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Early Start with John Berman and Zoraida Sambolin

The Race for President: Can Trump & Clinton Stay on Top?; Flint Water Crisis: Charges Filed; Obama Meets With Saudi Leaders; Olympic Torch Lighting Ceremony. Aired 4:30-5a ET

Aired April 21, 2016 - 04:30   ET

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

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: First of all, the crowd would be about 25 people.

[04:30:00] That would be a problem. Then they'd start falling asleep listening to this guy with the dramatics. We will fight. Oh, geez. Ay, yi, yi.

Lyin' Ted Cruz, you know he walks in, the bible held high, right? The bible held high. He puts it down. Comes over here and starts ranting and raving. And he starts lying, right?

JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: Trump and his advisers are feeling confident about his chances to reach that magic number of delegates needed to clinch the nomination. An internal memo obtained by CNN, the campaign boldly predicts Trump could have 1,400 delegates by the start of the convention in July. That is well ahead of the 1,237 he needs -- John and Christine.

(END VIDEOTAPE)

JOHN BERMAN, CNN ANCHOR: Jim Acosta with a man dancing behind him.

Donald Trump also returning to his message that the Republican Party's delegate system is rigged and crooked. But behind the scenes, Trump's doing the best to work that system.

Tonight, the Trump campaign makes its pitch to members of the Republican National Committee at its spring meeting in Florida. That presentation will lay out Trump's path to victory.

But the RNC is already pushing back hard against the suggestion from Trump team if he gets close to a majority of delegates, the nomination should be his.

(BEGIN VIDEO CLIP)

SEAN SPICER, RNC COMMUNICATIONS DIRECTOR: It takes 1,237 delegates to pass any order of business. And I think we've got to remember that. There is no other time that would ever say, you know, whether it's politics or sports, hey, if you get to the two yard line, that counts as a touchdown. That's just not how the rules work. That's the process that we've gone through dating back to 1856.

Ultimately, a majority of the delegates will decide every aspect of our convention.

(END VIDEO CLIP)

CHRISTINE ROMANS, CNN ANCHOR: Ted Cruz and John Kasich left the campaign trail Wednesday to personally woo Republican leaders in Florida. The only path for either candidate at this point is a contested convention. Cruz argued that he is the only plausible alternative to Donald Trump. But Kasich was defiant, insisting that RNC leaders are encouraging him to stay in the race.

(BEGIN VIDEO CLIP)

SEN. TED CRUZ (R-TX), PRESIDENTIAL CANDIDATE: John Kasich has no path whatsoever to the nomination. He has lost now, I think it's 31 states. He's won a total of one, his home state. His plan, apparently, rests upon losing 49 states, going to the convention and having all of the delegates say, the guy that lost every state in the Union except his own state, that should be our nominee.

GOV. JOHN KASICH (R-OH), PRESIDENTIAL CANDIDATE: Oh, no, they all tell me please stay in the race. Nobody says get out. I don't hear anybody say get out except Mitt, I can't figure out where he is on Monday and then Tuesday.

(END VIDEO CLIP)

ROMANS: He met with a lot of delegates yesterday trying to woo them. Today, both men are back on the campaign trail. Cruz in Indianapolis, Kasich in Pennsylvania.

BERMAN: For the Democrats, Hillary Clinton also looking forward this morning after the win in New York. The poll in Pennsylvania shows her leading Bernie Sanders by 13 points in the state.

Overnight, Clinton staged a big rally in Philadelphia. And that is where we find our Joe Johns.

(BEGIN VIDEOTAPE)

JOE JOHNS, CNN SENIOR WASHINGTON CORRESPONDENT: John and Christine, two stops for Hillary Clinton here in Philadelphia after her big win in New York.

The first at an African-American church, an event on guns and violence, featuring among others, mothers of victims along with former attorney general, Eric Holder, a long time supporter of Hillary Clinton.

The second stop here at the Fillmore in Philadelphia, an organizing event, Hillary Clinton talked among other things about her connections to Pennsylvania, including the fact that her father is from Scranton. She also wants again touched on that issue of guns and violence which polls so well for her in urban areas. HILLARY CLINTON (D), PRESIDENTIAL CANDIDATE: I've read the news before I got here today. You had 12 shootings in Philadelphia over the weekend. Four people killed. A police officer shot.

The story that was so heartbreaking was the father handling his gun and it went off and killed his 4-year-old, because of those 33,000 deaths, we have homicides, we have suicides, and we have all these tragic avoidable accidents. So we have work to do to save lives.

JOHNS: A handful of African-American protesters after the fashion of the Black Lives Matter movement were seen in the room holding up signs and chanting. They were removed by police officers in plainclothes wearing arm bands. They did not cause much disruption because the crowd noise in the room for Hillary Clinton was so loud -- John and Christine.

(END VIDEOTAPE)

ROMANS: All right. Joe, thanks.

Bernie Sanders outraised Hillary Clinton for the third straight month in March. Sanders pulled in $44 million month. He spent most of that. His campaign has $17 million in so-called cash on hand heading into April. Hillary Clinton raised $28 million in March, but ended the month with $29 million in cash on hand.

A pro-Hillary super PAC also raked in more than 11 million. It's already preparing for the general election, buying tens of millions of dollars of TV ads space ahead of time.

Ted Cruz raised $12.4 million. John Kasich, $4.4 million, his best month so far after winning the Ohio primary. Donald Trump collected $2.7 mil, but lent himself another $11.5 million.

A group of super PACs backing Cruz have $10 million. While a pro- Kasich super has $2.5 million ready to spend in April.

So, those are the latest money numbers.

BERMAN: Yes, some of -- the biggest things were much Bernie Sanders spent. He spent a fortune in March, more than $40 million. Donald Trump out spent any of his rivals, all of his rivals. He outspent Ted Cruz, using his own money. But he was spending some in March, which is interesting.

ROMANS: Entering a new phase of the campaign. No question, and another big week ahead of us with those Acela primaries.

All right. Tensions high for President Obama in Saudi Arabia this morning from the war on ISIS to that nuclear deal with Iran. We go there live.

(COMMERCIAL BREAK)

[04:40:16] BERMAN: The president is in Saudi Arabia this morning where the White House insists the air has been cleared between the United States and its long time ally. President Obama spent two and a half hours meeting with Saudi King Salman, tackling several thorny issues, including Iran's role in the Middle East, the conflict in Yemen and the fight against ISIS.

Administration officials claim progress has been made between the two countries, though a prominent member of the Saudi royal family is calling for a recalibration of the relationship.

Let's get more on the chilly reception in Saudi Arabia. Nic Robertson in Riyadh.

Good morning, Nic. What's happening and what's in store for today?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, I think President Obama is likely to hear more of the same, that he heard from King Salman yesterday in his bilateral meeting, because he's sitting with the GCC, that is King Salman's allies in the region, Kuwait, Bahrain, Qatar, the United Arab Emirates and Oman.

So, he's going to hear more of the same. This recalibration comes about because President Obama in his way is recalibrating the United States, the pivot towards Asia. In this region, they feel that as a loss because part of that pivot is a nuclear deal with Iran, the nemesis really of Saudi Arabia and its allies here.

So, you know, what the president can expect today is calls from the Gulf States for help building a ballistic missile defense system against any potential aggression from Iran, and what they can expect to hear from President Obama is support to defeat ISIS. Thanks for the support on counterterrorism. Saudi Arabia plays a big role globally supporting the United States and others in that.

So, there is, good, if you will, mutually beneficial issues to talk about. But underlying it all, there is that deep difference which is this recalibration statement refers to, John.

BERMAN: There are doubts, and there is a sense that maybe this U.S. president is received -- being received in a way not as warmly as others have been in the past, Nic. Is that likely to change or does the president want to do anything to change that?

ROBERTSON: You know, the president is speaking and working for the United States best national interests with his allies as best he can. And these countries are allies. The relationship has shifted and changed.

I was here in 2008 when President Bush came at the same time toward the end of his presidency. There was, you know, a kind of different atmosphere, stars and stripes hanging from the lamp posts in the city here with a warm reception at the airport.

But if you breakdown what some of President Obama talked with King Salman about last night, President Obama raised the issue of Lebanon, saying its important, the political stability from there. Well, guess what, Saudi Arabia in the past two weeks withdraw $3 billion, a massive amount of funding, to the Lebanese government because believe that the money is going to Hezbollah that is fighting against interests in Syria.

There are differences when President Obama talked to King Salman last night about the importance of helping Iraqi government rebuild where ISIS retreats and pushed out of Ramadi, that there would be a role for Saudi and Gulf rebuilding money in Ramadi and other cities in Iraq.

The Saudis see the Iraqi relationship as something that is backed up by Iran. That's an anathema to them.

Syria, President Obama talks about a government of transition to remove President Assad, while President Assad stands oppose to that, Saudi Arabia wants that transition now. The question on their mind is, you know, how hard is the United States going to pressure Russia to pressure Syrians to get rid of Assad?

So, you know, below the surface, the sticking points are what they have become. They are tough because both countries see the world in a different view.

BERMAN: Shifting ground to be sure. Nic Robertson for us in Riyadh this morning, thanks so much.

ROMANS: All right. Families who lost loved ones in the 1983 marine barracks attack in Beirut and other attacks linked to Iran, can now collect damages from nearly $2 billion in frozen Iranian assets. That ruling coming from the Supreme Court. The decision affects more than 1,300 relatives of victims, including families of the 241 U.S. service members who died in that Beirut bombing.

BERMAN: First on CNN, a senior Democratic senator challenging the airline industry to address a growing number of cases of alleged anti- Muslim discrimination. Senator Dick Durbin of Illinois sent a letter to the Airlines for America Trade Association, urging respect for all passengers. Many Muslim-Americans report being removed from planes or not being allowed to board at all. Airlines for America says it is reviewing the senator's letter.

[04:45:02] ROMANS: Britain's foreign office has issued an advisory to air travelers heading to the United States, warning them about the controversial laws in North Carolina and Mississippi. Now, this advisory is directed toward members of Britain's LGBT community. It talks about America's the diverse attitudes from state to state. It advises LGBT to exercise discretion in rural areas of the United States and avoid excessive physical shows of affection in public there.

BERMAN: New this morning, retired all start pitcher Curt Schilling fired from his job as analyst for ESPN for his anti-transgender post on Facebook. Schilling commented on a photo, he said, "A man is a man no matter what they call themselves." He went on with more graphic comments after that.

Last year, Schilling was suspended for comparing Muslims to Nazis. ESPN put out a statement saying it is an inclusive network, and Curt Schilling has been advised his conduct was unacceptable. ROMANS: All right. The death toll is climbing in that severe

flooding around Houston. Officials now say at least eight people have died in this high water. Storms expected to pound parts of Texas, including hard hit Houston. Authorities keeping a close eye on two dams, major dams, the Army Corps of Engineers deems high risk.

BERMAN: Let's get more on the weather threat in Texas with meteorologist Pedram Javaheri.

PEDRAM JAVAHERI, AMS METEOROLOGIST: John and Christine, yes, we seem to not get this rain off our backs across portions of Houston and in particular as we have the front trying to exit the picture. The wettest place in the country, once again those locked in eastern Texas and Louisiana. You know, the portions of southern Arkansas over the next several hours. Flood warnings and watching include Houston.

And notice, another line of active weather almost resembling what we saw this time yesterday, exiting areas of western Texas, will eventually make their way in and around Houston by this afternoon, almost playing out the same time between 4:00 p.m. to 6:00 p.m. when see the storms really begin to blossom. I think Beaumont out toward Lake Charles, Louisiana, that is where we have the activity to come down this afternoon.

And the indications at this point are heavy rainfall, 4 to 6 inches possible. This is through Thursday afternoon and Thursday night. That is a lot of rainfall in a short time period. All indications are this will begin to exit the area. As it does, the residual rain will move out of Houston. Sunday through Monday, more thunderstorms possible for Houston -- guys.

ROMANS: All right. Thanks for that. Three government employees are the first to face criminal charges with the flint water crisis. Two members of the Michigan Department of Environment Quality. One city worker facing felony charges. The state attorney general says this is only the beginning.

We get more from CNN's Sara Ganim. She's in Flint.

(BEGIN VIDEOTAPE)

SARA GANIM, CNN CORRESPONDENT: John and Christine, after 18 months of residents here being called liars and complainers about their water, this was a significant day for the people of Flint. Officials with the State Department of Environment Quality, Steve Busch and Mike Prysby now facing charges of official misconduct, tampering with evidence and violation of the Safe Drinking Water Act.

Prosecutors say they deliberately failed to treat the water properly leading to high lead levels and leading to disease. In addition, a city official who worked at the water plant has also been charged with tampering with evidence and neglect.

Mike Glasgow talked to me last month in his first sit-down interview. He told me that he tried to do the right thing, but says Busch and Prysby convinced to change a crucial water quality report in January 2015.

So, you changed the report with lead numbers in Flint residences. Did you do that to try to cover up what was happening?

MIKE GLASGOW, CITY OF FLINT EMPLOYEE: No, I only did it because I was instructed to.

GANIM: Did you argue with them on whether or not you should change it?

GLASGOW: No, I just asked the question why. And they gave -- they cited some, I guess, solidified reasons to remove a couple items. So, I didn't question it much further. I mean --

GANIM: Glasgow told me he believed he was changing the report for technical reasons. He thought it was because of some homes only had partial lead piping. He says he didn't feel he have the power to overrule their decision, but prosecutors say that simply isn't enough, even comparing his defense to Nazi war criminals.

UNIDENTIFIED MALE: That defense didn't work in several places when you are ordered to do something, right, Nuremberg and the like. That is tough with regards to Mr. Glasgow. But when you did a criminal act, an overt act, and you had the corrupt mind to do that act, you're going to be charged.

GANIM: Now, Steven Busch and Mike Prysby were both arraigned today and pleaded not guilty to the charges against them. Mike Glasgow has yet to be arraigned.

It is important to note that many state officials above these three men who made the significant decisions over the course of the crisis.

[04:50:04] The prosecutors are saying they're not done. Their investigation continues. They expect more charges to be filed and they say they are ruling no one out, not even the governor -- John and Christine.

(END VIDEOTAPE)

BERMAN: Sad news this morning from the world of professional wrestling. The legendary WWE star known in the ring as "Chyna" found dead in her California home on Wednesday. Police say there are no signs of foul play. There are reports that the case is investigated at least as a possible drug overdose. Chyna was 45 years old.

ROMANS: All right. The Dow Jones Industrial Average closing in on a major milestone, folks. We will tell you what that is when we get an early start on your money next.

(COMMERCIAL BREAK)

BERMAN: In just minutes, the first on the road to this year's summer Olympics Games in Brazil. The ritual begins, the Olympics begin August 5th in Rio de Janeiro.

[04:55:04] The Olympic torch, though, will be lit today in Olympia, Greece, the birthplace of the modern games.

CNN's Atika Shubert is live there for us right now.

Atika, I imagine the anticipation is building.

ATIKA SHUBERT, CNN SENIOR INTERNATIONAL CORRESPONDENT (via telephone): It is. I mean, they've already got hundreds of people here waiting. The Greek guards in costume are set up. The flag bearer is here and set up.

So, it's already for this Olympic torch lighting ceremony. What will happen is the high priestess, accompanied by another 30 priestess, will actually light the Olympic flame using a concave mirror which will bounce the sun rays and actually light the flame. It will bring that flame to the Olympic torch along the way. They will snip off an olive branch as a symbol of peace and honor and the torch is lit.

That's going to begin its rally, six-day rally around Greece, before it's headed to Brazil. But during that rally, it's going to make a special stop at the refugee camp. It's going to run by a Syrian refugee. This is because the International Olympic Committee says they want to highlight the plight of refugees, particularly those 50,000 or so that are now stranded in Greece trying to get asylum into Europe. So, a little bit of politics mixing into sports with the ceremony today, John.

BERMAN: Politics sending a message of inclusiveness as they setoff on that relay.

Atika, give our regards, Christine Romans and I, to the high priestess there in Olympia. Thanks, Atika.

ROMANS: All right. Fifty-six minutes past the hour. Let's get an early start in your money.

Dow futures are down slightly. Oil is little changed after a big day yesterday. Stocks yesterday in Europe, they're mixed right now, Asia closing mostly higher overnight.

The Dow hit a record high in May of last year, May of last year, 18,351. Look at that. We are now 255 points away from it right now.

BERMAN: You can do it.

ROMANS: You can do it. Following an incredible run from the bottom in February when it sank below 16,000.

Bernie Sanders apparently the favorite candidate of Silicon Valley, at least if you go by campaign donations. Four of Sanders' top five biggest donor groups, to Sanders and outside groups, are employees of big tech firms.

Sanders raised more than $250,000 from employees at Google's parent company Alphabet. He pulled in $95,000 from workers at Microsoft, 85 grand from employees at Apple, another $63,000 from people who worked at Amazon. This according to the Center for Responsive Politics. No other candidate in either side has a single Silicon Valley company

in their top ten donor groups. Interesting.

It could be a hot spring for the housing market. Existing home sales jumped 5.1 percent IN March, after a little slump in February. Economists say that drop was due to a lack of affordability. There weren't enough homes for sale.

The median sale price nationwide now topped $222,000. That is up almost 6 percent in the past year. Mortgage rates still very low. That should help move properties in the busy buying season.

Demand is strong. Inventory is lower. But as prices keep ticking higher in most major markets, more people could list properties to help meet demand. What you are hearing from so many people is, they just can't find a house. They have a low mortgage rate, they just can't find a house.

BERMAN: You know, it's interesting, going back to the story on Bernie Sanders and Silicon Valley. One reason the Sanders campaign is not changing its tone or throwing in the towel. They think California is a great state for them. They can win big on the very last day of the primary campaign season.

ROMANS: So interesting because Silicon Valley is seen as sort of the extreme example of income inequality in America. All these people at Silicon Valley making so much money, right?

BERMAN: And Bernie gets their support.

ROMANS: And Bernie is the income inequality guy.

BERMAN: All right. EARLY START continues right now.

(MUSIC)

BERMAN: The presidential campaign trail heads to the mid-Atlantic. Donald Trump and Hillary Sanders hoping that the momentum from New York follows them there.

ROMANS: Criminal charges filed in the Flint water contamination crisis. Prosecutor says this is just the beginning.

BERMAN: A chilly reception for President Obama in Saudi Arabia. A summit set for how to fight ISIS, but will a strained relationship prevent progress?

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

ROMANS: I'm Christine Romans. It is Thursday, April 21st. It's 5:00 a.m. in the East.

This morning, it seems like a new/old Donald Trump on the campaign trail. Right after his big win in New York, Trump was more succinct, more refined, less nasty. Many wonder it that was the version of Trump we would see on the campaign trail from now. Overnight, Trump held a rally in Maryland. Well, the clear answer was

no. tonight, he'll be in Pennsylvania, all part of the mid-Atlantic or Acela primary next Tuesday, super in its own right.

CNN's Jim Acosta with the Trump campaign for us in Maryland has more.

(BEGIN VIDEOTAPE)

ACOSTA: John and Christine, Donald Trump is back on in the attack, laying into this archrival Ted Cruz and previewing the one liners he will use to go after Hillary Clinton. Trump ditched the softer town that was on display this election night event in New York Tuesday night and adopted some of his toughest rhetoric yet. The GOP frontrunner suggested, as president, he will investigate Clinton's e- mail practices and return to the nickname he uses for Cruz.

Here's what he had to say.

TRUMP: I mean, honestly, do you think this happens with Lyin' Ted Cruz? Believe me.