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Biden Had Contact with Staffer Who Tested Positive; Israel Adds U.S., Canada and Others to No-Fly List; Trump Sues NY Atty. Gen., Seeks to Stop Probe into Company; Spending Bill Stalls and Growth Forecast Slashed. Aired 4:30-5a ET

Aired December 21, 2021 - 04:30   ET

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

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[04:31:06]

ISA SOARES, CNN ANCHOR: Welcome back to CNN Newsroom. I'm Isa Soares. If you're just joining us, let me bring you up to date with our top stories this hour. The European Commission has authorized a Novavax COVID vaccine, making it the first protein-based vaccine available in the E.U. This will be the fifth vaccine available for use across the block.

The U.S. is seeing a surge of Omicron variant cases across at least 48 states. CDC data shows that 73% of new cases in the country are on record. But the Delta variance still accounts for most cases overall.

And we are tracking developments this hour at the White House after staff member who was a close contact of President Joe Biden tested positive for COVID-19. CNN's Nikki Carvajal has more now from Washington.

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NIKKI CARVAJAL, CNN PRODUCER: President Biden flew on Air Force One for about 30 minutes with this mid-level staffer on Friday before they tested positive for COVID on Monday, that's according to the White House. President Biden has since tested negative via PCR tests, and we'll test again on Wednesday. But in the meantime, the White House says that Biden will continue with his schedule as normal, besides what they admit was a close contact exposure.

In a statement late Monday, Press Secretary Jen Psaki pointed to CDC guidelines that say people who are fully vaccinated don't have to quarantine after an exposure like this. Anybody who's around the President has to test negative for COVID daily. And the White House says this staffer tested negative on Friday, but they started feeling symptomatic on Sunday. Psaki was asked earlier Monday before this announcement was made about a possible outbreak at the White House. Here's what she had to say.

JEN PSAKI, WHITE HOUSE PRESS SECRETARY: We expect there to be breakthrough cases across the country, right? And certainly, in the federal government. And the most important thing to note for you and for others is that the 99% of the -- or more at this point, of the White House staff is vaccinated. Boosters are strongly recommended and distributed. We have a very thorough process here that people abide by who are going to have close contact with the President and even beyond that, and those protocols go above and beyond CDC guidelines.

CARVAJAL: Psaki also said that the White House does not plan to change its COVID protocols at this point at the White House. Nikki Carvajal, CNN.

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SOARES: Well, the World Health Organization is among the latest groups warning people may need to scrap their holiday plans due to COVID-19. The head of the who had a stark reminder on Monday warning it's better to cancel an event, then to cancel our life. Have a listen.

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TEDROS ADHANOM GHEBREYESUS, WHO DIRECTOR-GENERAL: All of us are sick of this pandemic. All of us want to spend time with friends and family. All of us want to get back to normal. The fastest way to do this is for all of us, leaders and individuals to make the difficult decisions that must be made to protect ourselves and others.

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SOARES: Well, whether it's Omicron or Delta infections are soaring in many countries and Israel as among those taking action adding the U.S. and several other countries to its red no fly list.

Meanwhile, Omicron has New Zealand pushing back plans for a phased border reopening. It will set to ease restrictions next Monday. But that's now on hold until at least the end of February.

This is Australia's most populous state reports in new COVID case record. New South Wales has stopped more than 3000 daily infections for the first time ever. All this as Prime Minister Scott Morrison says he wants to avoid travel restrictions ahead of Christmas and we are covering the story from right around the world. Selina Wang is in Tokyo but first we go to Elliott Gotkine in Jerusalem.

And Elliott, I believe these restrictions are coming into force today at a time and of course when so many of us really longed to be with our loved ones. How's it being received there?

[04:35:00]

ELLIOTT GOTKINE, JOURNALIST: That's right, Isa, from 5 p.m. Eastern Time today, that's midnight local time, the United States, Canada, Germany and other countries will be added to Israel seemingly ever- expanding red no fly list. That means Israelis won't be able to fly there without special permission. And those returning will have to undergo seven days of quarantine.

I should say that, of course, there are still some people determined to get away. So, you may see a little spike of people trying to leave the country to go to visit friends or family in the United States and elsewhere before that comes into force. Likewise, people trying to return in order to avoid doing those seven days of quarantine.

Meanwhile, ministers were meeting in Jerusalem, senior ministers were meeting to discuss new restrictions within Israel potentially putting more limits on gatherings, both indoor and outdoors. There's also talk of ending free antigen tests for children that aren't vaccinated, those discussions are continuing.

And of course, at the same time, we are seeing a spike in the number of daily COVID cases in Israel, Prime Minister Naftali Bennett already said the fifth wave is here. And certainly, cases are rising. We've seen them rise above 1300. for Monday, this is the highest level in two months. And we're also seeing the coefficient, the number of people that each suffer is likely to infect, that has been climbing steadily as well. It's now at 1.28, which is his highest level since August.

So far there doesn't seem to be a major outbreak of Omicron just 175 confirmed cases and 380 suspected ones. But that of course is the reason why Israel is adding more countries to its red list because most infections of the Omicron variant are coming from people bringing it into the country from overseas. Isa?

SOARES: Elliott, do stay with us. I want to bring in Selina. As the situation in Australian in particular as we said in New South Wales has taken quite a turn but what is being done there to at least slow the spread of the virus?

SELINA WANG, CNN CORRESPONDENT: Hey, Isa, that's right. In Australia case numbers are surging in New South Wales. Those numbers are being driven by these super spreader events at large venues like pubs and nightclubs.

Meanwhile, in Queensland cases are doubling every two days but the Prime Minister Scott Morrison says they are not returning to lockdowns, they are not returning to what he called, "shutting down people's lives." He said people need to learn how to live with COVID- 19 with "common sense and responsibility."

Now, for nearly two years, Australia has avoided the worst of the pandemic because of the strict border restrictions as well as long lock downs. But now the Prime Minister is saying they need to move past this approach of a heavy-handed approach for the government he said.

Meanwhile, in New Zealand, the country is delaying this phased border reopening plan to February, and after being shot for nearly two years, it was expected that it would finally start this plan in January but now those plans been put back. Take a listen to what the country's COVID-19 response minister had to say.

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CHRIS HIPKINS, NEW ZEALAND COVID-19 RESPONSE MINISTER: All evidence so far points to Omicron being the most transmissible variant yet, and public health advice suggests that soon in every case coming in through our border and our managed isolation facilities will be the Omicron variant. Our immediate job right now must be to slow it down and to delay it from entering the New Zealand community for as long as we possibly can.

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WANG: And COVID-19 is disrupting these reopening plans and the Omicron variant across the Asia Pacific region. In China, authorities there are doubling down on its zero COVID-19 strategy. Several dozen cases reported in the city of Xian and authorities there are mass testing its nearly 13 million residents, reimposing travel restrictions, the stakes there are high, Isa.

SOARES: Indeed. Selina Wang, thank you very much, and Elliott Gotkine in Jerusalem, thank you.

Now, the former U.S. president has filed a lawsuit seeking to block an investigation into his company. We have the details just ahead for you.

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[04:42:01]

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BILL O'REILLY: Both the president and I are vaxxed, and do you get the booster?

DONALD TRUMP, (R) FORMER U.S. PRESIDENT: Yes.

O'REILLY: I got it too. OK, so --

TRUMP: Don't, don't, don't, don't, don't, don't, no, no. That's a very tiny group of.

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SOARES: Well, former U.S. President Donald Trump they're receiving, I think we can say an unexpected reaction from some of his supporters during an event with former Fox News host Bill O'Reilly. Trump who rarely discusses his COVID-19 vaccination status got booed in Dallas after revealing he's received a booster shot.

Well, when it comes to COVID boosters, the partisan gap is wide. According to recent poll by the Kaiser Family Foundation, just 36% of Republicans said they'd get the booster compared to 77% of Democrats.

And we are following significant developments in two legal cases involving former President Trump now Manhattan's incoming district attorney says he will focus his attention on investigating Trump's business practices, which has been a year's long focus of the DA's office there. His comments coming as Trump and the Trump organization filed a lawsuit accusing the New York Attorney General of misconduct. CNN's Paula Reid for details for you.

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PAULA REID, CNN SENIOR LEGAL AFFAIRS CORRESPONDENT: This lawsuit is asking a federal court to block the long running investigation by the New York State Attorney General Leticia James into the Trump organization.

Now, for roughly two years per office has been conducting a civil investigation into the Trump organization looking at whether it falsely represented the value of its assets to obtain better loan terms, better insurance rates and to pay lower taxes. That investigation mirrors an ongoing criminal probe by the Manhattan District Attorney's office. It has already resulted in criminal charges against the Trump organization and one of its executives.

Now, what's interesting about the timing of this lawsuit is that it comes as James is seeking to depose the former president under oath next month. Now, Trump and his attorneys have both long argued that James is politically motivated, and in this lawsuit, they allege that she has violated Trump's constitutional rights and use her office, abused her office they say to target Trump and to further her own political career.

Now, in a statement, James responded saying to be clear, neither Trump nor the Trump organization get to dictate if and where they will answer for their actions. Our investigation will continue undeterred, because no one is above the law, not even someone with the name Trump.

While legal experts say this lawsuit is unlikely to succeed. James' previous statements including her campaign promise to target Trump and other statements she's made about really focusing on him, those could come back to haunt her if she files a lawsuit or any other charges against the former president. Those statements could be used as a basis to challenge any action she actually takes against the former president. Paula Reid, CNN, Washington.

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SOARES: Now, the House committee investigating the January 6 attack on the U.S. Capitol is, for the first time, asking a current lawmaker to voluntarily sit down for an interview. Republican Representative Scott Perry has not yet been subpoenaed. He is suspected of helping Trump in his efforts to undermine the election.

[04:45:12]

The letter requesting Perry's testimony underscores just how the panel is zeroing in on Trump's closest allies in Congress.

And Democrats are facing a long difficult winter with more turmoil expected in the coming year. One new poll shows President Joe Biden's approval rating slipping to 41%. But CNN Poll of Polls puts it more stable 45%, as you can see that more than half of those surveyed say they do not approve of his job performance. The latest numbers come as Democrats scramble to push through the President's massive Build Back Better plan, despite Senate Democrat Joe Manchin spoiling their efforts. CNN Phil Mattingly has a story for you.

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SEN. JOE MANCHIN, (D) WEST VIRGINIA: This is a no, on this legislation.

PHIL MATTINGLY, CNN SENIOR WHITE HOUSE CORRESPONDENT (voice-over): The seven words that shook Washington and put President Biden's cornerstone domestic legislative effort on life support. Senator Joe Manchin, the West Virginia Democrat and critical holdout on Biden's $1.75 trillion economic and climate package.

MANCHIN: I have a problem.

MATTINGLY: Making clear, again, on Monday, his stunning announcement is firm and deep rooted.

MANCHIN: We're in a 50/50 senate and you all are approaching legislation as if you have 55 or 60 senators that are Democrats, and you can do whatever you want.

MATTINGLY: And now in a war of words with Biden's team after White House Press Secretary Jen Psaki released a scathing statement, calling it a "breach of his commitments to the president."

Manchin responding with this, "This is staff. And they drove some things and they put some things out that were absolutely inexcusable. They know what it is. And that's it."

The White House now attempting to take down the temperature.

JEN PSAKI, WHITE HOUSE PRESS SECRETARY: He considers Senator Manchin, a longtime friend, and our focus is on moving forward and getting this done.

MATTINGLY: As Democrats seek a pathway to bring things back on track, Senate Majority Leader Chuck Schumer pledging to vote on the bill. In a letter to colleagues and, "keep voting on it until we get something done." As the White House considers ways to pare back the proposal to keep it alive.

PSAKI: He's going to work like hell to get it done.

MATTINGLY: But for Biden's agenda a devastating 24 hours with large scale repercussions. Wall Street firm Goldman Sachs moving immediately slashing its growth forecast for the U.S. economy in the wake of Manchin's pronouncement. And Biden's coveted policy initiatives like universal pre-K, child and home care subsidies, the largest investment in combating climate change in history and the extension of the expanded Child Tax Credit now all at serious risk.

PSAKI: Our objective and our focus now is moving forward.

MATTINGLY: But sky-high ambitions setting the stage for crushing reality and with significant blowback from progressives. REP. ALEXANDRIA OCASIO-CORTEZ, (D) NEW YORK: I think what Senator Manchin did yesterday represents such an egregious breach of the trust of the president.

MATTINGLY (on camera): And White House officials are already in the midst of phone calls with House and Senate Democratic leadership, trying to figure out what the next steps are how to maybe restructure the proposal in order to have a shot at 50 votes, including Senator Manchin's votes, but there are real questions right now about how willing Senator Manchin is to reengage in negotiations to some degree. It's not just a policy issue at this point. It's a personal issue that's been very clear over the course of the last 24 hours. And is one Senate Democrat told me when I asked what the next steps are, take a breath. Phil Mattingly, CNN, the White House.

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SOARES: Still to come right here on the show, a Christian eight group is claiming it was the help from God not a ransom payment that led a dozen kidnapped missionaries to freedom in Haiti. We have the details for you just ahead.

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[04:52:36]

SOARES: Now we are learning details about what captivity look like for 17 missionaries kidnapped in Haiti more than two months ago. Christian and ministry says the group was fed but still was often hungry and spent much of the time praying. Journalist Stefano Pozzebon has more on what the eight group says led to their freedom.

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STEFANO POZZEBON, JOURNALIST: Christian aid ministries said that a ransom was paid that in order to help secure the release of 17 North American missionaries that had been kidnapped more than two months ago in Haiti. That is according to a press conference that the Ohio based group gave on Monday and the group said the decision came after excruciating hours.

DAVID TROYER, GENERAL DIRECTOR, CHRISTIAN AID MINISTRIES: As you might expect, the taking of our workers, including women and children, pushed us to our knees as we sought God's direction. Recognizing the life's at stake and having a desire for a nonviolent resolution, we grappled for many hours over the proper course of action, many intense hours.

POZZEBON: And in that news conference, the group also claimed that the hostages had escaped after many days of waiting and no action on part of the kidnappers.

Now, Haitian authorities have not yet confirmed that series of events describing an escape in CNN has asked the Haitian authorities for further information about the circumstances around the hostages returning home. Ransom kidnapping is a lucrative business for criminal groups in Haiti such as the one that kidnapped the missionaries in the year so far, more than 900 ransom kidnappings have been reported. Although experts believe the number might be even higher, because not all the kidnappings are reported to the authorities. For CNN, this is Stefano Pozzebon, (inaudible).

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SOARES: Thank you, Stefano.

Now, the heads of the world's biggest commercial airplane manufacturers are calling on the Biden administration to delay the rollout of 5G cell service. The CEOs of Boeing and Airbus Americas warns it could cause interference that would -- could impact aviation safety. They want the White House to limit the power of 5G transmissions near airports. The rollout is scheduled to begin in two weeks on January the fifth to be exact.

[04:55:00]

Now, Procter & Gamble is voluntarily reporting dozens of aerosol spray hair care products because they may contain a cancer-causing agent. The list of dry shampoos and conditioners containing benzene include Pantene, Herbal Essences, Old Spice, and Aussie products. P&G said the benzene levels probably aren't high enough to cause health problems but the company's acting out of an abundance of caution. A full list of the reported products are on the company's website.

Now, a young new member of President Biden's family has taken up residence at the White House, a puppy named commander was spotted playing on the South Lawn on Monday, the German Shepherd was a birthday gift for the president from his brother. The Biden's beloved champ died in June at the age of 13. It's beautiful.

Now, magic is in the air, Harry Potter fans HBO Max which is part of CNN's parent company Warner Media just dropped the official trailer for its upcoming reunion special Return to Hogwarts. Have a look at this.

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UNIDENTIFIED MALE: I've watched you go up and I've seen kind of every stage of your life.

EMMA WATSON: When things get really dark, and times are really hard. There's something about Harry Potter that makes life richer.

UNIDENTIFIED MALE: It's a strong bond to always have with family and always be part of each other's lives.

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SOARES: Quite a tease of the original trio are just some of the stars featured in the upcoming special, which celebrates 20 years since the first Potter film was released. Boy, do I feel old. The special is set to premiere January 1 on HBO Max.

And that does it from us all here on CNN Newsroom. I'm Isa Soares in London, our coverage of the Omicron variant takeover continues on, we start with Christine Romans and Laura Jarrett. I'll see you tomorrow. Have a wonderful day.

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