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Debt Talks Resume; U.S. Women Reach World Cup Final; Palin Weighs in on Debt Ceiling Talks; Murdoch Investigation Widens; Mistrial in Roger Clemens Case; CNN Crew Caught in Libyan

Aired July 14, 2011 - 11:00   ET

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

SUZANNE MALVEAUX, CNN ANCHOR: Live from Studio 7, I'm Suzanne Malveaux. I want to get you up to speed for this Thursday, July 14th.

Libyan troops ambush a CNN crew. Our journalists were covering a five-hour firefight in the village of Qawalish. Suddenly, guns were aimed at them.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Wait. Wait. Wait. Wait!

UNIDENTIFIED MALE: Wait. Wait. Wait.

(END VIDEO CLIP)

MALVEAUX: A pause, but bullets kept flying as our team sped away.

(BEGIN VIDEO CLIP)

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: OK. We're leaving this area because there's gunfire all around us, and we believe that Gadhafi's forces are doing a roundabout movement. So we are rushing out of this area.

(END VIDEO CLIP)

MALVEAUX: This reminds us just how dangerous and desperate the life has become for the Libyan people. And we're going to talk to CNN's Ben Wedeman, live from Libya, just a little bit later.

Well, Indian police say it will take more detective work to pinpoint who is behind the triple bomb blast in Mumbai. The terror attack killed 18 people. India's home minister says that no intelligence pointed to anything imminent. For now, the minister says that any group hostile to India is suspect.

Well, they'll give it another shot. Today, the president, congressional leaders have been back, going back and forth on a debt ceiling increase for about a week now. The deadline is August 2nd. Otherwise, the U.S. may not be able to pay its bills.

So far, little to show but exasperation. President Obama lit into House Majority Leader Eric Cantor yesterday, then walked out of the talks. We're going to talk to the policy, as well as the personality clash, in a moment.

Well, Americans have a personal credit score. Governments have a debt rating. Moody's, one of three debt rating agencies, is reviewing the U.S. rating for a possible downgrade. Governments with lower ratings, just like people with lower credit scores, pay higher interest rates.

A section of a suspension bridge collapses in China and a tour bus goes down with it. Chinese news agencies say one person was killed, 22 hurt. A huge slab of concrete highway broke away from the suspension wires. The bridge is relatively new, just 12 years old.

News Corp chairman Rupert Murdoch sends his regrets to the British parliament. He can't make it Tuesday. Lawmakers want Murdoch to testify about phone hacking and alleged police bribery by his London papers. Well, parliament issues a summons, but Murdoch is not a British citizen. It's not clear that he can be forced to appear.

U.S. women's soccer team going to play for the World Cup title this weekend. That is happening. The Americans beat France in the semifinals 3-1. They're going to clash with Japan for the championship in Frankfurt, Germany. That's happening on Sunday.

So stick around. We're going to talk live with team hero Abby Wambach in just a bit.

The warnings of financial calamity in the debt ceiling debate, they're dramatic enough. Well, then there's the human drama that is playing out in these negotiations. The two sides go back to the table again today after tensions escalated between President Obama and House Majority Leader Eric Cantor. That happened during the talks yesterday.

Well, Canto says that the president got agitated after he proposed a short-term agreement to raise the debt ceiling. Now, that's something that the president doesn't want to do.

According to Cantor, the president said, "Eric, don't call my bluff." After Cantor pressed the issue, he says President Obama shoved back from the table and said, "I'll see you tomorrow," and walked out.

So how is it that this Republican, Eric Cantor, ends up being the one going toe to toe with the president in this debate?

Joining us to talk about that is Dana Milbank. He's one of the best there at "The Washington Post."

Dana, good to see you.

You write that Cantor -- what Cantor really wants is power here, that he's prepared to risk the full faith and credit of the United States to get it.

Is that really true? Is that happening, do you think? DANA MILBANK, "THE WASHINGTON POST": Well, all the other possibilities seem to have been ruled out here. And, you know, Canto had a quote in his high school yearbook nearly 30 years ago that said -- with his photo there -- says, "I want what I want when I want it." And he's had a remarkable rise to power here and, in large part, he's done that by harnessing the power of the Tea Party movement.

He's much closer to these guys than John Boehner is. There's been a longstanding power struggle between these two men.

And you see Boehner has been working quite diligently and in good faith with the White House to strike a deal, and pretty much at every step along the way, Cantor has undermined it. We're now at a point where Cantor is saying he's not sure any sort of a debt limit increase can get through the House. So he may have ridden the tiger of the Tea Party a bit too far here, because it's not at all clear how he gets out of this.

MALVEAUX: Yes. Well, how much of an influence is the Tea Party here?

MILBANK: It's enormous because, look, I mean, there's three entities here. There's the White House, there's the Senate, and there's the House. And the Tea Party members, or those who are sympathetic to the Tea Party, really control this. And they are dominant within that caucus right now.

And nobody wants to go up against them. They're fearful of that. In fact, John Boehner starts to talk about a grand bargain. He immediately gets undercut by Cantor and the next in line, Kevin McCarthy.

So we've really reached -- it's almost sort of a leaderless position here, that even if the leaders wanted to strike a deal, they may not have the ability to do it because of this very angry rank and file.

MALVEAUX: And Dana, perhaps this shouldn't come as a surprise to anyone. I interviewed Cantor in May, and here's how he set the stage for what was to come. Take a listen to this.

(BEGIN VIDEO CLIP)

REP. ERIC CANTOR (R), MAJORITY LEADER: The winning issue I think in the midterm election was that the country began to see a Republican majority that was actually interested in solving problems and delivering results. So we put a plan on the table to address the fiscal imbalance in Washington and to get our fiscal house in order.

And we also say, you know what? We've got a vision for how we're going to grow the country again so we can see small businesses finally beginning to create jobs, something that I know that a lot of Americans are waiting for.

(END VIDEO CLIP) MALVEAUX: So, Dana, is Cantor the designated Pit Bull of the party now? He's kind of getting a wink and a nod from the GOP? Or is this a guy who's just going rogue?

MILBANK: Well, I mean, he's going rogue from the leadership, but in the sense that he has a large amount of the caucus behind him. His people say he's merely reflecting the interest of his caucus, his Republican members.

Now, that's true, but there is a question of leadership here. And certainly John Boehner is saying, Mitch McConnell saying, look, if we don't raise this debt limit, things are going to get a whole lot worse. And McConnell is already talking about, as you know, sort of punting off this decision that will do nothing.

MALVEAUX: Right.

MILBANK: So they really have to make the decision between getting not exactly what they wanted or getting nothing at all. And so far, a lot of people are willing -- in that House caucus -- are willing to say, OK, we'll take nothing, we'll see what happens, we'll try our luck with this default, with this failure to meet the debt limit.

MALVEAUX: And Dana, I mean, obviously, Cantor is the one who is in the room there. Is there anyone else who can be in that room with the president and potentially resolve the stalemate, or is it really Cantor versus Obama?

MILBANK: I mean, that's the primary drama here. You have other players now.

Of course there is still Boehner. Mitch McConnell is desperately looking for a way out. He sees this as destroying the Republican brand, if they don't resolve this. And you've got other players like Rob Portman, in the Senate, who are trying to talk some sense into their colleagues in the House, saying, all right, let's just avoid this calamity and live to fight another way and try to resolve this in some other way.

MALVEAUX: All right. Dana Milbank, thank you so much. Good to see you.

MILBANK: Thanks, Suzanne.

MALVEAUX: So we've got all of this political drama, but still no plan to raise the debt limit and also cut spending. So here's a quick reminder of the plans that are under consideration.

President Obama wants the so-called "Grand Bargain," $4 trillion in savings through spending cuts, reforming Medicare and other entitlements, and potentially raising taxes. Republicans oppose any tax hikes.

Senator Mitch McConnell has suggested a fallback plan. It would give the president the authority to raise the debt limit to keep the country from defaulting on its bills.

And now you have Congressman Cantor. He has proposed a short- term hike in the debt ceiling. President Obama has already said no to that proposal.

Well, here's a rundown of some of the other stories that we are covering first.

First, how a lower bond rating could affect your plans to buy a car, borrow money for your child's college fund and education. That, up next.

Then, an accused child molester, if you can believe this, watches child porn in jail, and the sheriff can't do anything about it.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Make no mistake, I don't like it. But it is not my choice whether to do it or not to do it. There's no question that I don't like it. There's no question that this makes me grind my teeth.

(END VIDEO CLIP)

MALVEAUX: Later, why the British hacking scandal matters here. U.S. legislators demand a review of Rupert Murdoch's media empire.

Also, I talk with the woman who scored the winning goal for the U.S. in the World Cup semifinals.

(COMMERCIAL BREAK)

(NEWSBREAK)

MALVEAUX: And soccer, the most popular sport in the world, right? But rarely are Americans gathered around the TV screen cheering for their favorite team.

Well, that all changed with one game and one goal. The U.S. team was facing elimination, down to its final minute of play against Brazil, when Abby Wambach scored a miraculous header. The U.S. won its penalty kicks.

Fast forward to Wednesdays. Wambach's header was a go-ahead goal against France. The U.S. won 3-1 and is going to face Japan on Sunday in the World Cup final.

Abby joins us on the phone from Frankfurt, Germany, where the World Cup is being held.

Abby, thank you. Congratulations. That's pretty awesome.

ABBY WAMBACH, U.S. WOMEN'S SOCCER TEAM: Thanks for having me. I really appreciate it.

MALVEAUX: Sure. It almost seems like patriotism is swelling here in the United States. Everybody is following you, they're following the team, they're gathering around in sports bars.

Did you ever think that would you do would have that kind of impact?

WAMBACH: You know, it's pretty amazing how much support we've felt and we have received from back home. We've seen some of the videos, the footage of people reacting to not just the Brazil's goal, but yesterday's match.

And we really want to make everybody back home proud. So we're going to keep this thing going. We have got this huge game on Sunday. And if we can all play well and keep giving our most, and leave everything on the field, hopefully we'll come home as World Cup champs.

MALVEAUX: And Abby, even before Sunday, just to show you how popular all you guys have become, the ESPY Awards, really the award show that honors the highest achievement in sports, changed a category the last second, added your header against Brazil to the Best Play category.

I want you to listen to how this came about.

(BEGIN VIDEO CLIP)

SETH MEYERS, ESPY AWARDS HOST: Over the past few weeks, your votes have whittled the field of 16 down to four amazing plays, and then there was a in kick-ass goal in the women's World Cup, so we added that as well. They don't do that at the Oscar's. They don't just add a thing.

UNIDENTIFIED FEMALE: And the fans have decided that the ESPY to Abby Wambach.

(APPLAUSE)

(END VIDEO CLIP)

MALVEAUX: Abby, when you heard that, what did you think?

WAMBACH: That's awesome. That's actually the first time I've heard it, because we've been traveling. We just left (INAUDIBLE), and now we're here in Frankfurt.

I mean, honestly, it's so honoring and humbling to even be honored and put up for an ESPY, but to actually win it, you know, some say maybe it was perfect timing for us. We believe that this is our destiny. We're going to keep it going. But honestly, I'm so impressed, and I couldn't be more proud to be a part of this team.

MALVEAUX: We're proud of you as well.

You talk about destiny. Let's talk about destiny. Let's talk about Sunday, U.S. versus Japan in the final.

What do you need do you think to win that game? WAMBACH: Well, Japan's a great team. They are so possession- oriented, they're so technical, on the ball. They're going to keep a lot of the possession of the game.

We just have to be patient. We're going to get chances. We're going to have moments where we can score goals. And I think, physically, we're going to be able to dominate them.

So if we can take care of the chances that we get, put away some goals early on, it's going to be an amazing day to be an American, and hopefully we can be crowned World Cup champs.

MALVEAUX: An amazing day for everybody.

And tell us a little bit about your own career. You've had an amazing career. There have been some ups and downs, including the game-winning goal in the 2004 Olympics. But you also missed the '08 Olympics. You had a broken leg.

You're 31 years old. And do you think there's another shot at this, the U.S. team, the next World Cup in four years? What do you see in your future?

WAMBACH: You know, it's a good question, but right now my focus is here. I'm -- you know, this team is special, and this team -- I can't put my finger on what makes this team so special, but the fact is, we just don't give up. We're not quitters. And we won't give up for the entire 90 minutes that we play on Sunday, and I think it's going to be enough.

I think that we can do this. I know that the players on my team, the coaches, the staff, we've all put so much time and effort into training and preparing for this. We're not going to let it go lightly.

It's going to be a great match. I can't wait to start it, and hopefully to see that we're champs at the end.

MALVEAUX: Abby, can't wait to watch. We want you to join us on Monday after you can after that goal and the game as World Cup champs.

Abby, thank you so much for joining us today. Good luck this weekend.

Again, the World Cup finals --

WAMBACH: Thank you so much.

MALVEAUX: -- Sunday, 2:45 Eastern Time. We'll be watching and rooting for the team.

Well, three great stories. Only one is going to air. This is your chance to "Choose the News." Here are the choices.

First, banning churches in China, a crackdown on Christianity by the state. What it means for believers. Second, in a country still racked by protests, homemade guns are making their way onto the streets of Egypt.

Third, a science lab in the Arctic. A team of researchers digs below the ice to crack the secrets of the ocean.

So you can vote by texting "22360." Text "1" for "Churches in China"; "2" for "Egyptian Guns"; or 3 for "Arctic Science."

The winning story is going to air in the next hour.

(COMMERCIAL BREAK)

MALVEAUX: New Yorkers turned out by the thousands for last night's funeral of a little boy who went missing and was found dead. His body, dismembered.

Eighty-year-old Leiby Kletzky disappeared on Monday on his way home from summer camp in a close-knit Orthodox Jewish neighborhood in Brooklyn. This surveillance video is the last time he was seen alive. He was supposed to have been meeting his mother. The video later showed him talking to a stranger identified as Levi Aron.

(BEGIN VIDEO CLIP)

RAY KELLY, NEW YORK POLICE COMMISSIONER: Leiby continued along 44th Street until he reached 18th Avenue, where he encountered Aron and asked him for directions. There is no indication at this time that the victim was known to the suspect previously. It was just happenstance and a terrible fate for this young boy.

(END VIDEO CLIP)

MALVEAUX: Police have charged Levi Aron with murder. Officers say they found human remains in Aron's freezer and in a trash bin two miles from his apartment. The remains were wrapped in a plastic garbage bag inside a suitcase. New York City Police Commissioner Ray Kelly says Aron told police he killed the boy in a panic after seeing the child's face on a missing persons poster.

Well, an inmate in Washington State gets the green light to watch child porn while in jail. Now, how is this even possible?

Keith Eldridge from CNN affiliate KOMO reports it is because he's his own attorney.

(BEGIN VIDEOTAPE)

KEITH ELDRIDGE, REPORTER, KOMO (voice-over): There are two sides to Marc Gilbert. He comes and goes from court in the outfit of a jailed inmate, but in his handcuffed arms behind his back is the briefcase of a lawyer. Gilbert has chosen to act as his own attorney.

MARC GILBERT, DEFENDANT: I'm asking for both copies of the hard drives, as well as the copies of the videotapes be released. ELDRIDGE: Gilbert is accused of luring young boys to his Lake Tapps home, raping them, and videotaping it all. And now he's able to see those videos inside the jail.

(on camera): We're talking about boxes of videotapes, more than 100 DVDs, about 28 hours of pornography. Some of it the very same material he's accused of making.

SHERIFF PAUL PASTOR, PIERCE COUNTY, WASHINGTON: Oh, make no mistake, I don't like it. But it is not my choice whether to do it or not to do it. There's no question that I don't like it. There's no question that this makes me grind my teeth.

ELDRIDGE (voice-over): But the sheriff said the state Supreme Court ruled that defense attorneys have the right to see all of the evidence against their client, including child pornography. And since Gilbert is his own attorney, he gets total access to it. If not, there's the risk of a mistrial.

UNIDENTIFIED MALE: We want to facilitate this even though we don't like it and don't think it's a good idea.

ELDRIDGE (on camera): So he can just sit there and watch pornography all day?

UNIDENTIFIED MALE: Yes, sir.

ELDRIDGE (voice-over): There are some precautions taken at the jail to make sure the rest of the inmates aren't able to see what Gilbert and his private investigator are looking at. They are both taken to a private interview room where they can watch for as long as they want.

Child advocates say the fact that these videos are being viewed again, especially by the alleged perpetrator, just victimizes them all over again.

UNIDENTIFIED MALE: We don't like it. We don't want to do it. But we have to follow the law. So the fix here is to change the law.

(END VIDEO CLIP)

MALVEAUX: So can anything be done about this?

Sunny Hostin, she's a legal contributor for "In Session" on our CNN sister network, truTV. She joins us from New York.

Sunny, this is absolutely disgusting when you look at this and you hear this story. And you've got to wonder if anything can be done about this.

SUNNY HOSTIN, CNN LEGAL CONTRIBUTOR: Well, I think the only thing possibly that can be done is changing the law, Suzanne. And that's something that would be a long time coming.

I think, certainly, at this point, there are pieces in play that protect the notion that shouldn't be happening. We know that they're going to be in this interview room by themselves. He is not alone. He has a defense investigator with him.

Certainly, there are jail guards there observing the entire thing. These aren't pornographic videos that the other inmates are able to see. But short of changing the law, really there isn't anything that can be done, because he is representing himself, and that's a Sixth Amendment constitutional right.

You have the right to counsel. You have the right to represent yourself if you choose to. There are limited exceptions to that. And certainly you have the right to know what evidence is going to be presented against you, and you can confront witnesses and confront evidence.

So, while it makes us all feel uncomfortable, right -- this is something that I don't think that law ever intended to happen -- it's there because it protects our fundamental constitutional rights.

MALVEAUX: Well, Sunny, you said -- you talk about intent. Don't judges have the option of denying prisoners the right of serving as their own attorney here? I mean, isn't there something in that that he can reverse his opinion now?

HOSTIN: It's a very -- there are very limited exceptions when that sort of thing happens. Again, you have the right to counsel and you have the right to represent yourself. That's a constitutional right.

And I think the only reason this is happening is because he has decided to represent himself. Oftentimes, judges give you standby counsel because, really, there is this old saying that only a fool represents himself. And so he should have a lawyer representing him, but since he's chosen to represent himself, which is his fundamental right, sometimes judges do have standby counsel to help out and to shield against this sort of thing.

The judge certainly can limit perhaps some of his access to evidence, but I think that's already been done because of the circumstances under which he's going to be allowed to view. It's horrible evidence.

MALVEAUX: And Sunny, we know there have been cases of those who have been able to go through their own materials, but this seems like this is kind of an extraordinarily rare circumstance. Have you heard of anything like this before where this material that they are reviewing is pornography?

HOSTIN: No, I haven't. However, I had occasion -- I've tried cases where people have represented themselves, and they do have the right to look at all the evidence. They have the right to look at the evidence that you're going to put forth against them.

But in this case, this -- it's sort of a perfect storm. I've never seen anything like this where you have someone accused of child rape and molestation, seeing over again the victimization of his victims. So really a very horrible set of circumstances, and I think very rare. This is not something that the law contemplated.

MALVEAUX: And Sunny, just a last question, do you think those families of those victims, of those children, do they have any recourse here? Is there anything they can do?

HOSTIN: I don't think so. I don't think so. And it's unfortunate, but hopefully they will have their day in court.

My understanding is that, while he's representing himself, he's not going to be allowed to directly cross-examine these poor victims. And the judge is going to protect them in that regard. But in terms of any other legal recourse, I don't think so.

MALVEAUX: All right. A very, very disturbing case. Thank you very much, Sunny. Appreciate it.

HOSTIN: Yes. Thanks.

MALVEAUX: Well, you know what can happen if your personal credit card rating takes a hit. Well, now the nation's credit rating is at risk. What this could mean for the economy, as well as your own finances, that up next.

(COMMERCIAL BREAK)

MALVEAUX: Here's a rundown of some of the stories that we are working on.

(VIDEO CLIP)

Chaos as our CNN crew is fired on in Libya by Gadhafi fighters.

Then, why Minnesota's government shutdown will hit some beer drinkers where it hurts.

And in eight minutes, Justin Timberlake is asked to put his money where his mouth is to go on a date with a Marine in the name of patriotism.

The U.S. government is putting on notice. Moody's, a major rating agency, is threatening to downgrade the nation's credit rating because of the debt ceiling crisis.

Our Alison Kosik is at the New York Stock Exchange to explain this.

And how dire is this warning, Alison? What does this mean for us?

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Suzanne, you know what, it is a huge concern, especially when you consider Moody's is not the first to fire off this warning shot. Fitch, S&P did the same. These are all top agencies -- top credit agencies here on Wall Street

And as far as Moody's goes, what it's doing is reviewing the government's bond rating and it may possibly downgrade it if the debt ceiling isn't in time. So what it essentially means is Moody's is on the verge of cutting our nation's credit score. This could send the message that investing in the U.S. is not as safe as it once was. And this is kind of stunning when you think about it because right now, the U.S. rating is as high as it gets, Suzanne.

MALVEAUX: So, Alison, what does it mean for the economy?

KOSIK: Well, it's interesting because Fed Chief Ben Bernanke talks pretty directly about the consequences. He talked about this yesterday. He used words like catastrophic and dire and crisis. And, you know, who can blame him when you look at the possible effects of a lower credit rating and a default?

Federal borrowing rates could rise. Stocks would drop. It could disrupt global financial markets. Credit card and other consumer rates would go up, too, and, you know what, we don't want to go anywhere close to that, because who can forget what happened a couple of years ago when the economy didn't get what it needed?

The Dow plunged 777 points when Congress didn't pass the first $700 billion stimulus plan. Gosh, that event would seem like a drop in the bucket next to a default or to a downgrade, Suzanne.

MALVEAUX: That's a big deal.

Alison, you know, it's been really hot. Really, really hot this summer. And what if your favorite drink -- if you can imagine this -- disappeared from the stores, because here's what's happening in Minnesota. Their budget crisis might actually turn into a beer emergency for some folks. Miller/Coors may have to pull its beer -- a beer emergency.

They may have to pull beer in Minnesota because the licenses have expired. So the state is shut down so there's nobody to renew the permits. More than 30 brands may vanish, you're talking about Miller, Coors, Foster's, Molson, Blue Moon, you name them. So, you know, that's what they are dealing with there. You might have to switch to Budweiser, Alison. I don't know what you drink.

What do you drink?

KOSIK: Or, I'll go right to the hard stuff. I'll go right to tequila.

MALVEAUX: Oh, geez, that's supposed to be the solution here. Go to the hard stuff. We'll see what happens there. We will see what happens. But that's just one of the many things that we're looking at when we talk about this economic crisis. Turns into a beer emergency.

All right, Alison.

KOSIK: I hear you.

MALVEAUX: Don't do the hard stuff.

KOSIK: OK. MALVEAUX: Here's a reminder to vote for the story you'd like to see. You can cast your vote by texting 22360.

Text 1 for crackdown on Christian churches in China.

Text 2 for homemade guns flooding on to the streets of Cairo.

Or text 3 for the science lab at the top of the world. Researchers studying a frozen sea.

Winning story is going to air in the next hour.

Well, she is a martial arts expert in the Military and she could be Justin Timberlake's next date. But is the pop star, is he ready to take her on?

Jeanne Moos, she's going to have that story.

(COMMERCIAL BREAK)

MALVEAUX: So just how patriotic is Justin Timberlake? One fan is making the star prove his love for country with a provocative proposal.

Jeanne Moos reports.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT: This female marine is asking Justin Timberlake out on a date.

CORPORAL KELSEY DE SANTOS, U.S. MARINE: Well, I'm going to call you out.

MOOS: Hoping he'll take his own advice.

JUSTIN TIMBERLAKE, SINGER: Do it for your country.

MOOS: That's what Timberlake told his co-star, Mila Kunis after a male Marine stationed in Afghanistan tilted his shades and asked Mila out via YouTube.

SGT. SCOTT MOORE, U.S. MARINE: Hey Mila, Sergeant Moore, but you can call me Scott.

UNIDENTIFIED FEMALE: What?

MOORE: I just want to take a moment out of my day to invite you to the Marine Corps Ball on November 18th in Greenville, North Carolina, with yours truly. So, take a second to think about it and get back to me.

MOOS: Now chances are the last time Mila Kunis was asked out on a semi-blind date was is when CNN's own Wolf Blitzer invited her to the White House correspondence dinner.

MILA KUNIS, ACTRESS: This is my date, Wolf.

MOOS: And though Wolf is more famous than Sergeant Scott Moore, the sergeant had Justin Timberlake on his side during a Fox News interview.

TIMBERLAKE: This needs to go down. This needs to happen. Do it for your country.

KUNIS: OK. I'll do it for you.

MOOS: You do it for your country, Justin Timberlake, because now this Marine wants you.

DE SANTOS: So, Justin, you want to call out my girl Mila. Well, I'm going to call you out and ask you to come to the Marine Corps Ball with me on November 12th in Washington, D.C.

MOOS: Corporal Kelsey de Santos is the only female Marine at the Martial Arts Center for Excellence at Quantico. She's an instructor with a black belt who sometimes does cage fights.

Kelsey is a fan of Timberlake's. She got the idea to invite him to the Marine Corps Ball after seeing him so enthusiastically tell Mila Kunis to go.

Her friends set up a Facebook page called Let's Get Justin Timberlake to the Marine Corps Ball with Kelsey, complete with an array of photos so impressive. Well, how could Timberlake tell her to go jump in a lake or even a river.

DE SANTOS: And if you can't go, all I have to say is, cry me a river.

(MUSIC)

MOOS: Hey, the corporal has got a tattoo, too. And that's just the one we can see.

When we asked the friend who helped set up the Facebook page whether Kelsey could kick Justin Timberlake's butt if he turned her down, she said, oh, yes, for sure, this Marine isn't looking for a few good men, just one.

TIMBERLAKE: Do it for your country.

MOOS: Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

MALVEAUX: I can't wait to see how that turns out.

Sarah Palin takes aim at President Obama over the debt limit debate. She tells Republicans it's time to reload. Details in our political ticker, up next.

(COMMERCIAL BREAK) MALVEAUX: Republican Mitt Romney on the campaign trail today.

Jim Acosta, part of the Best Political Team on Television, live from the political desk in Washington.

Hi, Jim. What's going on?

Jim, can you hear us?

JIM ACOSTA, CNN CORRESPONDENT: Hi, Suzanne. Yes. The debt ceiling talks are definitely going to be the hot topic out on the campaign trail today. Mitt Romney has some town halls up in New Hampshire today and we expect him to be asked about that. It would be a big surprise if he's not asked about that.

And, you know, the Democrats have accused Mitt Romney of staying quiet on the issue. David Axelrod, a top political advisor for the president's reelection campaign made that much of a statement yesterday in a tweet. The Pawlenty campaign also poked him on the subject.

The Romney campaign has put out a statement, saying that the former Massachusetts governor would drastically reduce the size of government to bring the debt under control and does not favor tax increases in order to bring the debt under control as part of any debt ceiling agreement. So we'll see Mitt Romney asked about that today.

And speaking of that subject, Ron Paul, he has a brand-new TV ad that's come out. He is going to be airing that ad in some of those important, early voting states. And the Texas Congressman and Tea Party favorite has the ad essentially is called Compromises, and it really takes aim at budget deals that were cut in the past, basically saying that Democrats have raised taxes as part of these compromised deals to bring down the budget deficit in the past and how that's been bad for the country in Congressman Paul's opinion, Suzanne.

MALVEAUX: I understand that Sarah Palin has jumped into the debt limit debate, as well, going after the president on this.

ACOSTA: She has.

MALVEAUX: What is she saying?

ACOSTA: She has. She brought back, Suzanne, a familiar catch phrase of hers. You'll remember she got into some hot water for that phrase, "don't retreat, reload."

MALVEAUX: Right.

ACOSTA: Well, on a FOX News program last night, she was asked about the debt ceiling talks and she said basically, "We cannot default, but we cannot afford to retreat either, now is not the time to retreat. It is the time to reload and reload with reality."

So despite the uproar over, that retreat and reload comment that she made in the past, she sort of double downed on it last night and brought it back in the context of these debt talks -- Suzanne.

MALVEAUX: What's with all of the gun talk? The gun analogies there? Her hunting? What do we make of that?

ACOSTA: She's a mama grizzly, Suzanne, as she likes to say, and that's part of her Alaska lure. She likes to talk about her hunting experience and gun references are not out of character for Sarah Palin.

But it is interesting that she's made these comments in the past. You remember the Gabrielle Giffords shooting in Tucson and all of the heat that she took because of the comments that she had made using some gun references and talking about going after congressional districts where Democrats might be --

MALVEAUX: Right, right.

ACOSTA: -- weakened (ph), there was a big controversy surrounding all of that.

She went back to that phraseology last night in talking about these debt ceiling talks. And, you know, this issue is certainly going to be, as it is here in Washington, out on the campaign trail for all of these GOP candidates. Conservative Republicans want to hear what they all have to say on the issue.

MALVEAUX: All right. Jim Acosta, thanks.

ACOSTA: You bet.

MALVEAUX: For the latest political news, you know where to go, CNNPolitics.com.

Well, there is still time to vote for the "Choose the News" story you'd like to see. You can cast your vote by texting "22360."

Text "1" for a crackdown on Christian churches in China, "2" for homemade guns flooding into the streets of Cairo, or "3" for the science lab at the top of the world as researchers probe the Arctic Sea.

The winning story is going to air in the next hour.

The News Corp hacking controversy is now getting even uglier. U.S. lawmakers call for their own investigation into the workings of Rupert Murdoch's media empire.

(COMMERCIAL BREAK)

MALVEAUX: The News Corp hacking scandal is now crossing the pond. Now a group of concerned U.S. lawmakers is asking for an investigation into claims that one of Rupert Murdoch's papers tried to hack the phones of 9/11 victims.

Brian Todd reports on what that could mean for Murdoch's media empire. (BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT (voice-over): As he faces the investigative news in Britain, critical mass builds to look into the actions of Rupert Murdoch's companies in the U.S. Several lawmakers are calling for investigations into whether Murdoch's tabloids hacked the phones of Americans.

Powerful Senator Jay Rockefeller is leading that charge. He's especially concerned over reports that 9/11 victims' phones hacked, and he told CNN his bet is they'll find, quote, "criminal stuff."

I caught up with Rockefeller.

SEN. JAY ROCKEFELLER (D), WEST VIRGINIA: You know that the Department of Justice and all kinds of federal agencies are going to be going after this very hard, and we will, too. I mean, this is a -- it's really repugnant, you know, that one man can control so many.

TODD (on camera): Do you have specific information that Americans, that 9/11 victims had their phones hacked?

ROCKEFELLER: We will find out.

TODD (voice-over): At least two relatives of 9/11 victims are joining in this call. Contacted by CNN, the Justice Department wouldn't comment on whether an investigation has been launched.

Rockefeller called for the probe after victims of 9/11 were reported to have been among the targets of British papers.

(on camera): "The Daily Mirror," a rival of Murdoch's papers, asserted that a New York private investigator said he was asked by "News of the World" journalists to hack victim's phones but that he turned down the job. It's not clear if the tabloid journalists were after phone records of American or British 9/11 victims or both.

(voice-over): Murdoch's company, the News Corporation, owner of some of the London papers that have been the focus of the outrage, is based in the United States. It's outlets include "The Wall Street Journal," "The New York Post," and FOX News channel.

Paul Farhi of "The Washington Post" says it's too early to tell if those operations will suffer legally from an investigation. But --

(on camera): What kind of public backlash could there be against Rupert Murdoch and his entities in the U.S., do you think, even if this doesn't come to full fruition, these investigations?

PAUL FARHI, "THE WASHINGTON POST": We know him through FOX News, "The Wall Street Journal" and "The New York Post" and all the TV stations he owns in this country. So he has plenty of enemies in this country, and this could be -- and I stress the "could be" -- the moment when they get a lot more ammunition to use against him.

TODD (voice-over): We contacted News Corporation to ask if they would respond to the calls for investigations, if they could shed any light on the alleged attempt to hack Americans, and if they've launched their own investigation. A spokesman there would not comment.

Brian Todd, CNN, Washington.

(END VIDEOTAPE)

MALVEAUX: A CNN crew in the line of fire.

(BEGIN VIDEO CLIP)

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: There's gun fire all around us and we believe that Gadhafi's forces --

(END VIDEO CLIP)

MALVEAUX: Our Ben Wedeman caught up in Libya's civil war. His riveting, exclusive report straight ahead.

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MALVEAUX: We have breaking news here in the trial of Roger Clemens, the baseball great.

We're are learning now that the judge presiding over Clemens' perjury trial has declared a mistrial in this case. It's over evidence revealed to the jury that the judge believed would prejudice the jury against this former baseball star.

The judge scolded earlier prosecutors for twice violating his orders not to reveal certain evidence to the jury, said it could put the whole case at risk. Well, the judge has concluded, in fact, that it has, declaring a mistrial over this.

Now, you may recall, Roger Clemens, he had testified before Congress three years ago denying that he ever used performance enhancing drugs. Well, Clemens has been charged with lying in making those denials under oath.

His attorney, Rusty Hardin, was questioning whether the hearing into the allegations of drug use exceeded Congress's authority, whether or not that was even legitimate here. Prosecutors are arguing that Congress in fact did have a legitimate interest in regulating steroids in baseball because it relates to the U.S. drug policy.

But all of this now in question, this case and this trial against former baseball great, Roger Clemens, because the judge has now claimed a mistrial over evidence that was revealed to the jury. Big questions in terms of whether or not this even moves forward.

We're going to have more on this as the details warrant.

Well, Human Rights Watch says that Libyan rebels have been beating civilians and looting their homes and businesses over the past month. Our senior international correspondent Ben Wedeman went to one of the four villages named in that report to investigate this, but he and his crew got caught up in a firefight.

Take a listen , take a look.

(BEGIN VIDEOTAPE)

(GUNFIRE)

WEDEMAN (voice-over): This is how our day started, ambushed by Gadhafi loyalists.

(on camera): Get down! Get down!

We're leaving this area because there's gunfire all around us, and we believe that Gadhafi forces are doing a roundabout movement, so we are rushing out of this area.

UNIDENTIFIED MALE: Are you all right, guys? Alex?

WEDEMAN: Everybody is fine.

We are going as fast as we can. We can't tell -- -- is the other car behind us.

UNIDENTIFIED MALE: Yes, it's behind us now.

WEDEMAN: There's a lot of gunfire. It's continuing to come through.

Gadhafi forces apparently have -- we were in the town just the other day, and the rebels took it on the 6th of July, and there has been talk they have been building up forces (INAUDIBLE), and it looks like the counterattack is going on right now.

(voice-over): But Qawalish, on this day, was lightly defended at best, and it's defenders didn't put up much of a fight.

(on camera): We came back to this checkpoint, which is about halfway between Qawalish, the town that is apparently fallen, and Zintan and we have been told we need to go back even further, because Gadhafi's forces are on the move. And as you can see, the traffic is only going back in one direction, nothing that way.

(voice-over): They're running away with their weapons, this man shouts. He is (INAUDIBLE) fleeing with his wife and six children. This is the result of the people not being ready, he says. They abandoned their positions, they should be there all the time.

We were treated to a house near Zintan where we found a group of fighters preparing their weapons for a counterattack. All their weapons were captured from the enemy.

Mohamed, one of the fighters, did not want to appear on camera because he has relatives in Tripoli, but told me local fighters from nearby villages were careless. What happened today, he says, was that nobody was watching the front. If they had, they would have seen the Libyan army was moving forward. Cars and pickups full of fighters gathered by the roadside. The plan, says Commander Mukhtar Al-Akhdar, is to stop Gadhafi forces and push them back. Part of the plan was to pound the loyalists with rockets, and then move forward toward Qawalish, which they were able to take.

But rockets kept on coming in, as well as the occasional incoming bullet. Nearly 30 rebel fighters were wounded in the battle, at least eight were killed, all to regain control of a town they captured a week before.

Ben Wedeman, CNN, Qawalish, western Libya.

(END VIDEOTAPE)

MALVEAUX: Ben's going to join us live from Libya in just a few minutes from now and talk about being caught in the deadly battle.