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Miami Manhunt; Day Two of NYC Transit Worker Strike; Are Wiretaps Worth It?

Aired December 21, 2005 - 13:59   ET

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

CAROL LIN, CNN ANCHOR: On the loose. Two years after his arrest, a suspected serial rapist is the subject of another massive manhunt in Florida. He escaped from a Miami jail last night and police say he is armed and dangerous.
CNN's Christopher King is following developments in Miami right now.

Christopher, what's happening? What are they going to do to find this guy?

CHRISTOPHER KING, CNN CORRESPONDENT: Carol, a massive search is on for Reynaldo Elias Rapalo. He's accused of raping seven victims ages 11 through 79. He's also accused of attacking four other victims.

Now, police say Rapalo -- he's 34 -- escaped from the Turner Gilford Knight Correctional Facility in Dade County around 9:20 last night. They say he tied together bed sheets and then climbed down to the street.

Now, Rapalo was arrested back in 2003. He'd been awaiting trial. It's not clear how he had gotten out of his cell or how -- or who -- or if he had -- what tools he used or who even discovered how he got out. What is clear is that police say he's armed with a handgun and they consider him to be very dangerous.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: This guy had a plan, a very clear, clean-cut plan. And it worked. So we have to assume that he has a further plan to continue his escape, and we have to be just one step ahead of it, and we have to find him.

(END VIDEO CLIP)

KING: Now, police say another man escaped -- tried to escape along with Rapalo. His name is Idanio Bravo, age 38. Now, Bravo is also accused of sexually abusing a minor. He broke his leg in his attempt to escape, and police say of course he was caught and he's now undergoing surgery.

Police have launched a massive manhunt for Rapalo. They're looking for him in the streets, they're monitoring the airports, they're monitoring bus stations. They also have posted officers outside the homes of Rapalo's victims. Now, in just a little while from now, the mayor, the police department and the correction's department will hold a press conference momentarily to update us on this manhunt -- Carol.

LIN: All right. And while we wait for that news conference, Christopher, are they confident that he may still be close, that he didn't leave Miami or even Florida?

KING: Well, it's not entirely clear. I mean, they're not sure whether he is in the area, but they have a big dragnet out in the area. They're looking for him, like I said before, at the airports, at the bus terminals. They're hoping to get this guy as soon as they can.

LIN: All right. Christopher, thank you very much.

Christopher King reporting live as we wait for the news conference by the Miami police as to what they're going to do to find this guy and how he got out of jail to begin with.

In the meantime, we have a developing story to share with you. Two Baltimore County police officers have been shot. You're looking at a live picture here as they cordon off the scene and try to search for the suspects.

We don't know yet how hurt these officers are. But according to The Associated Press, they were shot in an area called Randallstown, Maryland. This is just one of the stories that we're working on this hour, and we're going to bring you the very latest as soon as we get it.

In the meantime, a North Carolina woman faces first-degree murder charges days after she called 911 to say two men shot her and killed her Navy reservist husband. Police say Monique Berkley's husband Paul was shot in the head four days after returning from duty in the Middle East.

Within days, Monique, who was wounded in the shoulder, was accused of being romantically involved with one of the alleged shooters. During this frantic 911 call, she claimed not to know her attackers.

(BEGIN AUDIO CLIP)

DISPATCHER: Who is that I hear in the background?

MONIQUE BERKLEY, FACING FIRST-DEGREE MURDER CHARGES: My husband.

DISPATCHER: What is he -- has he been shot?

BERKLEY: Yes.

DISPATCHER: Who shot him?

BERKLEY: I don't know.

DISPATCHER: Well, I want you to do something for me. I'm going to try to help him. Can you try to help him?

BERKLEY: OK.

DISPATCHER: You all right?

BERKLEY: What?

DISPATCHER: I want you to try to help him, OK?

BERKLEY: OK.

(END AUDIO CLIP)

LIN: Well now Monique Berkley is being held without bond. So are two 18-year-old men police believed carried out the shooting.

Well, a New York tabloid headline said "Mad as Hell." Patience is starting to wear thin as New Yorkers endure a second day without subway or bus service. And there's still no sign the transit strike will end anytime soon.

Mayor Michael Bloomberg, who joined other inconvenienced commuters walking across the Brooklyn Bridge today, is getting ready to hold a news conference at this hour.

Now, while we're waiting to hear what he has to say, let's check in with CNN Senior Correspondent Allan Chernoff.

Allan, how much of an inconvenience has this been for New Yorkers? Because you know they're used to walking.

ALLAN CHERNOFF, CNN SR. CORRESPONDENT: Certainly they're used to walking, but we're talking about an extreme situation here. In fact, this morning I spoke with one woman who took a car from Staten Island all the way across Brooklyn to the foot of the Brooklyn Bridge. She walked across the Brooklyn Bridge, and then put on her rollerblades to skate up to work on 34th Street, about four miles way from here. That's just one example, and we literally have millions of examples like that here in New York City.

Such an inconvenience that New York City this afternoon and actually in court in Brooklyn, filed suit against the transit workers, the transport workers' union and asked the judge for a temporary restraining order to end this strike. The city arguing that this is causing huge damage to the economy, more than $400 million every single day. The city also seeking to increase the fines against both the union and its leadership -- Carol.

LIN: Well, Allan, isn't there a New York state law that was in place to prevent something like this from happening to begin with?

CHERNOFF: As a matter of fact, the Taylor Law was put into place after a strike in 1966 in the subways. The governor at that time, Governor Rockefeller, was hoping that this would never happen again because of such stiff fines. The Taylor Law forbids public employees from going out on strike. Now, a fine of $1 million a day -- and that is pretty steep and it would bankrupt the union within a matter of days. They only have a little more than $3 million in their actual treasury. So one would expect that at some point there is going to be something that will lead to at least an end to the strike, if not an actual contract resolution.

LIN: All right, Allan. We'll see what happens. We're waiting to hear from the mayor at any moment this hour. Thank you very much.

Allan Chernoff reporting live.

Well, since the transit strike began, we've been talking a lot about the size of the New York transit system. The New York subway makes up the largest part of that, but how does it compare with the rest of the world?

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: Studies comparing annual ridership rank New York City's subway system the fifth largest in the world. You'll find busier subways in Mexico City; Seoul, South Korea; Tokyo; and in Moscow, where more than twice as many people ride the subway every year.

New York's system is among the world's oldest. It opened in 1904, but that was 41 years after the world's first subway line opened in London.

Today, the tube carries about a half a billion fewer riders than New York subway trains. And, by the way, New York does not have the nation's oldest subway system. That distinction belongs to Boston, where the trains were rolling in 1897.

(END VIDEOTAPE)

LIN: And once again, as you're looking at a live picture where we are expecting to see the mayor of New York City, Michael Bloomberg, in just a few minutes, he's going to bring us the latest on what's being done or perhaps what's not being done to resolve the transit strike up in New York City. We're going to bring you those remarks live.

Right now we want to bring you more stories out of Iraq. It is so tragic that another U.S. soldier has been killed, the reported victim of a roadside bomb south of the Iraqi capital.

A military statement identifies the soldier as a member of Task Force Baghdad. The soldier's death brings to 2,158 the number of U.S. troops who have died in Iraq since the start of the war.

And there was more drama in an Iraqi courtroom as the trial of Saddam Hussein resumes. The former dictator back in attendance.

The first witness presented emotional and, at times, graphic testimony about the torture he says he suffered. He described electric shocks, enduring hot, melting plastic, and being beaten with cables. This witness and his family were among the Dujail residents rounded up after a failed assassination attempt against Saddam Hussein in 1982. The defense questions the credibility of the witness, who was 14 years old at the time.

Now, huge numbers of Iraqis turned out for last week's parliamentary election. The Iraqi Electoral Commission reports almost 70 percent of eligible voters cast ballots. In one province, almost 87 percent voted. Anbar province had the lowest turnout, with just over 55 percent voting.

Commission members say almost 11 million valid votes were cast in the election.

Now, straight ahead from LIVE FROM we're expecting to hear from New York City Mayor Michael Bloomberg in just a few minutes on the New York transit strike. We're going to bring him to you live.

(COMMERCIAL BREAK)

LIN: All right. On the left side of your screen we are waiting to see New York Mayor Michael Bloomberg on the latest developments, if any, from the New York transit strike. Millions of commuters have been stranded by this strike.

And on the right side of your screen we're waiting to hear from Miami police about an escaped accused rapist. He is on the run. There is a massive manhunt going on right now.

A lot to cover today, including a new development in the controversy over President Bush's secret authorization of wiretapping of American citizens. A federal judge has resigned from a special court set up to oversee government surveillance in intelligence cases.

Judge James Robertson isn't saying, at least publicly, why he's stepping down. But "The Washington Post" quotes sources saying that he resigned to protest Mr. Bush's wiretapping move.

Robertson was one of 11 members of the secret Foreign Intelligence Surveillance Court. He was appointed to the federal bench by President Clinton and picked by then Chief Justice William Rehnquist to serve on the spy court.

And Democrats and even some Republicans have expressed outrage over the secret warrantless wiretapping of Americans. And they are calling for congressional investigations now.

Well, President Bush insists he didn't break any laws by not seeking warrants for those wiretaps, and he maintains that members of Congress were briefed on the move. However, the president appeared to take just the opposite view last year during a speech on the Patriot Act, saying that wiretaps do require a court order.

And I'm quoting here now. Mr. Bush said, "There are such things as roving wiretaps. Now, by the way, any time you hear the United States government talking about wiretap, it requires a court order. Nothing has changed, by the way."

"When we're talking about chasing down terrorists, we're talking about getting a court order before we do so. It's important for our fellow citizens to understand when you think Patriot Act, constitutional guarantees are in place when it comes to doing what is necessary to protect our homeland, because we value the Constitution."

Well, the controversy over President Bush ordering the secret wiretaps raises this question: Are they worth all the trouble? And do they provide useful intelligence?

Here's our Justice correspondent, Kelli Arena.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN JUSTICE CORRESPONDENT (voice over): Iyman Faris, an Ohio truck driver, pled guilty in 2003 to plotting with al Qaeda to bring down the Brooklyn Bridge. Government officials with knowledge of the program tell CNN the NSA's ability to eavesdrop on people in the United States helped authorities move against him. The president defended the NSA program as vital in the war on terror.

BUSH: So people are changing phone numbers and phone calls, and they're moving quick. And we've got to be able to detect and prevent. I keep saying that.

ARENA: The Bush administration says allowing the NSA to monitor communications between people in the U.S. and others overseas helped uncover several terror plots. John McLaughlin, the former acting head of the CIA, and now a CNN consultant, says that's true but classified.

JOHN MCLAUGHLIN, CNN NATIONAL SECURITY ADVISER: The program was useful in detecting people who had the intent to attack in the United States. It was useful in linking them to people overseas.

ARENA: But critics still argue the benefits are not worth the cost

SEN. KEN SALAZAR (D), COLORADO: We are not going to be a free America if we become a police state.

ARENA: Now that the NSA program is public, intelligence experts worry the U.S. has lost an advantage. For example, it may be more difficult to uncover possible sleeper cells inside the United States.

MCLAUGHLIN: Programs like this, which concentrate on foreign communications with people in the United States, are one tool to find out, to detect such cells.

ARENA: When details of any intelligence operation are disclosed, security experts say al Qaeda and other enemies will change the way they communicate, denying the U.S. vital information.

(on camera): Intelligence officials say there are parts of the program that are still secret and salvageable, but they worry that any more public questioning about it could render it completely useless. Kelli Arena, CNN, Washington.

(END VIDEOTAPE)

LIN: There's another threat to America's borders. The demand for designer dogs has people smuggling hundreds of puppies across the border. We're going to take a look at the risk for the puppies and their potential owners when LIVE FROM continues.

(COMMERCIAL BREAK)

LIN: You're about to hear live on two developing stories this hour. On the left, any moment we're going to hear from Michael Bloomberg, the mayor of New York City, on what's going to happen in the transit strike and the millions of people who are left stranded by it.

And on the right, a news conference by the Miami police on an alleged rapist, an accused rapist who is on the loose. He escaped from jail, and now police are protecting some of his victims.

In the meantime, we want to give you the background on this story. This rapist has been in jail -- or this alleged rapist, excuse me, has been in jail for the last two years. He's been on the loose now, he is a suspected serial rapist, and there is a massive manhunt under way in Florida. He escaped from a Miami jail last night, and police say he is armed and dangerous.

Gary Nelson from affiliate WFOR has that story.

(BEGIN VIDEOTAPE)

GARY NELSON, REPORTER, WFOR (voice over): Jail guards survey the walls of Miami-Dade's TGK lockup last night, examined some of the bed sheets and blankets used in an escape like something out of a bad movie. Reynaldo Rapalo, the so-called "Shenandoah Rapist" who terrorized Miami for more than a year until his arrest two years ago, broke out of the jail last night using knotted-together sheets to scale down at least four stories.

UNIDENTIFIED MALE: He was our number one priority from September of 2002 to September of 2003. Eleven-year-old children to 79-year-old women, 11 victims in that time period within a small area of our city. We have to find this guy.

NELSON: Rapalo escaped while a fellow inmate, Idanio Bravo, also a sex offender, wasn't so lucky. He fell and broke both ankles. A dragnet is out now for Rapalo.

UNIDENTIFIED MALE: We're checking all avenues of the state: the airport, bus terminals, train stations. A lot of operational things I can't talk about, but they are in place.

NELSON: It's thought Rapalo may be packing a .22 caliber pistol. No word on how he might have gotten that here. Also, no word on why the escape went undetected for 40 minutes despite the numerous security cameras all around this jail building.

And Rapalo is reported to have been wearing all black. No word either on how he managed to shed his orange jailhouse jumpsuit.

(END VIDEOTAPE)

LIN: All right. So once again, we're waiting to hear from the Miami police as to what they're doing to find this accused rapist. We understand they have officers standing by at the victims' homes in case he tries to go back to the scene of the crime.

In the meantime, we're also waiting to hear from Michael Bloomberg, the mayor of New York City. Thirty thousand transit workers are on strike right now. So the subways aren't running, the buses aren't running, and that's leaving millions of New Yorkers trying to figure out a way to get to work.

We have heard stories about people who were rollerblading to work or biking to work, or even walking two hours to get to their jobs. And here we see, as Michael Bloomberg approaches the podium, we understood that two sides were meeting with a mediator today. Let's see if they can come to some sort of resolution.

MAYOR MICHAEL BLOOMBERG (R), NEW YORK: Technically, it is afternoon, and I wanted to update the people on what's going on, on our roads and the streets, in the courts, and also talk about what isn't happening during the second day of the illegal, selfish strike of 2005.

Over the last two days we have seen New Yorkers doing what they have to do to keep our city going. They've stood in long lines to get on commuter trains, they have crowded on to ferries, they've carpooled with strangers. They've walked across the bridges and up and down our streets and avenues.

They are brave, resilient and determined. They've been getting along with each other, and they've been helping each other, just like you would expect. And we should all be very proud of the way the people of this city are dealing with a situation that is intolerable and unfortunate, and, I might point out, unnecessary.

This morning the commute was heavier than yesterday, according to the information we have from our department of transportation. We had heavier car volume on the East River crossings, as well as...

LIN: All right. We are going to continue to monitor Mayor Michael Bloomberg. So far he has not come out with any developments in the transit strike.

Let's go now live to Miami to hear from Miami Police Chief John Timoney on the search for this accused rapist.

(JOINED IN PROGRESS)

JOHN TIMONEY, MIAMI POLICE CHIEF: ...with a trial scheduled to take place this February coming up. Now, last night, shortly after 9:00, Mr. Rapalo and another individual attempted to escape from the jail. The other individual in the process wound up breaking one or maybe both of his legs. So his escape was not successful. However, Mr. Rapalo's escape was successful.

The Miami Police Department was notified of the escape around 20 after 12:00 last night. All the notifications were made, and detectives were brought in. And the manhunt was conducted through the wee hours of the morning, right up until now.

Miami detectives working with detectives from Miami-Dade County have taken numerous investigative steps, but all to no avail right now. From the Miami Police Department's perspective, there were clearly upwards of 11 victims from this gentleman's prior conduct.

We made it a point to go to the residences of those victims. Some had moved back to their home countries. In one case, Honduras, in another case Mexico. But in those cases where we could reach the individuals, we did. We are providing police protection right now, just to be on the safe side.

And so this investigation is far from over.

After this press conference is over, the entire -- the joint investigation will move to Dorell (ph) headquarters with the Miami- Dade Police Department, where Miami-Dade Police Department, in conjunction with the Miami Police Department, and then our friends at FDLE (ph) and ICE, the Immigration and Customs Enforcement unit will continue this investigation.

Knowing what I know now, it's clear to me that there are people out in the community that know -- obviously know this gentleman, also know where he is now or what his intent is. And so while our investigators from Miami-Dade Police Department and the Miami Police Department will work as many hours as necessary, it's just my feeling that one of the keys to getting this guy is the help of the public. And so we are going to make that plea.

Some speakers after me will come up and make that plea. It's very important.

Without any further ado, I'm going to turn it over to Director Parker from Miami-Dade Police Department -- Director.

BOBBY PARKER, MIAMI-DADE POLICE DIRECTOR: Thank you, Chief.

Ladies and gentlemen, as you're aware, we did have an escape from Miami-Dade Corrections Facility, Turner Gilford Knight jail last night, at exactly 9:23. That's the point at which corrections personnel were notified of the incident.

As you know, this individual is known as the "Shenandoah Rapist," Reynaldo Rapalo. Obviously, we are going to do all within our power to bring this individual into custody. I can't over-illustrate the fact that all law enforcement is joined together in working cooperatively to get this individual back into custody as soon as possible. We fully realize that he presents the worst kind of threat possible on the streets of Miami-Dade and this community and, in fact, where wherever he might be.

Obviously, he's a very dangerous individual. He was not very far from the point where he would have been going to trial and likely put away for a long time. Unfortunately, we did -- we did have this escape situation occur.

As Chief Timoney mentioned, that we would be taking the lead in this investigation, it's probably more accurately stated that this will be a full partnership at both the city, county, state and federal level.

LIN: All right. We're hearing from the police department down there in Miami, who are now conducting a massive manhunt for Reynaldo Rapalo, who is suspected of as many as 11 rape victims, including an 11-year-old. Apparently using bed sheets to escape the jail there in Miami. They haven't had any luck in finding him, but they are confident that there are people out there who know where he is.

Let's now go back to New York, where Mayor Michael Bloomberg is giving an update on the transit strike.

BLOOMBERG: ... cultural activities in all five boroughs, and that is more problematic than ever before in all five boroughs.

Now, even more important than the economic effects are the consequences to people's health. The young, the elderly and people with suppressed immune systems should not spend significant amounts of time in freezing cold weather. We've been a little bit lucky with the weather, it's not as cold as it could be. A little bit warmer today, and fortunately for the immediate future, no precipitation in the forecast.

Also alarming, however, is that some people have had to delay chemotherapy or radiation treatments because they haven't been able to travel to hospitals or clinics. Now, you can generally delay one treatment, but not more than that.

The New York Blood Center has declared a state of emergency. Blood centers are unable to collect products, and blood drives have been canceled. That is particularly important if an operation needs to take place. We just have to have a good blood supply or people can't have the operation and the operation may very well be something that you need to continue to live.

Many home health aides who care for the elderly and the ill have been unable to get to work to help people who rely on them to get their -- give them their medication every day and get through the -- through the day. Without devoted employees walking to work, the situation, I suppose, could be even worse. But people who are infirm and need help at home are in particular danger and I would urge everybody to call, stop in on anybody you know in your neighborhood, whether they're a relative or not and say, is there anything I can do to help?

Robert Pane (ph), who works at Beth Israel Hospital, is somebody who this morning walked six-and-a-half miles from Brooklyn to get to work. If he's indicative of the dedication of our city's healthcare workers and their unbelievable commitment to patient care, then this city is in great shape.

As we all know, care cannot be compromised and, unfortunately, because of this strike, it may very well be. This illegal and selfish strike -- let me talk a little bit about that. It needs to end and it needs to end right now.

Today in court we are asking for a temporary restraining order against the TWU and for the judge to, again, order the TWU back to work. Disobeying this order would make the individual members of the unions libel for serious financial penalties and this, I might point out ...

LIN: All right. We've just lost the signal there but Michael Bloomberg, the mayor of New York City, describing a dire situation as he talks about people who are having to delay cancer treatment because they can't get to the treatment centers.

The blood center now declaring a state of emergency and that the blood supply is in jeopardy if people need to have an operation and praising the workers who did walk. One man, he mentioned, who walked six miles to get to apparently a hospital so that he could treat his patients. The city asking for a temporary restraining order against the union to try to get the workers back to work.

We have much more developing news, so stay with us right here on LIVE FROM. Quick Break.

(COMMERCIAL BREAK)

LIN: All right, a lot of developing stories today. Still monitoring the New York City mayor's news conference on the status of the transit worker's strike. Still no resolution there and none in sight. And also, monitoring the news conference out of Miami where Miami Police are still on the hunt for a serial rapist.

In the meantime, bad medicine. Have you heard this story? Federal prosecutors have charged a Georgia doctor with treating cancer patients with phony drugs including pesticides. The doctor and his assistant face 87 counts, among them, distributing unapproved and mislabeled drugs and money laundering.

Prosecutors say the man injected numerous patients with bogus drugs, including a commercial grade weed killer. The indictment states the two submitted false insurance claims that disguised the types of drugs and treatments they were giving patients.

On the doctor's Web site he says he provides -- and I'm quoting here -- "safe and effective alternative methods to cure cancer and other life-threatening diseases." Weed killer would be one of those alternative methods, apparently. Now, hundreds of puppies too young and sometimes too sick are being smuggled across Mexico's border right here to the United States. And officials think the dogs come from puppy mills in Tijuana and other cities destined for sale at swap meets or in parking lots. Bob Lawrence of CNN affiliate KGTV in San Diego has more details.

(BEGIN VIDEOTAPE)

BOB LAWRENCE, KGTV REPORTER (voice-over): They're cute and cuddly and they're in the animal shelter because they were smuggled into the country. And after a lot of medical attention, these are the ones that survive.

UNIDENTIFIED FEMALE: These guys when they came across they were about four weeks of age. They're now six weeks, which is far too young to be away from their mom.

LAWRENCE: And they weren't the only ones. In the last two weeks at the port of entry, 14 different animal control and law enforcement agencies set out to see how bad the situation was.

(on camera): And during that period, more than 200 puppies were seized, both here and at Otay Mesa. In fact, one individual was reported to have 20 puppies stuffed into a speaker box.

(voice-over): So, the Border Puppy Task Force was formed A, to see how bad the problem was; and B, to let the public know what they're in for if they buy one of these dogs.

UNIDENTIFIED FEMALE: Almost all the animals coming in didn't have rabies certificates. That's a huge issue for a domestic and wildlife population.

LAWRENCE: Though larger dogs have come in, the most sought after are the, quote, "new designer breeds." For example, the mix of pug and beagle, called a puggle. Another one is the Labradoodle, small dogs, mixed breeds and potential genetic nightmares, but to smugglers, highly profitable.

UNIDENTIFIED MALE: The lady that I arrested had 12 puppies. She was selling them for $300 apiece.

LAWRENCE: And they're not just being sold here in parking lots or swap meets. Agents found them as far away as Riverside, Los Angeles and Sacramento.

UNIDENTIFIED FEMALE: You can find these dogs in an existing population. You don't need to create more and you surely don't need to bring them in from another country.

(END VIDEOTAPE)

LIN: And a change in strength -- Hurricane Katrina was not a Category 4 storm as first thought. The National Hurricane Center now reports Katrina was actually a weaker Category 3, not that it matters to all the people who were flooded out of their homes. Particularly hard hit -- you're looking at some of those pictures out of New Orleans. The levees there were thought to be able to withstand a Category 3 storm. Now, that's the news there, but now we know otherwise.

Now, a short time from now, President Bush is going to sign into law a big funding bill for the Gulf coast region. The $8 billion tax plan is designed to help jump start reconstruction along the Gulf coast, which was battered by Hurricane Katrina. The bill also calls for tax breaks in hard hit areas and incentives to those rebuilding homes and businesses.

All right, LIVE FROM has much more news developing right now all afternoon, so stay right there.

(COMMERCIAL BREAK)

LIN: Crime and punishment in New Orleans. Two police officers caught on tape beating an elderly man have been fired. At least one officer was seen punching the 64-year-old man and slamming his head against a wall on Bourbon Street in October. A third officer, who was accused of grabbing a reporter, has been suspended for four months. The incident proved to be an embarrassment for New Orleans in the aftermath of Hurricane Katrina.

All right, want to give you an update on that Associated Press report of two officers shot. Now reporting that the bodies of two Baltimore police officers, a man and a woman, were found this afternoon in a home in the Randallstown area.

The officers had been shot, according to the Associated Press, quoting the Baltimore County Police. Both the county police chief as well as the Baltimore Police Chief Commissioner are on the scene, which is near -- if you know the Baltimore area -- the Old Court Middle School. OK, more on this developing story as soon as we get it.

And we're hearing now from the police officials.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: What I can tell you is that they all knew one another. This is not a random crime. This was people who knew one another. The suspect knew the victims, so it was not something that people in the neighborhood need to worry about something going on here. The suspect and the victims knew one another.

(END VIDEO CLIP)

LIN: All right, it sounds like they have a suspect. Because he mentioned the suspect knew the victims. So, once again, we're working the story for you.

In the meantime, the parents already know that small toys, well, can be a choking hazard to small children. But one specific type of toy poses another potentially deadly threat. Reporter Mimi Jung with KING-TV in Seattle has more on one family's terrible loss and a mother's new crusade to keep other children safe.

(BEGIN VIDEOTAPE)

PEGGY SWEET, MOTHER: He was our last boy. He was -- we named him after daddy.

MIMI JUNG, KING REPORTER: When Kenny Sweet got sick two days before Thanksgiving, his parents thought he had the stomach flu.

SWEET: He was crying a little bit and then in the morning he began throwing up at about 10:00.

JUNG: But when Kenny's condition got worse, his mom rushed him to the hospital. Five minutes later, he died.

SWEET: And they said there were two cylinder magnets in his intestine. One was at the bottom of the GI track and one was at the top of the GI track. And when they got close enough they magnetized and they pinched his intestine between the magnets and they closed his intestine down, basically.

JUNG: Two tiny magnets in this toy, called Magnetix, is believed to have contributed to Kenny's death. The toy belonged to Kenny's older brother, but somehow the magnets came loose and Kenny swallowed them.

SWEET: If there is a choking hazard, it doesn't say that it can severe injury or even death, which is what kind of warning label needs to be on here.

JUNG: The magnets may be small, but they're very strong.

SWEET: They can go right through the bone, through flesh.

JUNG: You can just imagine what happened inside the toddler's stomach.

SWEET: Never have had any problems with any other toy.

JUNG: Penny has six other children and never imagined a tragedy like this could take her youngest son's life. But now she wants to warn other parent about the danger that could be sitting under their Christmas tree right now.

SWEET: I just don't want this to happen to another child or another parent have to live through this. This type of thing -- this has been awful.

(END VIDEOTAPE)

LIN: All right.

An intentional burn we want to show you in Los Angeles, where police destroyed a large amount of dynamite found in a warehouse. Police say the 70 sticks of dynamite were too old and unstable to remove. So they burned it in a way that did not cause the dynamite to explode. Police found the explosives last night after a six-hour standoff with a man who fled into the warehouse and was later arrested.

All right, checking in in the world of entertainment up next. What's on tap, Sibila?

SIBILA VARGAS, CNN ENTERTAINMENT CORRESPONDENT: Well, Carol, when it rains it pours for Ryan Seacrest. I'll tell you about the major changes planned for next season's "American Idol" and the cable deal that could be worth millions for the popular host. I'll tell you that and more when LIVE FROM returns.

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LIN: Time now for entertainment news. Or should we call it, the Ryan Seacrest hour? Looks like we're going to be seeing a whole lot more of the "American Idol" host, huh, Sibila?

VARGAS: A whole lot more. Well, Christmas has definitely come early for Mr. Ryan Seacrest. The popular radio deejay and "American Idol" host is finalizing a deal with "E! Entertainment Television" to be the anchor of their flagship show, "E! News." The deal, which is reported to be in the high seven figures, is expected to begin in late winter or early spring.

Now Seacrest will also be expected to host the network's red carpet coverage live, starting with "The Golden Globe Awards" on January 16th. Now this new deal could make Seacrest the busiest man in entertainment.

Along with a daily gig at "E!," he also a morning radio morning show in L.A. He's joining Dick Clark with his New Year's Eve special, and he's fronting T.V.'s No. 1 program, of course, "American Idol." And it looks like that job is about to get a little bit bigger for Seacrest, as well.

For its fifth season, the folks behind the famous talent show will expand the show to three nights a week during the semifinalist phase. Then once the field is narrowed down to 12 singers, the show will return to its traditional Tuesday/Wednesday schedule. In the end, that translates to a whole lot of face time for Mr. Seacrest. And we thought we were busy.

Of course, exciting entertainment news like this does come with a price and it looks like the person holding the bill is Kathy Griffin. The feisty redhead who took over Joan Rivers' award show coverage after she departed will have to take her celebrity bashing jokes elsewhere. Network executives at E! have given the razor-edged-tongue or the razor-tongued comedian the axe.

Of course, fans of Griffin need not despair. She will begin filming the second season of her "Bravo" show "Life on the D List" in February.

Now getting back to "American Idol," Carol, I know you are just waiting to get that TiVo ready for the new season. LIN: Just dying to.

VARGAS: Or maybe I'm wrong.

LIN: Well, I'll wait be waiting for the e-mail. Thanks, Sibila.

Well, all this week we're taking a closer look at the songs of the season. Today a standard that stands out among all those you're hearing on the radio right now. It's among the first to put a little rock 'n' roll into Christmas. Here's our Kyra Phillips.

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KYRA PHILLIPS, CNN ANCHOR (voice-over): It's a song that will get your feet tapping and your body swaying, without any help from eggnog or massive amounts of candy canes.

(SINGING)

A holiday party just wouldn't be complete without "Rockin' Around the Christmas Tree," one of the most popular tunes of the season. But you may not realize the incredible voice singing about pumpkin pie and everyone dancing merrily belongs to a teenager.

(SINGING)

Brenda Lee was still weeks away from her 14th birthday when she recorded the classic in the fall of 1958. Songwriter Johnny Marks, the man behind "Rudolph the Red-Nosed Reindeer" and "Holly Jolly Christmas" came up with the infectious music and lyrics.

But incredibly, "Rockin' Around the Christmas Tree" didn't make a big impression when it was first released. It finally became a hit in 1960, 45 years later. It's hard to imagine the holiday season without it.

More than three dozen artists have covered the song including, LeAnn Rimes, Mary J. Blige and Sheryl Crow. It's hard to top the original version and the original voice.

(SINGING)

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LIN: Sometimes good things take time, although don't tell that to the hurricane victims. Hurricane Katrina and Rita devastated the Gulf Coast region, but now the storms may be causing an energy crisis more than 1,000 miles away in New England. So let's get more details from Chris Huntington, who is live at the New York Stock Exchange. Chris?

CHRIS HUNTINGTON, CNN CORRESPONDENT: Carol, thanks a lot. They may not be rocking around the Christmas tree up north, they may be huddling around it, perhaps to burn it.

We know that Hurricanes Katrina and Rita devastated the Gulf Coast. Now the storms may have caused such an energy crisis up in New England, that the situation there is as follows: For the first time ever, utility and state agencies there in New England are rehearsing how to deal with the possibility of rolling blackouts during the winter.

That's because natural gas and heating oil supplies remain very, very tight. Still, more than three months after Hurricane Katrina and the supply crunch is not showing any signs of improvement. A government report shows that natural gas stockpiles fell more than expected last week, as well as heating oil stockpiles and some experts say production in the Gulf of Mexico will not reach pre-hurricane levels until next summer.

Storms along the Gulf Coast along with October's earthquake in Pakistan will make 2005 the costliest year ever for the worldwide insurance industry. Swiss Re insurance, one of the biggest insurance companies in the world says natural and manmade disasters cost insurers about $80 billion. Sharp rise from last year's $49 billion.

The disasters claimed more than 112,000 lives worldwide. Just one more piece of evidence that the Gulf Coast is not quite back to normal: Harrah's Entertainment said it will sell its Gulfport, Mississippi, casino to the operator of the nearby Copa Casino. Harrah's is the world's biggest gambling company decided not to rebuild the Gulfport Casino after it was demolished by Hurricane Katrina.

But Harrah's is going to rebuild in nearby Biloxi. Investors here on Wall Street focusing on the latest reading of U.S. economic growth. Gross domestic product in the third quarter was revised down just a bit, but it's still the strongest reading in a year and a half. Stocks though are off their highs for the day, but still in positive territory. The DOW Industrials right now, up as you can see there, about 19, nearly 20 points. NASDAQ Composite is up about one-quarter of one percent.

And that is the latest from Wall Street. Coming up next hour, I'll tell you why the world's biggest video game maker may not have a very merry Christmas. Stay tuned, LIVE FROM will be right back.

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