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Duke Rape Investigation to Continue; Iran Announces Progress In Nuclear Program

Aired April 11, 2006 - 15:00   ET

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

KYRA PHILLIPS, CNN ANCHOR: Let's get straight to a developing story happening out of Iraq -- Tony.
TONY HARRIS, CNN ANCHOR: Kyra, sorry to report this. That's for sure -- the U.S. military confirming four new deaths of soldiers in Iraq. Three were killed today in a roadside bombing north of Baghdad. And a soldier with the 130th Engineer Brigade was killed on Sunday, when his combat patrol was struck by an IED, that in Balad. Another soldier in that unit was wounded in that attack on Sunday.

So, again, Kyra, four new military deaths to report in Iraq.

PHILLIPS: All right, Tony, we will keep checking in.

HARRIS: OK.

PHILLIPS: Thanks so much.

HARRIS: OK.

PHILLIPS: Well, the DNA says one thing. The DA says another. The head prosecutor in Durham, North Carolina, is pushing on with the Duke rape investigation. But how much of a case can it make?

Our Amanda Rosseter joins me once again from Durham, where DA Michael Nifong spoke today at the college about the alleged victim.

AMANDA ROSSETER, CNN CORRESPONDENT: Hi, Kyra.

We are here on the campus of North Carolina Central University. That's where the alleged victim is a student here. And DA Michael Nifong spoke at a large forum here in the auditorium this morning. He made two key points. He says he does not need DNA evidence to pursue this case. And, despite what the 12 defense attorneys in this case say, this case is not over.

(BEGIN VIDEO CLIP)

MICHAEL NIFONG, DURHAM, NORTH CAROLINA, DISTRICT ATTORNEY: It doesn't mean nothing happened. It just means nothing was left behind, which is the case in 75 to 80 percent of all sexual assaults.

(END VIDEO CLIP)

ROSSETER: Now, Kyra, there was a lot of support from the students, from fellow students, for the alleged victim in this auditorium this morning. A lot -- a large round of applause came after the DA said that this case is not over, that he plans to continue to pursue it.

And one fellow student spoke out about concerns that fellow students have about the way the alleged victim is being portrayed.

(BEGIN VIDEO CLIP)

SHAWN CUNNINGHAM, STUDENT, NORTH CAROLINA CENTRAL UNIVERSITY: Just as the district attorney stated that 80 percent of the cases don't have DNA, 80 percent of the women that are sexually assaulted do not report for this exact reason.

(APPLAUSE)

CUNNINGHAM: You have the audacity to put this woman up to ridicule. That's why women don't report, fear of humiliation, fear of retaliation, fear that the victim is going to be blamed. I wouldn't report either.

(END VIDEO CLIP)

ROSSETER: That from Shawn Cunningham. He is a senior here at NCCU.

I asked him after the forum if he felt that there was a sense of relief coming with that round of applause that DA had said that they were going to continue to pursue the case. He said no, that there's still a lot of tension here, because they don't exactly know what the evidence is that the DA plans to pursue -- Kyra.

PHILLIPS: Well, it's interesting, when this story first broke, of course, there was a lot of stereotyping going on, talking about this student as a stripper. And now it seems that she is becoming more humanized. They're talking about her as a mother, as a student, as someone that was trying to pay her college.

Is that what you're getting a sense, that this school is really wrapping around this alleged victim, and we're learning more about her as a person?

ROSSETER: There certainly is the sense, at least that I got from Shawn Cunningham, when he spoke about fellow students concerned about how she is being portrayed by the defense and also in the media, because she is a woman. She's a mother of two.

She's a 27-year-old student here, and had taken the job as an exotic dancer, because it fit with her schedule and with her children's schedule. And they were concerned that the only bad side of her was being portrayed, and not that she was a very human person, just trying to make it in life -- Kyra.

PHILLIPS: Amanda Rosseter, we will continue to follow the case. Thanks so much.

And, later this hour, rape allegations reaching epidemic levels on college campuses. We're going to meet a man who is trying to do something about it. He founded a group called Men With Integrity. We're going to talk with him coming up a little later in the hour.

Suffocating fears, searing pain, the scorn of a fellow Muslim, raw emotions from the 9/11 attacks laid bare in the death-penalty case against Zacarias Moussaoui. But is it too much?

CNN's Kelli Arena has more on victim-impact evidence and a judge's warning.

(BEGIN VIDEOTAPE)

KELLI ARENA, CNN JUSTICE CORRESPONDENT: As the jury headed into their lunch break, they had just finished hearing from the first witness representing the Pentagon bombing, a special agent of the FBI. Her name is Jacqueline McGuire (ph). She is working on the so-called PENTBOMB investigation.

She is basically laying the groundwork, the damage that was done, lives that were lost. We saw pictures of exterior and interior damage at the Pentagon. We also saw some horrific pictures of body parts and human remains that were found inside the Pentagon, very hard for the family members who were sitting in the courtroom to look at and deal with.

Earlier in the morning, we heard the final witnesses, family members and friends of people who had died at the World Trade Center, again, very emotional, gripping testimony. The jury has remained pretty stone-faced throughout the day, showing no sign of emotion that I could see.

Zacarias Moussaoui also in the courtroom, for the most part, very quiet. At some points, he was smiling to himself, especially when the pictures of the damage to the Pentagon were being shown.

At one point, the prosecution was reading a list of all of the damage that had been done that day to the Pentagon, and Moussaoui mouthed to himself -- I had a clear view of him -- and he said, "Allah Akhbar," which means "God is great."

As he left the courtroom, he screamed, much to the dismay of family members there, and said, "Burn all Pentagon next time." It has become his standard practice to scream as he leaves the courtroom, after the judge and jury have exited.

For the rest of the day, we do expect to hear more Pentagon family members and friends and officials testify, and we think that the judge may end early again. This testimony has been very emotional, very hard to take.

This is Kelli Arena, CNN, Alexandria, Virginia.

(END VIDEOTAPE)

PHILLIPS: A grisly crime, a young victim and even younger suspect -- in Washington state, a 15-year-old boy is standing trial for allegedly killing a playmate three years ago. Evan Savoie is believed to be one of the youngest defendants ever charged as an adult.

Here's reporter Teresa Reardon with CNN affiliate KHQ in Spokane.

(BEGIN VIDEOTAPE)

TERESA REARDON, KHQ REPORTER (voice-over): Grant County Prosecutor John Knodell started his case by introducing the person at the center of it, 13-year-old Craig Sorger, a person the jury will never get a chance to meet. Sorger was found beaten and stabbed to death in this Ephrata park on February 15, 2003.

JOHN KNODELL, GRANT COUNTY, WASHINGTON, PROSECUTOR: There was one spot where the tip -- where the tip of the blade had been embedded in the skull itself and had broken off.

REARDON: Knodell wasted no time in showing the jury the violent way in which Sorger died, stabbed 34 times. Arrows point to puncture wounds that dotted the boy's jacket. The prosecutor says, the evidence will show that these wounds were inflicted with this knife by 15-year-old Evan Savoie.

KNODELL: We can sum up the case in three facts. As you will hear first, Craig was stabbed to death. Second, it was the defendant who was covered in Craig's blood. And, third, the defendant tried to cover up the crime by hiding evidence and lying.

REARDON: Savoie has maintained his innocence, but another playmate, Jake Eakin, has already pled guilty to second-degree murder and has agreed to testify that Savoie committed the murder, that, on the day Sorger died, Savoie allegedly said -- quote -- "He had a knife and wanted to go on a killing spree."

In opening statements, defense attorney Monty Hormel challenged every aspect of the prosecution's case, saying Eakin changed his story after being pressured by police, that police botched the investigation from the start by failing to secure the crime scene and not questioning witnesses. And as far as the blood on Savoie's clothes:

MONTY HORMEL, ATTORNEY FOR CRAIG SAVOIE: And he got the blood on his hands and on himself as he tried to check Craig to see if he was still alive.

REARDON: Hormel says that happened after Sorger fell out of a tree. He says Savoie tried to wake the injured boy, but couldn't. So, he ran off scared. The defense says it will show someone other than Savoie easily could have been the killer.

HORMEL: I want you to know that that boy laid out there for about three hours and was available to anybody.

(END VIDEOTAPE)

PHILLIPS: Again, that was KHQ's Teresa Reardon.

A final note: If convicted, Savoie faces a standard sentence of 20 to 26 years in prison.

One big step for Tehran, one major headache for the Bush administration. Iran's president declared today that his nation has joined countries with nuclear technology, enriching uranium to fuel nuclear reactors.

(BEGIN VIDEO CLIP)

MAHMOUD AHMADINEJAD, IRANIAN PRESIDENT (through translator): The nuclear fuel cycle at the laboratory level has been completed, and uranium with the desired enrichment for nuclear power plants, was achieved.

(END VIDEO CLIP)

PHILLIPS: Well, the White House calls the development a wrong move. Defense Secretary Donald Rumsfeld refused to comment directly, but said this about possible military action.

(BEGIN VIDEO CLIP)

DONALD RUMSFELD, SECRETARY OF DEFENSE: We have, I don't know how many, various contingency plans in this department. And the last thing I'm going to do is to start telling you or anyone else in the press or the world at what point we refresh a plan or don't refresh a plan and why. It just isn't useful.

(END VIDEO CLIP)

PHILLIPS: Rumsfeld added, the U.S. is a on a diplomatic track in its dealings with Iran.

The U.N. Security Council has been pressing Iran for months to stop the enrichment.

Our senior U.N. correspondent, Richard Roth, joins me with the fallout from today's announcement.

What do you think, Richard?

RICHARD ROTH, CNN SENIOR U.N. CORRESPONDENT: Well, this is not going to go down well with the 15 countries on the Security Council, though it may not be enough for China and Russia to sign on board for tougher measures.

Reaction from the United States and the State Department, the diplomatic track, well, not happy with the Iranian announcement.

(BEGIN VIDEO CLIP)

SEAN MCCORMACK, STATE DEPARTMENT SPOKESMAN: This is another step by the Iranian regime, in defiance of the international community. Once again, they have chosen the pathway of defiance, as opposed to the pathway of cooperation. And we would call upon the Iranian regime to reconsider the steps that it has taken.

(END VIDEO CLIP)

ROTH: The U.N. Security Council, in late March, gave the Iranian government 30 days in which to suspend uranium enrichment and other nuclear activities.

Today's announcement from the Iranian president runs directly opposite of that demand. The head of the nuclear watchdog agency, the International Atomic Energy Agency, is on his way there this week. He's going to get a rather surprise present with this action, Kyra, and it certainly makes tensions go up, and it means we're on another collision course in early May come here at the U.N.

PHILLIPS: So, I always ask you this question. Sanctions, could that be the next step, or at least strengthen the argument for them?

ROTH: It does. I mean, the State Department says it gives greater weight to those calling for tougher measures.

China and Russia, at one point, may have to face the wishes of France, Britain and the United States. We're still not there yet, but it certainly makes the case easier for Washington.

PHILLIPS: Richard Roth, thanks.

It could be one of the biggest terrorism trials in Europe. A judge in Spain issues indictments against 29 people in the 2004 Madrid train bombings, five of them charged with 191 counts of murder and 1,755 counts of attempted murder for those killed and wounded. Spain has no death penalty or life imprisonment. If convicted, the longest the suspects could spend behind bars is 40 years.

Politics caught up with reality today in Israel. Ariel Sharon, who suffered a catastrophic stroke three months ago, was officially removed as prime minister. The Israeli Cabinet declared Sharon permanently incapacitated, clearly the way -- or clearing, rather, the way for newly elected Prime Minister Ehud Olmert to take over. He still held the title of an interim basis until he forms a government.

So, do you remember your fourth-grade teacher? Maybe not. But I bet you Brandon Shafer will never forget his -- a life lesson in the meaning of generosity coming up on LIVE FROM.

(COMMERCIAL BREAK)

PHILLIPS: Rain today, rain tomorrow, rain, sorry to say, through the weekend, that's the soggy forecast for parts of California that are saturated already.

And Governor Schwarzenegger has declared a state of emergency in seven northern and central counties where levees has reached the breaking point. Crops are suffering, too. Strawberries are rotting in the fields. Lettuce and artichokes are ripe for the picking, but can't be, because the mud is knee-deep.

More mudslides are the worry in South Weber, Utah. Already, one house has been destroyed. A 4-year-old girl was hurt, the neighborhood evacuated. Emergency crews are eyeing an irrigation canal and retention pond as possible sources of all the water. The houses below were built less than two years ago.

Let's take a look at conditions where you are now and check in on California, too.

Bonnie Schneider in our Weather Center.

Wow, a lot of -- lots of rain.

(WEATHER REPORT)

PHILLIPS: State capitals, timetables, subject-verb agreement, all cornerstones of the typical fourth-grade education. But one Illinois student is also getting an unforgettable lesson in generosity, thanks to his remarkable teacher.

Mark Saxenmeyer has more from WFLD, our affiliate in Chicago.

(BEGIN VIDEOTAPE)

MARK SAXENMEYER, WFLD REPORTER (voice-over): Brandon Shafer looks pretty darn healthy, but he will tell you:

BRANDON SHAFER, FOURTH GRADER: If I get hit in the stomach, it might -- it will be bad and stuff.

SAXENMEYER: Bad, indeed, because Brandon has a bad kidney. He was born with it. And unless he gets a new one soon, he could die -- scary stuff, but Brandon says:

SHAFER: I'm just excited and stuff.

SAXENMEYER: Excited because his fourth-grade teacher, Mrs. Donohue, has just found out she and Brandon have matching blood types, which means she can give him her kidney.

PATRICIA DONOHUE, TEACHER: Pretty much divine intervention that I came here and ended up to be Brandon's teacher, after all of this. And I'm proud to be able to do this for him.

SAXENMEYER: So much for reading, writing and arithmetic at Oster-Oakview Elementary school. The gift of learning has nothing on the gift of life, especially considering that, until now, Brandon had no other matches. His mom says it all.

UNIDENTIFIED FEMALE: I just think it's amazing.

DONOHUE: He still wants to be just that same student in the classroom, doesn't want any special privileges or anything like that.

SAXENMEYER: In return, Brandon gives Mrs. Donohue a high-five and then a gift of his own, something almost as valuable as a kidney.

SHAFER: Gave her an iPod, you know?

SAXENMEYER: The operation is scheduled for next month, when recovered Brandon has plans, big plans.

SHAFER: To play basketball, like, for a team at the school.

SAXENMEYER: Beyond that, this fourth-grader has his sights set on, well, fifth grade. Mrs. Donohue, however, points out.

DONOHUE: About ready to get rid of your fourth-grade teacher.

(LAUGHTER)

(END VIDEOTAPE)

PHILLIPS: Well, Brandon and Mrs. Donohue are scheduled for surgery May 1. Mrs. Donohue says she is glad to be donating an organ, because her father, who suffered from leukemia, owes his life to a bone-marrow transplant several years ago.

So, would you pay $1,000 for a drink? If the answer is yes, well, we're going to tell you how to get your hands on this little pricey beverage -- straight ahead.

(COMMERCIAL BREAK)

PHILLIPS: Well, that's one chocolate egg that won't show up in the Easter Bunny's basket, unless he has got insurance. This baby is worth $87,00 decorated by a master chocolatier in London. It's encrusted with 100 half-karat diamonds. The filling is made of peach and apricot chocolate and pralines. And the creators say they have already gotten some, pardon the expression, nibbles.

Mint julep go with Churchill Downs, well, like chocolate eggs with Easter, but you're going to have to hit a few long shots to afford the best julep at this year's Kentucky Derby. This drink will sell for 1,000 bucks to raise money for retired thoroughbreds. It's made with Woodford Reserve bourbon and served in a gold-plated glass, with a silver spoon stored in a box made of oak.

Well, we have a lot of volunteer tasters right here at LIVE FROM, but it's a little bit out of our price range, just like the sandwich with the fois gras that we told you about yesterday. Remember this? The tab for that lunch would be 1,048 bucks, not counting tip.

One credit card company is making checkout as easy as swipe and go.

Susan Lisovicz joins me now from the New York Stock Exchange with the details.

You could swipe and go with that sandwich and mint julep.

SUSAN LISOVICZ, CNN CORRESPONDENT: I think that's the only way you can pay for it.

(LAUGHTER)

LISOVICZ: You certainly don't have the cash in pocket, Kyra. I was going to say, first round is on me, but, then again...

(LAUGHTER)

LISOVICZ: Anyway, this is for much smaller purchases, Kyra. This is for purchases, specifically, under $25, Visa waiving the signature requirements for those purposes, which, of course, can result in faster service.

Visa, of course, is counting on increased business. It estimates that there's $750 billion in consumer spending on these types of purchases. Half of it is presently paid for in cash. And, of course, it wants to grow the market and increase the -- up the ante, if you will, with MasterCard and American Express, which have offered similar plans for their customers.

And lots of small businesses have been getting into this as well, because customers don't always have the cash on hand -- Kyra.

PHILLIPS: So, what businesses are supporting this?

LISOVICZ: Well, I mean, there's just a wide range of them. Of course, you may know that Starbucks, Kyra, has been allowing customers to pay without signing for a while. And there's all sorts of other types of merchants, from taxis to movie theaters.

Visa says it's going to now allow this for paying bridge tolls, taxicabs, car washes. So, it's really endless. Visa, of course, surveying some of its users and found out more than a third use their credit or debit card at least four times a week for small purchases, everything from gas, which, these days, is not such a small purchase, I'm afraid, fast food, and drugstore items. And there you see it -- Kyra.

PHILLIPS: What about security concerns?

LISOVICZ: Well that, of course, is a big concern, because I certainly have had lots of merchants check my signature.

But these are for bigger purchases. Visa did a pilot run and found no significant increase in fraud. In fact, Visa's average fraud rate, Kyra, is about a nickel on every hundred bucks. The rate is actually slightly lower in the small-purchase segment.

Let's quickly look at what is going on in Wall Street. And it's pretty much across the board a sea of red today, Kyra. The Dow is down 78 points, 11,062. Alcoa has been a star performer today, up 4 percent on its earnings, but not enough to lift the entire market. The NASDAQ, meanwhile, down 28 points, or 1.25 percent.

And, of course, oil prices one of the big concern, up a quarter and -- on the day, and getting much closer to that all-time high we saw post-Katrina.

Still ahead, if you have had your eye on a new gold necklace or ring, you might not want to put it on layaway. I will explain later this hour.

CNN's LIVE FROM is coming right back.

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