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Early Start with John Berman and Zoraida Sambolin

Political Battle in Wisconsin; Panama Papers: Denials, Investigation & Outrage; Villanova Wins Title in Buzzer-Beating Finish. Aired 5-5:30a ET

Aired April 05, 2016 - 05:00   ET

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

[05:00:00] JOHN BERMAN, CNN ANCHOR: A last second shot. What did it do? It wins the championship for Villanova in one of the greatest college basketball games ever played. One of the greatest finishes you will ever see. All Roy Williams could do was shake his head.

Congratulations, Villanova.

Good morning, everyone. Welcome to EARLY START. I'm John Berman.

CRISTINA ALESCI, CNN ANCHOR: And I'm Cristina Alesci. It is Tuesday, April 5th. It's 5:00 a.m. in the East. And in just hours, voters in Wisconsin head to the polls. And today could truly be a turning point, a day of reckoning for Donald Trump.

He's trailing Ted Cruz by as much as ten points in the polls there. But overnight, defiant Trump said he will pull off a surprising victory.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: And everybody said that's the end of Trump. It's over for Trump.

You know how many times I have been given the end? Like -- I've given the last rites. How many times? Like ten? Every week, it's the end of Trump.

And they walk in, sir, I don't know what happened, but your poll numbers went through the roof.

(END VIDEO CLIP)

ALESCI: CNN political reporter Sara Murray is with the Trump campaign in Wisconsin. And she has the latest.

(BEGIN VIDEOTAPE)

SARA MURRAY, CNN POLITICS REPORTER: Good morning, John and Cristina.

Donald Trump spent his last hours before the Wisconsin primary barnstorming the state. He held three campaign events yesterday. And for Trump, it was back to basics. Coming after a rocky week, he decided to focus his energies on his GOP opponents. He hit Ted Cruz hard in this stops across the street, and he also went after John Kasich, calling him to step aside and get out of race.

TRUMP: He takes my votes away more than Cruz. I don't like it. I don't think it's right. I don't think it's appropriate. But you know what? If we have to live with him, we still beat him easily, OK, folks? I mean, OK?

MURRAY: Now, he also brought some reinforcements on the campaign trail. Here in Milwaukee, he was joined by his wife Melania Trump.

MELANIA TRUMP, WIFE OF DONALD TRUMP: As you know by now, when you attack him, he will punch back ten times harder, no matter who you are, a man or woman, he treats everyone equal. He's a fighter. And if you elect him to be your president, he will fight for you and for our country.

MURRAY: Back to you, John and Cristina.

(END VIDEOTAPE)

BERMAN: All right. Sara Murray, thanks so much.

Let's break down today, big vote in Wisconsin. What it means for both parties.

We are joined by CNN political analyst Josh Rogin. He is a columnist for "Bloomberg View".

Josh, good morning.

JOSH ROGIN, CNN POLITICAL ANALYST: Good morning.

BERMAN: Today in some ways could be a turning point in this campaign, particularly on the Republican side. Donald Trump, if he loses Wisconsin and loses badly, this could put a serious crimp in his plans to get to 1,237 delegates he would need to win the first ballot.

ROGIN: Right. What we've got here is a crucial Wisconsin primary. And as we look at the sort of rules in different states, Wisconsin has particular ones. What we are looking at here is a hybrid system where there's 42 delegates, 18 of which are automatically given to the frontrunner. So, whoever wins Wisconsin gets a set number of delegates. That's going to really change sort of the balance here and trajectory as everybody goes towards 1,237.

A couple of other oddities about Wisconsin, it's an open primary, right? So, this is a primary where people who are not traditional Republicans can vote. That would seem to benefit Trump. On the other hand, they have a pretty strict voter ID law, which means that new people, especially new Trump voters who may not have a voter ID handy may not be able to vote on Election Day.

So, you can game it out any way you want, according to the polls that came out Monday. Ted Cruz's ten-point lead is actually closing a bit. So, most of the polls have now by five, six or seven points. So, today matters in the get out the vote matters. And all eyes focused on Wisconsin because it is a state where the winner really makes a difference.

ALESCI: Now, Trump has been criticized for being unpresidential. He had a few words to say about that. Take a listen.

(BEGIN VIDEO CLIP)

TRUMP: I could be presidential. If I was presidential, we would only have about 20 percent of you would be here because it would be boring as hell, I will say. Now, let me be unpresidential just for a little while longer. And maybe I'll be a little bit unpresidential as I beat Hillary, because -- ugh.

(END VIDEO CLIP)

ALESCI: Now, does a message like that really play well with Wisconsin voters?

ROGIN: It's not clear that it does. I mean, this is a state where Trump has been at war in recent days with Governor Scott Walker who has a high approval rating and setting up to run for another term in 2018. So, all of the indications show Trump's unpresidential style is actually hurting him. At the same time, he really has no other option. He can't go back now and I think that's what you're seeing here.

At the same time, the fact that he brought out his wife, and all political professionals know that is something you can only do once.

[05:05:01] That's sort of a last-ditch effort when you bring out your wife, someone who can't be attacked, someone who is meant to counter the negative press that the Trump campaign has had when dealing with women, that's something that is actually very presidential. So, that is something the Trump campaign decided to do now because they thought it was important. It's a car that they add up their sleeve that they now played. So, at the same time, Trump is promising not to be presidential. He is making some moves that indicate he is sensitive to the criticism.

BERMAN: The race on the Republican side, Ted Cruz and Donald Trump. Yet both candidates, Cruz and Trump, spending a lot of time talking about John Kasich. They both want Kasich to drop out of the race and now Kasich last night on "AC360" with Anderson, he is responding, particularly to Ted Cruz. He doesn't like the new ads that the Cruz campaign, the new mailers that the Cruz campaign put out directly going after him.

Listen to what Kasich told Anderson.

(BEGIN VIDEO CLIP)

GOV. JOHN KASICH (R-OH), PRESIDENTIAL CANDIDATE: He is senator smear. And people say, well, you seem to be pointing things out. Yes, I've said all along, you know, I'm not a pin cushion or marshmallow. He smeared Ben Carson. He smeared Marco Rubio. He smeared Donald Trump and now he's smearing. And "The Wall Street Journal" pointed out that he smeared me in an editorial last week. This guy plays that kind of politics. It's down. It's dirty. It's

negative and it's not uplifting.

(END VIDEO CLIP)

BERMAN: Everyone wants Kasich out except for Kasich.

Josh, what's your sense of who he hurts the most right now?

ROGIN: Right. Well, according to the political professionals who are working inside these campaigns, Kasich remaining in the race actually hurts Trump more than Cruz. The logic here is simple, right? There is no path despite what Cruz says for him to get to 1,237, that magic number that allows him to win the nomination outright.

So, the theory amongst the "never Trump" people is, that the longer Kasich stays in, the more delegates you peel off Donald Trump. The people who are not affiliated with any campaign have been screaming at the Cruz campaign to stop training their fire on Kasich. They are saying that doesn't help anyone except for Donald Trump, because Kasich is needed, especially in some of the later states, the Mid- Atlantic States to take delegates, one, two, three, four away from Donald Trump.

Now, the Cruz people are not listening to that. They think their interest is winning the states outright because of the sort of mix of proportional delegates that depending on which state. So, there is a war in the anti-Trump movement with the Cruz people who are really going after Kasich for the first time in a meaningful way and the never Trump people who are telling Cruz people very clearly, layoff Kasich and focus your fire on Trump, because that's the only way to stop Trump and get to that contested convention.

ALESCI: Now, on the Democratic side, Josh, Sanders seems to be really gaining a lot of confidence. Take a listen to what he just said.

(BEGIN VIDEO CLIP)

SEN. BERNIE SANDERS (I-VT), PRESIDENTIAL CANDIDATE: If we win in New York state, between you and me, I don't want to get Hillary Clinton more nervous than she already is. She is already under a lot of pressure.

(END VIDEO CLIP)

ALESCI: You know, the delegate math would lead you to believe that he doesn't really stand a chance here, but is he really making the Clinton camp nervous?

ROGIN: Sure. The Clinton camp is definitely nervous and we've seen this in a number of things that they've said and done. I mean, the bottom line is they are way up in New York. All the polls show that, and they want to minimize chances that something big might happen to change that. The biggest way that could happen is the debate that they are currently scheduling now. So, you know, Bernie Sanders might as well go ahead and press on to New York. He's really got no other choice. He's got no reason not to. If everything stays the same, the Clinton camp should be fine.

But this is politics, and especially when there's a debate coming up, nobody knows who could happen. And what they're trying to do is fend off some sort of big change that could really throw support in Sanders' direction and sacrifice what seems to be otherwise a pretty clear path to the nomination.

BERMAN: Fine doesn't mean it's not particularly painful, which I think is more painful right now that the Clinton wants.

Josh Rogin, great to have you with us. We'll talk to you in a little bit.

ROGIN: Likewise.

ALESCI: All right. Well, the economy and jobs will likely be a top issue for primary voters in Wisconsin, something we have seen in almost every primary state. Wisconsin's unemployment rate is 4.6 percent below the national average of 5 percent. The median home price in February was about $146,000. The median income is almost $53,000, very close to the national average.

Now, a Pew Research study found Wisconsin has the fastest shrinking middle class since the year 2000. Some of that due to the drop in manufacturing jobs. But the pride of Wisconsin's economy is dairy and cheese production. The state provides a quarter of the nation's cheese, more than any other state. It's the second largest dairy producer behind California. Have you tried Wisconsin's cheddar?

[05:10:00] BERMAN: I'm a big fan of cheese. I'm for Vermont cheddar, which I'm a little bit offended that's not on the list right there. But I guess quantity doesn't equal quality.

ALESCI: We'll look into that.

BERMAN: Key leaders linked to secret offshore bank accounts in a bombshell document leak. Investigators launched. Protests erupting all around the world. Look at that. That's peaceful Iceland right there. More, next.

(COMMERCIAL BREAK)

ALESCI: New fallout this morning from the explosive "Panama Papers". There are more than 11 million linked documents from the Panamanian law firm exposing how some of the world's most powerful people allegedly used offshore bank accounts to dodge taxes and hide their wealth.

The prime minister of Iceland is one of the 12 current or former political leaders implicated in the document so far. And now, he's facing pressure to resign.

Let's get the very latest from Nina dos Santos. She joins us live fro London.

Lots of political leaders scrambling today and yesterday, Nina.

NINA DOS SANTOS, CNN CORRESPONDENT: Twelve political leaders, but also around 128 other politicians as well, and that's the key bit, because the allegations here center that are being made center whether political aides, family members and friends could have fronted money for the individuals.

And that is claim that is being laid at the door of Vladimir Putin, the president of Russia here. It's being claim that a close childhood friend of his called Sergei Roldugin fronted a company sought about $2 billion funneled through offshore accounts. It is not just netted him, but other close friends of Vladimir Putin, including his judo master and also the wife of his spokesman Dmitry Peskov, who it seemed served as a director on one of the boards of the offshore companies in question.

But there are other names here as well. You mentioned the prime minister of Iceland. Those pictures you were showing us before the break, Cristina, they really show something interesting, because Iceland is not a big country. It's only about 330,000 people who live across the entire island.

As you can see there are plenty of people who have taken to the streets of the capital city Reykjavik to demand that man's resignation. After the map the merge, he was on board of the company that his wife held offshore in Panama to hide stakes, allegedly, in banks that she owned and those stakes were not declared to the Icelandic parliament by him.

I want to point out that Xi Jinping, the president of China, who has done so much to try to eradicate corruption, netting some really figures inside the Chinese politburo the last few years, well, he's also been linked to the offshore shell companies. Apparently, a family member of his was a director of one of them. He is implicated along with eight other serving members of the politburo.

Where I am in the U.K., David Cameron has also find himself under fire because it seems as though his late father, Ian Cameron, was a director on the company that was based in the Bahamas which held board meetings in her directors in the Bahamas a number of years ago. And what I want to point out, what is interesting about David Cameron's late father's case is that that structure apparently was completely legal at the time when it was set up.

I might point out that these files are 40 years of activity. In some cases, the setting up of the offshore companies wasn't particularly illegal at the time. In fact, to own an offshore company is not illegal. It is what you do with the money inside it that then can impinge upon international laws.

ALESCI: Thanks, Nina, for that excellent reporting. I'm sure you're going to be busy for a while going through those documents.

BERMAN: All right. The U.S. Supreme Court rejected a challenge by conservatives in Texas in a closely watched voting rights case. The justices voted to uphold the method used to draw legislative districts in all 50 states, which involve counting every resident and not just eligible voters. The decision is viewed as a victory for the Obama administration, which successfully argued that a win for the plaintiffs would have shifted power from urban areas to rural neighborhoods across the country.

ALESCI: And Republican Senator Chuck Grassley has agreed to meet for breakfast with President Obama Supreme Court nominee Merrick Garland. But Grassley, the chairman of the Senate Judiciary Committee, still insists he will not hold the nomination hearing. Instead, Grassley says he plans to explain to Judge Garland why the Senate will not consider hearings until the next resident takes office.

BERMAN: It should be an interesting breakfast.

ALESCI: Exactly.

BERMAN: Later this morning, lawmakers in Alabama are expected to introduce a resolution to impeach the state's governor. Governor Robert Bentley is asking for God's forgiveness but refusing to resign in a wake of a sex scandal involving his senior political adviser Rebekah Mason. Mason stepped down last week. She and the governor deny having an affair despite getting caught on tape engaging in shall we say steamy conversations.

All right. A win for the ages for Villanova. Really one of the best finishes you will ever see basketball game unless you are a North Carolina fan. This shot with no time left brings Villanova their first championship in three decades. Coy Wire with this morning's bleacher report, next.

(COMMERCIAL BREAK)

[05:23:18] BERMAN: It is one of the greatest endings you will ever see or have ever seen in NCAA college basketball tournaments.

Coy Wire now has more on Villanova's big win in the tournament in the bleacher report.

Hey, Coy.

COY WIRE, CNN SPORTS CORRESPONDENT: Good morning, guys. How are you?

The Villanova Wildcats, they are doing just fine. They're partying like it's 1985, a 31-year championship drought now over. And, as you mentioned, John, it has to be one of the most thrilling victories and ending ever.

Jordan in the stands, wondering how the Tar Heels would tie the game. Not how, but who. That is Marcus Page with the double clutch. Somehow it goes in. Now four seconds left. Arcidiacono pushes the ball up the court and dishes to Kris Jenkins. Money at the buzzer. A moment that will live forever more in basketball.

Villanova national champs. Final score, 77-74. Our teammate Andy Scholes spoke with the man who made the game winner,

Kris Jenkins, moment after the game.

(BEGIN VIDEO CLIP)

KRIS JENKINS, VILLANOVA FORWARD: Every time I catch to shoot. I'm fortunate to get a shot off, I think they're all going in. When Ryan Arcidiacono found me on that shot, that was no different. I went two steps and let it go.

(END VIDEO CLIP)

WIRE: Now, Nova's Arcidiacono was named most outstanding player. His teammate, Daniel Ochefu, might be the real MVP. Check this out, just seconds before the game winning shot, he grabs a mop from the ball boy at the same spot Arcidiacono would sprint to before passing to Jenkins for the game winner. Here he is.

(BEGIN VIDEO CLIP)

DANIEL OCHEFU, VILLANOVA FORWARD: I know the little kid was having a hard time. I knew where I had to set the screen.

[05:25:00] I didn't want him to slip. I want (INAUDIBLE) to slip.

UNIDENTIFIED MALE: I saw that. I pointed out --

OCHEFU: And I saw the kid was having a hard time. I'm the one that goes. I left a big wet spot on his (INAUDIBLE) I'm going to get this and make sure the floor's dry. Thank God he didn't slip on that.

(END VIDEO CLIP)

WIRE: Congrats to Nova. Team work makes the dream works.

Speaking of a team that is dreamy, the national championship for the women is tonight. UConn going for a fourth straight title taking on Syracuse, who's never been to a final before. If they pull this off tonight, could be the greatest run in sports history, guys.

ALESCI: (INAUDIBLE) taking that report from him. You know, jumping on your seat.

BERMAN: The Villanova finish was unreal. It was just unreal. But as for UConn tonight, Cory rightly point out, they just don't lose ever, apparently, ever. So, we'll will see what happens. Coy, great to see you.

WIRE: Great to see you, guys. Thanks.

ALESCI: Up next, presidential frontrunners be aware. A key primary election today could blunt momentum for Donald Trump and Hillary Clinton. We'll breakdown what to expect out of Wisconsin just after the break.

(COMMERCIAL BREAK)