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Congressional Investigations into 9/11 Begin

Aired June 04, 2002 - 20:00   ET

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

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
LEON HARRIS, HOST: Are some people being kicked off their flights just because of the color of their skin? The lawsuits filed today say the airlines were engaging in racial profiling.

And prosecutors said that they have struck a big blow against organized crime. This isn't the "Sopranos." This time, it's for real.

ANNOUNCER: Behind closed doors in a soundproof room inside the capitol. Congress looks at went wrong and how to prevent another 9/11 from happening.

(BEGIN VIDEO CLIP)

SEN. RICHARD SHELBY (R), INTELLIGENCE VICE CHAIRMAN: I believe that the information will come out, some public, some will be classified and never come out, showing that there were massive intelligence failures.

(END VIDEO CLIP)

ANNOUNCER: We'll go live to Capitol Hill.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I see no evidence that would have led me to believe that we could have prevented the attacks.

(END VIDEO CLIP)

ANNOUNCER: President Bush defends his actions and warns Congress.

(BEGIN VIDEO CLIP)

BUSH: It is very important that the Congress do investigate, but do so in a way that doesn't jeopardize our intelligence gathering capacity.

(END VIDEO CLIP)

ANNOUNCER: We'll go live to the White House. A new plan to punish priests who sexually abuse children.

(BEGIN VIDEO CLIP)

ARCHBISHOP HARRY FLYNN, AD HOC COMMITTEE ON SEXUAL ABUSE: I think that what this document says is that from this day forward, anyone who offends will be out of the priesthood.

(END VIDEO CLIP)

ANNOUNCER: But does the latest proposal by the Catholic Church go far enough?

An outpouring of loyalty and affection. CNN cameras take you to London as hundreds of thousands celebrate Queen Elizabeth II's golden jubilee.

CNN's live from the White House Capitol Hill, New York, Los Angeles and San Diego. Here now, Leon Harris.

HARRIS: Good evening. We're going to begin this evening with a closer look at a top-secret meeting on Capitol Hill today. Congressional leaders host a closed-door meeting inside a special soundproof room at this location. Senate Room S407, for one purpose, repairing the U.S. intelligence network. Our congressional correspondent Jonathan Karl is on the Hill. And for once, Jon didn't hear very much today, but he's going to share with us what he learned anyway.

Hello, Jon.

JONATHAN KARL, CNN CORRESPONDENT: Well, Leon, the first thing I can tell you this room - in this room, S407, the committee gathered for the very first time and they've started their proceedings with a moment of silence from the victims of September 11. After the committee hearing was over, the leaders came to the microphones and one of them said that this really is about the families and the victims of September 11 helping them learned what happen and trying to prevent this from happening again.

(BEGIN VIDEO CLIP)

REP. NANCY PELOSI (D) INTELLIGENCE COMMITTEE: Our goal is to reduce the risk of this ever happening again and to protect the American people, to give answers to the families of those who were lost on September 11 and to lay the basis for accountability and the institutions, which are there to protect us from terrorism.

(END VIDEO CLIP)

KARL: Now, you heard the key word there, Leon, and that's "accountability." The members of Congress are trying to say that this is not about the blame game, this is not about pointing fingers, but it is about holding people accountable for lost opportunities in terms of preventing a terrorist attack. Some very strong words on that score came from Richard Shelby, the top Republican of the Senate Intelligence Committee.

(BEGIN VIDEO CLIP)

SHELBY: We're going to do a substantive, thorough, credible inquiry. And we're going to let the chips fall where we find them. We're going to do a factual inquiry. And then, the accountability will come with the turf. That's the name of the game. We're all accountable.

(END VIDEO CLIP)

KARL: And the one piece of business that this committee did behind those closed doors, Leon, was to vote on a two-page statement of purpose of what exactly they plan to do. And this statement of purpose reads in part that they will search - quote -- "for actions that could have or should have been taken to learn of or prevent the attacks of September 11." And furthermore, looking into whether any of that information suggests - quote -- "systemic problems that may have impeded the intelligence community from learning of or preventing the attacks in advance."

So there's a lot of work to be done. This was simply the very first meeting, an organizational meeting. The first witnesses won't come till the end of the week at the very earliest. And the first public hearings on this committee, Leon, will not come until the end of this month.

HARRIS: All right. So Jon, when the witnesses do show up, who should we expect to see and hear from?

KARL: Well, we are hearing that the very first witness that this committee intends to call is Cofer Black. He's a critical person in all of this. He's a name you'll be hearing more and more about because he was the director of the CIA's Counterterrorism Center and he is the one person that has been reassigned since September 11.

He actually lost his job after September 11, was moved to another position. The CIA has said that he was rotated as part of a normal rotation. He'd already done three years in that position. But he is one person they will be asking some very hard questions of, first of many.

And of course, they'll also hear from the very - people at the very top of the intelligence food chain, George Tenet, the director of the CIA and Robert Mueller of the FBI.

HARRIS: All right, good deal. Jonathan Karl on Capitol Hill, thank you very much. We appreciate it as always.

Now, President Bush is following that meeting and he's making some inquiries of his own right now. And he has a warning for Congress as well on this issue today. Our senior White House correspondent is John King. He's been tracking that for us today.

Hello, John. JOHN KING, CNN SR. WHITE HOUSE CORRESPONDENT: Hello to you, Leon. The president making clear today that whether it's George Tenet, the CIA director, or Bob Mueller the FBI director, that he has full confidence in them and that in his view, they have very important work to do in helping to prosecute the war on terrorism and prevent future attacks. So the president making clear that he supports this one Congressional investigation, but Mr. Bush says Congress should stop there. This joint investigation by the two intelligence committees and no more.

(BEGIN VIDEO CLIP)

BUSH: I want the Congress to investigate, but I want a committee to investigate not multiple committees to investigate because I don't want to tie up our team when we're trying to fight this war on terrorists.

(END VIDEO CLIP)

KING: The president's words drawing a retort from the Senate democratic leader, Majority Leader Tom Daschle. He says yes, the Intelligence Committee investigations will go forward, but there's a lot for other committees to ask about, too. The Judiciary Committee, for one, wants to know a lot more in detail about what the FBI knew and what it did with that information, what reforms are under way now. Senator Daschle says he's not sure the Senate will go along with the president's request.

(BEGIN VIDEO CLIP)

SEN. TOM DASCHLE (D-SD), MAJORITY LEADER: I don't understand why he would not want to get all the facts, why he would not want all the information to come to light. You can't put too much light on the questions involving our national security, on the questions involving what happened on September 11. And why we would not want to know about what happened at the FBI, the Justice Department and all the other agencies of government that fall outside the per view of the intelligence committee, I don't know and certainly can't explain.

(END VIDEO CLIP)

KING: As that political debate over just how the investigation should go forward, how many investigations there should be, the president also said today in the clearest language yet that yes, the FBI and the CIA failed to cooperate, failed to properly share information, in his view, in the days, weeks and months prior to September 11. The president though saying, in his view, those problems have been corrected and the president saying he believes this is the bottom line now as the investigation begins. And he believes it will be after the investigation concludes that even if the government had connected all those dots, had shared all that information, they probably would not have been able to do anything to prevent the attacks - Leon.

HARRIS: John, did the White House have anything to say about another report this morning in the press about another potential here misstep by the intelligence committee? And there's a report in "The New York Times" this morning that Egyptian President Hosni Mubarak says that his sources did, or his agencies at least did contact American intelligence sources and tell them about some key information and they did nothing with it.

KING: U.S. officials quite puzzled by that report when it came out first thing this morning. They scrambled because of the sensitivity. Perhaps another bombshell, as you mentioned, perhaps even more information that was not acted on. But senior officials here at the White House and senior officials at intelligence agencies and at the State Department say they've gone back through all the files.

Yes, they say, Egypt was cooperating with the United States and was among the countries that last spring and summer shared information about increased al Qaeda activities, increased chatter, if you will, about the possibility of an attack on the United States or its interests overseas. But U.S. officials say there was nothing specific in that information at all and that all indications were, as the government has said in the past, that if al Qaeda struck and everyone thought it was about to strike, it would happen somewhere overseas.

So U.S. officials say they're puzzled at the suggestion that Egypt passed on anything specific about the hijacking plot. They say they've gone back through the records and that is simply not the case.

HARRIS: Interesting. John King at the White House. Thank you very much, John.

Also connected to the story of the day, words tonight that Attorney General John Ashcroft is preparing some sweeping changes for alien registration here in the United States. Those changes tentatively are due out on Thursday. Our justice correspondent Kelli Arena joins us with some details and perhaps a bit of a preview here - Kelli.

KELLI ARENA, CNN JUSTICE CORRESPONDENT: Hi there, Leon. Well, as you said in the continuing fight against terrorism, Attorney General John Ashcroft will announce a dramatic increase in the registration of aliens visiting the United States.

Now, so-called high-risk visitors from countries declared to be sponsors of terrorism and several so-called al Qaeda countries would be fingerprinted and photographed when they arrive at U.S. ports of entry. They would also have their passports photocopied and they would have to provide an itinerary of their planned U.S. travel.

Now, in describing what high risk means, one justice official said, "mostly young males." The countries would include Syria, Cuba and North Korea. Now, currently only residents of Iran, Iraq, Libya and Sudan are required to go through this documenting process. Some civil rights activists say that if this longstanding rule is going to be enforced that it should be enforced across the board and not just for specific countries -- Leon.

HARRIS: All right, Kelli Arena in Washington. Thank you very much.

ARENA: You're welcome.

HARRIS: All right, other preparations under way here. The U.S. high above North America today, a training exercise in counterterrorism under way. U.S. and Canadian lawmen simulated a pair of hijackings. Our Patty Davis has more on those exercises.

(BEGIN VIDEOTAPE)

PATTY DAVIS, CNN CORRESPONDENT (voice-over): A 757 like this one hijacked as it leaves Salt Lake City, Utah for Honolulu. It's diverted to Elmendorf Air Force base in Anchorage, Alaska. A Navy C-9 hijacked in midair as it heads from Whidbey Island Naval Air Station to Vancouver International Airport. U.S. and Canadian military jets scramble to intercept the two planes.

It's a scenario that seemed all too real coming nearly nine months after the September 11 terrorist hijackings, but these hijackings were not real. They were a joint U.S./Canadian terrorism exercise run by NORAD, the North American Aerospace Defense Command. The mock hijackings similar to this one with air marshals were designed to make sure that both countries as well as the FBI, air traffic control and the airlines are talking and coordinating if such an event should happen again.

The exercise called Amalgam Virgo II was planned before the September 11 attacks. About 1,500 people took part in the air and on the ground. There was no live fire, no paying passengers. FBI agents and Royal Canadian Mounted Police acting as the hijackers in the air and crisis negotiators on the ground. The scrambled jets practicing two different scenarios - forcing the hijacked planes to land or what is the last resort now, shooting them down.

(on-camera): Worried the mock hijackings might set off panic as they played out over the open air traffic control channels, NORAD made sure the public knew it was just a drill. But the details and the conclusions of what happened are classified. A spokesman said NORAD doesn't want the Osama bin Ladens of the world to see how next time they might be stopped.

Patty Davis, CNN, Washington.

(END VIDEOTAPE)

HARRIS: Well, since September 11, airport security has, as we all know, become very strict. But some are asking now are these new safeguards coming at the expense of civil liberties? Earlier today, five passengers filed discrimination suits against four U.S. air carriers claiming just that. CNN's Michael Okwu has more. He joins us now from New York on that.

Hello, Michael.

MICHAEL OKWU, CNN CORRESPONDENT: Leon, good evening. Five passengers say they were either removed from flights or prevented from boarding simply because of the color of their skin, just that simple, they say. Today, the ACLU filed separate federal suits on their behalf against four major airlines, American, United, Northwest and Continental.

Now, the charge that the airlines engaged in racial profiling and discriminated against them based on their perceived Middle Eastern heritages. All the plaintiffs are men; all are of Middle Eastern, Asian or sub-Asian decent. Four are U.S. citizens and one is a permanent resident.

Now, I met one of the men, a 32-year-old man named Michael Dasrath. He says that on New Year's Eve 2001, he boarded a Continental flight bound for Florida where he was hoping to ring in the New Year with his wife and two sons. He was sitting in a first class seat just behind an Asian man and another man who appeared to be dark skinned. He claims a woman glared at him, called the captain and said -- quoting now -- "these brown-skinned men are behaving suspiciously." The captain took a look at them and before long, they were escorted off the flight.

(BEGIN VIDEO CLIP)

MICHAEL DASRATH, PLAINTIFF: No security personnel came over and questioned us, nothing, nothing at all. In fact, from that gate, we were hurried on to another flight.

Well, the Department of Transportation has said that racial profiling is illegal. And I believe that's what happened to me. Through our lawsuit, I hope they stop it. It's wrong. It goes against everything, which is American.

(END VIDEO CLIP)

OKWU: Now, a Continental spokesman said that he could not comment on specific cases, but he did say that the airline does have a strong policy against discrimination in any form. In fact, all the airlines deny that they discriminate. They said that they rely on the captains to make the decision about who should be ejected from a flight.

In addition to Continental, American and United refused to discuss the specific cases. But Northwest said in its case a young man of Bangladeshi descent was denied boarding because the pilot received conflicting information about whether or not the authorities had cleared him to fly. He was later put on a different flight and actually arrived at his destination; the airline is keen on pointing out, ahead of schedule - Leon.

HARRIS: Now, Michael, I know it's been tough to get the airlines to talk about any of these things that have happened since September 11, but do we know at this particular point how many times this kind of thing may have happened since then?

OKWU: Well, it's a great question because all parties here are very sensitive about it. Norm Mineta, of course, the secretary of transportation, issued a memo to all the airlines in the weeks following September 11, that there would - should be no profiling of any kind. Again, he's sensitive to that because during World War II apparently, he had very familial experiences with that issue.

Now, according to the Department of Transportation, they say that since September 11, they had received 31 such complaints. And they say that, in fact, that number is tapering off. They say that they have not received any word of any incident since February.

Now, if you talk to Arab-American civil rights groups, they say that they had recorded twice as many incidents since September 11 and they see no signs of this tapering off. In fact, they say that they have been receiving complaints as recently as several weeks ago - Leon.

HARRIS: Interesting. This is not going to be the end of this story. We'll hear some more about this coming up down the road a bit. Michael Okwu in New York, thank you very much.

We're just getting started here, folks. We've got much more coming up after a break. Don't go away.

ANNOUNCER: Next, crisis in the clergy. The Catholic Church outlines a new plan to remove priests who abuse children, but some say it doesn't go far enough.

(BEGIN VIDEO CLIP)

PHIL SAVIANO, SURVIVORS NETWORK: A man who would behave like that one time, I am convinced, if he's given an opportunity at a future date, another situation arises, he's going to do it again.

(END VIDEO CLIP)

ANNOUNCER: A tragic ending in the case of a missing child. The body of a 7-year-old boy is found at the bottom of a swimming pool. We'll go live to Los Angeles.

And later, another missing 7-year-old, another deadly ending. Today, the trial of the man accused of killing Danielle Van Dam gets under way. A live report from outside the courthouse in San Diego is coming up.

(COMMERCIAL BREAK)

ANNOUNCER: Seventy-seven million Americans, roughly 28 percent of the U.S. population, are although Roman Catholic. Of these, 47,000 are priests.

HARRIS: Catholic leaders have come up with a proposal to deal with priests who sexually abuse children. The question is will it satisfy the critics. CNN's Jason Carroll takes a look.

(BEGIN VIDEOTAPE)

JASON CARROLL, CNN CORRESPONDENT (voice-over): The U.S. Conference of Bishops has drafted a set of national guidelines clergy can use to respond to allegations of sexual abuse. The bishops hope it will restore confidence among parishioners shaken by the scandal.

But the proposal is sure to create more controversy because it does not call for a zero-tolerance policy across the board for dealing with allegations of sexual abuse.

FLYNN: Even though I've used it myself, the phrase "zero tolerance," I don't know whether or not that is a good phrase to use. But I think that what this document says is that from this day forward, anyone who offends will be out of the priesthood.

CARROLL: There is a provision in the draft that would allow a priest accused of sexual abuse in the past to continue working in the church if he has only had one offense and meets the following conditions -- he's treated and not diagnosed as a pedophile, there are no additional offenses, he continues to receive counseling and accepts public disclosure of misconduct.

Victims' groups say that does not go far enough.

SAVIANO: A man who would behave like that one time, I'm convinced, if he's given an opportunity in a future date when another situation arises, he's going to do it again.

CARROLL: The draft does require clergy to report allegations of abuse of a minor immediately to authorities. Also, when investigation of a complaint indicates, diocesan authorities will then relieve an alleged offender of his ministerial duties. And even a single act of abuse of a minor will bring about a request for laicization, removal from the priesthood. And priests would not be moved from parish to parish without a review of their record. It happened in the cases of convicted pedophile Priest John Goeghan and accused child rapist Paul Shannon.

JUDE DOUGHERTY, CATHOLIC UNIVERSITY: I think a uniform code is long overdue so that each diocese doesn't have to deal with the problem on its own if there is a national uniform code that will help each diocese handle the matter.

CARROLL (on-camera): Archbishop Flynn, the committee chairman, says that that is just a draft report, that it is not set in stone. He expects parts of it to be hotly debated when the nation's Catholic bishops meet in Dallas next week.

Jason Carroll, CNN, Washington.

(END VIDEOTAPE)

HARRIS: Well, this bishop's report is already stirring controversy and plenty of discussion. We're getting in on the debate ourselves right now. Joining us now from New York is CNN's papal analyst Father Thomas Reese.

Father Reese, thank you for joining us and welcome aboard. We're glad to have you as part of the team here at CNN.

FATHER THOMAS REESE, CNN PAPAL ANALYST: Certainly. HARRIS: Let's get your thoughts, first of all, on this -- what seems to be the first emerging controversy here, this possibility that there may be something of a loophole for those who are past offenders here. What do you think about it?

REESE: Well, it's a very small loophole. The only people who could get through this loophole would be people who had only one offense, one act of abuse against a single minor. If they're a pedophile, they're out. If they've had more than one act of abuse, they're out. If they've abused more than one minor, they're out.

It's a very narrow exception. And frankly, I have a hard time imagining that there's more than a handful of priests in the country who would qualify for that exception. And as your reporter noted, even if they qualify, they have to be reviewed by a lay board. The victim is given an opportunity for input here. It has to be made public. In no way will a priest ever be moved from one parish to another in secrecy again under this procedure.

HARRIS: But is this in line with what the Pope staked out, as what he believes should be the line to be towed here? He did come out and say that no behavior should be tolerated.

REESE: Absolutely. And I think the Pope said, for example, that that is a crime. And the bishops have acknowledged this and said that under these procedures, any abuse of a minor will be reported to the civil authorities and that they will cooperate with the civil authorities in dealing with these priests.

So I think that the bishops are trying to set up procedures and policies that will ensure the safety of children and minors in the Catholic Church.

HARRIS: Now, does whatever they decide have to be approved or be given the blessings of the Pope in the end or what?

REESE: Well, if -- in order to have it mandatory on every bishop in the United States, there would have to be papal approval for these policies and procedures. On the other hand, every bishop can voluntarily adopt these procedures immediately after the bishops meet in Dallas. And I think they will because we have, in here, very important.

There are procedures for reporting how well the bishops implement this program. If they don't implement it well, it's going to be reported on an annual basis. The people in their diocese, the media in their diocese will know how well they are implementing these procedures. Frankly, I think that's more important than having it mandatory.

HARRIS: Finally, Father, quickly, if you could tell us, is there anything in this document about where such accused priests can live. One of the shocking revelations was that many of these priests were still being allowed to reside near schools.

REESE: No, I think that under these procedures once a priest is suspended, once -- of course, once he's laicized, he's on his own, he's no longer a responsibility of the diocese or of the church. He - you know, he's out. He's out on the street. He's no longer under the supervision of the church.

If he's not laicized, then he has to do what the bishop tells him. And I think it provides here that he has to live under a supervised setting and follow the rules that they set for him for supervision to make sure that nothing happens again.

HARRIS: So no apparent easy answers here for any side here. CNN's papal analyst Father Thomas Reese, we thank you very much. And once again, welcome aboard here at CNN.

REESE: Thank you.

HARRIS: Now, we did wonder what American Catholics thought about all this. And we asked where they stood on this issue. Seventy-seven percent of those questioned last week in a CNN/"US Today" Gallup poll said clergy involved in past cases of sexual abuse should be removed from the priesthood. And when it comes to new cases of sexual abuse, 82 percent say the priest must be removed from the clergy.

Stay with us, we'll take a break right now. And we'll be back with more in a moment.

ANNOUNCER: Next, tough talk as two nuclear neighbors edge toward war.

(BEGIN VIDEO CLIP)

GENERAL PERVEZ MUSHARRAF, PAKISTANI PRESIDENT: We will not initiate war. But if war is imposed on us, we will defend ourselves with the utmost resolution and determination.

(END VIDEO CLIP)

ANNOUNCER: The latest on the crisis between India and Pakistan when we come back. But first, time for you to weigh in. Do U.S. bishops' proposals for dealing with abusive Catholic priests go far enough? To take the quick vote, head to CNN.com. The AOL keyword is CNN. Right now, the vast majority of those casting ballots say no.

(COMMERCIAL BREAK)

ANNOUNCER: India and Pakistan have been bitter rivals since 1947 when the Indian subcontinent was divided giving both countries independence. The two nations have fought three wars over the years, two of them over the disputed region of Kashmir.

HARRIS: More now on the sustained tensions in Kashmir. Pakistan and India remained poised for battle, as troops in Kashmir exchange artillery and gunfire across the Kashmir line of control, this as the diplomatic stalemate continues. At an Asian security summit, leaders from both nuclear powers square off, trading accusations and hinting at the possibility of war.

(BEGIN VIDEO CLIP)

PRESIDENT PERVEZ MUSHARRAF, PAKISTAN: We do not want war. We will not initiate war, but if war is imposed on us, we will defend ourselves with the utmost resolution and determination. We have stated repeatedly that instead of accusation, threats and dangerous escalation, we need to return to the part of dialogue and negotiations.

ATAL BEHARI VAJPAYEE, INDIAN PRIME MINISTER: As far as an India- Pakistan dialogue is concerned, it is India which has always taken the initiative for it. In the state of the last four years, I have been to the heart and my impression should (UNINTELLIGIBLE). We have repeatedly said that we are willing to discuss all issues with Pakistan including Jammu and Kashmir, but for that cross-border terrorism has to end.

(END VIDEO CLIP)

HARRIS: In the meantime, the U.S. State Department issues plans, actually plans to issue a stronger warning, urging U.S. citizens to leave India and Pakistan. Previous warnings have been a bit milder, asking citizens to consider departing. Authorities say that there are some 60,000 Americans in India and 8,000 in Pakistan, at least right now. Back in a moment after break, don't go away.

ANNOUNCER: Next, the body of a missing seven-year-old boy is found at the bottom of a swimming pool, a pool police had already searched. We'll go live to Los Angeles for the latest.

And later, a party at the palace, hundreds of thousands showed their affection as their Queen celebrates 50 years on the throne. CNN cameras take you to London.

(COMMERCIAL BREAK)

HARRIS: Welcome back. Here's a look at some of the evening's top stories. On Capitol Hill, the Joint Congressional Intelligence Committee began super secret hearings today, sifting through U.S. intelligence lapses to figure out whether the government could have done more to prevent the September 11 attacks.

As the hearings were underway, President Bush was touring the National Security Agency and, with an eye toward the Hill, he urged Congress to stick to just one focused investigation. Any more he says will only distract law enforcement and intelligence officials from doing their work.

U.S. Roman Catholic bishops have proposed rules for disciplining priests accused of sexually abusing children. The plan is going to be considered by bishops at their conference next week in Dallas, and one controversial proposal contained therein is that in some cases, a priest or bishop with only one past offense would be allowed to retain his position.

To turn now to this disturbing story coming to us out of southern California, a senior official of the LAPD is telling CNN's Charles Feldman that there is a strong possibility that the body of a missing Los Angeles boy was in a swimming pool since Sunday, despite repeated searches of that pool by police.

The LAPD official says that the coroner's preliminary opinion is that the cause of death is consistent with drowning and that there are no signs of any foul play in this case, the latest twist in a tragic and bizarre story. Our National Correspondent Frank Buckley is following that story for us right now. He joins us from Los Angeles with more. Frank.

FRANK BUCKLEY, CNN NATIONAL CORRESPONDENT: Well, Leon, the latest is that police are saying they are not ruling anything out, this after earlier this morning being pretty firm in their conviction in saying that the body of this boy had been placed in that pool sometime overnight.

The boy we are talking about, seven-year-old Paolo Ayala, the seven-year-old, had come to a birthday party here at this home on Sunday, dropped off by his parents. When they came back, they found that he was missing. A massive search was launched in this area. In fact, the police set up their command post at the home and this is where the command post was until ten o'clock last night. That's when they moved to another location.

This morning, a horrifying discovery by a housekeeper, the boy's body was found at the bottom of the pool. He was deceased. That led police to conclude that he was placed there overnight, after officers left this location.

But now, they say it's possible that he was simply overlooked. Here's what police said this morning and right after that, you'll hear what police are saying now.

(BEGIN VIDEO CLIP)

DAVID KALISH, LOS ANGELES POLICE: There is no way that that boy's body could have been in there yesterday, when it was searched and for us not to see it or anyone else not see it.

I mean we had all the people who were at the party there look in the pool. The police officers that responded looked in the swimming pool. The mother of the victim who we talked to again today looked in the swimming pool.

The pool man was here yesterday and he added chemicals to the pool. He didn't vacuum or sweep it, but he added chemicals to the pool and did some work on it. He did not see the child in the pool. Is it possible he was there since Sunday? It's possible but we don't know.

(END VIDEO CLIP)

BUCKLEY (voice-over): So the autopsy on this little boy is scheduled for tomorrow morning. Police hope they will learn more during this autopsy. We should also say that, again, police are not ruling anyone out as a suspect and they are not ruling out any theories at this point as to what may have happened.

BUCKLEY (on camera): No one is in custody. Whatever happened, sadly the bottom line is that a seven-year-old boy has lost his life. Leon.

HARRIS: Well that's amazing, Frank, considering how many people had been around and in that pool and been looking at the pictures we just saw here moments ago of that pool, hard to believe no one could see that boy there for this long. What is it that you're hearing that the coroner is going to be looking for here?

BUCKLEY: Well the coroner is hoping to find out things like, they're going to test the pool water and then compare it to the water found in the boy's lungs. Is that the same water? If it is, that would indicate that possibly the boy drowned in this pool.

They'll look at things like his stomach contents and this gets graphic, but the stomach contents would reveal did he eat something that was served at the party? That would indicate that he was, in fact, at the party, and clearly they want to establish the time and cause of death. Was the cause of death drowning or was it something else? These are all the sort of things that they would put together as part of their puzzle that would help them to solve exactly what happened.

HARRIS: What a tragedy. Frank Buckley, thank you very much. Frank Buckley reporting for us live from Los Angeles this evening. Coming up, we turn to another parent's nightmare, a child disappears and a neighbor is charged with the murder of that trial.

Today at the trial of the man accused of killing Danielle Van Dam, prosecutors laid out what they called a mountain of evidence. We'll have a live report coming up next.

LOU DOBBS, "MONEYLINE" ANCHOR: I'm Lou Dobbs with this MONEYLINE update. It was a volatile session on Wall Street today. The Dow fell nearly 22 points, the NASDAQ gained 15 points, and late today the defense rested in the Andersen obstruction of justice trial. Closing arguments are set to begin tomorrow in Houston, Texas. Watch MONEYLINE weeknights 6:00 p.m. Eastern on CNN, LIVE FROM with Leon Harris will continue in just a moment.

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HARRIS: A San Diego jury heard opening statements today in a high profile child murder case. David Westerfield is accused of kidnapping and killing his seven-year-old neighbor Danielle Van Dam. Our Thelma Gutierrez is live from San Diego with the latest on that story for us. Hello, Thelma.

THELMA GUTIERREZ, CNN CORRESPONDENT: Hi there, Leon. Now both the prosecution and the defense laid out their cases today. It took the better part of the day. In fact, four witnesses have already taken the stand. This is a trial that has been called the most widely publicized trial in the history of San Diego. Seven-year-old Danielle Van Dam was reported missing on the morning of February 2. Her naked and decomposed body was found nearly a month later off of a rural San Diego road.

The medical examiner has not been able to determine exactly how the child died or whether she was sexually assaulted. The prosecution told jurors today that David Westerfield, who lives two doors away from the Van Dams, kidnapped and killed Danielle.

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JEFF DUSEK, PROSECUTOR: There were fingerprints found in the motor home by the bed in the bedroom, back by the headboard. Off to the side there's a cabinet. Danielle's fingerprints were found there because he removed her hands and were able to inflate the fingers and find the prints down here at mid finger.

GUTIERREZ (voice-over): David Westerfield sat in court today. He stared straight ahead and appeared to tremble as the prosecution laid out its case against him. They claim to have a mountain of physical evidence against Westerfield, including blood, fingerprints and hair, allegedly found in Westerfield's motor home. They say that those samples match Danielle Van Dam's.

But the defense says that police have the wrong man. Snapping his fingers and slamming the podium, defense attorney Stephen Feldman told jurors today that Westerfield is a conservative computer engineer, that it was Damon and Brenda Van Dam's hedonistic lifestyle that could have exposed Danielle to danger, especially the night before Danielle was reported missing.

It was Brenda's night out with the girls. The defense attorney says the women were partying. They were allegedly smoking marijuana and dancing with men.

STEVE FELDMAN, DEFENSE ATTORNEY: So we have doubts. We have doubts as to cause of death. We have doubts as to the identity of Danielle Van Dam's killer. We have doubts as to who left her where she resided, where she remained, and we have doubts as to who took her.

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GUTIERREZ: The couple has not yet testified but Judge William Mudd said that he would allow certain questions about the Van Dam's lifestyle to be raised in court. He also said that he would allow some of the child pornography allegedly found on those computers to be shown to jurors. Leon, back to you.

HARRIS: All right thank you, Thelma. Thelma Gutierrez reporting live for us from San Diego. And now to the nation's heartland, in Columbia, Missouri a former nurse at a veteran's hospital there faces ten counts of Murder and authorities say that number could actually climb.

Richard Williams is accused of killing ten patients in early 1992, by giving them a powerful muscle relaxant that stops a person's breathing. Authorities say that Williams was the only staff member on duty at the time of the deaths. New tests using technology not available a decade ago led to his arrest. He entered a not guilty plea at his arraignment today.

Racketeering, extortion and money laundering, coming up next indictments against 17 alleged members and associates of the Gambino crime family, details after the break.

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HARRIS: Federal and New York prosecutors say that they have struck a serious blow to organized crime with the arrest and indictments of more than a dozen alleged members and associates of the Gambino crime family. CNN's Maria Hinojosa has more on this New York roundup with a Hollywood connection.

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MARIA HINOJOSA, CNN CORRESPONDENT (voice-over): John Gotti, the most famous mobster alive, always dressed and acted the part right out of central casting. But now, member of his crime family, the Gambinos, have been charged with threatening to use force, violence and fear to extort another swaggering star, Hollywood actor Steven Seagal, demanding $150,000 per film, a Seagal representative declining to say whether the actor paid the money.

ALAN VINEGRAD, U.S. ATTORNEY: There was a scheme afoot involving several members of the Gambino family to extort a member of the film industry to endeavor to get for themselves a very sizable share of this person's livelihood.

HINOJOSA: The extortion charge is part of a 68-count indictment against 17 alleged Gambino family members, among them two of John Gotti's brothers and a nephew, one of them, Peter Gotti, allegedly the newest head of the crime family.

COMMISSIONER RAY KELLY, NEW YORK POLICE: I think these indictments will and have significantly undermined the hierarchy of the Gambino crime family.

HINOJOSA: Most charges focus on the Mafia's control of New York's waterfront, vast and beautiful, but for years a nest of corruption.

ELIOT SPITZER, NEW YORK ATTORNEY GENERAL: The waterfront and our commerce is at the core of our economy. We can not permit the mob and corrupt union officials to continue to control our economic future.

HINOJOSA (on camera): The waterfront corruption indictment reads like a laundry list of what organized crime does for a living, extortion, money laundering, witness tampering, loan sharking. Another central part of this indictment, that the Gambino family controls key members within the union that represents the dock workers, the International Longshoremen's Association.

HINOJOSA (voice-over): In another Hollywood connection, the references to the 1954 Marlon Brando movie "On the Waterfront" were inescapable. Fifty years ago it captured on film the corruption that this city has witnessed for decades on the waterfront.

SPITZER: It's the stuff of legends. Great movies have been made about it.

HINOJOSA: But on the minds of prosecutors, not Hollywood, not glamour, but the impact on real-life New Yorkers who prosecutors say are victims of the Mafia's economic terrorism.

VINEGRAD: We all pay for it and one way or the other, directly or indirectly, everybody in this room pays for the fact the mob exerts its influence to make business more costly.

HINOJOSA: The kind of payment prosecutors hope will now come to an end. Maria Hinojosa, CNN, New York.

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HARRIS: Time now for a look at some of the evening's other top stories. Fast-moving wildfires are blazing in several western states this evening. In Colorado alone, the fires have destroyed more than 100 homes. Near Canyon City, firefighters are working to contain a 4,400 acre blaze that threatens another 700 homes.

In New Mexico, more than 30,000 acres of parched forest acres have been scorched by at least seven fires. Cooler weather and expected rain though are raising some hope of relief in that area.

In Chile, it's water and not fire that's wreaking havoc down there. Three days of constant rain have left at least nine people dead. Thousands of people are homeless and the capitol of Santiago is inundated right now with water. It's Chile's worst flooding in more than a century.

The queen's celebration is drawing to a close, but how do you top pomp parades and Paul McCartney? The Royal Family turns to the Royal Air Force for its show stopper.

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HARRIS: It was a celebration that London won't soon forget. The four-day nonstop party honoring Queen Elizabeth II and her half century on the throne drew to a close today in the British capitol. Our Christiane Amanpour was on hand for the grand finale.

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CHRISTIANE AMANPOUR, CNN CORRESPONDENT (voice-over): When the queen came out for one last Jubilee wave on the balcony of Buckingham Palace, a million people let out a thunderous roar. They say lustily of their land of hope and glory. You could barely see the folk for the flags waving. Modern Britain was on spectacular display when Concorde ended the Jubilee with a patriotic fly past.

But the day started with the pomp and tradition that so characterizes this 1,000-year-old monarchy, as the queen rode out in the gold state coach, her two eldest children, outriders on horseback.

At a formal lunch in London, the queen spoke of the ups and downs she had seen in 50 eventful and sometimes perilous years on the throne, and she paid tribute to the British spirit.

HER MAJESTY QUEEN ELIZABETH II: Gratitude, respect and pride, these words sum up how I feel about the people of this country and the commonwealth, and what this Golden Jubilee means to me.

AMANPOUR: On behalf of the people, Prime Minister Tony Blair said that the outpouring of affection was not just deferential but in genuine gratitude for the Queen's enduring sense of duty and commitment.

TONY BLAIR, BRITISH PRIME MINISTER: You have been a unifying force whilst around you there has been events, constitutional and cultural change. So I repeat, to adapt to remain (UNINTELLIGIBLE), above all to unify this nation in these 50 years and be loved for doing it is indeed remarkable.

AMANPOUR: The afternoon was filled with parades and floats to show off the best of British, from the military to the famous red telephone boxes to theater and pop music, a reminder of the profound impact modern British music and culture has had on the rest of the world during her half century reign.

It was also about inclusiveness. Parades from Britain's many different ethnic communities. But taking the prize for counter culture meets the establishment, Hell's Angels on their Harleys roaring past her bemused majesty.

The queen's rule draws a vast circle around the world. No longer empire, no longer colonies, nonetheless the commonwealth parade was the reminder that once this was the greatest empire, dwarfing even the Romans at their height. And on this day, people said thank you for a half century of stability and continuity, thank you, ma'am, for 50 great years. Christiane Amanpour, CNN, London.

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HARRIS: And we've just had 60 great minutes, but that's all for us tonight. Thanks for sticking around. We sure appreciate it. Stay tuned, "LARRY KING LIVE" is coming up next. I'm Leon Harris, hope to see you tomorrow night.

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