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Arrest Warrant Issued for al-Sadr

Aired April 05, 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.


KYRA PHILLIPS, CNN ANCHOR: In Iraq's capital, burning vehicles are still blocking roads. Protesters in the streets and the cleric being blamed for inciting the violence is now a wanted man. CNN'S Baghdad bureau chief Jane Arraf joins us with the very latest. Jane?
JANE ARRAF, CNN BAGHDAD BUREAU CHIEF: Kyra, a lot going on, as you know, among the latest, the U.S. is issuing a virtual challenge to Moqtada al-Sadr saying that they have a warrant for his arrest. Now, this is not new. They've had a warrant for the arrest of this young radical cleric for some months, but this seems to be the first time they're laying it on the table and telling him he has to surrender.

Now, this of course was after the clashes in Baghdad on Sunday that were the worst clashes, the most widespread, severe since the end of the war. According to U.S. the Shia cleric Moqtada al-Sadr called his militia, his banned militia to Sadr City, a city of 1.5 million people, a neighborhood of Baghdad, and told them to take over police stations and public buildings. They fought with U.S. troops for more than seven hours. In the end 40 U.S. soldiers wounded, 8 of them killed. Many Iraqi dead still to be counted. And what appears to be shaping up into a political crisis and a military challenge. Now, one of the top generals here in Baghdad, Brigadier General Mark Hurtling said it was important for the First Armored Division to send a strong message.

(BEGIN VIDEO CLIP)

BRIGADIER GENERAL MARK HURTLING, U.S. ARMY: I think the instability piece or the feeling by Iraqis that this is another effect that causes more security concerns is the most important thing. And that's why it's so critical for us to make sure that this doesn't continue. And that's why we were so active yesterday in insuring that these militia were not allowed to roam through the streets of Baghdad.

(END VIDEO CLIP)

ARRAF: Now, the militia are no longer roaming through the streets but they are still defiant. Moqtada al-Sadr's followers saying that he will never surrender, they'll have to come and arrest him -- Kyra.

PHILLIPS: And once again, we continue to look at that videotape and see the pictures and images from when these civilians were killed last week, the cheering that took on in the streets. I know you spend a lot of time in these areas, you get to know the cultures and the people very well. Can you explain to us--because it is hard for us to understand here in the United States--why the cheering and why they react this way when deaths like this occur?

ARRAF: It is hard to come to grips with, the fact that people are celebrating such a gruesome act. But I think what we have to keep in mind is that there is an absolute obvious rage underneath there. This city is smoldering. It has been for a long time. And there are a lot of reasons for that. This is the place where U.S. troops opened fire on protesters last year, killing civilians. It is also a place where in 1991 the U.S. dropped a bomb by mistake on a marketplace.

Now, they have long memories. And if that weren't enough, currently a place where people feel like they've been cut out of everything. It's essentially Sunni. These are people who feel like they are fighting the occupiers. And what you see in those horrible, horrible pictures is really an element of what a minority appears to feel, which is absolute rage, despair and the power of being able to do something that violent. And cheer about it in front of the TV cameras. Hard to understand, I know. But what U.S. officials say is that Fallujah is an isolated place. They are, as you know, in the midst of a crackdown. The city has been surrounded by U.S. troops. There's been a curfew imposed and the fighting has started to try to restore order--the U.S. says--to that troubled town. Kyra?

PHILLIPS: Our Jane Arraf, live from Baghdad. Thanks so much. A refresher, now, on Iraq's Shia and Sunni Muslims. They are the two largest sects of Islam. Shias broke away hundreds of years ago. Before the war, Iraq was ruled by a Sunni elite. Well, Iraq is 97 percent Muslim, 60 percent Shia and 37 percent Sunni. Saddam Hussein is a Sunni Muslim. And Sunnis have dominated economic and political life in Iraq. No matter how fierce the fighting gets, President Bush says the U.S. will stay the course, that the transfer of power will take place June 30, as scheduled, and that U.S. troops will not pack up and leave immediately afterwards.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES OF AMERICA: The message to the Iraqi citizens is: they don't have to fear that America will turn and run. And that's an important message for them to hear. If they think we're not sincere about staying the course, many people will not continue to take a risk -- take the risk toward freedom and democracy.

(END VIDEO CLIP)

PHILLIPS: On the subject of his National Security Adviser appearing before the 9/11 Commission, the President said that he expected Condoleezza Rice to do just fine. CNN White House correspondent Suzanne Malveaux with more on what he had to say as he, too, prepares to face the panel.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT (voice-over): President Bush is focusing on the economy this week to promote the latest good numbers on job growth. But, also on his schedule now: a private meeting before the 9/11 Commission with Vice President Dick Cheney in the next two weeks. But all eyes are on his top adviser Condoleezza Rice who will testify publicly and under oath Thursday. She'll make the case, aides say, that the administration did all it could to prevent the 9/11 attacks. The White House resisted for weeks putting Rice in front of the commission publicly, citing executive privilege.

But the commission was so determined to have her testify, last Monday its executive director, Republican Philip Zelikow faxed White House counsel a 1945 New York Times photo and article showing presidential chief of staff Admiral William Leahy, back then Rice's equivalent, testifying before a congressional panel investigating Pearl Harbor. The commission argued history showed the White House's argument didn't hold up, its spokesmen said.

TIM ROEMER, 9/11 COMMISSION MEMBER: This may have been one of the straws on the camel's back, but the camel certainly had the big load of the 9/11 Commission with bipartisan support insisting on Dr. Rice's public and sworn testimony.

MALVEAUX: One big question before Rice will be whether the Bush administration treated the threat of al Qaeda as an urgent matter prior to September 11.

(on camera): Commission members say they'll release their final report to the public before the November elections to make sure it doesn't become an issue in the heat of the debate. Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

PHILLIPS: Condoleezza Rice testifies before the 9/11 Commission Thursday morning publicly and under oath at 9:00 Eastern and 6:00 Pacific. You can count on CNN to bring that to you live.

Other news across America now: Questions today about the Statue of Liberty-Ellis Island Foundation that handles its money. The Interior Department wants to know why it launched a $7 million fund- raising campaign when it already had a $30 million endowment. The New York Times reports the federal investigation is under way to determine how the organization spent donations earmarked to reopen the statue.

Fly cheaply and you just might get the ride of your life. And annual ratings of airlines shows that budget airlines like jetBlue and Southwest are more likely to arrive on time and get your luggage to the right airport.

And as the rest of the world prepares for the Summer Olympic Games in Athens, here it is: New York looks to boost its bid to host the games in 2012. Unveiling a new Olympic logo. The city hopes Lady Liberty will help carry that torch.

Of course the man wanted by authorities: exactly who is the Muslim cleric stirring his followers to violence in Iraq? And will American forces be able to calm things down? We'll go in depth in just two minutes.

And Martha Stewart asking her magazine readers a lot of questions. Find out what they are later on LIVE FROM.

(COMMERCIAL BREAK)

PHILLIPS: A hard-hitting speech today from Senator Ted Kennedy. The Massachusetts Democrat accused President Bush of breaking America's trust when it comes to the economy, health care and education. Speaking at the Brookings Institution, he compared the situation in Iraq to the war in Vietnam.

(BEGIN VIDEO CLIP)

SEN. EDWARD KENNEDY, (D) MASSACHUSETTS: How do we re-establish the working relationships we need with other countries to win the war on terrorism and advance the ideals we share? And how can we possibly expect President Bush to do that? He's the problem, not the solution. Iraq is George Bush's Vietnam and this country needs a new president.

(END VIDEO CLIP)

PHILLIPS: Iraq is also a shot issue on the book shelf. It's part of the clash of literature and politics. It's no surprise that liberal readers tend to look for books that reflect their world view and conservatives do the same. And neither group is borrowing the other's reading list. Here is CNN'S senior political analyst Bill Schneider.

(BEGIN VIDEOTAPE)

WILLIAM SCHNEIDER, CNN SENIOR POLITICAL ANALYST (voice-over): The literary arms race is on. Books have become weapons in the cultural war that's been going on since the '60s, left versus right. A war that reached a peak with the baby boom presidencies of Bill Clinton and George W. Bush.

RICH LOWRY, NATIONAL REVIEW: Clinton and Bush are sort of archetypes for each side of the conflict.

SCHNEIDER: The Clintons spawned an entire industry of anti- Clinton books with titles like High Crimes and Misdemeanors and No One Left to Lie To. But the Clintons got their revenge when Hillary Clinton's living history became a worldwide bestseller. Now a thriving market in anti-Bush books with titles like Bushwacked and Weapons of Mass Deception. The secret of success in that market? Timing, says David Corn, author of The Lies of George W. Bush.

DAVID CORN, AUTHOR, THE LIES OF GEORGE W. BUSH: In the spring of 2002 I talked to my agent about doing a book like this. She sniffed around the publishing houses and at that point there was no interest.

SCHNEIDER: But times change quickly.

CORN: In October of 2002, my agent tried again and got six houses within a day to say, yeah, we want to do it.

SCHNEIDER: Now, with the campaign on, there's also thriving market in pro-bush books like Deliver Us from Evil and The Faith of George W. Bush and Bush Country. Each side is armed to the teeth with shocking revelations...

CRAIG UNGER, AUTHOR, HOUSE OF BUSH, HOUSE OF SAUD: Never before in the history has a President of the United States had such a close relationship with another foreign power as the Bush family has with the Saudis.

SCHNEIDER: ...and up-front agendas like a new book by presidential adviser Karen Hughes.

KAREN HUGHES, PRESIDENTIAL ADVISER: Important to my family and all the families in America that he be re-elected.

SCHNEIDER: You know how on Web sites like Amazon.com and barnesandnoble.com they tell you "customers who bought this book also bought these other books?" One scholar used that information to map out books that shared the same readers. Sure enough, he found two distinct markets. A network of conservative readers who purchase books like The O'Reilly Factor and a network of liberal readers who purchase books like The Oh, Really? Factor. Blue readers and red readers rarely read each other's books. And there are very few books that both sides reads. Who needs neutrality when there's a war on?

(on camera): You want to see the literary arms race go nuclear? Wait until this summer when Bill Clinton's book is supposed to come out. Bill Schneider, CNN, Washington.

(END VIDEOTAPE)

PHILLIPS: More now on today's top story. A militant Iraqi cleric is a wanted man. Coalition forces announced an arrest warrant is issued for Shiite cleric Muqtada al-Sadr. They said and Iraqi judge issued the warrant several months ago in connection with last year's killing of a rival Shiite cleric. Sadr has been an outspoken critic of the U.S. presence. Thousands of his supporters protested in the streets when coalition authorities shut down his newspaper last month.

(BEGIN VIDEO CLIP)

HASSAN FATTAH, IRAQ TODAY: Certainly Sadr was actually being targeted. He was something they were going to arrest at some point, and then they chose not to. He has been somebody who has been trying to encourage a confrontation with the Coalition. And, in many ways, the closure of the paper last week was the confrontation he really wanted. This is a man who was actually not managing to get the same number of people out in the streets as usual. He didn't have the standing that he was getting. And all of a sudden, a day later--or actually the same day--he managed to bring out thousands and thousands of people in his support.

(END VIDEO CLIP)

PHILLIPS: News of al-Sadr's arrest warrant is just one of several developments in Iraq. Joining me now with some perspective, CNN military analyst Retired Brigadier General David Grange. General, good to see you. BRIG. GEN. DAVID GRANGE (RET.), CNN MILITARY ANALYST: Hi, how are you doing?

PHILLIPS: Let's talk about Sadr and why this would be an important arrest.

GRANGE: Well, you know, he's wanted. He's charged with a murder. He's--the Iraqi people themselves, the leadership in Iraq right now have asked for his arrest. It is a tough one, though. It is going to be tough to get U.S. soldiers or other Coalition soldiers involved. But they're going to have to. You just can't have some people break the law and because we're worried about uprisings and things, you just say it is hands-off and others you let go. I mean, you can't do that. So they're going to have to go after this guy.

PHILLIPS: And the leader of this militia group, called Mahdi's Army, a lot of people questioning does every political party have a militia tied to it?

GRANGE: Well, some I think are overt. But then there's some that may not be as apparent but they're covert. In other words, I believe every leader has some kind of a support background and because this is a country that still has many weapons out there, there are people that are armed that support these particular leaders. So you have to go under the assumption that there are weapons involved behind each of these type of leaders.

PHILLIPS: Well, we're hearing now--just the fact this Iraqi judge has come forward, issued this arrest warrant, is this a good sign that a judicial system is up and running, it's starting to operate-do you think this will send out any type of strong message?

GRANGE: Well, a good sign. I'm not sure how effective it is yet. But it is a good sign. I think what's key now in this is that the information campaign: that, in fact, an Iraqi judge did issue this warrant Has to get out to the people and has to be put out to the people through the Iraqi news media to give it some validity. And that's key to having it known to the people. Otherwise, it may be an unknown thing that this is an American initiative and not that of the Iraqis.

PHILLIPS: General, taking into account your special operations background and, of course, the fact you're a retired Brigadier General. Looking at Fallujah right now, seeing the pictures, seeing what's taken place, now marines have come in and they're talking about hitting this area hard, isolating this area, setting a curfew, basically "no mercy" approach. Is this the only way to gain control of this area that is simply out of control?

GRANGE: Well, there will be mercy. I don't know if we would say "no mercy," but it will be hard, as you outlined. They have to isolate the city. And they can't have a city that does its own thing while the rest of Iraq moves on to this change of government and market economy, et cetera. They have to do something with this town. And so the first step is to isolate it, control who goes in and out. And someone has to go inside: the tough part. And I think that will be a combination of Iraqi forces, whether the civil defense or military police and Coalition troops.

PHILLIPS: You observed what happened in Mogadishu. You remember the bodies of Americans being dragged through that area. You know the soldiers that were involved in that operation. You look at these pictures now and what's happening in Fallujah. You see the pictures on the front pages of newspapers and the videotape. First of all, I guess I want to know your personal thoughts as you remember Mogadishu and then see these pictures. And number two, can you help us try to understand in any way the disrespect to the dead?

GRANGE: Yeah, it's obviously a situation that definitely got control incited by some hard core insurgents. Definitely wrong. The value, the look (ph) of life of by some of these people are not the same way as some of our citizens look at it. I don't know. It is hard to say. But here's the situation here that the bodies were desecrated. It wasn't right what happened. Obviously this wasn't a-- this is an enemy and I'm going to slay them somehow. It was terrible. And they're going to take advantage of the media with these images which they have done, trying to get a situation like Somalia. I don't think it was planned that way, but it sort of developed that way with the media involved.

The only thing that bothered me about our response, and I say "our," the coalition response--and you can argue you may lose more people doing this--but: when you have a fallen American citizen you have to retrieve the American citizen yourself. That's the only thing I fault with what happened. You cannot leave that to clerics to local police. You need to go in and get your own people out. Whether it be military or civilian. It doesn't matter. It is an American citizen type of principle that you do this. And that's the only thing I would fault with the Coalition response--the American response--in that particular incident.

PHILLIPS: You don't leave any man or woman behind, isn't that right, General?

GRANGE: That's right.

PHILLIPS: Retired Brigadier General David Grange, always a pleasure, thank you, sir.

GRANGE: Thank you.

PHILLIPS: Straight ahead, short attention spans and your kids. Well, do the two go together at the house? You might want to turn off the tube, but not before you give them the scoop.

And later, four-legged invaders running amok. But the locals don't mind. In fact, they're as happy as little lambs.

FRED KATAYAMA, CNN CORRESPONDENT: I'm Fred Katayama in New York. "Martha Stewart Living" magazine is contemplating a makeover without Martha. We'll go through the possible changes when LIVE FROM: returns, after this break.

(COMMERCIAL BREAK) PHILLIPS: Pressing ahead: After the Tyco mistrial, prosecutors say they're going to retry Dennis Kozlowski and Mark Swartz as quickly as possible. Both of them are accused of looting millions from the company and now juror number four, held out as the holdup and cause of the mistrial, Ruth Jordan, is trying to clear her name. She tells "Newsday" quote "I wasn't unfair, but I did have a firm resting on the presumption of innocence" and she adds "I'm not going down the low road, but isn't it interesting how they (the other jurors) really want to get some notoriety?" Meanwhile, other Tyco jurors are giving us fresh insights about what their deliberations were focusing on.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It was sort of beside the fact. Some of the charges that, you know, we were perhaps more likely to find them guilty on were more how they got their money, not how they spent their money. We felt they could spend it however they wanted. But the issue was in some cases whether or not they were authorized to take it.

UNIDENTIFIED MALE: Exactly. Whether or not they were authorized was the point. It was more of a philosophical question versus what they did with it. If they were actually authorized or not. I mean, if they were, then who cares what they do with it? It is their money. So go ahead, spend it however you like.

(END VIDEO CLIP)

PHILLIPS: Speaking of corporate scandals, "Martha Stewart Living" may drop Martha. Fred Katayama live from the New York Stock Exchange with the details on this. Fred, what's the word?

KATAYAMA: Well, Kyra, changes are afoot at "Martha Stewart Living" magazine and he company wants to know what readers think about it. The magazine sent some subscribers an e-mail survey, with an intent to gauge reaction to possible name changes, cover redesigns and new columns. The company's ongoing aim: to measure the impact of diminishing Stewart's presence within the magazine. That's as it faces fallout from advertisers and subscribers after Stewart's conviction last month on charges related to her sale of ImClone stock. The company's stock has been on a roller coaster ride as the scandal unfolded. It's up 44 percent from last August, when it hit a 52-week low. Kyra, these are difficult decisions when you've got a company where she was the living brand embodiment of it.

PHILLIPS: Also big boost for Boeing this session.

KATAYAMA: Yeah, the U.S. Air Force, Kyra, says Boeing can once again throw its hat into the ring and bid on up to $5 billion worth of rocket contracts. The aerospace giant was punished last year for illegally acquiring a rival's documents during a bidding war. Shares of Boeing are adding 1 percent. That's helping keep the blue chip index afloat. The Dow Jones Industrials are up 35 points and the NASDAQ is hanging on to a small gain. That's the latest from Wall Street. Coming up, all bets are off: online search engines are nixing some ads. Details later this hour. CNN's LIVE FROM: returns in just a moment.

(COMMERCIAL BREAK)

PHILLIPS: Welcome back to CNN center in Atlanta. This the LIVE FROM:. I'm Kyra Phillips. Here's what's all new this half-hour.

Don't plop your toddler in front of the tube. If you try to pay attention-or, want him or her to pay attention when they grow up. A new study linking early TV watching to short attention spans. And in a big buzz it's the buzzer, but will the Jackets out hustle the Huskies for the College Basketball championship.

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Aired April 5, 2004 - 14:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: In Iraq's capital, burning vehicles are still blocking roads. Protesters in the streets and the cleric being blamed for inciting the violence is now a wanted man. CNN'S Baghdad bureau chief Jane Arraf joins us with the very latest. Jane?
JANE ARRAF, CNN BAGHDAD BUREAU CHIEF: Kyra, a lot going on, as you know, among the latest, the U.S. is issuing a virtual challenge to Moqtada al-Sadr saying that they have a warrant for his arrest. Now, this is not new. They've had a warrant for the arrest of this young radical cleric for some months, but this seems to be the first time they're laying it on the table and telling him he has to surrender.

Now, this of course was after the clashes in Baghdad on Sunday that were the worst clashes, the most widespread, severe since the end of the war. According to U.S. the Shia cleric Moqtada al-Sadr called his militia, his banned militia to Sadr City, a city of 1.5 million people, a neighborhood of Baghdad, and told them to take over police stations and public buildings. They fought with U.S. troops for more than seven hours. In the end 40 U.S. soldiers wounded, 8 of them killed. Many Iraqi dead still to be counted. And what appears to be shaping up into a political crisis and a military challenge. Now, one of the top generals here in Baghdad, Brigadier General Mark Hurtling said it was important for the First Armored Division to send a strong message.

(BEGIN VIDEO CLIP)

BRIGADIER GENERAL MARK HURTLING, U.S. ARMY: I think the instability piece or the feeling by Iraqis that this is another effect that causes more security concerns is the most important thing. And that's why it's so critical for us to make sure that this doesn't continue. And that's why we were so active yesterday in insuring that these militia were not allowed to roam through the streets of Baghdad.

(END VIDEO CLIP)

ARRAF: Now, the militia are no longer roaming through the streets but they are still defiant. Moqtada al-Sadr's followers saying that he will never surrender, they'll have to come and arrest him -- Kyra.

PHILLIPS: And once again, we continue to look at that videotape and see the pictures and images from when these civilians were killed last week, the cheering that took on in the streets. I know you spend a lot of time in these areas, you get to know the cultures and the people very well. Can you explain to us--because it is hard for us to understand here in the United States--why the cheering and why they react this way when deaths like this occur?

ARRAF: It is hard to come to grips with, the fact that people are celebrating such a gruesome act. But I think what we have to keep in mind is that there is an absolute obvious rage underneath there. This city is smoldering. It has been for a long time. And there are a lot of reasons for that. This is the place where U.S. troops opened fire on protesters last year, killing civilians. It is also a place where in 1991 the U.S. dropped a bomb by mistake on a marketplace.

Now, they have long memories. And if that weren't enough, currently a place where people feel like they've been cut out of everything. It's essentially Sunni. These are people who feel like they are fighting the occupiers. And what you see in those horrible, horrible pictures is really an element of what a minority appears to feel, which is absolute rage, despair and the power of being able to do something that violent. And cheer about it in front of the TV cameras. Hard to understand, I know. But what U.S. officials say is that Fallujah is an isolated place. They are, as you know, in the midst of a crackdown. The city has been surrounded by U.S. troops. There's been a curfew imposed and the fighting has started to try to restore order--the U.S. says--to that troubled town. Kyra?

PHILLIPS: Our Jane Arraf, live from Baghdad. Thanks so much. A refresher, now, on Iraq's Shia and Sunni Muslims. They are the two largest sects of Islam. Shias broke away hundreds of years ago. Before the war, Iraq was ruled by a Sunni elite. Well, Iraq is 97 percent Muslim, 60 percent Shia and 37 percent Sunni. Saddam Hussein is a Sunni Muslim. And Sunnis have dominated economic and political life in Iraq. No matter how fierce the fighting gets, President Bush says the U.S. will stay the course, that the transfer of power will take place June 30, as scheduled, and that U.S. troops will not pack up and leave immediately afterwards.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES OF AMERICA: The message to the Iraqi citizens is: they don't have to fear that America will turn and run. And that's an important message for them to hear. If they think we're not sincere about staying the course, many people will not continue to take a risk -- take the risk toward freedom and democracy.

(END VIDEO CLIP)

PHILLIPS: On the subject of his National Security Adviser appearing before the 9/11 Commission, the President said that he expected Condoleezza Rice to do just fine. CNN White House correspondent Suzanne Malveaux with more on what he had to say as he, too, prepares to face the panel.

(BEGIN VIDEOTAPE)

SUZANNE MALVEAUX, CNN WHITE HOUSE CORRESPONDENT (voice-over): President Bush is focusing on the economy this week to promote the latest good numbers on job growth. But, also on his schedule now: a private meeting before the 9/11 Commission with Vice President Dick Cheney in the next two weeks. But all eyes are on his top adviser Condoleezza Rice who will testify publicly and under oath Thursday. She'll make the case, aides say, that the administration did all it could to prevent the 9/11 attacks. The White House resisted for weeks putting Rice in front of the commission publicly, citing executive privilege.

But the commission was so determined to have her testify, last Monday its executive director, Republican Philip Zelikow faxed White House counsel a 1945 New York Times photo and article showing presidential chief of staff Admiral William Leahy, back then Rice's equivalent, testifying before a congressional panel investigating Pearl Harbor. The commission argued history showed the White House's argument didn't hold up, its spokesmen said.

TIM ROEMER, 9/11 COMMISSION MEMBER: This may have been one of the straws on the camel's back, but the camel certainly had the big load of the 9/11 Commission with bipartisan support insisting on Dr. Rice's public and sworn testimony.

MALVEAUX: One big question before Rice will be whether the Bush administration treated the threat of al Qaeda as an urgent matter prior to September 11.

(on camera): Commission members say they'll release their final report to the public before the November elections to make sure it doesn't become an issue in the heat of the debate. Suzanne Malveaux, CNN, the White House.

(END VIDEOTAPE)

PHILLIPS: Condoleezza Rice testifies before the 9/11 Commission Thursday morning publicly and under oath at 9:00 Eastern and 6:00 Pacific. You can count on CNN to bring that to you live.

Other news across America now: Questions today about the Statue of Liberty-Ellis Island Foundation that handles its money. The Interior Department wants to know why it launched a $7 million fund- raising campaign when it already had a $30 million endowment. The New York Times reports the federal investigation is under way to determine how the organization spent donations earmarked to reopen the statue.

Fly cheaply and you just might get the ride of your life. And annual ratings of airlines shows that budget airlines like jetBlue and Southwest are more likely to arrive on time and get your luggage to the right airport.

And as the rest of the world prepares for the Summer Olympic Games in Athens, here it is: New York looks to boost its bid to host the games in 2012. Unveiling a new Olympic logo. The city hopes Lady Liberty will help carry that torch.

Of course the man wanted by authorities: exactly who is the Muslim cleric stirring his followers to violence in Iraq? And will American forces be able to calm things down? We'll go in depth in just two minutes.

And Martha Stewart asking her magazine readers a lot of questions. Find out what they are later on LIVE FROM.

(COMMERCIAL BREAK)

PHILLIPS: A hard-hitting speech today from Senator Ted Kennedy. The Massachusetts Democrat accused President Bush of breaking America's trust when it comes to the economy, health care and education. Speaking at the Brookings Institution, he compared the situation in Iraq to the war in Vietnam.

(BEGIN VIDEO CLIP)

SEN. EDWARD KENNEDY, (D) MASSACHUSETTS: How do we re-establish the working relationships we need with other countries to win the war on terrorism and advance the ideals we share? And how can we possibly expect President Bush to do that? He's the problem, not the solution. Iraq is George Bush's Vietnam and this country needs a new president.

(END VIDEO CLIP)

PHILLIPS: Iraq is also a shot issue on the book shelf. It's part of the clash of literature and politics. It's no surprise that liberal readers tend to look for books that reflect their world view and conservatives do the same. And neither group is borrowing the other's reading list. Here is CNN'S senior political analyst Bill Schneider.

(BEGIN VIDEOTAPE)

WILLIAM SCHNEIDER, CNN SENIOR POLITICAL ANALYST (voice-over): The literary arms race is on. Books have become weapons in the cultural war that's been going on since the '60s, left versus right. A war that reached a peak with the baby boom presidencies of Bill Clinton and George W. Bush.

RICH LOWRY, NATIONAL REVIEW: Clinton and Bush are sort of archetypes for each side of the conflict.

SCHNEIDER: The Clintons spawned an entire industry of anti- Clinton books with titles like High Crimes and Misdemeanors and No One Left to Lie To. But the Clintons got their revenge when Hillary Clinton's living history became a worldwide bestseller. Now a thriving market in anti-Bush books with titles like Bushwacked and Weapons of Mass Deception. The secret of success in that market? Timing, says David Corn, author of The Lies of George W. Bush.

DAVID CORN, AUTHOR, THE LIES OF GEORGE W. BUSH: In the spring of 2002 I talked to my agent about doing a book like this. She sniffed around the publishing houses and at that point there was no interest.

SCHNEIDER: But times change quickly.

CORN: In October of 2002, my agent tried again and got six houses within a day to say, yeah, we want to do it.

SCHNEIDER: Now, with the campaign on, there's also thriving market in pro-bush books like Deliver Us from Evil and The Faith of George W. Bush and Bush Country. Each side is armed to the teeth with shocking revelations...

CRAIG UNGER, AUTHOR, HOUSE OF BUSH, HOUSE OF SAUD: Never before in the history has a President of the United States had such a close relationship with another foreign power as the Bush family has with the Saudis.

SCHNEIDER: ...and up-front agendas like a new book by presidential adviser Karen Hughes.

KAREN HUGHES, PRESIDENTIAL ADVISER: Important to my family and all the families in America that he be re-elected.

SCHNEIDER: You know how on Web sites like Amazon.com and barnesandnoble.com they tell you "customers who bought this book also bought these other books?" One scholar used that information to map out books that shared the same readers. Sure enough, he found two distinct markets. A network of conservative readers who purchase books like The O'Reilly Factor and a network of liberal readers who purchase books like The Oh, Really? Factor. Blue readers and red readers rarely read each other's books. And there are very few books that both sides reads. Who needs neutrality when there's a war on?

(on camera): You want to see the literary arms race go nuclear? Wait until this summer when Bill Clinton's book is supposed to come out. Bill Schneider, CNN, Washington.

(END VIDEOTAPE)

PHILLIPS: More now on today's top story. A militant Iraqi cleric is a wanted man. Coalition forces announced an arrest warrant is issued for Shiite cleric Muqtada al-Sadr. They said and Iraqi judge issued the warrant several months ago in connection with last year's killing of a rival Shiite cleric. Sadr has been an outspoken critic of the U.S. presence. Thousands of his supporters protested in the streets when coalition authorities shut down his newspaper last month.

(BEGIN VIDEO CLIP)

HASSAN FATTAH, IRAQ TODAY: Certainly Sadr was actually being targeted. He was something they were going to arrest at some point, and then they chose not to. He has been somebody who has been trying to encourage a confrontation with the Coalition. And, in many ways, the closure of the paper last week was the confrontation he really wanted. This is a man who was actually not managing to get the same number of people out in the streets as usual. He didn't have the standing that he was getting. And all of a sudden, a day later--or actually the same day--he managed to bring out thousands and thousands of people in his support.

(END VIDEO CLIP)

PHILLIPS: News of al-Sadr's arrest warrant is just one of several developments in Iraq. Joining me now with some perspective, CNN military analyst Retired Brigadier General David Grange. General, good to see you. BRIG. GEN. DAVID GRANGE (RET.), CNN MILITARY ANALYST: Hi, how are you doing?

PHILLIPS: Let's talk about Sadr and why this would be an important arrest.

GRANGE: Well, you know, he's wanted. He's charged with a murder. He's--the Iraqi people themselves, the leadership in Iraq right now have asked for his arrest. It is a tough one, though. It is going to be tough to get U.S. soldiers or other Coalition soldiers involved. But they're going to have to. You just can't have some people break the law and because we're worried about uprisings and things, you just say it is hands-off and others you let go. I mean, you can't do that. So they're going to have to go after this guy.

PHILLIPS: And the leader of this militia group, called Mahdi's Army, a lot of people questioning does every political party have a militia tied to it?

GRANGE: Well, some I think are overt. But then there's some that may not be as apparent but they're covert. In other words, I believe every leader has some kind of a support background and because this is a country that still has many weapons out there, there are people that are armed that support these particular leaders. So you have to go under the assumption that there are weapons involved behind each of these type of leaders.

PHILLIPS: Well, we're hearing now--just the fact this Iraqi judge has come forward, issued this arrest warrant, is this a good sign that a judicial system is up and running, it's starting to operate-do you think this will send out any type of strong message?

GRANGE: Well, a good sign. I'm not sure how effective it is yet. But it is a good sign. I think what's key now in this is that the information campaign: that, in fact, an Iraqi judge did issue this warrant Has to get out to the people and has to be put out to the people through the Iraqi news media to give it some validity. And that's key to having it known to the people. Otherwise, it may be an unknown thing that this is an American initiative and not that of the Iraqis.

PHILLIPS: General, taking into account your special operations background and, of course, the fact you're a retired Brigadier General. Looking at Fallujah right now, seeing the pictures, seeing what's taken place, now marines have come in and they're talking about hitting this area hard, isolating this area, setting a curfew, basically "no mercy" approach. Is this the only way to gain control of this area that is simply out of control?

GRANGE: Well, there will be mercy. I don't know if we would say "no mercy," but it will be hard, as you outlined. They have to isolate the city. And they can't have a city that does its own thing while the rest of Iraq moves on to this change of government and market economy, et cetera. They have to do something with this town. And so the first step is to isolate it, control who goes in and out. And someone has to go inside: the tough part. And I think that will be a combination of Iraqi forces, whether the civil defense or military police and Coalition troops.

PHILLIPS: You observed what happened in Mogadishu. You remember the bodies of Americans being dragged through that area. You know the soldiers that were involved in that operation. You look at these pictures now and what's happening in Fallujah. You see the pictures on the front pages of newspapers and the videotape. First of all, I guess I want to know your personal thoughts as you remember Mogadishu and then see these pictures. And number two, can you help us try to understand in any way the disrespect to the dead?

GRANGE: Yeah, it's obviously a situation that definitely got control incited by some hard core insurgents. Definitely wrong. The value, the look (ph) of life of by some of these people are not the same way as some of our citizens look at it. I don't know. It is hard to say. But here's the situation here that the bodies were desecrated. It wasn't right what happened. Obviously this wasn't a-- this is an enemy and I'm going to slay them somehow. It was terrible. And they're going to take advantage of the media with these images which they have done, trying to get a situation like Somalia. I don't think it was planned that way, but it sort of developed that way with the media involved.

The only thing that bothered me about our response, and I say "our," the coalition response--and you can argue you may lose more people doing this--but: when you have a fallen American citizen you have to retrieve the American citizen yourself. That's the only thing I fault with what happened. You cannot leave that to clerics to local police. You need to go in and get your own people out. Whether it be military or civilian. It doesn't matter. It is an American citizen type of principle that you do this. And that's the only thing I would fault with the Coalition response--the American response--in that particular incident.

PHILLIPS: You don't leave any man or woman behind, isn't that right, General?

GRANGE: That's right.

PHILLIPS: Retired Brigadier General David Grange, always a pleasure, thank you, sir.

GRANGE: Thank you.

PHILLIPS: Straight ahead, short attention spans and your kids. Well, do the two go together at the house? You might want to turn off the tube, but not before you give them the scoop.

And later, four-legged invaders running amok. But the locals don't mind. In fact, they're as happy as little lambs.

FRED KATAYAMA, CNN CORRESPONDENT: I'm Fred Katayama in New York. "Martha Stewart Living" magazine is contemplating a makeover without Martha. We'll go through the possible changes when LIVE FROM: returns, after this break.

(COMMERCIAL BREAK) PHILLIPS: Pressing ahead: After the Tyco mistrial, prosecutors say they're going to retry Dennis Kozlowski and Mark Swartz as quickly as possible. Both of them are accused of looting millions from the company and now juror number four, held out as the holdup and cause of the mistrial, Ruth Jordan, is trying to clear her name. She tells "Newsday" quote "I wasn't unfair, but I did have a firm resting on the presumption of innocence" and she adds "I'm not going down the low road, but isn't it interesting how they (the other jurors) really want to get some notoriety?" Meanwhile, other Tyco jurors are giving us fresh insights about what their deliberations were focusing on.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It was sort of beside the fact. Some of the charges that, you know, we were perhaps more likely to find them guilty on were more how they got their money, not how they spent their money. We felt they could spend it however they wanted. But the issue was in some cases whether or not they were authorized to take it.

UNIDENTIFIED MALE: Exactly. Whether or not they were authorized was the point. It was more of a philosophical question versus what they did with it. If they were actually authorized or not. I mean, if they were, then who cares what they do with it? It is their money. So go ahead, spend it however you like.

(END VIDEO CLIP)

PHILLIPS: Speaking of corporate scandals, "Martha Stewart Living" may drop Martha. Fred Katayama live from the New York Stock Exchange with the details on this. Fred, what's the word?

KATAYAMA: Well, Kyra, changes are afoot at "Martha Stewart Living" magazine and he company wants to know what readers think about it. The magazine sent some subscribers an e-mail survey, with an intent to gauge reaction to possible name changes, cover redesigns and new columns. The company's ongoing aim: to measure the impact of diminishing Stewart's presence within the magazine. That's as it faces fallout from advertisers and subscribers after Stewart's conviction last month on charges related to her sale of ImClone stock. The company's stock has been on a roller coaster ride as the scandal unfolded. It's up 44 percent from last August, when it hit a 52-week low. Kyra, these are difficult decisions when you've got a company where she was the living brand embodiment of it.

PHILLIPS: Also big boost for Boeing this session.

KATAYAMA: Yeah, the U.S. Air Force, Kyra, says Boeing can once again throw its hat into the ring and bid on up to $5 billion worth of rocket contracts. The aerospace giant was punished last year for illegally acquiring a rival's documents during a bidding war. Shares of Boeing are adding 1 percent. That's helping keep the blue chip index afloat. The Dow Jones Industrials are up 35 points and the NASDAQ is hanging on to a small gain. That's the latest from Wall Street. Coming up, all bets are off: online search engines are nixing some ads. Details later this hour. CNN's LIVE FROM: returns in just a moment.

(COMMERCIAL BREAK)

PHILLIPS: Welcome back to CNN center in Atlanta. This the LIVE FROM:. I'm Kyra Phillips. Here's what's all new this half-hour.

Don't plop your toddler in front of the tube. If you try to pay attention-or, want him or her to pay attention when they grow up. A new study linking early TV watching to short attention spans. And in a big buzz it's the buzzer, but will the Jackets out hustle the Huskies for the College Basketball championship.

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