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Contracts Fired Over Party Photos in Afghanistan; Obama's Planned Speech to Schools Drawing Fire; Dem Calls for Better Leadership on Health Care
Aired September 04, 2009 - 13:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: You have to admit, we're working on being partners for the league in the fall. That's right. We don't play like the Marietta Mauler (ph).
Work hard, aim high and stay in school. The message isn't controversial, but the messenger is. Indoctrinating or just good advice for our kids? We're pushing forward on the pushback over President Obama's back-to-school speech.
Payrolls are still getting leaner, employment rolls getting longer. The unemployment rate getting higher, the highest since the first term of Ronald Reagan.
And it's Friday. That means we're pushing forward on the back story. We've seen a reporter birthing a calf, a reporter tailed by Chinese government agents. How will Michael Holmes top that today?
Hello, everyone. I'm Kyra Phillips, live at the CNN world headquarters in Atlanta. You're live in the CNN NEWSROOM.
Well, if this isn't the perfect lesson on taking party pictures, then I don't know what is. Security contractors gone wild in Afghanistan. Specifically, private guards hired to protect the U.S. embassy in Kabul. First came these scathing pictures, and now eight guards are fired and two others have quit.
CNN foreign affairs correspondent, Jill Dougherty, joins us now.
They sure didn't waste any time getting rid of these guys, Jill.
JILL DOUGHERTY, CNN CORRESPONDENT: Well, it's highly embarrassing, Kyra, and they wanted to move as quickly as possible. In fact, we understand that from the State Department that Secretary Clinton herself was very concerned about all of this. In fact, we have that on tape.
We might want to play that now, the anger of Secretary Clinton about this event.
(BEGIN VIDEO CLIP)
PHILIP CROWLEY, STATE DEPARTMENT SPOKESPERSON: She's genuinely offended by what has occurred. And she has directed, you know, all of the relevant agencies to aggressively take action.
(END VIDEO CLIP)
DOUGHERTY: So, there is an investigation. Actually, there's several investigations ongoing, Kyra.
And what we do know is that, based on those photographs, they looked at them and they decided, the State Department urged the company for which they work to fire eight people, and then two of them actually resigned. They have -- are leaving the country. They may have left already. Today's the day that they will be on the plane.
Also, the entire senior management team for ArmorGroup North America, which is the contract company, they are being replaced immediately.
They're also putting State Department people on that base. It's called Sullivan, Camp Sullivan, where the guards stay. They have more supervision.
So, this is not the end of it, Kyra. This is just the beginning. It's a very long investigation. And ultimately, they say that it might result in pulling the contract from that company.
PHILLIPS: Wow. Yes, that could be the end result. But let me ask you, and I don't know if you know the answer to this, Jill, but I'm curious. The eight that were fired and the two that stepped down, do we have any idea where they were from? Were they Americans? And -- or were they from other parts of the country? Because I know there's a mixture within these groups.
And also do we know if they were leaders in this company or just, you know, lower-paid employees?
DOUGHERTY: You know, according to the statement from the embassy in Kabul, they were guards who were seen in the offensive photographs.
Now, the guards, we don't know precisely at this point where the fired ones came from. But it was a combination. There were Americans. There were Brits. There were Scots, people from other countries. They're also Gurkhas (ph), you know, who were hired but, it is not clear whether they were part of this. Those are the ones who did not speak English.
So, it's a mishmash of different people, but certainly a lot of them coming from, let's say, the U.K. and the United States.
PHILLIPS: Got it. Jill Dougherty, appreciate it.
"Well, this is something that you'd expect to see in North Korea or in Saddam Hussein's Iraq." That's actually a quote from Oklahoma state Senator Steve Russell.
"Not my kid, he won't be speaking to. Skip day." That's a tweet from TroubledBlondie.
And then, "I say it's ridiculous that some schools have decided not to show it. It's the president of the United States." That's a tweet from ThomasTobin.
And there's a lot more where those came from. It's all about a speech that President Obama plans to give Tuesday at a high school in Virginia. It's billed as a back-to-school inspiration, utterly nonpartisan type of speech, a call to work hard, set goals, be all that you can be. And the White House is calling on schools to show the speech live in classrooms. And the controversy begins right there.
President Bush the first gave a similar speech in 1991 and then President Reagan in 1988. But we're pushing forward with CNN's Ed Henry in our D.C. bureau in this report from CNN's John Roberts.
(BEGIN VIDEOTAPE)
UNIDENTIFIED MALE: My rights as a parent are being circumvented.
JOHN ROBERTS, CNN ANCHOR (voice-over): From talk radio to political circles, there's a lot of anger about the president's upcoming speech. The Department of Education says the goal is to challenge students to work hard, set educational goals and take responsibility for their learning.
But along with that came some suggestions for teachers, lesson plans asking students to, quote, "write letters to themselves about what they can do to help the president." That's where the trouble started. And the head of Florida's Republican Party didn't hold back.
JIM GREER, CHAIRMAN, REPUBLICAN PARTY OF FLORIDA: The parents across this country and the uproar that occurred, the Department of Education withdrew all of that language last night.
ROBERTS: And Greer didn't stop there. In a letter he charges, the president was going to use the speech to sell his policies, saying, quote, "President Obama has turned to America's children to spread his liberal lies, indoctrinating America's youngest children before they have a chance to decide for themselves."
The response from the left? It's not about the lesson plans or the speech, but politics.
(on camera) Was there a little bit of a problem there with the additional materials that were provided to go along with the president's speech?
ROLAND MARTIN, CNN POLITICAL ANALYST: No, it's not a problem. What you have is you have some insane parents who want to bring their ideology into the table. Why is it -- I mean, I didn't see people sitting here saying when President George W. Bush went to go read to students, "Oh, I want to see what book he's reading. I want to pull my kid out of the class, because I'm a Democrat. He's a Republican." This is absolute nonsense.
ROBERTS (voice-over): The Department of Education has changed those lesson plans now. Instead, suggesting students write letters to themselves about how they can achieve their short-term and long-term education goals.
Some school districts -- in Texas, Illinois, Minnesota, Missouri, Virginia, and Wisconsin -- have decided not to show the speech. And other schools will let parents keep their kids out of the classroom during the speech if they want. And many parents are even considering keeping their kids home from school altogether on Tuesday.
TAD MILLER, PARENT: And they have voted for McCain and Bush in the past. I wouldn't want them speaking to my student or your student or anybody else's student for that matter, their child. Politics is totally up to the family.
ANDREA MILLER, PARENT: So will I send my child? I don't know. Right now I would say no. I'll keep him home.
ROBERTS: John Roberts, CNN, New York.
(END VIDEOTAPE)
PHILLIPS: All right, let's get the latest read-out now from the White House. Ed Henry, what are you hearing?
ED HENRY, CNN CORRESPONDENT: Well, you know, Robert Gibbs spoke to reporters a short time ago, and his read on it was, look, this is silly season if the president of the United States can't even tell kids stay in school. It's a pretty non-controversial message.
I think where they may have been slipped up, though, is the fact that, as John Roberts pointed out, the lesson plan that had been handed out by the Department of Education suggested how can you help the president, maybe write an essay or something about what you admire about the president. Maybe conservatives kind of -- sort of pounced on that and thought maybe that was crossing a line, maybe, of advocacy.
Nevertheless, bottom line, I've got a third grader and a kindergartner. If they see the president and they hear him, you know, and get a lesson plan about how can you help push health reform or something like that, I mean, what are they really realistically going to do?
PHILLIPS: And you know what? Yes, what are your kids going to do?
HENRY: They can't even vote; they can't lobby. What are they going to do?
PHILLIPS: What are your kids going to say to the president that's going to be detrimental? That's what I want to know. Although your kids are very savvy. They're very smart, Ed.
HENRY: They live in the Beltway, so you know, they've got an idea. They got a read on things. I try to teach them. You know, you're right.
But I've also been telling people, I can't even indoctrinate my own kids to stay at the dinner table the whole time. They want to go watch "Spongebob SquarePants." I'm not joking. They do it all the time.
PHILLIPS: Well, you need to work -- you've got to work on your cooking, Ed. That's a whole other story.
All right. Let me read just -- you can imagine we've been getting lots of tweets and e-mails and all -- you know, Facebook responses. Let me through some of these at you.
This is coming from BobDobolina. He says, "I say no way. We can't have the president of the United States speaking to children. They could get ideas." Of course, being very sarcastic there.
Then this one coming from Ralph Segal: "I wasn't a Bush fan, but the opportunity for my son to hear him speak, or even better, to meet him in person would be one that he would remember. What happened to Americans having respect for the president, regardless of party affiliation?"
And then, finally NanaRCR says, "I say don't brainwash my grandchildren."
So bottom line, I mean, you covered President Bush...
HENRY: Sure.
PHILLIPS: ... when he gave his speech to school -- to the schools, right?
HENRY: That's right.
PHILLIPS: So why -- and I don't remember a lot of backlash during that.
HENRY: No.
PHILLIPS: Do you?
HENRY: No.
PHILLIPS: I mean, what's the difference?
HENRY: The first President Bush gave one -- a speech like this in 1991. I remember it well. It was here in Washington, Alice Deal Junior High School. You can look it up. And he basically said, stay in school; don't use drugs.
And basically that's the kind of thing that President Obama wants to do.
I think the difference is, you know, fast-forward 18 years, this hypersensitive media environment: the blogs, people jumping on things. And that can be a healthy process, but it also sometimes can really become warped and sort of exaggerated. And I think the White House certainly did slip up, probably, by you know, putting out this lesson plan that maybe pushed the envelope a little bit. But they've now said, look, that was worded inartfully. They've pulled back on that.
And they're going to, bottom line, put the speech online Monday for parents to look at. And they're going to -- they're swearing it's very non-controversial. And if parents don't like it, then they don't have to send their, you know, kids to school on Tuesday.
But I think, you know, bottom line, in this environment everyone starts pointing fingers and jumping on things. We're not even talking about education reform, whether it's liberal ideas, conservative ideas. Instead, these little sideline issues seem to really dominate oftentimes.
And I, in fact, had Jim Greer, who was on in John Roberts's piece, on my radio show a little while ago on CNN Radio. And he was saying, look, now that the White House has pulled back on that lesson plan, he thinks if he sees this speech on Monday and it's really not that controversial, he's going to send his own kids to school on Tuesday to hear the president and show him respect.
So, maybe after a little bit of back-and-forth, people are going to sort of turn the volume down here and realize maybe it's a little silly.
PHILLIPS: All right, we'll follow up. Good to see you, Ed.
HENRY: Thanks, Kyra.
PHILLIPS: Well, good news, bad news in today's unemployment report from the Labor Department.
Two hundred and sixteen thousand jobs were cut in August. That's less than expected. And it's the smallest monthly job loss since August of last year. Not bad. But it still bumps the nation's unemployment rate to 9.7 percent. That's a 26-year high. Not good.
Now, according to household survey data, the total number of jobless Americans is at 14 million, 900 thousand. Many of them are not officially on the government's jobless rolls. And they include self-employed people and students who can't find a job.
Now, lots of numbers, I know, but here's some context. Take a look at these skylines. That figure of 14,900,000 unemployed is roughly the combined population of America's three largest cities. That's New York, Chicago, and Los Angeles, that you see right there. All out of work.
Now as painful as it might be for those looking for a job, Vice President Biden suggests it could be much worse. He talked about today's unemployment report last hour. Take a listen.
(BEGIN VIDEO CLIP) JOE BIDEN, VICE PRESIDENT OF THE UNITED STATES: When we took office back in January, job losses were staggering. There were 741,000 jobs lost this last January, 681,000 in February, 652,000 in March of this year.
We knew we had to act. And within 200 days, we passed the -- 200 days ago, we passed the recovery -- the American Recovery and Reinvestment Act, which we're going to talk a little bit about today.
But the one thing I want to say is the recovery act is working, and you're going to see it work right on that site. We're making progress with substantially less job loss than we saw a few months ago.
(END VIDEO CLIP)
PHILLIPS: Well, the new study suggests that there is more than just a financial toll when you're unemployed. Researchers at Rutgers University surveyed 1,200 Americans who were out of work and looking for a job over the past year. And listen to this: two-thirds of respondents said they were depressed.
Meanwhile, just 40 percent reported they'd received unemployment insurance, and a whopping 83 percent of those who got the aid say they're concerned the benefits will run out before they find work.
Happening right now in Afghanistan: NATO investigating dozens of civilian deaths after its forces carried out an air strike aimed at the Taliban. NATO and provincial leaders say that at least 90 people were killed when NATO forces fired on a pair of hijacked fuel trucks. It happened in the Kunduz province in northern Afghanistan. They say that civilians and militants were among those killed.
The trucks, carrying fuel for NATO forces, were hijacked late yesterday, then spotted hours later along a riverbank. NATO believed that there were no civilians near those trucks at the time of the air strike, but the information turned out to be wrong.
The massive wildfire near Los Angeles now an arson case, and a search is under way for the person who started it. We'll have the latest from the front lines.
(COMMERCIAL BREAK)
PHILLIPS: Well, a big wildfire near Los Angeles is now a criminal case, and a search is under way for the person who started it. Just hours ago, investigators determined that the massive blaze that killed two firefighters was set by an arsonist.
The "Los Angeles Times" reports flammable material was found along a highway where the fire is believed to have started. And today, with the flames dying down, firefighters are gaining some ground. They've got the blaze about 42 percent contained. Right now it's scorched near 150,000 acres.
Reynolds Wolf is actually back from the front lines. You did a great job out there, Reynolds.
REYNOLDS WOLF, CNN METEOROLOGIST: Thanks so much. It is amazing to go out there and see it firsthand. We were stationed for a good part of the time in an area called Big Tujunga Canyon. And as you can see from this vantage point, from these shots, I mean, if someone, as I was telling our photojournalist here, Rob, just moments ago, if someone had told you that you had just dropped into the ninth circle of hell, you'd believe it. You'd believe it. I mean, just unbelievable the devastation you have there. The intense heat, the flames, just a nightmare scenario.
And it's great to hear they're finally getting a better handle on that fire. It is just a mess.
What's amazing, though, Kyra, if you get away from the flames, if you happen to be in the L.A. basin, from the Staples Center back over to Redondo Beach, you've got a lot of that smoke you're going to breathing in. I mean, just a mess.
You see here, you know, visibility in L.A. has always been kind of one of those kind of dicey things because of some of the smog you have, but from the fire certainly doesn't help matters much. You can just see the skyline of the city there in the background.
Now, in terms of what you can expect later on today, well, you've got those temperatures along the coast. They're in the 60s and 70s. So pretty nice there. But when you get back into the valleys, already we're looking at some upper 80s. Before all is said and done, in places like Tujunga Canyon, you can expect those highs to go right back up into the 90s once again. Very dry conditions out there, too.
Very different, though, as we make our way into the weekend. Scattered showers and storms are a possibility for much of the central plains. We're going to see a chance of raindrops.
Also, if you've got plans of taking the family maybe to somewhere in Florida, some of the big parks, conditions there could be some -- kind of rainy into the afternoon. You get the converging sea breeze and the day-time heat, and it can give you some storms.
Meanwhile for much of the northeast, relatively dry for your day today and then look for raindrops for much of the Pacific Northwest.
Now, for tomorrow, it looks like your best shot of rain showers are going to come from parts of the plains, back into portions of the mid-Mississippi valley and as far south as Texas. Also, look for scattered showers in Florida. Fairly dry in the southeast.
That is a quick look at your forecast. We're going to keep you up to speed with everything, because of course, big holiday weekend.
Let's send it back to you, Kyra.
PHILLIPS: All right. Reynolds, thanks.
WOLF: OK.
PHILLIPS: Health-care reform, three words that half stirred up a hornet's nest across America this summer. And during this make-or- break time, undecided Democrats could hold the key to victory or defeat for President Obama's plans.
Here's CNN senior congressional correspondent, Dana Bash.
(BEGIN VIDEOTAPE)
DANA BASH, CNN SENIOR CONGRESSIONAL CORRESPONDENT: Here's something you haven't seen during the summer of angry town halls.
SUSAN BURTON, FAIRFAX, VIRGINIA, RESIDENT: Welcome so much for coming to my home.
REP. GERRY CONNOLLY (D), VIRGINIA: My pleasure.
BASH: A health care house call. Democratic Congressman Gerry Connolly at Susan Burton's table, invited to hear her explain why she may have to cut health coverage for workers at her small business.
BURTON: A thousand for family coverage, so that's the one we went with. That's outrageous for a group.
BASH: Connolly, a freshman, wants to back health reform but is wary, because his Virginia district is fairly conservative.
Afterwards the congressman lamented that the deep concern he heard here about the current health-care system has been drowned out.
(on camera) Why is public opinion turning against health-care reform if you have stories like that?
CONNOLLY: Well, partly we've had a steady drum beat -- beat of the negative playing on people's fears and anxieties. And to some extent, that's clearly taken hold.
This is the bill.
BASH (voice-over): In a car ride through his district, Connolly blamed his own party, especially the president, for losing control of the debate.
CONNOLLY: The White House, candidly, underestimated the passion on the other side.
I think we underestimated the ability of the opposition to, you know, really initially frame the issue in outlandish ways.
BASH: Connolly goes back to his district office to see Democratic groups scrambling to reframe the debate and get his vote.
UNIDENTIFIED FEMALE: That was the whole point of us getting people elected. BASH: Members of a local union, there to lobby him in one room. And in another, volunteers from the president's political group, Organizing for America, deliver a box of petitions, and bring emotional stories of pre-existing conditions that make insurance unaffordable.
KARIMA HIJAN, VIENNA, VIRGINIA, RESIDENT: And I had to resign from my job because of my health issues.
BASH: Connolly says those meetings are effective, but back in the car, this Democrat with conservative constituents says what he really needs is better leadership from the president.
CONNOLLY: We need Obama to maybe put aside the cool, cerebral part of himself. We need a more passionate Obama, who can directly articulate to Americans why we need health care.
BASH: If Connolly's Democratic leaders change their health-care proposal to better control costs, among other things, they will get his vote, which this freshman Democrat knows could cost him his seat, unless the president and his party do a much better sales job.
Dana Bash, CNN, Annandale, Virginia.
(END VIDEOTAPE)
PHILLIPS: Top stories now.
Big fallout today from a story that we brought you earlier. Remember these pictures? Private security guards in Afghanistan, assigned to protect the U.S. embassy in Kabul? Their conduct at these parties sparked an investigation. And now ten of them have been fired or have just quit.
Another dark chapter in Phillip Garrido's dark past. He's the guy accused of kidnapping little Jaycee Dugard back in 1991, fathering her children, and holding her prisoner for 18 years. Now, another woman is coming forward, saying Garrido raped her nearly 40 years ago.
Fighting swine flu with your fingertips. IPhone users get proactive to stay healthy this flu season.
(COMMERCIAL BREAK)
PHILLIPS: Well, so many great stories, so little time. But here's some of what we could squeeze in, or could not squeeze in this week.
OK, you want to cash a check at a bank, but you don't have an account. So they ask you for a thumbprint. No problem, right? Well, what if you don't have a thumb? What if you were born without arms, like Steve Valdez?
He -- well, we brought you his story earlier this week, and tons of you responded with outrage on CNN.com. And now Steve is speaking out. Here's what happened. A Bank of America branch in Tampa, Florida, wouldn't let him to cash a check, because he couldn't provide a thumb print. He had I.D., but still no dice. Bank of America has since apologized, but is that enough?
(BEGIN VIDEO CLIP)
STEVE VALDEZ, TURNED AWAY AT BANK: Apologies are all fine and good, but there -- their policy itself is still in violation of federal law and the Americans with Disability Act, which says that they're to provide reasonable accommodation.
(END VIDEO CLIP)
PHILLIPS: Now, a bank spokeswoman says, quote, "Alternative requirements should be offered if someone can't give a thumbprint." Yes, good idea.
Well, the ever-elusive hole in one. It's the shot of a lifetime for any golfer. But for 14-year-old Lily Ellis, it's the drive heard around Upstate New York and then some.
Lily, who was born with just one fully functioning arm, teed off on a par 3, 115 yards, just two weeks ago. And guess what? She drained it.
(BEGIN VIDEO CLIP)
LILY ELLIS, SHOT HOLE-IN-ONE: I was shocked, like who wouldn't be? But, I don't know. I never thought it would be such a big deal.
(END VIDEO CLIP)
PHILLIPS: Well, it is a big deal. And it was a big enough deal for the local paper to pick up Lily's story. Not to mention a write- up now that will appear in "Sports Illustrated."
Well, a busy day in the CNN NEWSROOM. We're just getting started, so stay with us.
(COMMERCIAL BREAK)
ANNOUNCER: Live in the CNN NEWSROOM, Kyra Phillips.
PHILLIPS: Well, a new chapter's coming to light in Phillip Garrido's dark past. He's accused of kidnapping little Jaycee Dugard back in 1991, fathering her children, and holding her prisoner for 18 years. But now another woman is coming forward, saying she was raped by Garrido some four decades ago.
Dan Simon has the latest.
(BEGIN VIDEOTAPE)
DAN SIMON, CNN CORRESPONDENT (voice-over): It happened 37 years ago at this Antioch motel. It's where police say Phillip Garrido drugged and repeatedly raped another young girl. Authorities say the victim, 14 at the time, is now coming forward after seeing Garrido's image splashed on television, essentially saying there's more you need to know about this guy's past.
LT. LEONARD ORMAN, ANTIOCH, CALIFORNIA, POLICE: Mr. Garrido was charged in the matter. The details of that are very slim at this point, with respect for records to rely on. But at some point, the prosecution was dropped.
SIMON: That's because the victim declined to testify against Garrido. It's not clear whether he ever entered a plea in the case.
(on camera): According to police, the girl and a friend met Garrido, then 21, and another man near the public library. They got in a car and were given drugs. Later they wound up at this motel, where the alleged rape occurred. Eventually the girl's parents came to pick her up and called police.
(voice-over): Word of the old arrest came on the same day we learned how the now 29-year-old Jaycee Dugard is coping since reuniting with her family. Dugard allegedly spent 18 years in captivity in Garrido's backyard. Tina Dugard is Jaycee's aunt.
TINA DUGARD, JAYCEE DUGARD'S AUNT: Jaycee and her daughters are with her mom and younger sister in a secluded place, reconnecting. I was with them until recently. We spent time sharing memories and stories and getting to know each other again. Jaycee remembers all of us. She is especially enjoying getting to know her little sister, who was just a baby when Jaycee was taken.
SIMON: Tina Dugard describes Jaycee as a remarkably resourceful mother.
DUGARD: Although they have no formal education, they are certainly educated. Jaycee did a truly amazing job with the limited resources and education that she herself had, and we are so proud of her.
SIMON: This is how Tina would have remembered Jaycee, more as a child than the 29-year-old woman she is today.
DUGARD: Not only have we laughed and cried together, but we've spent time sitting quietly, taking pleasure in each other's company. We are so very grateful to have her home.
SIMON: Jaycee Dugard was abducted outside her South Lake Tahoe home in 1991. The suspects, Phillip and Nancy Garrido, have been charged with 29 counts, including rape and kidnapping. Both have pleaded not guilty. Today her aunt, describing the bond that never ended between a mother and daughter apart for nearly two decades.
DUGARD: The smile on my sister's face is as wide as the sea. Her oldest daughter is finally home.
SIMON: Dan Simon, CNN, Antioch, California.
(END VIDEOTAPE)
PHILLIPS: NATO concedes some civilians were among the 90-plus killed in an allied air strike in northern Afghanistan this morning. Local Afghan officials say as many as half were innocent civilians killed when NATO forces fired on two hijacked fuel trucks.
The Labor Department reports 216,000 jobs were lost last month. That's fewer than July, but it helps bump the national unemployment rate to 9.7 percent, the highest it's been since June of 1983.
Now there's two Massachusetts congressman. Stephen Lynch has take a step toward running for the seat of the late Senator Ted Kennedy. His move comes the day after Massachusetts Attorney General Martha Coakley announced her campaign.
Is North Korea on the verge of building a nuke? The country says it's in the final stages of enriching uranium, giving it a possible new way of making nukes. The North Koreans tell the U.N. that they're pushing on with their nuclear program despite global calls to quit.
Cheating -- it's a big problem at colleges and universities across the country, but how do the cheaters cheat, and who's helping them? Here's CNN's Carol Costello.
(BEGIN VIDEOTAPE)
CAROL COSTELLO, CNN CORRESPONDENT: Look at the word "cheater." It's awful. But educators say many students would rather cheat than fail. This young woman, who asked us not to use her name or university, was a cheater.
UNIDENTIFIED FEMALE: And a lot of students, they feel very stressed and pressured, and they kind of get cornered and they trap themselves, or they mentally trap themselves, and they feel like they have no other way out. So, then they cheat.
COSTELLO: The University of California-San Diego actually has a mandatory seminar for students who cheat. Six hundred took part this year.
Used to be, American students would pay Americans to cheat for them. Today, often unbeknownst to the American cheater, he or she is going online to outsource their brains to places as far away as Pakistan and India.
PROF. TRICIA BETRAM-GALLENT, UNIVERSITY OF CALIFORNIA, SAN DIEGO: So, of course that's contributing to making America and other societies "dumber," quote-unquote, because they're not learning how to do the work themselves and how to communicate.
COSTELLO: One man from the Philippines who did not want to be identified says he's written dozens of term papers for American students.
UNIDENTIFIED MALE: It's unethical, but you know, I come from a Third World country. It's good pay. Temptation is really great. COSTELLO: How much did they pay you?
UNIDENTIFIED MALE: I got as much as $15 a page. It was a topic on the state of the U.S. economy in 1950.
COSTELLO (on camera): So I'm on this site called Best Essays, and they right on the site, "We work hard to achieve academic excellence."
COSTELLO (voice-over): And it says it's provided students with original papers since 1997. So, I requested a three-page paper on Jason Blair, the former reporter who was fired after making up stories for "The New York Times." Total cost for a three-page paper?
COSTELLO (on camera): It's going to cost me $80.97.
COSTELLO (voice-over): Best Essay is not the only so-called Internet paper mill. There are literally hundreds of them online. It's become such a problem, more than a dozen states have made such services illegal. Yet, they thrive.
COSTELLO (on camera): What these companies are doing isn't legal here, yet they survive. Why do you think that is?
UNIDENTIFIED MALE: Because they are not based in the United States. They are based in Ukraine. They try to make it appear that the company is based in the U.S., but no, it's not. They're only making it appear so that the students will sign up and place their orders.
COSTELLO: Victor Guevara lives in this house in Virginia. For years, his address was listed as the home of essaywriters.net, a site that recruits writers to write term papers.
Virginia authorities tell us Guevara and his house have nothing to do with the site.
VICTOR GUEVARA, HOMEOWNER, HERNDON, VIRGINIA: I still receive mail for them, credit card statements or invoices from people who have written for them and gotten ripped off. I have one here from Kenya.
COSTELLO: Virginia authorities tell us there is little they can do since these paper mill sites can be headquartered in places like the Ukraine or anywhere in the world.
So, as long as that word "cheater" continues to be OK with so many students, Internet paper mills will continue to thrive, and American brains will continue to get dumber.
COSTELLO (on camera): I called "Best Essay" to ask them about their service. They sent me an e-mail, and I'm going to read it to you now: "All customers are informed that it is their responsibility to use the reference material responsibly and never claim it as their own work."
Carol Costello, CNN, Washington. (END VIDEOTAPE)
PHILLIPS: IPhone users may love their gadget, but many say the service stinks. Dropped calls, busy signals. What's the hang-up?
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PHILLIPS: Well, new hope in one of modern medicine's biggest challenges. Two powerful new antibodies could help pave the way to an AIDS vaccine. Scientists at the Scripps Research Institute in California say they've pinpointed a pair of proteins that can help HIV from multiplying in the body. Well, the World Health Organization says at least 33 million people worldwide are infected with HIV, the virus that causes AIDS.
Keeping tabs on swine flu. Well, there's an app for that, It's called Outbreaks near Me, and you can download it on iTunes for free. The application was developed by MIT and Boston Children's Hospital. It depends on earlier swine flu mapping technology, allowing users to track and report outbreaks in real time from pretty much anywhere.
Well, iPhone users, have you ever been chatting away only to find out you're talking to dead air? AT&T is blaming all the dropped calls on network hogs, people using their gadgets to do everything they would do on their home computer, plus making calls.
Jason Carroll has more on the hang-up. Jason, what do you got?
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JASON CARROLL, CNN NATIONAL CORRESPONDENT: Kyra, AT&T says it is working on upgrading their network. In the meantime, if you're an iPhone user in a major city, you may need a little patience.
(voice-over): Millions of people across the country use Apple's iPhone. It has a seemingly cult-like following, buyers lining up for the latest version, the 3GS, billed as fastest at downloading everything from music to Internet games. But when it comes to the phone part...
UNIDENTIFIED FEMALE: Dropped calls a lot.
CARROLL: That's where some customers have a hang-up.
UNIDENTIFIED MALE: I have to turn that off most of the time.
UNIDENTIFIED FEMALE: I'm happy with the iPhone. I'm not happy with AT&T.
CARROLL: AT&T is the exclusive carrier for iPhones in the United States. The problem? IPhones are so popular, and users are downloading and streaming movies and music so much, they're overloading AT&T's network.
NICK THOMPSON, "WIRED" MAGAZINE: What's happened is, people are trying to use their cell phones the same way they use their computers. So, you have a lot of demand in a little space. It's like trying to put 100 cars on a two-lane highway.
CARROLL: The result? Dropped calls, snail-pace downloads and questions from customers asking, given the popularity of iPhone, why wasn't AT&T prepared for the demand.
UNIDENTIFIED MALE: IPhone 3GS, the latest version of the iPhone, was sold in part on how quickly it connects to the 3G network. And of course, the success is now coming back in some ways to haunt AT&T.
CARROLL: AT&T says, "No one could have known in advance just how much the use of our network would increase because of the iPhone and other smartphones. But we are working hard to stay ahead of customer demand."
An estimated 9 million iPhone customers use AT&T. The company spokesman says they're spending more than $17 billion this year to improve their wireless networks. New cell towers are being added to cities like New York and San Francisco, where demand is high.
There's industry speculation AT&T's contract with Apple could end in a year, and iPhone users could have a choice of carriers. Neither apple nor AT&T would confirm that. This AT&T customer says he'll remain loyal.
UNIDENTIFIED MALE: I had a Verizon phone before, and it wasn't that much different. I mean, I think the service is -- it's acceptable. It's not like I'm not complaining about it a lot. So, yes, I'll probably stay with AT&T.
CARROLL (on camera): But we did speak with a representative at Apple about all the problems and asked whether they were upset with AT&T. At first, Apple said they would provide us a statement. Then, Kyra, they called us back and told us they would have no comment.
Some industry analysts predict it could take up to a year or even more before all the problems are worked out -- Kyra.
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PHILLIPS: Oh. Are we back?
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PHILLIPS: All right, look at this. I've got my rundown up, OK? I've got my e-mail up. I have my Twitter account up. What else do I have here? I have -- oh, I showed you I had the Internet. Then I have my cell phone, which, yes, I have been texting a little bit. And then I have Robert's iPhone. Did you show them your iPhone, Robert? See, I got the iPhone there.
We're all addicted. What can I tell you? And someone says they can help you out, though. It's kind of expensive, but we're going to tell you the story right after the break.
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PHILLIPS: Oh, you see?
(LAUGHTER)
PHILLIPS: That's everybody in my control room there. They're supposed to be paying attention to the show, but forget about it. They're tweeting, they're CrackBerrying, they're iPodding, they're doing everything you can imagine besides focusing on what I say.
So, let's see. I could say anything, and Kelly might freak out there. All right, I'll be well behaved.
It's billed as the first residential treatment center for Internet addicts. Seriously. It just opened its doors outside Seattle. So, are your thumbs sore? Are you tweeting until dawn? Would you rather be on the Web than making whoopie with your spouse?
Well, for just 14,000 bucks, you can enroll in a 45-day program. You'll do household chores, go on exercise outings. But here's the real clincher, you'll make a mean batch of ginger cookies. How ginger cookies will break our Internet addiction? well, we're going to have to Google that.
Well, tracking down the Dalai Lama, a reporter found herself jumping through some hoops just to talk to the exiled spiritual leader. And you're going to get the backstory. Michael Holmes is here.
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PHILLIPS: Well, every Friday we take a look at the story behind the story, the way that reporters dig up the news, sometimes running into a few roadblocks along the way. Michael Holmes hosts "Backstory" on CNN International.
And what do you have for us today?
MICHAEL HOLMES, CNN INTERNATIONAL HOST, "BACKSTORY": Good to be back again. Yes, this is one of those classics where you see the story. It's all very calm, cool and collected when it's on air. But -- Sara Sidner's based in New Delhi. There was the big typhoon happened in -- Morakot, Typhoon Morakot, that happened in Taiwan.
So, the Dalai Lama was going there to visit the people. Of course, you're talking Taiwan, you're talking a place that China says is a renegade province. They don't get along well with the Dalai Lama anyway, so it's always controversial.
So, Sara set out to catch up with the Dalai Lama, do a story on it for the news, run a net, as we say. And her adventure in actually getting to the guy is really something to behold. And check this out. I mean, you don't want to lose your luggage, but she did.
(BEGIN VIDEOTAPE) SARA SIDNER, CNN INTERNATIONAL CORRESPONDENT: Normally we bring a lot more gear with us. This time I'm just taking the minicam because the crew is already there. It's a photographer and producer already there in Taiwan. So, I'm just kind of getting on the plane and hoping to be able to speak with the Dalai Lama.
OK, so I'm on the plane. The Dalai Lama is sitting about three rows ahead of me. But I can't get to him because he is in business first, and I am sitting in economy. But we hope to speak to him when we get to the airport when he lands in Taipei.
Hi, how are you? Nice to meet you. Doing well? You're on camera.
DALAI LAMA, TIBETAN SPIRITUAL LEADER: Very good.
SIDNER: Should I speak with him just here? Can I speak with you just a moment.
DALAI LAMA: Oh, yes.
SIDNER: Tell me why you're here today. Why have you come to Taiwan?
LAMA: Quite simple: Because of the invitation. The main reason is that I received an invitation from those people who really suffer because of the typhoon.
SIDNER: So, now you're seeing the Dalai Lama, and he's walking into -- he's landed in Taipei, and all the media is there, standing, taking snaps.
(voice-over): As I tried to get a shot of the media frenzy, I got swept up and had no time to go back and pick up my luggage with all my clothes in it. At the time, none of it mattered. All I knew was the Dalai Lama was leaving on a specially chartered high-speed train to southern Taiwan, and it was the last train out for the night, and I was supposed to be on it.
(on camera): And we're hoping to follow the Dalai Lama on the train, but right now I'm stuck in this melee. So, hopefully we'll get there.
OK, we're at the train station. Now we've got to literally run to the train. Here we go.
(voice-over): The guy you see running with me is Vincent, our local fixer.
(on camera): Yes, it's still here.
UNIDENTIFIED MALE: Yes, yes, yes, yes. Oh, you see (INAUDIBLE).
SIDNER: I see him.
UNIDENTIFIED MALE: Finally. SIDNER: Sorry. I'm taking this camera down so I can -- we made it, the train's still here.
(INAUDIBLE) is in the valley, or it was. It really is a village that has now disappeared under layers and layers and layers of mud. Hundreds of people are thought to be buried in that mud. So, a very sullen place, really, really a graveyard. An entire village that's turned into a graveyard.
(voice-over): A mad dash to get a shot of the newsmaker in town was definitely not solemn. The local media even wanted to interview me, but we wanted to stick with telling the story at hand. So, we followed the Dalai Lama to a couple of villages, talked to some villagers, and then we put the story on air.
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PHILLIPS: OK, you've got to love that Sara Sidner, she left her luggage behind, she's running late to the train, but she doesn't stop running for a second.
HOLMES: She doesn't the whole time. And she's doing it just for us. We're the only place that that aired. And she's running around filming herself.
And like you said, she got swept up in the entourage. All of a sudden she's outside, no time to get the luggage, off to the train.
PHILLIPS: She's out of the airport.
HOLMES: I know, it was insane. But I mean, this is a -- it's a classic one which we do on "Backstory," where the story, you wouldn't have known any of this.
PHILLIPS: Right.
HOLMES: But sometimes the back story about how it all happened is pretty good fun and interesting to people.
PHILLIPS: And also, you're not going to jump out of Dalai Lama's entourage. I mean, when else do you get an opportunity to be behind the Dalai Lama and just kind of be a part of the whole moment?
HOLMES: Exactly. And she was really cheeky, too, getting him in first class, too. Because she was back in cattle class, as we say in Australia. And so, she goes up to first class when the plane lands and -- hey, lets have a chat, which I thought was -- that was pretty good, too.
PHILLIPS: You know, that's that whole other point. Dalai Lama's flying first class? OK, yes.
HOLMES: Yes, yes, yes. I think he's comped (ph). I think you comp a spiritual leader.
PHILLIPS: So, she got the -- she got a moment with him there in the plane, and then she also did a serious sitdown interview with him, right?.
HOLMES: She did. And that was in the main story, yes.
PHILLIPS: And he was invited to come there -- did they, what...
HOLMES: Controversial. Yes. He was invited by some of the victims of the typhoon to come and be there and, you know, offer his spiritual support, if you like. But of course, Taiwan is problematic when it comes to China. China says it's a renegade province. Taiwan says, hey, we're all independent here.
And then there's the whole dynamic between China and Tibet and the Dalai Lama. And it's a very political thing for him to go there. And he's saying it's not political. I'm not about the politics. So, it was a pretty controversial visit as well.
PHILLIPS: Now, your show airs on CNN International, but we want folks here domestically, obviously, not to just watch and see the segment every Friday. But you can also go online, correct?
HOLMES: You can, yes. We've got our Web site like you do. It's CNN.com/backstory. We're on Facebook, facebook.com/backstory CNN. We all tweet like you do. I follow you, you follow me.
PHILLIPS: Always.
HOLMES: Oh, do you?
PHILLIPS: I'm always following you, Michael.
(LAUGHTER)
PHILLIPS: That's another backstory.
HOLMES: So, you can check out -- we've got a whole bunch of previous stories there on the Web site, too, what we call the video vault. And you can go back and look at a whole bunch of others by our correspondents going back months. Pretty cool.
PHILLIPS: Thanks, Michael.
HOLMES: Good to see you.
PHILLIPS: It's great to see you. Happy weekend.
HOLMES: Yes, you, too.
PHILLIPS: OK, great.
HOLMES: OK, see you.
