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Early Start with John Berman and Zoraida Sambolin

Huge Hack Steals Federal Workers' Information; Boston Attack Encouraged by ISIS; Warriors Take Game One of NBA Finals. Aired 5- 5:30a ET

Aired June 05, 2015 - 05:00   ET

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

[05:00:00] CHRISTINE ROMANS, CNN ANCHOR: Encouraged by ISIS, the man Boston police say planned to behead a well-known conservative activist communicated online by the terror group. New details emerge why police could no longer wait to take action.

Good morning. Welcome to EARLY START. Nice to see you all this morning. I'm Christine Romans.

JOHN BERMAN, CNN ANCHOR: It is great to see you. I'm John Berman. It is Friday, June 5th. All over the country.

Developing overnight, what could be the biggest government hack ever and it has major international complication complications. Federal officials say nearly every U.S. agency was hit, affecting up to 4 million current and former employees of the executive branch. Personal information stolen, including Social Security numbers.

The most important detail of all may be the source of the hack. Investigators believe it originated within the Chinese government.

CNN White House correspondent Michelle Kosinski has the latest.

(BEGIN VIDEOTAPE)

MICHELLE KOSINSKI, CNN WHITE HOUSE CORRESPONDENT: Hi, John and Christine. Right, we are hearing from the Office of Personnel Management that this enormous hack has happened, possibly the biggest government hack we have seen, affecting up to 4 million former and current government employees who may have had their personal information accessed.

This office of personnel is kind of the HR department of the federal government. They were actually trying to update their cybersecurity when they realized in April that it looked like an incursion happened. Now, we know more detail about this. And those employees are being contacted.

There's reports out there that this could have come from China. For now, the White House is not commenting on that. But the federal government has been plagued by the attacks, especially in the past year. I mean, we heard about the White House and State Department computers being accessed. Just in the last week, some 100,000 Americans had their personal tax information accessed within the IRS. That hack supposedly originated from Russia, at least that's what U.S. officials believe.

But both China and Russia have been suspected in numerous hacks in the past. In some cases, it's even thought that the governments were behind them. As for China, U.S. officials believe there's even an element within the Chinese army that is planning and launching cyber attacks.

It is unclear if that was the case here. But we expect to hear more information about this in coming days -- John and Christine.

(END VIDEOTAPE)

ROMANS: All right. Michelle Kosinski at the White House -- thanks, Michelle.

There's another ominous detail about the suspected Chinese involvement in the hack. Intelligence officials telling CNN investigators believe hackers working for the Chinese military are essentially compiling an immense database of Americans information. It is not clear what exactly the purpose of that database would be.

The Chinese government is rejecting the claims it is behind the cyber attacks. In a statement, the Chinese embassy says, quote, "Cyber attacks across countries are hard to track and therefore, the source of attacks is difficult to identify. Jumping to conclusions and hypothetical accusations is not responsible and counterproductive."

We can say that there has been I would say a worsening of relationship between the United States and China over the past few months, over a lot of different things, including the disputed islands in the South China Sea, U.S. military making surveillance flights over. The Chinese and U.S., I would say, in bristly relationship at the moment.

BERMAN: It's interesting that this battle now takes place in the air, on the sea, and online as well.

ROMANS: Yes, it really.

All right. There are new details this morning about the Boston area suspects who authorities say were initially plotting to behead conservative activist Pamela Geller before turning their attention to police. Officials say one of the men involved in the plot was encouraged to launch an attack by people overseas connected to ISIS.

We are also learning more about why police moved in when they did to question this man, Usaama Rahim. Was that approach that ended with officers shooting Rahim dead?

Officials knew from wire taps that Rahim called his father earlier, had called his father to say his good-byes, and that triggered alarm among the investigators who were following him.

From Boston, CNN's Pamela Brown has the latest.

(BEGIN VIDEOTAPE)

PAMELA BROWN, CNN JUSTICE CORRESPONDENT: Well, John and Christine, we are learning more about the role ISIS played with the alleged Boston terror plots -- the plot to behead Pamela Geller in New York, according to authorities, and a separate plot to target law enforcement here in Massachusetts.

According to U.S. officials I have been speaking with, one of the three men involved with this conspiracy allegedly had been in contact with known ISIS terrorists overseas. That contact happened through social media we're told and that the men believed that they were acting on behalf of ISIS.

However, the family of one of the men, Usaama Rahim, who is shot and killed on Tuesday, said it's news to them that he had to do with ISIS.

Here's what the attorney had to say.

RON SULLIVAN, RAHIM FAMILY ATTORNEY: The family, of course, is aware of various media reports that suggest that Usaama Rahim had been radicalized by ISIL. That comes as an absolute surprise to the family.

They had not perceived any conduct or change in demeanor.

BROWN: And we're learning from the Boston police commissioner, William Evans, that Rahim was put under 24/7 surveillance around 10 days ago. That's when he apparently bought those three knives from Amazon.com, according to the commissioner.

[05:05:02] Authorities were growing increasingly concerned that he was becoming operational.

And apparently on Tuesday, there was a heightened concern because they believed he may be boarding a bus with one of those knives and launch an attack. That is why, we're told, those five officials approached him in the parking lot -- John and Christine.

(END VIDEOTAPE)

BERMAN: Our thanks to Pamela Brown in Boston.

Now, Usaama Rahim's brother, Ibrahim, is backing off his initial claim that officers shot his brother in the back. After police showed the security video of the shooting to Rahim's family. After seeing that, Ibrahim admitted his initial social media posts were wrong.

But he did tell CNN's Erin Burnett that the family is still not convinced Usaama had links to ISIS.

(BEGIN VIDEO CLIP)

IBRAHIM RAHIM, BROTHER OF BOSTON TERROR SUSPECT: Of course we dispute it. We don't know that Usaama, that to be a fact about Usaama, as his relatives at all. We are a Muslim-American community.

And, you know, I think really you have to start speaking more about the Muslims of America and not the Muslims in Syria who are doing the bad things who don't like America. Speak about the Muslims who actually live here who love America. That's me. That's Usaama. That's the Rahim family.

(END VIDEO CLIP)

ROMANS: Of course, stories of ISIS success recruiting fighters and lone wolves on social media are widespread. Now one story of a social media disaster for ISIS. A top air force general has revealed that ISIS propaganda revealed the location of the Islamic State headquarters building, and so, coalition bombers blew it up hours later.

Senior international correspondent Nick Paton Walsh joins us live from Baghdad with this remarkable story.

Good morning, Nick.

NICK PATON WALSH, CNN SENIOR INTERNATIONAL CORRESPONDENT: The U.S. here, I think, are desperate for good news in Iraq. They have chosen to highlight this instance it appears where air force commander stated as a moron who took a picture of himself outside an ISIS headquarters. We don't know if they worked out if that was a headquarters. Sometimes you can forget to turn off the geotagging on your smartphone and topography.

Either way, 22 hours later, we are told by "The Air Force Times" that three JDAM hit this building. That's $60,000 worth of ammunitions, not taken into account how much it would cost to put the aircraft in surveillance there in the first place.

An expensive operation but one in which they show how they say the stupidity of ISIS leaves them to be targeted. Putting that to one side, it comes after a bad week for the coalition. The State Department officials saying 10,000 ISIS fighters have been taken off the battle field. And it turns out as high as 13,000, according to the tally that the air force stated. That figure itself is stating is this a tally of success? Because those fighters will be replaced very fast by new recruits and really should the U.S. be doing body counts anyway what led to in Vietnam.

But also, signs of issues around Ramadi where security forces were gathering for a counter attack. Is switched off the dam depriving the area of vitally need water. Many were hoping we would see success in the early stages of the campaign to get Anbar back from ISIS. Instead, we are seeing what could be the opposite -- Christine.

ROMANS: All right. Nick Paton Walsh with the whole picture for us this morning from Baghdad. Thanks, Nick.

BERMAN: New this morning, the death toll is climbing following Monday's cruise ship disaster on the Yangtze River in China. The "Eastern Star" has been turned upright and all hope gone of finding anyone alive.

What was a rescue operation is now completely focused on recovery. Chinese officials say a total of 97 bodies have been found so far, just 14 people rescued. The last of them on Tuesday. More than 300 people remain missing in what could be the worse Chinese shipping disaster in more than 60 years.

ROMANS: We are hearing from Edward Snowden for the first time since this fight -- this political fight in the U.S. over the Patriot Act.

In a piece for "The New York Times", Snowden speaks in favor of the changes to the Patriot Act which stripped the NSA's authority to collect data on American phone calls. Here's what he says, he says, "We are witnessing the emergence of a post-terror generation, one that rejects the world view defined by a singular tragedy. For the first time since the attacks in September 11th, 2001, we see the outline of a politics that turns away from reaction and fear in favor of resilience and reason."

This as we learn the White House secretly expanded the NSA's warrantless surveillance of Americans Internet traffic in an effort to combat computer hacking. That is according to "The New York Times".

BERMAN: The hydraulic drilling process fracking poses no threat to drinking water supplies. That assessment comes from the Environmental Protection Agency. Its new report found no widespread systematic impact on drinking water. The findings are a blow to environmentalists. The EPA report did cite potentially vulnerabilities, including several instances where chemicals used in the drilling sites found their way into the water supply.

[05:10:03] ROMANS: This is not the end. I predict this is not the end of the confrontation and arguments over fracking on drinking water.

A green light for the little pink pill. An FDA advisory panel voted to recommend approval of Flibanserin, known as female Viagra. The drug is designed to treat hypoactive sexual disorder. This is a third time it was reviewed by the FDA, which in the past has rejected it. They said it had too many side effects. It now awaits official FDA approval.

All right. Time for an early start on your money.

U.S. stock futures barely moving after an ugly day yesterday. The Dow dropped 170 points thanks in part to more problems to Greece. Yes, that drama continues. Greece has postponed a loan payment due to the IMF today.

Greece needs cash to avoid default and a possible exit from the eurozone. A lot to consider this morning with the May jobs report. That is due out at 8:30 a.m. Eastern Time.

Plus, OPEC. We're going to hear from OPEC today. The cartel expected to keep output the same. To hold on to market share and keep squeezing U.S. producers.

There is still a global supply. Oil prices dipping a bit this morning, about $57 a barrel. There's great perspective. Up from the lows earlier this year.

Look at that. A year ago, oil prices were above $100. You are seeing the drill count. That's something called rig count, it's starting to climb a bit. Some of the less efficient drills or rigs in the United States, shutting them down because oil is so low.

BERMAN: I bet they find a way to make money.

ROMANS: Yes.

BERMAN: Some harrowing video in to CNN this morning. A storm chaser found himself in the line of fire. The twister bearing down on him in Colorado. He thought he followed a path to get out of harm's way, but he was wrong. His truck spun 90 degrees by the force of the winds. Fortunately, he was not hurt and no other injuries were reported.

More severe weather ahead for the Central Plains.

Let's bring in Derek Van Dam for the look at the weather.

DEREK VAN DAM, AMS METEOROLOGIST: Great Friday morning, John and Christine.

We have the possibility of another round of severe weather today across the Plains and into the Rockies, stretching eastern towards the Midwest as well. We also have a very warm weather trend in store for the weekend across much of Texas. Cool along the East Coast, including the Mid-Atlantic States. But there is a warming trend in store for you as well. More on that in just one second.

Here's the chance of severe weather, large hail and damaging winds that includes the northeastern sections of Colorado, just outside of the Denver region. We could pick up pockets of 1 to 3 inches of rain in the slow moving thunderstorms across portions of Nebraska and into South Dakota that stretches east toward Missouri and Iowa.

Here is the set up. Low pressure system east of the Rockies funneling in the thunderstorm activity as it makes its way towards the mountain regions. I mentioned hot weather across Texas. Look at those daytime highs for Dallas.

Across the East Coast, we see things warming up by Saturday and Sunday into New York City.

Back to you.

BERMAN: Our thanks, Derek, and for wearing that combination.

It is the mystery causing tension in northern Colorado, tension and fear. Three people gunned down in the last two months. At least two of the shootings linked. The latest on the investigation. There is fear there could be a serial shooter on the loose. That's next.

(COMMERCIAL BREAK)

[05:16:26] ROMANS: Deepening questions this morning about a rash of unsolved shootings making people in Colorado very uneasy. Latest shooting is a 65-year-old man found fatally shot just blocks from his home in Loveland. A task force led by the FBI trying to determine if a serial shooter is on the loose.

Dan Simon has the latest from Colorado.

(BEGIN VIDEOTAPE)

DAN SIMON, CNN CORRESPONDENT: John and Christine, this street is where the latest victim, 65-year-old William Connole, was shot. He was actually just a few blocks from his house when he was gunned down.

Now, at this point, authorities are not saying there is a firm link to the other shootings, only there is a likeness. At this point, an agency task force is investigating whether or not there is a connection.

As we have been recording, this is the third shooting in this area in the past six weeks. In late April, a 20-year-old woman was shot in her car as she was about to get on the freeway. She was shot through the neck and survived. A month later, a 48-year-old man was shot along a country road. His bike found nearby.

Authorities say those shootings were committed by the same person, both victims shot twice. But they are not revealing anymore similarities in terms of what happened in the shootings. The question, of course, is whether the same person may be responsible for this third shooting.

John and Christine, back to you.

(END VIDEOTAPE)

ROMANS: All right. Dan, thanks for that. Dan Simon.

BERMAN: American Pharoah has the Triple Crown in his sights. Can he end the drought dating back to 1978? Before Christine Romans was born.

Andy Scholes is at the track in Belmont. He has that and highlights of the great game one of the NBA finals. We will see Andy in that electric after the break.

(COMMERCIAL BREAK)

[05:21:40] BERMAN: Game one of the NBA finals, it went no overtime. Steph Curry and the Warriors, they outlasted LeBron James and pretty much, just LeBron James.

ROMANS: Andy Scholes has more in this morning's bleacher report.

Hey, Andy.

ANDY SCHOLES, CNN SPORTS CORRESPONDENT: Hey, good morning, guys.

Yes, you could not ask for more in game one. This one was such a good game, a nail biter. And it was a big one. The team that wins game one of the NBA finals goes on to win the series 70 percent of the time. That is how important this game was.

Now, LeBron, of course, trying to win the city of Cleveland the first championship in more than 50 years. He was great in this game. He scored 44 points. He had a big three to tie the game at 96-96 late in the fourth. It was under 30 seconds to go, Kyrie Irving with a huge block. That gives LeBron a chance could win, but his last second shot no good, as was Iman Shumpert.

We would end up going to overtime in this one. In the extra period, bad news for the Cavs. Irving goes down. He has reinjured his knee.

Golden State would outscore 10-2 in the extra period. They take game one, 108-100. The Cavs lose the game, but possibly Irving for the rest of the series.

(BEGIN VIDEO CLIP)

LEBRON JAMES, CLEVELAND CAVALIERS: It was very tough to see. I see how hard he worked the last eight days, just to get himself to play at this level tonight. Seeing him walk out of the locker room in crutches is a tough blow for our team.

(END VIDEO CLIP)

SCHOLES: Irving is going to have an MRI on his knee later today. And be sure to tune in to all access at the NBA finals with Rachel Nichols. She goes one-on-one with LeBron and Steph Curry, and also going to break down the series with Grant Hill and Steve Smith. That is 2:30 Eastern tomorrow afternoon right here on CNN.

Out here at Belmont, more than 90,000 fans will be on hand, hoping to see some history, hoping to see American Pharoah to be the first horse since 1978. Now, 13 horses had won the first two legs of the Triple Crown, and come here in the Belmont and walk.

There is a reason for all the losses. The track out here is a mile and a half long, the longest distance of the three races. In fact, not one of the eight horses in the field tomorrow have ever won a mile and a half race. It takes a while for the horses to get used to this.

And that's what got California Chrome owner Steve Coburn so upset last year. He thought that the horses shouldn't be able to take the Kentucky Derby and Preakness off and then run fresh in the Belmont. He famously called it the cowards way out.

American Pharoah will be the only horse to compete in all three races. You have to bet about $170 just to one $100. Some still think American Pharoah win this race. I have never seen one in my lifetime.

Christine, you've never seen one in your lifetime.

Berman, you've seen a few --

BERMAN: I have seen three. That is how old I am. Andy, great to see you there. Looking forward to this race. Thanks so much, my friend.

All right. There's an even bigger competition brewing, though. "The CNN Quiz Show" is back. This time, five CNN anchors who have not won celebrity jeopardy and one who has, are taking you back to the 1970s. Here is a preview.

(BEGIN VIDEOTAPE)

[05:25:00] DON LEMON, CNN ANCHOR: So, it's Richard Quest, me, you, Brooke Baldwin, Alisyn Camerota, and who else?

BERMAN: Bill Weir.

BROOKE BALDWIN, CNN ANCHOR: Should we start to smack up now?

RICHARD QUEST, CNN INTERNATIONAL ANCHOR: Bill Weir.

BALDWIN: Oh, Mr. Traveler. Bill Weir knows a lot of stuff.

BERMAN: So, here's a thing about Alisyn -- she won the last quiz show. She was on the winning team.

LEMON: Yes.

BERMAN: You weren't.

LEMON: Saturday in the park --

BERMAN: I'm not going to sing with you.

BILL WEIR: John Berman, since he won "Celebrity Jeopardy", is insufferable.

(LAUGHTER)

ALISYN CAMEROTA, CNN ANCHOR: What do you mean "since he won"?

BERMAN: We're going to win.

ANDERSON COOPER, CNN ANCHOR: John Berman --

BERMAN: Massachusetts.

COOPER: That is correct.

WEIR: The other team is Baldwin and Quest.

COOPER: I'm hoping Richard Quest is going to be wearing a white polyester suit.

QUEST: Staying alive, staying alive --

WEIR: He's a foreigner.

QUEST: Remember, rock started in the '70s in the U.K.

WEIR: She's a kid.

BALDWIN: Oh, I was part of the '70s. Bring it.

QUEST: Bring it on, bring it on.

(END VIDEOTAPE)

ROMANS: Too much fun.

BERMAN: It was Richard Quest. Punk rock started in Britain in the '70s, threatening us with trivia. This was super fun. Do not miss the "CNN Quiz Show: Seventies Edition", Monday night at 9:00 Eastern Time. We will wipe that smile off Anderson Cooper's face.

ROMANS: That man did win "Celebrity Jeopardy" twice.

That is, what, 50 percent more than you.

BERMAN: Fifty -- 100 percent more.

ROMANS: Yes, 100 percent. I'm not so good at math.

BERMAN: Math whiz, business correspondent.

ROMANS: This is being dubbed the biggest breach ever of the computer networks. Millions of employees may have had their personal information hacked. We're going to bring you the very latest on that, the U.S. blaming the Chinese who are not taking the accusations lightly. The latest when we come back.

(COMMERCIAL BREAK)