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U.S. Troops Withdraw From Iraqi Urban Areas; Military Commanders Still Think U.S. Forces Will Be Needed in Iraq for Some Time; Investigators Removed Medications from Michael Jackson's Rental Home; Apollo Theater Holds Memorial Service For Jackson; Cookie Dough, Beef on E. Coli Recall; Wall Street Shows Glimmers Of Hope, But Unemployment Still On The Rise

Aired June 30, 2009 - 09:00   ET

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

BETTY NGUYEN, CNN ANCHOR: A young child survives a jet crash in the Indian Ocean. That child may be the only survivor.

An Iraq war veteran fighting today for his career. He publicly said he was gay and now a military board could have him discharged.

Plus the latest on Michael Jackson's death investigation. We'll tell you why police returned to his home and what they found.

It is Tuesday, June 30. I'm Betty Nguyen, and you are in the CNN NEWSROOM.

All right. We have watching developments out of Iraq, where you see celebrations underway now that U.S. forces have left the cities and towns.

Michael Ware joins us live from Baghdad to find out if Iraqi forces can step up now that those U.S. forces left. And Barbara Starr joining us live from the Pentagon to find out what happens if those Iraqi forces fail.

But here's what we know right now. U.S. troops are out of the bigger cities and towns in Iraq. They've left the security duties now to Iraqi forces. U.S. forces must now ask the Iraqi government for permission for any future urban operations.

And on the eve of the pullout, four American soldiers were killed in combat. U.S. military is only saying that they were with the multinational division Baghdad. No other details are being released right now.

Well, the Iraqi government is hoping to cash in on their oil and gas fields today. They've opened up bidding to international companies for the first time in decades, but there may be worries over the security of the oil fields with the U.S. troops' withdrawal.

And as we said, Iraqis, they are marking the withdrawal with street celebrations. They've declared it a National Sovereignty Day.

CNN's Michael Ware is watching the action in the capital of Baghdad. He joins us now live. Michael, how do the Iraqis feel about this? We've seen the celebrations. But are they worried about security now that the U.S. forces have left those major cities?

MICHAEL WARE, CNN CORRESPONDENT: Well, Betty, first and foremost, I have to tell you the pictures that you're seeing of these celebrations, at least for now, really do tell the story. I mean, it's just extraordinary. The outpouring of joy and celebration.

I mean, whether from the Western side it was well-intended or not, as far as the Iraqis are concerned, this is the end of a foreign occupation. And they're celebrating that. There's no longer going to be foreign tanks in their streets, no longer will foreign troops drag their men folk from their homes in the middle of the night and take them off to foreign-run prisons.

So, yes, this jubilation's the first thing, but of course, there is apprehension. We're in the midst of a long-running bombing campaign by al Qaeda in Iraq and its allies designed to return Iraq to the blood bath of the sectarian civil war.

Iranian-backed Shia extremist militant groups, extraordinarily well trained, continue to launch rockets and missiles occasionally on the U.S. embassy. So this isn't going to be easy, but no one knows that better than the Iraqis themselves.

Tens upon tens of thousands of Iraqis have died in these past seven years. The Iraqis know how fragile their security forces are, they know what the price for this sovereignty may be. So they certainly do have a sense of apprehension, that's true, Betty.

NGUYEN: Michael, I want to ask you about this, you talk about the Iraqis who have died, so have Americans. Nouri al-Maliki, the prime minister there.

WARE: Yes.

NGUYEN: Talking about this being a day of celebration. Did he mention the U.S. sacrifice and the U.S. money that's been spent in Iraq?

WARE: Well, let's forget treasure, let's focus on blood. OK? This was an Iraqi national holiday, OK? To end the American involvement -- certainly in a major phase or the American domination of the war here.

That's really stirred up mixed emotions in so many people involved in the American mission here. Certainly, I know that there were some in the mission who feel that such a national holiday belies the sacrifice of the 4,324 U.S. servicemen and women who laid down their lives here.

So it's been very complicated for some Americans here, and to be honest, I think America should pause for a moment today in silence to think about those who have laid down their lives here on Iraqi soil, Betty. NGUYEN: That's a very good point. Michael Ware joining us live from Baghdad. Thank you, Michael.

So what do you think about the move? Well, in a new CNN/Opinion Research Corporation poll, we asked about the withdrawal of U.S. combat troops from Iraqi cities and towns. And here's what we found out. Seventy-three percent of you say you favor the move, 26 percent oppose the withdrawal.

And in another part of that poll, a majority of Americans thought U.S. troops should stay out of Iraqi cities, even if violence erupts.

CNN Pentagon correspondent Barbara Starr joins us now live from Washington this morning.

Barbara, what are you hearing from your post about the prospect of continued success in Iraq?

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, they certainly hope that the Iraqi security forces continue to proceed with getting better trained, better equipped to handle security in the country, Betty.

You know, it's interesting. It almost seems like ancient history that President Obama a couple of years ago began his quest for the White House with the promise of getting U.S. troops out of Iraq. And what we are seeing today is the first steps towards that. The U.S. troops beginning to withdrawal from the American cities.

No comment yet today from the president or even from former President Bush. Of course, that security agreement was signed under his watch.

Here at the Pentagon, they are proceeding -- really, business as usual, continuing to support Iraqi forces through 2011 when the agreement calls for that final withdrawal from Iraq. But make no mistake, any military commander you speak to thinks that U.S. support will be needed for some time to come. Air support, fire support, intelligence.

It's going to be a long time before the Iraqis really can handle the entire situation on their own, U.S. officials believe. Betty?

NGUYEN: All right. CNN's Barbara Starr joining us live. Thank you, Barbara.

And here are some important numbers on American involvement in Iraq. There are currently 131,000 U.S. troops in Iraq, all outside the major cities. At the height of the so-called surge the U.S. had 168,000 troops in the country. 4,318 U.S. troops have died in Iraq. 31,354 have been wounded in operations there.

Well, the U.S. military says coalition air strikes in Afghanistan have killed more than a dozen militants. The attacks in the remote mountains of the coast province were aimed at militants helping the movement of foreign fighters. U.S. military said the air strikes also destroyed two command bunkers.

All right. We want to tell you about an amazing story. A young child has been recovered alive from a Yemeni jet that crashed in the Indian Ocean. That plane with more than 150 people aboard was flying from Yemen's capital of Sanaa to the capital of Comoros last night.

Officials say the Airbus A310 tried to land at Moroni's airport and could not. So it made a U-turn before it crashed. The crash is the second involving an Airbus jet this month. The crash of an Air France Airbus A-330 off Brazil is still under investigation.

This is as well under investigation. The death of Michael Jackson. The tributes, they continue to pour in, and the questions, they remain. We'll have latest on the investigation.

ROB MARCIANO, AMS METEOROLOGIST: And I'm Rob Marciano in the CNN Severe Weather Center. Another day of record breaking heat across Texas, but some spots in the U.S. are starting to cool down.

Weather is coming up in just a bit. The CNN NEWSROOM will be right back.

(COMMERCIAL BREAK)

ANNOUNCER: Live in the CNN NEWSROOM, Betty Nguyen.

NGUYEN: Well, there is a new twist in the investigation of Michael Jackson's death. Yesterday, investigators went to his rent home and removed medications.

CNN's Ted Rowlands is outside the home in Los Angeles.

And Ted, we all pretty much have a few medications here and there in our home. Any more details on exactly what they found and what those medications were?

TED ROWLANDS, CNN CORRESPONDENT: Well, we don't know what medications they removed from the home, but they -- after they removed these two fairly substantial bags full of what they're calling "medical items." They did come over and they said that after investigating over the weekend, talking with different people, they came back to the house.

They originally had cleared the house and said to the Jackson family, you know, we're done with the house. That was back on Friday, and then yesterday they said because of this information they went back to the house and they took out these bags of potential evidence and they called them -- called it medication of some sort.

Meanwhile, they're continuing to talk to doctors that dealt with Michael Jackson. Of course, Conrad Murray was the doctor with him at the time. But now, there are -- the investigators are reportedly expanding the net, if you will, and talking to other doctors that may have dealt with Michael Jackson in the time leading up to his death.

Meanwhile yesterday, we got some photos of Michael Jackson just before his death. These are two days before his death, rehearsing at the Staples Center here. And the photos seem to really back up what people around him say, that he was in good physical shape in the time prior to his death, and those photos seem to show a very healthy Michael Jackson rehearsing for his upcoming concert series.

So the investigation continues, that's for sure, they're saying it's a death investigation still, not a criminal investigation, but clearly, Betty, it is a very active investigation.

NGUYEN: Yes, there's a lot of things playing out right now, including the custody of the children and word that Michael Jackson did indeed have a will.

What do you know about those two things?

ROWLANDS: The custody issue is going to be dealt with piecemeal. Right now after petitioning, Katherine Jackson, Michael Jackson's mother, has been granted temporary custody of the three grandchildren and that is going to be in play until a hearing down the line.

Now, at that hearing, Debbie Rowe, of course, is the big wild card. This is the mother of two -- the two older Jackson children. Will she insert herself in there? Will she try to get parental rights? There's been no indication that she's going to do that.

So Katherine Jackson has petitioned to the court and said, "I'm the best person for this role. The children are comfortable with me." We'll have to see where that goes.

The financial side of it is still being worked out. Supposedly there's a will out there. It hasn't surfaced. In another filing, Katherine Jackson has asked to control the assets, at least temporarily, and in that filing, the family says they haven't seen a will. There are reports that there's another will out there that may surface later this week.

Obviously a lot of unraveling on the financial side. Meanwhile, still no plans on what type of memorial service will be planned for Michael Jackson. No public plans, at least, they haven't released the family that information yet.

NGUYEN: Yes. And there's a second autopsy that's taking place right now. A lot going on, obviously, more questions than answers, but we're on top of it.

Ted Rowlands, thank you so much.

You know, today the legendary Apollo Theater holds a memorial service for the singer. He was just 9 years old when he took the stage with his brothers and won an amateur night contest.

CNN's Stephanie Elam joins us now live outside the Apollo Theater.

Stephanie, what's planned for today? I can already see people in the background. STEPHANIE ELAM, CNN CORRESPONDENT: That's right, Betty. We've got about 100 people that now started to line up there. We've got a chance to talk to a few people, to figure out why exactly do they feel the need to come to this memorial service that's going to go until about 2:00 p.m. Eastern time until about 8:00 p.m.

At that point, they're going to let people come in. There'll be a video montage. There'll also be a place for people to leave messages and sort of an ode to Michael Jackson here in New York. And obviously Apollo Theater is just a big part of American music history for a lot of musical acts.

In fact, the night that Michael Jackson last performed here so did James Brown and the last time the Apollo had a memorial service for an iconic music person it was for James Brown. But this one is expected to be a lot larger. They're expecting thousands of people to show up.

A couple of people I spoke to, though, saying they're in a celebratory mood for the life of Michael Jackson and they've decided to focus on the positive.

(BEGIN VIDEO CLIP)

GREG PACKER, MICHAEL JACKSON FAN: We're here to celebrate the life and legacy of Michael Jackson and his music. And you know, let's remember the good that he did, you know. The good times. The good that he brought us, not the bad.

UNIDENTIFIED FEMALE: I did not want to miss this moment for anything. This is the last chance to celebrate his life, the life that he lived and everything. And I want to be here.

(END VIDEO CLIP)

ELAM: People have been lining up since last night. They wanted to get here early to be a part of the festivities, and overall, you can hear people singing a lot of songs to Michael Jackson, doing a lot of cheering. So definitely focusing on the happy side of Michael Jackson's life and not on all of the investigations and the sadness that we're also hearing about, as well, Betty.

NGUYEN: All right. CNN's Stephanie Elam joining us live. Thank you, Stephanie.

Now we've been talking about the heat a whole lot lately. It seems like you can't even escape it once you head outside. But Rob Marciano joins us now and Rob, I hear there may be a little relief in sight.

MARCIANO: Yes, you can even feel it here in Atlanta, which has been stifling hot the past few days with heat and humidity. Still hot, but humidity has dried out.

(WEATHER REPORT)

NGUYEN: Yes. Or should we be thankful for the 90s here in Atlanta?

MARCIANO: Yes. Ninety degrees, low levels of humidity, that's pretty nice.

NGUYEN: That's a good day.

MARCIANO: It's a good day. So enjoy.

NGUYEN: OK, thank you, Rob.

MARCIANO: All right. See you, Betty.

NGUYEN: Election outrage in Iran, the government says it is time to settle down and shut up. CNN's Reza Sayah is following the latest from our international desk.

Hey there, Reza.

REZA SAYAH, CNN CORRESPONDENT: Hi, Betty. After a partial recount, the Iranian government says it's final. President Mahmoud Ahmadinejad has been reelected, he's going to serve another term.

What does this mean for opposition leader Mir Hossein Mousavi and those hundreds of thousands of protesters? Was it all for nothing? The latest from the Iran desk coming up.

(COMMERCIAL BREAK)

NGUYEN: All right. So federal health inspectors are looking at two food products possibly contaminated with E. Coli bacteria. One is cookie dough, the other is beef. Our senior medical correspondent Elizabeth Cohen is here with an update.

All right, we've got two things here. A lot of people like both of them. What are you hearing?

ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Right, cookie dough is certainly a well-loved product. No question about that. And here's the news with the cookie dough recall. They actually found now, the FDA found E. Coli 0157:H7 in the cookie dough.

Before, there were just sick people and they weren't quite sure where it came from, but they actually found it in this cookie dough. Which you're supposed to buy and cook, but well, we all know people love to eat raw cookie dough. So they actually found it in a product that was still sitting at the Nestle factory.

Let's take a look at who is sick. In 29 states, there are now 69 people sick, 34 people have been hospitalized. There have been no deaths. And I'll add, E. Coli 0157:H7 is a particularly nasty bacteria, it can do just terrible things to your kidneys, just awful.

NGUYEN: All right. Let's move over to the beef recall. What do you know about that?

COHEN: Oh and also I should -- you know before we move on, I want to say what Nestle has to say about that. I just realized I forgot. Nestle is cooperating fully with this recall, they say, and they add, "We are very concerned about those who have become ill from E. Coli and deeply regret that this has occurred."

So now let's move on to beef.

NGUYEN: Yes, you get those statements.

COHEN: All right. Right, got to get that statement in there.

NGUYEN: Yes. The beef recall.

COHEN: Let's move on to what -- the beef recall. We're talking more than 300,000 pounds of beef have been recalled. But here's the catch, no one can tell consumers what to look for in their freezers. So this beef is being recalled...

NGUYEN: How is it a recall if you can't -- if you don't know what's being recalled?

COHEN: Right. Exactly. So what's been recalled is there's a company called JBS, which, you know, makes this beef. They then sell it to somebody else, who repackages it and sometimes reprocesses it and then they sell it to the consumers.

So JBS says, "Hey, well, we can't tell you, we don't make the products that consumers buy. So we can't tell you what to look for." So I called the USDA and I said, "What's going on here?".

NGUYEN: Yes, why can't we be told?

COHEN: Why can't we be told? Tell me what to pull out of my freezer. They said "Don't know," and so they said, "Call JBS." I called JBS...

NGUYEN: So you're getting the runaround.

COHEN: Right, there you go. JBS said, "Call your grocery store. They can tell you." I called the grocery store and several of them, and they said, "We don't know."

NGUYEN: So if you're getting the runaround, imagine what people at home who may have this in their freezer? They're probably not going to go through all of these different avenues and call these different people. So how do you know what's bad?

COHEN: And -- right. And you don't. You don't. I can't say, "Look on a box for these markings, look on a box for this date. It doesn't exist, there's nothing that we can tell consumers to look for.

NGUYEN: But it has E. Coli in it?

COHEN: But it has E. Coli, and it could be sold under a variety of different names. And at this point, though, what many call a weakness, which is there's no tracking system.

NGUYEN: Right.

COHEN: So meat goes from one person -- you know, one company to another company to the consumer, and that there's no tracking system to figure out so that you can then tell consumers what to do.

But let's have a statement now from JBS with beef company.

NGUYEN: Shall we?

COHEN: I'll remember it this time. "We continue to work closely with the USDA to ensure that product is removed from the marketplace."

NGUYEN: What does that mean, though? We still don't know what the meat is. Thanks for the statement.

COHEN: Right. Right.

NGUYEN: But tell us what the meat it, exactly where it was sold from.

COHEN: Exactly.

NGUYEN: You know, all of that.

COHEN: And tell us what to throw out.

NGUYEN: Exactly.

COHEN: Right. But they can't right now.

NGUYEN: Which we don't.

COHEN: Yes, don't know.

NGUYEN: All right. I think we got that.

(LAUGHTER)

COHEN: I'll continue to needle them.

NGUYEN: Let us know if you find out.

COHEN: OK. All right.

NGUYEN: Love the colors, by the way.

COHEN: Thank you. You, too. OK.

NGUYEN: All right. Moving on, a word today that TV's most recognizable pitch man. Billy Mays likely died from heart disease. Not a bump to the head. A medical examiner in Florida says Mays had an enlarged heart and probably suffered a heart attack in his sleep on Sunday the day before Mays joked about being hit on the head by fallen luggage when his flight had a rough landing.

Also, a private funeral service will be held this afternoon in downtown Los Angeles for Farrah Fawcett. The actress died Thursday after a three-year battle with cancer. Fawcett's son will be allowed out of jail to attend the service. Redmond O'Neal is in a rehab program following last year's drug arrest while on probation.

Well, it is June 30, and we are halfway through the year, and we have some time now to talk about statistics. It's halftime, right? So let's get some stats on stocks that could actually surprise you. Stay with us for that.

(COMMERCIAL BREAK)

ANNOUNCER: Live in the CNN NEWSROOM, Betty Nguyen.

NGUYEN: All right. We are looking at a flat to slightly higher open for stocks on this final day of June, following the Dow's 91- point jump yesterday.

Susan Lisovicz is at the New York Stock Exchange with a preview of the day on Wall Street.

Hey there, Susan.

SUSAN LISOVICZ, CNN CORRESPONDENT: Good morning, Betty. It's not only the final day of June, it's the final day of the second quarter, and the end of the first half of the year. Applause on all of that.

You know, actually the last three months have been so good, you could actually peek at your 401(k). We are expecting, in the meantime, a quiet open. We've some economic numbers to tell you about, the latest read on home prices shows an 18 percent drop in April compared to a year ago.

But it actually marks the third straight month the S&P Case- Shiller home price index did not set a record price decline. Analysts say some stabilization in home prices may be occurring and that could set the stage for a recovery in that battered sector by early next year.

At the top of the hour, we'll get a fresh read on consumer confidence. Sentiment expected to have risen in June from the prior month as consumers become more comfortable opening up their wallets.

A reading on manufacturing also due out.

Meanwhile, General Motors heads to bankruptcy court today to seek approval to transfer its best assets to a new GM. The plan, brokered by the Obama administration's auto taskforce, would rejuvenate the automaker under government ownership.

We're not seeing much rejuvenation in the first minute of trading, though. Right now, the Dow is up just a couple of points, the NASDAQ is up a couple of points. The blue chips up more than 900 points in the last three months. The index, the tech-heavy NASDAQ, meanwhile, 60 percent over the quarter.

Christine is going to break it all down for you, but not bad at all. We are seeing recovery in the stock market. And it's, you know, it's a good omen for recovery in the overall economy.

Betty, back to you.

NGUYEN: Hey, we will take it, as soon as we can. And so far it's looking pretty good. Thank you.

LISOVICZ: You're welcome.

NGUYEN: It is halftime in 2009, which is a good time to look back on your first-half finances, and the stats from the markets may be a little bit better than you think. CNN's Christine Romans is here to explain.

All right, Christine, how did we do in the first half of the year?

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: Well, you know, what a first half it's been when you open your 401(k) statement for the first half, Betty. it's going to tell quite a story. It is going to tell a story of the first part of the year when we were looking at a banking sector -- we're talking about nationalization of some of the banks. And then by the end of the six months, we're seeing some stability. We've seen a spring stock market rally that has been quite incredible. The S&P 500 just in the second quarter is up 14 percent; it's up about -- more than 30 percent from the low.

Job losses are slowing. We still have some difficulty in the jobs market, make no mistake about that, but the losses are slowing. And consumer confidence is improving. As Susan pointed out, people are feeling a little better. They're feeling better because they're spending less, they're saving more money. They're getting back to basics. There's a new frugality. It's making them feel better and that could be the little kernel that could help grow a recovery later on.

Now, there are some challenges, Betty, and I want to be very clear about that. Those challenges include, as I said, the jobs situation. Rising unemployment, we're going to get a jobs report on Thursday, it's likely to still paint a picture of a higher unemployment rate and uncertain housing market. You saw those numbers for the Case-Shiller, the housing report. Yes, housing prices still falling, but that seems to be slowing. We just really don't know how much more pain there could be in the housing market. We do know there will be a lot more foreclosures.

And rising national debt. Something that I've been talking about a lot here and what it means for interest rates down the road. We are borrowing an awful lot of money to try to stimulate the economy. We are spending more money as a nation than we earn in the very short-term. That's going to add to our national debt. We have to pay interest on our national debt. That means we're issuing a lot of bonds, and that, of course, means that those prices are going lower and those interest rates are going higher and higher. Interest rates mean, you are going to pay higher interest rates, that can be a little fly in the ointment for the recovery, as well.

NGUYEN: Man, those are some serious challenges. All right. I know you've got a segment coming up, "Romans' Numerals." What's coming up on that?

ROMANS: So, 921is "Romans Numerals," a number to kind of make you think a little bit about the money stories of the day; 921 points, Betty, is the number. And that is how many points the Dow Jones industrial average rallied in just the second quarter.

Folks, there was a huge rally in the stock market in the second quarter. The stock market telling us that it thinks things are going to get better eventually. And you're going to see that rally, if you are still invested in stocks, if you had faith and you were buying stocks along the way this spring, you were buying them at cheap prices. You're going to see that rally when you open up your 401(k) statement, and I hope, I hope I see it.

(LAUGHTER)

NGUYEN: Me, too. OK, thank you, Christine.

Well, speaking of money, Bernard Madoff apologized publicly to the victims that he ruined with his multibillion dollar Ponzi scheme. But for a federal judge, it was too little, too late. He gave Madoff the maximum sentence, 150 years in prison. And now prosecutors are going after any alleged accomplices in this scheme. Ten other people are expected to face federal charges by the time the investigation is complete.

Well, this morning, a new beginning in Iraq.

(BEGIN VIDEO CLIP)

(MUSIC PLAYING)

(END VIDEO CLIP)

NGUYEN: Civilians poured into the Baghdad streets to celebrate the withdrawal of U.S. combat troops from urban areas. Iraqi security forces will now be in charge and Prime Minister Nouri Al Maliki declared today a public holiday. And proclaimed that June 30th will now be known as National Sovereignty Day.

NGUYEN: Lieutenant Dan Choi will learn his fate today in a military court in Upstate New York. Lieutenant Choi violated the military's "don't ask, don't tell" policy when he publicly announced that he is gay during an interview earlier this year. Well, he received a dismissal letter and decided to fight it. Lieutenant Choi has gained a lot of support and over the weekend he was the grand marshal of the San Francisco Gay Pride Parade.

(BEGIN VIDEO CLIP)

LIEUTENANT DAN CHOI, GRAND MARSHAL, SAN FRANCISCO GAY PRIDE PIRADE: I see it as my opportunity to face a board of officers and tell them I will not lie. I will never lie. And I will never be ashamed of who I am. And a unit is stronger because people are honest, because they have confidence in each other.

(END VIDEO CLIP)

NGUYEN: Just yesterday during a reception for the lesbian, gay, and transgender community, the president said, quote, "Don't ask, don't tell" doesn't contribute to our national security. He says he is working with the Pentagon to end that policy.

All of this gets us to our question today: should Lieutenant Choi have to lose his job over this? He violated the, "don't ask, don't tell," should he lose his job? Well, that is our blog question, all you have to do is go to CNN.com/newsroom, in fact. And you'll see the question, here, you can either click on my picture or Heidi's picture, and weigh in. We'll be reading some of your thoughts a little bit later today.

In the meantime, though, disorder in the court.

(BEGIN VIDEO CLIP)

(COMMOTION)

NGUYEN: A murder suspect walks in, a victim's family lashes out. It is a story that you will want to see.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

NGUYEN: In Atlanta, check this out, crews are picking through the rubble of a parking deck to see if anyone is trapped inside the wreckage. So far there are no reports of injury. But four floors of the six-story structure caved in around lunchtime yesterday. At least 35 vehicles were just crushed. Crews are using dogs, cameras, and listening devices for any sign of victims.

Well, there was also some mayhem in a Michigan courtroom. A murder suspect smiles as he walks in, and a grieving family can no longer hold back its rage. We get details now from the reporter Laurie Dougavito, of CNN's affiliate WJRT.

(BEGIN VIDEOTAPE)

LAURIE DOUGAVITO, REPORTER, WJRT-TV CORRESPONDENT (voice-over): It was one punch, prompted authorities say by a smiley defendant, Juanell Darrough. He's accused of killing 22-year-old Alex Pace, Jr., in December. Pace was shot several times, Darrough just arrested earlier this month. As he's being escorted by a deputy on Friday morning.

UNIDENTIFIED MALE: He looks into the audience, puts a big smile on his face. The victim's dad Alex Warren Pace, hauls of and punches him in the face. DOUGOVITO: And you can see what happens next. The crowd erupt erupts, a defense attorney takes cover under the table, while Assistant Prosecutor Gladys Christopherson starts pulling people away.

Judge Tracy Collier Nix, not happy. In the end, Pace and another family member are under arrest and at least one person was Tasered.

(END VIDEOTAPE)

NGUYEN: Well, the sheriff's department is investigating the incident. But one change is already in place. The number of the courtroom deputies, that's been increased.

Get you the latest on the hot weather outside. We're calling it severe because it has been severe. Rob Marciano is checking into it for us. And he joins us now live.

ROB MARCIANO, AMS METEOROLOGIST: Hey, Betty, yeah, the heat here. Let's start with this. These are the record highs, and of course, you having spent some time in the Texas area are familiar with how hot it can get in June and just about any month of the year.

And 105 was the actual temperature measured in the shade yesterday. It doesn't include humidity. San Antonio 104, Houston, Texas, 102, and New Orleans getting into it, and you know there's humidity there at 98 degrees.

Note on Austin, it's the tenth day in a row they've had 100-plus degree heat. I think 16 of the last 17 days they've seen similar numbers. Houston is on the board for seeing a lot of heat.

(WEATHER FORECAST)

MARCIANO: Speaking of unusual, this guy in a helicopter, you've heard of heli-skiing, this is his version of heli-fishing.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Quite simple, really.

(END VIDEO CLIP)

MARCIANO: There he goes diving in, and boom, right on top of the marlin, wrestling it like an alligator hunter and eventually letting it go to the cheers and applause of his mates all around.

Now, Betty...

NGUYEN: Is that real?

MARCIANO: Well, there's a bit of an edit. You've got to believe there's some kind of a dare there. There he goes, he jumps in and...

NGUYEN: No way. He jumped right on top of the marlin from a helicopter? MARCIANO: ... and there happens to be a camera there.

NGUYEN: Yeah?

MARCIANO: Regardless, even if he jumped out of the boat, even if they drugged the marlin.

NGUYEN: Look at that. That's crazy.

MARCIANO: Even, you know, for him to jump on the fish like that and wrestle it, I mean that's a pretty big set of oranges (ph) there.

NGUYEN: It's straight out of a movie, I tell you.

MARCIANO: That's the latest we have for you.

NGUYEN: I want to see those kinds of pictures from your next vacation, right?

(LAUGHTER)

MARCIANO: I'll try to get those for you.

NGUYEN: All right. Thank you, Rob.

MARCIANO: See you later.

NGUYEN: Well, a deposed president heading to the United Nations today. We're talking about Manuel Zelaya of Honduras. He was forced into exile over the weekend. So now he is going to appeal for action from the U.N. in an effort to return to power. We get more on the unrest in Honduras from CNN's Karl Penhaul.

(BEGIN VIDEOTAPE)

KARL PENHAUL, CNN CORRESPONDENT (voice-over): Riot cops fire tear gas. And opening salvo against unarmed protestors facing down Honduras' military coup; one man's dragged off, another lies bloodied on the ground.

And you can hear the screams as Honduran police charge. Outside the presidential palace, supporters of the ousted leftist President Manuel Zelaya raise fists and chant the national anthem.

"We demand the entire international community forces this de facto government out, and returns our president, Manuel Zelaya," he says.

Polls (ph) of black smoke rise from burning barricades. Gun- toting soldiers prepare to quash any dissent. A flashback to the dark days of the '70s and '80s, when military regimes ran the Central America's so-called banana republics.

No international government has officially recognized the new government led by former congressional leader Roberto Micheletti. The regional political organizations, the OAS, slammed Sunday's power grab by the military.

"We're going to pressure them. We're going to isolate this illegitimate government, but there will be intervention of any kind," he said.

Mr. Zelaya, who was flown into exile in Costa Rica, still in his pajamas, has accused wealthy businesses and political elites of backing the coup. The new government said it acted to stop Zelaya pushing through a vote that could have extended his four-year term. The U.N. General Assembly issued a stiff condemnation on Monday.

MIGUEL D'ESCOTO BROCKMANN, PRESIDENT, U.N. GENERAL ASSEMBLY: I am ashamed that this coup has taken place in Central America during my presidency here at the General Assembly. This is a throwback to another era that we had hoped was now a distant nightmare.

PENHAUL: The Honduran armed forces have been trained and equipped by the U.S. military for decades. Around 550 U.S. military advisers are currently based in Honduras. And the White House has said Mr. Zelaya, not the newly sworn in Micheletti, is Honduras' legitimate leader.

At an emergency meeting Monday, leftist Latin American presidents embraced their ideological ally Mr. Zelaya, and ordered their diplomats out of Honduras in a move aimed at isolating the new regime.

In a statement, those leaders, including President Hugo Chavez of Venezuela, and Daniel Ortega of Nicaragua, appeared to renew a threat of military action.

"In accordance with the principles of international law, we assure we will be victorious against the soldiers who want to crush the valiant people of Honduras," he read.

Back on the streets, labor unions and peasant organizations called for a general strike to shut down the country. Government shock troops advanced under shields and cover from water cannons to crush the growing backlash.

Karl Penhaul, CNN, Atlanta.

(END VIDEOTAPE)

NGUYEN: Well, we're continuing to follow this. In fact, coming up next hour, we'll be talking to an expert on Latin-American human rights. I'm going to ask her if this coup could influence the future of other governments of Latin America and what impact it could have on us, here in the United States.

Stay with us, you're in the CNN NEWSROOM.

(COMMERCIAL BREAK)

NGUYEN: Well, it's time now for an update on Iran's disputed presidential election. After massive protests and outrage, the government now says the vote is valid and the fight is over. CNN's Reza Sayah is following the latest from our International Desk.

Reza, give us an update. Obviously, protesters had been out in the streets, this is definitely what they do not want to hear.

REZA SAYAH, CNN CORRESPONDENT: Not good news for those protesters. The Iranian government saying it is official, Iranian President Mahmoud Ahmadinejad has been re-elected. And he's going to serve another term; this after a partial recount of the vote on Monday.

Opposition leader Mir Hossein Mousavi had rejected the partial recount. He had asked for a full rerun of the vote. The Guardian Council, Iran's top legislative body went ahead with a partial recount anyway on Monday. They recounted 10 percent of the vote and according to results, they say, in some parts of Iran Mahmoud Ahmadinejad actually won some votes.

Here now, the spokesman for the body that did the recount, saying, this is over.

(BEGIN VIDEO CLIP)

ABBAS ALI KADKHODAEI, SPOKESMAN, GUARDIAN COUNCIL (through translator): But after this, the file will closed and from today on the 10th presidential election, the file has been closed, in Guardian Council, from today on.

(END VIDEO CLIP)

SAYAH: File closed, says the Guardian Council. The news making headlines all over Iran. The Guardian Council also adding they are no longer going to accept any more complaints, but many Iranians still do have complaints. They don't accept these election results and the partial recount that followed. Here's what one Iranian had to say.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE (through translator): It is illogical, illegal and could even be against religion for someone to pass the law, enforce it, and be the reference point of the complaint itself.

(END VIDEO CLIP)

SAYAH: The question now, what happens to people like that? The hundreds of thousands of Iranians who poured out into the streets, oftentimes risking their safety, sometimes risking their lives. It appears as their options are limited because based on Iranian law, opposition leader Mir Hossein Mousavi doesn't have much recourse. So, all eyes are going to be on him to see where he goes from here. But many observers say he doesn't have many places to go to, Betty.

NGUYEN: All right. Reza Sayah, bringing us up to date. Thank you for that, Reza.

There's going to be a lot taking place in the next hour in the CNN NEWSROOM and CNN crews, they are in place to break it all down for you. So, let's get a sneak peek, shall we? First, from Barbara Starr at the Pentagon.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: General Ray Odierno, the top U.S. commander in Iraq is about to come out in public and talk about this momentous day. I'll have more at the top of the hour.

TED ROWLANDS, CNN CORRESPONDENT: I'm Ted Rowlands in Encino, California, where questions still swirl around Michael Jackson's death. There is a second autopsy. Investigators have collected more evidence. Plus, the legal wranglings for the children and the Jackson estate. I'll have that coming up next hour.

MARCIANO: I'm Rob Marciano at the CNN Severe Weather Center. Another day of record-breaking heat in Texas, but some folks are starting to see a cooling trend. Is it too cool for the end of June? We'll have that at the top of the hour, Betty.

NGUYEN: Never too cool for the end of June. Thanks, everybody.

Also, who is in control of Honduras. Manuel Zelaya was ousted in a coup and he's still acting like president. So, is he getting a lot of support? Well, not only from within his own country, but from outsiders as well. We are going to show you that. Stay with us.

(COMMERCIAL BREAK)

NGUYEN: Michael Jackson. He led a life of endless talent and apparent torment. And evidently there are similar contradictions in death. An entertainer who earned hundreds of millions of dollars was drowning in sea of debt? We get the details now from CNN's Gary Tuchman.

(BEGIN VIDEOTAPE)

GARY TUCHMAN, CNN CORRESPONDENT (voice over): A person with intimate knowledge of Michael Jackson's finances is very blunt. Telling CNN the situation was just mayhem. The estimate, that at the time of his death the King of Pop was roughly $400 million in debt.

The 50 London concerts that were scheduled were going to bring in 10s of millions of dollars for Michael Jackson, but that only a fraction of the entertainer's debt. How did this happen? Only seven years ago Forbes magazine says he was $350 million, in part that was fueled by and extremely shrewd investment Jackson made two decades earlier.

ETHAN SMITH, "THE WALL STREET JOURNAL": He bought a company called ATV Music Publishing, which held, among other things, the copyrights to 251 Beatles songs.

TUCHMAN: He spent about $47 million for the copyrights, and some say they may be worth more than $1 billion now, although Jackson sold half of it to Sony in 1995 to drum up cash. But up until his death he was bringing several million dollars a year in royalties and other fees from his own music. We talked with this man, Charles Koppelman, he was a financial consultant for Jackson between 2001 and 2004. CHARLES KOPELLMAN, FORMER JACKSON FINANCIAL CONSULTANT: We all know what an incredible artist he is, but he also was a unique businessman to make the decisions - and they were his - to identify assets and acquire them over the years. His Achilles' heel, unfortunately, was his personal finances.

TUCHMAN: And that's putting it mildly. The person with knowledge of the current financial situation said Jackson was spending $2 million a month on what he called BS. Over the years Jackson bought the Neverland Ranch near Santa Barbara for just shy of $20 million. He spent many millions more in amenities, maintenance, and then staggering amounts of money on legal charges, including $20 million to settle a child molestation lawsuit.

A decade later, after spending millions in legal fees, he was acquitted in another child molestation case. Despite all that, his former financial consultant said Jackson was in OK financial shape a recently as 2004.

KOPPELMAN: We took about two month or so, and were able to restructure all his various loans, etc cetera. We did that and there was efficient and effective.

TUCHMAN: Bu Jackson kept spending and spending and the pop star who made so much money in his career churned through unimaginable amounts of it. With his death his assets are still there, including his Beatles rights, but his spending is not.

KOPPELMAN: His untimely death, as sad as it is -and it is sad. You know to some extent there is a possibility that his children and his family will now be able to figure out how to maintain those assets for them all.

TUCHMAN: And if that happens, it's the most pitiful way for it to occur. Gary Tuchman, CNN, Atlanta.

(END VIDEOTAPE)