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Seven Americans Indicted for Planning Terror Attacks; International Banks Track Terrorist Funding; Reno Murder Suspect Captured; Normal Day at Sears Tower; Today Marks Deadline For Thousands of Auto Industry Workers; Friends And Families of Several Arrested For Planning Terror Attacks Speak Out

Aired June 23, 2006 - 13:00   ET

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


KYRA PHILLIPS, CNN ANCHOR: Hello, everyone. I'm Kyra Phillips.
That terror raid in Miami is what we're talking about. Six men in custody there, a seventh in Atlanta. The feds claim that they're wannabe holy warriors, al Qaeda allies hell bent on striking American landmarks but hampered by poverty and lack of expertise.

Here's what we know right now. All seven suspects are named in a federal indictment charging terror and conspiracy. The indictment lists their possible targets as the tallest building in America, the Sears Tower in Chicago, FBI facilities in Miami, as well.

A man who claims to know the suspects say they're soldiers in a religious group called Seas of David. He says the group blends the teaching of Christianity and Islam, and he insists that group is peaceful.

So far today the FBI has been true to form: lots of "yes, sir" and "yes, ma'am" to reporters' questions, little that strays from the language in that indictment. We expect to hear more from the FBI director, Robert Mueller, this hour. He spoke just a little while ago in Cleveland.

(BEGIN VIDEO CLIP)

ROBERT MUELLER, FBI DIRECTOR: While we have made great strides in disabling traditional terrorists like al Qaeda, the convergence of globalization and technology has created a new brand of terrorism, and today terrorist threats may come from smaller, more loosely defined individuals and cells who are not affiliated with al Qaeda but who are inspired by a violent jihadist message.

(END VIDEO CLIP)

PHILLIPS: The Miami suspects are minutes away from appearing in Miami court. With that part of the story, CNN's John Zarrella in Miami.

John, I'm told now we have seven pictures of the seven suspects.

JOHN ZARRELLA, CNN CORRESPONDENT: We do. We finally do have good news, we've finally got those photos in. We get a good look at these guys. What we've been told all along, and I can't see those pictures from where I am right now, Kyra, but they -- they were identified by neighbors here from mug shots as men that had dreadlocks, men that had beards and many of them actually lived here in the Miami community. So if you have those mug shots up, our viewers getting a lock at what they look like.

I can tell you that they are -- they are expected, these men, to appear in court here in Miami, another man expected to appear in court in Atlanta, where he was picked up and then ultimately brought down here to Miami most likely.

Now what we know, Kyra, and I am standing here at this warehouse in the Liberty City section of Miami, a poor area of the city of Miami. This is where the FBI activity went down yesterday, where they broke in, looking for the men. The men were not here. Ultimately, they did find them in this -- in this area of Miami, but this is also the place where some of the plots were apparently hatched, according to the indictment.

According to the indictment, these men met with what that -- who they thought was an al Qaeda operative but turned out to be an informant. And they met with him here in March. And it was at that point that they discussed plans to bomb the FBI building here in Miami and four other FBI buildings. According to the indictment, this is also the location on that same date in March where they pledged an allegiance to al Qaeda.

Ten days later, they came back, met with this man again, the man who they thought was with al Qaeda and they told him that they had pictures, they had videotapes of locations in Miami, the FBI building. They gave those pictures and videotapes to him of the FBI building, the federal building, the Miami Police Department, and a couple of other federal facilities here in Miami.

So this again, Kyra, one of the locations where, according to the indictment, this warehouse where these plots were hatched, but if you ask the families and friends of these men and one man I talked with, who claimed to be a member of the organization, who I talked with last night, they were a religious group, deeply religious group and this was, as they put it to me and to their friends, this was the place of worship here. This was their temple. This was not a place where they hatched any kind of terrorist plots -- Kyra.

PHILLIPS: John, as we look at those seven pictures once again, I just want to ask you a question, because you have lived in this area for a very long time. You know the various cultures.

A lot of people are saying, OK, were these real terrorists or not? Were these kids that were just looking for some organization to belong to? The fundamentalist movement is a hot thing right now. They sort of kind of took a little bit of a philosophy from this group and philosophy from that group and sort of created their own thing.

What is your sense, because you know this community?

ZARRELLA: I think the sense that I get, even from talking to neighbors and talking to other people here last night, a man right over here telling us that he knew one of these young men. He went to high school with the man here in Miami. A lot of men were from the Miami area. Again, this is a very poor area of Miami.

It seems as if perhaps it will come out, a little bit of speculation here, but perhaps it will come out they were trying to find themselves, some of these guys. Perhaps they fell in with the wrong leader. We're hearing from some of the friends and family of some of these people today that there was one particular individual, the alleged leader of this group, who may have been calling all of the shots. They may not have known exactly what they were getting into.

In fact the man we spoke with last night here, who called -- you know, called himself Corey, he did not seem to have any indication of what had gone on, what was transpiring, only that there was no way, he believed, that they could have been involved in anything, because all they were in his estimation was a religious group.

So I think, given the nature of the city, you had Haitian Americans involved and African-Americans involved, that a lot of it may have been, some of these individuals just trying to find a new way and perhaps very easily falling in with the wrong sorts.

PHILLIPS: John Zarrella, I appreciate it. We'll be talking throughout the day. Thanks so much.

We've heard all day what the government had to say, but listen to this, friends and families of several of those arrested, speaking this morning to CNN affiliate WPLG.

(BEGIN VIDEOTAPE)

SYLVAIN PLANTAIN, FAMILY FRIEND: This guy is a humble dude. He helps his mama, does construction. He just put the tile down.

UNIDENTIFIED FEMALE: Right there.

PLANTAIN: You understand what I'm saying? I'm hurt by it because I know, you know what I'm saying? This -- this is not true.

Anything that somebody don't understand they fear, and I understand that. But what I'm saying to you is you can't sit here and judge everybody that's around from one person that causes everybody goes down for something for one person.

What I'm saying is they need to get the person that made the allegations to the feds. They need to get him, but Sunni does not have anything to do with it.

ELIZENE PHANOR, MOTHER OF TERRORISM SUSPECT: My son he does not have heart to kill people. I swear to God. He does not have heart to kill people.

(END VIDEOTAPE)

PHILLIPS: Well, that was the mother of this suspect, Stanley Grant Phanor, allegedly known to his fellow suspects as Brother Sunni. She says that her son is a church going Catholic.

A small group of outcasts with big plans. Allegedly, the terror suspects had outsized ambitions, not unlike the men behind 9/11.

(BEGIN VIDEO CLIP)

ALBERTO GONZALES, ATTORNEY GENERAL OF THE UNITED STATES: These individuals wished to wage a, quote, "full ground war against the United States." That quote is from the investigation of these individuals, who also allegedly stated the desire to, quote, "kill all the devils we can." They hoped for their attacks to be, quote, "just as good or greater than 9/11."

The defendants, five American citizens, one legal permanent resident and one Haitian national in the United States illegally, are expected to make appearances at U.S. district court in Miami today.

(END VIDEO CLIP)

PHILLIPS: Well, just to remind you where we're headed. CNN's Susan Candiotti is inside the federal courtroom in Miami right now. She's awaiting the appearance of six of the seven suspects. She will join us live when she can. That other suspect is actually in court here in Atlanta, Georgia.

You can follow this developing story at CNN.com. Included online, the text of the federal indictment against the seven suspects. Makes for pretty interesting reading. That and more on CNN.com.

Terrorists have one thing in common with everybody else. They need money. They need to make it and move it and spend it. And one secret government program aims to track it all. The program is secret no more, and privacy advocates want an explanation. CNN national correspondent Bob Franken is at the White House with more on that.

Hey, Bob.

BOB FRANKEN, CNN CORRESPONDENT: Hello, Kyra.

And of course, you know what SWIFT means, don't you?

PHILLIPS: We all know SWIFT means, especially if you work in this newsroom with you.

FRANKEN: That's right. You know -- you know that it means the Society for Worldwide Interbank Financial Telecommunications. You knew that of course. It is an organization that we are now finding out the government has been using.

It's an organization worldwide, 7,800 financial institutions in 200 countries use it for data messaging, and right after September 11 the United States government employed SWIFT to take advantage of what the government now says is a legal and limited way of the huge millions a day flood of communications that would give them a handle, give officials a handle on whether or not there had been financial transactions which were contributing to terrorism. Much of this has been well known, but the use of this organization had not been well known. And it is raising questions in some circles about the fact that the United States government, in the minds of the critics, has overdone this, has intruded on the privacy of people who had no way of knowing that their records were being watched so closely.

So the question came up at the White House briefing today of the press secretary, why do this?

(BEGIN VIDEO CLIP)

TONY SNOW, WHITE HOUSE PRESS SECRETARY: It helps capture Hambali (ph). He was responsible for the Bali bombing which killed more than 2,000 people. It's provided information on domestic terror cells. That's a good thing. It helped identify a Brooklyn man convicted on terrorism related charges last year.

So the point is here the administration has been looking very carefully at ways of trying, within the letter and spirit of the law, to be able to shut off financing. It's a good thing to shut off the spigot, the financial spigot, and it does seem to be working.

(END VIDEO CLIP)

FRANKEN: And as for the critics, the treasury secretary, John Snow, said this is not a fishing expedition -- Kyra.

PHILLIPS: Is this information cross-checked with the IRS so those with Swiss bank accounts, should they be concerned?

FRANKEN: Are you worried about that?

PHILLIPS: Maybe. But there comes -- SWIFT, if I can get it right into the conversation again.

FRANKEN: Well, we don't -- we don't know what agencies they cross-checked with. We do know that several were involved. It's reasonable to assume that IRS was one of them. We know treasury was involved. We know that the Federal Reserve was involved. We know that the Central Intelligence Agency was involved. We also know that the administration tried very hard to stop the media from reporting this, but as you can see, did not succeed.

PHILLIPS: I want to make sure I ask you about the staff changes within the administration, as well.

FRANKEN: Well, go right ahead.

PHILLIPS: Please tell me about -- you are just -- you're frisky today, Bob Franken. Are you on the White House lawn today?

FRANKEN: You're asking about Norm Mineta, the secretary of transportation?

PHILLIPS: Yes, I was.

FRANKEN: He was -- he's a Democrat, former Democratic congressman, was in the Clinton administration and in this administration was the secretary of transportation. He is leaving after 5 1/2 years.

Of course, we were all interested to see if there was a back story. Well, there literally is one. He has had back problems for quite some time, and the assumption is, is that he really just got tired of the grind that this produces.

PHILLIPS: Bob, it's great to say -- it's great to see you in such a good mood. It must be because it's Friday.

FRANKEN: Definitely.

PHILLIPS: All right. That was the most excitement on the White House lawn that I've seen in a long time. Thank you, Bob.

Well, know the story that we're following, most wanted, now arrested. Less than three days after his name was added to the FBI's most wanted list, a wealthy Nevada murder suspect has surrendered in Mexico.

Forty-five-year-old Darren Mack is accused of murdering his estranged wife and shooting a judge who was handling their divorce. Well, family court judge Chuck Weller was wounded inside that Reno courthouse on June 12, and then a few hours later, Mack's wife Carla (sic) was found stabbed to death in the garage of Mack's townhouse. We are expecting a news conference momentarily. We'll bring that to you live as soon as it happens.

Who are the men suspected of the unthinkable? Well, LIVE FROM continues coverage of our top story with details on who these men are. And target: Sears Tower. We're going to check the mood around the symbolic structure. More LIVE FROM coming up next.

(COMMERCIAL BREAK)

PHILLIPS: Most wanted now arrested. We're talking about 45- year-old Darren Mack. Carol Lin following the details on this story for us out of Reno.

CAROL LIN, CNN ANCHOR: That's right. Accused of stabbing to death his 39-year-old wife and in the sniper shooting of a judge that was presiding over their divorce case. Let's go straight to Reno, Nevada, where we're hearing from the police chief.

CHIEF MICHAEL POEHLMAN, RENO POLICE: ... Reno Police Department, Steve Pitts, commander of the Reno Police Department investigations division, and Ron Donnelly, the lieutenant in charge of this investigation.

Let me start again that on behalf of all of the agencies, we would extend our sympathies to Charla Mack's family and also our best wishes to a speedy recover to Judge Weller. Again, we always have to remember it is about the victims.

Darren William Mack was apprehended in Puerto Vallarta, Mexico, overnight and this morning was flown to the Dallas-Fort Worth International Airport, where he was arrested by the airport police department on a warrant charging him with the June 12 murder of his estranged wife, Charla Mack.

Mack was apprehend at 10:30 p.m. Reno time last night through the efforts of the Reno Police Department, the Washoe County district attorney's office, the Federal Bureau of Investigation and Mexican authorities.

Mack turned himself into the FBI and Mexican law enforcement officials at a resort in Puerto Vallarta and remained with them throughout the night until arrangements could be made for his travel back to the United States. He arrived at the Dallas-Fort Worth Airport on an American Airlines flight at approximately 10 a.m. Reno time.

He was taken into custody then by the officers of the Dallas Airport authority police departments and will be booked in the Dallas County jail. Travel arrangements for Mack's return to Reno will be made pending completion of the extradition process. There is no scheduled commercial flight transfer -- transferring Mack to Reno at this time.

Let me repeat and emphasize that there's no -- no arrangements have been made yet to transfer Mack to Reno at this time. Once, though, in Reno, Mack is expected to be arrested for the attempted murder of Reno family court Judge Charles Weller in the sniper shooting attack that wounded the judge as he was working in his third floor office in the family court building the same day as Charla Mack's murder.

Reno police detectives will be en route to Dallas to continue the investigation and arrange for the extradition of Darren Mack. A state of Nevada jet is being utilized to transport those detectives and was facilitated through the efforts of Governor Kenny Guinn and the Nevada Department of Transportation's air operations division.

Mack's apprehension took place one day after he failed to meet a commitment he made to the Washoe County district attorney and to the Reno Police Department to turn himself in to the consulate in Puerto Vallarta. Notification had been made to the Mexican government that Mack was possibly in Mexico, based on investigative information indicating he was on the west coast of Mexico.

Our continuing investigation yesterday revealed he was still in the Puerto Vallarta area. Mexican officials had established checkpoints to look for Mack, and they were checking bus stations and buses, based on information that we had provided that he was traveling by bus. The investigation intensified with cooperative efforts by Mexican and FBI officials in Mexico and the widespread intense news coverage on the manhunt for Mack.

Attorneys hired by the Mack family contacted Washoe County district attorney Dick Gammick last evening, Thursday evening to begin discussing arrangements for Mack's surrender.

The Reno Police Department continues to ask the public to look for the silver colored Ford Explorer with California license 5-Paul- Ocean-Robert-272. That's 5-POR-272, sought in connection with the Mack case. We have not yet recovered that vehicle. The vehicle is listed as wanted in the National Crime Information System Network and has been put out through Interpol.

The Reno Police Department assembled a team the day of the shooting reflecting professional resources from federal, state and local agencies in this investigation and received representatives of just some of those individuals or agencies with me today.

They have been working on a 24-hour, seven day a week basis, and those resources were grouped into three areas: the hunt for Darren Mack, the investigation of the murder of Charla Mack and the shooting of Judge Weller. In addition, we have been assessing information received from the public through the Reno secret witness program directly with the Reno Police Department and other law enforcement agencies.

At this time, I again want to formally thank the Washoe County district attorney's office; the Federal Bureau of Investigation, who have provided great assistance in the return of Mack to the United States; the Nevada Department of Transportation, their air operations division; Nevada Governor Kenny Guinn; the Mexican government; the Washoe County sheriff's department; the Sparks Police Department; the Dallas-Fort Worth, Texas, airport police; the Dallas, Texas, Police Department; U.S. Immigration and Customs Enforcement; the U.S. Marshals Service; the Moraga, California, Police Department; the Sacramento, California Police Department; and the California Highway Patrol. And there are numerous other agencies that have helped and supported us throughout the country in following leads and providing information.

Again, I want to thank the public. They've been instrumental in letting us apprehend Mack and also used the news media for your coverage. We believe the intense coverage of yesterday and yesterday evening really facilitated and helped us along with the efforts we were making in Mexico.

Before I begin and answer questions, let me just again set some ground rules. some of you have been with me before, but let's do this again. Please only one question at a time. Specifics on evidence that may or may not have been gathered in this case will not be addressed at this time. Specifics on conversations with Darren Mack will not be addressed at this time.

And a news release will be passed out summarizing all of this information immediately upon completion, and if will also be posted on the Reno Police Department web site. At this time we're not planning a news conference tomorrow, but we will certainly update you with news releases.

UNIDENTIFIED FEMALE: Can you tell us why did -- why did he turn himself in at a resort as opposed to the consulate? Will he be treated any differently because of where he presented himself to American authorities?

POEHLMAN: The arrangements were made so we could facilitate a speedy transfer out of the country of Mexico by -- and as well as having a place in which we felt it would be safe and secure to keep him for the evening, because we did not have a flight out of Puerto Vallarta until the morning, this morning, back to the United States.

UNIDENTIFIED FEMALE: Do you know why there was a one-day delay?

POEHLMAN: What do you mean by a one-day delay?

UNIDENTIFIED FEMALE: The one-day delay; he said he was going to turn himself in Thursday, ended up not.

POEHLMAN: I have no information yet why.

LIN: All right, Kyra. Kyra, we are listening as the police chief describes the capture of Darren Mack, 45 years old. He was found in a resort in Puerto Vallarta.

In fact, some details on this case. He was spotted at a resort swimming pool in Cabo San Lucas just a couple of days after the murder of his wife, where she was found in a pool of blood in his townhouse.

And this judge, I mean he -- apparently, the bullet was fired from something like a distance of two football fields away as this judge was standing in the window of his office.

And apparently, the district attorney that they've been talking about has been friends with Mack for the last 20 years. They've, according to the Associated Press, they've been in contact by e-mail and phone, that Mack had actually asked, who may very well be the prosecuting district attorney to let his family know that he's in good health and to pass on his love as he is surrendering in Puerto Vallarta.

Now Darren Mack back stateside, facing murder charges.

PHILLIPS: Carol Lin, thanks so much.

And a development in our other top story. Suspects in the Miami terror raid in court this hour. CNN reporter Susan Candiotti was there. She's on the phone with us -- actually, no, she's not. She's live with us now, I'm being told.

Susan, you just got out of -- I guess we're a bit surprised. We didn't think it would be this soon. Tell us what happened inside that courtroom.

SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: It was a quick hearing. Kyra, it started earlier than expected and only lasted about a half hour, and really pretty much a perfunctory court appearance and hearing.

Each person stood up before the judge, spoke very quietly and clearly and very politely, but only five of the seven people who were charged were in the courtroom. There was no explanation for the sixth. And the seventh, CNN knows, is in Atlanta because he was there at the time. That's where he was arrested, visiting with his family out of town or attending a graduation.

In any case, the five who were here declared to the court that they had no money. They have owned no property. One of them described himself as self-employed. And the other said he was -- had a job but didn't say exactly what it was.

One of them was assigned a public defender, and the others will get court appointed attorneys. And they will all next appear in court a week from now next Friday at 10 a.m. in the morning for their arraignment on these charges, these charges of conspiring to plan attacks against the United States, conspiring to gather up material to do so and swearing an oath of allegiance to al Qaeda.

So it was a very brief hearing indeed, Kyra. We didn't learn very much. One gentleman, again, saying he only had 10 dollars in this checking account. That might go hand and hand with what one government source said these were al Qaeda wannabes who were more, perhaps, aspirational than operational -- Kyra.

PHILLIPS: Susan, just real quickly, because we're going to have more on that one suspect in the Atlanta court. Our Rusty Dornin is going to join us to talk about that. You said five were in court in Miami. Where did you say that seventh one was?

CANDIOTTI: They did not give an explanation as to him. His name is Stanley Phanor. He was not in court. All the others were shackled.

PHILLIPS: So we don't know where he is?

CANDIOTTI: No. There was no explanation given for where he was.

PHILLIPS: Got it.

CANDIOTTI: Or where he is at this time.

PHILLIPS: Susan, thanks so much. Just trying to keep all the numbers straight. Thanks so much, Susan.

Well, the news keeps coming and we'll keep bringing it to you. More LIVE FROM right after a break.

(COMMERCIAL BREAK)

PHILLIPS: More on those terror suspects that were arrested overnight. Our Rusty Dornin is tracking one of the suspects that was arrested right here in Atlanta in connection with that raid in Miami. She's got the details for us via phone.

Rusty, what can you tell us?

RUSTY DORNIN, CNN CORRESPONDENT: Well, Kyra, we just spoke with Lyglenson Lemorin's family. His sister just was graduating from college today just north of Atlanta. And they say they are absolutely shocked by what happened.

They claim that he had gone to Miami with this group, he was -- that he was doing construction with them and had studied -- done some religious studies with them but that he was not a Muslim. And after he discovered, they claim, that the group was into some kind of a witchcraft, he became very upset about it and apparently moved back to Atlanta.

Now, they claim that he did move back to Atlanta about four or five months ago. The whole family is very upset, tearful that they, too -- that the FBI would be interested in them. And they claim they have nothing to do -- they know nothing about his activities.

We also understand he is supposed to appear before a federal court judge this afternoon in Atlanta in just about a half an hour. And another one of our producers, Ingrid Arnap (ph), did speak with his wife. He did tell Ingrid that he was born in Haiti. He's been a legal resident since 1993.

And she told our producer that he had been in the music business and that's why he had moved back to Atlanta. That was not the understanding when I spoke to his sister and another brother. They claim that he was in some kind of construction business. So obviously some conflicting information right now, but he is scheduled to go before a federal court judge in just about a half a hour -- Kyra.

PHILLIPS: Well, Rusty, we've heard all these various explanations on what this group is. But I think you're the first reporter to tell us that a family member has mentioned witchcraft.

DORNIN: Remember, the family is from Haiti. Now, I don't know -- and certainly the other members of the group were not all from Haiti. But as I said, there was a lot of conflicting information that they were giving us also.

They also claimed that they were not with him when he was arrested. His wife is also saying that she was not with him when they were arrested. But the family is very fearful they, too, will be targeted somehow by the government just because they are related to him.

PHILLIPS: Rusty Dornin, appreciate it. Thanks for calling him.

Well, you know, this morning's headlines probably caught your attention. But in Chicago, it's business as usual at Sears Tower, just one of the reported targets in this failed attack plan. CNN's Keith Oppenheim joins us live from there -- Keith.

KEITH OPPENHEIM, CNN CORRESPONDENT: It's been really a regular Friday morning here in Chicago. We're just about a half a block away from the base of the Sears Tower. We really haven't seen anything different. And in a news conference that ended just about a half an hour ago, Kyra, Chicago police, along with one of the owners of the Sears Tower, as well as the managing director, explained why. They said that this alleged plot against the Sears Tower was never a credible threat, that it never went beyond just talk. We're going hear now from Andrew Velasquez, who is the director of the Office of Emergency Management in Chicago.

(BEGIN VIDEO CLIP)

ANDREW VELASQUEZ, CHICAGO EMERGENCY MANAGEMENT OFFICE: Well, we have received no information to suggest that there is an imminent threat to Chicago. We are taking the necessary precautions to ensure safety through continued coordination and information sharing among our local, state and federal partners.

Yesterday's arrests were made by a combination of local and federal agents working hand-in-hand. And I can tell you today that a similar combination of local and federal resources continue to work to keep Chicago as safe as any large city can be.

(END VIDEO CLIP)

OPPENHEIM: Chicago officials priding themselves on the cooperation they have with various levels of government, which they say applied in this case. This morning we got a chance to talk to commuters about how they felt about all this.

And you know, Kyra, while people are discomforted by the idea of their Sears Tower being attacked or being the alleged plot in an attack, for the most part, people went about their regular business and took it in stride.

PHILLIPS: Keith, appreciate it. And just to follow up on Keith's report, we are expecting to hear from the Illinois Governor Rod Blagojevich. We'll take that live as soon as he steps up to the microphone.

Another live picture for you. Some good news coming out of Miami in addition to what we've been telling you about about these terror suspects that have been arrested. But this is what is starting to form in Miami to celebrate and honor the Miami Heat NBA championship win.

Huge parade expected at the top of the hour. They are starting up, Otis is bringing back a little old school rap for us. Huge crowd, about 250,000 people expected to be in downtown for a little basketball and a little parade. City officials say security measures are in place, hoping it won't affect the big parade.

All right. Today marks a big deadline for tens of thousands of auto industry workers. Stephanie Elam live from the New York Stock Exchange with more on that -- Steph.

STEPHANIE ELAM, CNN CORRESPONDENT: Hi, Kyra. That's right. According to some published reports, more than 37,000 hourly work have so far accepted buyout offers from General Motors and its former parts unit, Delphi; 28,000 from GM alone.

Now, a spokesperson for the United Auto Workers Union, however, would not confirm those numbers for us. The remaining union workers must decide by midnight tonight whether to stay with the company, retire early, or take up to $140,000 and leave their jobs.

Workers who put in for a buyout will then have another week or so to change their minds. Now, GM announced back in March that it was offering hourly workers up to $140,000 each to leave the troubled automaker. And this is all because they're desperately trying to cut their labor costs and put an end to all of that red ink there. GM actually lost $10.5 billion just last year alone. So if you take that into account, Kyra, clearly they need to do things to make things better.

PHILLIPS: Is the company on track to meet its goal?

ELAM: Well, here's the deal. GM has said it wants to shed about 30,000 U.S. hourly workings by 2008, so that's our baseline, there. But it has offered the deal to all 113,000 them. UAW officials reportedly estimate that about 30,000 workers will end up leaving, and that means GM would not only reach its goal, but it would reach it two years earlier than they had expected.

Shedding that many workers could actually cut about $3 billion a year in their annual payroll costs. Now, taking a look at another auto maker, Daimler-Chrysler, they may be getting set to announce a major discount program as the company tries to clear out its 2006 inventory.

The "Wall Street Journal" reports that the automaker plans to make an announcement next week, and a move from Daimler-Chrysler could force Ford and GM to offer similar deals. Last summer, you do remember that the Big Three offered so-called employee pricing deals, which gave a temporary boost to sales. We've already heard more of this from GM this year. So it's likely to see that what one does, the other two will follow -- Kyra.

(MARKET UPDATE)

(COMMERCIAL BREAK)

PHILLIPS: Live to Illinois's governor, Governor Blagojevich. As you know, the alleged terror plot included bombing the Sears Tower. He's now addressing reporters.

GOV. ROD BLAGOJEVICH (D), ILLINOIS: Yesterday, the measures that have been taken at the Sears Tower immediately after the attack against our country on 9/11 are constantly measures that are being improved and addressed. And so circumstances at the Sears Tower are good.

The people of Illinois should go about their business, go about their business and pursue their daily lives. But I think what we discovered as a result of what happened in Miami, what we discovered as a result of the efforts by the FBI and the Department of Homeland Security in interdicting a cell of people who were interested in doing harm to our country, and specifically, to the Sears Tower, is that the wake of 9/11 in America, we have to be more vigilant, constantly on guard, and keep an eye on what others may be doing.

So my message to the people of Illinois is go about your business, have a great weekend, enjoy the time you're going to have with your family, go to work and be as determined as possible to do a good job at your job. But while you're doing those things, if you see anything suspicious, you should report that to local authorities.

If you see people photographing areas of public landmark buildings but not areas where tourists generally are interested in photographing, but places like loading docks or dumpsters, that's the kind of suspicious activity that you may want to think about, and suspicious activity that you should contact your local law enforcement agencies.

If you see suspicious unusual behavior of any kind, and in many cases it's the kind of thing that you sort of know it when you see it, call your local police department. And here in Chicago, call 911. The Chicago Police Department, the Illinois State Police, the United States Department of Homeland Security, the Illinois State homeland security efforts, the Illinois State Terrorism Intelligence Center are all operational and all working together.

We are constantly in communication with the city of Chicago, the Illinois state police working in conjunction with the Chicago Police Department and with federal authorities to keep our communities safe.

So again, let me just encourage the people of Illinois and the people here in Chicago that yesterday what happened in Miami was something that prevented and preempted the possibility of activities focused on the Sears Tower.

Those who were interested in doing harm to the Sears Tower were a long way from being able to do it. They didn't have the means, and I want to again congratulate our law enforcement for the successful efforts that they were able to achieve in preventing and preempting that kind of activity.

PHILLIPS: So the bottom line from the governor there in Illinois, stay vigilant, be vigilant, pay attention to your surroundings, but go on as you would any normal day. The governor just congratulating Miami authorities after making these terror arrests. One of the alleged targets was the Sears Tower. This alleged plot including the bombing of the Sears Tower in Chicago.

Governor finally coming forward and talking to reporters and just letting them know that he doesn't feel that his state is at all vulnerable now that this has been taken care of by authorities at Miami. Well, we've heard all day what the government has to say, but listen to this. Friends and families of several of those arrested are speaking out.

Some did just a short time ago to CNN's Drew Griffin. Here's a part of that interview. (BEGIN VIDEOTAPE)

SYLVAIN PLANTAIN, SUSPECT STANLEY PHANOR'S COUSIN: Sonny (ph) ain't got nothing to do with whatever he's alleged to do. That was on him. If the feds want to get somebody, they need to get the head guy that they made the deal with the undercover agent. You understand what I'm saying?

DREW GRIFFIN, CNN CORRESPONDENT (on camera): You think these guys were brain washed?

PLANTAIN: No, no, they wasn't brain washed because Sonny would never do nothing to harm anybody.

GRIFFIN: So you think he didn't know anything about this?

PLANTAIN: He didn't know anything about this. Nobody knew but the head guy, Narseal Batiste, OK? The head guy. He's the only one that made the alleged comments with the undercover agents, OK?

GRIFFIN: And what do you know about him?

PLANTAIN: First of all, the only thing we know is that he have a wife and kids. We don't know anything about any other family. All we know is the family that he has down here.

GRIFFIN: Do you know where he lives?

PLANTAIN: No, we don't know where he lives. He has a temple on 62nd and 15th.

GRIFFIN: He does have a wife and kids?

PLANTAIN: Yes, he has a wife and kids. But what I'm saying this to you -- the only thing I'm saying is that if you all have a guy that's sitting there talking to the feds, you all need to get that guy because somebody fell victim because they wanted to find God, no. You can't fault him for trying to find God.

Sonny is a religious person. He believes in God. He's a humble guy. He goes to work everyday, he comes home, he takes care of his family, his sister with five kids. That's the only thing he's guilty of doing. You know what I'm saying?

GRIFFIN: Yes.

PLANTAIN: So far as charging him with terrorist acts? No. And also, it comes to find out he's innocent, there's going to be lawsuits pending against the feds.

GRIFFIN: Sonny lives here with you?

PLANTAIN: If they find him innocent, the feds will get sued, OK? Because first of all, we don't have any knowledge of this guy have a violent bone in his body. He had a concealed weapon back in -- I don't know what year it was. But they caught him with a concealed weapon, but he had a license to carry that concealed weapon.

But after he found this religious group, he put the weapon away. He didn't need no weapon no more. The only thing he did was karate to self-defense for his own protection for anybody who comes against him. That's the only thing that he did. And when people seen that they were doing self-defense things, they thought they was a part of al Qaeda. They're from down here. They ain't got no business in al Qaeda.

GRIFFIN: Did they dress in black or whatever?

PLANTAIN: OK, listen. They dressed in black Dickies uniforms with the patch of the Star of David. That's why they called it the Seas of David, OK? David and Saul also had warriors back in them days. They went by the Order of Melchizedek, you understand what I'm saying? They live by the Order of Melchizedek, and that's the only thing that they did religiously.

The only thing that they're guilty of doing is training hard. They don't smoke, they don't drink, they don't mess with women. They clean. You understand what I'm saying? But what I'm saying is the guy might have prostitute the word of God. He might have added to...

(CROSSTALK)

GRIFFIN: Was Stanley ever in prison for that arrest?

PLANTAIN: No, no. They were going to trial. They're going to trial. They're going to try to find out if they're innocent or guilty.

GRIFFIN: But I mean for that gun violation.

PLANTAIN: Yes, he went. He served time for it, and he was on probation for it. And he violated probation. That's what they got him on. That's how they tricked him into going to the feds. They tricked him into going into the feds by getting a concealed weapon on him, and all the while, it was about al Qaeda and the guy making alleged comments about blowing up some building.

(END VIDEOTAPE)

PHILLIPS: Once again, those are family members defending their own. This man just one of the suspects arrested in that alleged plot throughout the U.S. on key targets. We have reporters working a number of family members in connection to these suspects. We'll be bringing it to you as we get it. That was our Drew Griffin that was able to get that interview just within the past hour.

Well, alleged jihad. That's just what are these suspects accused of in the indictment that we learned about this hour. I'm going to speak to a former federal prosecutor in just a moment. You're watching CNN, the most trusted name in news.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

ROBERT MUELLER, FBI DIRECTOR: And while we have made great strides in disabling traditional terrorist models like al Qaeda, the convergence of globalization and technology has created a new brand of terrorism. And today, terror threats may come from smaller, more loosely defined individuals in cells who are not affiliated with al Qaeda but who are inspired by a violent jihadist message.

(END VIDEO CLIP)

PHILLIPS: More now on the Miami terror indictments. What did this informant hear, and how did he work his way into this group? What did this alleged terror suspects say? Joining me from New York, former federal prosecutor Paul Callan.

You read the indictments. You feel that something just isn't right here. Why do you say that?

PAUL CALLAN, FORMER FEDERAL PROSECUTOR: Well, I don't know. The indictment looks very, very thin, you know? In an indictment like this, you would expect see a lot of overt acts that were initiated by the conspiracies. This is a conspiracy indictment. These individuals, these seven individuals are charged with conspiring to a blow up the Sears Tower and do a number of other things.

But when you read the indictment, the FBI informant seems to be the initiator of most of the ideas regarding what's going to be done. I mean, he agrees to supply machine guns and boots and military equipment to the group.

It looks like he's suggesting that they take an oath to al Qaeda. He claims that he is the link to al Qaeda. So the FBI informant is very, very active in this conspiracy, and I think it may spell trouble for the government over the long run in proving this case before a jury.

PHILLIPS: Do you think the informant crossed the line?

CALLAN: Well, I do know that the line is a very difficult thing to figure out when you have an informant on the ground. I mean, obviously, we need informants because we have to be in a position to infiltrate these cells and to break up these cells.

But on the other hand, the informant can't be the person who suggests the commission of the crime. Otherwise, that creates the defense of entrapment, and you know, it lets the defendants in the case be acquitted and get away with the crime. So it's a difficult situation determining where the line is.

PHILLIPS: So as you read what was said back and forth between the informant and these various suspects, for example Narseal Batiste, it further detailed his mission to wage a, quote, "full ground war against the United States" in order to, quote, "kill all the devils we can in a mission that would be just as good or greater than 9/11" beginning with the destruction of the Sears Tower. I mean, are these real terrorists? What do you make of that statement? And do you think that statement was encouraged by this informant in any way? It sounds like he's coming out and just saying what his plans were.

CALLAN: Well, you know, the government is going it say that this is a homegrown terrorist cell and that these ideas were their ideas, and that the FBI just happened to have an informant in place to observe the activities and apprehend the suspects.

But defense attorneys are going to come forward, and what they're going to say is, you know, "These people, they were given the idea of doing these acts by the FBI informant. They're not really criminals. Maybe they're not too smart, maybe they're not too organized. Maybe they're anti-American, but this is really loose talk. It's not a conspiracy."

And of course, one of the things we have to be careful about in conspiracy indictments, you can't indict somebody for just loose talk. I mean there are a lot of people who criticize the American government, who criticize the Bush administration, who criticize law enforcement authorities. That's not a crime in the United States.

It becomes a crime only when the criticism is coupled with an overt act to do something wrong, to do something criminal. And the question is here, did they engage in overt acts that went over the line of loose talk to the point where you have a sustainable federal conspiracy charge?

And obviously, the attorney general feels very strongly that they moved and they broke up this cell at a time when they could make out a case in federal court. But I'm betting you're going to see quite a battle once defense attorneys get on the scene and start they start tearing this indictment apartment.

PHILLIPS: Paul, I have a couple more questions for you. I'm going to ask you just to stay put for a second. We just real quickly want to show these pictures coming into CNN through our affiliate, WFOR, pictures seen for the first time of that warehouse in Liberty City where some of these suspects had been living.

This is obviously some videotape that one of the photographers was able to get. It's the first time we're seeing it, too. We're rolling it as we're getting it through our affiliate. It looks like this is possibly part of the living room area of this warehouse where these suspects were living.

I'm not quite sure how much we're going to have. It looks like we might be shooting through some type of window. We have about 30 seconds more. Don't know what we're going to see. Do we want to kind of weigh that and see else we can see, or do we think this next 30 seconds will be just in this room?

All right. We'll monitor it and see if it goes anyplace else within this warehouse. But just a glimpse inside to where some of these suspects were living before they were arrested. We're going to continue our talk with Paul Callan right after a quick break.

(COMMERCIAL BREAK)

PHILLIPS: Once again, this first look at this videotape that we got from our affiliate out of Miami, WFOR. This is a peek inside that warehouse in Liberty City where the terror suspects were arrested. This is where some of them were living.

It looks like it's a hole in the door or the wall leading into where they were living. You can see that all the windows had been shaded out, boarded up, so you really couldn't get a glimpse inside. We are going to continue to monitor this video as we continue to get it in. We will show you more. A quick break. More LIVE FROM right after this.

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