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Democrats Ask Trump to Testify Under Oath at Impeachment Trial; Smartmatic Files $2.7 Billion Lawsuit Against FOX News, Rudy Giuliani, Sidney Powell; Biden, Harris Speak to State Department Employees. Aired 1:30-2p ET

Aired February 04, 2021 - 13:30   ET

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

[13:30:00]

KAITLAN COLLINS, CNN CHIEF WHITE HOUSE CORRESPONDENT: The alternative is, if he doesn't come testify, then Democrats can use that against him and say, well, we gave you an opportunity to come and give your version of the story, and you declined that offer.

BRIANNA KEILAR, CNN HOST: Gloria, what do you think?

GLORIA BORGER, CNN CHIEF POLITICAL ANALYST: I think it's a big dare. I think Jamie Raskin and company, who are leading the Democrats on this, just threw out this big dare to the president of the United States.

And knowing Donald Trump, they know he's going to think about it and want to defend himself, as Kaitlan says. This is what he always wants to do.

And they're kind of sitting there thinking, well, why not do this? I'm not the lawyer, you guys are the lawyers.

But why not? Why not try and see what he does? I don't know. Am I wrong about that?

KEILAR: Actually, that's the cliffhanger here. I'm going to leave that question hanging out there because we have to stand by for just a moment.

We'll have a lot more on this. This is huge news. Democrats have asked Trump to testify in his impeachment hearing.

Also, huge news -- and it's really hard to overstate this as well -- there's a massive libel lawsuit that has just been filed against FOX and Trump allies over their campaign pushing conspiracy theories about the election. We'll have that next.

(COMMERCIAL BREAK)

[13:36:11]

KEILAR: This just into CNN. A voting technology company has filed a lawsuit against FOX, pro-Trump attorneys, Rudy Giuliani and Sidney Powell, alleging a campaign of disinformation that has jeopardized the company's survival.

I'm joined by CNN chief media correspondent, Brian Stelter, as well as CNN senior media reporter, Oliver Darcy, to talk about this.

OK, so where does the reporting stand on this. This is a big deal.

OLIVER DARCY, CNN SENIOR MEDIA REPORTER: Yes, Brianna, this is a monster lawsuit. Smartmatic has just sued FOX News, Rudy Giuliani, Sidney Powell and some FOX News hosts in New York State Court for $2.7 billion.

The lawsuit alleges that FOX, along with the others, concocted this disinformation campaign that targeted -- a disinformation that the lawsuit says has now jeopardized the business's very survival and prompted a wave of threats against some the employees.

According to the lawsuit, it says that FOX had a financial interest to push pro-Trump conspiracy theories that suggested the election was stolen. Obviously, it wasn't.

But that was something that took hold on FOX's air for several weeks and on a lot of the programs. And so they say that they were the villain in the story.

I'll read you part of the lawsuit. It says, "They needed a villain. They needed someone to blame. They needed someone who they could get others to hate, a story of good versus evil. The type that would incite an angry mob that only works if the storyteller provides the audience with someone who personifies evil."

In this case, Smartmatic is saying that FOX chose its company to personify that evil, to get viewers angry at, so they're taking action.

I talked to the CEO of the company and he said he had no choice but to take action because this, according to him, has jeopardized the company.

I should say FOX has just responded to this lawsuit. They're calling it meritless.

And Sidney Powell is calling a political maneuver.

We reached out to Rudy Giuliani and others, and we'll have more for you today if they have comments.

KEILAR: Brian, this is certainly an interesting development, especially when you consider that -- let's say, if you watched FOX daytime during all of this, versus FOX primetime, you would get a very different story.

I don't want to say there was no tolerance for some of the wing- nuttery during the daytime hours, but there was less tolerance for it. And certainly this wasn't something that was propagated as much during the daytime hours.

And I wonder if that is an observation that perhaps you've noticed.

BRIAN STELTER, CNN CHIEF MEDIA CORRESPONDENT & CNN HOST, "RELIABLE SOURCES": Some of the hosts who are named in this lawsuit, like Lou Dobbs and Maria Bartiromo, they were promoting the big lie much more than other hosts on FOX News.

But this lawsuit targets the company as well as the individuals. And this a grave legal challenge to FOX News.

Look, journalists have a lot of good reasons to be concerned about the specter of lawsuits in response to journalism. Press freedom must always be protected.

But this is not a nuisance lawsuit targeted to the newsroom. This lawsuit has very little to do with journalism at all.

This lawsuit is not about press freedom. It's about liars on television lying to desperately help the outgoing president of the United States.

Not calling to ask for information from the company, not trying to get the facts right, but just entertaining their viewers with damaging lies.

That's why this is going to be a significant legal test.

Look, proving defamation is one thing. The lawyers believe that's going to be a pretty easy case. Proving damages is another. I think we should view $2 billion as the opening bid here in a negotiation, not as the final figure.

But it is stunning to see a major media company get sued for $2.7 billion, stunning to see a near 300-page lawsuit full of examples of the disinformation that was spread on the air, both by guests and sometimes by the hosts -- Brianna?

KEILAR: And, Oliver, this isn't the first lawsuit filed against FOX recently. We just covered a slander lawsuit where FOX lawyers successfully argued that Tucker Carlson is full of it.

[13:40:09]

And basically, that viewers, a reasonable viewer would approach what he says with a level of skepticism.

They're used to some of these lawsuits. I wonder if it will be sort of a -- actually, if you guys can hold on for just a moment, we're going to the State Department.

Let's listen.

ANTONY BLINKEN, SECRETARY OF STATE: Thank you. Thank you for being with us here today. These women and men represent the extraordinary talent and diversity

of America. They're the future of this department. We're thrilled that they joined our team.

Our president and vice president know how vital the State Department is to America's security and prosperity. And they know how committed the people of the foreign service and civil service are to serving our nation to the best of their ability every single day.

Mr. President, Madam Vice President, we are grateful to both of you for visiting us so early in the administration despite the remnants of snow outside.

We know that you want to make the State Department as strong as it possibly can be for our country.

And we know you're counting on us to deliver excellence for the American people. On behalf of everyone at state, I promise you we will not let you down.

Now, a quick word about Vice President Harris. She's dedicated her career to the security of the American people, as a district attorney, California attorney general, United States Senator and now as vice president of the United States.

And she fully shares the president's commitment to crafting a foreign policy that puts diplomacy first and that keeps our nation safe and delivers real results for the American people.

And so it's my great pleasure to introduce to you the vice president of the United States.

(APPLAUSE)

KAMALA HARRIS, VICE PRESIDENT OF THE UNITED STATES: Thank you, Secretary Blinken. It was my great honor to swear you in last Wednesday.

I thank you for the warm welcome, everyone, for me and the president.

We are here as one of our highest priorities to thank you for your dedication to our country and the work you have tirelessly been doing.

And, you know, when I swore in the secretary, you may know that he placed his hand on a copy of the very document that we all swore to protect and defend. And that, of course, is the United States Constitution.

And it was a simple and it is a sacred oath, one that many of you, the dedicated staff of the State Department, have taken.

And we know that we cannot take those words for granted, to support and defend. Every day, we have to breathe new life into them. That is our duty.

As difficult as these past years have been, you have remained committed to democracy, to human rights, and the rule of law.

On behalf of our nation, we thank you for your service and for your sacrifice.

Today, we are here in person to tell you that we are committed to upholding the highest standards of integrity and accountability inclusivity and diplomacy.

On the global stage, as a partner and a leader, this is the foundation on which we stand.

We build on that foundation both by what we do abroad, restoring our alliances and supporting international institutions, and also by what we do within our own shores.

Our foreign and domestic imperatives are intrinsically linked. Everything you do, every policy you advance, every partnership you forge, makes a difference in the lives of everyday Americans.

At the same time, our strength in the world depends on your strength and our strength here at home.

[13:45:07]

And that is why we are working to reinforce our democracy, to rescue our nation from this pandemic, to rebuild our economy, to confront racial injustice, and to combat climate change.

The world is counting on us. And we, as a nation, must show both our allies and our adversaries that America will deliver. It's time to deliver.

Again, thank you all for your service.

And Secretary Blinken, thank you for your leadership.

(APPLAUSE)

BLINKEN: Thank you so much, Madam Vice President.

And now just a brief word about President Biden.

(LAUGHTER)

BLINKEN: No one has ever brought as much foreign policy expertise and experience to the presidency as Joe Biden.

For the two decades or so that I worked for him, I've just been trying to keep up, from Baghdad to Bagram, from Paris to Pretoria, to so many points in between.

It's been one of the great privileges and pleasures of my life to watch President Biden in action across the globe.

And I know from seeing him in action that he believes profoundly in leading with diplomacy, mobilizing our friends and allies to work together in common cause.

As important, he welcomes new ideas, dissenting views, rigorous debate. He wants to ensure that our foreign policy stays innovative and creative so it doesn't just respond to global events. It actually helps to shape them.

Those are the instructions that I have from him. That is what we're going to try to do here at the State Department.

And President Biden and Vice President Harris have made clear that in everything we do, the first question we have to ask is this: How is it going to benefit our fellow Americans?

How will this policy, how will this initiative, how will this outreach answer their needs, their values? How will it make their lives just a little bit better?

That's the first question we have to ask. And we're going to hold ourselves to that standard every step of the way.

We're lucky to have this president and this vice president at the helm during such a pivotal time for our nation and for the world.

And so it's very much my honor today to introduce to you the president of the United States.

(APPLAUSE)

JOE BIDEN, PRESIDENT OF THE UNITED STATES: Thank you. Thank you, thank you, thank you.

(APPLAUSE)

BIDEN: Thank you, Mr. Secretary.

Thank you for welcoming the vice president and me back to the State Department.

It's true, the secretary and I have worked together a long time. And I know -- I know that he has the background and capacity needed to, quite frankly, lead the State Department at a critical moment.

This has been a difficult few years. I've been hanging around in the Foreign Relations Committee and as chairman and then as vice president and now as president for a long time dealing with state.

Those who work here, including the new class of diplomats that we have on the screen behind me, you're among the brightest, most involved, best educated group of people America has to offer.

And -- but I come today to talk to everyone at main state watching remotely and those who will not be able to see this but will hear about it.

You know, an incredible group of diplomats that I've had a chance to work with -- and what we never talk about it, you not only have great intellectual capacity but great courage.

[13:50:04]

I've been with some of you when we've been shot at. I've been with some of you when we've been in places that you would not have any idea you'd want to be when you were going to school for foreign policy and foreign service. They never told you that was going to happen. But you're an incredible group of individuals.

And I've said many times over the years, those of you stationed overseas and have been stationed overseas, you're America's face. You're what people see in the country you are. They look at you. You are the face of America.

And it matters. It matters a great deal how you comport yourself and how you deal with the folks that you're dealing with in that particular country.

I find it -- many of you among the most incredible -- and by the way, I think what we don't do enough, we don't thank your families. We don't thank your families for the sacrifices they make. They make sacrifices, real sacrifices.

I don't know how many times I have moved -- again, moved to see to it that your spouses, they give up their careers, many times, to follow you.

Many times their careers are as consequential or more consequential than yours, but they do it for the country, and they're to be thanked.

But the main message that I want to communicate to you all is that, whether you are part of the newest class of foreign service officers or you've worked for decades in the civil service or foreign service, or you're locally employed staff, your vital strength of this nation depends on no small part on you.

Later today, I'll go up to the eighth floor and send a clear message to the world: America is back. America is back. Diplomacy is back.

You are the center of all that I intend to do. You are the heart of it.

We're going rebuild our alliances. We're going re-engage the world and take on the enormous challenges we face dealing with the pandemic, dealing with global warming, and, again, standing up for democracy and human rights around the world.

Again, as I said, you're the face of America abroad. And in our administration, you're going to the trusted, and you're going to be empowered, trusted and empowered to do your job.

But I ask each of you to abide by a few core tenants. Integrity in all you do. I'll say that again. Integrity in all you do. Transparency and accountability to rebuild trust in America around the world.

Working in the service of the American people. Not self-interest. And promoting diversity, equity, inclusion, accessibility across the board. Because our diplomats at all levels reflect the if you diversity of this great country.

I know how much we ask of you and your families. And I mean that. I do know. It's been a long time I've been dealing with this building and all of your predecessor.

And the sacrifices you make are real and not recognized much by the country as a whole. They don't know all that you do.

I also know that you'd never let us down. I believe in you. I believe in you. We need you badly.

I trust you. And I'm going to have your back. That, I promise you. Just like you're going to have the backs of the American people.

What I always point out to people, in the years when I was chairman of the Foreign Relations Committee, I'd make sure that my Foreign Relations Committee staff came to my home state and worked in constituent services. Which many thought it was beneath them. I'm a foreign policy specialist.

But it's all about who you work for, who I work for, who we work for.

Foreign policy is about promoting the interests of the people of the United States when a rubric and a set of principles that treat everyone with decency.

So I promise you I'm going have your back. I promise you. And I expect you to have the back of the American people.

[13:55:01]

Now, I've got a lot of work to do, and a lot of catching up to do, a lot of rebuilding to do. And I can't think of any group of people better capable of doing it more ready than all of you.

So, thank you, thank you, thank you. I look forward to working with you. I look forward to seeing you. And I look forward to coming back when this auditorium is filled and no one has to wipe down the podium.

(LAUGHTER)

BIDEN: So, again, folks, thank you. You are the heart and soul of who we are as a country. And the rest of the world is looking to you to help them understand us and so we can help them as well.

So, thank you all, very much. And may God bless you and may God keep you all safe when you're abroad.

Thank you.

(APPLAUSE)

Thanks again!

KEILAR: President Biden there speaking, along with the vice president, Kamala Harris, to employees of the State Department.

I do want to bring in my colleague, Kylie Atwood, to talk about this.

I mean, Kylie, talk about whiplash between the Trump administration and the Biden administration for these State Department employees.

Many folks in their field actually hung up their hats in the last four years. There's certainly been some morale issues.

Tell us a little about, as you've been covering this moment, where the president is visiting the State Department.

KYLIE ATWOOD, CNN NATIONAL SECURITY CORRESPONDENT: Yes. This is a significant speech that President Biden just made.

He is coming here to the State Department talking about the foreign policy of his administration, how they are going to rebuild trust with the world, rebuild trust with U.S. allies.

And before he does that, before he gives that speech that's coming later on today, he is working to rebuild trust with America's diplomats.

These are the folks, that he said in those remarks just there, are on the front lines of American foreign policy. They really matter. They are the ones who are working and carrying out the hard work.

And he made a series of commitments to them, Brianna. He said -- you know, he promised to have their back. He said that their work is hugely consequential. And he also said we need you badly.

So he is being very up front about the fact that American foreign policy, American national security strategy in the Biden administration is going to be led by diplomacy.

That is something we heard earlier in the day from his national security adviser, Jake Sullivan,

And this is also really important, you know, given what this department has experienced over the last few years.

President Trump sometimes disparaged diplomats by name, especially over the last few years, and that was so hard for American diplomats.

They really did not grow to trust American politicians and the president of the United States. So Biden is saying, you can trust me.

Now, of course, there's a lot of hard work to do. This is an administration that is in deep on policy reviews when it comes to a number of topics, you know, Russia, Afghanistan, China. So they have a lot of work to do.

And the Biden administration is going to have to really follow-up their words with actions and demonstrate how they are going to empower these diplomats. Of course, this moment, this visit to the State Department, President

Biden's first visit to any department or agency here in Washington, is a first step.

KEILAR: Yes. As you mentioned, it comes ahead of this important speech he will be giving about his foreign policy changes at the State Department here in about an hour or so. So we'll be looking for that.

Kylie, thank you so much.

Another big story that we're tracking right now has to do with this lawsuit against FOX and some Trump allies.

I want to bring in Oliver Darcy, our media reporter, and Elie Honig, our legal analyst, to talk about that.

Oliver, to revisit this, tell us what does this lawsuit alleges and what damages are sought by this company, who says essentially that its reputation and earnings have been damaged by what has gone on, on FOX, and also from Trump allies?

DARCY: Yes. This is a big, big lawsuit, $2.7 billion, the "B," is what they're asking in damages.

The lawsuit is after FOX News. It names pro-Trump attorneys, Rudy Giuliani and Sidney Powell. And it also named FOX News hosts, Lou Dobbs, Maria Bartiromo, Jeanine Pirro.

The lawsuit says that it was in the financial interest of all of these parties to promote pro-Trump conspiracy theories that the election was stolen, and to do that, they needed to have a villain.

According to Smartmatic, this voting technology company, they were the villain. They were defamed by FOX, and Giuliani and Powell. And so they're looking for damages.

I talked to the CEO yesterday. He said they have lost hundreds of millions of dollars in potential revenue over the next few years.

[13:59:55]

The disinformation campaign has prompted a wave of death threats against the company and they're having to pay a lot of money in extra security for both physical security of employees and cybersecurity to protect their technology.