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Some Optimistic for Compromise on Intelligence Reform Bill; U.S. Consulate Attacked in Saudi Arabia; Bush Meets with Iraqi, Jordan Leaders; How Safe is U.S. Food?; Soldier Charged in Prison Scandal Loses Motions; Scott Peterson Jury Hears Testimony on His Behalf

Aired December 06, 2004 - 13:00   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.


WOLF BLITZER, HOST, "WOLF BLITZER REPORTS": That's the news from CNN for this hour. Thanks very much for joining us. I'm Wolf Blitzer in Washington.
LIVE FROM with Kyra Phillips and Tony Harris standing by to pick up our coverage. They'll have continuing coverage of CNN's "Security Watch" and more comments from outgoing Health and Human Services Secretary Tommy Thompson. That's coming up right now.

(BEGIN VIDEO CLIP)

TOMMY THOMPSON, HEALTH AND HUMAN SERVICES SECRETARY: I cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do.

(END VIDEO CLIP)

KYRA PHILLIPS, CO-HOST: Food safety fears. Surprising words from departing health secretary, Tommy Thompson. We expect to hear from him this hour. We're in-depth on what's being done to protect you.

TONY HARRIS, CO-HOST: Reforming America's defenses against terrorism. The 9/11 intelligence bill is back on the radar, but will Congress pass it? We're live from Capitol Hill.

PHILLIPS: Attack on the U.S. consulate in Saudi Arabia. Militants with suspected al Qaeda ties are blamed. We're live with the latest.

HARRIS: And the clash of the classics. Two new versions of American dream machines go head-to-head in our driving test.

From the CNN Center in Atlanta, I'm Tony Harris in for Miles O'Brien.

PHILLIPS: And I'm Kyra Phillips. CNN's LIVE FROM starts right now.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: It's a good piece of legislation. It is a necessary piece of legislation. It's a piece of legislation that is important for the security of our country.

(END VIDEO CLIP)

PHILLIPS: Intelligence reform gets the White House seal of approval yet again. But it's the House of Representatives that will seal the measure's fate.

An hour from now, the House reconvenes in a lame duck session that will either take up the long delayed intel overhaul or not, in which case a brand new -- new Congress will have to start from scratch in the new year.

Pressure for passage comes not only from the president and the 9/11 Commission and many lawmakers of both parties, but from many, though not all, 9/11 family members, some of whom spent their Sunday circulating petitions at Ground Zero.

So what's the hold-up? Two or three House Republicans with two or three objections. The unobjectionable Ed Henry has the latest -- Ed.

ED HENRY, CNN CORRESPONDENT: Good afternoon, Kyra.

Actually, CNN has learned that there is now a framework for a deal on one key aspect of this legislation that's been held up: the concern of House Armed Services Chairman Duncan Hunter about the chain of command and whether or not a new director of national intelligence will disrupt the chain of command for the military, and also potentially hurt troops in the field.

Now, two Republican sources and one Democrat close to the talks telling CNN that there is now a framework that would clarify the chain of command language, but would not change the underlying bill that is currently on the table. That is very significant.

We have a statement from Chairman Hunter's office saying, quote, "We're very close and very optimistic. We will keep you posted." Nothing is final yet there, but a lot of optimism coming from all sides on this chain of command language that has been holding up this bill.

But it's also important to point out there's a second holdup where Republican Congressman James Sensenbrenner has been saying that he wants tough immigration provisions included in this legislation.

So far they have not been included. And I want to point out that the negotiators are stressing that they do not have a framework for a deal with Mr. Sensenbrenner.

What most people close to the talks believe is that they will eventually have a deal where Mr. Sensenbrenner's immigration provisions will be considered in January or February, deal with that next year, but not deal with it now. But I want to stress, there is no final deal on that right now.

Now in general, a lot of pressure on House Speaker Dennis Hastert to bring this up for a vote. You'll remember right before Thanksgiving he did not do that.

You also know that 9/11 -- some 9/11 families are in Washington. They've been holding vigils across the country, one just after noon today outside the White House, demanding action. And that call has been heard by President Bush who earlier today prodded Congress to act.

(BEGIN VIDEO CLIP)

BUSH: I certainly hope the bill gets to my desk soon. I believe we have addressed the concerns of, by far, the majority of members of both the House and the Senate. As we speak we're working with the key members to address concerns.

I call upon the Congress to pass the intelligence bill. It is a good piece of legislation. It is a necessary piece of legislation. It's a piece of legislation that is important for the security of our country.

(END VIDEO CLIP)

HENRY: Now Kyra, the key here is that the clock is literally ticking away. As you mentioned, the House coming back into session in about an hour. We're expecting about 5 p.m. or 6 p.m. the House will vote on this budget omnibus bill they did not get a chance to deal with before Thanksgiving.

But the key is that people on all sides of the talks are telling us that if there is not an intelligence reform deal, a final deal, in place by 5 p.m. or 6 p.m., House members, once they vote on that budget bill, will start heading out of town, going home for holidays.

And if that intel deal is hammered out, is not in place by 5 or 6 p.m. Eastern Time, lawmakers will be out of town. This bill will be dead for the year. Despite all this sudden optimism, it would be dead for the year and they would have to come back in January to pick up the pieces and start from scratch.

So the key is, that's why this optimism is so important, people close to the talks hoping that they can hammer out these final details within the next two or three hours -- Kyra.

PHILLIPS: Ed Henry live from the Hill. Thanks, Ed -- Tony.

HARRIS: The president says today's brazen attack on the U.S. consulate in Jeddah, Saudi Arabia, proves, and we quote, "Terrorists are still on the move." At least eight people are dead, including five non-American staffers and three of the five attackers.

CNN's Andrea Koppel is following this story at the State Department -- Andrea.

ANDREA KOPPEL, CNN CORRESPONDENT: Tony, I just got off the phone with a senior State Department official, who's trying to shed more light as to what happened during this three-hour gun battle between people who are believed to be al Qaeda militants and Saudi and American guards.

And this is what he told me, that the militants not only penetrated the gates and the walled compound where the U.S. consulate is, but they got several hundred feet inside the consulate grounds and made it right to the door of the U.S. consulate.

Now the good news is that no Americans were either killed or seriously injured. But as you just said, there were a number of deaths. The numbers and the figures seem to change by the hour. So, you know, bear with me.

At this point we know that a number of people did die. Some of them were non-Saudis, known as foreign nationals who work for the U.S. consulate there in the visa section, and others were Saudi guards.

What we also know -- and again, this is conflicting information -- the Saudis have told me that there were hostages that were held during this three-hour time span. The U.S. officials I've spoken to say that is not their understanding, that there were no hostages.

Nonetheless, this was a brazen attack that happened shortly before lunch Monday morning in Saudi Arabia in the port sea of Jeddah. It was the middle of the night here.

This is U.S. fears realized. They have been concerned about this, Tony, for months. In fact, back in May, all nonessential U.S. embassy employees were told to get out of Saudi Arabia. Their family members were told to leave the country. And only the most essential people were on the grounds of the U.S. consulate because of their concerns about an attack.

This is the first time that a U.S. embassy or consulate has been attacked in Saudi Arabia.

HARRIS: OK. Andrea, so will the State Department be reissuing those warnings to folks in Jeddah to leave if they're not essential?

KOPPEL: They probably will. That's standard operating procedure. But quite frankly, at this stage of the game, if Americans who were living and working in Saudi Arabia don't recognize the danger...

HARRIS: Yes.

KOPPEL: ... this is just going to be yet another reminder of that.

HARRIS: We're talking about 9,000 Americans in that area. Andrea Koppel at the State Department. Andrea, thank you -- Kyra.

PHILLIPS: The visitors chair in the Oval Office is a lot like Santa's lap today: rarely empty. In a five-hour span, the president of Iraq, the king of Jordan and the president of Senegal each will have sat there alongside President Bush.

CNN's Elaine Quijano has a front row seat -- Elaine. ELAINE QUIJANO, CNN CORRESPONDENT: Good afternoon to you, Kyra.

That's right, a busy day here at the White House. The main topic of discussions, at least at the first two meetings, of course, the situation in Iraq.

Now, first of all this morning, President Bush began his day with a meeting, meeting with Iraq's interim president Ghazi al-Yawar. Now President Bush remained firm during that meeting on the January 30 date for Iraq's elections.

His meeting was a symbolic gesture, largely, in welcoming a member of Iraq's Sunni minority to the White House. The administration very much hopes to convey that Sunnis will be a part of the political process in Iraq.

Now, both leaders stress that, despite ongoing violence, they don't want to see elections postponed. The president reiterating his belief that staying with the original time frame will be a blow to the insurgents.

(BEGIN VIDEO CLIP)

BUSH: I believe it's necessary for the Iraqi people to vote on January the 30th, because it -- it provides an opportunity for people to participate in democracy. It will send a clear message to the few people in Iraq that are trying to stop the march toward democracy, that they cannot stop elections.

(END VIDEO CLIP)

QUIJANO: Now, after his meeting with the Iraqi leader, President Bush also met with King Abdullah of Jordan. The two leaders discussed Iraq, the Jordanian economy and of course, the Palestinian -- Israeli- Palestinian conflict, as well.

Now that issue continues to be a concern for the White House. Mr. Bush has made it clear that in his second term he would like to see progress on that front. President's vision -- he continues to push it -- a two-state solution, an Israeli and a Palestinian state co-existing side by side peacefully -- Kyra.

PHILLIPS: Elaine Quijano, live from the White House, thanks so much -- Tony.

HARRIS: Is the U.S. food chain the weak link in homeland security? Witness this astonishing admission from the departing secretary of health and human services.

(BEGIN VIDEO CLIP)

THOMPSON: I for the life of me cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do. And we're importing a lot of food from the Middle East.

(END VIDEO CLIP)

HARRIS: So the focus is on food in today's CNN "Security Watch." Here is CNN's Tom Foreman.

(BEGIN VIDEOTAPE)

TOM FOREMAN, CNN CORRESPONDENT (voice-over): More pork, more beef, more vegetables, fruit, wine and cheese. American consumption of foreign food is rising rapidly.

The Department of Agriculture says next year, America will import as much food as it exports, unheard of for generations. And in Washington, alarm bells are ringing.

SEN. BILL FRIST (R-TN), MAJORITY LEADER: We know that at least three of the major pathogens or germs that could be used as bioterror agents can be put in food.

SEN. HARRY REID (D-NV), MINORITY LEADER: I'm worried about it, as all the American people are worried about it.

FOREMAN: Security around foreign food is tightening. Suppliers must now register with the U.S. government, and inspections of shipments have increased from 12,000 a year to 98,000, a fact noted by the outgoing secretary of health and human services, even as he said the food supply is vulnerable to terrorists.

THOMPSON: We've increased the number and the percentage, but it still is a very minute amount that we're doing.

BUSH: We're a large company -- country with all kinds of avenues, where somebody can inflict harm. And we're doing everything we can to -- to protect the American people.

FOREMAN: The greatest bulk of America's imported food comes from the European Union. Canada is next, then Mexico. The Middle East sends very little food to the U.S., and most of that is from the country of Turkey.

Still, lawmakers say at the very least, all food should bear explicit labels showing the country of origin, as Americans consume more of everything foreign, from soup to nuts.

Tom Foreman, CNN, Washington.

(END VIDEOTAPE)

HARRIS: We could hear more from Tommy Thompson shortly. He's holding a news conference at the bottom of the hour to talk about Medicare. But he could field questions about food safety, as well. We'll follow the news conference and take you there live as developments warrant.

PHILLIPS: A training exercise to sniff out terrorist bombs goes wrong when the explosive ends up mixed with the airline luggage. The latest on the search for them -- those just ahead. RUSTY DORNIN, CNN CORRESPONDENT: I'm Rusty Dornin in Redwood City, California, where a parade of witnesses plead for Scott Peterson's life. Find out what they said, coming up.

PHILLIPS: A military move we're calling Operation Garage Door Freedom. Why homeowners across America need to be on the alert, just ahead on LIVE FROM.

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

(COMMERCIAL BREAK)

HARRIS: The Abu Ghraib prison abuse scandal is back in the spotlight today. The central figure in the case, Army Specialist Charles Graner, is appearing before a military judge in Ft. Hood, Texas.

And that's where we find our national correspondent, Susan Candiotti -- Susan.

SUSAN CANDIOTTI, CNN CORRESPONDENT: Hello, Tony.

And that hearing just wrapped up a little while ago. Two blows for the defense.

First of all, they lost a motion to try to get the case thrown out, arguing that certain comments made by President Bush and other members of his administration were prejudicial right after the abuse scandal broke, comments such as, "These acts are abhorrent," and that "justice will be served."

They thought that those kinds of comments could indelibly taint a jury. So for example, soldiers would were members of the jury could say that they would possibly feel disloyal if they found that Specialist Graner was not guilty.

However, the judge said no way. In fact, he said that the court finds beyond a reasonable doubt that there is no undue influence, that any comments made by President Bush and others were always followed up in his opinion by other statements that there must be a fair trial in this case.

Now the second loss for defense had to do with their attempt to get direct testimony in person from General Ricardo Sanchez. You'll recall he was in charge of Abu Ghraib overall operations.

However, they said it would be very important to have him testify, because he would acknowledge that he wanted the interrogation techniques stepped up, changes made, in order to protect American lives, and that more actionable intelligence had to be gathered.

Well, the judge said, I'm sorry, in his view, general Sanchez is too far removed from whatever the M.P.s were doing and military intelligence officers were doing at the Abu Ghraib prison. And therefore, his deposition would have to do for now. Specialist Graner, as we all know, has become a very well known face of the scandal.

(BEGIN VIDEOTAPE)

CANDIOTTI (voice-over): Specialist Charles Graner is the man behind most of the photos of the Abu Ghraib abuse scandal. It was his camera and he was its star. Here, grinning behind a human pyramid of naked Iraqi detainees.

His lawyer says Graner can't get a fair trial after President Bush had this to say about the photos.

BUSH: People in Iraq must understand that I view those practices as abhorrent.

GUY WOMACK, GRANER'S LAWYER: Unfortunately, the president is also the commander in chief of all U.S. armed forces. And his comments, if they take a side like the comments did here and most of the quotes, it may have the potential of tainting a jury.

CANDIOTTI: Graner's defense, just following orders at Abu Ghraib. His lawyer says other photos prove it. That's Graner on the left, standing over stripped Iraqis, alongside military intelligence, said to have approved the tactics.

The lawyer says the military has been reluctant to charge higher- ups because the abuse was so wide spread.

WOMACK: There were dozens -- or hundreds of personnel involved in this. This event and similar events in Iraq, Guantanamo Bay, Cuba, and Afghanistan.

CANDIOTTI: Graner was returned to Ft. Hood, Texas, a week ago to await his court-martial.

WOMACK: He's not allowed to leave the base, the Army says for his own protection. That's ironic. He was held in Iraq for 19 months; he was fine. And they're afraid that he can't travel freely around Texas?

(END VIDEOTAPE)

CANDIOTTI: Four other Abu Ghraib defendants have already pleaded guilty. His attorney says Graner will not. His trial date is now set for January 7 and is expected to last about a week. If convicted, Graner could face Up to 24 years in prison -- Tony,

HARRIS: Susan Candiotti, live from Ft. Hood, Texas, for us. Susan, thank you -- Kyra.

PHILLIPS: Other news across America now. Here's one for the -- what were they thinking category.

The U.S. military decided to switch out radio systems at dozens of bases across the country. The problem is, the radio systems operate on the same frequency of just about every garage door opener ever made, which could cause big problems for people who live nearby.

Rosa Parks is no longer facing threats of eviction. Parks' landlord is offering to let the 91-year-old civil rights pioneer stay in her Detroit apartment rent-free for the rest of her life. Parks has been facing financial troubles, and a local church has been paying her rent since August.

Another delay in the Robert Blake murder trial. The judge postponed the start of the trial after hearing that Blake's attorney's computer was stolen in a break-in at his office. Blake is accuses of shooting his wife to death more than three years ago.

HARRIS: Fourteen down, 20 to go. Witnesses in the Scott Peterson case today are giving more emotional testimony, hoping to keep the convicted killer alive.

CNN's Rusty Dornin is following developments live in Redwood City, California.

Hi, Rusty.

DORNIN: Well, Tony, it's quite a parade of witnesses just today alone. Fourteen scheduled for today; six testified in less than an hour and a half.

The first couple of witnesses -- an elementary school administrator, a couple of his golf coaches -- knew Scott Peterson in elementary school and as a high schooler but have not known him as an adult.

They talk about a child who was quiet, mature for his age, very responsible. In high school of course on the golf team, that he was captain of the team. That he always came to school on time. He always came to practice on time, just the epitome of responsibility.

On the stand right now is his uncle, John Latham, who is talking about Peterson as a child and also as he's growing up.

Now the Rochas, Laci Peterson's family, left the courtroom a couple of -- last week during some of the testimony by the family. They apparently did come back in to court this morning to hear some of the testimony that's going on.

The judge did tell the jury to expect to get this case on Thursday, that there will be witnesses through Wednesday morning. They'll probably recess early, and then will begin deliberations on Thursday. They will be sequestered during those deliberations.

He also said whatever sentencing will take place in this case will take place on February 25 -- Tony.

HARRIS: Rusty Dornin, live from Redwood City, California. Rusty, thank you.

More LIVE FROM after this.

(BEGIN VIDEO CLIP)

PHILLIPS: Next on LIVE FROM, flu fears. Could an epidemic happen here? We'll go in-depth.

Later on LIVE FROM, the death of Army Ranger Pat Tillman in Afghanistan. An investigation into the friendly fire incident reopened. We're live from the Pentagon.

LEONARDO DICAPRIO, ACTOR: She'll go faster.

PHILLIPS: Tomorrow on LIVE FROM, he's flying high as billionaire Howard Hughes in "The Aviator." Tomorrow, actor Leonardo DiCaprio lands on CNN for the LIVE FROM interview.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

THOMPSON: For the life of me I cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do. And we're importing a lot of food from the Middle East.

(END VIDEO CLIP)

HARRIS: That was amazing. Amazing statement. Health and Human Services Secretary Tommy Thompson stoked fear and controversy last week when he made those remarks as he announced his resignation. We want to let you know that Thompson is due to speak again at about 1:30 Eastern. Today's topic is Medicare, but we'll be listening in and we'll take you there live if things heat up.

PHILLIPS: Showbiz trump politics as the annual Kennedy Center honors were presented last night in Washington. The red carpet was out. The important jewels were out. But even though Elton John has been out for a long time, Robert Downey Jr.'s gay friendly accolade fell flatter than a souffle in a bowling alley.

(BEGIN VIDEO CLIP)

ROBERT DOWNEY JR., ACTOR: Elton John. I mean come on. I've got three thoughts. The first one that comes to mind is of course, genius. And the second on a more personal note is, lifesaver.

And I got a third thought. That's maybe see how to this feels. The other first lady. I don't know. See how it sits.

You invited me. Now I'm doing my thing out here.

(END VIDEO CLIP)

PHILLIPS: Whoops. When the ice that thawed -- I don't know if it was that bad. The medals had also been hung on actors and spouses. Ossie Davis and Ruby Dee, Warren Beatty, opera diva Joan Sutherland and composer John Williams. CBS will broadcast the whole shebang on December 21.

HARRIS: Good news for drivers. Prices at the pump have fallen over the past couple of weeks and are expected to drop even further. Rhonda Schaffler joins us live from the New York Stock Exchange with more on that report -- Rhonda.

(STOCK REPORT)

(COMMERCIAL BREAK)

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Aired December 6, 2004 - 13:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
WOLF BLITZER, HOST, "WOLF BLITZER REPORTS": That's the news from CNN for this hour. Thanks very much for joining us. I'm Wolf Blitzer in Washington.
LIVE FROM with Kyra Phillips and Tony Harris standing by to pick up our coverage. They'll have continuing coverage of CNN's "Security Watch" and more comments from outgoing Health and Human Services Secretary Tommy Thompson. That's coming up right now.

(BEGIN VIDEO CLIP)

TOMMY THOMPSON, HEALTH AND HUMAN SERVICES SECRETARY: I cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do.

(END VIDEO CLIP)

KYRA PHILLIPS, CO-HOST: Food safety fears. Surprising words from departing health secretary, Tommy Thompson. We expect to hear from him this hour. We're in-depth on what's being done to protect you.

TONY HARRIS, CO-HOST: Reforming America's defenses against terrorism. The 9/11 intelligence bill is back on the radar, but will Congress pass it? We're live from Capitol Hill.

PHILLIPS: Attack on the U.S. consulate in Saudi Arabia. Militants with suspected al Qaeda ties are blamed. We're live with the latest.

HARRIS: And the clash of the classics. Two new versions of American dream machines go head-to-head in our driving test.

From the CNN Center in Atlanta, I'm Tony Harris in for Miles O'Brien.

PHILLIPS: And I'm Kyra Phillips. CNN's LIVE FROM starts right now.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: It's a good piece of legislation. It is a necessary piece of legislation. It's a piece of legislation that is important for the security of our country.

(END VIDEO CLIP)

PHILLIPS: Intelligence reform gets the White House seal of approval yet again. But it's the House of Representatives that will seal the measure's fate.

An hour from now, the House reconvenes in a lame duck session that will either take up the long delayed intel overhaul or not, in which case a brand new -- new Congress will have to start from scratch in the new year.

Pressure for passage comes not only from the president and the 9/11 Commission and many lawmakers of both parties, but from many, though not all, 9/11 family members, some of whom spent their Sunday circulating petitions at Ground Zero.

So what's the hold-up? Two or three House Republicans with two or three objections. The unobjectionable Ed Henry has the latest -- Ed.

ED HENRY, CNN CORRESPONDENT: Good afternoon, Kyra.

Actually, CNN has learned that there is now a framework for a deal on one key aspect of this legislation that's been held up: the concern of House Armed Services Chairman Duncan Hunter about the chain of command and whether or not a new director of national intelligence will disrupt the chain of command for the military, and also potentially hurt troops in the field.

Now, two Republican sources and one Democrat close to the talks telling CNN that there is now a framework that would clarify the chain of command language, but would not change the underlying bill that is currently on the table. That is very significant.

We have a statement from Chairman Hunter's office saying, quote, "We're very close and very optimistic. We will keep you posted." Nothing is final yet there, but a lot of optimism coming from all sides on this chain of command language that has been holding up this bill.

But it's also important to point out there's a second holdup where Republican Congressman James Sensenbrenner has been saying that he wants tough immigration provisions included in this legislation.

So far they have not been included. And I want to point out that the negotiators are stressing that they do not have a framework for a deal with Mr. Sensenbrenner.

What most people close to the talks believe is that they will eventually have a deal where Mr. Sensenbrenner's immigration provisions will be considered in January or February, deal with that next year, but not deal with it now. But I want to stress, there is no final deal on that right now.

Now in general, a lot of pressure on House Speaker Dennis Hastert to bring this up for a vote. You'll remember right before Thanksgiving he did not do that.

You also know that 9/11 -- some 9/11 families are in Washington. They've been holding vigils across the country, one just after noon today outside the White House, demanding action. And that call has been heard by President Bush who earlier today prodded Congress to act.

(BEGIN VIDEO CLIP)

BUSH: I certainly hope the bill gets to my desk soon. I believe we have addressed the concerns of, by far, the majority of members of both the House and the Senate. As we speak we're working with the key members to address concerns.

I call upon the Congress to pass the intelligence bill. It is a good piece of legislation. It is a necessary piece of legislation. It's a piece of legislation that is important for the security of our country.

(END VIDEO CLIP)

HENRY: Now Kyra, the key here is that the clock is literally ticking away. As you mentioned, the House coming back into session in about an hour. We're expecting about 5 p.m. or 6 p.m. the House will vote on this budget omnibus bill they did not get a chance to deal with before Thanksgiving.

But the key is that people on all sides of the talks are telling us that if there is not an intelligence reform deal, a final deal, in place by 5 p.m. or 6 p.m., House members, once they vote on that budget bill, will start heading out of town, going home for holidays.

And if that intel deal is hammered out, is not in place by 5 or 6 p.m. Eastern Time, lawmakers will be out of town. This bill will be dead for the year. Despite all this sudden optimism, it would be dead for the year and they would have to come back in January to pick up the pieces and start from scratch.

So the key is, that's why this optimism is so important, people close to the talks hoping that they can hammer out these final details within the next two or three hours -- Kyra.

PHILLIPS: Ed Henry live from the Hill. Thanks, Ed -- Tony.

HARRIS: The president says today's brazen attack on the U.S. consulate in Jeddah, Saudi Arabia, proves, and we quote, "Terrorists are still on the move." At least eight people are dead, including five non-American staffers and three of the five attackers.

CNN's Andrea Koppel is following this story at the State Department -- Andrea.

ANDREA KOPPEL, CNN CORRESPONDENT: Tony, I just got off the phone with a senior State Department official, who's trying to shed more light as to what happened during this three-hour gun battle between people who are believed to be al Qaeda militants and Saudi and American guards.

And this is what he told me, that the militants not only penetrated the gates and the walled compound where the U.S. consulate is, but they got several hundred feet inside the consulate grounds and made it right to the door of the U.S. consulate.

Now the good news is that no Americans were either killed or seriously injured. But as you just said, there were a number of deaths. The numbers and the figures seem to change by the hour. So, you know, bear with me.

At this point we know that a number of people did die. Some of them were non-Saudis, known as foreign nationals who work for the U.S. consulate there in the visa section, and others were Saudi guards.

What we also know -- and again, this is conflicting information -- the Saudis have told me that there were hostages that were held during this three-hour time span. The U.S. officials I've spoken to say that is not their understanding, that there were no hostages.

Nonetheless, this was a brazen attack that happened shortly before lunch Monday morning in Saudi Arabia in the port sea of Jeddah. It was the middle of the night here.

This is U.S. fears realized. They have been concerned about this, Tony, for months. In fact, back in May, all nonessential U.S. embassy employees were told to get out of Saudi Arabia. Their family members were told to leave the country. And only the most essential people were on the grounds of the U.S. consulate because of their concerns about an attack.

This is the first time that a U.S. embassy or consulate has been attacked in Saudi Arabia.

HARRIS: OK. Andrea, so will the State Department be reissuing those warnings to folks in Jeddah to leave if they're not essential?

KOPPEL: They probably will. That's standard operating procedure. But quite frankly, at this stage of the game, if Americans who were living and working in Saudi Arabia don't recognize the danger...

HARRIS: Yes.

KOPPEL: ... this is just going to be yet another reminder of that.

HARRIS: We're talking about 9,000 Americans in that area. Andrea Koppel at the State Department. Andrea, thank you -- Kyra.

PHILLIPS: The visitors chair in the Oval Office is a lot like Santa's lap today: rarely empty. In a five-hour span, the president of Iraq, the king of Jordan and the president of Senegal each will have sat there alongside President Bush.

CNN's Elaine Quijano has a front row seat -- Elaine. ELAINE QUIJANO, CNN CORRESPONDENT: Good afternoon to you, Kyra.

That's right, a busy day here at the White House. The main topic of discussions, at least at the first two meetings, of course, the situation in Iraq.

Now, first of all this morning, President Bush began his day with a meeting, meeting with Iraq's interim president Ghazi al-Yawar. Now President Bush remained firm during that meeting on the January 30 date for Iraq's elections.

His meeting was a symbolic gesture, largely, in welcoming a member of Iraq's Sunni minority to the White House. The administration very much hopes to convey that Sunnis will be a part of the political process in Iraq.

Now, both leaders stress that, despite ongoing violence, they don't want to see elections postponed. The president reiterating his belief that staying with the original time frame will be a blow to the insurgents.

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BUSH: I believe it's necessary for the Iraqi people to vote on January the 30th, because it -- it provides an opportunity for people to participate in democracy. It will send a clear message to the few people in Iraq that are trying to stop the march toward democracy, that they cannot stop elections.

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QUIJANO: Now, after his meeting with the Iraqi leader, President Bush also met with King Abdullah of Jordan. The two leaders discussed Iraq, the Jordanian economy and of course, the Palestinian -- Israeli- Palestinian conflict, as well.

Now that issue continues to be a concern for the White House. Mr. Bush has made it clear that in his second term he would like to see progress on that front. President's vision -- he continues to push it -- a two-state solution, an Israeli and a Palestinian state co-existing side by side peacefully -- Kyra.

PHILLIPS: Elaine Quijano, live from the White House, thanks so much -- Tony.

HARRIS: Is the U.S. food chain the weak link in homeland security? Witness this astonishing admission from the departing secretary of health and human services.

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THOMPSON: I for the life of me cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do. And we're importing a lot of food from the Middle East.

(END VIDEO CLIP)

HARRIS: So the focus is on food in today's CNN "Security Watch." Here is CNN's Tom Foreman.

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TOM FOREMAN, CNN CORRESPONDENT (voice-over): More pork, more beef, more vegetables, fruit, wine and cheese. American consumption of foreign food is rising rapidly.

The Department of Agriculture says next year, America will import as much food as it exports, unheard of for generations. And in Washington, alarm bells are ringing.

SEN. BILL FRIST (R-TN), MAJORITY LEADER: We know that at least three of the major pathogens or germs that could be used as bioterror agents can be put in food.

SEN. HARRY REID (D-NV), MINORITY LEADER: I'm worried about it, as all the American people are worried about it.

FOREMAN: Security around foreign food is tightening. Suppliers must now register with the U.S. government, and inspections of shipments have increased from 12,000 a year to 98,000, a fact noted by the outgoing secretary of health and human services, even as he said the food supply is vulnerable to terrorists.

THOMPSON: We've increased the number and the percentage, but it still is a very minute amount that we're doing.

BUSH: We're a large company -- country with all kinds of avenues, where somebody can inflict harm. And we're doing everything we can to -- to protect the American people.

FOREMAN: The greatest bulk of America's imported food comes from the European Union. Canada is next, then Mexico. The Middle East sends very little food to the U.S., and most of that is from the country of Turkey.

Still, lawmakers say at the very least, all food should bear explicit labels showing the country of origin, as Americans consume more of everything foreign, from soup to nuts.

Tom Foreman, CNN, Washington.

(END VIDEOTAPE)

HARRIS: We could hear more from Tommy Thompson shortly. He's holding a news conference at the bottom of the hour to talk about Medicare. But he could field questions about food safety, as well. We'll follow the news conference and take you there live as developments warrant.

PHILLIPS: A training exercise to sniff out terrorist bombs goes wrong when the explosive ends up mixed with the airline luggage. The latest on the search for them -- those just ahead. RUSTY DORNIN, CNN CORRESPONDENT: I'm Rusty Dornin in Redwood City, California, where a parade of witnesses plead for Scott Peterson's life. Find out what they said, coming up.

PHILLIPS: A military move we're calling Operation Garage Door Freedom. Why homeowners across America need to be on the alert, just ahead on LIVE FROM.

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

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HARRIS: The Abu Ghraib prison abuse scandal is back in the spotlight today. The central figure in the case, Army Specialist Charles Graner, is appearing before a military judge in Ft. Hood, Texas.

And that's where we find our national correspondent, Susan Candiotti -- Susan.

SUSAN CANDIOTTI, CNN CORRESPONDENT: Hello, Tony.

And that hearing just wrapped up a little while ago. Two blows for the defense.

First of all, they lost a motion to try to get the case thrown out, arguing that certain comments made by President Bush and other members of his administration were prejudicial right after the abuse scandal broke, comments such as, "These acts are abhorrent," and that "justice will be served."

They thought that those kinds of comments could indelibly taint a jury. So for example, soldiers would were members of the jury could say that they would possibly feel disloyal if they found that Specialist Graner was not guilty.

However, the judge said no way. In fact, he said that the court finds beyond a reasonable doubt that there is no undue influence, that any comments made by President Bush and others were always followed up in his opinion by other statements that there must be a fair trial in this case.

Now the second loss for defense had to do with their attempt to get direct testimony in person from General Ricardo Sanchez. You'll recall he was in charge of Abu Ghraib overall operations.

However, they said it would be very important to have him testify, because he would acknowledge that he wanted the interrogation techniques stepped up, changes made, in order to protect American lives, and that more actionable intelligence had to be gathered.

Well, the judge said, I'm sorry, in his view, general Sanchez is too far removed from whatever the M.P.s were doing and military intelligence officers were doing at the Abu Ghraib prison. And therefore, his deposition would have to do for now. Specialist Graner, as we all know, has become a very well known face of the scandal.

(BEGIN VIDEOTAPE)

CANDIOTTI (voice-over): Specialist Charles Graner is the man behind most of the photos of the Abu Ghraib abuse scandal. It was his camera and he was its star. Here, grinning behind a human pyramid of naked Iraqi detainees.

His lawyer says Graner can't get a fair trial after President Bush had this to say about the photos.

BUSH: People in Iraq must understand that I view those practices as abhorrent.

GUY WOMACK, GRANER'S LAWYER: Unfortunately, the president is also the commander in chief of all U.S. armed forces. And his comments, if they take a side like the comments did here and most of the quotes, it may have the potential of tainting a jury.

CANDIOTTI: Graner's defense, just following orders at Abu Ghraib. His lawyer says other photos prove it. That's Graner on the left, standing over stripped Iraqis, alongside military intelligence, said to have approved the tactics.

The lawyer says the military has been reluctant to charge higher- ups because the abuse was so wide spread.

WOMACK: There were dozens -- or hundreds of personnel involved in this. This event and similar events in Iraq, Guantanamo Bay, Cuba, and Afghanistan.

CANDIOTTI: Graner was returned to Ft. Hood, Texas, a week ago to await his court-martial.

WOMACK: He's not allowed to leave the base, the Army says for his own protection. That's ironic. He was held in Iraq for 19 months; he was fine. And they're afraid that he can't travel freely around Texas?

(END VIDEOTAPE)

CANDIOTTI: Four other Abu Ghraib defendants have already pleaded guilty. His attorney says Graner will not. His trial date is now set for January 7 and is expected to last about a week. If convicted, Graner could face Up to 24 years in prison -- Tony,

HARRIS: Susan Candiotti, live from Ft. Hood, Texas, for us. Susan, thank you -- Kyra.

PHILLIPS: Other news across America now. Here's one for the -- what were they thinking category.

The U.S. military decided to switch out radio systems at dozens of bases across the country. The problem is, the radio systems operate on the same frequency of just about every garage door opener ever made, which could cause big problems for people who live nearby.

Rosa Parks is no longer facing threats of eviction. Parks' landlord is offering to let the 91-year-old civil rights pioneer stay in her Detroit apartment rent-free for the rest of her life. Parks has been facing financial troubles, and a local church has been paying her rent since August.

Another delay in the Robert Blake murder trial. The judge postponed the start of the trial after hearing that Blake's attorney's computer was stolen in a break-in at his office. Blake is accuses of shooting his wife to death more than three years ago.

HARRIS: Fourteen down, 20 to go. Witnesses in the Scott Peterson case today are giving more emotional testimony, hoping to keep the convicted killer alive.

CNN's Rusty Dornin is following developments live in Redwood City, California.

Hi, Rusty.

DORNIN: Well, Tony, it's quite a parade of witnesses just today alone. Fourteen scheduled for today; six testified in less than an hour and a half.

The first couple of witnesses -- an elementary school administrator, a couple of his golf coaches -- knew Scott Peterson in elementary school and as a high schooler but have not known him as an adult.

They talk about a child who was quiet, mature for his age, very responsible. In high school of course on the golf team, that he was captain of the team. That he always came to school on time. He always came to practice on time, just the epitome of responsibility.

On the stand right now is his uncle, John Latham, who is talking about Peterson as a child and also as he's growing up.

Now the Rochas, Laci Peterson's family, left the courtroom a couple of -- last week during some of the testimony by the family. They apparently did come back in to court this morning to hear some of the testimony that's going on.

The judge did tell the jury to expect to get this case on Thursday, that there will be witnesses through Wednesday morning. They'll probably recess early, and then will begin deliberations on Thursday. They will be sequestered during those deliberations.

He also said whatever sentencing will take place in this case will take place on February 25 -- Tony.

HARRIS: Rusty Dornin, live from Redwood City, California. Rusty, thank you.

More LIVE FROM after this.

(BEGIN VIDEO CLIP)

PHILLIPS: Next on LIVE FROM, flu fears. Could an epidemic happen here? We'll go in-depth.

Later on LIVE FROM, the death of Army Ranger Pat Tillman in Afghanistan. An investigation into the friendly fire incident reopened. We're live from the Pentagon.

LEONARDO DICAPRIO, ACTOR: She'll go faster.

PHILLIPS: Tomorrow on LIVE FROM, he's flying high as billionaire Howard Hughes in "The Aviator." Tomorrow, actor Leonardo DiCaprio lands on CNN for the LIVE FROM interview.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

THOMPSON: For the life of me I cannot understand why the terrorists have not, you know, attacked our food supply, because it is -- it is so easy to do. And we're importing a lot of food from the Middle East.

(END VIDEO CLIP)

HARRIS: That was amazing. Amazing statement. Health and Human Services Secretary Tommy Thompson stoked fear and controversy last week when he made those remarks as he announced his resignation. We want to let you know that Thompson is due to speak again at about 1:30 Eastern. Today's topic is Medicare, but we'll be listening in and we'll take you there live if things heat up.

PHILLIPS: Showbiz trump politics as the annual Kennedy Center honors were presented last night in Washington. The red carpet was out. The important jewels were out. But even though Elton John has been out for a long time, Robert Downey Jr.'s gay friendly accolade fell flatter than a souffle in a bowling alley.

(BEGIN VIDEO CLIP)

ROBERT DOWNEY JR., ACTOR: Elton John. I mean come on. I've got three thoughts. The first one that comes to mind is of course, genius. And the second on a more personal note is, lifesaver.

And I got a third thought. That's maybe see how to this feels. The other first lady. I don't know. See how it sits.

You invited me. Now I'm doing my thing out here.

(END VIDEO CLIP)

PHILLIPS: Whoops. When the ice that thawed -- I don't know if it was that bad. The medals had also been hung on actors and spouses. Ossie Davis and Ruby Dee, Warren Beatty, opera diva Joan Sutherland and composer John Williams. CBS will broadcast the whole shebang on December 21.

HARRIS: Good news for drivers. Prices at the pump have fallen over the past couple of weeks and are expected to drop even further. Rhonda Schaffler joins us live from the New York Stock Exchange with more on that report -- Rhonda.

(STOCK REPORT)

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