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Outrage Grows Over Beheaded American; Blaming Bush in Cuba

Aired May 12, 2004 - 15:00   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: Headlines at the top of hour.
A sorrowful homecoming. The remains of Nicholas Berg, who was beheaded by terrorists in Iraq, are being flown to Dover Air Force Base in Delaware. His family is asking to go there to reclaim the body. They have scheduled a memorial service for Friday afternoon.

How much worse can it be? Members of the U.S. Senate are finding out right now as they take a look at more images of Iraqi prisoner abuse. They have until 5:00 Eastern to view the pictures in a secure room of the Capitol.

Two more courts-martial announced into Iraq for soldiers caught up in the prisoner abuse scandal. Staff Sergeant Ivan "Chip" Frederick and Sergeant Javal Davis face five charges. No dates were set for the trial of Frederick of Davis. Specialist Jeremy Sivits is to go on trial next week.

Israeli troops on the move after one of their convoys comes under attack in Gaza. The militant group Islamic Jihad has taken responsibility for the explosion which reportedly killed five Israeli soldiers. Israeli troops now surround a nearby refugee camp where militants may be hiding.

MILES O'BRIEN, CNN ANCHOR: Well, the shock may be subsiding somewhat, but the outrage is lasting. And one day after a U.S. civilian's beheading was made fodder for a terror group's Web site, the questions loom larger than ever: Who had custody of Nicholas Berg from the day he was released, one day after Berg's family filed suit against the Bush administration? And what happened to Berg after that? And why did he go to Iraq without a job in the first place?

Berg's family knows part of the story or perhaps thinks it does. And today in Baghdad, the U.S. weighed in with this:

(BEGIN VIDEO CLIP)

DAN SENOR, COALITION PROVISIONAL AUTHORITY: Mr. Berg was arrested by the Iraqi police in the Mosul area on March 24. I would refer you to the Iraqi police as to why they arrested him. My understanding is that they suspected that he was involved, engaged in suspicious activities.

U.S. authorities were notified. The FBI visited with Mr. Berg on three occasions when he was in Iraqi police detention and determined that he was not involved with any criminal or terrorist activities.

Mr. Berg was released on April 6. And it is my understanding he was advised to leave the country.

On Saturday, May 8, coalition forces discovered a body on a roadside near Baghdad. The body was later identified as Nicholas Berg, an American civilian. Mr. Berg had registered with U.S. consular affairs in Iraq. He had no affiliation, however, with the coalition. He was here -- it is our understanding that he was here of his own accord. He did not work for the Coalition Provisional Authority. And we do not believe that he worked for any Coalition Provisional Authority contractors.

BRIG. GEN. MARK KIMMITT, U.S. DEPUTY CHIEF OF OPERATIONS: He was not an American soldier. He was an American government employee. He was not a CPA employee. He still was an American citizen and that's why we checked on him and that's why we are so struck by the loss, because there may have been a lot of things that he was not, but he was still an American citizen and a fellow American citizen.

(END VIDEO CLIP)

O'BRIEN: Now a follow-up on that custody issue. Iraqi police in both Mosul and Baghdad today deflected questions back to the U.S.-led coalition.

PHILLIPS: President Bush strongly condemns the beheading and vows it will not affect the mission in Iraq.

Suzanne Malveaux is at the White House with the president's reaction -- Suzanne.

SUZANNE MALVEAUX, CNN CORRESPONDENT: Well, Kyra, today, earlier, President Bush expressed his personal sorrow, outrage and his resolve regarding the execution of Nicholas Berg. We are told the president did not watch that Internet video clip of the beheading of Nicholas Berg, but he was briefed about the contents, the details about that.

Today, he offered his condolences to the family and friends of Berg. He said he was an innocent civilian who was helping to build a free Iraq. He also said there was no justification for his brutal execution. He also went on to say that this reminds us of the actions of these terrorists, that there's the nature of a few people who want to stop the advance of freedom in Iraq, but he said that the U.S. will not be deterred.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Their intention is to shake our will. Their intention is to shake our confidence. Yet, by their actions, they remind us of how desperately parts of the world need free societies and peaceful societies. And we will complete our mission. We will complete our task.

(END VIDEO CLIP)

MALVEAUX: White House officials recognize that really tape plays both ways. On the one hand, it demonstrates the cruelty of these terrorists, the need for the U.S. to be vigilant, to be resolved in their manner.

But, at the same time, they also realize that this has caused some Americans to again question, is it worth it to be in Iraq in the first place? -- Kyra.

PHILLIPS: Suzanne Malveaux at the White House, thank you -- Miles.

O'BRIEN: Now, Berg's family insists he was in U.S. custody in Iraq and because of that, it says the U.S. government is partly responsible for his death.

Americans are outraged over Berg's beheading, perhaps none more so than the people who knew him best.

CNN's Maria Hinojosa is in West Chester, Pennsylvania.

(BEGIN VIDEOTAPE)

MARIA HINOJOSA, CNN CORRESPONDENT (voice-over): The tiny photograph of 26-year-old Nic Berg is taped to the old mailbox of his neighbor's home in suburban Philadelphia. Inside the home, though, there was only anguish. His parents were informed of his death Monday but didn't know it had been videotaped by his executioners until Tuesday.

BRUCE HAUSER, NEIGHBOR: The Berg family is devastated by this loss. They wish to extend their sympathies to the other families who have also suffered.

HINOJOSA: Family and friends describe Nic Berg as smart, funny and idealistic. Back in late December he decided to go to Iraq to look for work repairing communications towers but his reasons for going appear to be more than just for money or adventure according to his father, who spoke on Sunday, before he knew of his son's death.

MICHAEL BERG, FATHER: But he just really wanted to be part of something that was important. He supported the administration's being in Iraq. He supported everything that they were doing and he wanted to help and he wanted to help in a positive way by building rather than breaking down.

HINOJOSA: Nic Berg stayed in Iraq until February 1. Then he went back again on March 14. Unable to find work, he planned to come home calling his parents every day as his departure neared.

Then on March 24 communication ended. Within days the FBI showed up at this house and told the Bergs their son had been picked up by the Iraqi police in Mosul and was transferred to U.S. authorities. That was all the information they got.

(on camera): The Berg family is now awaiting word on when the body of their son, Nick Berg, will arrive in the United States at Dover Air Force Base. Pennsylvania Arlen Specter requesting from the Department of Defense to allow the family to be at Dover Air Force base when the body arrives. Maria Hinojosa, CNN, West Chester, Pennsylvania.

(END VIDEOTAPE)

PHILLIPS: Well, the Senate is looking at photos and videotapes said to contain more graphic images of U.S. soldiers abusing prisoners. The Pentagon is showing the material to all senators who want to see it this afternoon in a secure room at the Capitol. It's providing a slide presentation for the House.

(BEGIN VIDEO CLIP)

REP. MIKE PENCE (R), INDIANA: I saw no -- I saw nothing in the pictures that suggested that this was anything other than the actions of a small number of military personnel. But it's important to know we'll follow the investigations to their logical conclusions and to whatever level.

I'm confident that our system of military justice will hold to account those that were responsible and are responsible for either committing these deeds or permitting them to be committed. But I saw nothing in the photographs that would lead me to any conclusion than the photographs that are in the public domain.

(END VIDEO CLIP)

PHILLIPS: Some lawmakers, both Democrats and Republicans, are urging the military to release all the photos to the public. Others say they would fear that would just put more American lives in Iraq at risk.

O'BRIEN: In Iraq today, more mixed signals. Peace negotiations among Shiite groups overlapped with heavy gunfire. Radical Shiite cleric Muqtada al-Sadr says he wants his Mahdi Army to be part of a force patrolling the volatile areas in Najaf and Karbala. He says he'll dissolve his army when there's an elected government in Iraq and if religious authorities demand it. In the meantime, he says he will fight the American occupation.

As troops clashed with U.S. troops in Karbala overnight, 22 militia members were killed, six coalition soldiers wounded.

We'll check Wall Street and business headlines just ahead. If you're looking at mortgage rates, the clock is ticking. Lock 'em in.

PHILLIPS: Plus, the strange objects in the sky over Mexico. Que paso la luz?

O'BRIEN: And also lights, camera, action at Cannes.

(COMMERCIAL BREAK)

(WEATHER UPDATE)

(COMMERCIAL BREAK) O'BRIEN: Well, in case you think the political blame game is limited to partisan squabbles within the U.S., let's take a short trip to Havana.

CNN's Lucia Newman says Cuban President Fidel Castro is successfully blaming Washington and President Bush for some of his country's woes.

(BEGIN VIDEOTAPE)

LUCIA NEWMAN, CNN CORRESPONDENT (voice-over): Cubans lined up in front of food stores angry at news of price hikes for everything sold in U.S. dollars, including fuel.

"Bush is to blame," says this woman. "Bush is crazy. He attacked Iraq and now he wants to attack us,' says another." If the art of politics is knowing how to...

(END VIDEOTAPE)

O'BRIEN: Let's go live to Washington right now.

Senator Bill Frist, the Senate majority leader, has just come out of the room where they were showing those pictures of abuse, alleged abuse, at the Abu Ghraib prison.

Let's listen to his comments.

(JOINED IN PROGRESS)

SEN. BILL FRIST (R-TN), MAJORITY LEADER: ...two hours, after which we can make a time available for other senators who would wish to be able to see them. But at all times they're in possession of the Department of Defense.

Given the fact that these photos are a part of active investigations, it really isn't appropriate for any of us to comment on the details of the CDs or of the short video clips -- and there were both, both CD still pictures and the video clips.

I would state, though, from at least my perspective, that what we saw is appalling. It is consistent with the photos that you've seen in the press to date. They go beyond that in many ways in terms of the various activities that are depicted; some totally unrelated to the Abu Ghraib prison or to the prisoners there.

With that, let me just close and say I thank the Defense Department. I have the utmost confidence in the department and in the secretary. And as majority leader, working with the minority leader and with the ranking member and chairman of the Armed Services, have been very satisfied with the cooperation that we've received in setting up the meeting today and in the hearings to date.

Mr. Chairman?

JOHN WARNER (R) VIRGINIA: Thank you very much. I just brought down a few copies. I'll give them out of what was handed out by the Department of Defense. The Majority Leader has referred to it. It can be duplicated, but it just explains the legalities.

I spoke earlier on the floor of the Senate, and I expressed my concern that in my view, and it's solely my view, these pictures at this time by the executive branch should not be released into the public domain and they await release until the course of the trials for several reasons.

One, it protects the integrity of the legal process. Two, it diminishes these photos from inspiring the enemy to inflict further damage, harm otherwise on members of the armed forces of the United States, our coalition forces, and indeed the vast infrastructure of civilians that are trying to work in support in the rebuilding of Iraq.

WARNER: I feel very strongly that senators, as they describe them, should do so with those factors in mind.

At this time, it seems to me they add further evidence. It's the eye of the beholder, but in my judgment, there's ample evidence, when you combine the pictures that are in the public domain now and these pictures, for the purpose of the trial.

Also the United States, we're a nation of rule of law. And it's extremely important that we handle these situations consistent with the rule of law. And by releasing the pictures in the context of the trials in exercising the rule of law and accountability, then I think the United States can't be criticized. Because we're out there in the public, wherever it is worldwide, sharing this information, trying to hold those whose allegations against them could make them accountable accountable, and dole out the appropriate penalties.

Any other questions?

QUESTION: Senator Warner, when you look at these pictures and you said that these should be withheld, at least for the time being, from the public...

WARNER: That's this senator's opinion.

QUESTION: And it's consistent with what the majority leader has said. Aren't you concerned that these pictures are going to get out...

WARNER: The question is, they'll get out.

In counseling with the Department of Defense and others, no one knows how many copies have been made and the distribution, whether it's in the United States or worldwide. So should they get out? Yes. But it will not be at the hands of the executive branch presumably, if they don't release them now.

QUESTION: At the hands of the Congress? WARNER: Not at the Congress. The Congress does not take possession here on the Senate side. The majority leader and I and counsel and the minority leader were very careful to see that we do not take possession of these photos.

QUESTION: There have been reports of rapes.

WARNER: I'm not going into description of...

FRIST: The document that Senator Warner made available, let me just read. We have to be very, very careful in what we say publicly. Just one paragraph:

"The Iraqi abuse photos and videos were collected by and are maintained in the files of a military criminal investigative organization in the Department of Defense. The photos are subject to the Privacy Act to the extent they disclose the identities of U.S. nationals, a decision that was made jointly by leadership and the chairman and ranking member of Armed Services that it is appropriate that we be allowed the opportunity throughout the Senate, all of our colleagues, to view the photos, but they are the property and active evidence in criminal investigations."

QUESTION: (OFF-MIKE)

WARNER: The Armed Services Committee will be holding additional hearings. The schedule has to be determined because we're on the floor with our annual bill next week which virtually precludes any further activity by our committee.

I note that the Senate Intelligence Committee this afternoon is pursuing within their sphere of oversight I think very constructive hearings on this subject.

FRIST: I think it's a very important point. As soon as we were made aware, we began hearings as part of our oversight responsibility very aggressively -- the Intelligence Committee, the Armed Services Committee last week, Intelligence Committee and Armed Services Committee this week and Appropriations today.

FRIST: So we will continue that.

We all know -- and we suffer with the same frustrations of how many pictures are out, what is going to be the next bit of evidence.

But I can tell my colleagues and the American people that this United States Senate will stay abreast, will aggressively investigate and provide appropriate oversight.

O'BRIEN: We have been listening to Senator Bill Frist and Senator John Warner of Tennessee and Virginia, respectively, the House majority leader and the chairman of the Senate -- excuse me -- the Senate majority leader and the chairman of Armed Services Committee, respectively, speaking about those pictures that they saw, clearly indicating that they're not going to characterize them in any way and also clearly stating that they feel at this juncture they should not be released into the public domain, as it would hinder the ability of those who might be accused to get a fair trial, ultimately.

Obviously, we're watching that story very closely for you.

When they began talking, we were telling you a little bit about a story from Lucia Newman, who is telling us about Fidel Castro's efforts to blame Washington, specifically President Bush, for some of the woes of his own country.

(BEGIN VIDEOTAPE)

NEWMAN (voice-over): Cubans lined up in front of food stores angry at news of price hikes for everything sold in U.S. dollars, including fuel.

"Bush is to blame," says this woman. "Bush is crazy. He attacked Iraq and now he wants to attack us,' says another." If the art of politics is knowing how to turn a setback into an advantage, Fidel Castro seems to have managed it by blaming Washington for implementing new austerity measures.

According to a government communique, prices have been raised for every basic commodity sold in U.S. dollars because of new economic sanctions against Cuba announced last week by the White House. They are part of a Bush administration initiative to hasten the downfall of Cuban communism. They include further restricting visits by Cuban Americans to one every three years and severely limiting the amount of money they can bring here to share with their relatives.

"Already, our salaries don't make ends meet. What are we going to do now?" asks this woman. On the street, many told us the government is taking advantage of the latest pressures from Washington to justify belt-tightening measures already on the books, although no one would say so on camera.

(on camera): But even those who don't buy the Cuban government's argument that all these new measures are the fault of the United States say that they too are angry with President Bush for, in their words, giving President Fidel Castro a pretext.

(voice-over): And a new opportunity to blame President Bush for the additional sacrifices the Cuban people are being told they must make.

Lucia Newman, CNN, Havana.

(END VIDEOTAPE)

(FINANCIAL UPDATE)

(COMMERCIAL BREAK)

PHILLIPS: As you know, we've been telling you throughout the day that additional pictures of the alleged abuses that took place in Iraq in the Abu Ghraib Prison have finally been released, more of these pictures, on the Hill to members of the House and also the Senate. And as those pictures have been viewed, various leaders have come out and talked to reporters how they feel about the pictures and what they saw.

Just a few minutes ago, Senator Bill Nelson from Florida made some comments about the pictures that he viewed.

(BEGIN VIDEO CLIP)

SEN. BILL NELSON (D), FLORIDA: What I have seen is disgusting and it is disappointing. What we have seen is a lot of duplication.

A lot of the still photographs are the ones that you've already seen that have been printed in the newspaper. There are obvious examples in videos of inhumane treatment. And, in one particular still photo, among troops that are in a hallway where you've seen the clump of people tied together on the floor, we counted seven or eight troops.

Now, you can't tell me that all of this was going on with seven or eight Army privates. And so the question is, how far up the chain of command did these orders and where did that failure of the command- and-control occur? And we're going to get to the bottom of it.

(END VIDEO CLIP)

PHILLIPS: Senator Bill Nelson from Florida responding to the pictures he had a chance to view today on the Hill of those abuses that took place in Abu Ghraib in Iraq.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com


Aired May 12, 2004 - 15:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: Headlines at the top of hour.
A sorrowful homecoming. The remains of Nicholas Berg, who was beheaded by terrorists in Iraq, are being flown to Dover Air Force Base in Delaware. His family is asking to go there to reclaim the body. They have scheduled a memorial service for Friday afternoon.

How much worse can it be? Members of the U.S. Senate are finding out right now as they take a look at more images of Iraqi prisoner abuse. They have until 5:00 Eastern to view the pictures in a secure room of the Capitol.

Two more courts-martial announced into Iraq for soldiers caught up in the prisoner abuse scandal. Staff Sergeant Ivan "Chip" Frederick and Sergeant Javal Davis face five charges. No dates were set for the trial of Frederick of Davis. Specialist Jeremy Sivits is to go on trial next week.

Israeli troops on the move after one of their convoys comes under attack in Gaza. The militant group Islamic Jihad has taken responsibility for the explosion which reportedly killed five Israeli soldiers. Israeli troops now surround a nearby refugee camp where militants may be hiding.

MILES O'BRIEN, CNN ANCHOR: Well, the shock may be subsiding somewhat, but the outrage is lasting. And one day after a U.S. civilian's beheading was made fodder for a terror group's Web site, the questions loom larger than ever: Who had custody of Nicholas Berg from the day he was released, one day after Berg's family filed suit against the Bush administration? And what happened to Berg after that? And why did he go to Iraq without a job in the first place?

Berg's family knows part of the story or perhaps thinks it does. And today in Baghdad, the U.S. weighed in with this:

(BEGIN VIDEO CLIP)

DAN SENOR, COALITION PROVISIONAL AUTHORITY: Mr. Berg was arrested by the Iraqi police in the Mosul area on March 24. I would refer you to the Iraqi police as to why they arrested him. My understanding is that they suspected that he was involved, engaged in suspicious activities.

U.S. authorities were notified. The FBI visited with Mr. Berg on three occasions when he was in Iraqi police detention and determined that he was not involved with any criminal or terrorist activities.

Mr. Berg was released on April 6. And it is my understanding he was advised to leave the country.

On Saturday, May 8, coalition forces discovered a body on a roadside near Baghdad. The body was later identified as Nicholas Berg, an American civilian. Mr. Berg had registered with U.S. consular affairs in Iraq. He had no affiliation, however, with the coalition. He was here -- it is our understanding that he was here of his own accord. He did not work for the Coalition Provisional Authority. And we do not believe that he worked for any Coalition Provisional Authority contractors.

BRIG. GEN. MARK KIMMITT, U.S. DEPUTY CHIEF OF OPERATIONS: He was not an American soldier. He was an American government employee. He was not a CPA employee. He still was an American citizen and that's why we checked on him and that's why we are so struck by the loss, because there may have been a lot of things that he was not, but he was still an American citizen and a fellow American citizen.

(END VIDEO CLIP)

O'BRIEN: Now a follow-up on that custody issue. Iraqi police in both Mosul and Baghdad today deflected questions back to the U.S.-led coalition.

PHILLIPS: President Bush strongly condemns the beheading and vows it will not affect the mission in Iraq.

Suzanne Malveaux is at the White House with the president's reaction -- Suzanne.

SUZANNE MALVEAUX, CNN CORRESPONDENT: Well, Kyra, today, earlier, President Bush expressed his personal sorrow, outrage and his resolve regarding the execution of Nicholas Berg. We are told the president did not watch that Internet video clip of the beheading of Nicholas Berg, but he was briefed about the contents, the details about that.

Today, he offered his condolences to the family and friends of Berg. He said he was an innocent civilian who was helping to build a free Iraq. He also said there was no justification for his brutal execution. He also went on to say that this reminds us of the actions of these terrorists, that there's the nature of a few people who want to stop the advance of freedom in Iraq, but he said that the U.S. will not be deterred.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Their intention is to shake our will. Their intention is to shake our confidence. Yet, by their actions, they remind us of how desperately parts of the world need free societies and peaceful societies. And we will complete our mission. We will complete our task.

(END VIDEO CLIP)

MALVEAUX: White House officials recognize that really tape plays both ways. On the one hand, it demonstrates the cruelty of these terrorists, the need for the U.S. to be vigilant, to be resolved in their manner.

But, at the same time, they also realize that this has caused some Americans to again question, is it worth it to be in Iraq in the first place? -- Kyra.

PHILLIPS: Suzanne Malveaux at the White House, thank you -- Miles.

O'BRIEN: Now, Berg's family insists he was in U.S. custody in Iraq and because of that, it says the U.S. government is partly responsible for his death.

Americans are outraged over Berg's beheading, perhaps none more so than the people who knew him best.

CNN's Maria Hinojosa is in West Chester, Pennsylvania.

(BEGIN VIDEOTAPE)

MARIA HINOJOSA, CNN CORRESPONDENT (voice-over): The tiny photograph of 26-year-old Nic Berg is taped to the old mailbox of his neighbor's home in suburban Philadelphia. Inside the home, though, there was only anguish. His parents were informed of his death Monday but didn't know it had been videotaped by his executioners until Tuesday.

BRUCE HAUSER, NEIGHBOR: The Berg family is devastated by this loss. They wish to extend their sympathies to the other families who have also suffered.

HINOJOSA: Family and friends describe Nic Berg as smart, funny and idealistic. Back in late December he decided to go to Iraq to look for work repairing communications towers but his reasons for going appear to be more than just for money or adventure according to his father, who spoke on Sunday, before he knew of his son's death.

MICHAEL BERG, FATHER: But he just really wanted to be part of something that was important. He supported the administration's being in Iraq. He supported everything that they were doing and he wanted to help and he wanted to help in a positive way by building rather than breaking down.

HINOJOSA: Nic Berg stayed in Iraq until February 1. Then he went back again on March 14. Unable to find work, he planned to come home calling his parents every day as his departure neared.

Then on March 24 communication ended. Within days the FBI showed up at this house and told the Bergs their son had been picked up by the Iraqi police in Mosul and was transferred to U.S. authorities. That was all the information they got.

(on camera): The Berg family is now awaiting word on when the body of their son, Nick Berg, will arrive in the United States at Dover Air Force Base. Pennsylvania Arlen Specter requesting from the Department of Defense to allow the family to be at Dover Air Force base when the body arrives. Maria Hinojosa, CNN, West Chester, Pennsylvania.

(END VIDEOTAPE)

PHILLIPS: Well, the Senate is looking at photos and videotapes said to contain more graphic images of U.S. soldiers abusing prisoners. The Pentagon is showing the material to all senators who want to see it this afternoon in a secure room at the Capitol. It's providing a slide presentation for the House.

(BEGIN VIDEO CLIP)

REP. MIKE PENCE (R), INDIANA: I saw no -- I saw nothing in the pictures that suggested that this was anything other than the actions of a small number of military personnel. But it's important to know we'll follow the investigations to their logical conclusions and to whatever level.

I'm confident that our system of military justice will hold to account those that were responsible and are responsible for either committing these deeds or permitting them to be committed. But I saw nothing in the photographs that would lead me to any conclusion than the photographs that are in the public domain.

(END VIDEO CLIP)

PHILLIPS: Some lawmakers, both Democrats and Republicans, are urging the military to release all the photos to the public. Others say they would fear that would just put more American lives in Iraq at risk.

O'BRIEN: In Iraq today, more mixed signals. Peace negotiations among Shiite groups overlapped with heavy gunfire. Radical Shiite cleric Muqtada al-Sadr says he wants his Mahdi Army to be part of a force patrolling the volatile areas in Najaf and Karbala. He says he'll dissolve his army when there's an elected government in Iraq and if religious authorities demand it. In the meantime, he says he will fight the American occupation.

As troops clashed with U.S. troops in Karbala overnight, 22 militia members were killed, six coalition soldiers wounded.

We'll check Wall Street and business headlines just ahead. If you're looking at mortgage rates, the clock is ticking. Lock 'em in.

PHILLIPS: Plus, the strange objects in the sky over Mexico. Que paso la luz?

O'BRIEN: And also lights, camera, action at Cannes.

(COMMERCIAL BREAK)

(WEATHER UPDATE)

(COMMERCIAL BREAK) O'BRIEN: Well, in case you think the political blame game is limited to partisan squabbles within the U.S., let's take a short trip to Havana.

CNN's Lucia Newman says Cuban President Fidel Castro is successfully blaming Washington and President Bush for some of his country's woes.

(BEGIN VIDEOTAPE)

LUCIA NEWMAN, CNN CORRESPONDENT (voice-over): Cubans lined up in front of food stores angry at news of price hikes for everything sold in U.S. dollars, including fuel.

"Bush is to blame," says this woman. "Bush is crazy. He attacked Iraq and now he wants to attack us,' says another." If the art of politics is knowing how to...

(END VIDEOTAPE)

O'BRIEN: Let's go live to Washington right now.

Senator Bill Frist, the Senate majority leader, has just come out of the room where they were showing those pictures of abuse, alleged abuse, at the Abu Ghraib prison.

Let's listen to his comments.

(JOINED IN PROGRESS)

SEN. BILL FRIST (R-TN), MAJORITY LEADER: ...two hours, after which we can make a time available for other senators who would wish to be able to see them. But at all times they're in possession of the Department of Defense.

Given the fact that these photos are a part of active investigations, it really isn't appropriate for any of us to comment on the details of the CDs or of the short video clips -- and there were both, both CD still pictures and the video clips.

I would state, though, from at least my perspective, that what we saw is appalling. It is consistent with the photos that you've seen in the press to date. They go beyond that in many ways in terms of the various activities that are depicted; some totally unrelated to the Abu Ghraib prison or to the prisoners there.

With that, let me just close and say I thank the Defense Department. I have the utmost confidence in the department and in the secretary. And as majority leader, working with the minority leader and with the ranking member and chairman of the Armed Services, have been very satisfied with the cooperation that we've received in setting up the meeting today and in the hearings to date.

Mr. Chairman?

JOHN WARNER (R) VIRGINIA: Thank you very much. I just brought down a few copies. I'll give them out of what was handed out by the Department of Defense. The Majority Leader has referred to it. It can be duplicated, but it just explains the legalities.

I spoke earlier on the floor of the Senate, and I expressed my concern that in my view, and it's solely my view, these pictures at this time by the executive branch should not be released into the public domain and they await release until the course of the trials for several reasons.

One, it protects the integrity of the legal process. Two, it diminishes these photos from inspiring the enemy to inflict further damage, harm otherwise on members of the armed forces of the United States, our coalition forces, and indeed the vast infrastructure of civilians that are trying to work in support in the rebuilding of Iraq.

WARNER: I feel very strongly that senators, as they describe them, should do so with those factors in mind.

At this time, it seems to me they add further evidence. It's the eye of the beholder, but in my judgment, there's ample evidence, when you combine the pictures that are in the public domain now and these pictures, for the purpose of the trial.

Also the United States, we're a nation of rule of law. And it's extremely important that we handle these situations consistent with the rule of law. And by releasing the pictures in the context of the trials in exercising the rule of law and accountability, then I think the United States can't be criticized. Because we're out there in the public, wherever it is worldwide, sharing this information, trying to hold those whose allegations against them could make them accountable accountable, and dole out the appropriate penalties.

Any other questions?

QUESTION: Senator Warner, when you look at these pictures and you said that these should be withheld, at least for the time being, from the public...

WARNER: That's this senator's opinion.

QUESTION: And it's consistent with what the majority leader has said. Aren't you concerned that these pictures are going to get out...

WARNER: The question is, they'll get out.

In counseling with the Department of Defense and others, no one knows how many copies have been made and the distribution, whether it's in the United States or worldwide. So should they get out? Yes. But it will not be at the hands of the executive branch presumably, if they don't release them now.

QUESTION: At the hands of the Congress? WARNER: Not at the Congress. The Congress does not take possession here on the Senate side. The majority leader and I and counsel and the minority leader were very careful to see that we do not take possession of these photos.

QUESTION: There have been reports of rapes.

WARNER: I'm not going into description of...

FRIST: The document that Senator Warner made available, let me just read. We have to be very, very careful in what we say publicly. Just one paragraph:

"The Iraqi abuse photos and videos were collected by and are maintained in the files of a military criminal investigative organization in the Department of Defense. The photos are subject to the Privacy Act to the extent they disclose the identities of U.S. nationals, a decision that was made jointly by leadership and the chairman and ranking member of Armed Services that it is appropriate that we be allowed the opportunity throughout the Senate, all of our colleagues, to view the photos, but they are the property and active evidence in criminal investigations."

QUESTION: (OFF-MIKE)

WARNER: The Armed Services Committee will be holding additional hearings. The schedule has to be determined because we're on the floor with our annual bill next week which virtually precludes any further activity by our committee.

I note that the Senate Intelligence Committee this afternoon is pursuing within their sphere of oversight I think very constructive hearings on this subject.

FRIST: I think it's a very important point. As soon as we were made aware, we began hearings as part of our oversight responsibility very aggressively -- the Intelligence Committee, the Armed Services Committee last week, Intelligence Committee and Armed Services Committee this week and Appropriations today.

FRIST: So we will continue that.

We all know -- and we suffer with the same frustrations of how many pictures are out, what is going to be the next bit of evidence.

But I can tell my colleagues and the American people that this United States Senate will stay abreast, will aggressively investigate and provide appropriate oversight.

O'BRIEN: We have been listening to Senator Bill Frist and Senator John Warner of Tennessee and Virginia, respectively, the House majority leader and the chairman of the Senate -- excuse me -- the Senate majority leader and the chairman of Armed Services Committee, respectively, speaking about those pictures that they saw, clearly indicating that they're not going to characterize them in any way and also clearly stating that they feel at this juncture they should not be released into the public domain, as it would hinder the ability of those who might be accused to get a fair trial, ultimately.

Obviously, we're watching that story very closely for you.

When they began talking, we were telling you a little bit about a story from Lucia Newman, who is telling us about Fidel Castro's efforts to blame Washington, specifically President Bush, for some of the woes of his own country.

(BEGIN VIDEOTAPE)

NEWMAN (voice-over): Cubans lined up in front of food stores angry at news of price hikes for everything sold in U.S. dollars, including fuel.

"Bush is to blame," says this woman. "Bush is crazy. He attacked Iraq and now he wants to attack us,' says another." If the art of politics is knowing how to turn a setback into an advantage, Fidel Castro seems to have managed it by blaming Washington for implementing new austerity measures.

According to a government communique, prices have been raised for every basic commodity sold in U.S. dollars because of new economic sanctions against Cuba announced last week by the White House. They are part of a Bush administration initiative to hasten the downfall of Cuban communism. They include further restricting visits by Cuban Americans to one every three years and severely limiting the amount of money they can bring here to share with their relatives.

"Already, our salaries don't make ends meet. What are we going to do now?" asks this woman. On the street, many told us the government is taking advantage of the latest pressures from Washington to justify belt-tightening measures already on the books, although no one would say so on camera.

(on camera): But even those who don't buy the Cuban government's argument that all these new measures are the fault of the United States say that they too are angry with President Bush for, in their words, giving President Fidel Castro a pretext.

(voice-over): And a new opportunity to blame President Bush for the additional sacrifices the Cuban people are being told they must make.

Lucia Newman, CNN, Havana.

(END VIDEOTAPE)

(FINANCIAL UPDATE)

(COMMERCIAL BREAK)

PHILLIPS: As you know, we've been telling you throughout the day that additional pictures of the alleged abuses that took place in Iraq in the Abu Ghraib Prison have finally been released, more of these pictures, on the Hill to members of the House and also the Senate. And as those pictures have been viewed, various leaders have come out and talked to reporters how they feel about the pictures and what they saw.

Just a few minutes ago, Senator Bill Nelson from Florida made some comments about the pictures that he viewed.

(BEGIN VIDEO CLIP)

SEN. BILL NELSON (D), FLORIDA: What I have seen is disgusting and it is disappointing. What we have seen is a lot of duplication.

A lot of the still photographs are the ones that you've already seen that have been printed in the newspaper. There are obvious examples in videos of inhumane treatment. And, in one particular still photo, among troops that are in a hallway where you've seen the clump of people tied together on the floor, we counted seven or eight troops.

Now, you can't tell me that all of this was going on with seven or eight Army privates. And so the question is, how far up the chain of command did these orders and where did that failure of the command- and-control occur? And we're going to get to the bottom of it.

(END VIDEO CLIP)

PHILLIPS: Senator Bill Nelson from Florida responding to the pictures he had a chance to view today on the Hill of those abuses that took place in Abu Ghraib in Iraq.

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