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Who Watches Workplace Watchers?; Americans Seek Cheap Drugs in Mexico

Aired December 02, 2004 - 14:30   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.


KYRA PHILLIPS, CNN ANCHOR: Welcome back to the CNN Center in Atlanta. This is LIVE FROM. I'm Kyra Phillips.
FREDRICKA WHITFIELD, CNN ANCHOR: And I'm Fredricka Whitfield in for Miles O'Brien. Here's what's all new this half hour. Who is watching you on the job? You might be surprised to find out how much of your business your boss can find out.

PHILLIPS: And honoring the late pro golfer Payne Stewart, his son joins me to talk about a golf tournament that's helping him keep his father's memory alive. But first here's what's happening "Now in the News."

PHILLIPS: Despite a shaky security situation, President Bush says the Iraq elections should go ahead as scheduled on January 30th. More than a dozen Iraqi political parties are calling for a postponement, saying the country is too dangerous for a vote. The Pentagon announced yesterday it would boost its forces to the highest wartime level just ahead of the election.

The president nominates Nebraska Governor Mike Johanns as his new secretary of agriculture. Mr. Bush called Johanns a man of action and of complete integrity. He is nominated to replace Ann Veneman who resigned last month.

Kansas police are checking whether there's a connection between a 64-year-old man and the so-called BTK killings in Wichita in the '70s and '80s. That man was arrested on minor trespassing and housing code violations. Authorities are testing his DNA now. Officials have tested hundreds of blood samples in the past two decades.

WHITFIELD: Wel, if you're watching LIVE FROM from work, do you know who's watching you at your cubicle? A growing number of employers are installing cameras and software to spy on you. CNN's tech correspondent Daniel Sieberg reports.

(BEGIN VIDEOTAPE)

DANIEL SIEBERG, CNN TECHNOLOGY CORRESPONDENT (voice-over): Ever wonder if your boss is spying on you? Well, Bill Bartlett had more than a sneaking suspicion when a camera was installed literally over his shoulder at a cell phone retail shop.

BILL BARTLETT, FORMER KIOSK EMPLOYEE: I felt it was intrusive in nature. I felt like I was being harassed, actually. I received a phone call from my son on Father's Day to wish me a happy Father's Day. And I saw the camera zooming on me to see what it is that I was doing.

SIEBERG (on camera): And did you have any sort of gut reaction at various times of the day?

BARTLETT: It was so close to me that I actually found myself kind of running around the kiosk hiding from it. And it was so close to me that I had to kind of restrain myself from actually knocking it off the attachment. When I approached the owners and management in regard, I was told to deal with it or to leave. So I left.

SIEBERG (voice-over): When contacted by CNN, the kiosk owner stated that the camera was installed to protect both the company and its employees from theft and liability.

BARTLETT: I'm a proud worker. I do my job to the best of my ability. But I think there should be some guidelines.

SIEBERG (on camera): What would you tell your son when he grows up about working in a situation like you were in?

BARTLETT: Well, do whatever you can to protect your civil liberties, you know? I felt it was intrusive.

SIEBERG: Bill's situation happened to take place here in this mall, but you could be watched while you're sitting at your cubicle, talking on the phone, surfing the Web. And while some employees aren't quitting their job, they are fighting back using technology, even if it means they could get fired.

(voice-over): Computer programs like Anonymizer are now available. They claim to shield users from monitoring software. One called X Cleaner even claims to anti-spy your boss.

DOUG ISENBERG, FOUNDER, GIGILAW.COM: You install it at your own risk.

SIEBERG: Doug Isenberg is an Internet lawyer and founder of Gigilaw.com.

(on camera): Are you familiar with some employees who have decided to fight back or decided to quit or are just really fed up with this amount of monitoring, be it necessary or not?

ISENBERG: The very act of installing that software might violate a company's Internet or computer usage policy.

SIEBERG: Because a lot of employees maybe say, you know, I spend a lot of overtime working for the company, maybe they don't get paid for it, you know, I'm here early, I leave late, I've got kids to worry about, I've got bills to pay. I just don't have time to do all these things. I have to do them at work.

ISENBERG: And that's why a lot of employers will tolerate a reasonable amount of personal computer use. The employer may learn that its employees are using e-mail for personal reasons and choose to do nothing about it because it keeps the employees happy. And that should be tolerated.

SIEBERG: Although most employers do have a written monitoring policy in place, experts say many companies still do not do a good enough job of informing employees about those guidelines.

NANCY FLYNN, THE EPOLICY INSTITUTE: Some employers will monitor telephone conversations. Some employers have installed cameras and other security devices. And other employers are monitoring computer activity. Let your employees know what you're doing when it comes to monitoring and let them know why you're doing it.

SIEBERG: According to a recent American Management Association survey, 90 percent of employees say they use company resources for some personal use. Over 60 percent of employers monitor their workers' computer usage and 25 percent of U.S. businesses have fired an employee for e-mail abuse alone.

FLYNN: Most employees tend to think my e-mail is my business. My employer has no right to read my e-mail messages, particularly if it's a message to a friend or a family member. But in reality, here in the U.S., the federal government gives employers the right to monitor all employee e-mail, instant messaging and Internet activity.

SIEBERG: Ultimately, experts say companies need to find a balance between clamping down too hard and lowering employee morale and mitigating any legal hot water.

(END VIDEOTAPE)

SIEBERG: All right. I know what many of you are probably thinking. You work for a huge company, how could they possibly monitor every one and everything. Well, the Orwellian image of your boss watching every line of e-mails, every word in a phone conversation in realtime likely isn't practical. But just because they're not watching every word doesn't mean they're not recording and saving it forever. Remember that nothing is truly deleted in the digital age. You could raise a red flag for some reasons and they could go back and check on your history -- Fred.

WHITFIELD: So Dan, you have to wonder what's the justification that many of these employers are using to be able to police their properties.

SIEBERG: Well, this is a tough story because I think a lot of us can see both sides of this. On the legal side, companies could be liable, say, for a sexual harassment case, if someone types something that was rather controversial or someone who illegally downloads music on company time and company computers. So they certainly have a vested interest in protecting their bottom line. It's a tough story and we're all a part of it in a way.

WHITFIELD: All right. Dan Sieberg, thanks so much.

SIEBERG: All right.

WHITFIELD: We've heard a lot about the legal rights of employers. But what rights do you have as a worker if you're being spied upon, if that's the word you want to use? Joining me is Lisa Cassilly, she's an employment attorney with Alston & Bird LLP.

Good to see you.

LISA H. CASSILLY, ATTY., ALSTON & BIRD LLP: Hello.

WHITFIELD: Well, is it the discretion of an employer to make a decision on how they want to watch, by what method they want to use in order to watch what their employees are doing?

CASSILLY: In most circumstances, yes. I think it would be surprising to many American workers to learn that while our society generally values privacy interests, and that there are a number of circumstances where laws would exist in order to protect an individual's privacy interests in the workplace, an employer in most circumstances will have great latitude to monitor its employees.

WHITFIELD: And what might the parameters be, if it's a company issued computer, then you can expect that your employer is going to be watching what you're doing or even in your workplace or perhaps even involving the telephone usage, perhaps in your office?

CASSILLY: All of those things are possible. In fact, I would say probably the greatest percentage of large employers now do have policies in place which advise their employees that they will be monitoring the employee's use of the company-provided Internet and computer access, e-mail and like.

WHITFIELD: And if you haven't been exposed to the written policies, you can presume as an employee that there's something on the books that allows the employers to police, you know, try to protect their properties or try to secure the workplace.

CASSILLY: That's correct. In fact, merely because you have not seen the policy, you don't necessarily have any reason to claim a right of privacy or an expectation of privacy which would prohibit your employer from reviewing your e-mail, your Internet usage.

WHITFIELD: So bottom line, should anyone just -- any employee just naturally assume that they really don't have the same kind of privacy rights that they do as a citizen once they leave the workplace, period?

CASSILLY: At least as respects use of the company's resources such as the computer access. I think the safer assumption for an employee is to believe that his employer or her employer will have the opportunity and the capacity and may make use of that to review e-mail communications, Internet access and the like. There is not the same expectation of privacy in the workplace that you might have in other aspects of your life.

WHITFIELD: And we saw in Dan's piece, he touched on the fact that some people try to load some software, kind of like an anti-spy device. But that in and of itself might be a violation as well, wouldn't it, with company policy? CASSILLY: Probably so. If you look at your company's policy as relates to your use of the company computer systems, typically, you would find that the employers have admonished employees not to utilize the computer for certain purposes and that would be a typical example.

WHITFIELD: All right. Lisa Cassilly, thanks so much for joining us, appreciate it.

CASSILLY: Thank you.

WHITFIELD: Kyra.

PHILLIPS: Straight ahead, in the giving mood this holiday season? Beware, your name could end up on the wrong mailing list. Also ahead, two generations of golf royalty are teaming up on the links. Right here on LIVE FROM also, it's Aaron Payne and Lee Janzen, they're going to joining live coming up next.

(COMMERCIAL BREAK)

PHILLIPS: Every day Americans make drug runs south of border. But these buyers are looking for deals on Prozac, Lipitor, not marijuana. CNN'S Casey Wian looks whether they're getting what they pay for.

(BEGIN VIDEOTAPE)

CASEY WIAN, CNN CORRESPONDENT (voice-over): Every morning Americans cross the Mexican border to buy prescription drugs at a fraction of the price they would pay at home.

UNIDENTIFIED MALE: I'm between insurance at the moment. And so I buy the asthma medicine down here.

WIAN: San Diego resident Socrates Torres came to Tijuana for antibiotics.

SOCRATES TORRES, SAN DIEGO RESIDENT: They're like 75 bucks over there. You get it for 15 bucks down here.

WIAN: Robert Patton says Zoloft is a third of the price in Tijuana.

ROBERT PATTON, SAN DIEGO RESIDENT: Sure, it's pissing off; we're being ripped off.

WIAN: Pharmacies here offer a dizzying array of drugs.

MIGUEL RINCON, TIJUANA PHARMACIST: If it's not a controlled substance, you can buy it over the counter. If it's a controlled substance, you need to require a Mexican prescription.

WIAN: Those are easily obtained at local clinics. Though most drugs sold here are identical to what's prescribed by U.S. doctors, no one knows how much is counterfeit. (on camera): The high cost of prescription drugs in the United States created a drug store boom in places like Tijuana. There are now about 1300 pharmacies here.

(voice-over): But recently businesses slowed. One reason, competition from Internet drug sales.

WILLIAM HUBBARD, ASSOC. COMMISSIONER, FDA: FDA is very concerned when an American patient goes outside the normal system for buying drugs, whether it means traveling to another country or going on the Internet. That patient is highly likely to end up with a bad drug, a counterfeit drug, dangerous drug.

WIAN: Immigration and Customs agents say large quantities of counterfeit prescription drugs are smuggled into the United States from Mexico, India and elsewhere. Some supply Internet pharmacies; others back room medical clinics catering to the growing illegal alien population.

GREG SCHULTE, IMMIGRATION & CUSTOMS ENFORCEMENT: They're making lots and lots of money. They're laundering that money. They may be engaged in other violations as well. There are health problems with the self-medication. And with the fact that you don't know how it was manufactured. Ninety-five percent of it could be fine; I'm not sure I want to throw the dice.

WIAN: But every day online and across the border, million of Americans gamble on those odds.

Casey Wian, CNN, Tijuana, Mexico.

(END VIDEOTAPE)

(WEATHER REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Gay rights and the church. A Protestant denomination has launched a series of new TV ads about the acceptance of gays in the church. However, the big three networks are rejecting the ads as controversial. CNN'S Aaron Brown reports.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: No, step aside please.

AARON BROWN, CNN CORRESPONDENT (voice-over): The images are stark.

UNIDENTIFIED MALE: No way, not you. I don't think so. No.

BROWN: They are meant to be. The United Church of Christ is trying to reach those who may feel rejected by other denominations: minorities, the young, gays.

RON BUFORD, COORD., UNITED CHURCH OF CHRIST: Our message is a message of inclusion. That everyone is welcome, no matter who they are, where they are in life's journey.

BROWN: But this commercial is not welcome on the top three broadcast networks, although it will air on network affiliates and many cable networks, including CNN. A spokesperson from ABC told CNN, "We do not generally accept paid advertising that espouses a particular religious doctrine."

CBS told CNN that they had a long-standing policy of not accepting advocacy or issue-oriented ads. In a memo sent to the church, CBS went a bit further, saying, "Because this commercial touches on the exclusion of gay couples and the fact that the executive branch has recently proposed a constitutional amendment to define marriage as a union between a man and a woman, this spot is unacceptable for broadcast on the networks."

In another memo sent to the church, NBC rejected the ad as "too controversial," but apparently both CBS and NBC will accept another, less pointed, commercial scheduled to run later this month.

(BEGIN VIDEO CLIP FROM UNITED CHURCH OF CHRIST AD)

UNIDENTIFIED MALE: God accepts all the people.

UNIDENTIFIED FEMALE: All the people.

UNIDENTIFIED FEMALE: All the people.

UNIDENTIFIED MALE: So do we.

(END VIDEO CLIP)

BROWN: The church says that their initial ad has already aired in several test markets, both red and blue states, without public complaint. And the church says it doesn't see why it should be blocked from the airwaves.

BUFORD: But I think the most controversial thing is whether or not we're going to be denied free expression of the practice of our religion or freedom of speech. That is the most controversial thing of all.

BROWN: Alex Ben Block, the editor of "Television Week," agrees.

ALEX BEN BLOCK, EDITOR, "TELEVISION WEEK": I think what's really going on here is that there's a great chill over television and over media today because of the shift to the right in our society and because nobody really knows what the rules are at the FCC anymore and everybody's afraid to offend.

BROWN: Aaron Brown, CNN, New York.

(END VIDEOTAPE)

PHILLIPS: Wow. Well, if you're in a giving mood this holiday season, you might get a lot of unwanted phone calls.

Rhonda Schaffler joins us again from the New York Stock Exchange on an explanation of this -- Rhonda.

RHONDA SCHAFFLER, CNN BUSINESS CORRESPONDENT: Hi again, ladies. It looks like some charities might be doing a little too much giving this year, as far as your name and address are concerned. According to Charity Navigator, which a charity watchdog group, only 18 percent of the more than 3,000 charities have a donor privacy policy in place. Others could swap mailing lists with other charities or even raise additional funds by selling your personal information to marketing firms.

And if you think you're safe because you're on the do not call list, think again. Charities are exempt from the list on first amendment grounds. For more information on charities with donor privacy policies, you should log on to charitynavigator.com -- Kyra, Fred.

WHITFIELD: Well, Rhonda, speaking about those in a giving mood, apparently some Starbucks regulars were in a giving mood.

SCHAFFLER: Yes, in a big way. The company saw some strong sales in November, thanks to the early launch of holiday products like its Christmas coffee beans and its new pumpkin spice latte. But a caffeine high can't last forever. The company is warning investors not to expect such dramatic spikes going forward. Shares up about one percent right now.

The market could use some sort of caffeine jolt. Stocks are very much mixed and not going anywhere. The Dow is off three points. Nasdaq up a quarter percent. That's the latest from Wall street. Coming up on the next hour of LIVE FROM, I'll tell you why it's a gray day for "New York Times" shareholders. In the meantime -- Kyra, Fred, back to you.

WHITFIELD: All right, thanks so much. Look forward to that. Well, it's almost the top of the hour. We'll check the headlines coming up next.

PHILLIPS: Including an arrest that may be connected to a decades-old serial killer case. Do police have their man?

And on a lighter new, VH1 picks the best pop culture moments of 2004.

(COMMERCIAL BREAK)

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Aired December 2, 2004 - 14:30   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
KYRA PHILLIPS, CNN ANCHOR: Welcome back to the CNN Center in Atlanta. This is LIVE FROM. I'm Kyra Phillips.
FREDRICKA WHITFIELD, CNN ANCHOR: And I'm Fredricka Whitfield in for Miles O'Brien. Here's what's all new this half hour. Who is watching you on the job? You might be surprised to find out how much of your business your boss can find out.

PHILLIPS: And honoring the late pro golfer Payne Stewart, his son joins me to talk about a golf tournament that's helping him keep his father's memory alive. But first here's what's happening "Now in the News."

PHILLIPS: Despite a shaky security situation, President Bush says the Iraq elections should go ahead as scheduled on January 30th. More than a dozen Iraqi political parties are calling for a postponement, saying the country is too dangerous for a vote. The Pentagon announced yesterday it would boost its forces to the highest wartime level just ahead of the election.

The president nominates Nebraska Governor Mike Johanns as his new secretary of agriculture. Mr. Bush called Johanns a man of action and of complete integrity. He is nominated to replace Ann Veneman who resigned last month.

Kansas police are checking whether there's a connection between a 64-year-old man and the so-called BTK killings in Wichita in the '70s and '80s. That man was arrested on minor trespassing and housing code violations. Authorities are testing his DNA now. Officials have tested hundreds of blood samples in the past two decades.

WHITFIELD: Wel, if you're watching LIVE FROM from work, do you know who's watching you at your cubicle? A growing number of employers are installing cameras and software to spy on you. CNN's tech correspondent Daniel Sieberg reports.

(BEGIN VIDEOTAPE)

DANIEL SIEBERG, CNN TECHNOLOGY CORRESPONDENT (voice-over): Ever wonder if your boss is spying on you? Well, Bill Bartlett had more than a sneaking suspicion when a camera was installed literally over his shoulder at a cell phone retail shop.

BILL BARTLETT, FORMER KIOSK EMPLOYEE: I felt it was intrusive in nature. I felt like I was being harassed, actually. I received a phone call from my son on Father's Day to wish me a happy Father's Day. And I saw the camera zooming on me to see what it is that I was doing.

SIEBERG (on camera): And did you have any sort of gut reaction at various times of the day?

BARTLETT: It was so close to me that I actually found myself kind of running around the kiosk hiding from it. And it was so close to me that I had to kind of restrain myself from actually knocking it off the attachment. When I approached the owners and management in regard, I was told to deal with it or to leave. So I left.

SIEBERG (voice-over): When contacted by CNN, the kiosk owner stated that the camera was installed to protect both the company and its employees from theft and liability.

BARTLETT: I'm a proud worker. I do my job to the best of my ability. But I think there should be some guidelines.

SIEBERG (on camera): What would you tell your son when he grows up about working in a situation like you were in?

BARTLETT: Well, do whatever you can to protect your civil liberties, you know? I felt it was intrusive.

SIEBERG: Bill's situation happened to take place here in this mall, but you could be watched while you're sitting at your cubicle, talking on the phone, surfing the Web. And while some employees aren't quitting their job, they are fighting back using technology, even if it means they could get fired.

(voice-over): Computer programs like Anonymizer are now available. They claim to shield users from monitoring software. One called X Cleaner even claims to anti-spy your boss.

DOUG ISENBERG, FOUNDER, GIGILAW.COM: You install it at your own risk.

SIEBERG: Doug Isenberg is an Internet lawyer and founder of Gigilaw.com.

(on camera): Are you familiar with some employees who have decided to fight back or decided to quit or are just really fed up with this amount of monitoring, be it necessary or not?

ISENBERG: The very act of installing that software might violate a company's Internet or computer usage policy.

SIEBERG: Because a lot of employees maybe say, you know, I spend a lot of overtime working for the company, maybe they don't get paid for it, you know, I'm here early, I leave late, I've got kids to worry about, I've got bills to pay. I just don't have time to do all these things. I have to do them at work.

ISENBERG: And that's why a lot of employers will tolerate a reasonable amount of personal computer use. The employer may learn that its employees are using e-mail for personal reasons and choose to do nothing about it because it keeps the employees happy. And that should be tolerated.

SIEBERG: Although most employers do have a written monitoring policy in place, experts say many companies still do not do a good enough job of informing employees about those guidelines.

NANCY FLYNN, THE EPOLICY INSTITUTE: Some employers will monitor telephone conversations. Some employers have installed cameras and other security devices. And other employers are monitoring computer activity. Let your employees know what you're doing when it comes to monitoring and let them know why you're doing it.

SIEBERG: According to a recent American Management Association survey, 90 percent of employees say they use company resources for some personal use. Over 60 percent of employers monitor their workers' computer usage and 25 percent of U.S. businesses have fired an employee for e-mail abuse alone.

FLYNN: Most employees tend to think my e-mail is my business. My employer has no right to read my e-mail messages, particularly if it's a message to a friend or a family member. But in reality, here in the U.S., the federal government gives employers the right to monitor all employee e-mail, instant messaging and Internet activity.

SIEBERG: Ultimately, experts say companies need to find a balance between clamping down too hard and lowering employee morale and mitigating any legal hot water.

(END VIDEOTAPE)

SIEBERG: All right. I know what many of you are probably thinking. You work for a huge company, how could they possibly monitor every one and everything. Well, the Orwellian image of your boss watching every line of e-mails, every word in a phone conversation in realtime likely isn't practical. But just because they're not watching every word doesn't mean they're not recording and saving it forever. Remember that nothing is truly deleted in the digital age. You could raise a red flag for some reasons and they could go back and check on your history -- Fred.

WHITFIELD: So Dan, you have to wonder what's the justification that many of these employers are using to be able to police their properties.

SIEBERG: Well, this is a tough story because I think a lot of us can see both sides of this. On the legal side, companies could be liable, say, for a sexual harassment case, if someone types something that was rather controversial or someone who illegally downloads music on company time and company computers. So they certainly have a vested interest in protecting their bottom line. It's a tough story and we're all a part of it in a way.

WHITFIELD: All right. Dan Sieberg, thanks so much.

SIEBERG: All right.

WHITFIELD: We've heard a lot about the legal rights of employers. But what rights do you have as a worker if you're being spied upon, if that's the word you want to use? Joining me is Lisa Cassilly, she's an employment attorney with Alston & Bird LLP.

Good to see you.

LISA H. CASSILLY, ATTY., ALSTON & BIRD LLP: Hello.

WHITFIELD: Well, is it the discretion of an employer to make a decision on how they want to watch, by what method they want to use in order to watch what their employees are doing?

CASSILLY: In most circumstances, yes. I think it would be surprising to many American workers to learn that while our society generally values privacy interests, and that there are a number of circumstances where laws would exist in order to protect an individual's privacy interests in the workplace, an employer in most circumstances will have great latitude to monitor its employees.

WHITFIELD: And what might the parameters be, if it's a company issued computer, then you can expect that your employer is going to be watching what you're doing or even in your workplace or perhaps even involving the telephone usage, perhaps in your office?

CASSILLY: All of those things are possible. In fact, I would say probably the greatest percentage of large employers now do have policies in place which advise their employees that they will be monitoring the employee's use of the company-provided Internet and computer access, e-mail and like.

WHITFIELD: And if you haven't been exposed to the written policies, you can presume as an employee that there's something on the books that allows the employers to police, you know, try to protect their properties or try to secure the workplace.

CASSILLY: That's correct. In fact, merely because you have not seen the policy, you don't necessarily have any reason to claim a right of privacy or an expectation of privacy which would prohibit your employer from reviewing your e-mail, your Internet usage.

WHITFIELD: So bottom line, should anyone just -- any employee just naturally assume that they really don't have the same kind of privacy rights that they do as a citizen once they leave the workplace, period?

CASSILLY: At least as respects use of the company's resources such as the computer access. I think the safer assumption for an employee is to believe that his employer or her employer will have the opportunity and the capacity and may make use of that to review e-mail communications, Internet access and the like. There is not the same expectation of privacy in the workplace that you might have in other aspects of your life.

WHITFIELD: And we saw in Dan's piece, he touched on the fact that some people try to load some software, kind of like an anti-spy device. But that in and of itself might be a violation as well, wouldn't it, with company policy? CASSILLY: Probably so. If you look at your company's policy as relates to your use of the company computer systems, typically, you would find that the employers have admonished employees not to utilize the computer for certain purposes and that would be a typical example.

WHITFIELD: All right. Lisa Cassilly, thanks so much for joining us, appreciate it.

CASSILLY: Thank you.

WHITFIELD: Kyra.

PHILLIPS: Straight ahead, in the giving mood this holiday season? Beware, your name could end up on the wrong mailing list. Also ahead, two generations of golf royalty are teaming up on the links. Right here on LIVE FROM also, it's Aaron Payne and Lee Janzen, they're going to joining live coming up next.

(COMMERCIAL BREAK)

PHILLIPS: Every day Americans make drug runs south of border. But these buyers are looking for deals on Prozac, Lipitor, not marijuana. CNN'S Casey Wian looks whether they're getting what they pay for.

(BEGIN VIDEOTAPE)

CASEY WIAN, CNN CORRESPONDENT (voice-over): Every morning Americans cross the Mexican border to buy prescription drugs at a fraction of the price they would pay at home.

UNIDENTIFIED MALE: I'm between insurance at the moment. And so I buy the asthma medicine down here.

WIAN: San Diego resident Socrates Torres came to Tijuana for antibiotics.

SOCRATES TORRES, SAN DIEGO RESIDENT: They're like 75 bucks over there. You get it for 15 bucks down here.

WIAN: Robert Patton says Zoloft is a third of the price in Tijuana.

ROBERT PATTON, SAN DIEGO RESIDENT: Sure, it's pissing off; we're being ripped off.

WIAN: Pharmacies here offer a dizzying array of drugs.

MIGUEL RINCON, TIJUANA PHARMACIST: If it's not a controlled substance, you can buy it over the counter. If it's a controlled substance, you need to require a Mexican prescription.

WIAN: Those are easily obtained at local clinics. Though most drugs sold here are identical to what's prescribed by U.S. doctors, no one knows how much is counterfeit. (on camera): The high cost of prescription drugs in the United States created a drug store boom in places like Tijuana. There are now about 1300 pharmacies here.

(voice-over): But recently businesses slowed. One reason, competition from Internet drug sales.

WILLIAM HUBBARD, ASSOC. COMMISSIONER, FDA: FDA is very concerned when an American patient goes outside the normal system for buying drugs, whether it means traveling to another country or going on the Internet. That patient is highly likely to end up with a bad drug, a counterfeit drug, dangerous drug.

WIAN: Immigration and Customs agents say large quantities of counterfeit prescription drugs are smuggled into the United States from Mexico, India and elsewhere. Some supply Internet pharmacies; others back room medical clinics catering to the growing illegal alien population.

GREG SCHULTE, IMMIGRATION & CUSTOMS ENFORCEMENT: They're making lots and lots of money. They're laundering that money. They may be engaged in other violations as well. There are health problems with the self-medication. And with the fact that you don't know how it was manufactured. Ninety-five percent of it could be fine; I'm not sure I want to throw the dice.

WIAN: But every day online and across the border, million of Americans gamble on those odds.

Casey Wian, CNN, Tijuana, Mexico.

(END VIDEOTAPE)

(WEATHER REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Gay rights and the church. A Protestant denomination has launched a series of new TV ads about the acceptance of gays in the church. However, the big three networks are rejecting the ads as controversial. CNN'S Aaron Brown reports.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: No, step aside please.

AARON BROWN, CNN CORRESPONDENT (voice-over): The images are stark.

UNIDENTIFIED MALE: No way, not you. I don't think so. No.

BROWN: They are meant to be. The United Church of Christ is trying to reach those who may feel rejected by other denominations: minorities, the young, gays.

RON BUFORD, COORD., UNITED CHURCH OF CHRIST: Our message is a message of inclusion. That everyone is welcome, no matter who they are, where they are in life's journey.

BROWN: But this commercial is not welcome on the top three broadcast networks, although it will air on network affiliates and many cable networks, including CNN. A spokesperson from ABC told CNN, "We do not generally accept paid advertising that espouses a particular religious doctrine."

CBS told CNN that they had a long-standing policy of not accepting advocacy or issue-oriented ads. In a memo sent to the church, CBS went a bit further, saying, "Because this commercial touches on the exclusion of gay couples and the fact that the executive branch has recently proposed a constitutional amendment to define marriage as a union between a man and a woman, this spot is unacceptable for broadcast on the networks."

In another memo sent to the church, NBC rejected the ad as "too controversial," but apparently both CBS and NBC will accept another, less pointed, commercial scheduled to run later this month.

(BEGIN VIDEO CLIP FROM UNITED CHURCH OF CHRIST AD)

UNIDENTIFIED MALE: God accepts all the people.

UNIDENTIFIED FEMALE: All the people.

UNIDENTIFIED FEMALE: All the people.

UNIDENTIFIED MALE: So do we.

(END VIDEO CLIP)

BROWN: The church says that their initial ad has already aired in several test markets, both red and blue states, without public complaint. And the church says it doesn't see why it should be blocked from the airwaves.

BUFORD: But I think the most controversial thing is whether or not we're going to be denied free expression of the practice of our religion or freedom of speech. That is the most controversial thing of all.

BROWN: Alex Ben Block, the editor of "Television Week," agrees.

ALEX BEN BLOCK, EDITOR, "TELEVISION WEEK": I think what's really going on here is that there's a great chill over television and over media today because of the shift to the right in our society and because nobody really knows what the rules are at the FCC anymore and everybody's afraid to offend.

BROWN: Aaron Brown, CNN, New York.

(END VIDEOTAPE)

PHILLIPS: Wow. Well, if you're in a giving mood this holiday season, you might get a lot of unwanted phone calls.

Rhonda Schaffler joins us again from the New York Stock Exchange on an explanation of this -- Rhonda.

RHONDA SCHAFFLER, CNN BUSINESS CORRESPONDENT: Hi again, ladies. It looks like some charities might be doing a little too much giving this year, as far as your name and address are concerned. According to Charity Navigator, which a charity watchdog group, only 18 percent of the more than 3,000 charities have a donor privacy policy in place. Others could swap mailing lists with other charities or even raise additional funds by selling your personal information to marketing firms.

And if you think you're safe because you're on the do not call list, think again. Charities are exempt from the list on first amendment grounds. For more information on charities with donor privacy policies, you should log on to charitynavigator.com -- Kyra, Fred.

WHITFIELD: Well, Rhonda, speaking about those in a giving mood, apparently some Starbucks regulars were in a giving mood.

SCHAFFLER: Yes, in a big way. The company saw some strong sales in November, thanks to the early launch of holiday products like its Christmas coffee beans and its new pumpkin spice latte. But a caffeine high can't last forever. The company is warning investors not to expect such dramatic spikes going forward. Shares up about one percent right now.

The market could use some sort of caffeine jolt. Stocks are very much mixed and not going anywhere. The Dow is off three points. Nasdaq up a quarter percent. That's the latest from Wall street. Coming up on the next hour of LIVE FROM, I'll tell you why it's a gray day for "New York Times" shareholders. In the meantime -- Kyra, Fred, back to you.

WHITFIELD: All right, thanks so much. Look forward to that. Well, it's almost the top of the hour. We'll check the headlines coming up next.

PHILLIPS: Including an arrest that may be connected to a decades-old serial killer case. Do police have their man?

And on a lighter new, VH1 picks the best pop culture moments of 2004.

(COMMERCIAL BREAK)

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