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Mistrial in First Freddie Gray Prosecution; The Race for President: Candidates Target Each Other; California Terror Attack: Investigating the Shooters; U.S. and Russia Look for Common Ground. Aired 4:30-5a ET

Aired December 17, 2015 - 04:30   ET

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

[04:30:01] BORIS SANCHEZ, CNN ANCHOR: Protests erupt in Baltimore. A hung jury for the first police officer to face the trial from the death of Freddie Gray.

CRISTINA ALESCI, CNN ANCHOR: And is Donald trump becoming a nice guy? Why the frontrunner in the race for president says it's time for Republicans to come together.

SANCHEZ: And information on the terror attack in California. Inside the shooter's relationship.

Welcome back to EARLY START. I'm Boris Sanchez.

ALESCI: And I'm Cristina Alesci. It's about half past the hour.

This morning, lawyers for the defense in the prosecution in the Freddie Gray case are in a meeting in a Baltimore courtroom to discuss setting a new trial date. That's after the judge declared a mistrial in the first prosecution of a police officer in connection with Gray's death.

CNN's Miguel Marquez is in Baltimore for us with the very latest.

(BEGIN VIDEOTAPE)

MIGUEL MARQUEZ, CNN NATIONAL CORRESPONDENT: Cristina, Boris, there was an audible gasp in the courtroom when Judge Barry Williams announced that the jury was deadlocked on all four charges against Officer William Porter. I think there was an expectation that he would be found guilty perhaps on some of the lower charges and either a hung jury or not guilty on the upper charges that he was facing.

The family of Freddie Gray is speaking closely to CNN. His mother saying she was upset that the jury wasn't able to come up with a verdict on this go. But the father saying, his stepfather was saying that he thanked the jury for its work and asked the citizens of Baltimore to stay calm.

RICHARD SHIPLEY, FREDDIE GRAY'S STEPFATHER: We are hopeful that Ms. Mosley will retry Officer Porter as soon as possible and that his next jury will reach a verdict. Once again, we ask the public to remain calm and patient because we are confident there will be another trial with a different jury. We are calm. You should be calm.

MARQUEZ: And in large part, that's just what they did, just after the non-verdict was announced. There were a few dozen protesters outside the courthouse here. They marched to city hall and then to police headquarters, very large numbers of police though met them. Those police not in riot gear, but in force, keeping them off the streets from blocking major thoroughfares.

There were a couple of dust-ups along the way. Two were arrested, but in large part, peaceful, boisterous, but not a huge problem for the city to face.

The question now is what next for Officer William Porter? The prosecution has indicated it would like to retry the case, but it is not soon how that will move forward. The judge is going to hold a meeting tomorrow among all the parties to talk about scheduling to see how this moves forward. It's clearly in the days ahead, we are going to see a lot of lawyer strategy and tactics being employed before they move forward. Not with the Porter case, but with the five others that they want to get done here -- Cristina, Boris.

(END VIDEOTAPE)

SANCHEZ: This could certainly spell trouble for the prosecution. Thank you, Miguel.

To politics now, Donald Trump returning to the campaign trail after the Republican debate, and for the most part returning to form. But he showed a touch of what some call humility in an appearance last night on "The Jimmy Kimmel Show".

(BEGIN VIDEO CLIP)

JIMMY KIMMEL, COMEDIA: It seemed like last night, you were making a concerted effort to be nicer to your fellow candidates.

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: It's true.

KIMMEL: You said some nice things about -- you said Jeb Bush is a nice guy. Santorum, good guy. Huckabee, good guy. Ben Carson was a fine man. Ted Cruz, over the weekend, you said he acts like a little bit of a maniac, and then you thought he had a wonderful temperament.

That was intentional? Did you decide you were going to be nicer?

TRUMP: You know what? Really, I would like to see the Republican party come together and I have been a little bit divisive in the sense that I have been hitting people pretty hard.

KIMMEL: A little bit? Yes.

(LAUGHTER)

TRUMP: And ultimately, you know, we have to come together and get this thing done. And I'm having a great time.

(END VIDEO CLIP)

SANCHEZ: Just a touch divisive. Earlier in Mesa, Arizona, at an airport hangar, boasting about his huge poll numbers. Speaking off the cuff, he hopscotched across topics including immigration, the Iran nuclear deal. One of his favorites, the media, and, of course, his rivals for the Republican nomination.

CNN's Jeff Zeleny was there. He has more.

(BEGIN VIDEOTAPE)

JEFF ZELENY, CNN SENIOR WASHINGTON CORRESPONDENT: Boris and Cristina, Donald Trump still riding high after that debate performance earlier this week. He talked about how good of a job he did. He bragged to his supporters, no surprise perhaps.

But as he rallied his supporters in Arizona, he still seemed to be focused on Jeb Bush, the former Florida governor, who appeared to get under his skin at the debate. He spent a bit of time during his campaign rally talking about Governor Bush. Take a listen.

TRUMP: Last night, so I had Jeb come at me. You know, low energy. Now, I'm standing there and all of a sudden, I hear Donald Trump -- just like.

He said it just the way his pollster told him to say it. And then I hit back very, very hard, but, look, we need strong people.

[04:35:05] We need sharp people.

ZELENY: Now, when Donald Trump says "we need strong people", he is talking about him. His key selling point is that he is the strongest Republican candidate in this field. He is going to be the one who's going to protect you, protect America.

Well, that conversation is still going to be going on into the weekend here as candidates do the final round of campaigning before the holidays. Donald Trump is heading to Iowa, trying to get back in the game there a little bit. Ted Cruz has been gaining ground on him, even overtaking him in Iowa. But Donald Trump is still playing the role of the frontrunner. Now, with just less than six weeks to go before the voting begins, he remains on top unscathed for that debate and it's everyone against him -- Boris and Cristina.

(END VIDEOTAPE)

ALESCI: All right. The other big debate rivalry between Marco Rubio and Ted Cruz heating up on the campaign trail today. Rubio now on a swing through Iowa. In the meantime, Ted Cruz today launching a week long multistate swing with rallies today in Nevada and Minnesota, with Cruz's profile rising on the right wing of the GOP. He is now coming in second in many polls.

That means he is dodging more arrows from candidates behind him in the pack. Many of them aimed by Rubio.

CNN's Sunlen Serfaty zeroing in on that rivalry on the trail in L.A. with Cruz.

(BEGIN VIDEOTAPE)

SUNLEN SERFATY, CNN NATIONAL CORRESPONDENT: Good morning, Cristina and Boris.

Well, this new clash, this new front that is opened up between Marco Rubio and Ted Cruz has been spilled out from the debate stage now to the campaign trail.

I asked Senator Cruz about his laser focus on Marco Rubio, the battle that has been brewing for some time. If that is an indication he is a little nervous about Rubio's rise. He says, no, I'm not nervous. Rubio's nervous.

Here's what he said in Los Angeles.

SEN. TED CRUZ (R-TX), PRESIDENTIAL CANDIDATE: I think Senator Rubio's campaign understands that if conservatives continue to unite, they don't have a path to victory. So, their only hope is to try to launch false attacks and, unfortunately, that's something they have been doing more and more.

SERFATY: Now, trying to create a little momentum after the debate, Ted Cruz will kickoff today his 12-city 12-state week long barnstorm tour. Now, he will not be in the earlier states of Iowa or New Hampshire. He will hit all Super Tuesday states. Those states vote in March, so clearly trying to set the tone, trying to invest in a longer campaign ahead -- Cristina and Boris.

(END VIDEOTAPE)

SANCHEZ: No love lost between Rubio and Cruz. Thank you, Sunlen.

Terrorism and its most recent victims on President Obama's schedule for the rest of the week. The president will visit the National Counterterrorism Center in suburban Virginia for an annual pre-holiday briefing and then he travels to San Bernardino, California, where he'll meet privately tomorrow with the grieving family members from the December 2nd shooting.

ALESCI: And the nation's new terrorism advisory system has been activated for the first time. The public warned about self radicalized actors who could attack without notice. This remains in effect for six months or until events warrant a change. Homeland Secretary Jeh Johnson says he's especially concerned about another attack like San Bernardino or the one in Paris, although the department is aware of no specific threat.

SANCHEZ: Breaking overnight: Defense Secretary Ash Carter caught using a personal e-mail account to conduct official Pentagon business during his first few months on the job. That is according to "The New York Times." The White House questioned Carter's e-mail practices.

In a written statement released yesterday, a spokesperson said the defense secretary, quote, "made a mistake and has stopped using the account." "The New York Times" says it's not clear when he stopped using that account.

Meantime, lawmakers begin voting on an $1.1 trillion spending plan, along with a $629 billion tax cut package being pushed by Republicans. The Democrats are getting their way on the spending, largely free of the policy riders that Republicans wanted, blocking President Obama on immigration and global warming and gun control. In exchange, Republicans gets a tax credit favored by big corporations, as well as a two-year delay on Obamacare taxes that are scheduled to kick in.

ALESCI: All right, Boris.

So, who benefits from the big tax deal? Well, parents, students, low income families and if the plan passes, first, the child tax credit helps offset the cost of raising children. Parents can be refunded 15 percent of earned income above $3,000. This deal makes that low threshold permanent. It wasn't before.

Next, a more generous tuition tax credit, the American opportunities tax credit lets filers claim $2,500 a year. And also, higher refunds for lower income working families. This deal would make it more generous provision designed to reward work permit.

Now, a quick check of the markets: European and Asian shares soaring, U.S. stock futures up 2.

[04:40:02] This is all after the Federal Reserve raising interest for the first time in a decade.

SANCHEZ: Janet Yellen probably happy to see that.

ALESCI: Very, very happy. We will see what happens from here, though. That's the big question.

SANCHEZ: All right. Were the San Bernardino shooters lone wolves or did they have direct ties to ISIS? What the FBI is revealing, next.

(COMMERCIAL BREAK)

SANCHEZ: We have new details about the radicalization of the San Bernardino shooters. The FBI says Tashfeen Malik and Syed Farook communicated with each other online about their commitment to jihad back in 2013. That's before they ever physically met. But the FBI director says there were no warning signs missed.

We get more from CNN's Paul Vercammen in San Bernardino.

(BEGIN VIDEOTAPE)

PAUL VERCAMMEN, CNN CORRESPONDENT: FBI Director James Comey said years before the attack, Tashfeen Malik and Syed Farook were showing signs of commitment both jihad and martyrdom, but their messages were direct and private. And Comey in his talk said many times that it was difficult to see the threat of ISIS because of encryption or these hidden messages.

[04:45:00] He also said that there were no signs, no indications, no direct links between the San Bernardino couple and overseas terrorist organizations.

JAMES COMEY, FBI DIRECTOR: We still see in San Bernardino, no indication of direct contact with foreign terrorist organization and obviously that would include any direction from foreign terrorist organization. We still have not seen evidence, although we constantly look for it and are still working on it, that they are part of an organized cell of some sort, or that there were other parts to this plan.

VERCAMMEN: Comey added that there were no signs, no indications that the San Bernardino couple tripped any wires, came across any of the FBI's screens. And he left everyone in the United States with a thought. He said, if you come across something, tell us. Don't let these savages get what they want -- Boris, Cristina.

(END VIDEOTAPE)

ALESCI: Well, a Massachusetts teenager found guilty of raping and murdering his high school math teacher. A jury of eight men and four women took nine hours to convict 16-year-old Philip Chism. Defense lawyers argued that Chism was in the throes of mental illness when he strangled and stabbed 24-year-old Colleen Ritzer in a school bathroom before carting her body into the woods in a recycling bin. Chism will be sentenced to life in prison with a possibility of parole after 15 years.

SANCHEZ: Chicago police officer Jason Van Dyke has been formally indicted in the fatal shooting of 17-year-old Laquan McDonald. The grand jury returning an indictment on six murder charges and a single count of official misconduct. Van Dyke is free on bond, he's due back in court tomorrow.

Later today, Chicago Mayor Rahm Emanuel meets with the Justice Department officials who are launching a civil rights investigation of the city's police department.

ALESCI: The Obama administration calling on the Supreme Court to stay out of the skirmish over Colorado's marijuana law. Colorado has asked the high court to throw out a lawsuit filed by neighboring Oklahoma and Nebraska. The suit claims legal pot from the Rocky Mountain state is violating federal interstate commerce laws by trickling across the other state's borders. The administration says an opinion by the justices would go beyond the court's jurisdiction.

SANCHEZ: Well, some of the weather in the Rocky Mountain State not really making the way to the East Coast. You should keep your winter coats and your t-shirts handy. We have some swings on the forecast.

Let's get to meteorologist Pedram Javaheri.

PEDRAM JAVAHERI, AMS METEOROLOGIST: Cristina and Boris, good morning. I must keep those handy. The trend is going to be a dramatic shift back to where we have been in recent days. You notice the mild temperatures still in place this morning up in the lower 50s around New York, Virginia Beach, sitting in the lower 60s. But that's what we are looking toward with the hint of winter in the next couple of days, and the 20s and 30s locked in place.

But here we go, the temperature trends easily show what happens here Thursday into Friday, really locks in place on Saturday as well. High temperatures struggle to climb out of the 40s around New York City, but again, short lived. We think this all really revert back to where we have been by Sunday and to Monday. And you notice, the trend again in New York, dropping it off into the low 40s, which may feel cold on Saturday for a 42. That is exactly where you should be for this time of year. And the highs today, again, making it to the upper 50s here.

Jackson, Mississippi, at 60 degrees. I just love comparing this when you see a temperature trend in New York City in late December, comparable to Jackson, Mississippi, incredible warmth taking place. And that is really set to return for Christmas week. You take a look at next Wednesday and to next Thursday for Christmas Eve, temperatures as much as 25 degrees above normal.

You put this sort of pattern, guys, into the United States in July and August. We are talking about widespread 90s, even some 100s possible, incredible to see the warmth here and we know we have set nearly 2,000 record high temperatures in the month of December with nearly 3,000 record warm overnight low temperatures as well. And it looks like, it's sticking around -- guys.

ALESCI: All right. My big down jacket is still happily in the closet. It is not coming out for a while.

SANCHEZ: Two thousand new highs. Wow.

ALESCI: It's crazy.

All right. Well, big oil is set to get a big win in Congress. Why the U.S. could start exporting oil for the first time in 40 years, next.

(COMMERCIAL BREAK)

ALESCI: All right. The United States and Russia joining forces to hit ISIS where it hurts the most, in the bank account. Later today, the two super powers will jointly pressure the U.N. to enforce stricter measures cutting off the terror group's funding. And on Friday, the U.S. and Russia we'll see common ground on the future of Syria and its embattled President Bashar al Assad.

Let's bring in CNN's Nic Robertson. He is tracking the latest developments from London.

Just how is the U.S. going to work with Russia to potentially shutdown ISIS funding?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, they hope to get a stronger agreement with the United Nations. Why go to the United Nations? Because the United Nations can really put pressure directly by raising whatever agreement it makes on tackling ISIS' funding and tackling ISIS. It can put a chapter 7 line in the language, if you will. What that allows the U.N. to do is then sanction countries that don't

cut down on ISIS' terror funding, cut down on the way it is making its money from oil, cut down on stopping fighters getting into Syria, for example.

This is more wide-ranging than Syria. This is tackling ISIS in Syria and Yemen and Libya, wherever it is growing. The United States and Russia agreed to do this together at the U.N. It makes it more powerful.

The U.S. secretary treasury will address the United Nations Security Council. So, going right to the top chamber to U.N. that try to get this additional pressure. The idea is not just on the funding as well. It is cutting off, getting fighters, it is sharing intelligence, closing borders.

So, this potentially can be a powerful tool that will be used against ISIS in the future. This is about the economic part rather than the sort of containing ISIS rather than military part. That will come later.

ALESCI: All right, Nic. Well, right now, Putin is addressing the Russian public on foreign policy. What has he said about the U.S.?

[04:55:02] ROBERTSON: Well, he was just asked the question about the meeting with Secretary Kerry in Moscow just earlier this week, just in the last two days. He said that -- and this also addresses what is happening at the U.N. today, but will also address what's happening. Sergei Lavrov, the Russian foreign minister coming to the United States on Friday to tackle the Syria issue. And he said Russia supports the United States and President Barack Obama's initiative to bring peace to Syria. And he's laid out what we heard laid out before.

But I think part of what is important here, you have Vladimir Putin, who is very used to getting up on the stage and bad mouthing, if you will, the United States and actions in the Middle East. Here he's saying that he supports President Obama, supports the United States, supports Secretary Kerry. The agenda he is laying out for Syria is the draft of constitution, an agree mechanism for elections and then have those elections and then have all of the parties address the grievances.

He was asked the tough question of what about President Bashar al Assad? He gave it the answer he has given in the past, which is it's up to the Syrian people to decide on the future of the leadership. But, of course, how long until those elections, how long Assad has as a leeway, these are going to be the key questions that will be come up between Secretary Kerry and Foreign Minister Lavrov in the United States on Friday.

So, we are not hearing a breakthrough, but we're hearing, if you will, uncharacteristic support for the United States. And just add a line to that, previous to that question, Putin was asked about Turkey shooting down a Russian jet. He was given an opportunity there by one of the Turkish journalists to blame the United States in some way for this.

He stepped around that. He didn't fall into the sort of trap, if you will, the language he used in the past, Cristina.

ALESCI: Wow, holding back on the U.S. Thank you for your reporting, Nic.

SANCHEZ: The U.S. and Russia, of course, focusing on a long term political solution of the grinding civil war in Syria. Talks continue tomorrow here in New York as Russia's military keeps up air strikes on targets across Syria.

Senior international correspondent Matthew Chance is embedded with the Russian military at a Syrian air base with more -- Matthew.

(BEGIN VIDEOTAPE)

MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, we've gained this extremely rare access to Russia's huge air base here in Syria. It means we are able to see close up just how hard Russia is pressing its air war in this country.

To give you a sense of the atmosphere here, it is tense, it's a real military operation. We are under tight security.

The air is thick with the smell of jet fuel. The whole base really reverberates to the roar of jets on their way to bombing missions and the phase is very quick.

Just as we've been on the ground, Russian defense officials say they've carried out dozens of strikes, killing more than 300 militants, including ISIS fighting the Syrian government. We've also got a sense that this is a fight Russia believe they're winning. In the past two years, one Russian military official explained to me earlier, the area controlled by rebels in Syria, including ISIS, has expanded massively. But in just three months since Russia has been waging its air war, rebel-held territory has decreased, he said.

So, the Russians believe they are getting the upper hand, and there's no sign that the level of intensity of their airstrikes will decrease, at least not that we've seen.

Matthew Chance, CNN, at the Latakia air base in western Syria.

(END VIDEOTAPE)

ALESCI: Let's get an early start on your money. It is a great morning for stocks around the globe. European and Asian shares are soaring this morning and the U.S. stock futures are pointing up, too. This is after the Federal Reserve hiked interest rates for the first time in a decade.

Now, the increase is small, but significance is huge. It is a vote of confidence in the American economy. And investors cheered the news yesterday. The Dow closed up 224 points. Now, America could soon export oil for the first time in 40 years. It's part of the $1.1 trillion spending plan in Congress. The oil export ban was signed back in 1975 in response to an oil scarcity and soaring prices. But now, the world has too much oil.

So, keeping it at home no longer makes sense. Crude oil prices are $35 a barrel this morning. The dramatic plunge has devastated the energy sector and brought gas prices close to $2 a gallon nationwide, which is great to the consumer.

SANCHEZ: Yes, the U.S. is not shy about taking on OPEC, huh?

ALESCI: Yes, exactly.

SANCHEZ: EARLY START continues right now.

(MUSIC)

SANCHEZ: Baltimore on edge this morning. Protesters are in the streets after a mistrial for one of the police officers charged in Freddie Gray's death.

ALESCI: Republicans running for president are back on the campaign trail.