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Early Start with John Berman and Zoraida Sambolin

Deadly Attack on Pakistan School, Sydney Gunman & 2 Hostages Dead; Manhunt for Pennsylvania Shooting Suspect; Russian Economy Headed for Collapse

Aired December 16, 2014 - 05:00   ET

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

JOHN BERMAN, CNN ANCHOR: All right. Breaking news: a school under attack. Dozens and dozens are dead this morning. A majority seem to be children. We're going to have the latest in just moments.

CHRISTINE ROMANS, CNN ANCHOR: Sydney on alert this morning, a day after a madman held 17 people hostage inside a cafe. Two of those hostages and gunman are now dead. Is Australia or possibly the U.S. at risk for more attacks like this?

Good morning. Welcome to EARLY START. I'm Christine Romans.

BERMAN: Good to see you this morning. I'm John Berman. It is Tuesday, December 16th, 5:00 a.m. in the East.

And there is a lot going on this morning. Breaking news out of Pakistan, a horrific deadly attack on a school there. Gunmen, apparently the Pakistani Taliban stormed a school in Peshawar, at least 84 people now reported dead, many of them children. Dozens and dozens injured.

I want to get right to Manisha Tank who following this story for us.

It is a barbaric attack killing students at school for simply getting an education, Manisha.

TANK: Yes, this is taking place and it is an ongoing situation that is playing at the army public school. It's within a military compound in the city of Peshawar. It's in Pakistan's north.

We are now getting bone -- chilling to the bone detail on what is going on their right now. I can confirm that 84 are dead, two of the attackers also dead. We don't know if that is included in the figure of 84. But I can tell you one attacker blew himself up. The other was killed by paramilitaries.

We have also seen, this is the bone-chilling element of this, we have seen the statements coming from Pakistani Taliban, which claimed responsibility putting out a statement as to why they did this. This is retaliation for a military offensive against Pakistani Taliban to clamp down on operations. They are basically saying, "The military went after us and our families, and now, we are going after you and your families. We want you to feel our pain."

But what they have said is they are in contact with the attackers inside the school. This is a hostage situation.

Now they also put in their statement and we have yet to clarify and cross-check this with Pakistani military, this is what Pakistani Taliban put in their statement. They have said that they effectively took out, they took weapons away from the special services paramilitary who entered the school trying to resolve the situation. So, there was a military operation going on. We don't know what has happened to the special services forces that went in, the individuals that went in. But their weapons were taken away by the Pakistani militants.

I need to point out that the attackers in the school are wearing suicide vests. This was made clear by Pakistani Taliban. They said they would target children, children who seem to be reaching around the age of puberty and up. We know that there are many injured, more than 60 or some of those are children. We know children who are injured are between the ages of 12 and 16. So, yes, this is a shocking attack that is playing out in Peshawar right now.

BERMAN: Let's just make sure we have all the details here. It's an ongoing situation in Peshawar, where a hostage situation, Pakistani Taliban storming a school. At least 84 people killed, more than 100 at this point injured. Attackers wearing suicide vests in this ongoing situation where they are holding hostages. The warped justification is that it's retaliation for military efforts against Talibani forces over the last several weeks and months.

Any official reaction for the Pakistani government or Pakistani military itself at this point, Manisha?

TANK: Yes, in fact, the Prime Minister Nawaz Sharif is on his way, he's making his way, along with the interior minister to Peshawar. We understand, our office in Islamabad understands that they will announce a day of national mourning when they reach there.

This is a shocking moment. This is a very sad moment for the people of Pakistan to see this playing out. Many had waited. There had been peace talks between Pakistani Taliban and authorities to get the situation, particularly in those provinces, under control. Many had waited for the military to have that opportunity to basically intensify the offensive against them. But the Taliban were always very clear that they would go after them if that happened.

We have seen these attacks intensify. It is the chief minister, the local official in the province who gave us the numbers explaining in a statement that this was a hostage situation. The injured and dead are going to two different hospitals there. They are overwhelmed right now. They're asking for blood donations, because this is a very serious and very difficult situation that they are coping with.

BERMAN: A chaotic situation, an ongoing situation at the school in Peshawar.

Our Manisha Tank following it for us. We will check again with you in a little bit. What a tragedy. Thanks, Manisha.

ROMANS: An ongoing, an unfolding story.

This morning, Sydney remains on high alert after the most serious act of terrorism on Australian soil in almost 40 years. What it appears to be al lone wolf gunman taking 17 hostages in the Lindt chocolate cafe in the city's central business district, holding them for some 16 hours. Some of the hostages escaped before finally police moved in with stun grenades. The gunman and then two hostages killed, an entire city now in shock.

The hostage taker has been identified as a self proclaimed Muslim cleric with a long criminal record named Man Haron Monis.

Overnight, Prime Minister Tony Abbott addressed concerns about the gunman.

(BEGIN VIDEO CLIP)

TONY ABBOTT, AUSTRALIAN PRIME MINISTER: It's pretty obvious that the perpetrator was a deeply disturbed individual, a long history of crime, a long history of mental instability and infatuation with extremism. It's interesting that the ISIL death cult seems to attract people like that.

(END VIDEO CLIP)

BERMAN: Two hostages died in this attack. They are lawyer Katrina Dawson and Lindt store manager Tori Johnson. Sydney is grieving this loss this morning.

Look at this huge floral memorial that has sprung near the site of the siege.

CNN's Andrew Stevens joining us now with more live from Sydney this morning.

Good morning, Andrew.

ANDREW STEVENS, CNN INTERNATIONAL CORRESPONDENT: Good morning to you, John.

That memorial of flowers grows and grows. I have been down to have a look. It really is quite a poignant scene down there. There are hundreds of people gathered around a circle, an ever-widening circle of flowers.

So, normal Sydneysiders just come to pay their respects and their remembrances to what has been a traumatic 36 hours for the people of this city, hostages taken for some 16 hours. It was expected this siege would continue most likely into this day. Inside that Lindt cafe shots were fired and the police reacted immediately. Special police going in with flash grenades and stun grenades and seizing and getting most of the hostages alive.

Sadly, though, two hostages paid with their lives. We don't actually know the details officially at the moment, John, but the reports we're hearing is that the manager of the cafe, Tori Johnson, who died, tried to grab the gun from gunman. In the ensuing fight for that gun, shots were fired. Tori Johnson believed to be hit by the pellets and died.

That was the signal for police to move in and some time during those just few seconds, while it was going on, perhaps at two minutes at most, also Katrina Dawson lost her life. She's a mother of three children under the age of 10 years old, a bright career ahead in legal circles. Her brother is very well known lawyer here in Sydney. And certainly Tori Johnson being described as a hero and just all-around fantastic person by his friends, by his family. That's where the out pouring is. That is why we have seen so many flowers from just normal Sydneysiders coming down to lend this moral support, if you like, to this city and each other after what happened.

BERMAN: It is nice to see the support there. Andrew Stevens, thanks for being with us this morning.

ROMANS: There is new information this morning about the Sydney gunman and his long criminal past. Australian officials say that Man Haron Monis was out on bail for a sexual assault he committed 12 years ago. He had been charged as accessory in the murder of his wife. He had pleaded guilty to writing cruel letters to the families of Australian troops.

The premier of New South Wales, Mike Baird, says Monis should not have been on the streets.

(BEGIN VIDEO CLIP)

MIKE BAIRD, NEW SOUTH WALES PREMIER: We are all outraged that this guy was on the streets. We are. And we need to understand why he was. We also need to understand why he wasn't picked up, and we will work closely with the federal authorities, together with our agencies, to ensure what we can do better. We need to understand the circumstances here.

The community has every right to feel upset. I'm incredibly upset. I mean, I'm outraged. And what we need to do is to ensure that everything is done to learn from this. Can we do it better?

(END VIDEO CLIP)

ROMANS: CNN's Atika Shubert live with us in London with the latest on the gunman's past and details of his past.

And, you know, the -- Tony Abbott, he has such an interesting analysis. The ISIL death cult attracts characters just like this.

ATIKA SHUBERT, CNN CORRESPONDENT: Well, this is just it. In his mind, he associated himself with ISIS, for example, with ISIL. He pledged allegiance, he claimed on his media. But at the same time, he was a peace activist, and he claimed to be a Muslim cleric even though he had very few followers.

The reality is, he was very much, a bit of a loner in that sense. He didn't really have much of a following. He made very ostentatious displays of chaining himself to court and to parliament. He had these multiple run-ins with the law, sending letters to Australian families of soldiers who died in Afghanistan.

And then, of course, he was charged with accessory to the murder of his former wife. This is the most remarkable one, because he was actually released on bail and according to the judge of that case, said he was not deemed to be a threat to society. That is now what is being called into question.

So, he had a long criminal record, but there was no indication, according to authorities, that he was put on a terror watch list. And this is what people are now looking at. He was under increasing pressure because of all these various charges against him. He claimed he was being denied access to his children, and what investigators are looking at now is what exactly was the trigger that allowed him to walk into a but chocolate shop with a shotgun and hold all these people hostage.

ROMANS: All right. Atika Shubert for us, thank you so much for that. Fascinating development. Sad and fascinating.

We are following breaking news this morning in Pakistan: a deadly attack on a school. It's happening right now, unfolding right now. An operation to try to protect and rescue these children, but many, many dead.

BERMAN: Also this morning, a manhunt under way in Pennsylvania for a former U.S. marine suspected of killing six people, including his ex- wife. He is considered armed and dangerous. We will have details ahead.

(COMMERCIAL BREAK)

BERMAN: We do have breaking news this morning coming from Pakistan, Peshawar. Gunmen had stormed an army-run school there. Gunmen wearing suicide vests, killing at least 84 people. Many of the dead are children. There are dozens and dozens more injured.

The Pakistani Taliban has claimed responsibility for the attack, which does appear to be ongoing.

Let's turn now to CNN international reporter Michelle Stockman who has the latest details for this.

Good morning, Michelle.

MICHELLE STOCKMAN, CNN INTERNATIONAL REPORTER: Good morning.

What we understand is that so far, 84 people have been killed. That has been confirmed by government officials. Dozens more injured and two of the suicide bombers out of six that entered the school have been killed. One blew himself up and one killed was by military forces.

We understand this is an ongoing hostage situation. The Taliban spokesperson confirmed to CNN that there are 300 to 400 hostages still in the school. They are in contact with the suicide bombers and apparently instructing them on how to act. So, we're waiting to find out how the military and security forces are

responding to this situation. The prime minister and interior minister are on their way to Peshawar, and -- but what we are seeing is a very grim situation that is still ongoing.

BERMAN: All right. Michelle Stockman for us. Again, an ongoing situation. At least 84 dead and dozens and dozens more injured. Children are the victim here of the school. Michelle, thanks so much.

ROMANS: All right. I want to bring in CNN national security analyst Peter Bergen, live for us in Washington.

Good morning, Peter.

The size, the scope of this particular attack is just kind of almost hard to grasp, and that it is still going on here. Pakistani Taliban telling reporters and issuing statements this is in retaliation for army operations against it. That it is just retaliation.

What do you make of this?

PETER BERGEN, CNN NATIONAL SECURITY ANALYST (via telephone): Good morning, Christine.

I think, you know, there is sort of a narrative in the United States that the Pakistani army is not doing enough against the Taliban. And this kind of attack I think this is significantly. After all, we have seen now very significant military operations by the Taliban in North Waziristan, which has long been an American demand that the Pakistani military do more against not Pakistani Taliban but other militant groups are headquartered in this area north Waziristan, along the AfPak border.

We have seen the Taliban engage in retaliatory attacks against army targets in the past. They attacked GHQ, which is essentially the Pakistani version of the Pentagon. They attack Pakistani naval bases in Karachi. They've killed, you know, army major generals.

This particular attack is off the charts in terms of numbers of people dead and it involves children and there are hundreds of hostages. I think it is fair to predict that this will go on for quite a while.

They learned from the Mumbai attacks where you let the thing spin out and you get media coverage which, of course, CNN and every other organization is forced to cover this kind of big story. You spin it out over several days. My intuition is obviously everybody who took part in the attack knew it was a fight to the death and they will try to spin this out for as long as possible.

BERMAN: Well, in this one case, let's hope you are wrong about that, Peter. Even within the warped reasoning of the people carrying out the attack, it is hard to see how this could be a public relations victory for the Pakistani Taliban when are you talking about upwards of 100 people, most of them children killed at this point and many more injured.

How does this help with their struggle inside Pakistan, Peter?

BERGEN: I think, John, the short answer, it doesn't. I think it's going to be a public relations catastrophe. It is one thing to attack as they have done in the past Pakistani military bases inside Pakistan and kill Pakistani soldiers. It's quite another to kill so many children.

I would add to that, by the way, you know, Pakistani Taliban has killed many, many thousands of Pakistanis, civilians and military over the years. The numbers you hear are upwards of 30,000 who died one way or another in this fight against the Taliban. And the Pakistani army in the past couple of years has really shifted its attention from its traditional enemy, India, and really identified the internal enemy which is the problem, which is a very good shift and completely true in the attack underlines why that is the right way to look at things.

ROMANS: This is an army-run school, Peter. The reporting that we are getting on the ground from our CNN folks, that many of the dead appear to be young men, 12 to 16 years old. In a way, almost like, I guess, certifying a cycle of this, you know? They are killing these young children. These are children.

BERMAN: Innocent victims.

ROMANS: That is confounding to me. These are children, Peter.

BERGEN: The whole thing is inexplicable. I think the Taliban are reacting to serious pressure.

I will add one other point here, which is the military operation the army is undertaking in North Waziristan for a year, was actually something the military is pushing more than the civilian government. The military is under the conclusion that the Pakistani Taliban is an intolerable presence. You know, there is a paradox because some elements of the army have supported some of the elements of the Taliban in the past. But I think, you know, again, this underlines the fact that the Taliban recognized that the Pakistani army is the main foe at this point.

BERMAN: Let's talk about what is going on right now or we believe what is going right now, which is there is this ongoing siege at this military school in Peshawar in Pakistan, where dozens and dozens of children have been killed. There may be gunmen wearing suicide vests. It does appear to be a hostage situation.

The Pakistani military, the people who will bring this to a close, can they handle this situation? We have seen catastrophes in the past in other places. Take Beslan, for example, the Russian republic.

BERGEN: I mean, John, I think that's a very good question. Look, I think if the U.S. Army had a situation where people fight to the death and taken hostage several hundred children as appears to be the case, I mean, that would be a very, very tough hostage rescue situation.

We saw yesterday in Sydney where 17 people were taken hostage by a gunman. Two of the hostages are dead. So, there's no hostage situation, you know, where if you're going to go in and people are willing to fight to the death on the other side, that, you know, you don't -- there's going to be casualties. It doesn't matter what you do. Hopefully, you can negotiate a surrender. It's very clear that the people who were sent into this are not in the surrendering business.

ROMANS: Pakistani Taliban saying this is in retaliation for recent army operations against the Taliban in that part of Pakistan. Can you tell us how -- I guess, how strong and resilient has the Pakistani Taliban been. Have those army raids been successful? Is this a sign of desperation what we're seeing here? That the army was getting to the Taliban?

BERGEN: Christine, that is a good point. I think they have been somewhat successful. The problem is, of course, the Pakistani Taliban is a large group. I mean, you are looking at many tens of thousands of armed men. I think a lot of pressure has been applied on them. The best example of that, is that the leader of the Pakistani Taliban, his name is Maulana Fazlullah, has been forced ironically enough into Afghanistan where he is now living.

So, there is certainly some pressure applied, but this is a group that has -- you know, it's fairly resilient and it draws on many millions of disaffected Pashtun men on the border there. You know, this is going to be a long fight. It's not -- arguably, it has gone on for at least a decade already.

BERMAN: Peter Bergen, thank you so much for being with us, helping to understand what's going on right there. The hospitals in the area are calling for blood, calling for help, the carnage so great. They simply can't keep up with it at this point.

We're going to continue to follow the updates on this terrifying attack on a school in Pakistan.

We are also following some other big news this morning, including a manhunt in Pennsylvania.

Stay with us.

(COMMERCIAL BREAK)

ROMANS: We are following breaking news in Pakistan this morning.

Armed gunmen have attacked a military-run school in Peshawar. At least 84 people are dead. Many of them are children. Provincial officials say many are children between the ages of 12 and 16. The Pakistani Taliban claimed responsibility for the attack. We're going to bring you the latest details as we get them, but this is an ongoing siege situation in Pakistan.

BERMAN: Not over, to be clear.

Other news we're watching this morning. The hunt is on for Iraq war veteran suspected of killing his ex-wife and five former in-laws. Right now, officers are scouring Doylestown, Pennsylvania. That is where Bradley Michael Stone was apparently spotted after going on a shooting rampage on Monday.

Police say the 35-year-old killed his ex-wife, her mother, grandmother and sister as well as his brother-in-law and a 14-year-old daughter. He did not kill his two daughters who were living with his estranged wife.

Officials say Stone is considered armed and dangerous, and suffers from post-traumatic stress syndrome.

(BEGIN VIDEO CLIP)

RISA VETRI FERMAN, MONTGOMERY COUNTY DISTRICT ATTORNEY: We are also reaching out to the public to see if anyone has sighted him. As we stand here right now, we do not know where he is. We are -- we do not have vehicle information. We actually recovered his vehicle and his personal cell phone. So, we do not have information about how he might be traveling.

(END VIDEO CLIP)

ROMANS: Again, he is on the loose armed and dangerous.

Twenty-six minutes past the hour. Russia's economy headed for a crash. Earlier today, the central bank their raised its interest rates for the sixth time. Seventeen percent is the interest rate now, a devastating increase when you think of Russians paying mortgages and car loans.

We know they are feeling the cost of the pinch. The cost of food has been rising. Higher interest rates, and the government's attempt to stop out of control inflation. Its currency, the ruble has been plunging. It's been cut this year compared to the dollar. Cash is flooding out of Russia. Higher rates don't attack the root of the problem, plunging oil prices and western sanctions hitting the economy.

Right now, Vladimir Putin still has high approval ratings. That could change if the economy spirals toward disaster, and economic disaster, of course, in Russia, would have ripple effects for investors and citizens around the globe.

BERMAN: Yes, that's an important story.

Other important stories, big stories we are watching this morning. We're going to have the latest on the deadly attack on the school in Pakistan. It is an ongoing attack, appears to be a major hostage situation. We are following the latest developments.

ROMANS: And what we know about the situation into the siege at the cafe in Sydney. How the terrifying events unfolded and what we are learning now about the gunman in a live report.

(COMMERCIAL BREAK)