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Massive I.D. Theft Suspected; British Nationals Arrested for Alleged Terror Plot; Senate Questions National Security Nominee

Aired April 12, 2005 - 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.

MILES O'BRIEN, CO-HOST: Target USA: making a federal case against three men for allegedly going after high-profile buildings in New York and Washington.
KYRA PHILLIPS, CO-HOST: Cat fight: fur flies in Wisconsin over whether to legalize shooting domestic felines gone wild.

M. O'BRIEN: Crippling migraine headaches. CNN's Dr. Sanjay Gupta on a new treatment to cure the pain and make you look younger in the process.

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

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

Well, if you think LexisNexis is some sort of bond among luxury car owners, well, you better watch your mailboxes. The parent company of the massive LexisNexis databank -- yes, it's a databank -- says that hackers may have stolen personal information including Social Security numbers, on more than 300,000 Americans. That's almost 10 times the number who were thought to be affected when the hacking came to light last month. The company promises to notify potential victims.

In the meantime, CNN technology correspondent Daniel Sieberg tells us more about the I.D. theft phenomena. Why is this the way to go right now?

DANIEL SIEBERG, CNN CORRESPONDENT: This really is the Holy Grail for an identity thief trying to get information about you, whether it's trying to get your driver's license number or your Social Security number.

Just because you may not have heard of a company like LexisNexis or its division, Sizen (ph), which was part of this, doesn't mean they don't know about you and they're not watching you.

They're basically an information clearing house. They're storing information about you so that a qualified third party can access that information. Maybe you're getting a home loan or it's a collection agency or an insurance company.

And basically, what they're saying now is this is much bigger than they originally anticipated. We're finding out that about 280,000 more people have been -- have had their information accessed. We're talking about information like a background check. You can see here, it's Social Security numbers. Perhaps it's public information like a criminal record.

All this information is out there for them to compile and then share with these qualified third parties. How did it get shared with some people who haven't have it? Well in this case, they're saying that these passwords were compromised. That could have been done in a number of different ways. It could have been done through something called social engineering, which means that somebody's faking that they're a legitimate company accessing this information and trying to get these passwords that way, or it could have been a number of other ways. But they're saying it wasn't hacked or broken into, their technology.

You might remember just about a month ago, a couple months ago, ChoicePoint was also the victim of stealing this information from somebody else. In that case, it was people posing as a legitimate company. You can see the records here. We're talking about millions and millions of records.

If you look at those records there on the shelf, that is you. That is your profile. All of those records you see on those shelves contain personal information, and they are the target of these identity thieves. If they can get this information, they can create a profile about you and, therefore, steal your information, steal money, and whatever else they want. We're talking about massive amounts of data. So this is really what they're after in this case. It's your information.

PHILLIPS: Well, has anyone come forward yet and said, "OK, my identity has been stolen?"

SIEBERG: They have not, at least that we know of. And the company has said that they do not know of anybody who has been a victim of identity theft. This information was taken. Whether or not it has then been then taken to the next step, we don't know.

The statement you see here -- "We are taking action to notify individuals where we found some indication that they might have some risk of identity theft or fraud" -- that is taking the form of a letter which was apparently mailed out yesterday to this additional 280,000. Incidentally, that CEO of LexisNexis and ChoicePoint will be appearing before a Senate hearing tomorrow.

PHILLIPS: So what should we do in case we -- hopefully we don't become a victim.

SIEBERG: Right, right.

PHILLIPS: Do we start checking all our credit reports?

SIEBERG: Definitely checking credit reports.

PHILLIPS: OK.

SIEBERG: The tips that we can offer you, first of all, check your bank account for any sort of irregular activity, something you're not aware of. That's the first sign that maybe somebody's got your information.

Also, contact the credit reporting agencies. We're talking about Equifax, Experian and TransUnion. Get a credit report. That might cost a little bit of money, but it's certainly worth doing.

Also, when you call the credit reporting agencies that we mentioned, you can request something call a fraud alert. Basically what that's doing is it's going to monitor -- they're going to monitor you credit. If anybody tries to create any type of a profile, if they're trying to open up an account, they'll contact you. They'll call your cell phone and let you know.

That's going to limit your sort of instant credit, in a sense, but it can be put on there if you're the victim of an identity theft for 10 years. And they will follow that throughout your credit history.

And finally, you're going to want to just make sure that you're talking to your bank, your creditors and that you can get these other types of monitoring services for about $10 a month. The previous one with the credit reporting unions was free. So certainly worth doing.

PHILLIPS: Good advice. Daniel Sieberg, thanks.

SIEBERG: All right.

PHILLIPS: All right. Well, our friends at CNN.com have a special report on identity theft. Learn how to recognize the signs of identity theft, which according to Gardner (ph) Incorporated, struck approximately seven million adults just in 2003.

Also, tips on picking up the pieces after I.D. theft like getting a credit report, like Daniel said, and issuing a fraud alert, and also contacting the creditors who issued the fraudulent accounts.

Well, how susceptible are you to fraud? Take the online quiz and test your scam I.Q. For more information on keeping your personal information safe, log on to CNNmoney.com/security.

M. O'BRIEN: Remember that Code Orange terror alert that was posted last summer for New York, northern New Jersey and Washington? At the time, the feds cited evidence that plotters may have cased some high-profile financial targets, the New York Stock Exchange and the World Bank among them, citing them for potential attacks.

Today, eight months later, three have been formally charged in of that. They've been in custody in Britain since August. Charges are filed there as well.

CNN's Matthew Chance joining us now from London with more -- Matthew.

MATTHEW CHANCE, CNN CORRESPONDENT: Miles, thanks very much. And U.S. federal authorities, expected to unveil those indictments, those charges, against the three men that are being held in British custody and have been since August 2004. They're expected to unveil those charges just a short time from now.

Each one of the -- what we understand to be four indictments against the three men is in connection with the scouting of U.S. financial institutions, U.S. financial building, in preparation for a possible attack between 1998 and August 2004, when the three were arrested by British anti-terrorism authorities.

U.S. sources in the government have named the individuals ahead of this unveiling announcement that's to be made shortly. They've named them as Dhiren Barot, also known as Esa al-Hindi, described as an al Qaeda operative; Nadeem Tarmohamed; and Qaisar Shaffi. All of them are U.K. nationals, all of them said to be of South Asian origin.

All of them taken into custody as well, Miles, last August in a high-profile series of raids by anti-terrorism police here in Britain. They're in British high security facilities right now, facing terrorism-related charges. There's a legal process under way here.

The British authorities are refusing to name those individuals themselves, though they are confirming these people that have been indicted in the U.S. are in their custody.

They're also refusing, the British, to talk about the possibility of extradition, although again, British government -- rather, U.S. government sources are saying that if any extradition proceedings are to take place, they will only do so after the prosecutions have ended here in Britain. And that could take sometime, perhaps even years, Miles.

M. O'BRIEN: Matthew, how was this plot initially uncovered?

CHANCE: Well, that's a very interesting question, because it led to a series of -- came from a series of sort of intelligence pieces being put together in a joint operation from the United States, from Britain, and members of the Pakistani intelligence.

It had been the Pakistani intelligence authorities that had tipped off the British, essentially, that they had computer evidence, that they found that evidence, indicating that British nationals were conducting surveillance on key U.S. installations, buildings like the New York Stock Exchange, the Citibank building in New York, as well as the International Monetary Fund and the World Bank offices in Washington, D.C.

They had that information there had been these surveillance operations taking place. That was passed on to the British authorities, that undertook this raid. According to U.S. military officials that CNN have spoken to, that computer contained hundreds of images, including detailed plans and surveys of these various buildings.

And so it is very interesting that the security alert, which you may remember in August last year, brought armed guards out onto the streets of financial districts of New York and elsewhere, actually had some substance, Miles.

M. O'BRIEN: Matthew Chance in London, thank you -- Kyra.

PHILLIPS: Do air-conditioned garbage trucks make you feel any safer? How about bullet vests for police dogs? Well, those are among the hundreds, if not thousands, of projects that your homeland security dollars have funded since 9/11.

And a senior congressional overseer isn't pleased. Christopher Cox is the chairman of the homeland security panel in the House of Representatives and a leading sponsor of what he calls the Faster and Smarter Funding for First Responders Act. He was a guest on CNN's "AMERICAN MORNING."

(BEGIN VIDEO CLIP)

REP. CHRISTOPHER COX (R-CA), HOMELAND SECURITY CHAIRMAN: One of the reasons that moneys are being spent this way, in many cases, finding yourself the recipient of a grant award is a little bit like winning the Publisher's Clearinghouse sweepstakes. Small jurisdictions end up with a check. They've got to scramble to find a way to spend it.

We need to make sure that there's planning in advance of these grant awards and that that planning is consistent with state counterterrorism plans.

(END VIDEO CLIP)

PHILLIPS: President Bush marked the second anniversary of the fall of Baghdad, give or take a few days, at the largest military base in America. At Ft. Hood, Texas, the commander in chief likened the toppling of that giant statue of Saddam Hussein to the smashing of the Berlin Wall. The end result, he says, will be a free Iraq and a safer America.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Terrorists had made Iraq a central front in the war on terror. Because of your service, because of your sacrifice, we are defeating them there, where they live, so we do not have to face them where we live.

(END VIDEO CLIP)

M. O'BRIEN: The president's pick to oversee 15 heretofore separate intelligence agencies is promising Congress, and we quote, quote, "to generate better results." Longtime U.S. ambassador John Negroponte is presenting his plans and defending his record before the Senate Intelligence Committee.

CNN's Barbara Starr is listening in from the Pentagon -- Barbara.

BARBARA STARR, CNN CORRESPONDENT: Well, Miles, just about three hours of questioning now by the Senate Intelligence Committee of John Negroponte, the man who will be the nation's first director of national intelligence, the job created by Congress after the intelligence failures of 9/11 and the war in Iraq.

The committee expected shortly to take Mr. Negroponte into a closed, classified session, to question him further. But in the public session this morning, so far, several senators pressing ambassador Negroponte to assure them that he will give the president the unvarnished intelligence truth, as he sees it, not impacted by the political agendas that many certainly perceived in the run-up to the war in Iraq.

Ambassador Negroponte laying down his own marker very clearly this morning, Miles, in the first couple of hours of testimony. Saying that, under the law that set up his job, he fully expects to take control of the budget of billions of dollars of Pentagon spending: Pentagon intelligence programs, in satellites and communications, that he says, under the law, will now be under his purview, that he will work with the Pentagon, he will work with Secretary Rumsfeld, but that this will be his responsibility.

Here's a bit of what he had to say.

(BEGIN VIDEO CLIP)

JOHN NEGROPONTE, DIRECTOR OF NATIONAL INTELLIGENCE NOMINEE: According to the -- the legislation, I do have enhanced powers relating to budgetary, to personnel and acquisition matters, among others.

And, in addition, when the president announced my nomination, he said he would fully back me and the new role of the DNI. And you may recall that he made specific respect, specific reference, to my role in determining the national intelligence budget. So I -- I will seek to make the fullest possible use of these authorities.

(END VIDEO CLIP)

STARR: One small moment in the hearing, Miles, when a protester was escorted from the room by Capitol Hill security officials. Basically, apparently, this man objecting to Mr. Negroponte's previous record when he served in Central America as ambassador. Removed very rapidly, of course, by Capitol Hill security.

But John Negroponte, Miles, making it very clear today that if there's going to be a turf war, he plans to win it -- Miles.

M. O'BRIEN: All right. Barbara Starr at the Pentagon, thank you very much.

CNN is committed to providing the most reliable coverage of news that affects your security. Stay tuned to CNN for the latest information day and night.

PHILLIPS: A nationwide manhunt underway for a former prison inmate suspected of killing two people and attacking a teenager on the Carolina coast. We've got the details straight ahead.

Animal lover fear their pets will be in the line of fire. A proposal to legalize hunting cats causes something of a hissy fit in Wisconsin. That's straight ahead on LIVE FROM.

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

(COMMERCIAL BREAK)

M. O'BRIEN: Still at large today, a man suspected of a double murder and rape. Police from coast to coast are on the lookout for Stephen Stanko. They say he's desperate and on the run.

CNN's Soledad O'Brien has details.

(BEGIN VIDEOTAPE)

LT. ANDY CHRISTENSON, HORRY COUNTY, SOUTH CAROLINA, POLICE: There's a massive search right now for Mr. Stephen Stanko.

SOLEDAD O'BRIEN, CO-HOST, "AMERICAN MORNING" (voice-over): Police in South Carolina have alerted law enforcement agencies nationwide to be on the lookout for the 37-year-old ex-con who, they say, is armed and dangerous.

CHRISTENSON: He's already demonstrated on more than one occasion what he's capable of, allegedly, and we are very concerned for the safety of not only our law enforcement officers and the general public here in Horry County but nationwide.

S. O'BRIEN: Stephen Stanko is wanted for a deadly crime spree in South Carolina this past weekend, allegedly raping a teenage girl, then killing both the woman believed to be his ex-girlfriend and a 74- year-old friend.

Police say Stanko preyed on senior citizens before.

CHRISTENSON: He's -- he's been described to us as being well dressed, being clean cut, being a smooth talker, and being a very convincing individual.

S. O'BRIEN: Police think Stephen Stanko is driving a stolen black Mazda pickup truck with South Carolina tag 709 PYJ.

He was released from prison last year after serving nearly nine years for kidnapping. While in prison, Stanko co-authorized a book on life behind bars. Authorities fear he'll do anything to avoid going back.

CHRISTENSON: Desperate people do desperate things, and we're just asking that people be vigilant, be cautious, be aware, and please do not try to take matters into your own hands.

(END VIDEOTAPE)

M. O'BRIEN: Early phases of the search for Stanko focused on places where he has relatives, as is the norm, Charleston, South Carolina; Fayetteville, North Carolina. There have, to now, been no sightings of the man. Police report no new leads. PHILLIPS: Other news across America now.

Class is back in session at Minnesota's Red Lake High School, three weeks after a student killed seven people and himself. The school principal told reporters he doesn't expect the entire student body to return right away. Community leaders and students in the largely Native American town held a healing ceremony at the school yesterday.

Security at the U.S. Capitol is secure enough. That's what D.C. police say one day after removing a suspicious-acting man and a couple of suitcase from the west terrace. Law enforcement officials say they intend to keep the Capitol at open and accessible as possible.

And the next time you're in West Virginia, please keep in mind that the official state language is English. That distinction passed into law over the weekend, buried in a bill with a handful of unrelated item. Supporters call it necessary for bureaucratic reasons. Others say it's just a big waste of lawmakers' time.

O'BRIEN: Well, this one has animal lovers in Wisconsin beside themselves and soon animal lovers everywhere.

Residents of all 72 counties were asked to decide with their votes if federal cats -- those are domestic cats that live in the wild -- should be declared unprotected and, thus, legal to hunt.

Elizabeth Hopkins from our Madison affiliate WKOW attended an emotional meeting in Madison last night.

(BEGIN VIDEOTAPE)

ELIZABETH HOPKINS, WKOW REPORTER (voice-over): This is the line that filed into the polling station for the state's Conservation Congress. For hours it stretched on and on and on.

Adam Bauknect is part of an online effort called DontShootTheCat.com. He says the issue has struck a chord with many.

ADAM BAUKNECT, OPPOSES CAT-HUNTING BILL: It sort of crosses the line from wildlife management into people's pets.

HOPKINS: He says it's why people in the state, in the country and around the world are anxiously awaiting the outcome of tonight's process.

BAUKNECT: We've gotten e-mail from Korea, from Denmark, from soldiers in Iraq, all over. The entire world is watching what's going on tonight.

HOPKINS: And as voters voiced their opinions, emotions boiled over at times.

UNIDENTIFIED FEMALE: This is when I can speak! Let me speak.

UNIDENTIFIED FEMALE: So much loved, he's so fluffy that the collar, the collar can't be seen on him.

UNIDENTIFIED FEMALE: Although there are inherent risks to being outdoors for any pet, being legally shot should not be one of them.

HOPKINS: But not everyone opposes the effort.

UNIDENTIFIED MALE: We used to have on our property, we used to have a lot of rabbits. You can go back there now, for years, and you cannot find a rabbit anywhere. I correlate the two.

HOPKINS: Still, Lanir (ph) says if an alternate solution can be found, one not subsidized by hunters, he'd support it.

UNIDENTIFIED MALE: If a group is willing to come out to my parent's land and trap the cats, we'd love to have them.

(END VIDEOTAPE)

O'BRIEN: That was Elizabeth Hopkins with WKOW. Statewide results of the vote are expected later today and are not binding, only advisory. But no matter what the results are, Wisconsin officials say it will not be open season on stray cats.

(BEGIN VIDEO CLIP)

PHILLIPS (voice-over): Next on LIVE FROM...

UNIDENTIFIED MALE: You were certain she was drunk?

UNIDENTIFIED MALE: Yes.

PHILLIPS: A high school prom dilemma. What do you do when your limo driver is apparently intoxicated? Find out how they put the brakes on a dangerous situation.

Later on LIVE FROM...

UNIDENTIFIED MALE: Of all the alligators I've ever caught, this is the first one that almost bested me.

PHILLIPS: We catch up with the gator hunter, on his toughest gig.

(END VIDEO CLIP)

(COMMERCIAL BREAK)

(BEGIN VIDEOTAPE)

VERONICA DE LA CRUZ, CNN.COM: Even as we race to understand the earth, environmental warnings are sounding for the planet. At CNN.com, a closer look at how the earth is changing.

Is global warming really a threat? Most scientists do believe it is but have yet to approach a basic agreement on how it's happening. Scientists do agree that the earth has gotten warmer. Since 1850, average global temperatures have risen more than a half degree Celsius. And the concentration of greenhouse gases in the atmosphere is near its highest point in recorded history.

This interactive explainer breaks down the global warming process.

Also, a look at some of the discoveries and milestones of climate change from the modern age, from 1896 when a Swedish scientist first described what is now known as the greenhouse effect, to 2005, when more than 140 countries ratified the Kyoto Protocol.

Scientists are saying climate change can have drastic consequences. In this interactive map, find out where the in the world landscapes are changing as temperatures rise.

As the earth's population grows, we know that human impact on the planet's resources are coming under closer scrutiny. A host of problems dominate the environmental agenda, with many issues overlapping and influencing one another. What do you think are some of the biggest issues? How do you feel about the current state of the environment? You can participate in our quick vote or send us an e- mail with your thoughts. Log on to CNN.com/ChangingEarth.

From the dotcom news desk in Atlanta, I'm Veronica De La Cruz.

(END VIDEOTAPE)

O'BRIEN: Prices for many popular drugs are on the rise, and it could be a real shot to the wallet for the elderly. Susan Lisovicz joining us from the New York Stock Exchange with word of that and more.

Hello, Susan.

(STOCK REPORT)

(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 April 12, 2005 - 13:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
MILES O'BRIEN, CO-HOST: Target USA: making a federal case against three men for allegedly going after high-profile buildings in New York and Washington.
KYRA PHILLIPS, CO-HOST: Cat fight: fur flies in Wisconsin over whether to legalize shooting domestic felines gone wild.

M. O'BRIEN: Crippling migraine headaches. CNN's Dr. Sanjay Gupta on a new treatment to cure the pain and make you look younger in the process.

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

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

Well, if you think LexisNexis is some sort of bond among luxury car owners, well, you better watch your mailboxes. The parent company of the massive LexisNexis databank -- yes, it's a databank -- says that hackers may have stolen personal information including Social Security numbers, on more than 300,000 Americans. That's almost 10 times the number who were thought to be affected when the hacking came to light last month. The company promises to notify potential victims.

In the meantime, CNN technology correspondent Daniel Sieberg tells us more about the I.D. theft phenomena. Why is this the way to go right now?

DANIEL SIEBERG, CNN CORRESPONDENT: This really is the Holy Grail for an identity thief trying to get information about you, whether it's trying to get your driver's license number or your Social Security number.

Just because you may not have heard of a company like LexisNexis or its division, Sizen (ph), which was part of this, doesn't mean they don't know about you and they're not watching you.

They're basically an information clearing house. They're storing information about you so that a qualified third party can access that information. Maybe you're getting a home loan or it's a collection agency or an insurance company.

And basically, what they're saying now is this is much bigger than they originally anticipated. We're finding out that about 280,000 more people have been -- have had their information accessed. We're talking about information like a background check. You can see here, it's Social Security numbers. Perhaps it's public information like a criminal record.

All this information is out there for them to compile and then share with these qualified third parties. How did it get shared with some people who haven't have it? Well in this case, they're saying that these passwords were compromised. That could have been done in a number of different ways. It could have been done through something called social engineering, which means that somebody's faking that they're a legitimate company accessing this information and trying to get these passwords that way, or it could have been a number of other ways. But they're saying it wasn't hacked or broken into, their technology.

You might remember just about a month ago, a couple months ago, ChoicePoint was also the victim of stealing this information from somebody else. In that case, it was people posing as a legitimate company. You can see the records here. We're talking about millions and millions of records.

If you look at those records there on the shelf, that is you. That is your profile. All of those records you see on those shelves contain personal information, and they are the target of these identity thieves. If they can get this information, they can create a profile about you and, therefore, steal your information, steal money, and whatever else they want. We're talking about massive amounts of data. So this is really what they're after in this case. It's your information.

PHILLIPS: Well, has anyone come forward yet and said, "OK, my identity has been stolen?"

SIEBERG: They have not, at least that we know of. And the company has said that they do not know of anybody who has been a victim of identity theft. This information was taken. Whether or not it has then been then taken to the next step, we don't know.

The statement you see here -- "We are taking action to notify individuals where we found some indication that they might have some risk of identity theft or fraud" -- that is taking the form of a letter which was apparently mailed out yesterday to this additional 280,000. Incidentally, that CEO of LexisNexis and ChoicePoint will be appearing before a Senate hearing tomorrow.

PHILLIPS: So what should we do in case we -- hopefully we don't become a victim.

SIEBERG: Right, right.

PHILLIPS: Do we start checking all our credit reports?

SIEBERG: Definitely checking credit reports.

PHILLIPS: OK.

SIEBERG: The tips that we can offer you, first of all, check your bank account for any sort of irregular activity, something you're not aware of. That's the first sign that maybe somebody's got your information.

Also, contact the credit reporting agencies. We're talking about Equifax, Experian and TransUnion. Get a credit report. That might cost a little bit of money, but it's certainly worth doing.

Also, when you call the credit reporting agencies that we mentioned, you can request something call a fraud alert. Basically what that's doing is it's going to monitor -- they're going to monitor you credit. If anybody tries to create any type of a profile, if they're trying to open up an account, they'll contact you. They'll call your cell phone and let you know.

That's going to limit your sort of instant credit, in a sense, but it can be put on there if you're the victim of an identity theft for 10 years. And they will follow that throughout your credit history.

And finally, you're going to want to just make sure that you're talking to your bank, your creditors and that you can get these other types of monitoring services for about $10 a month. The previous one with the credit reporting unions was free. So certainly worth doing.

PHILLIPS: Good advice. Daniel Sieberg, thanks.

SIEBERG: All right.

PHILLIPS: All right. Well, our friends at CNN.com have a special report on identity theft. Learn how to recognize the signs of identity theft, which according to Gardner (ph) Incorporated, struck approximately seven million adults just in 2003.

Also, tips on picking up the pieces after I.D. theft like getting a credit report, like Daniel said, and issuing a fraud alert, and also contacting the creditors who issued the fraudulent accounts.

Well, how susceptible are you to fraud? Take the online quiz and test your scam I.Q. For more information on keeping your personal information safe, log on to CNNmoney.com/security.

M. O'BRIEN: Remember that Code Orange terror alert that was posted last summer for New York, northern New Jersey and Washington? At the time, the feds cited evidence that plotters may have cased some high-profile financial targets, the New York Stock Exchange and the World Bank among them, citing them for potential attacks.

Today, eight months later, three have been formally charged in of that. They've been in custody in Britain since August. Charges are filed there as well.

CNN's Matthew Chance joining us now from London with more -- Matthew.

MATTHEW CHANCE, CNN CORRESPONDENT: Miles, thanks very much. And U.S. federal authorities, expected to unveil those indictments, those charges, against the three men that are being held in British custody and have been since August 2004. They're expected to unveil those charges just a short time from now.

Each one of the -- what we understand to be four indictments against the three men is in connection with the scouting of U.S. financial institutions, U.S. financial building, in preparation for a possible attack between 1998 and August 2004, when the three were arrested by British anti-terrorism authorities.

U.S. sources in the government have named the individuals ahead of this unveiling announcement that's to be made shortly. They've named them as Dhiren Barot, also known as Esa al-Hindi, described as an al Qaeda operative; Nadeem Tarmohamed; and Qaisar Shaffi. All of them are U.K. nationals, all of them said to be of South Asian origin.

All of them taken into custody as well, Miles, last August in a high-profile series of raids by anti-terrorism police here in Britain. They're in British high security facilities right now, facing terrorism-related charges. There's a legal process under way here.

The British authorities are refusing to name those individuals themselves, though they are confirming these people that have been indicted in the U.S. are in their custody.

They're also refusing, the British, to talk about the possibility of extradition, although again, British government -- rather, U.S. government sources are saying that if any extradition proceedings are to take place, they will only do so after the prosecutions have ended here in Britain. And that could take sometime, perhaps even years, Miles.

M. O'BRIEN: Matthew, how was this plot initially uncovered?

CHANCE: Well, that's a very interesting question, because it led to a series of -- came from a series of sort of intelligence pieces being put together in a joint operation from the United States, from Britain, and members of the Pakistani intelligence.

It had been the Pakistani intelligence authorities that had tipped off the British, essentially, that they had computer evidence, that they found that evidence, indicating that British nationals were conducting surveillance on key U.S. installations, buildings like the New York Stock Exchange, the Citibank building in New York, as well as the International Monetary Fund and the World Bank offices in Washington, D.C.

They had that information there had been these surveillance operations taking place. That was passed on to the British authorities, that undertook this raid. According to U.S. military officials that CNN have spoken to, that computer contained hundreds of images, including detailed plans and surveys of these various buildings.

And so it is very interesting that the security alert, which you may remember in August last year, brought armed guards out onto the streets of financial districts of New York and elsewhere, actually had some substance, Miles.

M. O'BRIEN: Matthew Chance in London, thank you -- Kyra.

PHILLIPS: Do air-conditioned garbage trucks make you feel any safer? How about bullet vests for police dogs? Well, those are among the hundreds, if not thousands, of projects that your homeland security dollars have funded since 9/11.

And a senior congressional overseer isn't pleased. Christopher Cox is the chairman of the homeland security panel in the House of Representatives and a leading sponsor of what he calls the Faster and Smarter Funding for First Responders Act. He was a guest on CNN's "AMERICAN MORNING."

(BEGIN VIDEO CLIP)

REP. CHRISTOPHER COX (R-CA), HOMELAND SECURITY CHAIRMAN: One of the reasons that moneys are being spent this way, in many cases, finding yourself the recipient of a grant award is a little bit like winning the Publisher's Clearinghouse sweepstakes. Small jurisdictions end up with a check. They've got to scramble to find a way to spend it.

We need to make sure that there's planning in advance of these grant awards and that that planning is consistent with state counterterrorism plans.

(END VIDEO CLIP)

PHILLIPS: President Bush marked the second anniversary of the fall of Baghdad, give or take a few days, at the largest military base in America. At Ft. Hood, Texas, the commander in chief likened the toppling of that giant statue of Saddam Hussein to the smashing of the Berlin Wall. The end result, he says, will be a free Iraq and a safer America.

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GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Terrorists had made Iraq a central front in the war on terror. Because of your service, because of your sacrifice, we are defeating them there, where they live, so we do not have to face them where we live.

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M. O'BRIEN: The president's pick to oversee 15 heretofore separate intelligence agencies is promising Congress, and we quote, quote, "to generate better results." Longtime U.S. ambassador John Negroponte is presenting his plans and defending his record before the Senate Intelligence Committee.

CNN's Barbara Starr is listening in from the Pentagon -- Barbara.

BARBARA STARR, CNN CORRESPONDENT: Well, Miles, just about three hours of questioning now by the Senate Intelligence Committee of John Negroponte, the man who will be the nation's first director of national intelligence, the job created by Congress after the intelligence failures of 9/11 and the war in Iraq.

The committee expected shortly to take Mr. Negroponte into a closed, classified session, to question him further. But in the public session this morning, so far, several senators pressing ambassador Negroponte to assure them that he will give the president the unvarnished intelligence truth, as he sees it, not impacted by the political agendas that many certainly perceived in the run-up to the war in Iraq.

Ambassador Negroponte laying down his own marker very clearly this morning, Miles, in the first couple of hours of testimony. Saying that, under the law that set up his job, he fully expects to take control of the budget of billions of dollars of Pentagon spending: Pentagon intelligence programs, in satellites and communications, that he says, under the law, will now be under his purview, that he will work with the Pentagon, he will work with Secretary Rumsfeld, but that this will be his responsibility.

Here's a bit of what he had to say.

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JOHN NEGROPONTE, DIRECTOR OF NATIONAL INTELLIGENCE NOMINEE: According to the -- the legislation, I do have enhanced powers relating to budgetary, to personnel and acquisition matters, among others.

And, in addition, when the president announced my nomination, he said he would fully back me and the new role of the DNI. And you may recall that he made specific respect, specific reference, to my role in determining the national intelligence budget. So I -- I will seek to make the fullest possible use of these authorities.

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STARR: One small moment in the hearing, Miles, when a protester was escorted from the room by Capitol Hill security officials. Basically, apparently, this man objecting to Mr. Negroponte's previous record when he served in Central America as ambassador. Removed very rapidly, of course, by Capitol Hill security.

But John Negroponte, Miles, making it very clear today that if there's going to be a turf war, he plans to win it -- Miles.

M. O'BRIEN: All right. Barbara Starr at the Pentagon, thank you very much.

CNN is committed to providing the most reliable coverage of news that affects your security. Stay tuned to CNN for the latest information day and night.

PHILLIPS: A nationwide manhunt underway for a former prison inmate suspected of killing two people and attacking a teenager on the Carolina coast. We've got the details straight ahead.

Animal lover fear their pets will be in the line of fire. A proposal to legalize hunting cats causes something of a hissy fit in Wisconsin. That's straight ahead on LIVE FROM.

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

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M. O'BRIEN: Still at large today, a man suspected of a double murder and rape. Police from coast to coast are on the lookout for Stephen Stanko. They say he's desperate and on the run.

CNN's Soledad O'Brien has details.

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LT. ANDY CHRISTENSON, HORRY COUNTY, SOUTH CAROLINA, POLICE: There's a massive search right now for Mr. Stephen Stanko.

SOLEDAD O'BRIEN, CO-HOST, "AMERICAN MORNING" (voice-over): Police in South Carolina have alerted law enforcement agencies nationwide to be on the lookout for the 37-year-old ex-con who, they say, is armed and dangerous.

CHRISTENSON: He's already demonstrated on more than one occasion what he's capable of, allegedly, and we are very concerned for the safety of not only our law enforcement officers and the general public here in Horry County but nationwide.

S. O'BRIEN: Stephen Stanko is wanted for a deadly crime spree in South Carolina this past weekend, allegedly raping a teenage girl, then killing both the woman believed to be his ex-girlfriend and a 74- year-old friend.

Police say Stanko preyed on senior citizens before.

CHRISTENSON: He's -- he's been described to us as being well dressed, being clean cut, being a smooth talker, and being a very convincing individual.

S. O'BRIEN: Police think Stephen Stanko is driving a stolen black Mazda pickup truck with South Carolina tag 709 PYJ.

He was released from prison last year after serving nearly nine years for kidnapping. While in prison, Stanko co-authorized a book on life behind bars. Authorities fear he'll do anything to avoid going back.

CHRISTENSON: Desperate people do desperate things, and we're just asking that people be vigilant, be cautious, be aware, and please do not try to take matters into your own hands.

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M. O'BRIEN: Early phases of the search for Stanko focused on places where he has relatives, as is the norm, Charleston, South Carolina; Fayetteville, North Carolina. There have, to now, been no sightings of the man. Police report no new leads. PHILLIPS: Other news across America now.

Class is back in session at Minnesota's Red Lake High School, three weeks after a student killed seven people and himself. The school principal told reporters he doesn't expect the entire student body to return right away. Community leaders and students in the largely Native American town held a healing ceremony at the school yesterday.

Security at the U.S. Capitol is secure enough. That's what D.C. police say one day after removing a suspicious-acting man and a couple of suitcase from the west terrace. Law enforcement officials say they intend to keep the Capitol at open and accessible as possible.

And the next time you're in West Virginia, please keep in mind that the official state language is English. That distinction passed into law over the weekend, buried in a bill with a handful of unrelated item. Supporters call it necessary for bureaucratic reasons. Others say it's just a big waste of lawmakers' time.

O'BRIEN: Well, this one has animal lovers in Wisconsin beside themselves and soon animal lovers everywhere.

Residents of all 72 counties were asked to decide with their votes if federal cats -- those are domestic cats that live in the wild -- should be declared unprotected and, thus, legal to hunt.

Elizabeth Hopkins from our Madison affiliate WKOW attended an emotional meeting in Madison last night.

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ELIZABETH HOPKINS, WKOW REPORTER (voice-over): This is the line that filed into the polling station for the state's Conservation Congress. For hours it stretched on and on and on.

Adam Bauknect is part of an online effort called DontShootTheCat.com. He says the issue has struck a chord with many.

ADAM BAUKNECT, OPPOSES CAT-HUNTING BILL: It sort of crosses the line from wildlife management into people's pets.

HOPKINS: He says it's why people in the state, in the country and around the world are anxiously awaiting the outcome of tonight's process.

BAUKNECT: We've gotten e-mail from Korea, from Denmark, from soldiers in Iraq, all over. The entire world is watching what's going on tonight.

HOPKINS: And as voters voiced their opinions, emotions boiled over at times.

UNIDENTIFIED FEMALE: This is when I can speak! Let me speak.

UNIDENTIFIED FEMALE: So much loved, he's so fluffy that the collar, the collar can't be seen on him.

UNIDENTIFIED FEMALE: Although there are inherent risks to being outdoors for any pet, being legally shot should not be one of them.

HOPKINS: But not everyone opposes the effort.

UNIDENTIFIED MALE: We used to have on our property, we used to have a lot of rabbits. You can go back there now, for years, and you cannot find a rabbit anywhere. I correlate the two.

HOPKINS: Still, Lanir (ph) says if an alternate solution can be found, one not subsidized by hunters, he'd support it.

UNIDENTIFIED MALE: If a group is willing to come out to my parent's land and trap the cats, we'd love to have them.

(END VIDEOTAPE)

O'BRIEN: That was Elizabeth Hopkins with WKOW. Statewide results of the vote are expected later today and are not binding, only advisory. But no matter what the results are, Wisconsin officials say it will not be open season on stray cats.

(BEGIN VIDEO CLIP)

PHILLIPS (voice-over): Next on LIVE FROM...

UNIDENTIFIED MALE: You were certain she was drunk?

UNIDENTIFIED MALE: Yes.

PHILLIPS: A high school prom dilemma. What do you do when your limo driver is apparently intoxicated? Find out how they put the brakes on a dangerous situation.

Later on LIVE FROM...

UNIDENTIFIED MALE: Of all the alligators I've ever caught, this is the first one that almost bested me.

PHILLIPS: We catch up with the gator hunter, on his toughest gig.

(END VIDEO CLIP)

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VERONICA DE LA CRUZ, CNN.COM: Even as we race to understand the earth, environmental warnings are sounding for the planet. At CNN.com, a closer look at how the earth is changing.

Is global warming really a threat? Most scientists do believe it is but have yet to approach a basic agreement on how it's happening. Scientists do agree that the earth has gotten warmer. Since 1850, average global temperatures have risen more than a half degree Celsius. And the concentration of greenhouse gases in the atmosphere is near its highest point in recorded history.

This interactive explainer breaks down the global warming process.

Also, a look at some of the discoveries and milestones of climate change from the modern age, from 1896 when a Swedish scientist first described what is now known as the greenhouse effect, to 2005, when more than 140 countries ratified the Kyoto Protocol.

Scientists are saying climate change can have drastic consequences. In this interactive map, find out where the in the world landscapes are changing as temperatures rise.

As the earth's population grows, we know that human impact on the planet's resources are coming under closer scrutiny. A host of problems dominate the environmental agenda, with many issues overlapping and influencing one another. What do you think are some of the biggest issues? How do you feel about the current state of the environment? You can participate in our quick vote or send us an e- mail with your thoughts. Log on to CNN.com/ChangingEarth.

From the dotcom news desk in Atlanta, I'm Veronica De La Cruz.

(END VIDEOTAPE)

O'BRIEN: Prices for many popular drugs are on the rise, and it could be a real shot to the wallet for the elderly. Susan Lisovicz joining us from the New York Stock Exchange with word of that and more.

Hello, Susan.

(STOCK REPORT)

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