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Wilma: Category 5; The Trial of Saddam Hussein; New Orleans on Road to Recovery; Interview with Former FBI Head Louis Freeh

Aired October 19, 2005 - 13:59   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

KYRA PHILLIPS, CNN ANCHOR: From the CNN Center in Atlanta, I'm Kyra Phillips. This hour of CNN's LIVE FROM starts right now.
Cancun, Cuba and the Florida Keys all in the likely path, the war path of Wilma. The last name on the official list of 2005 Atlantic storms will go down in history wherever it goes on the map both for its power and how fast it got so strong.

There's also that matter of being the last name on the list, forcing the next big storm, god forbid, to take the Greek letter Alpha. Forecasters say that Wilma will almost certainly veer towards southwest Florida and the Keys after entering the Gulf of Mexico. And Floridians know the drill. Grocery and hardware stores are busy, and gas lines are already forming, though the only evacuations ordered so far pertain to the tourists there in the Keys.

Well, for what it's worth, Wilma is expected to weaken as it surges north and eastward. CNN meteorologist Jacqui Jeras watching its every twist and turn -- Jacqui.

JACQUI JERAS, CNN METEOROLOGIST: Yes, Kyra. In fact, it just bumped down just a little bit. We just got word in from the National Hurricane Center that winds are about 165 miles per hour. That's down from 175, at its peak, and also that the pressure has risen a little bit, another sign that the storm is kind of in a downward spiral right now. It's starting to weaken just a little bit.

But the Hurricane Hunters are in their way into the storm, and they expect a better reading on what that pressure is. And if you remember, overnight tonight it intensified with a minimum pressure of 882 millibars, which is the lowest recorded pressure in the Atlantic basin. And so that makes it the most intense storm recorded.

Three hundred miles now to the south and east of Cozumel. It's been taking a big wobbly path here over the last 12 hours or so. But a general northwesterly motion is expected to continue, we think, over the next 12 to 24 hours.

That will bring the storm in very, very close to Mexico's Yucatan peninsula or near the Cozumel area. That will be overnight tomorrow night and into early Friday morning.

It is possible that there could be a direct landfall here. And we are expecting to see extremely heavy rain, catastrophic winds that push through the region. After it passes this area, it gets into the Gulf of Mexico and starts to take a right-hand turn. It's going to be encountering winds that are a little less favorable for development. And also, the water temperatures a little bit cooler here. So that should also help in bringing the storm down a little bit.

But don't get too excited about that weakening, because we still think it's going to be a major hurricane when it makes landfall. That should happen on Saturday night. Likely the storm is going to pick up forward speed, and it will move very quickly over the Florida peninsula. So it's not going to be like a Francis or a Jeanne, that took more than 24 hours to make it across wall to wall.

It will move very fast. But very concerned about a very large storm surge on this side of the peninsula. And also very concerned about how large this storm is.

More than 300 miles across the tropical storm force-winds with this storm. We are already starting to see a few sprinkles across the Florida Keys, and we're probably going to start to see watches posted just over 24 hours from now -- Kyra.

PHILLIPS: All right, Jacqui. Thank you.

Well, he refused to give his name, he scuffled with his guards, and he argued with the judge. That's just the first day of the first trial against former Iraqi dictator Saddam Hussein. It began today in a building that he knows well, the headquarters of his once mighty Baath Party, now part of Baghdad's Green Zone.

CNN's Aneesh Raman is in the Iraqi capital -- Aneesh.

ANEESH RAMAN, CNN CORRESPONDENT: Kyra, good afternoon.

Defiant at times, resigned at others. Saddam Hussein today sat as a defendant in the first trial he faces charged with crimes against humanity.

Saddam was the last of the eight defendants to be brought into the courtroom. He sat in the first of three pews, essentially cages where the defendants were positioned.

At times he was combative, as I said. Really, when the judge asked him for his name and nothing more, Saddam embarking on essentially a speech, questioning the legitimacy of the court, calling himself still the president of Iraq. He alluded to the entire process by which the court was created as something based in fiction, essentially, as false.

He also refused to answer a plea essentially at the beginning. Later seated he did so. He entered a not guilty plea as the other seven defendants did, as well.

They heard in detail the charges that are levied against them, specific to the case of Dujail, the Shia village to the north of Baghdad where in July, 1982, Saddam narrowly survived an assassination attempt. He then had thousands of villagers there thrown in jail. Many of them were tortured, at least 143 were killed.

Now, why is this the first case of all the alleged atrocities that Saddam committed during his decades in rule? Because, according to those involved, it is perhaps the easiest to prove.

Today -- excuse me -- the chief prosecutor alluding to the fact that they have evidence. They have execution orders that were signed by Saddam Hussein himself. They plan to essentially prove a chain of command among these other seven men, all the way up to Saddam Hussein himself.

Now, we know, speaking with the defense team earlier, that they plan to petition for a delay. They were asking for no less than three months. Instead, today, they got some 40 days. The court adjourned until November 28.

Another fact that came out both from the spokesman from the Iraqi special tribunal and later speaking to reporters from the chief presiding judge, was that witnesses were not in the building that were to be, both because they were still fearful of testifying in front of Saddam Hussein. Also, logistically, many could not come. So the court now addressing that issue, as well.

It was a day of high drama for Iraqis, a day of definitive imagery. Again, they saw their former dictator in a courtroom setting. They had seen him in such a setting last year when he was arraigned.

Today, though, combative at first, and then really sitting down as the charges were read. At times, according to CNN's chief international correspondent, Christiane Amanpour, who was in the courtroom, when the cameras were not rolling, during the recesses, Saddam was interacting with the other defendants, some of whom we think he has not seen since the fall of his regime.

So now Iraqis, Kyra, wait until November 28, when the trial, they hope, will begin in earnest -- Kyra.

PHILLIPS: All right. Aneesh, thank you so much.

Saddam Hussein was feared and loathed by many Iraqis during his 23-year rule. But some were and still are loyal to him.

Dozens of people took to the streets of Hussein's hometown of Tikrit, protesting the trial and chanting, "Long live Saddam Hussein." Iraqi police kept close watch on the demonstration. That area is home to many Sunni Arabs, a minority in Iraq who were privileged under Hussein's rule.

The images of Saddam Hussein in court transfixed people around the globe, but nowhere did they watch closer than in the Arab world.

CNN senior editor of Arab affairs Octavia Nasr reports.

(BEGIN VIDEOTAPE) OCTAVIA NASR, CNN SR. EDITOR, ARAB AFFAIRS (voice over): Saddam Hussein of yesteryear, a ruthless and feared leader commanding and in control, in stark contrast with a much thinner ordinary man who walked into the courtroom assisted by escorts to face charges of crimes against humanity.

This is what viewers across the globe, including those in the Arab world, watched as they gathered around television sets awaiting the first war crimes trial of an Arab leader ever. The local Iraqi government-run TV channel called it the trial of the century for the dictator of the century. This anchor congratulated Iraqis on what he called an historic day for Iraqis and the entire humanity.

The channel also interviewed people about their stories of how Hussein abused them. This man asked, "Why did Saddam cut my hand? Why?" "Death to Saddam," he said.

The Dubai-based all-news channel Al-Arabiya spoke to Saddam Hussein's daughter, Raghad, on the phone from Jordan. She said she watched her father with much pride. She called him a hero, a lion, a wolf. She said he made the entire family proud by challenging the court and that he was never scared or submissive.

Guests appeared on different Arab channels. Some challenging the fairness of the trial, others hailing it as the beginning of a new era for the entire Middle East.

One thing most experts agreed on, the enormity of the crimes and the seriousness of the charges, along with a man who, after two years in captivity, still refers to himself as the president of Iraq, qualifies this trial when it resumes to be called the trial of the 21st century, at least for the Arab Middle East.

Octavia Nasr, CNN, Atlanta.

(END VIDEOTAPE)

PHILLIPS: And for a look at the issues in the trial and bio of Saddam Hussein and a detailed list of the charges he faces, you can log on to CNN.com/Saddam.

Well, this story just in to CNN. Confirmation hearings for Supreme Court nominee Harriet Miers will begin November 7. Senate Judiciary chairman Arlen Specter made the official announcement just moments ago. President Bush has nominated Miers, as you know, to replace Sandra Day O'Connor on the high court, and many senators have been noncommittal on Miers, saying they'll wait for the hearings before deciding whether to confirm her.

Well, we're your hurricane headquarters here on CNN, and we're tracking Wilma as the Category 5 storm churns across the Caribbean.

And rebuilding after Katrina and Rita. For some Gulf Coast people, business is booming. We'll have details on that straight ahead.

Plus, Powerball fever is spreading. How would you spend a kazillion dollars?

(COMMERCIAL BREAK)

PHILLIPS: And welcome back to B Control. We're talking about the homeland security secretary saying that FEMA needs an overhaul in the wake of Hurricane Katrina. Michael Chertoff tells Congress the government can do better when it comes to disaster response. He says he's centralizing his department's efforts to plan and train for disasters, and he says he's creating assessment teams, recon teams that will be ready on short notice.

(BEGIN VIDEO CLIP)

MICHAEL CHERTOFF, HOMELAND SECURITY SECRETARY: DHS is establishing emergency reconnaissance teams that can go in, in the immediate aftermath of a true ultra catastrophe to get us real-time reporting of the facts on the ground and to help us understand where the priorities are and get the resources where they need to be.

(END VIDEO CLIP)

PHILLIPS: And down in New Orleans, a new sign that the comeback continues. The Cafe Du Monde is back in business. Mayor Ray Nagin was among those at the French Quarter coffee house for the morning chicory coffee and beignets, those French-style doughnuts covered with powdered sugar. Owners say that the cafe didn't suffer a lot of storm damage, but a lot of employees lost their homes.

Now, as the city of New Orleans revives, the massive damage means opportunity for some. Our Anderson Cooper finds the city's small businesses are booming as people start to clean up and rebuild.

(BEGIN VIDEOTAPE)

ANDERSON COOPER, CNN CORRESPONDENT (voice over): Think of them as weeds left by Hurricane Katrina. Up and down the streets of New Orleans thousands of little signs fight for attention. Most of them advertising sheet rocking, temporary roofing, mold removal, though not all.

With so much destruction, one estimate says 74 percent of the city's homes, about 160,000 in all, suffered some sort of damage. Demolition and construction companies are everywhere. But Katrina created all sorts of other needs. Needs that some businesses are meeting like never before.

ROBERT JOHN, SALESMAN, COMEAUX FURNITURE: There has been a tremendous, tremendous boost to the business. We've probably sold over -- oh, well, I'd say a years supply of refrigerators in one month. This is probably the bet buy in the store.

COOPER: At Comeaux's they've moved about 3,000 refrigerators since they reopened.

JOHN: It's not very hard to sell. A lot of people are just taking whatever we have. And yes, I'll take that and just write me up, let's go.

COOPER: With so much flooding New Orleans was filled with thousands of very wet Oriental rugs and Bob's Rue customers are paying him up front to clean and salvage their treasures.

BOB RUE, ORIENTAL RUG MERCHANT: This is what salt water does to Oriental rugs. If -- it attacks the cotton. The cotton foundation is rotten, not the wool in the rug.

COOPER: Bob starts with soap and water and says he's using as much soap in a week as he normally uses in several months. And he's preserving more than just floor coverings.

RUE: Try to save this, my grandmother's rug. Or my wife is sitting and weeping, you got to take care of it. OK. You know. A guy yesterday brought me a little piece and it was $14 to clean, it wasn't very big. And he says, $14? I want you to do the best job, here's $20.

COOPER: And then there are all those signs. Somebody's got to make them. Turns out Mike Prechter is keeping very busy at his printing company. Almost all of his employees evacuated and haven't returned.

MIKE PRECHTER, OWNER, ART-VERTISING INC.: The majority of them have moved away for good. I only anticipate having three out of the 10 back.

COOPER: For him the problem is keeping up with demand.

PRECHTER: For instance a roofer will call up, "Oh, can I get my signs? When can I get them." I'll tell him, well, it's going to be about five days. "I can't wait that long." And I know he can't come put a roof on my house tomorrow.

So everybody has just got to be patient. This is what I've been saying all across the board.

(END VIDEOTAPE)

PHILLIPS: Well, hoping to avoid a disaster of its own, the city of Taunton, Massachusetts, remains closed as a deteriorating dam threatens to burst. The big concern if the wooden dam gives way, it could send a wall of water six feet high through that town. After inspecting the dam this morning, officials say the situation was under control. Water levels are receding, but still the city remains under a state of emergency, and residents are being kept away.

Straight ahead, will Hurricane Wilma hit the U.S. mainland? Live pictures from Naples, Florida, where things are sunny. But that could change drastically in the next few days. The latest on the storm straight ahead on LIVE FROM.

And Saddam Hussein on trial. In just a few minutes, an international law expert talks with me about his defense team and their strategy. KATHLEEN HAYS, CNN CORRESPONDENT: I'm Kathleen Hays, live from the New York Stock Exchange. Retailers are trying to get you in the holiday mood extra early this year. I'll tell you why right after this break.

(COMMERCIAL BREAK)

PHILLIPS: Stories "Now in the News."

The first case of bird flu now confirmed in what's considered European Russia. Agriculture officials say that the deadly H5N1 strain has been found in chickens about 160 miles south of Moscow. Two locations are said to be affected, 19 others in Russia are of concern right now.

At least two people injured, but no apparent damage after a strong earthquake rocks eastern Japan. The 6.5 magnitude quake struck about 80 miles northeast of Tokyo today. Electricity was cut and train services were temporarily disrupted. It was the second quake in the region in three days.

Defense Secretary Donald Rumsfeld urging China to demonstrate more clearly its interest in improving relations with the United States. On a two-day visit, Rumsfeld said that China's rapid military buildup is causing concern in several countries, including the United States.

Oh, to be a fly on the wall at the White House. U2 rock star Bono and President Bush having lunch at the executive residence today. Bono is in town for a concert. After the usual chitchat, the two plan to follow up on talks from the July G-8 summit.

In case you're wondering, the president is not attending tonight's concert.

(STOCK MARKET REPORT)

(COMMERCIAL BREAK)

PHILLIPS: Now back to Hurricane Wilma, currently centered in the Caribbean sea. The Category 5 storm could hit Florida, where they are already taking precautions.

Meteorologist Jacqui Jeras tracking Wilma. She joins us once again from the CNN weather center -- Jacqui.

JERAS: Well, Kyra, the storm has weakened just a smidgen. The winds are down to 165 miles per hour. That's from where they were earlier at 175 miles per hour. But the storm is continuing to grow in size, and it's been wobbling all over the place, but a general northwesterly track is expected.

And now some of the computer models that have been coming in have shown a couple of changes after it gets towards the Yucatan peninsula. So I really want you to pay attention when the National Hurricane Center issues their next forecast advisory for the track, which comes in 5:00 Central Time, just in case we see any changes. Because that trough that we were talking about that's going to help to drive this storm towards Florida, it looks like there may -- it may not be as strong as what we were originally thinking.

So, something to watch very closely over the next couple of hours. But for now, our in-house computer model brings the hurricane very near the Cancun area by Friday morning as a strong Category 4 hurricane. Right now, it's at a Category 5. So some additional fluctuations and intensity can be expected.

It's very common. Our eye right now is so very tight, it's like the point of a pin right now. That, we are expecting, is going to be collapsing. We think we're starting what is an eye wall replacement cycle.

So watch for the storm to weaken a little bit more. But as a new eye wall builds up, this storm could gain more strength as it takes a right-hand turn, heads for Florida on Saturday -- Kyra.

PHILLIPS: OK, Jacqui. We'll keep checking in with you. Thanks so much.

Well, they're not taking any chances in the Florida Keys with forecasters predicting that Hurricane Wilma may be on its way there. Visitors have been ordered to get out.

LuAnne Sorrell of CNN affiliate WSVN reports.

(BEGIN VIDEOTAPE)

LUANNE SORRELL, REPORTER, WSVN (voice-over): Tourists in the Keys gassing up and getting out. The mandatory evacuation going into effect at noon today. All nonresidents and visitors told they must leave. Some people getting an early start.

CARL BUSCH, TOURIST: We're more concerned about the traffic and getting stuck, you know, in bad weather with the bikes in traffic.

SORRELL: But others not ready to cut their vacation short just yet.

FRANK EVANS, TOURIST: We're headed down here to go scuba diving this afternoon.

SORRELL (on camera): You're going scuba diving?

EVANS: Yes.

SORRELL: Have you heard...

EVANS: If they'll take us out.

SORRELL (voice-over): Those who live on the Keys waiting for word if they will also be told to evacuate. The rush already on here for hurricane supplies like water. And while some say after the extraordinary hurricane season we've already had this year, if Wilma comes too close, they won't waste any time packing up.

XIOMARA FIGUEROA, RESIDENT: That's why I'm leaving. You know, I'm not taking my chance. And that's for everybody else, safe keeping. They should go to a safe place.

ALICIA BENCOMO, RESIDENT: I never stay in the Keys, even if it's Category 1. I never stay here, because the road is too narrow. And you have the Gulf and you have the ocean, the Atlantic Ocean. And it will get together.

SORRELL: But others saying they'll stay put no matter Wilma's size.

UNIDENTIFIED MALE: Because I've got a pretty strong house. And if we do get out, we may not be able to get back for days. What little I have, I want to keep. I want to be able to -- I've got a lot of pets.

(END VIDEOTAPE)

PHILLIPS: Now that former Iraqi president Saddam Hussein has entered a not guilty plea today, his trial has been adjourned until late next month. The lead attorney representing Hussein says that he needs more time to study international law before he can present a defense.

Rahul Manchanda is an expert on international law. He joins us, once again, live from New York to discuss the legal principles that will guide the defense of Hussein and his seven co-defendants.

Good to see you again, Rahul.

RAHUL MANCHANDA, INTERNATIONAL LAW EXPERT: Hi, Kyra.

PHILLIPS: So what did you make of today?

MANCHANDA: Well, I think you definitely saw the prosecution trying to accommodate the defense. Like I said yesterday, the main focus here, it's very important to show this is an impartial proceeding, not a kangaroo court by the U.S. But at the same time, they're not going to kowtow to the defense either.

The defense was asking, I think, for three months, the full extent. And statutorily, they're only entitled to 45 days. But I think at this point you see that the court, even though they were entitled to deny the 45 days, they gave it to the defense. But they did not give them 30 days.

In addition, I think you saw that they sort of interrupted Saddam when he was beginning one of his tirades against the international community in the court. And, of course, you saw that the judge was not going to accept that either. So I think you're seeing the tenor of this case so far.

PHILLIPS: Well, and you made it clear when you said to me early, no one wants to see this as a "U.S.-led kangaroo court." MANCHANDA: Correct.

PHILLIPS: Because as we know, when we saw Saddam in court last time, he can get pretty obnoxious, I guess you could say. So there's got to be respect from both sides.

MANCHANDA: Right. I mean, at this point, really, what's most important are the facts of the case. The Dujail massacre of '82 which is mentioned countless times is, by far, the easiest case to prove because the facts and the evidence are certainly abundant.

And it's really a tell-tale sign when the defense is focusing on technical defenses to sort of derail the process -- you know, exhausting appeals, asking for more time when they've probably got the best crack unit team of international lawyers the world has ever seen.

PHILLIPS: All right, let's talk about that team. Let's get right into it because you and I have talked a lot about this and we'll make it clear that not all of these individuals are attorneys.

But let's talk about the lead attorney for Saddam Hussein, the one we're seeing a lot, hearing a lot from, Khalil Dulaimi. What do we know about him?

MANCHANDA: Well, not much is known about Khalil Dulaimi except for the fact that he is obviously a Saddam Hussein sympathizer. He is probably a Baathist.

What is known is that is fairly inexperienced with international criminal trials, especially trials such as these. And he is, obviously relying on many, many other advisers, quasi-international advisers to help him formulate defenses to the tribunal at this time, consisting of a few people that we'll talk about.

PHILLIPS: Well, from an -- OK, we'll talk more about that, but from an Iraqi to an American: Ramsey Clark -- I guess if you know his background, you're not really surprised that he's helping out, offering free services.

But, you know, he's an anti-war advocate, but it's just a bit strange just to hear him a part of that team, I guess, in some ways.

MANCHANDA: Well, Ramsey Clark has a very long history of affiliation with the Saddam Hussein regime.

I don't know if you'll recall that back in the Gulf War, the first Gulf War in the early 90s, he lent a lot moral and logistical support as well as legal advice to Saddam Hussein, as well as, since that time decrying the U.K. and U.S. bombings of Iraq, whenever there was some insurgency.

He also appealed to the United Nations in formal letters that he wrote, you know, literally accusing the U.S. of violating human rights when he, himself, is a U.S. citizen.

He's a former '60s -- 1960s advocate who served, I think, under the LBJ administration. And I think he's been fighting the fight for the last 40-some odd years.

PHILLIPS: Interesting. I didn't realize he was so close with Saddam Hussein.

Giovanni di Stefano. We haven't seen this name in a lot of newspapers when you talk about those that are supporting his defense team. What's Giovanni doing?

MANCHANDA: Well, di Stefano is an attorney. He's a U.K.-based attorney with Italian Lineage.

He is, I think, primarily responsible for the argument that the previous Iraqi constitution, which was supposedly sworn allegiance to by these judges that they are currently serving, that they must support the legal notion that Saddam Hussein should enjoy full governmental immunity for the acts and activities during his administration, including these massacres, crimes, genocides against the Kurdish people and the Shias.

I think he's primarily responsible for that argument. Again, he's an adviser that, I think, Khalil Dulaimi is relying on. In recent history, di Stefano has been accused of certain issues that are going on, I think, dealing with real estate issues in California which are less than savory.

But, again, that's all speculation at this point. It's very hard to determine exactly what is the truth and what is not.

But I think di Stefano is definitely the prime architect of the argument that the previous Iraqi constitution completely forbids these judges from sentencing Saddam for the activities he committed while he was president of Iraq.

PHILLIPS: Two more interesting names: Moammar Gadhafi's daughter, Aysha -- I'm not quite sure how she pronounces her name -- but she's a lawyer.

MANCHANDA: She is. She's a lawyer and a law professor. Certainly, she's the daughter of Moammar Gadhafi, who has a very illustrious history with the United States, especially during the Reagan administration.

Recently, Moammar Gadhafi expressed contrition for the activities of the Pan Am disaster. I believe he expressed a formal apology. So, it's a little bit ironic that his daughter is now coming out in this arena. But it's not surprising, either.

PHILLIPS: Now, one that you told me a lot about, I found very interesting, and that's Dr. Mahathir Mohamad, former prime minister of Malaysia.

Why he would be a part of this team?

MANCHANDA: Well, Mahathir Mohamad is -- well, actually, he was very popular in Malaysia because he's often credited with the success of the new Malaysian economy and certainly with the towers that are built there now.

But, at the same time, toward his later years he was very expressive of anti-U.S., anti-Israeli sentiment.

I don't know if you recall, but he was responsible for a lot of statements that were not very politically correct on the international arena and he seems like had an ax to grind with U.S. policy, especially when it came to currency trading in his own country.

I think he blamed the U.S. for that. But, you know, he's a figure that's sort of loved and hated around the world and I think he's more loved in Malaysia than he is around the world.

PHILLIPS: Rahul Manchanda, expert on international law. I know you're going to continue to follow this like we are. And we look forward to having you come back again.

MANCHANDA: Sure.

PHILLIPS: Thanks, Rahul.

MANCHANDA: Thank you, Kyra.

PHILLIPS: Straight ahead, investigating Bill Clinton and waging the war on terror. Former FBI director Louis Freeh is speaking out about his years in office and his former boss.

He joins me live, next.

(COMMERCIAL BREAK)

PHILLIPS: Former FBI director Louis Freeh led the bureau through some of its most difficult days, the Oklahoma City and Olympic bombings, the attacks on the Khobar Towers and the USS Cole, plus Whitewater and Monica Lewinsky. Freeh's tenure won strong praise from many people, but his critics claim he never owed up to his mistakes.

Now, Louis Freeh has written a book. It's called "My FBI: Bringing Down the Mafia, Investigating Bill Clinton and Fighting the War on Terror."

He joins me live from New York. Louis, good to to see you.

FREEH: Kyra, nice to see you.

PHILLIPS: Well, you know, I told you we're going to get into the serious issues in a moment. But I have to say, your book -- you go into great detail about your incredible family and also growing up and reaching to the point of becoming FBI director.

And I love this quote from one of the brothers at St. Joseph's, where you went to school. And he said to you, you're really not college material. You go to trade school -- you can go to trade school. Plumbers do very well these days.

And you write: "I felt as if someone had driven a stake through my heart. I'm finished. I told myself as I left that meeting, I'll never get into West Point." So do you ever talk to that brother?

FREEH: No, I haven't. I mean, he was a great guy and maybe wasn't all that wrong, by the way.

PHILLIPS: Well, no, come on. We'll get into the good and the ugly in a second. But, seriously you had big goals and you were thinking about some type of military or investigative work, police work. What gave you that interest?

FREEH: Well, I think a lot of it, as I think I say in there, comes from my father and mother. And my dad was a World War II veteran, D-Day veteran, 90 years old today. And I think taught us -- three boys, as it was; we thought that was a lot of boys at the time -- you know, service to your country. And when you're called by your country to serve, you should serve. And I think that was with me growing up, even if I didn't realize it at the time. And I wanted to be an FBI agent since I was probably about 12 years old. And the thrill of a lifetime to become one in 1975.

PHILLIPS: And you mention your parents and their immigrant histories and how they really felt that they need to give back because of what America did for them. And they really wanted you to do whatever President Clinton wanted you to do, right? They wanted you to take the job and they wanted you to get along with him.

FREEH: Well, they certainly did. And that was the greatest generation, to borrow somebody's phrase. And their notion of duty and loyalty and patriotism, I think, became very important and very much a part of my life.

PHILLIPS: Your brother Bill -- you write in the book that you learned a lot from him, and that was how to be fearless. Did that help you all those years later as you became director?

FREEH: Yes, it did, it did. You know, it's an interesting story. Bill was the soundman for NBC for many, many years and went to places like Nicaragua and Lebanon in the middle of hostilities. My mother, my wonderful mother, Italian mother, used to tell people, pray every day for Louis because Louis was in the FBI. And I used to say, mom, you know, Bill's in Nicaragua, he's in Beirut. And she'd say, well, that's just the news. He's OK.

PHILLIPS: Well, you learned how to deal with all the media folk, didn't you?

FREEH: I tried to.

PHILLIPS: All right. Let's get down to Osama bin Laden and your relationship with President Bush.

You write in your book: "As a measure of our unwillingness to look reality square in the eye, the 2000 presidential campaign spoke volumes. Osama bin Laden and Al Qaeda had repeatedly declared war on the United States, in the 1996 fatwa and again in 1998, in a more strongly worded directive to kill Americans anywhere. And they backed up their words with bloody deeds. They were a clear and present danger. Yet, not only did we refuse to declare war back on them, we virtually refused to discuss the matter in public."

Do you think you had a chance to get Osama bin Laden, and do you think 9/11 could have been prevented?

FREEH: I don't think we had a reasonable chance to get him without being willing to do what we did on September 11, Kyra, which was to invade Afghanistan and seek to capture or kill the head of this organization and to destroy the command and control. I don't think the political will exists in the country before September 11. I think that's what the 9/11 Commission found when they said neither President Bush nor President Bush and their national security advisers had put the country on a war footing before September 11.

Now, I went over to Pakistan in the spring of 2000. We had indicted bin Laden twice here in New York City and put him on the top ten list. And I asked President Musharraf if he would assist the United States in getting custody and control of bin Laden, so we could bring him back to the United States. Where we had brought Ramzi Yousef, Hamzi, Americans here in the United States. He was of no help to me. He said that he had spoken to Mullah Omar, who assured him that bin Laden had ceased terrorist activities.

But the fact of the matter was, we were using our process, we were using our grand juries, we were using our criminal justice system, which was perfectly appropriate. But we were doing that in lieu of declaring war and fighting back in the only manner that would have been effective before September 11.

So, I think we might have prevented September 11, but the country would have had to act in a manner that I think it was incapable of acting -- and this is through two administrations -- as it had had to act on September 11.

PHILLIPS: And you said Osama bin Laden was on the top ten list, you indicted him twice. What happened? I mean, it just seems that you had all the evidence, everything that you needed. Why did it get -- why did we never hear about it again?

FREEH: Well, we had the evidence, we didn't have the defendant. Let me give you another example, which I think puts it into perspective. In 1980, the United States indicted one Manuel Noriega, who you will remember.

PHILLIPS: Never forget the tapes.

FREEH: Noriega was a narcoterrorist. If you look at all the narcotics that he brought into the United States, probably killed hundreds and hundreds and probably thousands of Americans over the years. The arrest warrant that the FBI and the DEA had for him in 1980 was a worthless piece of paper, but for the United States Army delivering the agents to the gate of the palace in Panama City and effecting the arrest. That's the difference between what we could have done before September 11 and what we didn't do until after September 11.

PHILLIPS: You talk a lot about the bureaucracy, just the political bureaucracy. Now, you've got the Department of Homeland Security, you have an intel czar, you have all these complaints that the FBI and the CIA, everybody wasn't communicating. Now it seems like you've got more people, more agencies. Is it going to work now, the way we are carrying on with regard to intelligence?

FREEH: You know, I think it's going to work better. I think the principle idea behind the Department of Homeland Security was to take 22 agencies and to synergize them, to get the economy of scale that you could not get from 22 separate agencies, within some cases overlapping homeland security responsibility. The trick, of course, is the integration of those 22 agencies. It's like a corporation buying 22 subsidiaries.

The execution to get those synergies is very, very difficult, and has to be done, in this case, while we're still fighting a war. It's going to take a long time to get where we need to get just on the collection and seamless analysis of information. And then if you take that homeland security portfolio and put it on a national and international platform, it's a very complicated, very challenging task.

But I think we've done much better. I think we're smarter. I think we're better prepared. But we ought to be under no illusions that we have guaranteed freedom from terrorism.

PHILLIPS: The book is "My FBI: Bringing down the Mafia, Investigating Bill Clinton and Fighting the War on Terror." Louis Freeh, before I let you go, I've got to ask you, how the heck do you handle six boys? Or do we give the full credit to Marilyn?

FREEH: Well, Mrs. Freeh gets 100 percent credit. She's had a much harder job and much more important job than I'll ever have.

PHILLIPS: What do you think, any of those boys going to become FBI agents?

FREEH: I hope so. I'd be very proud.

PHILLIPS: Louis Freeh, thanks for your time, I appreciate it.

FREEH: Thank you, Kyra.

PHILLIPS: Well, buying a ticket in hopes of beating the odds, but some say becoming an instant millionaire could be more trouble than it's worth. LIVE FROM has reality check, straight ahead.

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BROOKE ANDERSON, CNN ENTERTAINMENT CORRESPONDENT: I'm Brooke Anderson in Hollywood with your entertainment round up. Well, Hurricane Wilma is putting a damper on an MTV awards show. The powerful storm has forced MTV to postpone its Latin American Music Video Awards ceremony, which had been scheduled to take place in the Mexican town of Playa del Carmen.

MTV had shifted the show from Thursday to today to avoid the hurricane, but now the network has announced the show is scrubbed completely for now. Hurricane Wilma is expected to pass by later this week. A new date hasn't yet been set.

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UNIDENTIFIED MALE: Ladies and gentlemen, we proudly welcome to the Hollywood Walk of Fame, Antonio Banderas.

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ANDERSON: We were there as Zorro left his mark on the sidewalks of Hollywood. Actor Antonio Banderas was honored with a star on the Hollywood Walk of Fame yesterday. Banderas has taken on a number of memorable film roles including Zorro in 1998's "The Mark of Zorro." The sequel to that one, "The Legend of Zorro," opens in theaters next week.

Robert Downey Jr. and Val Kilmer stole the spotlight last night as they hit the red carpet in Hollywood for the premiere of their new flick, "Kiss Kiss Bang Bang." Downey stars as a petty thief posing as an actor who finds himself in the middle of a murder investigation. Kilmer, who plays a detective in this comedic murder mystery, says the film is romantic, but says it's not mushy.

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VAL KILMER, ACTOR: It's very, very clever and it's got like a hard-earned hope in it that's nice because it's romantic but it's not schmaltzy. And I was really, really grateful they offered it to me because it's really funny.

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ANDERSON: "Kiss Kiss Bang Bang" opens next Friday.

All right, this one is a case of art imitating life for sure. Ashton Kutcher reportedly producing a TV sitcom pilot about a guy who marries an older woman. Of course, we all know by now in real life Ashton's wife is Demi Moore who is about 15 years older than the actor.

The pilot tentatively titled "30-year-old Grandpa," and in it the pair find out shortly after their wedding that they are expecting a baby and also a grandchild at the same time. Now, no word if Kutcher might star and no word of if Ashton and Demi are expecting in real life, but, Kyra, we'll let you know if life begins to imitate art any time soon.

PHILLIPS: All right, Brooke. Thank you.

Time now to check in with CNN's Wolf Blitzer. He's standing by in Washington to tell us what is coming up at the top of the hour in "THE SITUATION ROOM." Hi, Wolf.

WOLF BLITZER, CNN ANCHOR: Hi, Kyra. Thanks very much. Coming up at the top of the hour, a monstrous storm barreling toward the Florida coast. It's already breaking records and now there are warnings of a possible massive destructive effect. We'll have the latest.

Plus, Saddam Hussein on trial, a defiant dictator faces the judge. We'll go live to Baghdad.

And Condoleezza Rice on Iraq. No promises that U.S. troops will be out even in ten years, and she can't rule out clashes with Iran or Syria. Her eyebrow raising testimony -- that and much more all coming up at the top of the hour. In the meantime, back to Kyra.

PHILLIPS: Thanks, Wolf.

Well, straight ahead, Lotto fever. Just hours away from a record $340 million Powerball drawing. Is there a downside to becoming an instant millionaire? LIVE FROM catches up with some past winners, next.

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PHILLIPS: Well, tonight's Powerball lottery jackpot is estimated at $340 million. But, some recent jackpot winners prove that life after beating the odds can be tougher than expected. Here's CNN's Randi Kaye.

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UNIDENTIFIED MALE: Their share which $181,500,000.

RANDI KAYE, CNN CORRESPONDENT (voice-over): It's the moment most of us only dream about, the moment those numbered bouncing balls beam ordinary people into Powerball heaven instantly. Mansions, fancy cars, cash to burn -- but what if we told you this? You might actually be better off not winning.

SUSAN BRADLEY, SUDDEN MONEY INSTITUTE: There's a great American myth that money is good and more is better. And it truly is a myth.

KAYE: Susan Bradley is the author of "Sudden Money." She helps instant millionaires cope with confusing emotions and wild impulses that come with turning instantly rich.

BRADLEY: Do you keep working or do you leave? Or do you get divorced or do you stay together? Or do you disinherit your kids or do you embrace your kids? There are so many different choices that normally in the working every day and getting by world you don't even have to think about those things.

KAYE: And for many instant millionaires there are Powerball sized problems, deep debt, drugs, divorce, severe paranoia.

BRADLEY: You can have all kinds of negative and weird things that you really can't anticipate, or you can have really wonderful and lovely things happen, but everything seems to be bigger than life. It's almost like you're living in a TV show, not your own life anymore. KAYE: Jack Whittaker is the poster boy for post-Powerball problem.

JACK WHITTAKER, POWERBALL WINNER: My biggest problem is going to be keeping my granddaughter and daughter from spending all their money in one week.

KAYE: Christmas 2002, Whittaker won the biggest Powerball jackpot in history. The 55-year-old West Virginia grandfather won a whopping $314 million, his lump sum payout, $117 million. Related to the money or not, life went downhill from there.

In the years since, Jack Whittaker has been charged with drunken driving, sued for sexual assault, charged with threatening to kill a bar manager, had half a million bucks stolen from his car, and lost his granddaughter, Brandy Bragg (ph), her body found wrapped in plastic behind a West Virginia home.

BRADLEY: When you win a Lottery of this size, the life that you have known up until now is over.

KAYE: Lottery winners think cash buys freedom of choice, confidence. But in reality, sudden riches often only bring fear, isolation, denial and grief. Kenneth Parker's (ph) wife won $25 million in New York's Mega Lotto in 2003, then split. After 16 years of marriage, they're fighting over millions in court.

UNIDENTIFIED MALE: She took all the money and didn't want to give me nothing.

KAYE: In far too many cases, the mighty dollar causes as many problems as it solves. So when you lay out that hard-earned cash to buy those lottery tickets, consider the problems you may actually be purchasing if the numbers fall your way.

Randi Kaye, CNN Atlanta.

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PHILLIPS: Well, I'm Kyra Phillips at the CNN Center in Atlanta. Now, Wolf Blitzer live in THE SITUATION ROOM.

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