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Barry Bonds Sentencing Today; Penn State Molestation Scandal: McQueary Testifies; Afghans to Fight Taliban; Last Debate Before Iowa Caucuses; Congress May Avoid Government Shutdown; No Deal Yet On Payroll Tax Cut

Aired December 16, 2011 - 12:00   ET

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

SUZANNE MALVEAUX, CNN ANCHOR: Top of the hour. I'm Suzanne Malveaux.

Want to get you up to speed.

Two former Penn State officials will soon know if they face trial in the child molestation case involving former assistant football coach Jerry Sandusky. A hearing is going on today in Harrisburg.

Former athletic director Tim Curley and former university vice president Gary Schultz are charged with lying and failing to report the suspected abuse. Assistant coach Mike McQueary, he is the star witness. He says he told Curley and Schultz that he had seen Sandusky raping a boy in the showers, and McQueary testified there is no question in his mind that he fully described what he saw.

Prosecutors say Sandusky sexually abused 10 young boys. Sandusky has pleaded not guilty to more than 50 charges.

Back from the brink of a government shutdown. Democrats and Republicans have now reached a deal to keep the federal government running after midnight tonight. Lawmakers, they're expected to vote on this plan today.

Negotiators, they are still trying to agree on extending the payroll tax cut. Now, if they don't do that, your taxes will go by an average of $1,000.

Feds today filed security fraud charges against six former executives of mortgage giants Freddie Mac and Fannie Mae. They are accused of misrepresenting their holdings of high-risk mortgage loans. The Securities and Exchange Commission wants them to pay financial penalties. Freddie Mac, Fannie Mae play a major role in the housing market. They also got the biggest bailout during the financial crisis.

There was a startling discovery at Moscow's main airport today. Russian Customs agents found more than a dozen radioactive metal objects in the luggage of a passenger bound for Tehran. Now, they say the material registered radiation levels that were 20 times above normal. Russia's atomic agency says the material is used exclusively for medical and scientific research. Well, that countered earlier claims it could only come from nuclear reactors. Quick-witted author and journalist Christopher Hitchens has died at age 62. The British foreign author had developed complications from his battle with cancer of the esophagus.

Hitchens wrote for "Vanity Fair," "Harper's," "The Nation," and "Slate," among many publications. Very talented. He was known for taking strong, well-argued and controversial positions in support of the Iraq War and atheism.

The man who cultivates an image as America's toughest sheriff is firing back after the Justice Department announced that his office is being investigated for alleged discrimination against Latinos. Arizona Sheriff Joe Arpaio calls the federal investigation a politically motivated witch hunt. Well, last year, Arizona enacted one of the nation's toughest anti-immigration laws. And federal investigators, they say the Maricopa County Sheriff's Office has engaged in systematic discrimination that includes unlawful stops and detentions of Latinos.

The Army private suspected of being behind the biggest intelligence leak in U.S. history wants the investigating officer in his case to recuse himself. The hearing for Bradley Manning went into recess just a short time after it started. Why? His attorney says the Army reservist presiding over the case has a conflict of interest because he has a job with the Justice Department, which is investigating WikiLeaks.

That is the site where Manning's alleged leaked material was posted. Manning faces charges ranging from stealing records to aiding the enemy, and could get the death penalty if found guilty.

The voices of hundreds of Florida A&M students could be heard as they lined up on the front lawn of the governor's house.

(BEGIN VIDEO CLIP)

UNIDENTIFIED GROUP: We are FAMU!

(END VIDEO CLIP)

MALVEAUX: They are outraged over Governor Rick Scott's recommendation for Florida A&M trustees to suspend the school president because of hazing and fraud allegations. Scott got out of bed to actually answer this crowd.

(BEGIN VIDEO CLIP)

GOV. RICK SCOTT (R), FLORIDA: Hopefully when this investigation is finished nobody can question that he's done all the right things. That's what all of us hope. But why would he put himself and the university in a position that is clear? There's nobody questioning how thorough this investigation is.

UNIDENTIFIED MALE: That's where we have a disagreement. We don't think that's in the best interest of our student body, to have a leave of absence of our president. That's where we disagree. So we are not going to leave until you rescind your recommendation.

(END VIDEO CLIP)

MALVEAUX: Last month, a Florida A&M drum major died in a suspected hazing incident. And just this week three band members were charged in another suspected hazing that left a woman badly beaten.

So here's your chance to "Talk Back" on one of the big stories of the day. In the wake of the hazing allegations, Florida A&M's famous Marching 100 was suspended indefinitely. That is the same punishment that would have followed hazing at a fraternity or a sorority.

So, our "Talk Back" question today is: Does the suspension of Florida A&M's band go too far? Is it actually punishing the good students by taking away a great college opportunity?

I want you to tell me what you think by posting a comment on my Facebook page. That is Facebook.com/SuzanneCNN. We're going to have your responses later this hour.

Baseball great Barry Bonds, he was called the homerun king. He broke Hank Aaron's Major League homerun record. But, ironically, just blocked from where the stadium where Bonds was made a hero, he's going to be sentenced for giving misleading information in the 2003 steroid investigation.

Dan Simons, he is live in San Francisco, where the sentencing is going to begin shortly.

Dan, what do we believe is going to happen this afternoon?

DAN SIMON, CNN CORRESPONDENT: Well, we do not believe Barry Bonds will actually get jail time. Most legal analysts think that he'll probably get home detention based upon how some of these other defendants were sentenced by this federal judge.

You know, Suzanne, Barry Bonds' baseball legacy will be debated for many, many years. Of course, though, how he goes down in history is a far different question than what the judge has to decide today.

This is a case that goes back to 2003, when this federal steroid probe began. And Barry Bonds was eventually hauled into court, where he testified in front of a grand jury and he said he never knowingly used steroids. And prosecutors determined that to be perjury, so he was charged with several counts, and also an obstruction of justice count. But only one charge stuck, and that was obstruction of justice.

So here we are today, all these years later, and Barry Bonds will learn his fate in a couple of hours.

MALVEAUX: Dan, why did this take so long to get to this point of the process here, that now he's going to face his sentencing?

SIMON: That's a very good question. It took a long time, and it cost taxpayers millions of dollars. And, of course, there are a lot of critics towards that decision to actually prosecute Barry Bonds. But really, you had a lot of defendants involved in this case, so it took some time. But really, what delayed things is that Barry Bonds' childhood pal, a guy named Greg Anderson, refused to cooperate, and he was actually sent to jail for an entire year because of his refusal to cooperate with prosecutors. So that delayed things significantly, but here we are.

And so the question before this judge is, again, is home confinement, which wouldn't be so bad for Barry Bonds -- he lives in a 10-bedroom mansion in Beverly Hills. So there is the home confinement option, the jail option, or just give him probation.

MALVEAUX: Dan, I remember when I was covering the White House, President Bush actually weighed in on this, it was such a big deal, talking about how it was such a sad state of affairs with steroids and baseball.

Give us a sense of why this goes beyond Bonds, why he was such a formidable image and a person when it comes to the baseball community.

SIMON: Well, as it relates to Barry Bonds, this was at the height of the steroid era in baseball. So, in one sense, he sort of represented everything that was bad in professional sports and bad in baseball. And it was also a time when athletes were doing everything they could to get an edge.

You know, Marion Jones, the track and field star athlete, she got caught up in this. So, eight, 10 years ago, this was pervasive in professional sports. And so some people feel that maybe the chapter is closing, and of course that would be a good thing.

MALVEAUX: All right.

Dan Simon.

Thank you, Dan.

Here's what's ahead this hour "On the Rundown."

First, the Penn State sex abuse case. There is a hearing that is going on today.

And then a controversial photo goes viral. An investigation quickly follows.

And Afghanistan's special forces. Could they take over the fight against the Taliban?

And the U.S. drone that went down in Iran, what was it really doing there?

And finally, actor Christian Bale in some real-life drama off screen in China. CNN was there.

(COMMERCIAL BREAK) MALVEAUX: We're learning more about the Penn State child molestation scandal involving former assistant football coach Jerry Sandusky. Two former university officials are in court today. They're accused of lying and failing to report the suspected abuse.

Now, the key witness here, assistant coach Mike McQueary. He says he told the two officials that he had seen Sandusky sexually molesting a boy in the showers. He testified there is no question in his mind that he fully described what he saw.

Want to bring in our CNN legal analyst Sunny Hostin. She's with us from New York.

So, Sunny, first of all, let's deal with what McQueary said today in court. What was his story?

SUNNY HOSTIN, CNN LEGAL ANALYST: You know, his story was much the same as we heard in the grand jury summation. He says he reported what he saw to Schultz and to Coach Paterno.

He says that he saw Jerry Sandusky in the locker room showers with a young boy who appeared to be about 10 years old. The young boys had his hands on the shower wall, at sort of shoulder height. He says that Jerry Sandusky was nude, had his hands around the boy's waist, and he saw what he believed to be a sexual encounter. He says that he did not use certain phrases, but he made it clear to everyone that he spoke to that he believed he saw a sexual assault.

MALVEAUX: Now, I understand when McQueary was questioned, they said, "You did not go to police." Does that help or hurt him here, the fact that if this is considered a criminal act, that he did not go and take this to police officials?

HOSTIN: What is so interesting though, Suzanne, is what has come out today during this preliminary hearing, is that Gary Schultz was the de facto head of the university police department. And so McQueary said he felt that he had gone to the right person.

Interestingly enough, an officer, a university police officer, a former one, Officer Harmon (ph), who was an officer from the 1990s to 2005, also testified that he reported directly to Schultz, and that Schultz did all of his performance evaluations, that Schultz was the head of the university police, and that he, too, had investigated another report against Sandusky being involved with a young boy in some sort of inappropriate behavior in the shower in 1998, and that Schultz was involved in that investigation, but he did not hear from Schultz about this 2002 allegation. So, by all accounts, Schultz was the head of the university police.

MALVEAUX: And being the head of the university police, what are they alleging that he has done? I mean, that he has made misstatements, or that he dropped the ball and could have done more here?

HOSTIN: What they are alleging is that Gary Schultz, as the head of the university police, did not report the 2002 McQueary allegations to the police department, to the university police department, nor did he report it to the district attorney's office. And they're also saying that he then lied in front of the grand jury about what was told to him about these sexual abuse allegations against Jerry Sandusky. So, very serious charges against Schultz.

Remember, today it was just a preliminary hearing. All the government needs to show is that there is probable cause that a crime occurred. If the government proves that, this case will proceed to trial.

In my view, Suzanne, it is very clear that the prosecution, thus far, has proven that there is probable cause to believe that a crime occurred.

MALVEAUX: All right.

Sunny Hostin.

Thank you, Sunny.

A photo causing outrage over the Internet is now under investigation by the Air Force. The picture shows 15 airmen posing around an open casket. It is similar to those used to bring home troops killed in the war.

Well, another airman is inside the casket pretending to be dead, with a noose around his neck and chains across his body. A caption across the bottom reads, "It sucks to be you." Other airmen were shocked by that picture.

(BEGIN VIDEO CLIP)

JOHN PAUL FITZGERALD, U.S. AIR FORCE: It does make me a little bit upset. We all put on the same uniform. We do our job, we do our mission, and for something like this to happen, it just doesn't seem right.

(END VIDEO CLIP)

MALVEAUX: Someone e-mailed that photo to the "Air Force Times," triggering the investigation.

Well, we are getting the first pictures of an elite group of Afghan fighters trained by the American military to fight the Taliban. We're going to show you how they're doing.

(COMMERCIAL BREAK)

MALVEAUX: In Japan, a turning point now for the nuclear disaster. The country's prime minister says that a cold shutdown has been achieved at the nuclear power plant that was damaged in the earthquake and tsunami earlier this year. So, that means the temperatures in the reactors have stayed below boiling point for some time.

While it is considered major progress, experts say it could take decades to clean up the disaster area completely. You may recall the earthquake struck in March, triggering a huge tsunami. The area is along the coast northeast of Tokyo. So, as U.S. forces begin a drawdown in Afghanistan, who is going to lead the fight against the Taliban?

CNN's Nick Paton Walsh, he's getting some of the first access to Afghanistan's new special forces trained by Americans.

(BEGIN VIDEOTAPE)

NICK PATON WALSH, CNN INTERNATIONAL CORRESPONDENT (voice-over): These are the first pictures of an elite group U.S. forces in Afghanistan have been working on for years. NATO says these commandos are trained and equipped to American standards and are the future of fighting the Taliban. But the key thing in rural villages that hate foreigners invading their homes is they're Afghan.

These Afghan special forces putting on a display of force amid a growing controversy. Their next drill target, something President Karzai has demanded Americans stop raiding at night -- an Afghan home.

(on camera): There is a reason why we're being shown this. They're keen to show that Afghan commandos are capable of doing the kind of night raids that are proving deeply unpopular inside Afghanistan without much intrusion and without anybody being hurt.

UNIDENTIFIED MALE: People inside the compound, you are surrounded by Afghan forces.

WALSH (voice-over): First, they call out. Flash grenades bring out a woman.

UNIDENTIFIED MALE: Flash bang, which is harmless --

WALSH: She's searched and then sent back to open doors in the house and get everyone else out. One man comes. He's searched, and then the commandos assault.

NATO says that even when it's not a drill, shots are only fired by them about one in 10 times.

This controlled exercise meant to show us the Afghans already more than capable of doing this on NATO's behalf.

"I promise my nation," the commando says, "the enemies of our country can't change our goal. We're going to get them anywhere."

He's been in 56 raids. So we ask, in how many of them did he have to fire a shot?

"It's war. Sometimes you have to shoot," he answers. "Thank you." And then he's gone.

President Karzai has made an end to U.S. night raids, and their civilian casualties are conditioned to American troops staying on permanently. NATO says without them, it's almost impossible to hit the Taliban. This, the first glimpse at NATO's solution to a defining problem in their final days here. Nick Paton Walsh, CNN, Kabul.

(END VIDEOTAPE)

MALVEAUX: The U.S. military is now changing its story. Hear what officials now say that drone was doing when it crashed in Iran last week.

(COMMERCIAL BREAK)

MALVEAUX: There is now new information about the U.S. drone that went down in Iran. Military officials now say it was looking for Iran's nuclear sites.

Chris Lawrence has details from the Pentagon.

(BEGIN VIDEOTAPE)

CHRIS LAWRENCE, CNN PENTAGON CORRESPONDENT (voice-over): U.S. officials now admit an American stealth drone was spying on Iran. It's an about-face from when it crashed, when officials claimed it was only flying on the Afghanistan side of the border, strictly looking for insurgents, not spying.

But even then we heard doubts.

COL. CEDRIC LEIGHTON (RET.), FMR. AIR FORCE INTELLIGENCE OFFICER: That could have been deliberately used in Iran, and it's very likely, in fact, that it was a reconnaissance platform of choice to do precisely that, to take a look at Iran's nuclear weapons system.

LAWRENCE: U.S. military officials now confirm the Sentinel was flying a surveillance mission of suspected nuclear sites. They say the U.S. military didn't know what the drone was doing because it was being run by the CIA. The Afghan government wasn't informed either, and Afghan President Hamid Karzai wants his nation kept out of the Iran-U.S. rift.

HAMID KARZAI, AFGHAN PRESIDENT: -- and that Afghanistan's sovereignty and territorial integrity and soil is not used one against the other.

LAWRENCE: But the U.S. defense secretary suggested the flights will not stop.

LEON PANETTA, DEFENSE SECRETARY: Part and parcel of our effort to defend this country and to defend our country involves important intelligence operations which we will continue to pursue.

LAWRENCE: "The Christian Science Monitor" spoke with an Iranian engineer who claims Iran hacked the U.S. drone and guided it down intact.

UNIDENTIFIED MALE: It can basically spoof the drone into thinking that it was landing where it was supposed to be, but in fact landing where the hackers, the spoofers, wanted it to land. LAWRENCE: U.S. officials claim it was a technical problem. One former intelligence official said the Sentinel is impossible to see and dismissed Iran's claims.

But aviation experts say there is evidence Iran may have the capability to jam the drone's GPS link.

PETER SINGER, BROOKINGS INSTITUTION: It's designed as not to shoot down an enemy in the old way, it's more to learn what the enemy is doing and maybe react and shoot down the enemy in a very 21st century way.

LAWRENCE (on camera): But how much intelligence will Iran really get out of its prize? By all accounts, the Sentinel is one of America's most sophisticated drones, but several aviation experts tell us it's not the most sophisticated stealth technology, and there are several systems coming on line in the next couple years that will make it outdated.

Chris Lawrence, CNN, the Pentagon.

(END VIDEOTAPE)

MALVEAUX: Keeping the government running. Once again, Congress pushes the country to the brink of a government shutdown. We're going to go live to Capitol Hill for the latest on the deal now to prevent it.

(COMMERCIAL BREAK)

MALVEAUX: Time now to go cross-country for some of the stories CNN affiliates are covering. In North Carolina, novelist Michael Peterson walked out of jail yesterday after a judge ordered a new trial in the beating death of his wife 10 years ago.

Kathleen Peterson was found in a pool of blood at the bottom of a staircase in the couple's home. The judge ruled jurors had been misled about the blood evidence.

The Southern Baptist Convention's publishing wing is recalling pink bibles it was selling at Wal-Mart and other stores. A $1 from each sale was going to the Susan G. Komen foundation, which in turn funds Planned Parenthood breast cancer programs. Many conservative Christian groups oppose Planned Parenthood because it also provides abortion services.

In California, fire fighters were called to rescue a young man who got stuck in a chimney, kind of messy there. There are conflicting accounts of how it happened. He was either trying to clean the chimney or trying to sneak in the house after curfew. Fire fighters used soap and water to get him unstuck.

Ganging up on Gingrich. That's right. Republican rivals are taking aim at the frontrunner. That happened in the last debate before the Iowa caucuses.

Now Gingrich defended his conservative credentials last night's debate. Congresswoman Michele Bachmann took aim at Gingrich over his ties to Fannie Mae and Freddie Mac. Those are the mortgage companies, as you know, bailed out by taxpayers.

(BEGIN VIDEO CLIP)

MICHELE BACHMANN (R), PRESIDENTIAL CANDIDATE: I was trying to see these two entities put into bankruptcy because they, frankly, need to go away when the speaker had his hand out and he was taking $1.6 million to influence senior Republicans to keep the scam going in Washington, D.C. that's absolutely wrong.

NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: Easiest answer is that's just not true.

(END VIDEO CLIP)

MALVEAUX: Gingrich tried to use humor to deflect the criticism from Mitt Romney earlier in the week when Romney said that Gingrich was too zany to be president.

(BEGIN VIDEO CLIP)

GINGRICH: I sometimes get accused of using language that's too strong. So I've been standing here editing. I'm very concerned about not appearing to be zany.

(END VIDEO CLIP)

MALVEAUX: Romney mostly avoided taking swipes at Gingrich focusing instead on President Obama.

Lawmakers, amazingly, come through with a last-minute deal to prevent the government from shutting down at midnight. After months of negotiations, days of the partisan finger pointing, negotiators have reached a compromise.

A miracle that's happened here on Capitol Hill. Kate Bolduan joining us once again to talk about how we watch this unfold, right. We get to the brink of disaster and then Congress decides to step up and actually take some action. What happened, Kate?

KATE BOLDUAN, CNN CONGRESSIONAL CORRESPONDENT: It seems to be quite the routine, doesn't it, Suzanne? Well, late last night after months of negotiations on this massive spending bill to fund the government through fiscal year 2012, through the rest of fiscal year 2012, congressional leaders last night finally came together around a plan.

It finalized details, dealt with the outstanding issues and so they're they are. They've agreed on it and now they are moving forward just in time to avoid a government shutdown as the most recent short term spending bill was set to expire this evening.

So both sides very confident that they're going to be very, very confident, I'll say -- it is almost pretty much a done deal other than the vote in both the House and the Senate.

The House will be voting on this massive spending measure to keep the government open, if you will, in the next few hours. And the Senate is looking like that vote might actually end up being tomorrow at some point.

There is still a chance they could vote on the measure this evening, but looking more like it may slip into tomorrow -- Suzanne.

MALVEAUX: All right, well, that's good news. What about the payroll tax cut? Where do they stand on that?

MALVEAUX: I wish I could bring equally good news, but they're still negotiating. They still have issues that they clearly have to hammer out. I'm told by aides that some of the outstanding issues have to deal with how to pay for this measure, this package of tax extenders, if you will.

What they need to do. What they are talking about of course is a way to extend the payroll tax cut for some 160 million Americans before that tax cut expires at the end of the year. Also extend unemployment assistance for the long term unemployed and also prevent a scheduled cut in payments to doctors who treat Medicare patients.

Very important issues to many Americans and they are still negotiating all of the elements of this deal right now. I'll tell you, Senate Majority Leader Harry Reid and the top Republican in the Senate Mitch McConnell on the floor just a couple hours ago.

They seemed very optimistic and very upbeat that they were going to be able to get this done in time and reach a bipartisan agreement, but they are not there yet.

Of course there are still outstanding issues and hurdles I am told they are dealing with, but they're talking, negotiating and we're watching and waiting.

MALVEAUX: All right, nobody wants to be a Grinch during this holiday season. Thank you, Kate. Appreciate it.

A key witness in a hearing in the Penn State child molestation scandal wraps up his testimony. We'll go live to Harrisburg to find out what Assistant Coach Mike McQueary had to say on the stand.

But first, some free money advice from the "CNN Help Desk."

POPPY HARLOW, CNNMONEY.COM CORRESPONDENT: Time now for the "Help Desk" where we get answers to your financial questions. Joining me this hour, Gary Schatsky, he's a financial planner and the president of objectiveadvice.com.

Gail Cunningham is with the National Foundation for Credit Counseling. Thank you both for being here. Gary, your question comes from Robinson in Texas. Robinson wrote in, I have $5,000 saved up, but I do not want to invest in the stock market. What would be a good investment for me? GARY SCHATSKY, FINANCIAL PLANNER: First of all, he's not alone. A lot of people are hesitant about the market. The key is to create some sort of balance.

But assuming he definitely doesn't want to get into the market, I got to say one of the greatest investments many families can look at is paying down debt.

That's one of the -- doesn't sound exciting or sexy, but it is one of the guaranteed ways to reduce costs or effectively earn a lot of money and you're guaranteed to not owe anyone that money.

HARLOW: Absolutely, living out of debt is a beautiful, beautiful thing. Gail, your question comes from David in St. Paul. David wrote, I'm 54 years old and self-employed. I put the maximum amount into my IRA each year. What else can I do to prepare for retirement?

GAIL CUNNINGHAM, NATIONAL FOUNDATION FOR CREDIT COUNSELING: Well, I totally agree with what Gary said. Pay down debt. Entering retirement debt-free is the way to be. But to get there, people need to track their spending.

The NFCC's financial literacy survey revealed that 56 percent of us have no idea where our money goes. Don't be one of them. See what you spend, your hard-earned money on.

That's the way you can plug the holes. Then dedicate that found money to debt repayment. Also consider downsizing. Make that a fun, not a sad thing to do. Also what about continuing to work during retirement?

HARLOW: We're seeing more and more of that right now. Absolutely, thank you both so much. If you want a question you want answered, send an e-mail anytime to the cnnhelpdesk@cnn.com.

(COMMERCIAL BREAK)

MALVEAUX: A key witness in the Penn State child molestation scandal has wrapped up his testimony in a pre-trial hearing. Assistant Coach Mike McQueary testified in the hearing for former two university officials who are now accused of lying.

Now McQueary says that he told the officials he had seen former assistant coach Jerry Sandusky sexually assaulting a boy in the showers.

CNN contributor Sarah Ganim was in the courtroom earlier. Sara, what did we learn from McQueary's testimony?

SARAH GANIM, CNN CONTRIBUTOR: Well, you know, he went to kind of more graphic detail than was in that grand jury report. But very in-line with the details that we already knew that that report, which is that he went to that locker room late at night to put some things away and get some football tapes that he could review, and stumbled upon an incident in the shower between Jerry Sandusky and the young boy. He said that it was very clear that the boy was being assaulted in some way, though he didn't see the direct act. He saw Sandusky standing behind the boy. The boy had his hands up against the wall and it appeared that he was being abused in some way.

McQueary says he saw that initially in a mirror, then kind of turned the corner and walked towards the shower so he could see it with his own eyes. He said each glance was like a matter of seconds but that at some point Jerry Sandusky and the boy did separate from each other.

And both stood there facing -- fully front to Mike McQueary, looked him in the eye, and nobody said anything. There were no words exchanged, but that was when he left the shower and he did admit he did leave the boy naked in the shower with Jerry Sandusky.

He went to his office, called his father, consulted with his father and they together decided to tell Joe Paterno in the morning what had happened. And from that point, it's clear that Joe Paterno did do what the law requires and he told officials at Penn State.

It's clear that Mike McQueary believed from his testimony that he was talking to the police, because Gary Schultz, that vice president charged with perjury who's -- that's what this hearing is about today -- he was in charge of the Penn State Police Department.

Now what's not clear is there hasn't been a whole lot of talk about Tim Curley at this point, but I think the judge is going to be reviewing the grand jury testimony of both Gary Schultz and Tim Curley when we get back from our break, as well as that ten-page grand jury testimony of Joe Paterno. After that we do expect him to make a ruling.

MALVEAUX: OK, so Sarah, we haven't heard from the two Penn State officials yet today, is that correct? They haven't told their side of the story?

GANIM: No. And really honestly, we don't expect them to get on the stand and tell a story. However, their testimony, which I'm told together is about 60 to 80 pages, their testimony before the grand jury will be read into the record when we get back from break.

MALVEAUX: All right. Sara Ganim, thank you. As always, excellent reporting.

We're sounding off on the "Talk Back" question. Does the suspension of Florida A&M's band for alleged hazing go too far. Is it punishing the good students by taking away a great college opportunity?

Samantha writes, "No. This punishment does not go too far. This punishment is just right. If some of the members want to behave in a manner in which they believe that sororities or fraternities behave, they should be punished in the same manner."

Andrea says, "I believe, yes, it does go too far. The hand of the law is already far reaching and I believe why disrupt if not destroy the experience of many students for the outrageous and vicious acts of a few. For many students this is the only reason why they attended Florida A&M."

Dennis makes an interesting point. He says, "This should be regarded as protecting the students, not punishing them." Steven says, "a few bad apples shouldn't ruin the opportunity for deserving students who have waited their whole lives to be a part of the famous marching band.

To correct the problem band members can't be afraid to stand up and speak out against those who practice hazing. Those who engage in hazing should be expelled and punished by law not the innocent.

We appreciate your responses.

Actor Christian Bale is roughed up as he tries to visit a Chinese dissident. Take a look.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Why can I not go?

(END VIDEO CLIP)

MALVEAUX: But first, remember this? The ruby red slippers that took Dorothy home from the Wizard of Oz?

All right, so soon somebody else is going to take them home. They're being auctioned today. They are expected to go for someone between $2 million and $3 million.

I don't have that kind of money but if I did, I'd love to have those little slippers. We'll show you some of the other memorabilia that went for big money in just a moment.

(COMMERCIAL BREAK)

MALVEAUX: Dorothy's red slippers from the "Wizard of Oz" going on the auction block today. They're expected value, get this, between $2 million or $3 million. That's pretty cool.

Showbiz items auctioned off for millions. Michael Jackson's "Thriller" jacket that went for $1.8 million, the dress Audrey Hepburn wore in the movie "My Fair Lady" was sold for $4.5 million and Marilyn Monroe's famous white dress, the one that blew up while she stood over the subway grate, it went for $5.6 million.

Actor Christian Bale tried to see one of his heroes recently in China, but the visit didn't go too well. CNN's Stan Grant was with him at the time and discovered the celebrity can't open all the doors.

(BEGIN VIDEO CLIP)

STAN GRANT, CNN CORRESPONDENT (voice-over): Hollywood actor Christian Bale is used to action, but this is no movie set. UNIDENTIFIED MALE: Are we being stopped?

GRANT: Plain-clothed Chinese security who would not identify themselves refused to allow him and our crew to visit a detained human rights activist.

We're trying to get out of here, once again we've been stopped right here. As you can see, they're pushing Christian here. We're just trying to leave peacefully.

We're trying to leave peacefully. As we leave the guards give chase in their car. They're still right on our tail.

(END VIDEO CLIP)

MALVEAUX: Bale was in China to promote his latest film. It is China's entry for the foreign language Oscar. Well, last night he made it very clear how disappointed he was, but not for himself.

(BEGIN VIDEO CLIP)

CHRISTIAN BALE, ACTOR: I just find it nauseous that such a good man, a nominee for the Nobel Peace Prize, someone who was at one time named one of "Time's" 100 most influential people in the world, is being treated this way.

(END VIDEO CLIP)

MALVEAUX: Howard Stern returning to TV to be a judge now on "America's Got Talent." He is replacing our own Piers Morgan on the panel and they talk about handing down some stern judgment last night.

(BEGIN VIDEO CLIP)

PIERS MORGAN, HOST, CNN'S "PIERS MORGAN TONIGHT": I've read how you intend to -- when you see a young contestant appearing on stage you're going to haul out their mothers and harangue them before their child performs and make it absolutely clear if you then rip this child's performance to pieces, it is not your fault.

HOWARD STERN: Well, yes. If you're going to put your children on television to be judged -- which, by the way, I don't think I would ever do that with my children. I raised three daughters. I don't think that would be appropriate.

But there are parents out there that think it is a good idea. You got to be damn sure that this is a wise decision before you do it. Because not only are you putting your kid out there to be judged, but if a kid really does have talent, you do need time to nurture that talent, develop that talent.

(END VIDEO CLIP)

MALVEAUX: NBC's actually moving the show from L.A. to New York to accommodate Stern who hosts his Sirius XM radio show from the big apple. The Parents Television Council, they're not too happy about having Stern in prime time. The PTC saying it was an act of desperation for a failing network.

Former musketeer Britney Spears soon to be a bride again. "SHOWBIZ TONIGHT" host, A.J. Hammer is live from New York. So do we believe she's engaged? Is that right?

A.J. HAMMER, HOST, HLN'S "SHOWBIZ TONIGHT": Well, "Us Weekly" says she is engaged. That's what we have to go with right now. There were some early reports we had been talking about that her boyfriend was going to pop the question tonight, but now it appears he asked her last night at a private celebration for his 40th birthday.

While we haven't gotten official confirmation from Britney just yet that she said yes to his proposal, she did tweet this message a short time ago, OMG, last night Jason surprised me with the one gift I've been waiting for. Can't wait to show you. So, so, so excited.

Now it could be steak knives for all we know, but the couple will reportedly be celebrating the news in Vegas tonight, which may be why there were conflicting reports earlier today. I should point out, Suzanne, Vegas has some history for Britney.

She married her first husband there that lasted 55 hours. She married her second husband there. Maybe the third time will be a charm. But even though they're just now engaged, we are already seeing reports there will be a pre-nup in place because that's just what you do.

MALVEAUX: Well, I hope it will last more than 55 hours or so. What's this story about a concert causing an earthquake in New Zealand?

HAMMER: Can you imagine? This must have been some show. It would be clear it wasn't an actual earthquake, but the ground apparently did move. According to Geonet, that's an organization that monitors seismic activity in New Zealand, a recent Foo Fighters concert in Auckland generated tremors that can be generated by volcanic activity.

The biggest shakes actually started when the Foo Fighters took the stage and they continued with lulls between the songs until the concert ended. They speculate the cause was the weight of 50,000 fans who were dancing along to the show, though the base and sound system may have contributed as well.

I've actually heard some sound systems in people's cars here in New York City that perhaps are capable of shaking the earth.

MALVEAUX: Yes, I believe it. Now tell us about "Forbes" magazine. It's out with the list of the highest paid actors in 2011? Who made it?

HAMMER: Well, the way they determine this is by looking at top film grosses for 2011 for each actor and then did the math. Based on their research, Daniel Radcliffe, the highest grossing actor of the year. Last instalment of the "Harry Potter" franchise made $1.3 billion worldwide and they gave Radcliffe the credit as opposed to one of the co-stars. Behind them on the list in order, Johnny Depp, Robert Patenson, Bradley Cooper and Kristen Steward and you may have noticed there that Twilight star Patenson is two spots above his co-star Stewart because Patenson also appeared in "Water for Elephants" that made $217 million worldwide. Lot of money being made in movies this year.

MALVEAUX: All right, thank you, A.J. If you want information about everything breaking in the entertainment world, A.J.'s got all this evening on "SHOWBIZ TONIGHT," 11:00 p.m. Eastern on HLN.

It's called soul food for a good reason. It feeds the soul. but we all know it can put on a couple extra pounds. A new generation of soul food lovers is making some changes.

(COMMERCIAL BREAK)

MALVEAUX: Health food -- soul food is the staple in many African- American homes. Recipes passed down from generation to generation. It is getting a healthy twist. It is today's "What Matters."

(BEGIN VIDEOTAPE)

MALVEAUX (voice-over): Collard greens, Mac and Cheese, fried chicken. These are just a few of the dishes you'll find on the menu in many African-American homes during the holiday season. But there is more to this cuisine than just good eats.

UNIDENTIFIED MALE: I think that it the way we would identify with each other, getting through adversity and knowing yourselves as a community. That's really the attraction to soul food.

UNIDENTIFIED MALE: You got a big order?

MALVEAUX: Shanka is the owner of Gladys Knight's Chicken and Waffles and is also the son of the legendary R&B singer. He grew up on soul food cooked by his mom and grandmother. It became the inspiration for his restaurant.

UNIDENTIFIED MALE: I was raised around chicken and waffles. After that I used that as pretty much my hook.

MALVEAUX: A hook, but not healthy. He knows this firsthand. He has struggled with his own weight issues and lost his grandmother to diabetes.

UNIDENTIFIED MALE: I saw that in her diet. You know? She was definitely big on ham hocks and making things the traditional way.

UNIDENTIFIED FEMALE: What is called soul food is very tasty, it is usually taste based on some form of fat driven.

MALVEAUX: Jessica Harris is a culinary historian and professor at Queens College. She says people are no longer openly embracing traditional foods.

UNIDENTIFIED FEMALE: There is a whole generation of folks that are just like I don't want to eat that, that's not healthy. You are what you eat and your history is on the plate. So the point is to find a way to adapt the history and the plate.

MALVEAUX: Harris helped create the African-American food pyramid.

UNIDENTIFIED FEMALE: At the foot of the pyramid are leafy greens. Pyramid suggests a diet that uses more fish and seafood.

MALVEAUX: And Hankerson has learned how to make some of his dishes at restaurant healthier, too.

UNIDENTIFIED MALE: I don't use pork in anything. We use a lot of seasoning. I use olive oil as much as I can.

MALVEAUX: And he hopes it keeps his customers coming back for more.

UNIDENTIFIED MALE: I want to feed the masses with the type of food that everybody likes that can be all cultures, all races, and all economic backgrounds because that's really the basis of soul food.

(END VIDEOTAPE)

MALVEAUX: CNN NEWSROOM continues right now with Don Lemon. Don, you been to Chicken and Waffles? I love that place.

DON LEMON, CNN ANCHOR: You know how I feel about that food. We have dined together many times. I will eat anything.

MALVEAUX: Fried chicken and collard greens. That's my weakness. That is my weakness.

LEMON: We're twins on that. Suzanne, have a great weekend.

MALVEAUX: You, too.