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Governor Sanford Admits to Extramarital Affair; Ahmadinejad Slams Obama for His Criticisms of Iran's Bloody Crackdown; Seventy Professors in Iran Arrested for Meeting With Mousavi; CNN Correspondent Leaves Iran After Told by Iranian Officials to Only Give Positive Reports; Pros and Cons of a Government-Run Insurance Option

Aired June 25, 2009 - 09:00   ET

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

HEIDI COLLINS, CNN ANCHOR: The pressure mounts on Iran's opposition leader. He says authorities are trying to force him to drop his election challenge.

And politician's indiscretion. What happens to a governor's career after he's been caught cheating on his wife?

And it's not child play. It's a job. Grown-ups compete to become a Lego Land master builder.

It is Thursday, June 25, I'm Heidi Collins. You are in the CNN NEWSROOM.

This morning, our crews are on the story and are placed all around the world. We begin this morning in South Carolina. Will a disgraced governor be able to hang on to his job?

And our Ivan Watson is watching everything that's going on in Iran. He's monitoring the feeds, he's talking with our contacts there. And we'll have the very latest on the government crackdown.

Also, just now back from Tehran, CNN international correspondent Reza Sayah. He's going to be telling us about the chilling government ultimatum that sent him packing.

First, though, Mark Sanford says he's not stepping down. The South Carolina governor shocked his state yesterday with an admission of infidelity, saying he'd carried out an affair with an Argentinean woman for about a year. That affair explaining his recent disappearing act.

CNN national correspondent Jessica Yellin has more.

(BEGIN VIDEOTAPE)

JESSICA YELLIN, CNN NATIONAL CORRESPONDENT (voice-over): After triggering a national guessing game over his disappearance, Governor Mark Sanford admitted yes, he'd skipped town to be in the arms of a mistress.

GOV. MARK SANFORD (R), SOUTH CAROLINA: I've been unfaithful to my wife. I developed a relationship with a -- which started out as a dear, dear friend from Argentina. YELLIN: From the governor who repeatedly called himself a man of faith, there were recrimination.

SANFORD: I hurt her. I hurt you all. I hurt my wife. I hurt my boys.

YELLIN: Tears and quite a few details about how his eight-year e-mail relationship with a female friend in Argentina recently ignited.

SANFORD: About a year ago, it sparked into something more than that. I've seen her three times since then during that whole sparking thing.

YELLIN: The jaunt to Argentina was doubly confusing since Sanford's press secretary had announced they'd made contact with the governor and he was hiking the Appalachian Trail, which does not stretch to Argentina. The governor admits he misled his staff.

SANFORD: I would also apologize to my staff because as much as I did talk about going to the Appalachian Trail. That was one of the original scenarios that I'd thrown out to Mary and Neil. That isn't where I ended up. And so I let them down by creating a fiction with regard to where I was going.

YELLIN: His only justification, human frailty and exhaustion after fighting over the stimulus package.

SANFORD: What I have found in this job is that one desperately needs a break from the bubble.

YELLIN: Sanford's wife, Jenny, admits the two just separated. In a statement she writes, "To maintain my dignity, self-respect, and my basic sense of right and wrong, I asked my husband to leave two weeks ago." But she says, "I believe Mark has earned a chance to resurrect our marriage."

(on camera): Sanford says he's not resigning. South Carolina Republicans seemed divided on whether he should. For now, the state Republican Party is staying neutral on Sanford's future.

Jessica Yellin, CNN, Washington.

(END VIDEOTAPE)

COLLINS: Sanford is stepping back, though, from the national political stage. He resigned as head of the Republican Governors' Association. But is his political career really over?

We're going to be talking about that today with the political editor of "The State" newspaper that actually broke the story. So make sure you stick around for that.

And we are blogging about Governor Sanford today. Our question to you, should he stay or should he go? All you have to do is go to CNN.com/newsroom, click on my name and then go ahead and post your comments. We'll be bringing some of them to you throughout the show.

Turning now to Iran. Let's bring you up to the minute on the very latest headlines now. Opposition leaders have canceled today's planned rally. The ceremony was set to mourn the victims of the government's violent crackdown on protesters.

The cancellation came just hours after security forces crushed demonstration in Tehran square. Witnesses say those forces outnumber the protesters and use overwhelming force sometimes beating women and old men with clubs.

The official death toll from the clashes now stands at 17. CNN has received unconfirmed reports of as many as 150 deaths.

Let's head over to our Iran desk now for an in-depth look at today's development. CNN's Ivan Watson is there once again for us today.

So, Ivan, a strong response today from Iranian president Mahmoud Ahmadinejad to a comment from President Obama. What's this all about?

IVAN WATSON, CNN CORRESPONDENT: Absolutely. He slammed President Obama's recent criticism of Iran's bloody crackdown on the demonstrators over the past week and a half. He basically said that President Obama is repeating the same mistakes that President Bush made in the past.

He accused -- he told President Obama not to interfere in Iranian affairs, told him to apologize for this criticism, and he said that Western countries have no prestige in the world and are politically backward and they say these things in order to hide their own murderous actions.

At the same time, an opposition Web site loyal to Mir Hossein Mousavi, the runner-up in these contested presidential elections, reports 70 professors, Heidi, were arrested for holding a meeting with Mousavi.

COLLINS: Yes. That's something else to be talking about this morning obviously. Where are they now? What is the Iranian government saying, though, Ivan, about the criticism within all of this? And how are they going to be responding after what Mahmoud Ahmadinejad said?

WATSON: Well, we heard from Iran's ambassador from Mexico. For the first time speaking to CNN since the results of these very controversial elections were announced. Let's take a listen to what he had to say to CNN Espanol.

(BEGIN VIDEO CLIP)

MOHAMMAD HASSAN GHADIRI, IRANIAN AMBASSADOR TO MEXICO (through translator): We respect their right, the minority has rights, but the minority has to recognize the right of the majority to govern.

In Iran, they chose through an election with figures and numbers as to who is the minority and who is the majority. Some say a fraud has occurred. Well, should they prove there has been a fraud or just a mere allegation is sufficient?

(END VIDEO CLIP)

WATSON: Heidi -- Heidi, he called the demonstrators terrorists who set fire to banks and buses and throw rocks at police officers. Heidi?

COLLINS: All right, Ivan, we're going to be checking in with you later on to continue to stay updated on this very important story and one that continues to change minute by minute.

Ivan Watson at our Iran desk this morning.

Meanwhile, President Barack Obama has condemned the post-election violence, as you just heard. There's also word he sent a direct message to Iran's supreme leader before the election.

Our White House correspondent Suzanne Malveaux is standing by with more on this now.

So, Suzanne, what do we know exactly about that?

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT: Well, this is something that the Iranian officials are confirming. The White House is not willing to confirm that, but we do know that the president did send a letter to the ayatollah. This was before the elections asking for an opening, a beginning of some dialogue engagement between the two countries.

This is very consistent with what we've heard from the president say before, is that he wanted to open up a kind of new relationship. This would be the appropriate official channel, going through the ayatollah who has the power instead of the President Mahmoud Ahmadinejad.

And this was put to the press secretary Robert Gibbs about what is taking place here. What is the level of engagement or involvement between our administration and the Iranian regime? And here's how he responded.

(BEGIN VIDEO CLIP)

ROBERT GIBBS, WHITE HOUSE PRESS SECRETARY: I think as each of you know the administration has indicated a willingness to talk with the leadership in Iran and have sought to communicate with the Iranian people in a variety of ways.

But I am -- I'm not going to -- not going to get into anything other than the notion that you all understand the president has spoken throughout the campaign about being engaged.

(END VIDEO CLIP)

MALVEAUX: So why is he getting involved in that and actually talking about this? Because it's very sensitive right now, Heidi. One thing that we did get from Robert Gibbs yesterday, Dan Lothian putting that question to him, essentially, was after the elections, what kind of dialogue's taking place? And he says that the United States government has not reached out to the Iranian officials since the election.

They're in a wait-and-see pattern here and a holding pattern to see what's going to happen on the ground, who are they going to be dealing with in the future?

COLLINS: Yes. Something that did change, though, because people were talking about what was going to happen with this July Fourth celebrations. We now are hearing that Iranian diplomats are actually no longer welcome at Fourth of July celebrations overseas. What's that about?

MALVEAUX: Well, that was certainly part of the outreach that they wanted to engage with the Iranian people. One thing that's happening is that they say they're not going to necessarily extend additional invitations to Iranians overseas to come to the July Fourth celebrations.

That that is seriously being considered. But they're not going to take away the invitations that they've already sent out. But they just don't think it's an appropriate situation at this time to do this because they're just trying to figure out what is taking place in the Iranian regime and focusing on these crackdowns against these protesters.

COLLINS: Yes. Suzanne, do we have a good idea of who those invitations had already gone out to specifically?

MALVEAUX: Don't have those specifics. It's fair to say this has happened some weeks ago.

COLLINS: Yes.

MALVEAUX: And this is something that they're reconsidering now, that there were some other folks that they were going to reach out to, now they're totally reconsidering that.

COLLINS: Yes. All right. Suzanne Malveaux for us from the White House this morning. Suzanne, thanks for that.

And turning now to Iraq. Explosions pounded several areas of Baghdad today, killing at least three people and wounding nearly three dozen others. Altogether, Iraqi authorities say a total of six blasts hit Baghdad last night and into today.

The attacks follow a massive blast at a Baghdad market yesterday. They killed 64 people. The uptick in violence comes as the U.S. moves to withdraw troops from Iraqi cities and towns by June 30.

He was the face of CNN's reporting from Tehran, and that was enough to draw the ire of the Iran's embattled government. He'll tell us about a chilling warning that caused him to leave Iran. REYNOLDS WOLF, CNN METEOROLOGIST: And Heidi, can you believe it? We haven't had a full -- actually a full week of summer, yet already we've got some record high temperatures to talk about. Coming up, we're going to let you know how long this sizzle is going to last. That's moments away right here on CNN.

(COMMERCIAL BREAK)

COLLINS: Searchers recovered two more bodies from the waters off Brazil. They are of a captain and a flight attendant from Air France Flight 447. As you know, the plane crashed en route to Paris May 31 with 228 people on board. Roughly 50 bodies and wreckage have now been recovered. But at this point, no flight data recorders.

We have some news to report on this week's deadly train crash in Washington, too. Federal investigators say they have found anomalies in an essential control circuit of the track. The finding could explain why one train on automatic pilot was not electronically slowed down before plowing into the back of another.

Nine people died in that crash. Simulated crash tests will now be conducted to try to determine if there is some sort of link. And today investigators hope to interview the operator of the train that was hit. The driver of that train was killed.

Reynolds Wolf standing by now to talk a little bit more about the same thing we've been talking about for several days in a row.

Reynolds, nice to see you, but more of the same. It is hot.

WOLF: Yes, it's like we're a broken record.

COLLINS: Everywhere.

(WEATHER REPORT)

WOLF: OK. That's the story. Let's send it back to you, Heidi.

COLLINS: All right. Very good, Reynolds. Thanks so much.

WOLF: You bet.

COLLINS: Stay cool, huh?

Reporting from Iran, difficult in the best of times. Downright chilling in this particular crisis. And CNN's Reza Sayah has covered the first days of the uprising until government officials actually summoned him to a meeting and issued a pretty menacing ultimatum.

First of all, welcome back to U.S. soil.

REZA SAYAH, CNN CORRESPONDENT: Thank you.

COLLINS: Thanks for being here. It's always a treat...

SAYAH: Thank you. Sure. COLLINS: ... to be able to talk to our international correspondents, especially right now when everything is happening like it is in Iran.

Tell us what happened. What about this ultimatum?

SAYAH: Well, this came about very suddenly. We'd been there reporting for 11 days post-election. On Saturday, they put a ban on international reporters.

COLLINS: Right.

SAYAH: Said no more reporting on air. Then suddenly on Tuesday, the ministry that handles press credentials says you have a meeting with someone at 4:00 p.m. They wouldn't say who.

COLLINS: What did you think?

SAYAH: Well...

COLLINS: Like right here in your heart, in your gut you were thinking...

SAYAH: I don't know what to think. I'm an optimistic person, so I thought this was maybe my opportunity to get them to get us back on air.

COLLINS: OK.

SAYAH: So I was optimistic, but one I got in there, clearly, he was from Iranian intelligence, and he said, "Look, we have evidence that you've been reporting and violating the ban since Saturday." Even though...

COLLINS: Was your heart racing at that point?

SAYAH: Well, the optimism kind of faded away.

COLLINS: Yes.

SAYAH: You could say. But he wouldn't substantiate it. He wouldn't say what he had on us. But then he said, "Let bygones be bygones. Here's what I want you to do." Then he put up a blank piece of paper and a pen in front of me, he says, I want you to write down that you will no longer do any reports in Iran unless they're positive reports.

COLLINS: Really?

SAYAH: Yes. And if you don't write this agreement, we're going to ask you to leave in 24 hours. If you don't leave, we cannot guarantee your safety and we can't guarantee that you'll come back to Iran and report.

Obviously, this was very unusual. We called the bosses at CNN, and they thought it was best if we leave. COLLINS: Well, sure, because...

SAYAH: Considering the unusual circumstances.

COLLINS: That's not how you report.

SAYAH: No. I mean...

COLLINS: You can't only report on the positive. You've got to report on what you see.

SAYAH: No question about it. And I made the argument to them. Like look, we don't want a report just on the protest and the rallies. And this is something that we repeatedly asked them. Let us report on the government side. Give us officials, give us the government's position. But they were on a different planet.

COLLINS: Well, and it's got to be particularly interesting and personally intriguing to you. And disconcerting too because you were born in Tehran. You speak Farsi. I imagine English is maybe even your second language. You left during the revolution, 1979.

What does this mean to you as you see what's happening in that country today?

SAYAH: Well, it's very frustrating to me, and I have an Iranian passport. I'm a dual citizen.

COLLINS: Right.

SAYAH: So they technically, legally can't tell me to leave. And I told him that. He says 24 hours, otherwise we can't guarantee, you know, your safety. But we should point out that we still have people on the ground.

COLLINS: Absolutely.

SAYAH: You know, so they haven't banned CNN. We do have some people that are working very hard. Again, I used the argument, you know, we're not here just to cover these rallies. It's important to give both sides, but they wouldn't have it.

And to me it was a clear indication of their strategy. No international journalists. They wanted their message to be out there through their own state-run media.

COLLINS: Understood. Very quickly before we let you go, what is the image that will stand out most to you from those 11 days that you were right there in the middle of it?

SAYAH: The beatings. Some of the most ruthless beatings I've ever seen of peaceful protesters. And this is -- these are from the government, these are law enforcement officials wearing plain clothes, sanctions, given the OK by the government.

And I ask you, where do you see a legitimate government in this world that calls itself a legion of power that gives the permission to plain-clothed people to beat down people like this without being accountable to anybody?

So those are the images that I'll keep with me for a long time.

COLLINS: I'm sure you will. Well, Reza Sayah, we sure do appreciate your reporting very much and coming out with us today. Thanks so much.

SAYAH: Sure.

COLLINS: Also, another big issue to talk about right here in the United States, health care and health care for all. A possible government-run plan, $1 trillion bill, the controversy, the confusion, we're going to try to sort it all out right here.

(COMMERCIAL BREAK)

COLLINS: More hearings taking place on Capitol Hill today. Tackling healthcare reform. President Obama's pitch for a government- run insurance option has become a politically explosive issue.

And CNN's senior medical correspondent Elizabeth Cohen with some of the pros and cons of this possible public plan.

All right. Lay it out for us and good luck.

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Thank you.

(LAUGHTER)

COHEN: Well, before I lay it out for you, I'm obviously going to let President Obama sort of say -- we're going to hear from him what he had to say last night. Yesterday there were four hearings on Capitol Hill. And again, there are many sticking points between the two sides.

But the big one is should there be a government-sponsored health insurance plan for everybody? Kind of like Medicare, but not just for old people . And so the president made his case yesterday on national television. Let's take a listen.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: So, unfortunately, whatever it is that we're doing right now isn't working. What we see is great examples of outstanding care, businesses that are working with their employees on prevention, but it's not spreading through the system. And unfortunately, government, whether you like it or not, is going to already be involved. We pay for Medicare.

(END VIDEO CLIP)

COHEN: Right, so the bottom line here is how much should the government be involved in health insurance? And so you certainly heard his case right there. COLLINS: Yes. Well, I think there's a lot of people who still have, you know, many, many questions. Obviously that wasn't all that he said. But what are some of the pros and the cons of having a government plan?

COHEN: OK. According to the proponents of a government plan like President Obama, these are two of the big advantages of having government sponsored health insurance as an option along with the private options.

One, it would increase the number of insured Americans and millions and millions of Americans don't have health insurance and that also they say that it would reduce the costs of prescription drugs and other medical services.

Now let's talk about the cons. The opponents of government sponsored health insurance say that it would reduce competition, it would reduce -- private insurance wouldn't be able to compete against the government, and that basically there would be a government takeover of insurance because the private companies would just have to kind of bow out.

COLLINS: Yes. And some people would say that the cost of the whole thing, the potential cost of the whole thing just kind of blows everything else away. And they're saying $1 trillion, but really, I think they've marketed it as -- and let me see if I can do this right -- $999,999,999,999.

COHEN: Wow. That's impressive.

COLLINS: That's the tag. Right?

COHEN: Right. That's the tag. That's over a 10-year period, which I think is important to say. We're talking about $1 trillion over a 10-year period. No one's really figured out how to fund this. There are several ideas floating around.

One of them is you increase taxes for Americans who earn more than $250,000 a year, and another one is that you sort of reallocate the way health dollars are spent. Everybody knows there's a lot of waste in the medical system right now.

COLLINS: Sure.

COHEN: Reallocate some of those doctors to help fund some of that $1 trillion price tag.

COLLINS: Well, we will see you again because we're going to be talk about it for a while.

COHEN: That's right. We will be.

COLLINS: Senior medical correspondent, Elizabeth Cohen. Thanks, Elizabeth.

Demonstrations in Iran, they go from street protests to public spectacles. A look at what Iran calls confessions now airing on state-run TV.

(COMMERCIAL BREAK)

COLLINS: All right, we are looking at the opening bell there on this Thursday morning, as you can see. Despite some of the signs of hope in the economy, though, the Federal Reserve opted to stand its ground and keep a key interest rate at a historic low.

Not sure how much lower it could go, actually. This morning, we do have two new reports on the job market and economic.

For a look at how investors are likely to react this time around, Susan Lisovicz is standing by at the New York Stock Exchange.

Hi there, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Yes, Heidi, you can't go lower than zero. Right?

COLLINS: Yes.

LISOVICZ: The Fed is keeping that rate at rock bottom because it says the U.S. economy is still contracting, although sustained, economic growth should gradually resume.

Just how much is the economy contracting, you ask. Well, about an hour ago, we learned it shrank it 5.5 percent in the first quarter, which is actually not quite as bad as originally reported by the government.

But the labor markets, well, it still has problems. New jobless claims jumped by 15,000 last week, and 6.7 million people relying on government benefits for a one week or more. The big problem last week, layoffs tied to the end of the school year.

Fed chief Ben Bernanke will face some tough questioning today by the House Oversight Committee. Lawmakers will be looking into whether Bernanke and other officials pushed Bank of America into a shotgun wedding with Merrill Lynch that cost us taxpayers $20 billion.

More problems in the auto sector. The "Wall Street journal" says GMAC is suspending wholesale financing for Chrysler dealers that it considers too risky. That could push more Chrysler dealers out of business. Chrysler has already shed nearly 800 dealers as a result of its bankruptcy reorganization.

Checking the numbers, well, we've seen this before. The Dow Industrials extending four straight days of losses at this point, right now down just 14 points. The NASDAQ down 5. Yes, I told you about a power lunch, right?

COLLINS: Yes. What happened?

LISOVICZ: Well, we had a good time. There was no T-bone steak or creamed spinach, or chopped salad, but lots of nuggets from the oracle of Omaha. And I'm going to share them with you. He sends his regards, by the way, Heidi.

COLLINS: Oh he does? Excellent. We're looking at a larger shot of him right over to our left here so we're going to talk about that next time around? Yes?

LISOVICZ: You got it.

COLLINS: I can't wait. All right, Susan, thank you.

LISOVICZ: You're welcome.

COLLINS: And you'll be interested in this story, too, Susan. Actually I want to remind everybody, Allen Stanford. We have some new video of him. You remember him as the Texas financier who's actually charged in taking a moment to decide whether or not how he's going to plead into all of that.

His financial empire was actually just a Ponzi scheme. They're saying that there's allegations that he swindled investors of about $7 billion. Remember this story? Well, apparently he is getting that chance to formally declare in court that he is innocent of these charges.

So that is what you're looking at right there. We will keep our eye on this arraignment and bring you any new information should it come our way.

Back now to this story CNN is continuing to update you on. Iran's election dispute. Well, today, one Tehran resident tells CNN the mood there is defiant, but nervous. Iranian government's restrictions on international media reporting in Iran are still in place. But our Iran desk is keeping you informed anyway.

CNN's Ivan Watson is joining us once again.

So, Ivan, are there any new signs now of a government crackdown? Or is it just more of the same?

IVAN WATSON, CNN CORRESPONDENT: Yes, there are more of the same, I'd say, Heidi. We're hearing from our sources on the ground that parents are actually going around from police stations, they're going to the main prison looking for their missing sons and daughters, presumably arrested over the course of the last week.

In the meantime, it's hard for us to talk to the opposition leaders because hundreds of activists have been rounded up around the country. We have to rely -- and we also haven't seen the leaders of the opposition, the opposition candidate, in days.

COLLINS: Yes.

WATSON: We have to rely on their Web sites. Things like this Web site here for Mir Hossein Moussavi, according to the official results, the second place winner. Now one of his Web sites reports -- reportedly that 70 university professors were arrested after attending a meeting with him. And this Web site here draws attention to the fact that several days ago, more than 20 people working at one of his newspapers that they were arrested in Tehran, Heidi.

COLLINS: Yes, we're trying to get more information about that, certainly.

Any idea, Ivan, if there is something to these reports that we're hearing about some splintering that's going on within Ahmadinejad's camp?

WATSON: Well, splintering may be too strong of a word, but certainly tensions. Evidently, according to the Iranian ILNA news agency, he had a victory party last night. And he invited the speaker of the Iranian parliament, a very influential Iranian politician who's a pretty hard-line conservative, Ali Larijani. And he didn't show up as well as several other important politicians and that's being interpreted in some of the Iranian press as a snub to Mahmoud Ahmadinejad.

COLLINS: Yes.

WATSON: And we showed a picture of Larijani. He's got a light beard, sitting next to Ahmadinejad at Friday prayers more than a week ago.

COLLINS: Hmm. Very interesting. All right, I wonder what that means. OK, I know you're working hard over there, Ivan, talking with all of our sources. Sure do appreciate that. We'll check back a little bit later on with you.

On Iran's state-run television, the video is chilling. Rioting suspects allegedly confessing to crimes and blaming foreign instigators for the uprising. We've compiled a number of those clips.

Let's get the details now from Octavia Nasr, CNN's senior editor for Mideast affairs.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE (through translator): My son and I were carrying grenades in our bags. My son was very keen to show his power, to tell the world that he was against his country and his countrymen.

OCTAVIA NASR, SENIOR EDITOR, MIDEAST AFFAIRS (voice-over): According to Iran's government-funded Press TV, this is a confession of an Iranian woman who was allegedly arrested during street protests. She says her actions were, quote, "influenced by foreign media." Blurring their faces, Press TV offers another so-called confession.

UNIDENTIFIED FEMALE (through translator): I was influenced by Voice of America, Persian TV, and BBC. They used to blame the government forces for the violence. So I was very interested to see what was going on. And when I attended the rallies, I realized that it was the protesters who attacked public property. Soldiers and even other people.

NASR: That's just a sampling of the alleged confessions being aired on state TV which has all along insisted that the situation has been under control. And that the protests are illegal and will be dealt with as such.

Iranian TV also reports on what it calls a conspiracy linking foreign countries to the on-going anti-government demonstrations across Iran. According to this anchor woman, it was all planned in this building.

UNIDENTIFIED FEMALE: The documents found at the building reportedly proves that certain foreign countries and media fan the flames of the recent riots.

NASR: Within newscasts, a constant reminder that the supreme leader, Ayatollah Ali Khamenei has ordered that, quote, "All must obey the law."

State TV also reporting that Iran's judiciary has formed a tribunal to look at the files of those arrested. As for the punishment...

UNIDENTIFIED MALE: Iran's first judiciary chief says the proceedings aimed to teach the rioters a lesson.

NASR (on camera): What that lesson will be is anybody's guess and, of course, there are many questions surrounding these so-called confessions and what prompted them.

Octavia Nasr, CNN, Atlanta.

(END VIDEOTAPE)

COLLINS: Roxana Saberi is the Iranian-American journalist convicted of spying in Iran earlier this year. Now her sentence was suspended, even though she spent 100 days in a Tehran jail. And she spoke yesterday from Paris about the future of Iran.

(BEGIN VIDEO CLIP)

ROXANA SABERI, JOURNALIST: I would always like to have hope because the Iranian nation is one of so much potential. The young people are very educated. Full of energy, very interested in the world.

Iran is a country of rich history and culture and civilization. But I know many obstacles lie in the way to realizing this potential folly. What's happening now, I don't know what will happen. I don't know if anybody knows. It really depends on the people of Iran.

(END VIDEO CLIP)

COLLINS: Roxana Saberi tells Anderson Cooper dramatic details of reporting and justice in Iran. You can watch him tonight on "AC 360" coming your way 10:00 Eastern. Caught in an investment scam, one couple thought they were well set with a home to retire in. And now they're back on the job market and may soon be out on the streets. Tell you that story in a moment.

But first, there are some things you can do to keep those wrinkles away. But we've got to get started when you're young.

CNN's Melissa Long has some tips.

(BEGIN VIDEOTAPE)

MELISSA LONG, CNN CORRESPONDENT (voice-over): Weather, diet, even lack of exercise can cause our skin to take a beating, which translates to wrinkles. But how fast we develop those wrinkles depends on a lot of factors.

DR. RUTLEDGE FORNEY, DERMATOLOGIST: The way your skin ages is hereditary. The way you take care of it what's going to ultimately determine what will your skin looks like as you age.

LONG: 31-year-old Karen Johnson started skin care early in life by listening to her mother.

KAREN JOHNSON, PATIENT: I guess when I was 12, her getting me on a daily regimen of taking care of my skin, I think it prevented a lot of things that could have happened as a teenager with bad skin and then as an adult.

LONG: And she's right, taking care of our skin early in life is crucial. That's because collagen, which gives skin its elasticity and strength, begins to break down as we get older causing wrinkles. We need to protect it.

FORNEY: The two most important things to do is never smoke and avoid the sun and tanning beds. Both of those things set you up to have bad collagen.

LONG: And products for our skin at an early age can help prevent wrinkles in middle age.

FORNEY: I think if your 20s and 30s, you want to think about mild exfoliation. You certainly want to use a sunscreen all the time and moisturizer appropriate for your skin is going to help keep that collagen pliable and wrinkle-free.

LONG: Also eat right and stay active. Diets can make the difference in suppleness of our skin and sweating while exercising helps flush away the toxins giving skin a healthy glow. As we move into our later years, our skin becomes thinner and effects of aging become more prominent.

FORNEY: By the time you hit your 50s, hormones have changed, particularly in women, and you start seeing skin has gotten thinner.

LONG: Most women gradually produce less oil beginning after menopause. This can make it harder to keep the skin moist resulting in dryness and itchiness and more wrinkled.

Men experience a minimal decrease much later in life. So think moisturizers and doctors say even simple procedures like Botox and fillers scan help wrinkles disappear. Procedures like Karen Johnson is already trying in order to avoid those wrinkles in her later years.

For "30, 40, 50," I'm Melissa Long.

(END VIDEOTAPE)

ANNOUNCER: "30s, 40s, 50s" brought to you by...

(COMMERCIAL BREAK)

COLLINS: All right. So should he stay or should he go? You know what's playing in the background, right? Madonna. "Don't Cry for Me, Argentina." We're talking about Governor Mark Sanford of South Carolina.

There are many questions after whether or not he'll be able to hang on to his position as governor after this affair that he has admitted to. I'm sure you saw some of the press conference yesterday. And we have been taking that question. Should he stay or should he go?

And here's just a little bit of what you've been saying. From Perry Craig here, "I believe Stanford should go. He showed an amazing lack of responsibility both privately and publicly by going AWOL." I think he meant to say irresponsibility. "I personally have no interest in how he conducts his private life as long as it doesn't impact his public life. This did. It was intentional negligence to his position as a public servant at best."

All right. That's just one of them. And another one that we're getting in here. Once again talking about Governor Mark Sanford of South Carolina. From Megan (INAUDIBLE), who says, "I don't like what Governor Mark Sanford did at all, but we didn't kick Bill Clinton out of office when he was having an affair, and he was doing it in the Oval Office."

There you have some of the bloggers' responses. We'll be continuing to monitor that right here in the CNN NEWSROOM. We'll be back in just a moment.

(COMMERCIAL BREAK)

COLLINS: Take a moment to go over to the severe weather center where Reynolds Wolf is standing by because we have been talking about all the heat and the sweat.

REYNOLDS WOLF, CNN METEOROLOGIST: Can you feel it? Yes.

COLLINS: Thank goodness you have that beautiful little pocket handkerchief there.

WOLF: That's what I'm talking about. I mean it's just been insane.

(WEATHER REPORT)

WOLF: That is a look at your forecast. We're going to have more coming up throughout the morning. Let's send it back to you, Heidi.

COLLINS: All right. Very good. Thank you, Reynolds.

WOLF: You bet.

COLLINS: Building a better future. Some talented model makers are facing off in California today. It's a head to head contest with a highly coveted top prize. A job.

(COMMERCIAL BREAK)

COLLINS: Building a dream job in this tough economy. There's a contest going on in California right now. The winners get a good job. One that will literally help them build a future.

We get the story now from Jeff Zevely of affiliate KFMB.

(BEGIN VIDEOTAPE)

JEFF ZEVELY, KFMB REPORTER (voice-over): Brian Gecker (ph) desperately wants to build a new life out of this mixed up Lego bricks.

BRIAN GECKER, JOB HUNTER: I've been a glass artist for 14 years, but it's kind of hard to sell art when people are hungry.

ZEVELY: Brian wants to be a Legoland master model builder. And his tryout time is ticking.

UNIDENTIFIED FEMALE: One minute left.

ZEVELY: There are 15,000 Lego sculptures in Legoland, and for the first time in years the park is hiring new builders.

UNIDENTIFIED FEMALE: It's so much fun. I mean who wouldn't want to work with their hands all day?

ZEVELY: Mandy just graduated from college and wants this job, but so does Adam from Sacramento.

UNIDENTIFIED MALE: I'm sweating, and it's hot in here.

ZEVELY: Casey from Carlsbad even wore a tie to this sit-down interview.

UNIDENTIFIED MALE: They said dress appropriately, I guess. That's what I did.

ZEVELY: Pressure from judges will make a man do funny things. Brian from Los Angeles had no idea he'd create a monkey with a magic lamp. GECKER: How did I do? I'll tell you when I get the job.

ZEVELY: And that's the ruff. 150 applicants are competing for six slots, which brings us back to Brian's life-long dream that started when he was 6 years old.

GECKER: My parents are very frugal and I only got one Christmas present every year. And it had to be under $40 and I got to choose.

ZEVELY: So to Toys "R" Us he went every year where Brian bought a new Lego set for $39.99. What would it mean for him to turn play into a profession?

GECKER: It would be a life-long dream. And I get to play every day with my little boy.

ZEVELY: This may look like a child's game to you but Brian is now a single father raising his own 6-year-old boy and boy, does he need this job.

GECKER: It's a simple life. (INAUDIBLE) for a long, long time. And think about my little boy, too. It would make him really happy. Have a lot of fun.

(END VIDEOTAPE)

COLLINS: The final build off is this afternoon. After that, Legoland judges will pick as many as six of the hopefuls to join their other 24 designers. Legoland needs the new hands to help build new stuff for the new Legoland ventures in Malaysia and Dubai.

There is an awful lot going on this morning. And CNN crews are in place to bring it all to you. Let's get a sneak peek now beginning with Ivan Watson at our Iran desk.

Hi, Ivan.

WATSON: Hi, Heidi. Mahmoud Ahmadinejad slams Barack Obama for his criticism of Iran's bloody crackdown over the past week and a half and opposition Web sites say that a memorial for demonstrators killed over the last week and a half has been postponed. More at the top of the hour.

JEANNE MESERVE, CNN CORRESPONDENT: I'm Jeanne Meserve in Washington. The crash of two D.C. Metro trains this week is raising questions about the age and safety of transit systems around the country. We'll look at the issues in the next hour.

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: I'm Elizabeth Cohen in Atlanta. We all know that the Mediterranean diet is good for you. But what exactly is it in the diet that's good? Is it the fish, is it the olive oil? Maybe it's the wine. I'll have that at the top of the hour.

COLLINS: I'm already certain of that fact. All right, Elizabeth. Thanks so much and guys, we'll talk with the rest of you later on.

Meanwhile, fallout from the Sanford affair. What the future may bring for South Carolina's governor. The government and politics editor for the state newspaper coming out in just a moment.

(COMMERCIAL BREAK)

COLLINS: Investors swindled out of $40 million. One victim calls it financial terrorism.

CNN broke the story of this scheme last year, and now one couple caught up in the lies is about to lose their home. The last indignity for people who thought they'd done enough to secure their futures.

Here now CNN's Special Investigations correspondent Abbie Boudreau with an exclusive report.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: He did this painting of me in my wedding gown in the valley.

ABBIE BOUDREAU, CNN SPECIAL INVESTIGATIONS CORRESPONDENT: Barbet Labarbera is used to a lavish lifestyle.

BARBET LABARBERA, PONZI SCHEME VICTIM: A beautiful view of Miami.

BOUDREAU: With a $2 million penthouse condo overlooking Miami.

LABARBERA: This is no longer a place where one would find stone crabs and jumbo shrimp.

BOUDREAU: Now she's worried she won't even be able to afford the basics.

LABARBERA: I see them everywhere I go, they're homeless people behind viaducts with signs that say, we'll work for food. And every single one of them has my face.

BOUDREAU: Labarbera worked in the insurance business. Her husband was a banker. They invested their life savings, $1.7 million, with this man. Andres Pinstein. The say Pinstein promised them an 18 percent return.

LABARBERA: When I requested it back he came back immediately so I put more in.

BOUDREAU: But after three and a half years, their money was gone. Federal prosecutors charged Pinstein, a University of Miami graduate, with running a Ponzi scheme.

(On camera): Here's how prosecutors say it worked. Pinstein told investors he was running a company that would sell iPods to a big department store chain in South America. He promised them returns of 18 to 36 percent. But that didn't happen. Instead prosecutors say Pinstein was paying off old investors with new investors' money.

(Voice-over): Unbeknownst to officials we talked to at the University of Miami, he was operating the scam using university computers and offices.

LABARBERA: All of a sudden, nobody was there. My phone calls weren't returned.

BOUDREAU: Labarbera's husband had lost his banking job so with no more income and no savings, they say they cannot afford to make payments on their condo. They now face foreclosure.

LABARBERA: My credit is trashed, my life is trashed. My home will be foreclosed upon. I stand nothing to lose. I've already lost.

BOUDREAU: Abbie Boudreau, CNN, Atlanta.

(END VIDEOTAPE)

COLLINS: The Condo Association is expected to foreclose on Labarbera's home tomorrow. They say they have no idea where they will go. Both of them are looking for jobs but are having no luck so far.

CNN did request an interview with Andres Pinstein, who was convicted of fraud earlier this year. But he turned us down. He is serving 17 years in prison.

Here are some of the other stories we're watching right now. Opposition leaders in Iran have canceled their planned demonstrations today. The decision comes one day after government security forces beat people with clubs as they were gathering for a protest in Tehran.

Today's demonstration was called to honor victims of post- election violence.

Billionaire Allen Stanford is in court this morning in Texas. This is new video, actually, of his arrival. Prosecutors say he was behind a scheme to swindle investors out of about $7 billion.

Stanford and three others from his Stanford Financial Group were indicted on numerous fraud charges. The judge has to decide now whether to allow Stanford out on bond before his upcoming trial.

Bond has been set at $1 million for a former high school football player who was accused of shooting his coach. Students held a vigil to remember legendary Coach Ed Thomas. Thomas was shot and killed yesterday in the weight room of Aplington-Parkersburg High School in Iowa.

This hour, President Barack Obama and the first lady are volunteering at Fort McNair in D.C. They and hundreds of others will try to fill 15,000 backpacks with books, healthy snacks and toys for children of U.S. service members. It's all part of United We Serve, the president's call for public service.

Turning now to Iran, let's bring you up to the minute on the very latest headlines.