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Early Start with John Berman and Zoraida Sambolin
New ISIS Video Threatens Hostages; Belgian Terror Cell Linked to ISIS; State of the Union Preview; Fighting Escalates Around Donetsk Airport; GM Raises Death Toll from Faulty Switches
Aired January 20, 2015 - 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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ANNOUNCER: This is CNN breaking news.
JOHN BERMAN, CNN ANCHOR: The breaking news this morning: a chilling new threat from ISIS, threatening to kill new hostages if their demands are not met. This as officials make a desperate push to stop terror in Europe. Leaders from across the continent trying to figure out how to prevent future attacks.
Our live team coverage starts right now.
Welcome back to EARLY START. I'm John Berman. Thirty minutes past the hour. Christine Romans is off today.
We have breaking news this morning. A chilling new ISIS video threatening new hostages. And this time, it appears to be an attempt to extort $200 million from the Japanese government.
Joining us with the story, CNN's Will Ripley.
Good morning, Will.
WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: John, just within the past few minutes, Japanese Prime Minister Shinzo Abe spoke about this. He expressed outrage and determination on the part of the Japanese government to continue moving forward with the pledge made just two days ago to contribute $200 million U.S. in nonmilitary aid to fight ISIS.
However, when the prime minister was questioned specifically about ISIS' demand that Japan now pay $200 million for the release of two citizens seen in the awful video posted on social media by ISIS, showing on the left, Kenji Goto Jogo, a freelance journalist who last posted on his Twitter account in October that he was in the Middle East covering the conflict. On the right, Haruna Yukawa, who disappeared in October -- August, I should say, the owner of a private military company.
The prime minister came up short and would not say whether there are negotiations taking place behind the scenes to possibly -- to secure the release of these two men.
Here is what the ISIS video says.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: To the prime minister of Japan, although you are more than 8,500 kilometers away from the Islamic State, you willingly have volunteered to take part in this crusade.
(END VIDEO CLIP)
RIPLEY: John, of course, the voice on that video believed to be Jihadi John, who was seen executing two Americans and two British citizens, now two Japanese citizens kneeling between him. And again, no official word from the Japanese government about what steps they may take next, but it appears that two citizens of this pacifist country in grave danger right now, John.
BERMAN: Will, it is chilling to see the video. The man with the British accent, some countries we know will do pay ransom for hostages. Some do not. The United States does not.
What has the tradition been in Japan?
RIPLEY: Japan has never officially paid a ransom to secure the release of citizens. However, there have been reports speculation of some under the table deals. It is noteworthy to point out that when the prime minister was questioned specifically, would Japan pay, he didn't specifically answer that question. He stopped short of answering that question, went on to say the Japanese government will do whatever it takes.
However, a $200 million figure clearly that is not going to happen. We know in previous cases from other countries, smaller amounts have been negotiated down. We'll just have to wait and see what happens in this case.
BERMAN: All right. Will, our hearts go out to the families of those men in that video. Appreciate you being with us this morning.
Happening this morning, authorities searching for the man they say is the ringleader of the terror cell raided by police in Belgium last week. A man they say is linked to ISIS. A senior Belgium counterterrorism official tells CNN the man's name is Abdelhamid Abaaoud, and that he dropped off the radar in Greece. More news breaking this morning, some 200 German police officers raided 13 locations in three metro areas overnight. Parliament investigation into the two alleged Islamists who were arrested on Friday.
Senior international correspondent Nic Robertson, you can see him right there, he joins us now live from Paris.
Operations and developments all over the continent, Nic.
NIC ROBERTSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Indeed, John.
The arrests in Germany we're told not linked to an immediate terror threat, linked to those Islamists arrested by German authorities last week. So, it doesn't seem that they are stepping in to thwart some kind of major incident at the moment. Again, the investigations of these people just beginning right now.
Here in France, more developments as well. The nine people who were held in police custody for questioning, five of them had been released last night following days of questioning. The four others, however, all young men in their 20s will appear before a magistrate in Paris today. That's when we are told we can expect to hear the details of the charges against them.
So, we will begin to learn a little more of what the police are beginning to understand about the attacks of two weeks ago, John.
BERMAN: All right. Nic Robertson in Paris for us covering these developments. I appreciate you being with us, Nic.
European officials scrambling this morning to ramp up counterterrorism efforts and close loopholes in the wake of the terror attacks in Paris, and the raids across Europe. European foreign ministers have been meeting in Brussels. They floated a variety of ideas for tracking or restricting the movements of suspected terrorists. Many of those policies are already in place in the United States.
I want to bring in senior international correspondent Ivan Watson who was in Brussels.
Ivan, what are they discussing?
IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, this was the first meeting of the Europe's top diplomat since the deadly attacks on the "Charlie Hebdo" magazine's offices in Paris, and then a suspected Belgium homegrown jihadi plot was raided by Belgium police last week with the arrests and the manhunt continuing.
Europe's top diplomat saying they have to coordinate more among themselves and also with Arab neighbors in the Mediterranean sea, and that includes speaking Arabic. Take a listen.
(BEGIN VIDEO CLIP)
FEDERICA MOGHERINI, EU HIGH REPRESENTATIVE FOR FOREIGN AFFAIRS: I think we need to improve our capacity to speak Arabic and read Arabic, explain to the Arab-speaking population our policies, and also to listen to the messages that are coming from the Arab world.
(END VIDEO CLIP)
WATSON: And, John, one of the measures they are proposing is to share more information about passengers on flights, their data. Now, that's a measure that has been proposed in the past. It has been blocked by the European parliament in defense of privacy of European citizens. Diplomats have said they will bring it up again and hopefully push it through -- John.
BERMAN: Of course, Ivan, these discussions are happening in the context of what is going on in Europe right now, in France and Belgium and Germany. The Belgians right now are furiously seeking other members of the terror cell they raided last week. There is a ringleader they believe who was on the loose.
What's the latest there?
WATSON: That's right. This is a Belgian man of Moroccan descent. He has been known by a senior Belgian counterterrorism official to CNN as Abdelhamid Abaaoud, who's believe to have links to Syria, to ISIS, and actually hails from here, Brussels, not only the capital of Belgium, but also of the European Union.
Now, the counterterrorism official says he was last tracked in Greece. Over the course of last weekend, another individual arrested by Greek police. The Belgians have requested his extradition. We are not getting updates on where Mr. Abaaoud may be, this suspect at this point.
You recall that the Belgians arrested at least five suspects here in Belgium. There are two more awaiting extradition in France and also this individual in Greece who we're told is an Algerian national. Whether or not the Belgians can get their hands on him depends on what his legal defense will be. If he tries to resist extradition, it could take weeks for the Belgians to get him from Greece back here to Belgium -- John.
BERMAN: All right. Interesting, Ivan Watson for us in Brussels, following the developments there -- thank you so much.
New this morning, protests turning violent and deadly. Demonstrators in the West African nation of Niger furious at the latest edition of the French magazine "Charlie Hebdo." They took the streets. At least 10 people have died, with nearly four dozen churches were set on fire. Many hotels and bars were also burned to the ground. The government of Niger government has declared three days of mourning for the victims of the violence there.
In Yemen, tenuous ceasefire appears to be holding this morning, after fighting around the presidential palace broke an earlier truce on Monday. The U.S.-backed government in the capital of Sana'a says the fighting is part of an effort by the Shiite Houthi insurgents to grab power. Now, if those rebels succeed, it would be a worrying development for Western officials. A power vacuum in Yemen, it already does benefit al Qaeda in the Arabian Peninsula which has been using Yemen as a base of operations.
Happening today -- of course, tonight is the State of the Union address by the president. He will deliver this facing a new political environment. For the first time, he faces a Congress completely in Republican control, but a resurging economy and a slight bump in the president's poll numbers is bringing a fresh wave of determination from the White House.
CNN's Jim Acosta has a preview of the president's speech -- Jim.
(BEGIN VIDEOTAPE) JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: John, even though the White House has already shared much of what will be in the president's State of the Union Address over the last couple weeks, a senior official told me there are still some surprises in store. The White House says the theme of the speech will be middle class economics and address will be filled with pitches from the president like those tax breaks he is proposing.
Now, those credits, plus the free community college idea Mr. Obama has already talked about, they add up to well over $200 billion. The president would pay for that with new taxes on the rich and fees on big banks that come to more than $300 billion.
We are also learning more about the president's State of the Union message and the White House announced Alan Gross, the American who was freed from a Cuban prison as part of the deal to normalize relations between the countries, he will be in the first lady's box. So, expect the president to defend his policy in Cuba once again.
White House officials say the president is feeling embolden with the economy and the low gas prices and those executive actions on immigration and Cuba that have performed well in the polls. The president's approval ratings are ticking up, and with those numbers, it's no surprise the president will be taking his State of the Union message on the road to red states for events in Idaho and Kansas later on this week -- John.
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BERMAN: All right. Our thanks to Jim.
Of course, do not miss CNN's coverage of the State of the Union here tonight on CNN. One man who will probably watching it on TV is Senator Harry Reid who will not attend the speech. He suffered an accident a few weeks ago exercising.
Senate Republicans are forging ahead with a bill to begin construction of the Keystone oil pipeline. They could begin voting on amendments to the measure by this afternoon. The battle over the $8 billion pipeline, it could drag on into February. The president has already promised to veto this bill.
Let's get an early look at our money right now. CNN's Alison Kosik joins me for that.
ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Good morning.
We are seeing green arrows in global markets so far. Stocks in Europe are slightly higher in the early going after overnight gains in Asia. Futures are still pointing higher here in the U.S., which we saw the markets close Monday because of the Martin Luther King holiday.
We are keeping our eye on oil prices. Oil holding below $50 a barrel. China clocked overnight with this GDP number and that showed that its economic growth continues to slow down. That is part of the reason we are seeing oil prices continue to fall because less demand for oil won't bring down a growing supply. Meantime, Saudi Arabia is considered a key player in oil prices. It seems content to sit it out and let the market dictate supply and demand for now.
Forty-nine deaths have now been linked to the faulty ignition switch by cars made by General Motors. The initial calculation was only 13, and only included people who would be sitting in the front seats of the cars that were involved in the front-end crashes. This new number is reflecting anyone sitting in any seat in any car involved in a crash related to the defect. The change actually comes right ahead of a January 31st deadline to seek compensation for victims. We can imagine the number can grow of the people killed in the kinds of crashes as they sort of expand the criteria for the compensation.
BERMAN: It seems reasonable to that since other people were clearly affected as well. Alison Kosik, thanks so much. Appreciate it.
KOSIK: You got it.
BERMAN: Breaking overnight: a highway overpass collapses in Ohio. The results were deadly. We will tell you what we are learning this morning, next.
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BERMAN: Breaking overnight: a deadly bridge collapse shutting down a stretch of I-75 in Cincinnati, shutting it down indefinitely. The bridge gave out late last night. It is not clear what caused it. The Cincinnati fire department says the body of a construction worker who was killed has just been recovered. A truck driver suffered nonthreatening life injuries.
Louisiana governor and potential 2016 Republican presidential hopeful Bobby Jindal is not backing down from his claim that there are so- called no-go zones for non-Muslims in the United States and the U.K. This is even after FOX News profusely apologized and issued a correction for no-go zone remarks that a commentator made last week.
When pressed by our Max Foster, Governor Jindal was unable to provide examples. He criticized what he called immigrants insistence on non- assimilation in Western countries and claimed the left wants to turn this into an attack on religion. Watch this.
(BEGIN VIDEO CLIP)
GOV. BOBBY JINDAL (R), LOUISIANA: Look, I heard from folks here, there are neighborhoods where women don't feel comfortable going in without veils. That's wrong. We all know there are neighborhoods police are less likely to go into these neighborhoods.
MAX FOSTER, CNN INTERNATIONAL CORRESPONDENT: You need proper facts to back that up. I lived here a long time. I don't know of no-go zones in --
JINDAL: Well, I did say so-called no-go zones. And I think that the radical left absolutely wants to pretend like this problem is not here. (END VIDEO CLIP)
BERMAN: A spokesman for the Muslim Council of Britain says it is very surprised, shocked and disappointed by Governor Jindal's remarks, especially after FOX News apologized.
A formal indictment for Christopher Cornell, a man accused of plotting a terror attack at the United States Capitol could come as early as tomorrow. The 20-year-old Cornell is being held without bond after his arrest last week. He's been on the FBI radar for months. His alleged plot to detonate bombs at a capital was thwarted with the help of an informant.
Jury selection begins today in the trial of James Holmes. He is charged in the 2012 Aurora, Colorado movie theater, massacre that left 12 people dead, 58 wounded. Holmes has pleaded not guilty by reason of insanity. The process of seating a jury, it will be a lengthy one. Prosecutors estimate there are 9,000 prospective jurors in the suburban Denver County.
This morning, a software executive, his wife and their four children unaccounted for after a horrible fire destroyed their waterfront mansion near Annapolis in Maryland. Neighbors have suggested that Donald File and his family were away from home at the time. Firefighters have not been able to search the wreckage. Officials there is no evidence the fire was deliberately set. The cause is under investigation.
A day of protests. Some turned violent on the birthday of Dr. Martin Luther King Jr. Seattle, 64 arrested and a police officer suffer a leg injury as protesters disrupted highway traffic chanting "black lives matter". In San Mateo, California, 68 demonstrators detained by police after snarling traffic for two hours on the Haywood Bridge. And in New York, hundreds of protesters took part in a Dream for Justice March in Harlem, chanting, many of them, "racist cops have to go".
Virginia Governor Terry McAuliffe is hospitalized this morning getting treatment after a horse riding accident last month. McAuliffe was in Africa on vacation with his family when he was thrown from a horse. He broke several ribs. Doctors expected the injury healed on its own, but admitted to the hospital on Monday because of the increase of fluid around his lungs. The procedure to drain the fluid, it was successful. The governor is expected to be released and return to work in the next few days.
Patriots quarterback Tom Brady thinks this next story is a joke, but the team says it will cooperate fully with the NFL investigation with the team intentionally deflating footballs in the NFC championship over the win over the Indiana Colts on Sunday. Under inflated footballs can be easier to catch in lousy weather conditions. So, perhaps Patriots some suggest the Patriots did it on purpose. They could face a fine and possibly lose draft picks if the league determines the weight of the balls were altered. Here's hoping for they were not. Happening right now. New intensified fighting in Ukraine. Russia is accused of moving troops in the region. We are live with the latest next.
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BERMAN: This morning, the battle for eastern Ukraine is entering a new phase. The Ukraine prime minister claims Russia has quote transferred military forces and equipment into his country. The prime minister lists a number of tanks and rocket systems that he says are not sold at local street markets in Donetsk. This follows a recent escalation of the fighting between Ukraine and report troops around Donetsk airport.
Let's go to Moscow right now. Senior international Matthew Chance joins us.
Matthew, what are the Russians saying about this?
MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, they are denying it. They are denying any military hardware has crossed the border from Russia to Ukraine. There had been accusations like this really since the conflict began almost a year ago. And Russia has consistently denied them, along with the accusations of the regular forces fighting alongside the pro-Russian rebels in Eastern Ukraine. There have been allegations in the 24 hours that several hundred Russian soldiers crossed the border to fight along side the pro-Russian rebels. And again, that's been called basically insinuation by the Kremlin.
And so, they are not admitting to any of these allegations that are being put to them by the Ukrainians. What we definitely are seeing, though, John, is an upsurge in fighting in eastern Ukraine. Particularly the airport at Donetsk. It symbolically important because it represents this kind of symbol of modernity and, you know, industrial output in eastern Ukraine. It is strategically important because it has an airstrip and both sides want it. They are fighting to the death to control it, John.
BERMAN: You get the sense both sides think the situation is spiraling out of control. Matthew Chance in Moscow for us -- thanks so much.
Just a few minutes before the hour.
The number of deaths to the faulty GM ignition switches, that number is rising, that as the deadline to file claims is looming. Alison Kosik is bringing us an early start on our money, next.
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BERMAN: What we all need right now, an early start on our money.
Alison Kosik joins us for that.
KOSIK: You got it, John, the Federal Reserve looks like it's going to stay the course. Reportedly, it is set to keep short-term interest rates until later this year, June to be more expensive. Now, they have been near zero since late 2008. Now, the Fed meets next week. No big moves are expected. Once again, at least until June.
Long-term rates could actually wind up going down over worries from investors about weak global growth and falling oil prices.
The death toll linked to the faulty switches by GM is taking an increase now up to 49 deaths. The previously calculation was 13. But that only took into account people who sat on the front seats of cars and those front end crashes. The new numbers reflects anyone in the car involved the crash related to the defect. The change could mean payouts for more people impacted by the issue. There is a January 31st deadline to seek compensation for victims.
The wealthiest 1 percent is expected to own more than anyone else on earth by next year. That's at least according to a just released Oxfam study. It estimates the richest1 percent will have as much wealth as the other 99 percent combined by 2016. That's actually the biggest inequality gap seen in years. The report comes as the president is unveiling proposals posing tax breaks on the wealthy in his State of the Union Address. Sure to be a crowd pleaser for some, not so much others.
BERMAN: Right. Although it probably a non-starter at least politically inside Congress.
KOSIK: Absolutely.
BERMAN: Alison Kosik, thanks so much. I appreciate it.
KOSIK: You got it.
BERMAN: EARLY START continues right now.
