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ETA Denies Responsibility for Blasts in Spain; Bush Attends Ceremony Honoring Victims of Spanish Blasts Yesterday

Aired March 12, 2004 - 14:00   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.


MILES O'BRIEN, CNN ANCHOR: Madrid in mourning and it is not alone. From the pictures, you might think all of Spain is spending a rainy evening outdoors grieving for the dead in yesterday's rail attacks standing up for the rule of law.
The government invited nationwide demonstrations on the first night of a three day mourning period while broadening its investigation beyond the usual suspects. That group primarily includes the Basque terror organization ETA, which is taking pains today apparently to deny involvement.

At the same time, there are clues that seem to point in a very different direction and CNN's Christiane Amanpour is following all the twists and turns for us.

(BEGIN VIDEOTAPE)

CHRISTIANE AMANPOUR, CNN INTERNATIONAL CORRESPONDENT: What we're seeing here is people in fact walking towards the starting point and then, at least in this location, they will start moving in about half an hour from now from the main square a little bit up from where I am and all the way down the main road towards the site of one of the worst explosions yesterday, so that's what's happening here.

Now, there are also really it's a war of claims and blame and counterclaims going on right now. In the last few moments we have heard from Basque Television in the autonomous region that is essentially run by the Basque authorities over there.

We've heard that a call has been received to the newsroom, an anonymous call by someone claiming to talk for ETA, the terrorist organization that has been blamed by the government for yesterday's attacks. This caller denied all responsibility for yesterday's attacks and, in fact, we understand that similar calls have been made to other media in the Basque region.

They appear to be trying to get that word of denial out to as many of the Basque media outlets as they can but, at the same time, just before that announcement was made to CNN by Basque Television just before that the interior minister, the Spanish interior minister gave another briefing in which he said that ETA remains their prime suspect. This is a little of what he said about that.

ANGEL ACEBES, SPANISH INTERIOR MINISTER (through translator): We haven't projected any line of investigation. We are working on all of them with intensity and we are in constant touch with the intelligence services but up to now none of them has warned us that they have information that will point to a different line from ETA.

AMANPOUR: So this is a moment of deep sort of soul searching here. People really want to know who was responsible. On the other hand, they say whoever it was, ETA or al Qaeda or any other group, they are just pure killers and that people have come out, as you can see already, lots and lots of people in defiance of what happened here yesterday.

(END VIDEOTAPE)

O'BRIEN: CNN's Christiane Amanpour in Madrid.

If you were with us last hour, you saw President Bush paying his respects today at the D.C. home of the Spanish ambassador. CNN's Kathleen Koch has more on that, hello Kathleen.

KATHLEEN KOCH, CNN CORRESPONDENT: Hello, Miles.

Yes, the president about an hour ago participating in a (unintelligible) ceremony in honor of those who were killed in yesterday's terrorist bombings in Spain. The event was added to the president's schedule at the last minute this afternoon.

Spain of course a very key west ally in the war on terror. Its president supporting the United States in its action in Iraq despite the opposition of some 90 percent of the Spanish population.

(VIDEO CLIP OF PRESIDENT BUSH PAYING RESPECT FOR SPANISH VICTIMS OF YESTERDAY'S BOMBINGS)

KOCH: Mr. Bush at today's poignant ceremony offering America's prayers and sympathies to the Spanish people and showing solidarity in the face of a threat that the United States knows all too well.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: The bombings in Spain are a grim reminder that there are evil people in the world who are willing to kill innocent life. I appreciate so very much your government's strong stand against terrorism and terrorist organizations like ETA. The United States of America stands firmly with you as we work to make the world more peaceful and more free.

(END VIDEO CLIP)

KOCH: Now the president also added that both the United States and Spain would stand firm, stand strong against what he called killers who try to "shake our will, shake our confidence in the future."

The president's spokesman, Scott McClellan, this morning did say that U.S. officials on the ground in Spain are staying very closely in contact with Spanish authorities.

The U.S. has offered its help, anything that it can do in the aftermath of the bombing though. McClellan said at this point it's not clear whether or not Spain has officially requested any such assistance.

And, as to whether or not the U.S. will change anything it is doing, perhaps raise its terror alert after the deadly bombings, McClellan said that is not in the works at this point, though he said it is something that they do constantly look at and review -- Miles.

O'BRIEN: CNN's Kathleen Koch at the White House thank you very much.

Weeping, wailing and lots of gnashing as South Korea's National Assembly votes to impeach President Roh Moo-hyun. After the unprecedented vote, security guards dragged struggling Roh supporters out of the chambers as others wept and cursed.

Roh's administration has been tarnished with a series of corruption and scandals. South Korea's prime minister takes over until the country's constitutional court decides whether to back the impeachment. That could take up to six months.

California's Supreme Court puts an end to the parade of same-sex marriages in San Francisco at least for now; however, it did not invalidate the more than 4,000 same-sex weddings that have taken place since Mayor Gavin Newsom ordered city officials to start handing out those licenses last month. Newsom will explain his action to the court at a hearing later this spring.

Meanwhile, some teary-eyes couples were turned away at city hall yesterday. Gay and lesbian couples from across the country have been traveling to San Francisco to exchange vows.

Massachusetts Governor Mit Romney weighs in on same-sex marriages in his state. Romney says he won't issue an executive order blocking the weddings; however, last night lawmakers in the commonwealth came close to approving a constitutional amendment banning such unions.

CNN National Correspondent Gary Tuchman was there.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: The joint session will come to order.

GARY TUCHMAN, CNN NATIONAL CORRESPONDENT: Two hundred Massachusetts State Representatives and Senators considering whether to amend their state constitution to ban same-sex marriages.

SHIRLEY OWENS HICKS, MASSACHUSETTS STATE HOUSE: I believe the Bible and I also believe the American Heritage Dictionary and each of these books defines marriage as a union between a man and a woman.

TUCHMAN: That is not the view of the state's highest court, which ruled in November that same-sex marriages in Massachusetts can occur as early as May 17th and that decision proved to be the impetus for this constitutional convention which gay marriage supporters did not want to see happen.

THEODORE SPELIOTIS, MASSACHUSETTS STATE HOUSE: I worked too hard to get this job and to stay in this job to vote in a fashion that tells an entire segment of my population that they're different and they're not accepted.

TUCHMAN: Thousands of demonstrators on both sides of the issue gathered inside and outside the State Capitol. The demonstrators included parochial school students on field trips.

UNIDENTIFIED FEMALE: They know that they need a mom and a dad at home, not a dad and a dad.

TUCHMAN: Families also turned out.

UNIDENTIFIED FEMALE: There wouldn't be a vote to take away any other kind of civil right and there shouldn't be a vote to take away gay and lesbian rights.

UNIDENTIFIED MALE: One man, one woman, let the people vote it up. It's all about America.

TUCHMAN: After nine and a half hours of debate...

UNIDENTIFIED MALE: On this matter, 127 members have voted in the affirmative, 77 in the negative. The proposal is ordered to a third reading.

TUCHMAN: Legislators gave preliminary approval to a measure to ban gay marriages but allow civil unions. The final vote won't come until the end of the month. Under Massachusetts law if it passes, it still has to be approved by the legislature again next year and then would have to come up for a statewide referendum in November, 2006.

(END VIDEOTAPE)

O'BRIEN: CNN's Gary Tuchman.

Right now, Massachusetts is the only state where same-sex marriages are legal. The first such weddings are scheduled to begin on May 17th.

News across America now. The woman who accused Kobe Bryant of rape will have to answer probing questions about her sexual past. The Colorado Supreme Court refused a prosecution request to bar the testimony. The NBA star says the sex was consensual.

It's not easy finding a jury for Scott Peterson's double murder trial. Peterson's attorneys say nearly two-thirds of the first 1,000 people in that jury pool have been excused now. Many said they had already decided Peterson's guilt or innocence. The defense says it will try to have the trial moved again.

The jury has been seated in the Terry Nichols murder trial. Nichols is charged in the deaths of 160 people killed in the 1995 Oklahoma City bombing. He is already serving a life sentence for the deaths of eight law enforcement officers killed in the attack. If convicted on the state charges, Nichols could face the death penalty. The manslaughter trial of retired NBA star Jayson Williams has adjourned for the weekend. The case against him may have gotten a bit of a boost yesterday from the testimony of a forensic expert who is no stranger to high profile cases.

Maria Hinojosa reports.

(BEGIN VIDEOTAPE)

MARIA HINOJOSA, CNN CORRESPONDENT (voice-over): Five weeks on trial may be taking a toll on former basketball star Jayson Williams.

DR. HENRY C. LEE, FORENSIC SPECIALIST: Henry C. Lee, L-E-E.

HINOJOSA: On Thursday, he faced Dr. Henry Lee, who took the stand for the prosecution. Lee is the renowned forensic specialist who testified in the O.J. Simpson and Jon Benet Ramsey cases.

LEE: This is the bedroom. Everything in the proper place.

HINOJOSA: Lee's testimony based only on photographs he saw supported that of other prosecution witnesses who said they saw Williams shoot his limo driver, Gus Christofi, at close range.

LEE: The weapon, the barrel to target is approximately six to 18 inches so in other words the shooter more likely probably four or five feet away.

HINOJOSA: Lee testified the weapon was handled after the shooting. The prosecution says Williams attempted a cover-up.

LEE: Weapon was found next to doorway. It's inconsistent with what our reconstruction. Somebody had to move the weapon to that location, so the scene being altered.

HINOJOSA: The defense maintains the shooting was an accident and challenged the accusation of a cover-up.

UNIDENTIFIED MALE: You don't know who touched those hands, how those hands were touched or anything about that correct?

LEE: Did I say anybody?

UNIDENTIFIED MALE: No. I'm asking you yes or no, just say no if you don't.

LEE: I don't.

HINOJOSA (on camera): The trial resumes on Monday with more prosecution witnesses. Because of a gag order, no one knows if Jayson Williams will take the stand to try to convince jurors it was an accident. If convicted, he faces a maximum of 55 years in prison.

Maria Hinojosa, CNN, New York.

(END VIDEOTAPE) O'BRIEN: Taking aim against terrorism, experiences overseas inspire a new strategy for American forces fighting the war on terror.

Conspiring with the enemy, an American woman accused of illegally aiding Iraq.

And a mom charged with murder after her baby is stillborn, it's a case that raises all kinds of meddlesome ethical issues.

ANNOUNCER: You're watching LIVE FROM on CNN, the most trusted name in news.

(COMMERCIAL BREAK)

(WEATHER FORECAST)

(COMMERCIAL BREAK)

O'BRIEN: Going negative or just setting the record straight? The Bush reelection campaign has launched more radio and TV ads, this time targeting John Kerry directly. Take a look.

(BEGIN VIDEO CLIP)

BUSH: I'm George W. Bush and I approved this message.

ANNOUNCER: A president sets his agenda for America in the first 100 days. John Kerry's plan to pay for new government spending, raise taxes by at least $900 billion, on the war on terror weaken the Patriot Act used to arrest terrorists and protect America and he wanted to delay defending America until the United Nations approved.

(END VIDEO CLIP)

O'BRIEN: The Kerry team is returning fire, responding with its own set of ads. Our Bob Franken has a preview of those, hello Bob.

BOB FRANKEN, CNN NATIONAL CORRESPONDENT: Hello.

They're going to be buying them in 18 states, many of those considered battleground states. In a word what the ad says is that the Bush commercials are balderdash.

(BEGIN VIDEO CLIP)

ANNOUNCER: Once again, George Bush is misleading America. John Kerry has never called for a $900 billion tax increase. He wants to cut taxes for the middle class. Doesn't America deserve more from its president than misleading negative ads? John Kerry will crack down...

(END VIDEO CLIP)

FRANKEN: Now the plan, according to the Kerry campaign is to respond as the Bush campaign uses its millions upon millions to buy ads. The problem that Kerry is going to have he doesn't have anywhere near the money. And, as a matter of fact, some political strategists suggest that a ploy could be for Bush to buy ads that are not necessarily needed so Kerry has to spend his money. Kerry is going to try and raise more money so he can stay competitive in this long period leading up to the General Election -- Miles.

O'BRIEN: Well, clearly a war of attrition favors the president right now and clearly John Kerry has tried to learn a lesson of Michael Dukakis in 1988. Where do you see it going? At a certain point he may not be able to respond.

FRANKEN: Well, he is going to be talking to his various Democratic leaders. He's going to be talking to the campaigns and the supporters of all those who were engaged with other candidates in the primary. Kerry forces promise that they are going to be competitive that this is going to be a competitive race. We'll see what happens when the Bush campaign really starts using its money.

O'BRIEN: All right. They haven't even really gotten started yet, have they?

FRANKEN: Right.

O'BRIEN: Bob Franken in Washington thank you very much.

Different campaign ads, different stories, so what's true, what's fiction? It can oftentimes be difficult to sort all that out. "INSIDE POLITICS" is just the place to do it, however. Judy Woodruff will be with you at 3:30 p.m. Eastern as she always is. We invite you to stay tuned.

A former congressional aide accused of working as an Iraqi agent has been released on $500,000 bond after appearing in court yesterday. Susan Lindauer was ordered to undergo a psychiatric evaluation.

For more on this story we go to Justice Correspondent Kelli Arena.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN JUSTICE CORRESPONDENT (voice-over): Susan Lindauer, a former journalist and congressional aide, was arrested in Takoma Park, Maryland for allegedly acting as an Iraqi agent.

SUSAN LINDAUER, ACCUSED OF WORKING AS IRAQI AGENT: I'm an anti- war activist and I'm innocent.

ARENA: An indictment says Lindauer had repeated contacts with Iraqi intelligence officers in New York and Baghdad between 1999 and 2002 and conspired with two sons of Iraq's former liaison with U.N. weapons inspectors. Lindauer says she was trying to get inspectors back into Iraq.

LINDAUER: I'm very proud and I will very proudly stand by my achievements. ARENA: In January, 2003, two months before the U.S. invaded Iraq, prosecutors say she took a letter to the home of a U.S. official saying she had access to Saddam Hussein's regime.

Sources tell CNN that official was White House Chief of Staff Andrew Card, Lindauer's second cousin. The White House says Card never met with Lindauer and called the incident very sad.

LINDAUER: I'm an anti-war activist.

ARENA: Sources say Card alerted authorities. Then the FBI set up a sting operation. In June, prosecutors say, Lindauer met with an undercover FBI agent posing as an agent for Libyan intelligence looking to support resistance groups in post war Iraq.

And near her home in Takoma Park, they say she followed instructions to leave unspecified documents at dead drop locations. Neighbors were surprised.

UNIDENTIFIED MALE: She was a Takoma Park type person. They're pretty unique around here. We're nuclear freeze owners you know, so a very laid back, liberal sort of person.

ARENA: Prosecutors say Iraq paid Lindauer $10,000 for expenses and services. She faces up to 25 years in prison if she's convicted on all charges.

LINDAUER: This is what democracy is all about.

UNIDENTIFIED MALE: No, she's not going to make any comments.

ARENA: Kelli Arena, CNN, Washington.

(END VIDEOTAPE)

O'BRIEN: The terror blast in Spain raised questions for the world. We continue to bring you live pictures of Madrid as commemorations continue into the evening hours there in the wake of those terrible bombings rush hour the day before. Who did it? Will they do it again? We'll look at how the methods of the attacks hold clues about who is behind them -- Mary.

MARY SNOW, CNN CORRESPONDENT: Miles, more people are taking to the skies but airline profits remain grounded. I'll tell you why when CNN'S LIVE FROM continues right after this break.

(COMMERCIAL BREAK)

O'BRIEN: The outsourcing of U.S. jobs overseas is a hot topic this election year but you probably didn't know that some states are paying workers in other countries to help unemployed Americans who are on food stamps. That's true.

As Financial Correspondent Bill Tucker reports, it's made a lot of people mad.

(BEGIN VIDEOTAPE)

BILL TUCKER, CNN FINANCIAL CORRESPONDENT (voice-over): It's not hard to find outrage about tax dollars for federally funded welfare programs going offshore.

APRIL SHARPE, FOOD STAMP RECIPIENT: I'm shocked that you would take the jobs out of the United States and give it to other people (unintelligible). Like I said, I'm unemployed. Give me the job.

KERRI KORPI, AMERICAN FED. OF STATE CO. AND MUNICIPAL EMPLOYEES: This is a program that's set up to help people who can't find a job, so if somebody is calling for help on food stamps and they're calling India it's a cruel irony. If instead that job was located here in the United States, maybe there would be one less person who needed food stamps.

TUCKER: Most of those programs are managed by JP Morgan and (unintelligible) and they offshore the work. A survey done by Stella Hopkins of the "Charlotte Observer" found that 40 states, plus the District of Columbia have food stamp help desks that use operators in other countries, which creates another issue.

JODI HARAWITZ, COMMUNITY FOOD RESOURCE CENTER: Somebody who is being called who is 6,000 miles away can't say well how to get to the No. 4 train to get to a food stamp office. They can't tell them what a farmer's market is and that they can use their food stamps there.

TUCKER: For some, bringing the jobs home is a simple equation.

LIZ FIGUEROA, CALIFORNIA STATE SENATE: We would be assisting our economy if those jobs were held here in the United States.

TUCKER: Senator Figueroa has a bill pending to ban California tax dollars from going offshore. California is one of 23 states with such legislation pending.

(on camera): It's become apparent over the last several months that many, if not all state legislators had no idea that portions of their food stamp help desks were going overseas and as awareness grows so do state efforts to fix the situation.

Bill Tucker, CNN, New York.

(END VIDEOTAPE)

O'BRIEN: Well, SpongeBob SquarePants blows some love bubbles after the Dish Network and Viacom mend their financial fences. Viacom sent this little thank you to viewers left without their MTV, CBS, BET, Nick at Nite, and other channels since Tuesday, most importantly from parents that were without SpongeBob of course. The two companies say they have reached a long term agreement. I'm so glad they got that settled.

Now demand for air travel is rebounding but is it enough to boost profits for struggling carriers? Mary Snow joining us live from the New York Stock Exchange. Of course there are so many factors when you're running an airline. Fuel costs are very high right now. That's got to be killing them.

SNOW: Right. Yes, that certainly is a big factor, Miles, and if you take a look at the numbers though the data shows that more people are flying; however, airline revenue is still lagging.

The Transportation Department reports the demand for air travel has recovered from its post September 11th decline. Consumers though still aren't spending the kind of money they were spending back in 2001.

More people boarded commercial flights in the last three months of 2003 than in any other fourth quarter since the year 2000 and more than 146 million took flights in the U.S. during that time period.

However, airline analysts are saying that people who are flying most of them are leisure travelers and they hold out for cheap tickets, plus business travel -- the business travelers who are flying aren't paying enough to boost profits at airlines and, Miles, as you mentioned those high oil prices are also keeping profits grounded -- Miles.

O'BRIEN: All right, Mary Snow. We've heard the C-word a little bit of late as in correction.

SNOW: Yes.

O'BRIEN: And yet the market appears to be back up. Sort this all out for us. Get the crystal ball and tell me what's going to happen.

SNOW: I wish I could, Miles, but I'll tell you what did happen this week. As you say, correction. Some analysts say, you know, it was a self-fulfilling prophecy. The market had been doing so well that there needed to be a pullback. It happened as we can see this week.

Today, stocks are amending a bit but as of yesterday's close the blue chips were down nearly 500 points. It's more than four percent of the week. If today's gains stick, the market will break its four session losing streak.

As you can see, the Dow right now up 86 points, the NASDAQ composite is gaining one and a half percent and today's gains come despite some disappointing economic news. The University of Michigan's closely watched reading of consumer sentiment dipped this month in its forecast. That has a lot to do with the jobs outlook. That's the latest from Wall Street.

Coming up the deadline to file your taxes is right around the corner. The IRS is on the prowl. We'll have that story when LIVE FROM continues right after this break.

(COMMERCIAL BREAK)

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Attends Ceremony Honoring Victims of Spanish Blasts Yesterday>


Aired March 12, 2004 - 14:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
MILES O'BRIEN, CNN ANCHOR: Madrid in mourning and it is not alone. From the pictures, you might think all of Spain is spending a rainy evening outdoors grieving for the dead in yesterday's rail attacks standing up for the rule of law.
The government invited nationwide demonstrations on the first night of a three day mourning period while broadening its investigation beyond the usual suspects. That group primarily includes the Basque terror organization ETA, which is taking pains today apparently to deny involvement.

At the same time, there are clues that seem to point in a very different direction and CNN's Christiane Amanpour is following all the twists and turns for us.

(BEGIN VIDEOTAPE)

CHRISTIANE AMANPOUR, CNN INTERNATIONAL CORRESPONDENT: What we're seeing here is people in fact walking towards the starting point and then, at least in this location, they will start moving in about half an hour from now from the main square a little bit up from where I am and all the way down the main road towards the site of one of the worst explosions yesterday, so that's what's happening here.

Now, there are also really it's a war of claims and blame and counterclaims going on right now. In the last few moments we have heard from Basque Television in the autonomous region that is essentially run by the Basque authorities over there.

We've heard that a call has been received to the newsroom, an anonymous call by someone claiming to talk for ETA, the terrorist organization that has been blamed by the government for yesterday's attacks. This caller denied all responsibility for yesterday's attacks and, in fact, we understand that similar calls have been made to other media in the Basque region.

They appear to be trying to get that word of denial out to as many of the Basque media outlets as they can but, at the same time, just before that announcement was made to CNN by Basque Television just before that the interior minister, the Spanish interior minister gave another briefing in which he said that ETA remains their prime suspect. This is a little of what he said about that.

ANGEL ACEBES, SPANISH INTERIOR MINISTER (through translator): We haven't projected any line of investigation. We are working on all of them with intensity and we are in constant touch with the intelligence services but up to now none of them has warned us that they have information that will point to a different line from ETA.

AMANPOUR: So this is a moment of deep sort of soul searching here. People really want to know who was responsible. On the other hand, they say whoever it was, ETA or al Qaeda or any other group, they are just pure killers and that people have come out, as you can see already, lots and lots of people in defiance of what happened here yesterday.

(END VIDEOTAPE)

O'BRIEN: CNN's Christiane Amanpour in Madrid.

If you were with us last hour, you saw President Bush paying his respects today at the D.C. home of the Spanish ambassador. CNN's Kathleen Koch has more on that, hello Kathleen.

KATHLEEN KOCH, CNN CORRESPONDENT: Hello, Miles.

Yes, the president about an hour ago participating in a (unintelligible) ceremony in honor of those who were killed in yesterday's terrorist bombings in Spain. The event was added to the president's schedule at the last minute this afternoon.

Spain of course a very key west ally in the war on terror. Its president supporting the United States in its action in Iraq despite the opposition of some 90 percent of the Spanish population.

(VIDEO CLIP OF PRESIDENT BUSH PAYING RESPECT FOR SPANISH VICTIMS OF YESTERDAY'S BOMBINGS)

KOCH: Mr. Bush at today's poignant ceremony offering America's prayers and sympathies to the Spanish people and showing solidarity in the face of a threat that the United States knows all too well.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: The bombings in Spain are a grim reminder that there are evil people in the world who are willing to kill innocent life. I appreciate so very much your government's strong stand against terrorism and terrorist organizations like ETA. The United States of America stands firmly with you as we work to make the world more peaceful and more free.

(END VIDEO CLIP)

KOCH: Now the president also added that both the United States and Spain would stand firm, stand strong against what he called killers who try to "shake our will, shake our confidence in the future."

The president's spokesman, Scott McClellan, this morning did say that U.S. officials on the ground in Spain are staying very closely in contact with Spanish authorities.

The U.S. has offered its help, anything that it can do in the aftermath of the bombing though. McClellan said at this point it's not clear whether or not Spain has officially requested any such assistance.

And, as to whether or not the U.S. will change anything it is doing, perhaps raise its terror alert after the deadly bombings, McClellan said that is not in the works at this point, though he said it is something that they do constantly look at and review -- Miles.

O'BRIEN: CNN's Kathleen Koch at the White House thank you very much.

Weeping, wailing and lots of gnashing as South Korea's National Assembly votes to impeach President Roh Moo-hyun. After the unprecedented vote, security guards dragged struggling Roh supporters out of the chambers as others wept and cursed.

Roh's administration has been tarnished with a series of corruption and scandals. South Korea's prime minister takes over until the country's constitutional court decides whether to back the impeachment. That could take up to six months.

California's Supreme Court puts an end to the parade of same-sex marriages in San Francisco at least for now; however, it did not invalidate the more than 4,000 same-sex weddings that have taken place since Mayor Gavin Newsom ordered city officials to start handing out those licenses last month. Newsom will explain his action to the court at a hearing later this spring.

Meanwhile, some teary-eyes couples were turned away at city hall yesterday. Gay and lesbian couples from across the country have been traveling to San Francisco to exchange vows.

Massachusetts Governor Mit Romney weighs in on same-sex marriages in his state. Romney says he won't issue an executive order blocking the weddings; however, last night lawmakers in the commonwealth came close to approving a constitutional amendment banning such unions.

CNN National Correspondent Gary Tuchman was there.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: The joint session will come to order.

GARY TUCHMAN, CNN NATIONAL CORRESPONDENT: Two hundred Massachusetts State Representatives and Senators considering whether to amend their state constitution to ban same-sex marriages.

SHIRLEY OWENS HICKS, MASSACHUSETTS STATE HOUSE: I believe the Bible and I also believe the American Heritage Dictionary and each of these books defines marriage as a union between a man and a woman.

TUCHMAN: That is not the view of the state's highest court, which ruled in November that same-sex marriages in Massachusetts can occur as early as May 17th and that decision proved to be the impetus for this constitutional convention which gay marriage supporters did not want to see happen.

THEODORE SPELIOTIS, MASSACHUSETTS STATE HOUSE: I worked too hard to get this job and to stay in this job to vote in a fashion that tells an entire segment of my population that they're different and they're not accepted.

TUCHMAN: Thousands of demonstrators on both sides of the issue gathered inside and outside the State Capitol. The demonstrators included parochial school students on field trips.

UNIDENTIFIED FEMALE: They know that they need a mom and a dad at home, not a dad and a dad.

TUCHMAN: Families also turned out.

UNIDENTIFIED FEMALE: There wouldn't be a vote to take away any other kind of civil right and there shouldn't be a vote to take away gay and lesbian rights.

UNIDENTIFIED MALE: One man, one woman, let the people vote it up. It's all about America.

TUCHMAN: After nine and a half hours of debate...

UNIDENTIFIED MALE: On this matter, 127 members have voted in the affirmative, 77 in the negative. The proposal is ordered to a third reading.

TUCHMAN: Legislators gave preliminary approval to a measure to ban gay marriages but allow civil unions. The final vote won't come until the end of the month. Under Massachusetts law if it passes, it still has to be approved by the legislature again next year and then would have to come up for a statewide referendum in November, 2006.

(END VIDEOTAPE)

O'BRIEN: CNN's Gary Tuchman.

Right now, Massachusetts is the only state where same-sex marriages are legal. The first such weddings are scheduled to begin on May 17th.

News across America now. The woman who accused Kobe Bryant of rape will have to answer probing questions about her sexual past. The Colorado Supreme Court refused a prosecution request to bar the testimony. The NBA star says the sex was consensual.

It's not easy finding a jury for Scott Peterson's double murder trial. Peterson's attorneys say nearly two-thirds of the first 1,000 people in that jury pool have been excused now. Many said they had already decided Peterson's guilt or innocence. The defense says it will try to have the trial moved again.

The jury has been seated in the Terry Nichols murder trial. Nichols is charged in the deaths of 160 people killed in the 1995 Oklahoma City bombing. He is already serving a life sentence for the deaths of eight law enforcement officers killed in the attack. If convicted on the state charges, Nichols could face the death penalty. The manslaughter trial of retired NBA star Jayson Williams has adjourned for the weekend. The case against him may have gotten a bit of a boost yesterday from the testimony of a forensic expert who is no stranger to high profile cases.

Maria Hinojosa reports.

(BEGIN VIDEOTAPE)

MARIA HINOJOSA, CNN CORRESPONDENT (voice-over): Five weeks on trial may be taking a toll on former basketball star Jayson Williams.

DR. HENRY C. LEE, FORENSIC SPECIALIST: Henry C. Lee, L-E-E.

HINOJOSA: On Thursday, he faced Dr. Henry Lee, who took the stand for the prosecution. Lee is the renowned forensic specialist who testified in the O.J. Simpson and Jon Benet Ramsey cases.

LEE: This is the bedroom. Everything in the proper place.

HINOJOSA: Lee's testimony based only on photographs he saw supported that of other prosecution witnesses who said they saw Williams shoot his limo driver, Gus Christofi, at close range.

LEE: The weapon, the barrel to target is approximately six to 18 inches so in other words the shooter more likely probably four or five feet away.

HINOJOSA: Lee testified the weapon was handled after the shooting. The prosecution says Williams attempted a cover-up.

LEE: Weapon was found next to doorway. It's inconsistent with what our reconstruction. Somebody had to move the weapon to that location, so the scene being altered.

HINOJOSA: The defense maintains the shooting was an accident and challenged the accusation of a cover-up.

UNIDENTIFIED MALE: You don't know who touched those hands, how those hands were touched or anything about that correct?

LEE: Did I say anybody?

UNIDENTIFIED MALE: No. I'm asking you yes or no, just say no if you don't.

LEE: I don't.

HINOJOSA (on camera): The trial resumes on Monday with more prosecution witnesses. Because of a gag order, no one knows if Jayson Williams will take the stand to try to convince jurors it was an accident. If convicted, he faces a maximum of 55 years in prison.

Maria Hinojosa, CNN, New York.

(END VIDEOTAPE) O'BRIEN: Taking aim against terrorism, experiences overseas inspire a new strategy for American forces fighting the war on terror.

Conspiring with the enemy, an American woman accused of illegally aiding Iraq.

And a mom charged with murder after her baby is stillborn, it's a case that raises all kinds of meddlesome ethical issues.

ANNOUNCER: You're watching LIVE FROM on CNN, the most trusted name in news.

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O'BRIEN: Going negative or just setting the record straight? The Bush reelection campaign has launched more radio and TV ads, this time targeting John Kerry directly. Take a look.

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BUSH: I'm George W. Bush and I approved this message.

ANNOUNCER: A president sets his agenda for America in the first 100 days. John Kerry's plan to pay for new government spending, raise taxes by at least $900 billion, on the war on terror weaken the Patriot Act used to arrest terrorists and protect America and he wanted to delay defending America until the United Nations approved.

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O'BRIEN: The Kerry team is returning fire, responding with its own set of ads. Our Bob Franken has a preview of those, hello Bob.

BOB FRANKEN, CNN NATIONAL CORRESPONDENT: Hello.

They're going to be buying them in 18 states, many of those considered battleground states. In a word what the ad says is that the Bush commercials are balderdash.

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ANNOUNCER: Once again, George Bush is misleading America. John Kerry has never called for a $900 billion tax increase. He wants to cut taxes for the middle class. Doesn't America deserve more from its president than misleading negative ads? John Kerry will crack down...

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FRANKEN: Now the plan, according to the Kerry campaign is to respond as the Bush campaign uses its millions upon millions to buy ads. The problem that Kerry is going to have he doesn't have anywhere near the money. And, as a matter of fact, some political strategists suggest that a ploy could be for Bush to buy ads that are not necessarily needed so Kerry has to spend his money. Kerry is going to try and raise more money so he can stay competitive in this long period leading up to the General Election -- Miles.

O'BRIEN: Well, clearly a war of attrition favors the president right now and clearly John Kerry has tried to learn a lesson of Michael Dukakis in 1988. Where do you see it going? At a certain point he may not be able to respond.

FRANKEN: Well, he is going to be talking to his various Democratic leaders. He's going to be talking to the campaigns and the supporters of all those who were engaged with other candidates in the primary. Kerry forces promise that they are going to be competitive that this is going to be a competitive race. We'll see what happens when the Bush campaign really starts using its money.

O'BRIEN: All right. They haven't even really gotten started yet, have they?

FRANKEN: Right.

O'BRIEN: Bob Franken in Washington thank you very much.

Different campaign ads, different stories, so what's true, what's fiction? It can oftentimes be difficult to sort all that out. "INSIDE POLITICS" is just the place to do it, however. Judy Woodruff will be with you at 3:30 p.m. Eastern as she always is. We invite you to stay tuned.

A former congressional aide accused of working as an Iraqi agent has been released on $500,000 bond after appearing in court yesterday. Susan Lindauer was ordered to undergo a psychiatric evaluation.

For more on this story we go to Justice Correspondent Kelli Arena.

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KELLI ARENA, CNN JUSTICE CORRESPONDENT (voice-over): Susan Lindauer, a former journalist and congressional aide, was arrested in Takoma Park, Maryland for allegedly acting as an Iraqi agent.

SUSAN LINDAUER, ACCUSED OF WORKING AS IRAQI AGENT: I'm an anti- war activist and I'm innocent.

ARENA: An indictment says Lindauer had repeated contacts with Iraqi intelligence officers in New York and Baghdad between 1999 and 2002 and conspired with two sons of Iraq's former liaison with U.N. weapons inspectors. Lindauer says she was trying to get inspectors back into Iraq.

LINDAUER: I'm very proud and I will very proudly stand by my achievements. ARENA: In January, 2003, two months before the U.S. invaded Iraq, prosecutors say she took a letter to the home of a U.S. official saying she had access to Saddam Hussein's regime.

Sources tell CNN that official was White House Chief of Staff Andrew Card, Lindauer's second cousin. The White House says Card never met with Lindauer and called the incident very sad.

LINDAUER: I'm an anti-war activist.

ARENA: Sources say Card alerted authorities. Then the FBI set up a sting operation. In June, prosecutors say, Lindauer met with an undercover FBI agent posing as an agent for Libyan intelligence looking to support resistance groups in post war Iraq.

And near her home in Takoma Park, they say she followed instructions to leave unspecified documents at dead drop locations. Neighbors were surprised.

UNIDENTIFIED MALE: She was a Takoma Park type person. They're pretty unique around here. We're nuclear freeze owners you know, so a very laid back, liberal sort of person.

ARENA: Prosecutors say Iraq paid Lindauer $10,000 for expenses and services. She faces up to 25 years in prison if she's convicted on all charges.

LINDAUER: This is what democracy is all about.

UNIDENTIFIED MALE: No, she's not going to make any comments.

ARENA: Kelli Arena, CNN, Washington.

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O'BRIEN: The terror blast in Spain raised questions for the world. We continue to bring you live pictures of Madrid as commemorations continue into the evening hours there in the wake of those terrible bombings rush hour the day before. Who did it? Will they do it again? We'll look at how the methods of the attacks hold clues about who is behind them -- Mary.

MARY SNOW, CNN CORRESPONDENT: Miles, more people are taking to the skies but airline profits remain grounded. I'll tell you why when CNN'S LIVE FROM continues right after this break.

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O'BRIEN: The outsourcing of U.S. jobs overseas is a hot topic this election year but you probably didn't know that some states are paying workers in other countries to help unemployed Americans who are on food stamps. That's true.

As Financial Correspondent Bill Tucker reports, it's made a lot of people mad.

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BILL TUCKER, CNN FINANCIAL CORRESPONDENT (voice-over): It's not hard to find outrage about tax dollars for federally funded welfare programs going offshore.

APRIL SHARPE, FOOD STAMP RECIPIENT: I'm shocked that you would take the jobs out of the United States and give it to other people (unintelligible). Like I said, I'm unemployed. Give me the job.

KERRI KORPI, AMERICAN FED. OF STATE CO. AND MUNICIPAL EMPLOYEES: This is a program that's set up to help people who can't find a job, so if somebody is calling for help on food stamps and they're calling India it's a cruel irony. If instead that job was located here in the United States, maybe there would be one less person who needed food stamps.

TUCKER: Most of those programs are managed by JP Morgan and (unintelligible) and they offshore the work. A survey done by Stella Hopkins of the "Charlotte Observer" found that 40 states, plus the District of Columbia have food stamp help desks that use operators in other countries, which creates another issue.

JODI HARAWITZ, COMMUNITY FOOD RESOURCE CENTER: Somebody who is being called who is 6,000 miles away can't say well how to get to the No. 4 train to get to a food stamp office. They can't tell them what a farmer's market is and that they can use their food stamps there.

TUCKER: For some, bringing the jobs home is a simple equation.

LIZ FIGUEROA, CALIFORNIA STATE SENATE: We would be assisting our economy if those jobs were held here in the United States.

TUCKER: Senator Figueroa has a bill pending to ban California tax dollars from going offshore. California is one of 23 states with such legislation pending.

(on camera): It's become apparent over the last several months that many, if not all state legislators had no idea that portions of their food stamp help desks were going overseas and as awareness grows so do state efforts to fix the situation.

Bill Tucker, CNN, New York.

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O'BRIEN: Well, SpongeBob SquarePants blows some love bubbles after the Dish Network and Viacom mend their financial fences. Viacom sent this little thank you to viewers left without their MTV, CBS, BET, Nick at Nite, and other channels since Tuesday, most importantly from parents that were without SpongeBob of course. The two companies say they have reached a long term agreement. I'm so glad they got that settled.

Now demand for air travel is rebounding but is it enough to boost profits for struggling carriers? Mary Snow joining us live from the New York Stock Exchange. Of course there are so many factors when you're running an airline. Fuel costs are very high right now. That's got to be killing them.

SNOW: Right. Yes, that certainly is a big factor, Miles, and if you take a look at the numbers though the data shows that more people are flying; however, airline revenue is still lagging.

The Transportation Department reports the demand for air travel has recovered from its post September 11th decline. Consumers though still aren't spending the kind of money they were spending back in 2001.

More people boarded commercial flights in the last three months of 2003 than in any other fourth quarter since the year 2000 and more than 146 million took flights in the U.S. during that time period.

However, airline analysts are saying that people who are flying most of them are leisure travelers and they hold out for cheap tickets, plus business travel -- the business travelers who are flying aren't paying enough to boost profits at airlines and, Miles, as you mentioned those high oil prices are also keeping profits grounded -- Miles.

O'BRIEN: All right, Mary Snow. We've heard the C-word a little bit of late as in correction.

SNOW: Yes.

O'BRIEN: And yet the market appears to be back up. Sort this all out for us. Get the crystal ball and tell me what's going to happen.

SNOW: I wish I could, Miles, but I'll tell you what did happen this week. As you say, correction. Some analysts say, you know, it was a self-fulfilling prophecy. The market had been doing so well that there needed to be a pullback. It happened as we can see this week.

Today, stocks are amending a bit but as of yesterday's close the blue chips were down nearly 500 points. It's more than four percent of the week. If today's gains stick, the market will break its four session losing streak.

As you can see, the Dow right now up 86 points, the NASDAQ composite is gaining one and a half percent and today's gains come despite some disappointing economic news. The University of Michigan's closely watched reading of consumer sentiment dipped this month in its forecast. That has a lot to do with the jobs outlook. That's the latest from Wall Street.

Coming up the deadline to file your taxes is right around the corner. The IRS is on the prowl. We'll have that story when LIVE FROM continues right after this break.

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Attends Ceremony Honoring Victims of Spanish Blasts Yesterday>