Days; Chrysler Plans Quick Exit from Bankruptcy; Galveston Still Rebuilding after Ike
Aired June 08, 2009 - 10:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
HEIDI COLLINS, CNN ANCHOR: Checking stories happening right now. The sale of Chrysler assets to Fiat could be cleared or put on hold by the Supreme Court. A decision expected this morning on an emergency appeal from three Indiana state funds. The investors are looking for more money for their share of Chrysler's secured debt.
Boots on the ground. The first wave of an increase in U.S. troops has arrived in Afghanistan. Some 7,000 Marines are patrolling the dangerous southern part of that country. President Obama has ordered 21,000 additional troops to Afghanistan by this summer in order to fight the Taliban.
And a sign today. North Korea could be preparing for a long- range missile test. Japan's coast guard says North Korea has warned fishing boats to stay away from its East Coast. The warning comes after President Obama said the U.S. did not intend to continue rewarding North Korean provocation.
Americans convicted by North Korea's highest court. The communist nation sentences the women to years of hard labor. It is the latest act of defiance from North Korea and the latest to fuel rising tensions.
Sohn Jie-Ae is in South Korea, and she is joining us now live from Seoul.
Jie-ae, give us the very latest.
SOHN JIE-AE, CNN CORRESPONDENT: Well, North Korea today through its official new agency, Heidi, sentenced the two U.S. journalists to Laura Ling and Euna Lee to 12 years in a North Korean prison. They accused them, they sentenced them to what they call severe crimes against the country and for illegally entering North Korea.
Now, we don't know what these grave crimes are but previously they were charged with what North Korea called hostile acts and espionage. So analyst here say that usually the sentence that goes with such a charge is between five to 10 years. But the fact that North Korea gave the two journalists 12-year sentences considered quite severe and is considered by some here a message from Pyongyang to the outside world that this is a serious case and that should not be taken lightly, Heidi.
COLLINS: All right. We sure do appreciate live reporting coming to us from Seoul, South Korea. Sorry about that Sohn Jie-ae.
We want to talk a little bit more about it, too. In Washington, the focus is turning to diplomacy. And a delicate balancing act here. CNN's Phil Dougherty of the State Department now with a closer look because we have two different sort of tracks with this story. Don't we, Jill?
JILL DOUGHERTY, CNN FOREIGN AFFAIRS CORRESPONDENT: Yes, you do. You have the humanitarian side of it, trying to get this women out and now on the other side, it's what we've been reporting about the standoff between the United States and in fact much of the world and the behavior of North Korea with its nuclear tests and its missiles. So it's very sensitive and right here in this building, the State Department, I can tell you right now these diplomats are working very intensively, trying to work out where they can go and how they can get the women out. Just one complication is there are no relations, diplomatic relations between the U.S and North Korea.
COLLINS: Right.
DOUGHERTY: So this morning, they issued a statement here at the State Department. Here it is. "We are deeply concerned by the sentencing of the two American citizen journalists by North Korean authorities and we are engaged through all possible channels to secure their release. We once again urge North Korea to grant the immediate release of the two American citizen journalists on humanitarian grounds."
Now, one possibility when they say humanitarian grounds might be the use of a special envoy. And two names have actually floated even before this and that is Bill Richardson, the former governor and also former vice president, Al Gore, who is the co-founder of the on-line news service that these two journalists work for.
COLLINS: Yes.
DOUGHERTY: And Richardson was on our air just this morning, just a short time ago. And he said that this is a high stakes poker game.
(BEGIN VIDEO CLIP)
BILL RICHARDSON, FMR. NEW MEXICO GOVERNOR: I think the next few days at the highest levels, the Obama administration is doing the right thing, separating the issues, starting contacts through third parties, working very hard publicly to get the release to happen.
(END VIDEO CLIP)
DOUGHERTY: So he has been through this before. In 1996, he helped an American to get out of North Korea and right now he is saying he's relatively hopeful.
COLLINS: All right. Well, as we said, we'll continue to watch the developments there. Our foreign affairs correspondent, Jill Dougherty, thank you so much, Jill. DOUGHERTY: The sentencing comes amid tougher talk in Washington. Secretary of State Hillary Clinton says the world must confront North Korea's nuclear ambitions and its recent tests. She says the U.S. will do everything possible to cut off shipments of the nuclear technology or other weapons.
(BEGIN VIDEO CLIP)
HILLARY CLINTON, SECRETARY OF STATE: If we do not take significant and effective action against the North Koreans now, we'll spark an arms race in northeast Asia. I don't think anybody wants to see that.
(END VIDEO CLIP)
COLLINS: Clinton also said Washington could add North Korea back to its list of states sponsor of terrorism.
Check out the big board now. Go ahead. Whew. I didn't realize it was down triple digits. Dow Jones industrial average is down about 105 right now, resting at 8,658. We will continue to watch those numbers very closely here as usual in the CNN NEWSROOM.
Also, watching these numbers, gas prices. And they are climbing. The summer spike is somewhere down the road. Today the national average for regular unleaded is 2.61. Now, that's an increase of more than a dime or so over the past week. And it jumped up over 42 cents over the past month. On the bright side, the same gallon of gas would have cost you $4 last summer. So will the sizzle of summer burn a hole in your wallet? We're going to look at the rising price of gas and this seasonal spike that is still likely ahead. How bad will it get? That's the big question. Some oil traders share their predictions coming up later in this hour.
Stormy skies also for the world's airlines. And industry group says the world airlines will lose about $9 billion this year. The reason? Fewer people are choosing to fly because of the recession. Christine Romans, part of the CNN Money Team, she is joining us now live from New York. I don't know, Christine. There's a lot of reasons that these guys are losing so much money.
CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: They really are. And frankly, air freight as well. I mean, the things that we ship using airlines is down dramatically. I mean, after, by late last fall, or at the end of the year, down some 23 percent. And now the International Air Transport Association says that that air freight has stabilized, Heidi. But stabilized at levels that are 20 percent below last year. They call what's happening right here, pretty much unprecedented, you know and they have to lower fares to get people on the planes. And even doing that - you're talking about -
COLLINS: They don't have any planes.
ROMANS: Yes. I mean, frankly, you know, they are putting people on smaller planes and they are doing whatever they can to get you on there. And they still are not making money. So they are talking about lost revenue of like $80 billion, just vanishing this year. And it's interesting too because they list all of these things that are coming together here, Heidi. Falling demand, collapsing yields, broken consumer confidence and pandemic fears. So, if you are looking to buy an airplane ticket, frankly right now, is a pretty good time because they are trying to do whatever they can to get you on those planes but they are looking at major, major losses this year for the airlines, both because of passenger travel down about fight percent, passenger demands and also because of that air freight demand which is down some double digits, some 20 percent, which really, really hurts the bottom line.
COLLINS: Yes, I mean, this is kind of slow leaking for a while. To be accurate, September 11th when we started seeing a lot of the routes reduced and a lot of the planes being bone yarded for lack of a better word. And we still see full flights but fewer planes. So there you go.
ROMANS: That's right. And that's absolutely right. And they are packed, the planes are packed when you're on them. I don't know if you've noticed this but I've noticed that in some of the recent flights, that they're packed. And you talk about September 11th. After September 11th, it took them - there was a strong economy after September 11th, after the initial, you know, the initial hit to the economy, then the economy overall started to grow again. The best thing that could happen for this industry right now is for the economy to start to grow again but they are, this is definitely a worst situation than that economic crisis right after September 11th.
This is a very unprecedented situation. And about the energy prices, they are concerned because frankly energy prices have been going their way. Because it's cheaper over the past year but the director general of this International Air Transport Association says greedy speculation must not hold the global economy hostage. They are worrying about speculators driving up energy prices, crude oil prices and that hurts them even more.
COLLINS: Absolutely. All right. It's one to watch. Thank you so much. CNN's Christine Romans of our Money Team.
Doctors at Shriner's Hospital in Sacramento, California, have started what they say will be months of treatment for three badly burned toddlers. They were injured in Friday's fire at a Mexican daycare center where 42 infants and toddlers were killed and dozens more were hurt. Some parents rammed their cars in the building in an effort to free the trapped children. A large group of mourners turned out for the funeral for six of the victims in Hermosillo. They don't know yet what caused the fire but authorities say it did not start inside the building.
And the search goes on some 700 miles off the coast of Brazil for bodies and wreckage from last week's crash of an Air France plane. 17 bodies have now been recovered along with items that were on board the jetliner. A French nuclear submarine and two hi-tech U.S. Navy ships are expected on site this week trying to locate the voice and data recorders. A memorial service was held in Lafayette, Louisiana yesterday for Michael and Ann Harris, the only U.S. citizens on the plane.
Plenty of cleanup for people in Colorado today after that. That is one of five tornadoes that touched down yesterday. Our i-reporter Mark Sapp of Aurora, Colorado captured some of these unbelievable pictures of the funnel clouds. And take a look at some of the damage in the area too. Trees knocked down. Car windows blown out. A big mess there. Firefighters say one person was seriously hurt while trying to take pictures of the tornado. Yikes, hate to hear that. Hi there, Bonnie.
BONNIE SCHNEIDER, CNN METEOROLOGIST: Hi. Those pictures actually were incredible from that i-report. You can really see the dimensions of the actual funnel cloud and you know, depending on where you are standing when you're taking the pictures with the lights behind you, in front of you, the color and the shape of the tornado could look different and we appreciate those i-reports to us coming in from Colorado where five tornadoes touched down.
Let's talk about what is happening right now. We are looking at some wet weather working its way into Chicago. Let's show you a live picture outside right now of Chicago. And it looks pretty good downtown but notice the low clouds. They're building and the sun kind of hazy. That's a sure sign of some wet weather on the way and we are definitely looking for a lot of wet weather just to the south of the city. Take a look at our radar picture. And what you're looking at is a lot of rain working its way across Chicago and also into Indiana and Illinois and also towards St. Louis, Missouri, where we had some heavier downpours that's all sliding up to the northeast. So it is going to be a little bit troublesome as we go through the day today. So if you're traveling, watch out for delays there although we don't have airport delays to let you know about at this moment.
We are going to track though the possibility of severe storms and that could include the threat for tornadoes. Right now, there is a slight risk of severe weather but of course, that means we can certainly see it. Also, once again, we are looking at hot temperatures in Texas. Dallas, up to 95, 91 in Houston and speaking of hot conditions, things are starting to heat up in the tropics. This is the southwest Caribbean and you're looking at an area of disturbed weather right here just further off to the north of the areas in Central America, south of Jamaica.
Right now the National Hurricane Center says the probabilities for this to develop into a tropical system, well right now they are low but that could change. The reason they are low is due to wind shear kind of tearing down the tops of thunderstorms. But the problem that we're going to see now, for those of you that are planning a trip, maybe you're getting a good airfare in the Caribbean because of this hurricane season, we'll be looking at a lot of heavy rains sweeping across Jamaica, into Haiti and also further to the south as well towards Guatemala and Honduras and Belize, the site of Arthur last year.
So this is an area we're watching. Things are starting to hear up the water temperature here is well over 80 degrees. So a possibility that it could turn into something right now is low but we're monitoring it. Heidi.
COLLINS: Yes, very good. All right, Bonnie. Also, I was just wondering to remind I-report and so forth, I'm talking about Colorado and the tornado and the gentleman, the person who was injured. Be very, very careful when you go out and shoot video or take pictures. Obviously, we don't want you being hurt.
SCHNEIDER: Definitely.
COLLINS: All right. Bonnie, thanks you so much. We'll check back with you later on.
Meanwhile, Newt Gingrich talking once again about his recent comments regarding the Supreme Court nominee Sonia Sotomayor. We'll bring you the very latest on that.
Also, right now on cnn.com/newsroom, we do want to hear from you about that heartbreaking custody battle involving an American father and his son in Brazil. And then later on in this hour, I'm going to be talking with a former State Department official who is advising the boy's father on what to do next.
(COMMERCIAL BREAK)
COLLINS: Supreme Court nominee Sonia Sotomayor back in Capitol Hill today. She will make more courtesy calls on key senators. Senator Charles Schumer from her home state of New York escorting her for these meetings. In fact, you are looking at some live pictures from Capitol Hill right now. That, of course, is where it's all happening. So we'll keep our eye on that for you today.
Also, the former republican House Speaker Newt Gingrich made waves recently when he called Supreme Court nominee Sonia Sotomayor a racist and then a week later he retracted the comment saying, he had been "perhaps too strong and direct." Gingrich talked more about his comments on a Sunday morning talk show.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Let's talk about Sonia Sotomayor and what you said about her. You rescinded.
NEWT GINGRICH, FMR. HOUSE SPEAKERS: Well I reframed it. When I did a twitter about her, having read what she said, I said, that was racist but I applied it to her as a person. The truth is, I don't know her as a person. It's clear what she said was racist and it's clear for somebody what racial is, if you prefer and it's clear that she just didn't say it once. I think one of the challenges for the administration is, having first chided me for language, then having said she didn't mean it, and then having said she ought to re-state it. Now they face the fact that she has said this, written about it four or five times.
(END VIDEO CLIP)
COLLINS: Newt Gingrich will serve as the keynote speaker tonight during the annual Congressional Republican Fundraising dinner.
Alaska Governor Sarah Palin making the rounds in New York, taking part in an autism walk. Plus, giving a speech on helping those with developmental disabilities. But was the republican governor also thinking about 2012? CNN's Mary Snow reports.
(BEGIN VIDEOTAPE)
MARY SNOW, CNN CORRESPONDENT (voice-over): She traveled thousands of miles to mark a page in Alaska's past. Governor Sarah Palin paid tribute in upstate New York to William Shewhart(ph). He negotiated the purchase of her home state in 1867 but it was her political future that became a focus in the crowd and she made clear she's watching Washington.
GOV. SARAH PALIN (R), ALASKA: We know decisions being made lately we believe are not in the nation's best interest.
SNOW: And Palin took aim at the Obama administration over proposed cuts to Alaska's missile defense network.
PALIN: Reducing Alaska's defense readiness in these perilous times is a show of weakness. It's not a sign of strength.
SNOW: Palin's political action committee paid for her New York trip and took here to a Yankees game with fellow republican Rudy Giuliani, an autism walk and a fundraiser for an organization dedicated to the disabled where Palin talked about her one-year-old son Trig, who has Down's syndrome.
PALIN: Just because our ticket placed second out of two, you still have an advocate for the cause.
SNOW: She took no questions from reporters but at least one New York republican is meeting into here trip.
UNIDENTIFIED MALE: I think she's (inaudible). That's just my own opinion. I think she wants to get the feel for how it is out there.
SNOW: A recent CNN opinion research corporation poll shows in a hypothetical republican presidential race in 2012, she's virtually tied with Mike Huckabee and Mitt Romney. Palin says republican congressman Peter King will have to overcome unfavorables and filling gaps of foreign policy but he says he's urged her to get out there.
UNIDENTIFIED MALE: Just star quality and not many people in our party have it today.
SNOW (on camera): After New York, it was on to Washington and it remains unclear whether or not Governor Palin will attend a fund- raiser tonight for congressional republicans. Over the weekend, there was a behind the scenes drama between her camp and organizers of the event about whether or now she will speak. She will not. Mary Snow, CNN, New York.
(END VIDEOTAPE)
COLLINS: We want to bring you some news just in into the CNN NEWSROOM now from the Supreme Court. We have learned that the court has actually turned down a challenge to the Pentagon policy of don't ask, don't tell. The court said today that it will not hear the appeal from a former army captain who is actually dismissed under the military's don't ask, don't tell policy. So we are continuing to follow this story for you. Once again, the argument in order to change this was based on this gentleman's idea that the Clinton era policy is unconstitutional. That's what he was trying to argue. But again the Supreme Court has actually turned down a challenge now to the Pentagon policy of don't ask, don't tell. We'll stay on top of that one for you.
Also, giant toy makers Mattel hit with a multi-million dollar fine for selling toys with lead paint. Just how dangerous are these toys around our kids? e have some answers for you coming up, after the break.
(COMMERCIAL BREAK)
ANNOUNCER: You're watching CNN NEWSROOM on CNN, the most trusted name in news.
COLLINS: President Obama has his sight set on another polarizing domestic issue. Healthcare reform. After months of insisting he would leave the details of constructing a new plan up to Congress, he decided to take charge of a major push to have health care reform bill drafted by fall.
(BEGIN VIDEO CLIP)
PRES. BARACK OBAMA, UNITED STATES: The status quo is broken. We cannot continue this way. If we do nothing, everyone's health care will be put in jeopardy.
REP. ROY BLUNT (R), MISSOURI: Activating the grassroots effort from the campaign is one way to keep your campaign effort alive and it's not a particularly effective way to create a bipartisan solution to an important problem.
(END VIDEO CLIP)
COLLINS: The president thinks capping tax deductions for high- income Americans may be the best way to lower the cost of expanding the national health care. It's estimated about 45 million Americans are uninsured.
For your "Daily Dose" today, we are talking about growing concerns over lead paint being used on our children's toys. We're also talking about an alarming increase in colon cancer among young adults.
CNN's senior medical correspondent Elizabeth Cohen is joining us now to talk a little bit more about both of these issues. So when you talk about lead paint, it seems like for years and years but some of these companies are still using paint in the toys?
ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Well, I should make a point that these toys that we're going to talk about right now were recalled in 2007.
COLLINS: OK.
COHEN: They were recalled in 2007. The news here, Heidi, is that on Friday, the Consumer Product Safety Commission levied its biggest civil fine ever, $2.3 million, against Mattel-Fisher Price for lead in some of the toys that you are seeing here. We're talking Ernie, Elmo, Dora familiar to many, many parents.
Now, there are 83 products. I obviously cannot name them all. But if you take a look at cnn.com/newsroom, my CNN medical colleague Sylvia Rice has written a blog that includes a link to all those toys. You know what, Heidi, even though they were recalled, they could still be sitting -
COLLINS: Yes.
COHEN: And so I might have some in my playroom, I have to tell you.
COLLINS: Yes. Definitely. We know that they are off the shelves.
COHEN: Right.
COLLINS: But that doesn't mean that they are not in your toy chest.
COHEN: Right. Because you might have bought them in 2006.
COLLINS: Yes.
COHEN: If you didn't know to get rid of them, they could still be there.
COLLINS: That's a tough issue with the recall or something like this. So what do you if you're afraid that your child has been playing with these toys.
COHEN: If you're concerned about that, take your child to the pediatrician and ask for a lead test. It's a blood test that sees what lead they have. Chances are their fine but they're really sucking and gnawing on them, you really want to get them rested.
COLLINS: Yes, which they do when they are younger. Obviously.
COHEN: And we also have a statement from Mattel that I want to read.
COLLINS: OK.
COHEN: Because they have a statement on this, they say, "Mattel continues to be vigilant and rigorous in ensuring the quality and safety of our toys."
COLLINS: OK. So we'll continue to follow that one.
Also what about the colo-rectal cancer showing up a lot more now in young adults, what age group are we talking about.
COHEN: We're talking about people even in their 20s. Let's take a look at what the study found for people in their 20s, they found that for people in their 20s, colorectal rates are going up. For men, 5.2 percent per year and -
COLLINS: It's relatively small, right.
COHEN: For women, 5.6 percent per year. So basically the bottom line is, these rates are going up for young people. Now, that's not true for older people, people over 50 get colonoscopies.
COLLINS: Right.
COHEN: So they are in better shape than people in their 20s. It's going up, definitely concerning.
COLLINS: So does that say that kids around that age should start - I mean, I call them kids but should start thinking about getting the colonoscopies or (inaudible)?
COHEN: We're not there yet but you want to talk to your doctor, if you have any history of colon cancer or certain other cancers in your family, talk to your doctor about whether you should have a colonoscopy even if you're only 25, say.
COLLINS: Yes, definitely. All right. Our Elizabeth Cohen, thanks so much for that. Appreciate it.
Also, President Obama hopes his overseas trip is not all talk. He's hoping to see some action now. What he expects from some world leaders.
(COMMERCIAL BREAK)
ANNOUNCER: Live in the CNN NEWSROOM, Heidi Collins.
COLLINS: Checking our latest headlines now, two U.S. journalists are facing 12 years of hard labor in a North Korean prison. U.S. officials say they are working very hard on efforts to free the women. We'll stay on top of that story for you.
Also, the death toll from a fire at a Mexican daycare center is at 42 with dozens more injured. Three badly burned toddlers are being treated at a Sacramento, California facility now.
And also the search goes on for victims, for wreckage and of course the black box as well from last week's Air France crash off of Brazil. 17 bodies have been recovered so far.
President Obama back in Washington today after spending time in the Middle East and Europe. In Germany, the president met with German chancellor Angela Merkel. They discussed issues ranging from climate change to the financial crisis. And in France, President Obama talked with French President Nicolas Sarkozy and participated in D-Day anniversary ceremonies. White House correspondent Dan Lothian has more now on the president's overseas trip and the next step in the peace process.
(BEGIN VIDEOTAPE)
DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT (voice-over): He gave a handshake and a hug to the Muslim world, then delivered a prescription for peace. Now President Obama's trying to show the world that it was more than a good-will gesture at a sightseeing trip, this week sending his special Middle East envoy, George Mitchell, to the region.
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: I think the moment is now for us to act on what we all know to be the truth, which is that each side is going to have to make some difficult compromises.
LOTHIAN: Mr. Obama is counting on world leaders, like Saudi Arabia's King Abdullah and Egypt's Hosni Mubarak, to be key players in dealing with the Israeli-Palestinian conflict and Iran's nuclear ambitions, and fighting against terrorists in Afghanistan and Pakistan. German Chancellor Angela Merkel assured the president she's on the same page.
ANGELA MERKEL, CHANCELLOR OF GERMANY: I said on behalf of the Federal Republic of Germany that we would like to try and be helpful in this peace process to the extent that this as possible to us.
LOTHIAN: And there's the increasingly troubling question of what to do about North Korea with its nuclear tests and missile launches. Meeting with French President Nicolas Sarkozy in Normandy, President Obama suggested there's a limit to his patience.
OBAMA: I don't think that there should be an assumption that we will simply continue down a path in which North Korea is constantly destabilizing the region, and we just react in the same ways by, after they've done these things for a while, then we reward them.
LOTHIAN (on camera): On his overseas trip, Mr. Obama also visited the Buchenwald concentration camp and attended the 65th anniversary of D-Day, all part of a common theme that the world community should engage to make sure that right triumphs over wrong.
Dan Lothian, CNN, Paris.
(END VIDEOTAPE)
COLLINS: Hip-hop on Capitol Hill. An African-American president is spurring an interest in politics amongst minorities. And a caucus headed by a former rapper is turning that wave of support into a huge political force. CNN congressional correspondent Brianna Keilar has that story.
(BEGIN VIDEOTAPE)
(MUSIC PLAYING)
BRIANNA KEILAR, CNN CONGRESSIONAL CORRESPONDENT (voice-over): Hip-hop meets politics in Young Jeezy's hit song and on Capitol Hill.
REV. LENNOX YEARWOOD, PRESIDENT, HIP HOP CAUCUS: You are at the table. You are on the menu. There is no in between.
KEILAR: Reverend Lennox Yearwod heads up up the nonprofit Hip Hop Caucus, an advocacy group for young people of color in poor urban communities. And this day, House Speaker Nancy Pelosi has given him a seat at her table. The Rev, as he's called, is pushing the Hip Hop Caucus's top issue, "Green the Block," creating new green jobs while saving the environment.
YEARWOOD: So, we can have people in urban communities, they can get back to work. They can now start retrofitting homes and weatherizing roofs and putting up solar panels.
KEILAR: The caucus also registers young voters, trying to engage them in the political process with a little help from high-profile recording artists like Jay-Z, T.I. and Keyshia Cole. Yearwood says it's working.
YEARWOOD: They ask me, what's a fillibuster, Rev? What's going on? So, who is Nancy Pelosi? Why does Biden talk so much?
KEILAR: Rev wants to build on that political curiosity, born of an historic election. He knows young voters can be fickle but believes this time they'll stick around.
YEARWOOD: There's no stopping us now. We say hip-hop can't stop, won't stop.
(END VIDEOTAPE)
COLLINS: And Brianna Keilar joining us now live from Capitol Hill. So, Brianna, this isn't about the music business. It's about serious business.
KEILAR: No, that's right. The Hip Hop Caucus has some serious issues it wants to be heard on, including health care and energy, which are the top issues before Congress right now. Also, you -- we should note as well that the caucus traces its roots to the "Vote or Die" campaign, as well as the Hip-Hop Summit Action Network.
When they first came to the Hill, Heidi, people actually thought the Hip Hop Caucus was some sort of rap group, Democrats and Republicans. So, they sort of fought with trying to be taken seriously. They feel now they're being taken a little more seriously.
I should mention that when Rev Yearwood was at the table with Nancy Pelosi, he was also there with Jesse Jackson and the head of the NAACP. So, they think that their message is starting to resonate more here on Capitol Hill now. COLLINS: All right, Brianna Keilar coming to us live from Capitol Hill. Thank you, Brianna.
COLLINS: An African-American woman is the new face of religious diversity. Alysa Stanton was ordained as a rabbi Saturday along with 14 other new rabbis in Cincinnati's Plum Street Temple. She is now the first female African-American rabbi in the world. Here's what she said to CNN.
(BEGIN VIDEO CLIP)
ALYSA STANTON, FIRST AFRICAN-AMERICAN FEMALE RABBI: The Jewish community has grown over the years, and people have been excited about my ordination. We still have room to grow, and I'm excited that bridges are being built. Some African Americans can understand me being a Jew and me being a rabbi. But for the most part, people have been wonderful.
And I've been concentrating on those people who are positive and those institutions that are working together to build towards hope and change and not the negativity. That's not what I'm about.
(END VIDEO CLIP)
COLLINS: Stanton will begin serving as a rabbi for a predominantly white congregation in Greenville, North Carolina in August.
And we are taking a look at what it really means to be black in America. Watch stories of people stepping up, taking charge and creating solutions. The documentary "BLACK IN AMERICA 2" premiers July 22nd and 23rd, only on CNN.
And right now on CNN.com/newsroom, we are taking your comments on that heartbreaking custody battle involving an American father and his son in Brazil. Now, when we come back, we're going to talk with a former State Department official about a new deadline that is going to take place this week and what exactly this man is telling the boy's father to do.
(COMMERCIAL BREAK)
COLLINS: We want to update you now on a story that we've been following here in the NEWSROOM. A New Jersey father's fight to bring his son back from Brazil. The supreme court there expected to issue a ruling, possibly on Wednesday. A lower court had previously granted custody of the 9-year-old -- his name is Sean -- to the father. The boy's mother had originally taken him to Brazil five years ago, divorced the boy's dad, remarried and then died in childbirth. The boy has now been living with his stepfather.
Joining us now to talk a little bit more about this is Bernard Aronson. He's the former assistant secretary of state and has been advising the father, David Goldman -- for Latin affairs, I should say, to be specific, is what your area of expertise was.
Now, let me ask you, as we were reading this introduction, was the divorce between the couple ever legal? Do we know even that part?
BERNARD ARONSON, FORMER U.S. ASSISTANT SECRETARY OF STATE FOR LATIN AMERICA: Well, she divorced him in Brazil, and probably under Brazilian law it was legal. But that's not really relevant. She should have returned the child within five weeks of abducting him under an international treaty that Brazil signed, and then custody should have been adjudicated in the courts where the child lives. That's what the treaty requires.
COLLINS: Of course. But we've been talking with a lot of people who are familiar with similar situations, and not very many of them seem to be in the exact circumstance here where the mother has died and a natural-born father is still alive and still very much wants to have this child back. What is next in this case? Are we going to see anything happen this week?
ARONSON: Well, not necessarily, because there are two separate judicial processes going on. As you mentioned, a district court judge issued a very strong ruling, 80 pages, that said unequivocally that Sean Goldman should be returned to his father, that he was abducted illegally, and that Brazil has an obligation to return him immediately.
A small political party in Brazil then took this to the supreme court and claimed that there was some constitutional issue. And a single judge in the supreme court stayed the ruling that caused the child to be returned, and the supreme court is now deliberating on that challenge.
COLLINS: Right.
ARONSON: So, they will decide Wednesday whether to accept that constitutional challenge or to reject it. But regardless, there's still a case in the district court that has to be resolved.
COLLINS: OK. So, who's this political party?
ARONSON: Well, it's called the Progressive Party, and it has no standing in this case. It is not involved in any way, and it never should have been accepted in the first place.
COLLINS: Well, how did they even get heard?
ARONSON: Well, this single judge issued a ruling, and he had the power to do that under their system.
COLLINS: Well, you have said in the past -- and I want to quote you here -- that the judicial system in Brazil has, quote, "a history of breaking your heart." What is it about this court's system that actually led you to that conclusion? I imagine that this is certainly not the first child abduction case that you've seen.
ARONSON: There are 65 American children who have been abducted to Brazil who should have been returned to their parents under a treaty which Brazil signed and which binds Brazil as it binds the United States. The United States has... COLLINS: We're talking about the Hague here, correct?
ARONSON: The Hague Treaty. That's correct. The Hague Convention on Abducted Children. The United States has returned a number of children abducted from Brazil to the United States, as it should under the treaty. Brazil has never returned a single child. So, Brazil needs to define itself. Is it a nation of law that upholds the treaties it signs, or is it a nation that protects and defends child abduction?
COLLINS: Well, who exactly, then, can right this wrong? I mean, do you have to talk to the president of Brazil? I mean, I don't understand how this can continue to go on when these international treaties have been broken.
ARONSON: Well, that's a good question. The executive in Brazil actually has said that this child belongs in the United States, but the judicial system has been manipulated by this very powerful family, which is a family of lawyers. And they've kept it from being be adjudicated under the proper terms and in the proper courts. At the end of the day, the Brazilian government is responsible for upholding the treaty it signs, and it's their responsibility to make their system work.
COLLINS: Yes, but they haven't for five years.
ARONSON: No, that's right. And time is not on this little boy's side. There's a lot of evidence that this family is pressuring this poor little boy, who's torn between these two families, into saying he wants to stay in Brazil.
The court-ordered psychologists have already noted that the boy is being pressured this way. They say it's a very unhealthy environment. And the boy should have been returned to his father five years ago. What this family is saying is, we kidnapped him, but now that we've kept him for a number of years, he belongs in Brazil. That's outrageous.
COLLINS: Well, again, reminding everybody who may not be as familiar with this story, the stepfather, an attorney, the father of the stepfather an even more well-known attorney in Brazil. So, obviously, we will continue to ask questions along those lines and follow very closely here. Bernard Aronson, we sure do appreciate your time.
ARONSON: Sure, thank you.
COLLINS: Thanks so much.
ARONSON: Thank you.
COLLINS: We will have more on the Brazil custody case on our blog as well. Want to let you know that works. Just a quick reminder. Go ahead and go to CNN -- excuse me here. Let me get this up. CNN.com/newsroom, and then just click on my name. You'll see it there. Click right here. And then go ahead down. You can read about the Brazilian custody battle and then go ahead and post your comments. Tell us what you think about this because again, it has been five years. And the little boy is a U.S. citizen. So, lots of questions to be asked. We, of course, will read some of these comments for you, bring them to you tomorrow, again on the Brazilian custody case.
And we're back in just a moment right here on CNN.
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COLLINS: Oil prices have doubled since February, and gas prices are up 41 days in a row now. So, what's going on? CNNmoney.com's Poppy Harlow has our "Energy Fix" now this morning. Yes, we have been watching this, haven't we, Poppy, creep up and up and up.
POPPY HARLOW, CNNMONEY.COM: Yes.
COLLINS: Didn't realize it was 41 days in a row now.
HARLOW: I know. AAA says 41 days in a row gas is up. It's hurting folks exactly where they don't need it during this recession. Less than six months ago -- look at that chart -- oil was $35. Last week, it hit 70 bucks a barrel. We're going to bring in an oil trader live from New York here at the NYMEX to talk about exactly what's going on. Ray Carbone joining us now live. Ray, let's talk about this. I mean, what's the biggest driver of this oil surge?
RAY CARBONE, PARAMOUNT OPTIONS: The biggest driver of this oil surge, in my mind, is the recovering stock markets that we've seen globally, and that's people expecting that the economies are going to turn around and recover, and we're going to see those big strong demand numbers we saw one year ago.
HARLOW: So, what do you say to the people, Ray, that just argue, listen, this is the fault of people like you, traders and speculators? What do you say to them?
CARBONE: I say that speculation is -- brings liquidity, and liquidity brings cushions on the prices up and the prices down. And from a year ago, we've had very little liquidity, or at least a lot less liquidity than a year ago, and that's what is helping cause the volatility that we've seen in the oil markets, causing oil to go from 35 to $70.
HARLOW: And causing gas to go up for 41 days. People want to know this, Ray: How high is oil going to go this summer and in the next year? Are we going to see $147 a barrel like we did last July?
CARBONE: I think it's pretty safe to say that we are not going to see oil prices double in the next month. So, for the July 3rd anniversary of the $145 settlement, I think we're safe below that number this year.
HARLOW: All right, Ray, thank you so much. Heidi, I'll throw it back to you. You can see more from Ray. He joined us on CNNmoney.com, as well. But really interesting, oil keeps going up and up, Heidi.
COLLINS: Yes, no question. All right, we're watching very closely. Thanks so much, Poppy Harlow, coming to us from New York this morning.
HARLOW: You're welcome.
COLLINS: CNN tonight, just want to let you know about this. Environmental activist Erin Brockovich is back in the spotlight. She's trying to bring attention to the plight of families in a Tennessee town who say their land is making them sick and nothing's being done about it. "360's" "Keeping them Honest" about the problem and what the government really knows. CNN tonight, 10:00 Eastern.
Bankrupt Chrysler has said it wants to get in and out of Chapter 11 very quickly. How does less than six weeks sound? The automaker could be exiting bankruptcy as soon as today. Susan Lisovicz at the New York Stock Exchange now with more on that. What? Really?
SUSAN LISOVICZ, CNN CORRESPONDENT: Yes, that would be quick. But there are always roadblocks, Heidi. And one of them could be coming from the Supreme Court if the high court decides to intervene. Because, yes, there's lots of litigation involved with this.
On Friday, you may recall that an appeals court approved the bankruptcy plan in which a UAW retireee fund, the U.S. government and Fiat would own the new Chrysler. That is an interesting set of management forces there.
But three Indiana pension funds appealed. Why? Because Chapter 11 will wipe out part of their holdings. The deal with Fiat could fall apart if the Supreme Court delays the sale. And Fiat is critical to Chrysler surviving in any way, shape or form -- Heidi.
COLLINS: Do we know anything about these pension funds, though? I mean, who is it a fund for, and how much power do they really have?
LISOVICZ: Well, it's, you know, it's, you know, groups that have pensions, such as teachers, state police and construction workers. They hold $42 million of debt, but it sounds like a lot, but it's only -- it's actually less than 1 percent of Chrysler's obligations.
Forty-two million dollars would be reduced to $12 million. They don't like that. The request was filed with Supreme Court Justice Ruth Bader Ginsburg. She could act on her own or refer the case to the remainder of the court.
A stay from the full court would require a majority of the court's nine members. So, we're watching that. Remember, it was creditors that pushed Chrysler into bankruptcy. They're concerned about their own retirement, as we all are or should be.
What we're seeing retiring this morning are the bulls. They're not at play today. The Dow is off 76 points or about 1 percent. The Nasdaq's down about 1 1/4 percent. But we've had some nice gains over the past few months, just to remind folks. COLLINS: We have. Hopefully, we'll be able to hang on to them, though, by the time the market closes today.
LISOVICZ: Yes.
COLLINS: Susan, thank you.
LISOVICZ: You're welcome.
COLLINS: Hurricane Ike changed lives forever when it hit a small Texas town. Our cameras are there as residents still work to try to make a comeback.
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COLLINS: The Atlantic hurricane season is officially under way on the heels of what was a devastating 2008 for the Gulf Coast. Eight months later, residents of Galveston, Texas are still struggling financially and emotionally from Hurricane Ike. CNN meteorologist Jacqui Jeras takes us to the island that is still in a state of recovery.
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WARREN ADAMS, HURRICANE VICTIME: And so, we're all sitting there glue to the TV, watching. And as the chopper made its turn to go back to the west, its cameras came upon our house. It's still emtional. But we saw it.
JACQUI JERAS, AMS METEOROLOGIST (voice-over): Warren and Pam Adams's house became for some the symbol of hope along the Texas coast after Hurricane Ike. The last house standing was a sign that there would be a future. But what appeared to be a totally intact house turned into one of the greatest challenges of Warren Adams's life.
ADAMS: We got water inside and tore up this deck on this side and a lot of sheetrock damage. All of the floors were damaged, all the cabinets and stuff.
JERAS: The damage was worse than expected.
ADAMS: When the wind hits the house, you know, it just sort of makes -- twitches it back and forth, and it breaks the sheetrock and the joints. It breaks those loose.
This is my temporary quarters.
JERAS: Adams wasted no time moving into a trailer on the property to oversee every step of the repair project.
ADAMS: We're working out of our pocket right now, but we're getting to the point where we're going to have to rely on some finances that are due us. All of this stuff right here has to be cleaned.
JERAS: Despite financial frustrations with his insurance company, Adams's spirit remains high. He inspired others in the area over the holidays by putting up Christmas lights, and he hopes this new deck being constructed will now encourage others to rebuild.
ADAMS: A lot of people come to me for advice. If you want to build, and your heart is set on building out here, then go for it. Take your chances. It's what it's all about anyway, right?
JERAS: Eight months after Ike, Adams's dream house he called Fantasy is still the only one standing for 11 1/2 miles. He sits beachfront now instead of three houses inland, but says the great view of the Gulf doesn't match having great friends to share it with.
ADAMS: It's not going to be as great as it used to when you don't have all of your neighbors, you know, that were down here. But I'm sure in time people will come back.
That's be -- a lot of people like me who love the beach.
JERAS: Adams hopes that he can finish Fantasy by the end of July and get back to a relaxing retirement.
(on camera): Are you excited?
ADAMS: Sure, I am. Oh, I can't wait to get this thing back together. It's been so long. Like I said, it's eight months now. So, I'm really looking forward to it. Looking forward to sitting right where we are sitting. But all of the handrails painted white, and the house back to its natural yellow color.
JERAS (voice-over): Jacqui Jeras, CNN, Gilchrist, Texas.
(END VIDEOTAPE)
COLLINS: I'll give you some interesting facts about Galveston after Ike. Now, the storm did $3.1 billion in damage. The Galveston city budget is only $90 million. Population before Ike, 58,000. After Ike, 45,000. Over 1.6 million cubic yards of debris have been removed from Galveston Island. To put that in perspective, if you pull all of that debris on a football field, it would rise over 750 feet into the air.
The Obama administration turning its attention to health-care reform. The goal, to make sure all Americans are covered. I'm Heidi Collins. CNN NEWSROOM continues now with Tony Harris.
