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Live From...
New Threats Against U.S. May be Due to Latest Push to Get Bin Laden; DOJ Conference on Lay's Indictment
Aired July 08, 2004 - 13:30 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: Secretary of Homeland Security Tom Ridge out with a warning jut a few hours ago. You saw it here live on CNN that the al Qaeda terror network is planning a large-scale attack on the U.S., perhaps to disrupt the democratic process. Read, meaning to affect the elections in November.
Our national security correspondent David Ensor has been talking to his sources at length since then. And has a few more details about the subtext to this whole news conference -- David.
DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT: Miles, I was asking a senior U.S. intelligence official about why, why this warning now and what's behind it. He said that there's a strong body of intelligence indicating that al Qaeda seeks to attack the homeland, the United States, some time in the near future. By near future, he means this year. Probably before November.
And interestingly, he said that one of the reasons that U.S. officials fear there could be a major attack soon is the effort that is being made right now along the Afghan/Pakistani border by the U.S. and its allies to go after Osama bin Laden and the other leaders of al Qaeda who are believed to be in that area.
He said they do believe now that al Qaeda is feeling the pinch and those leaders may want to try to -- as he put it -- to try to hit us before we can hit them. So that's another piece of the reasoning behind the warning that we heard today.
He also noted that in April, there were arrests in Canada and in Pakistan, in a plot that he said was an al Qaeda organized plot to try to bomb some targets in London, England. So he pointed to that as evidence that al Qaeda is very much seeking to have an impact in this time period.
And he also tacked about the Madrid bombings, which we have talked about already. The feeling that al Qaeda leaders appear to have that those attacks on the trains in Madrid may have actually affected the results of the Spanish election.
This official saying there is intelligence indicating al Qaeda would like to affect the election here in the United States as well -- Miles.
O'BRIEN: David Ensor, thank you very much -- Kyra.
KYRA PHILLIPS, CNN ANCHOR: All right, we want to take you straight to the Department of Justice. James Comey right now at the podium talking about former Enron CEO Kenneth Lay and the charges against him.
(JOINED IN PROGRESS)
JAMES COMEY, DEPUTY ATTORNEY GENERAL: ... that we've see over the last two to three years.
Now a federal grand jury in Houston has indicted the former chairman of the board of that company and its former chief executive officer, Kenneth Lay, and charged him with a variety of crimes relates to the phenomenal collapse of that one-time energy giant.
The Enron investigation, which is the most prominent among the investigations being overseen by the president's Corporate Fraud Task Force, is also one of the most challenging matters we've dealt with. Since January of '02, we at the Justice Department has worked tenaciously to pursue the wrongdoing at Enron that resulted in so much harm to so many individual investors and did so much harm to the confidence of the American public in our markets.
This investigation, we believe, has served to reestablish the rule of law that no one is above the law, that no scheme to defraud is too complex or too fancy to be beyond the long arm of the law.
Thirty-one defendants have been brought to justice as a result of the Enron Task Force's work. Eleven of those defendants have been convicted or entered guilty pleas so far.
With the indictment of Mr. Lay today, we now have under indictment all the top brass of Enron. Ken Lay, the CEO and chairman. Jeffrey Skilling, the CEO before Mr. Lay. Rick Causey, the chief accounting officer. We have, as you know, also indicted and convicted the former chief financial officer, Andrew Fastow and Enron's treasurer Ben Glisan.
The investigation, although it has now reached the very top of Enron, will continue.
Let me now talk some more about today's development, the indictment of Enron's former chairman and CEO, Kenneth Lay. Earlier this morning in Houston, a superseding indictment was unsealed, charging Mr. Lay with 11 counts total. Conspiracy, four counts of securities fraud, two counts of wire fraud, three counts of making a false statement to a bank and one count of bank fraud.
The indictment also adds new money laundering and money laundering conspiracy charges and additional allegations against former Chief Accounting Officer Causey who was charged in January at the time of the Fastow pleas. Mr. Causey, you'll recall, is a former Arthur Andersen accountant who was the chief accounting officer starting in 1998.
Jeffrey Skilling was added to that indictment in February. And as you have now figured out, Mr. Lay has been added to Mr. Skilling and Mr. Causey's case. Let me give you a quick rundown of the superseding indictment that was unsealed this morning. Kenneth Lay, according to the indictment, was Enron's chairman from its formation in 1986, until its demise in December of 2001. He was also its CEO for this period, except for the time from February 2001 through mid-August 2001, when his now co-defendant, Jeffrey Skilling, served as CEO.
In short, the indictment alleges that Kenneth Lay was integral to running this company. And particularly after Skilling resigned abruptly in August of 2001...
PHILLIPS: We want to take you now from the Department of Justice's James Comey as he lays out the indictment against Kenneth Lay, live to Ken Lay and his attorney. Let's listen in.
All right, he made just a quick statement there in front of the mics. And I have a question? Anybody in the control room did you hear those statements, as we were getting to that live shot? We didn't hear it. We're working on it right now. We're rolling on that. We will bring it back to you, with a little tape turnaround, with his quick comments.
Meanwhile, the news conference continues with the Department of Justice with James Comey laying out the detail of the indictment against Kenneth Lay. Let's bring in our CNN senior legal analyst Jeffrey Toobin joining us from New York.
First of all, Jeffrey, that was interesting. James Comey, right there laying out the indictment. Meanwhile, Kenneth Lay and his attorney deciding at the same time to come out and make a quick public statement. It was sort of like they were dueling for the spotlight there.
JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: They certainly are, although I have to say this is really a day for the Department of Justice. This is -- has been, as James Comey said, an extremely complicated investigation.
And it is rather remarkable that the entire top brass of a company that was once No. 7 on the Fortune 500 is now either under indictment or has pleaded guilty. I mean, it is an extraordinary array of charges against people who were among the most prominent business people in the United States not too long ago.
PHILLIPS: I'm being told, Jeffrey, that Ken Lay just came forward and said he's going to have a longer briefing with reporters in about 15 minutes. So we will go to that live when it happens. Now we've cleared that up.
All right, so there might not be any competition going on here. Let's talk about the indictments -- multiple criminal acts, securities fraud, wire fraud, making false and misleading statements, bank fraud, 11 counts total. What does Kenneth Lay do from here? And what could this mean for him, these 11 counts?
TOOBIN: Well, the gist of the charges is that Ken Lay knew that his company was in the process of falling apart, yet nevertheless he made false statements to investors, encouraging them to either keep or buy the stock, therefore defrauding them. That's the gist of the charges, and what he faces is a trial. And under the new federal sentencing guidelines, under the rules in effect now, Ken Lay doesn't just look at years in prison, he looks at decades in prison. This is really a very strict system now, and the stakes for him are enormous.
PHILLIPS: Let's talk about the 2 1/2 year lapse between the Enron bankruptcy and this indictment. Could that affect this case at all, or the strength that the government says it has?
TOOBIN: Not really. This is a long time for normal human beings, but among lawyers, it really isn't that long a time. You know, complex white-collar investigations take a long time. If you remember in the early '90s, Mike Milken, the mastermind of Drexel Burnham, he was investigated for about this long until he was indicted. This is a situation where it's an enormously complicated thing for prosecutors and FBI agents to understand, and then they have to start working their way up the chain, getting the little fish to turn on the big fish. And obviously, the big turning point was when Andrew Fastow, the chief financial officer, pled guilty and started cooperating. He is going to be the linchpin against Jeffrey Skilling, the former CEO, and Ken Lay. His testimony will either make or break the case against him.
PHILLIPS: Former Enron president and CEO Skilling, as you mentioned, Jeffrey Skilling also saying he's going to cooperate. How could that affect what could happen to Ken Lay?
TOOBIN: I don't think that's right, Kyra; I don't think Jeffrey Skilling has said he's going to cooperate. He is fighting these charges. He's a defendant like Ken Lay. They are both going to fight.
Interestingly, we'll see whether the trial of them is together or separate. That's one of the many legal battles ahead before this case goes to trial.
PHILLIPS: OK, I'll double-check my facts on that, Jeffrey. You're holding me accountable.
What about the investors? When you talk about millions of dollar of debt and inflated profits, could investors see a penny? Is it a possibility to get any of the money back?
TOOBIN: I think you used the right term, a penny. I think that's about what might be available to them. There are many class- action suits pending. They're individual lawsuits. The SEC is suing all these executives. By the time these people finish paying their lawyers, there is going to be next to nothing. These investors may get a few pennies on the dollar, but it's really unlikely that any of this money is going to be recovered.
The victims in this scam are likely -- there are many -- but they're likely to have to get psychic satisfaction out of seeing Ken Lay in handcuffs, because they're not going to get much money, I don't think.
PHILLIPS: All right, CNN senior legal analyst Jeffrey Toobin, thanks so much. About 15 minutes from now, according to Kenneth Lay, just a few minutes ago, telling reporters in about 15 minutes he will hold a press conference. We will take that live when it happens.
If you're just tuning in, once again, the Department of Justice, James Comey, deputy attorney general, coming forward, laying out the indictment and all the criminal counts, 11 counts, against Kenneth Lay, the former head of Enron. We will follow that, bring you more information.
Right now, we're going to take a quick break. We'll be right back.
(COMMERCIAL BREAK)
O'BRIEN: The founder, former CEO, former chairman of Enron, has pleaded not guilty to a raft of federal charges, stemming from the colossal downfall of Enron some 2 1/2 years ago. We expect to hear from him in the form of a news conference in about 10 or 15 minutes. There you see the location of that. When Ken Lay comes to that podium, we promise we'll bring it to you live. Thanks to our friends at KHOU for that.
Turning now to health news. Today, strong advice from Georgia Senator Saxby Chambliss. Chambliss confirmed today he has prostate cancer. He released a statement, stressing the importance of getting a routine physical exam, so that the cancer can be detected early. Chambliss is expected to make a full recovery.
Here to talk about prostate cancer and a new study about it is Elizabeth Cohen.
Elizabeth, what's latest?
ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: Well, very interesting that today a study comes out that points to the necessity for early detection, not just to detect the cancer, to see if a man has prostate cancer, but to see if that cancer may be of a particularly virulent variety, that would mean that a man should perhaps get special treatment, especially aggressive treatment.
What this points to is the prostate -- the PSA test for prostate cancer -- it points to the rate of increase, and how important that is, not just what your PSA score is, what the number is, but how fast its rising is very important. What they found is that PSA levels that rise more than two points in a year mean that the man may have a particularly virulent form of prostate cancer that makes it more likely to spread, and perhaps he needs special treatment. That special treatment would include radiation and also hormone treatment. So, again, what this points to is that if a doctor wants to decide, gee, there are options out there for how to treat prostate cancer, what should this man have? If the doctor has a history to look at, he can say, you know what, prostate removal may not be enough, more kinds of treatments may be needed. Maybe this man needs radiation. Maybe the patient needs hormone therapy. So you have to have that history. You have no know where it started and where it ended up, which means you have to get screened.
O'BRIEN: Which of course for many men, makes them squirm a little bit, just the thought of that. So what are the recommendations? And let's tell guys that it's better than the alternative, right?
COHEN: That's right, absolutely, absolutely. The recommendations currently from the American Cancer Society is that all men, starting at age 50, should be offered a PSA and -- hate to say these words -- a digital rectal examination, but I'm not the one who would have to have it I guess it, so it's easy for me to say.
PHILLIPS: And when they say digital, that doesn't mean it's online?
COHEN: No, not that wouldn't be, no, that would not be that kind of digit. And that high-risk men, which would include all African- American men and also men with a family history of prostate cancer, should be offered both of those tests starting at age 45.
Now, it's interesting, the author of the study that we were just talking about, he said that he thinks that in the years to come, this kind of testing for men will be like mammograms for women; that men will know that they need to show up for a baseline at a certain age and that they really do need to show up every year so that they get that history, because it makes it not only easier to diagnose, but easier to figure out if you need special treatment or not.
O'BRIEN: We're just a bunch of babies, Elizabeth. I'm sorry.
COHEN: That's true, that's true. I have agree with you there.
O'BRIEN: I confess to that one.
Elizabeth, thank you.
COHEN: Thanks.
O'BRIEN: We should be paying attention to this.
COHEN: Absolutely.
O'BRIEN: Kyra.
PHILLIPS: We're about 10 minutes away or so from a live news conference. Former Enron CEO Kenneth Lay pleading not guilty to federal charges. He's supposed to take to the podium. We'll take that live as soon as it happens.
(COMMERCIAL BREAK)
PHILLIPS: Well -- yes?
O'BRIEN: Did you ever used to smoke? PHILLIPS: Are you kidding me? Do you know how bad that is for you? Did you used to smoke?
O'BRIEN: I tried it.
PHILLIPS: Really?
O'BRIEN: Yes.
PHILLIPS: As kids we would wrap up, you know, baby powder and cotton ball in a paper and blow. That's when I was 3.
O'BRIEN: Yes. Well, on days like today I feel like taking it back up. But there is a drug company out there that has a way for you to quit if you can't quit the death sticks, right, Rhonda?
(MARKET UPDATE)
O'BRIEN: All right. Thank you, Rhonda.
Coming up in our second hour of LIVE FROM, we're going to be hearing from Ken Lay. We expect a news conference very shortly.
Ken Lay, as we've been telling you, pleaded not guilty to a whole raft of federal charges stemming from the downfall of Enron, which left thousands of shareholders with goose eggs instead of a fat retirement.
We'll have the details for you on that.
PHILLIPS: Also ahead, monkeys moving cursors with their minds? Well, the science fictionesque study that could help change the lives of disabled folks.
Now we're at live at Gitmo. Extraordinary access to the detention camp as a CNN exclusive.
LIVE FROM's hour of power begins right after this.
(COMMERCIAL BREAK)
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 July 8, 2004 - 13:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
MILES O'BRIEN, CNN ANCHOR: Secretary of Homeland Security Tom Ridge out with a warning jut a few hours ago. You saw it here live on CNN that the al Qaeda terror network is planning a large-scale attack on the U.S., perhaps to disrupt the democratic process. Read, meaning to affect the elections in November.
Our national security correspondent David Ensor has been talking to his sources at length since then. And has a few more details about the subtext to this whole news conference -- David.
DAVID ENSOR, CNN NATIONAL SECURITY CORRESPONDENT: Miles, I was asking a senior U.S. intelligence official about why, why this warning now and what's behind it. He said that there's a strong body of intelligence indicating that al Qaeda seeks to attack the homeland, the United States, some time in the near future. By near future, he means this year. Probably before November.
And interestingly, he said that one of the reasons that U.S. officials fear there could be a major attack soon is the effort that is being made right now along the Afghan/Pakistani border by the U.S. and its allies to go after Osama bin Laden and the other leaders of al Qaeda who are believed to be in that area.
He said they do believe now that al Qaeda is feeling the pinch and those leaders may want to try to -- as he put it -- to try to hit us before we can hit them. So that's another piece of the reasoning behind the warning that we heard today.
He also noted that in April, there were arrests in Canada and in Pakistan, in a plot that he said was an al Qaeda organized plot to try to bomb some targets in London, England. So he pointed to that as evidence that al Qaeda is very much seeking to have an impact in this time period.
And he also tacked about the Madrid bombings, which we have talked about already. The feeling that al Qaeda leaders appear to have that those attacks on the trains in Madrid may have actually affected the results of the Spanish election.
This official saying there is intelligence indicating al Qaeda would like to affect the election here in the United States as well -- Miles.
O'BRIEN: David Ensor, thank you very much -- Kyra.
KYRA PHILLIPS, CNN ANCHOR: All right, we want to take you straight to the Department of Justice. James Comey right now at the podium talking about former Enron CEO Kenneth Lay and the charges against him.
(JOINED IN PROGRESS)
JAMES COMEY, DEPUTY ATTORNEY GENERAL: ... that we've see over the last two to three years.
Now a federal grand jury in Houston has indicted the former chairman of the board of that company and its former chief executive officer, Kenneth Lay, and charged him with a variety of crimes relates to the phenomenal collapse of that one-time energy giant.
The Enron investigation, which is the most prominent among the investigations being overseen by the president's Corporate Fraud Task Force, is also one of the most challenging matters we've dealt with. Since January of '02, we at the Justice Department has worked tenaciously to pursue the wrongdoing at Enron that resulted in so much harm to so many individual investors and did so much harm to the confidence of the American public in our markets.
This investigation, we believe, has served to reestablish the rule of law that no one is above the law, that no scheme to defraud is too complex or too fancy to be beyond the long arm of the law.
Thirty-one defendants have been brought to justice as a result of the Enron Task Force's work. Eleven of those defendants have been convicted or entered guilty pleas so far.
With the indictment of Mr. Lay today, we now have under indictment all the top brass of Enron. Ken Lay, the CEO and chairman. Jeffrey Skilling, the CEO before Mr. Lay. Rick Causey, the chief accounting officer. We have, as you know, also indicted and convicted the former chief financial officer, Andrew Fastow and Enron's treasurer Ben Glisan.
The investigation, although it has now reached the very top of Enron, will continue.
Let me now talk some more about today's development, the indictment of Enron's former chairman and CEO, Kenneth Lay. Earlier this morning in Houston, a superseding indictment was unsealed, charging Mr. Lay with 11 counts total. Conspiracy, four counts of securities fraud, two counts of wire fraud, three counts of making a false statement to a bank and one count of bank fraud.
The indictment also adds new money laundering and money laundering conspiracy charges and additional allegations against former Chief Accounting Officer Causey who was charged in January at the time of the Fastow pleas. Mr. Causey, you'll recall, is a former Arthur Andersen accountant who was the chief accounting officer starting in 1998.
Jeffrey Skilling was added to that indictment in February. And as you have now figured out, Mr. Lay has been added to Mr. Skilling and Mr. Causey's case. Let me give you a quick rundown of the superseding indictment that was unsealed this morning. Kenneth Lay, according to the indictment, was Enron's chairman from its formation in 1986, until its demise in December of 2001. He was also its CEO for this period, except for the time from February 2001 through mid-August 2001, when his now co-defendant, Jeffrey Skilling, served as CEO.
In short, the indictment alleges that Kenneth Lay was integral to running this company. And particularly after Skilling resigned abruptly in August of 2001...
PHILLIPS: We want to take you now from the Department of Justice's James Comey as he lays out the indictment against Kenneth Lay, live to Ken Lay and his attorney. Let's listen in.
All right, he made just a quick statement there in front of the mics. And I have a question? Anybody in the control room did you hear those statements, as we were getting to that live shot? We didn't hear it. We're working on it right now. We're rolling on that. We will bring it back to you, with a little tape turnaround, with his quick comments.
Meanwhile, the news conference continues with the Department of Justice with James Comey laying out the detail of the indictment against Kenneth Lay. Let's bring in our CNN senior legal analyst Jeffrey Toobin joining us from New York.
First of all, Jeffrey, that was interesting. James Comey, right there laying out the indictment. Meanwhile, Kenneth Lay and his attorney deciding at the same time to come out and make a quick public statement. It was sort of like they were dueling for the spotlight there.
JEFFREY TOOBIN, CNN SENIOR LEGAL ANALYST: They certainly are, although I have to say this is really a day for the Department of Justice. This is -- has been, as James Comey said, an extremely complicated investigation.
And it is rather remarkable that the entire top brass of a company that was once No. 7 on the Fortune 500 is now either under indictment or has pleaded guilty. I mean, it is an extraordinary array of charges against people who were among the most prominent business people in the United States not too long ago.
PHILLIPS: I'm being told, Jeffrey, that Ken Lay just came forward and said he's going to have a longer briefing with reporters in about 15 minutes. So we will go to that live when it happens. Now we've cleared that up.
All right, so there might not be any competition going on here. Let's talk about the indictments -- multiple criminal acts, securities fraud, wire fraud, making false and misleading statements, bank fraud, 11 counts total. What does Kenneth Lay do from here? And what could this mean for him, these 11 counts?
TOOBIN: Well, the gist of the charges is that Ken Lay knew that his company was in the process of falling apart, yet nevertheless he made false statements to investors, encouraging them to either keep or buy the stock, therefore defrauding them. That's the gist of the charges, and what he faces is a trial. And under the new federal sentencing guidelines, under the rules in effect now, Ken Lay doesn't just look at years in prison, he looks at decades in prison. This is really a very strict system now, and the stakes for him are enormous.
PHILLIPS: Let's talk about the 2 1/2 year lapse between the Enron bankruptcy and this indictment. Could that affect this case at all, or the strength that the government says it has?
TOOBIN: Not really. This is a long time for normal human beings, but among lawyers, it really isn't that long a time. You know, complex white-collar investigations take a long time. If you remember in the early '90s, Mike Milken, the mastermind of Drexel Burnham, he was investigated for about this long until he was indicted. This is a situation where it's an enormously complicated thing for prosecutors and FBI agents to understand, and then they have to start working their way up the chain, getting the little fish to turn on the big fish. And obviously, the big turning point was when Andrew Fastow, the chief financial officer, pled guilty and started cooperating. He is going to be the linchpin against Jeffrey Skilling, the former CEO, and Ken Lay. His testimony will either make or break the case against him.
PHILLIPS: Former Enron president and CEO Skilling, as you mentioned, Jeffrey Skilling also saying he's going to cooperate. How could that affect what could happen to Ken Lay?
TOOBIN: I don't think that's right, Kyra; I don't think Jeffrey Skilling has said he's going to cooperate. He is fighting these charges. He's a defendant like Ken Lay. They are both going to fight.
Interestingly, we'll see whether the trial of them is together or separate. That's one of the many legal battles ahead before this case goes to trial.
PHILLIPS: OK, I'll double-check my facts on that, Jeffrey. You're holding me accountable.
What about the investors? When you talk about millions of dollar of debt and inflated profits, could investors see a penny? Is it a possibility to get any of the money back?
TOOBIN: I think you used the right term, a penny. I think that's about what might be available to them. There are many class- action suits pending. They're individual lawsuits. The SEC is suing all these executives. By the time these people finish paying their lawyers, there is going to be next to nothing. These investors may get a few pennies on the dollar, but it's really unlikely that any of this money is going to be recovered.
The victims in this scam are likely -- there are many -- but they're likely to have to get psychic satisfaction out of seeing Ken Lay in handcuffs, because they're not going to get much money, I don't think.
PHILLIPS: All right, CNN senior legal analyst Jeffrey Toobin, thanks so much. About 15 minutes from now, according to Kenneth Lay, just a few minutes ago, telling reporters in about 15 minutes he will hold a press conference. We will take that live when it happens.
If you're just tuning in, once again, the Department of Justice, James Comey, deputy attorney general, coming forward, laying out the indictment and all the criminal counts, 11 counts, against Kenneth Lay, the former head of Enron. We will follow that, bring you more information.
Right now, we're going to take a quick break. We'll be right back.
(COMMERCIAL BREAK)
O'BRIEN: The founder, former CEO, former chairman of Enron, has pleaded not guilty to a raft of federal charges, stemming from the colossal downfall of Enron some 2 1/2 years ago. We expect to hear from him in the form of a news conference in about 10 or 15 minutes. There you see the location of that. When Ken Lay comes to that podium, we promise we'll bring it to you live. Thanks to our friends at KHOU for that.
Turning now to health news. Today, strong advice from Georgia Senator Saxby Chambliss. Chambliss confirmed today he has prostate cancer. He released a statement, stressing the importance of getting a routine physical exam, so that the cancer can be detected early. Chambliss is expected to make a full recovery.
Here to talk about prostate cancer and a new study about it is Elizabeth Cohen.
Elizabeth, what's latest?
ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: Well, very interesting that today a study comes out that points to the necessity for early detection, not just to detect the cancer, to see if a man has prostate cancer, but to see if that cancer may be of a particularly virulent variety, that would mean that a man should perhaps get special treatment, especially aggressive treatment.
What this points to is the prostate -- the PSA test for prostate cancer -- it points to the rate of increase, and how important that is, not just what your PSA score is, what the number is, but how fast its rising is very important. What they found is that PSA levels that rise more than two points in a year mean that the man may have a particularly virulent form of prostate cancer that makes it more likely to spread, and perhaps he needs special treatment. That special treatment would include radiation and also hormone treatment. So, again, what this points to is that if a doctor wants to decide, gee, there are options out there for how to treat prostate cancer, what should this man have? If the doctor has a history to look at, he can say, you know what, prostate removal may not be enough, more kinds of treatments may be needed. Maybe this man needs radiation. Maybe the patient needs hormone therapy. So you have to have that history. You have no know where it started and where it ended up, which means you have to get screened.
O'BRIEN: Which of course for many men, makes them squirm a little bit, just the thought of that. So what are the recommendations? And let's tell guys that it's better than the alternative, right?
COHEN: That's right, absolutely, absolutely. The recommendations currently from the American Cancer Society is that all men, starting at age 50, should be offered a PSA and -- hate to say these words -- a digital rectal examination, but I'm not the one who would have to have it I guess it, so it's easy for me to say.
PHILLIPS: And when they say digital, that doesn't mean it's online?
COHEN: No, not that wouldn't be, no, that would not be that kind of digit. And that high-risk men, which would include all African- American men and also men with a family history of prostate cancer, should be offered both of those tests starting at age 45.
Now, it's interesting, the author of the study that we were just talking about, he said that he thinks that in the years to come, this kind of testing for men will be like mammograms for women; that men will know that they need to show up for a baseline at a certain age and that they really do need to show up every year so that they get that history, because it makes it not only easier to diagnose, but easier to figure out if you need special treatment or not.
O'BRIEN: We're just a bunch of babies, Elizabeth. I'm sorry.
COHEN: That's true, that's true. I have agree with you there.
O'BRIEN: I confess to that one.
Elizabeth, thank you.
COHEN: Thanks.
O'BRIEN: We should be paying attention to this.
COHEN: Absolutely.
O'BRIEN: Kyra.
PHILLIPS: We're about 10 minutes away or so from a live news conference. Former Enron CEO Kenneth Lay pleading not guilty to federal charges. He's supposed to take to the podium. We'll take that live as soon as it happens.
(COMMERCIAL BREAK)
PHILLIPS: Well -- yes?
O'BRIEN: Did you ever used to smoke? PHILLIPS: Are you kidding me? Do you know how bad that is for you? Did you used to smoke?
O'BRIEN: I tried it.
PHILLIPS: Really?
O'BRIEN: Yes.
PHILLIPS: As kids we would wrap up, you know, baby powder and cotton ball in a paper and blow. That's when I was 3.
O'BRIEN: Yes. Well, on days like today I feel like taking it back up. But there is a drug company out there that has a way for you to quit if you can't quit the death sticks, right, Rhonda?
(MARKET UPDATE)
O'BRIEN: All right. Thank you, Rhonda.
Coming up in our second hour of LIVE FROM, we're going to be hearing from Ken Lay. We expect a news conference very shortly.
Ken Lay, as we've been telling you, pleaded not guilty to a whole raft of federal charges stemming from the downfall of Enron, which left thousands of shareholders with goose eggs instead of a fat retirement.
We'll have the details for you on that.
PHILLIPS: Also ahead, monkeys moving cursors with their minds? Well, the science fictionesque study that could help change the lives of disabled folks.
Now we're at live at Gitmo. Extraordinary access to the detention camp as a CNN exclusive.
LIVE FROM's hour of power begins right after this.
(COMMERCIAL BREAK)
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
