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U.S.: Dramatic Acceleration in Russian Military Buildup; Russian Foreign Minister: Still a Chance for Diplomacy; Accountants: Decade of Trump Organization Statements Unreliable; January 6 Committee Expects Giuliani to Cooperate Fully; Russian Figure Skater to Compete Despite Doping Scandal; Federal Trials Underway Following Floyd, Arbery Killings; Western U.S. Drought is the Worst in 1,200 Years. Aired 4-4:30a ET

Aired February 15, 2022 - 04:00   ET

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

[04:00:00]

ISA SOARES, CNN ANCHOR: Hello and a very warm welcome to our viewers joining us in the United States and right around the world. I'm Isa Soares in London.

MICHAEL HOLMES, CNN ANCHOR: And I'm Michael Holmes in Lviv in Ukraine. Just ahead on CNN NEWSROOM.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Military action could happen any day.

UNIDENTIFIED MALE: The world is on edge.

UNIDENTIFIED MALE: Mr. Putin had a plan to see how much he could sneak in and see what he could get away with.

UNIDENTIFIED MALE: For president Putin to make a decision to invade Ukraine, it would be very bad for him, for Russia and for European security.

(END VIDEO CLIP)

HOLMES: Still a chance for diplomacy. U.S. and Russian officials say they are open to negotiations despite Vladimir Putin sending more troops to Ukraine's border.

SOARES: Plus, the Russian figure skating star facing a doping scandal is returning to the rink. And not everyone is happy for her having an advantage over the other Olympic athletes.

And former U.S. President Donald Trump and his company could see some major financial troubles. We've got the details just ahead.

ANNOUNCER: Live from London, this is CNN NEWSROOM with Isa Soares.

SOARES: Welcome to the show, everyone. It is Tuesday, February 15th. And President Biden is facing his biggest foreign policy crisis yet as the U.S. appears more concerned than ever that Russian troops will move into Ukraine. U.S. intelligence says Russia is advancing its ability to invade Ukraine. And new satellite images show at least 60 Russian attack and transport helicopters have arrived at a military base in Crimea.

(BEGIN VIDEO CLIP)

JOHN KIRBY, PENTAGON PRESS SECRETARY: We have said for a while now that military action could happen any day. I won't get into a specific date. I don't think that would be smart. I would just tell you that it is entirely possible that he could move with little to no warning.

(END VIDEO CLIP)

HOLMES: Now here in Ukraine President Volodymyr Zelensky is asking the nation to remain calm in the face of the Russian threat and is calling for a day of national unity on Wednesday. Meanwhile, the United States, like many other countries, is moving embassy staff from the capital Kyiv to Lviv here in western Ukraine. They've also opened a welcome center near the Polish border to help U.S. nationals leaving Ukraine. The State Department is telling Americans to leave both Ukraine but also Belarus to the north immediately and members of Congress say they are concerned.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: This is a very dangerous situation.

SEN. DICK DURBIN (D-IL): The concern is very high. The only good news is the diplomatic exchange continues.

SEN. MARK WARNER (D-VA): The forces the Russians have amassed, they could launch at any point.

(END VIDEO CLIP)

HOLMES: Now the Russian foreign minister Sergey Lavrov briefed Vladimir Putin on the situation Monday telling him there is still a chance for diplomacy. But the U.S. says Russia needs to do more than just talk and it needs to take action to show that it wants a peaceful resolution.

(BEGIN VIDEO CLIP)

NED PRICE, U.S. STATE DEPARTMENT SPOKESMAN: In order for diplomacy and dialogue to succeed, it has to take place in the context of de- escalation and we have not seen anything resembling de-escalation. There is not that context yet. If Foreign Minister Lavrov's comments are followed up with concrete, tangible signs of de-escalation, we would certainly welcome that.

(END VIDEO CLIP)

HOLMES: CNN is covering this story from every angle. Our Fred Pleitgen is standing by in Moscow with the latest from there. But let's start with CNN's Sam Kiley in Ukraine near the Russian border. And Sam, you're right there on the border. Russian troops not far away. Give us a sense of what it's like there and how the locals are feeling.

SAM KILEY, CNN SENIOR INTERNATIONAL CORRESPONDENT: In short, pretty relaxed. There is this fervid language coming from the United States which is in no way matched by the atmosphere here on the ground in Kharkiv or indeed on the border.

Yesterday I traveled up to the border right with absolutely no sign of Ukrainian troops. That doesn't mean that they're not there, that they're not dug in. Indeed, the border area is nominally closed to journalists walking around with cameras. Because of course, they might reveal military secrets to the potential enemy.

[04:05:02]

But there was a handful of border guards there Individuating that activity. Large numbers of trucks from Ukraine waiting to cross into Russia to export various goods either from Ukraine or from elsewhere within Europe. A few vehicles coming in from Belgrade just to the north now. Belgrade is an area which in the last 48 hours, according to our own analysis of satellite imagery and social media posts have seen a significant increase in the number of helicopters deployed there alongside the first guard's tack army which is a vast organization capable of fielding many hundreds of tanks and the scan to surface-to-surface missiles.

So, a very substantial military buildup by Russia on the border with Ukraine being treated almost with indifference here in Kharkiv. We've also got no information that 60 helicopters have appeared on satellite imagery. They haven't been there a few days ago in the south, not far from Mariupol, in Crimea which of course was seized by Russia back in the 2014, 2015 conflicts.

So, all of this building up a picture external to the Ukrainian borders causing this very, very anxious language coming from the United States and her allies. But here in Ukraine, you really wouldn't know it. There has been no mobilization of home guard. No mobilization of reserves. There are reports that some leave has been canceled in the military. The National Police Force has been put on a slightly high state of readiness. But President Zelensky's message of don't panic seems to be getting through -- Michael.

HOLMES: All right, Sam Kiley, appreciate that. Fred Pleitgen in Moscow let's turn to you. And despite all the troop movements, the tanks, the helicopters, and so on, you've been hearing Russia says it wants more, not less diplomacy.

FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Yes, you're absolutely right, Michael. And I think another quite significant thing that or possibly significant thing that we've just heard from the Russian ministry of defense is they say exercises in the western military district, Russia's western military district, or to the east of Ukraine, that those have started and are returning to their bases. Now what exactly that means. How significant that is. Certainly, something that we're going to see over the next couple of hours, the next couple of days. But at the same time, we are getting those messages from the Kremlin

that they say that more diplomacy, they believe, is in order. In fact, just yesterday I was in contact with the spokesman to the Kremlin Dmitry Peskov and he said that Russian President Vladimir Putin has always been for diplomacy in all of that and that the Russians say that Ukraine is only one of the issues they have with the broader security structure in Europe at the moment and the security guarantees that the Russians have been asking for.

I think one of the things that was really significant yesterday, Michael, was the fact that Vladimir Putin had a meeting with Sergey Lavrov, his foreign minister. You eluded to it earlier. Sergey Lavrov saying that diplomacy still has a chance. I think is important to see that in the context of how that was said. Because it started with a question from Vladimir Putin asking whether or not negotiations still actually make sense. Let's have a look at what the two men said.

(BEGIN VIDEO CLIP)

SERGEY LAVROV, RUSSIAN FOREIGN MINISTER (through translator): If we are ready to listen to some counter proposals, it seems to me our possibilities are far from being exhausted. Of course, they should not continue indefinitely, but at this stage I would suggest they be continued and increased.

(END VIDEO CLIP)

PLEITGEN: And before that Vladimir Putin had asked does all of this still make sense? So certainly, the messaging that's coming out of Moscow over the last 24 hours or so at least is one that the Russians continue to want diplomacy. And also of course, today, Olaf Scholz, the German Chancellor, he's already here in Moscow for further talks with Vladimir Putin -- Michael.

HOLMES: All right. Fred Pleitgen appreciate that. Our thanks to you and Sam Kiley.

And we're going to have much more on this sort of bubbling conflict, if you like, a little later in the program. Meanwhile, let's send it back to you -- Isa.

SOARES: And Michael Holmes will return in about 20 minutes or so live from Lviv in western Ukraine. Thanks very much, Michael.

Well, a Russian invasion could have major economic implications for Americans who are already coping with inflation. Russia is one of the top oil as well as natural gas producers. A war could cut off supplies to the countries depending on them. As it is, Americans are already paying nearly $1 more a gallon for gasoline than they did just a year ago if you can have a look at that graphic on your screen. And worries about disruptions have sent oil prices to nearly $96 a barrel for the first time since 2014. JPMorgan global equity research predicts short falls in OPEC plus production as well as capacity could send prices to $125 per barrel as early as the second quarter of this year.

[04:10:00] And we have a quick look at U.S. stocks today. This of course is on Monday amid investor fears of a possible war. The Nasdaq there pretty flat. Word the U.S. was closing its embassy in Kyiv underscored of course that fear. And if we have a look at U.S. futures and how they're expected to open, it seems like a new day starting fresh. Nasdaq up -- expected to open up 1.5 percent. Dow just almost 1 percent and S&P 500 fairing a bit better than it did on Monday.

Accountant for former U.S. President Donald Trump are cutting ties with the Trump organization and say that nearly a decade's worth of financial statements are unreliable. Lawyer and columnist George Conroy explains what this means and why it's a blow to Trump.

(BEGIN VIDEOTAPE)

GEORGE CONWAY, ATTORNEY: What they're basically saying there is we have no idea what the right numbers should be and you can't rely on them. And the reason why we -- and the fact that they are resigning as his accountants basically means they're pointing the finger at him. They have a conflict of interest with him according to the letter. Which means, as I interpret it under these sentences, they're basically playing on team AG and team TA and not on team Trump anymore. And they're pointing the fingers at the Trump organization. Just say, well OK, well you know, the information if it's wrong, they gave it to us. And that's not helpful.

And particularly it's unhelpful for the investigation -- the part of the investigation that's being conducted by Leticia James, the Attorney General. She has the authority to bring a civil case under a New York statute called the Martin Act. And the Martin Act, because it's a civil statute and because of the way it's written doesn't require the prosecutor to prove intent and fraudulent intent. And if these statements are -- basically, if the accountants are basically concluding these statements are not reliable -- they contain false statements, basically that case is proven.

(END VIDEOTAPE)

SOARES: Meanwhile, Trump's former attorney is complying with a January 6th committee -- well, sort of. Rudy Giuliani has been engaging with members via his lawyer. And the panel say they expect him to cooperate fully despite his request to reschedule his deposition. CNN's Paula Reid explains.

(BEGIN VIDEOTAPE)

PAULA REID, CNN SENIOR LEGAL AFFAIRS CORRESPONDENT: While it's not unusual for witnesses who receive a subpoena from a House committee to negotiate or enter into preliminary negotiations, what's unusual about Rudy Giuliani is that his lawyer had previously said Giuliani would not cooperate with the House Select Committee investigating January 6th citing privilege.

But CNN has learned that over the past few weeks Giuliani through his attorney has been engaging with the committee and a source familiar with these negotiations says there is a chance that Giuliani would be willing to testify under oath about some topics.

But let's be clear, there is no date for him to testify. He has not turned over any documents. There's no agreement between him and the House Select Committee at this time. Now what could he potentially cooperate about? What appears that election fraud is the most likely subject where he would potentially be willing to answer some questions. We know that because the first 12 or so questions that he received in his subpoena from the House Select Committee have to do with election fraud.

These are issues that are not likely covered by executive privilege or attorney-client privilege. And a source familiar with his negotiations says that's really one area where he could potentially be willing to cooperate. But right now, these conversations, these negotiations, they are in the very early stages. And it's not clear if Giuliani's legal team and the committee will be able to come to an agreement on a way for him to cooperate.

But the fact that he is engaging, that is notable. Because it will make it harder for the committee to argue that Giuliani was ignoring them or for them to try to proceed with contempt if they believe that he has not fully complied with their requests. He is represented by the same attorney who represents Steve Bannon who has, of course, been criminally charged with contempt. Giuliani is in a slightly different category because he was a personal attorney for the president at the time in question.

But, again, the fact that he is at least engaging, that he is not completely stonewalling, that will help him if the committee is unsatisfied with his level of cooperation and tries to proceed with contempt even if they cannot come to an agreement on a way for him to cooperate.

Paula Reid, CNN, Washington.

(END VIDEOTAPE)

SOARES: Just a few hours to go until controversial Russian figure skater Kamila Valieva is set to compete in the women's single skating and short program at the Beijing Olympics. The 15-year-old skater was cleared to compete after testing positive for a banned substance in December. Investigations are still underway to determine whether Valieva can keep her first gold medal or any other she may earn at the winter games. The situation has sparked fierce debate as well as reactions from athletes and officials in the Olympic community but some say Valieva's natural talent is too much to ignore.

[04:15:00]

Here's one of her former coaches.

(BEGIN VIDEO CLIP)

KSENIA IVANOVA, FORMER SKATING COACH TO KAMILA VALIEVA (through translator): She's simply a prodigy in her abilities, her gift, her work ethic. Well, she is a brilliant child in talent, in hard work and ability. That is there is talent plus hard work plus ability plus desire.

(END VIDEO CLIP)

SOARES: And plus, illegal substances. CNN's Kristie Lu Stout joins me now from Hong Kong with more. And Kristie, we are now hearing that Valieva is blaming the doping violation on a mix-up with her grandfather's medication. What more can you tell us.

KRISTIE LU STOUT, CNN CORRESPONDENT: Yes, it's an interesting new development this day. Kamila Valieva, the Russian figure skater, apparently saying that her positive drug test was a result of a mix-up with her grandfather's heart medicine. This was according to an International Olympic Committee official, who told this to the media.

Of course, it was on Friday, that was when we heard the International Testing Agency say that she had tested positive for a banned substance in December. That banned substance was a heart medication that can be used to enhance performance or boost performance. And it wasn't until last week during Olympic competition in Beijing when that positive test result came to life.

But as we'll know, on Monday that was when the court of arbitration for sport decided to clear her, give her the go ahead for competition. She is favored to be the winner for the women's single event due to take place in Beijing just a few hours from now. And if she wins there will be no medal ceremony. But a number of people including former Olympians are quite upset about that decision to allow her to complete.

For example, let's bring up one reaction for you. This one from the American Olympian Tara Lipinski. She of course was the Olympic women's champion back in 1998.

She writes I strongly disagree with this decision. At the end of the day, there was a positive test and there is no question in my mind that she should not be allowed to compete.

We have this from the South Korean 2010 Olympic women's champion Kim Yuna on Instagram along with just a black image.

She writes: Athletes who violate doping cannot compete in the game. This principle must be observed without exception. All players' efforts and dreams are equally precious.

And finally, let me share this from the U.S. sprinter Sha'Carri Richardson who missed out on the 2020 Tokyo Olympics after she tested positive for cannabis.

She asks this question, quote, can we get a solid answer on the difference of her situation and mine? Unquote.

Kamila Valieva is one of the youngest Olympic athletes to ever test positive for banned substance. She is set to compete just over four hours from now, 9:52 p.m. Beijing time -- Isa.

All right, a good question there from Richardson. Thank you very much Kristie Lu Stout in Hong Kong. And do stay with us. We'll of course have a live report from Beijing with today's highlights from the game in about 15, 20 minutes or so.

Tennis star Novak Djokovic says he'd be willing to miss the next two grand slam tournaments over his COVID vaccine stance. His comments come about a month after he lost his visa challenge and a chance to play in the year's first major. And that was of course the Australian Open. In an exclusive interview with the BBC, Djokovic, who is not vaccinated for COVID, says he's not against vaccinations but understands the consequences of choosing not to get the shots.

(BEGIN VIDEO CLIP)

NOVAK DJOKOVIC, MEN'S WORLD NUMBER ONE TENNIS PLAYER: And I understand that not being vaccinated today I -- you know, I am unable to travel to most of the tournaments at the moment.

UNIDENTIFIED MALE: And that's a price you're willing to pay?

DJOKOVIC: That is the price that I'm willing to pay.

(END VIDEO CLIP)

SOARES: This now means the world number one could miss out on both the French Open as well as Wimbledon later this year.

Still to come right here on the show, why America's top infectious disease expert says a COVID vaccine holdup for young children is not necessarily a setback.

And new research found stunning data about the prolonged drought in the Western U.S. and it's only unfortunately expected to get worse.

PEDRAM JAVAHERI, CNN METEOROLOGIST: 2022 has started off on an extremely dry note. And of course, it is the wet time of year. But rainfall deficits as much as almost 9 inches into parts of California. In a moment we'll break down this. And also, a sobering study showing us the driest pattern potentially in over 1,000 years being experienced in the Western U.S.

[04:20:00]

(COMMERCIAL BREAK)

SOARES: For the first time this year average daily COVID cases in the U.S. have dropped below 200,000, that is according to Johns Hopkins University. And cases in children are down more than 50 percent from the previous week. But the number is still higher than during the Delta variant peak according to the American Academy of Pediatrics. Meanwhile, FDA advice is still waiting to discuss whether to recommend the Pfizer vaccine for children in 5 and younger. They were set to meet today but decided to wait for more data before moving forward. Dr. Anthony Fauci says the FDA's decision was made for the right reasons. Have a listen.

(BEGIN VIDEO CLIP) DR. ANTHONY FAUCI, DIRECTOR, NATIONAL INSTITUTE OF ALLERGY AND INFECTIOUS DISEASES: I think it's disappointing that parents who have children in that age group certainly are anxious and want their children to be vaccinated but you want to make sure it's done right. And what the FDA is doing is there doesn't appear to be any safety issue at all. They want to make sure that the dose regimen that will be use is the correct one.

(END VIDEO CLIP)

SOARES: Dr. Anthony Fauci there.

In California the mask mandate in schools will remain in place for at least two more weeks. That's according to the state's top health official. He says state leaders will reassess the latest data and trends before making any changes to that requirement. California's still relaxing its mask mandate for vaccinated people in most other indoor public spaces.

And we'll be watching a New York courtroom today where a U.S. district judge is expected to dismiss Sarah Palin's defamation lawsuit against "The New York Times." jurors are still deliberating, but the judge says lawyers for the former vice-presidential candidate did not prove the "Times" acted with actual malice. Palin thanked the jurors after leaving the courthouse on Monday -- as you can see there. "The New York Times" issued statements welcoming the judge's decision.

[04:25:03]

Two federal trials are now underway, one in Georgia, the other in Minnesota following the killings of two unarmed black men, Ahmaud Arbery and George Floyd. In Minnesota the prosecution has rested in the trial of three former Minneapolis police officers charged with violating Floyd's civil rights. At least two of the men plan to testify in their own defense.

In Georgia opening statements took place Monday in the federal hate crimes trial of three white men convicted of murdering Ahmaud Arbery nearly two years ago. The prosecutor told the court Arbery would not have been killed if he were white. CNN's Nadia Romero has the latest from Brunswick in Georgia.

NADIA ROMERO, CNN U.S. CORRESPONDENT: Tuesday the prosecution will present their first witness in the federal hate crimes trial against the three men convicted of murdering Ahmaud Arbery. Those men have already been sentenced to life in prison. But this is about the reason why they killed Ahmaud Arbery.

The defense will tell you that they saw him on surveillance video and they believed that he was burglarizing their homes and their cars, stealing things and he was running away from a home that was under construction. And that's why the three men went after him and ultimately killed him in self-defense.

But the prosecution will argue that they targeted him simply because he was black. And they plan to present new evidence, social media posts, and text messages where the men that used the "N" word and racial slurs and talked poorly of black people, likening them to animals and being less than human.

Ahmaud Arbery's mother was in the courtroom for the first time during this federal trial. Here's why she believes that they will be victorious in the end.

WANDA COOPER-JONES, AHMAUD ARBERY'S MOTHER: I think they will get another victory out of this. I think it's going to be a long, long hard trial. A whole lot of hard evidence is going to come into play so I've got to be prepared for that each and every day.

ROMERO: So, Ahmaud Arbery's mother and his father both mentioned the makeup of the jury. So, in the state trial it was 11 to 1 white to black. But in this federal hate crimes trial the jury is made up of a much more diverse panel of jurors. You have eight white people, three black people and one Hispanic person. Both of his parents say it doesn't matter the diversity of the jurors because the evidence is there to convict the men of killing their son simply because he was black.

Nadia Romero, CNN, Brunswick, Georgia.

(END VIDEOTAPE)

SOARES: The city of Minneapolis, Minnesota, will conduct special review of its police department no-knock warrant policy led by the city's civil rights department. It comes nearly two weeks after the death of a 22-year-old black man. Amir Locke was killed by police when they served a no-knock warrant at an apartment Locke was staying in. He was not named on any of the search warrants.

The office of police conduct review says they'll look at the policy to recommend specific changes as well as improvements. Locke's family and attorney are calling for a complete ban on no-knock warrants not wanting any other parents to experience obviously, what they have.

Now to some really eye-popping new data about the impact of climate change. A new study found the past two decades in the Western U.S. were the driest in at least 1,200 years. The region is going through a mega drought. The likes of which it hasn't experienced since around the year 800. Meteorologist Pedram Javaheri has more -- Pedram.

JAVAHERI: Isa, so often we talk about the Western U.S. as it relates to drought. Yet in incredible 95 percent of the Western U.S. still underneath drought conditions. After we have incredible amount of rainfall in November and December, would you believe that January 2022 and some of the larger cities around the Western U.S. and parts of California have seen significant rainfall deficits as much is almost 9 inches. San Francisco, almost 6 inches below where it should be for this time of year. And of course, this is the wet season. This is when you expect to see the rainfall.

And with that said, a new study here from the journal of Nature Climate Change that suggests that since the year 2000 this is the driest period in about 1200 years across the western United States and portions of North America. That says quite a bit especially when you consider the data prior to this shows that from 1980 to about 1998 we have the wettest period in over 1,000 years across is very area. So, a dramatic shift within just a matter of a couple of decades.

And the study's talking about this very much being related to human- induced climate change. In fact, when you take a look at the data it's accounted to about 42 percent of the soil moisture deficit around the Western U.S. It' about twice the amount of severity there from the previous century when it comes to how dry the landscape has been, again, coming off of what has been a very wet period into the 1990s and 1980s that had been across the region.

If you look at tree ring data, in fact across many, many sites, thousands of sites around the Western United States.

[04:30:00]