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U.S., Iraqi Forces Preparing for Major Assault in Najaf; Rumsfeld on the Road; Intelligence Reform

Aired August 11, 2004 - 11:00   ET

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

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


DARYN KAGAN, CNN ANCHOR: Officials say one person was killed, 15 others were wounded today in a suspected suicide bomb attack north of Jerusalem. Israeli police say the bomber set off an explosion at a checkpoint between Jerusalem and Ramallah. The Al Aqsa Martyrs Brigade claimed responsibility. That, by the way, is an offshoot of Yasser Arafat's Fatah movement.
We're getting more information about a train collision in northwestern Turkey. Turkish media reports now say at least four people were killed and several were injured when two trains collided. This happened about 25 miles southeast of Istanbul. Thirty-nine people were killed last month when an express train traveling between Ankara and Istanbul crashed.

Florida is bracing for a pair of tropical storms. Bonnie is moving across the Gulf of Mexico toward the panhandle. Charley is churning through the Western Caribbean and could become a hurricane later today. The National Hurricane Center issues an update this hour. Our Jacqui Jeras will have details for you in about 15 minutes.

We are keeping you informed, CNN, the most trusted name in news.

We are just a minute past 11:00 a.m. on the East Coast and just past 8:00 a.m. on the West. From CNN center in Atlanta, good morning once again. I'm Daryn Kagan.

Up first on CNN, U.S. and Iraqi forces get ready to finish the fight in Najaf. Battles continue there for a seventh straight day. Now, the military says preparations are under way for a major assault against followers of radical Shiite cleric Muqtada al Sadr.

Let's get the latest now on the battle for Najaf. Our Matthew Chance is there and filed this report a short time ago.

(BEGIN VIDEOTAPE)

MATTHEW CHANCE, CNN CORRESPONDENT: Military officials here on the outskirt of Najaf are telling us that sporadic fighting is still continuing in the center of the city between U.S. forces on the ground and those loyal to the radical Shiite cleric, Muqtada al Sadr.

Much of that fighting is taking place around the mosque of Imam Ali. That's one of the holiest shrines in Shia Islam. Mehdi army fighters are holed up inside of it. They're firing mortar and rocket- propelled grenades and automatic weapon fire at U.S. troops, who are maintaining a cordon on the outside. That's how the standoff has really existed for the past week or so, just a few days less than a week, in fact, of that standoff developing.

And forces on both sides are very eager to know how they're going to bring this to an end. There are political discussions ongoing, we're told, between members of the Interim Iraqi Government and Muqtada al Sadr to try and get him to abandon this fight, to disarm the Mehdi militia, and be brought into the political process.

But there are other options being examined as well. One of those options is actually going into that sacred mosque and cleaning out those rebels, who are holed up inside. The U.S. military, though, is very mindful and sensitive of the fact that doing that with U.S. troops could make extremely big problems here amongst the Shiite Iraqis and could create some kind of very violent backlash.

And so, they're looking at ways at how they could limit that. But one of the ways might be to use Iraqi forces, the Iraqi security forces of the Interim Iraqi Government in some kind of forward position that would involve them going into the mosque and doing the clearing-out, the fighting with those Mehdi army fighters inside.

That's just one of the options being laid on the table at this stage, as perhaps this battle for Najaf reaches a new phase.

Matthew Chance, CNN, Najaf.

(END VIDEOTAPE)

KAGAN: And then there's this development coming out of Iraq. Former Iraqi Governing Council member Ahmed Chalabi returned to Iraq today from his summer home in Iran. He's going to face arrest on counterfeiting charges. Chalabi accuses the U.S. of cooking up the charges to end his political career. He was at one time a favorite in Washington and widely seen as Iraq's first post-Saddam leader.

His nephew, White who is overseeing the trial for Saddam Hussein, has been charged with murder. He is currently in Britain.

Defense Secretary Donald Rumsfeld is on a way-day trip to Afghanistan today. He met with interim President Hamid Karzai in Kabul. The topics: the search for al Qaeda and Taliban holdouts, as well as Afghanistan's presidential election. It's set for October.

(BEGIN VIDEO CLIP)

PRES. HAMID KARZAI, AFGHANISTAN: Afghanistan, as of today, has 9.4 million people registered, and the election will take place on time, as scheduled, both for the president and the parliament. We have the international community helping us. We have the coalition helping us. We have the United States helping us with the elections.

(END VIDEO CLIP)

KAGAN: You just heard the numbers from the president, 10 million almost, Afghans are eligible to vote in this presidential election. Several candidates, including Karzai, want that job as president. Secretary Rumsfeld initially opposed a national intelligence director. That is a post urged by the 9/11 Commission. Now, he's warming up to the idea a little bit.

Our Pentagon correspondent, Barbara Starr, is traveling with the defense chief.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice over): As he began a week-long overseas trip, Defense Secretary Donald Rumsfeld offered his most detailed views so far for post-9/11 intelligence reform. The secretary would not be pinned down to any proposals now circulating in Washington, including any full endorsement of the proposals for a national director of intelligence.

DONALD RUMSFELD, DEFENSE SECRETARY: The president's proposal was that there be one. I agree. I think that's a good idea. And then the question is: One what?

STARR: Rumsfeld is urging that there be more definition of exactly what that job would be. The Pentagon is largest consumer of intelligence provided by the nation's $40 billion intelligence program, which is run mainly by the Pentagon.

Rumsfeld said he wasn't ready to make a recommendation whether the Pentagon should give up any of its authority to a new intelligence organization.

RUMSFELD: This is a very complicated subject, and we're in the middle of a war. And if you're going to tear down what is, you darn well better be rather certain about what you're going to put in its place.

STARR: The secretary is expected to testify before Congress next week and emphasize that any intelligence reforms must be tied to fixing specific problems in the post-9/11 world.

Barbara Starr, CNN, Muscat, Oman.

(END VIDEOTAPE)

KAGAN: Back here in the U.S., intelligence reform is a focus of committee hearings under way on Capitol Hill. Lawmakers are hearing testimony on the recommendations from the 9/11 report.

Our congressional correspondent, Ed Henry, is on the Hill with details.

Ed -- good morning.

ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Good morning, Daryn.

There are two hearings going on right now. But the one getting most of the attention is the one in the House Intelligence Committee. Of course, that's the panel that's been chaired for some seven years by Porter Goss, the president's pick now to head the CIA. Mr. Goss, though, stepped down last night, and he made it official this morning at the beginning of the hearing.

(BEGIN VIDEO CLIP)

REP. PORTER GOSS (R), CIA DIRECTOR NOMINEE: The text of the letter I sent to Mr. Hastert is as follows. 'Dear Mr. Speaker, as a result of the honor bestowed upon me by the president today, nominating me for the position of director of Central Intelligence, I believe it's appropriate to relinquish my position as chairman on the Permanent Select Committee on Intelligence during the pendency of the confirmation process of that nomination effective immediately.

'Therefore, I would ask that you appoint a member to take the chairmanship of the committee on a temporary basis effective immediately until the Senate makes a final determination on the president's nomination. I believe it continues to be appropriate for me to remain a member of the committee however. Thank you for your consideration of this request. Very truly your, Porter Goss.'

A copy to Miss Harmon. And that letter has been sent to the speaker.

(END VIDEO CLIP)

HENRY: 9/11 Commission Chairman Tom Kean is testifying at this hearing with his co-chair, Lee Hamilton. And Mr. Kean used the opportunity to speak directly to Mr. Goss at the hearing and warn him about the difficulties he will face if, in fact, Goss becomes director of the CIA.

(BEGIN VIDEO CLIP)

THOMAS KEAN, 9/11 COMMISSION CHAIRMAN: BCI has to direct agencies, and yet he can't control them. He doesn't receive an appropriation for their activities. And therefore, he has no control over their purse strings. He has little insight into how they spend their resources.

(END VIDEO CLIP)

HENRY: That is why the 9/11 Commission is pushing for creation of this new national director of intelligence that would supersede the CIA chief. But at a second hearing today in the House Armed Services Committee, they're hearing testimony from a top Pentagon official. Pentagon officials have been pushing back, saying that this new national director of intelligence could actually complicate military operations -- Daryn.

KAGAN: Well, and that complication would be, Ed, that the budget, I guess, because right now the Defense Department controls so much of that money.

HENRY: That's right, about 80 percent of the budget. But also, Pentagon officials are concerned that if this is not restructured properly it could be difficult to get intelligence information right out to the field, to the troops. And it could actually complicate military matters. And that's why they're pushing back in part, but also obviously critics think that people like Defense Secretary Donald Rumsfeld do not want to give up turf -- Daryn.

KAGAN: Ed Henry on his own home turf, Capitol Hill, thank you for that.

HENRY: Thank you.

KAGAN: A Pakistani man is in custody today. He was arrested videotaping a bank headquarters in Charlotte, North Carolina. Authorities are trying to determine whether or not he has any terrorist ties. A detention hearing for Kamran Shaikh, also known as Kamran Akhtar, is scheduled for Friday. He is suspected of videotaping other building in cities across the South, as well as transit systems and a dam in Texas. Police say he gave conflicting statements about his motives when he was arrested last month. He's being held on federal immigration charges.

Now to lies, deceit and a sexual tryst, all ingredients for murder -- so says Scott Peterson's prosecutors. His former mistress, Amber Frey, will continue her tale when she returns to the witness stand this afternoon.

Our Rusty Dornin is covering the double murder trial from Redwood City, California.

Good morning.

RUSTY DORNIN, CNN CORRESPONDENT: Good morning, Daryn.

Well, from the moment that Amber Frey took that stand, all eyes and ears were upon her in that hushed courtroom. She talked about the intimate details of her four dates with Scott Peterson. It was a tale she thought of a prince charming. She soon learned it more resembled a story about sex, lies and audiotape.

(BEGIN VIDEOTAPE)

DORNIN (voice over): She was nervous, but Amber Frey kept her composure in her first few hours on the stand. She described her first date with Scott Peterson in detail, how they met at this bar in Fresno and were intimate that night.

At times, the testimony resembled scenes from a romance novel as Frey painted Peterson as a man who was charming, who gave her champagne and talked of love and long term.

But from the first meeting, Peterson lied to Frey about his life. He told her he wasn't married. He lied about where he lived and where he's traveled.

The defense has already admitted that Peterson was a lying and cheating husband, but says it was only four dates, not much of a relationship.

Peterson's sister, Susan Caudillo, says Amber's testimony is nothing but a side show.

SUSAN CAUDILLO, SCOTT PETERSON'S SISTER: I mean, we all know he had an affair. That's not the issue here, you know. The issue is about Laci, and I don't think the two are connected whatsoever.

DORNIN: Frey says two weeks before Peterson's wife was reported missing, Peterson came to her house and cried. He told her he had lost his wife.

Five days later, they went to a Christmas party together, and Frey says Peterson told her he was going to Europe until the end of January. That statement, says one legal observer, is something powerful for prosecutors.

UNIDENTIFIED MALE: Certainly, the district attorneys are going to use that to show that he planned this homicide. Why would he tell Amber he's not going to be around in January, unless he was planning something?

DORNIN: Frey says she learned of Peterson's wife's disappearance on December 29 from a friend. She called police that night. The next day they came to her house and began recording their phone conversations.

(END VIDEOTAPE)

They played a few of those telephone conversations in court yesterday, notably the one on New Year's Eve 2002, apparently right as Scott Peterson was going to a candlelight vigil for his missing wife. Laci Peterson had been missing for about six days then. He called Amber Frey and told her he was in Paris, and that he was hanging out with some friends, Pascal and Francois, and that he had just seen fireworks on the Eiffel Tower.

We're expecting to hear more telephone conversations between the two. There are more than eight hours that police did record in the coming times with her on the stand.

Things are getting under way a little late this morning. They're going to be behind closed doors, presumably talking about the newly- discovered evidence that brought things to such an abrupt end next week. We don't know if we're going to hear anything about that in court today. But then again, the first person up on the stand will again be Amber Frey -- Daryn.

KAGAN: And getting back to her testimony, if you take away the guilt or innocence of Scott Peterson, it's very embarrassing to have this stuff played out in a public courtroom. What was his reaction as she was testifying?

DORNIN: He was just watching her intently and taking notes. She never looked at him other than the time the prosecutors asked her to identify him in court, which she did. But she never looks over in his direction. She never makes eye contact with him. He, on the other hand, is watching her intently throughout her testimony.

KAGAN: Rusty Dornin in Redwood City, thank you.

Other legal news to check on now. Police in Utah have a murder confession, but the victim's body has not been found. Lawyers say that Mark Hacking's confession to family members that he killed his wife is enough to build a murder case against him, even without Lori Hacking's body.

Mark Hacking appeared in court for first time yesterday. After a few nights off, crews will resume looking for Lori Hacking's body tomorrow.

Double trouble off the coast of the U.S. Not one, but two big storms may be taking aim at the mainland. The complete weather picture is ahead.

Also what could be the ugly truth about Americans in Athens? We'll tell you about some very strong advice being given to American tourists that are heading to the Olympics.

And next, our CNN.com click of the day, a wedding where it was no coincidence that there were a lot of empty plates and one empty seat.

CNN LIVE TODAY is back after this.

(COMMERCIAL BREAK) (BUSINESS NEWS UPDATE)

(COMMERCIAL BREAK)

KAGAN: The view from high above as Tropical Storm Bonnie makes plans for a trip toward the Florida Panhandle. Bonnie is expected to come ashore near Panama City tomorrow. And then there is Charley.

(WEATHER BREAK)

KAGAN: And now our most popular story on CNN.com. You're not going to believe this one, or perhaps you will. They killed a cousin during the family wedding. Then they cooked up and served his remains to the wedding guests. That's the charge from police in the Philippines.

Officials say during the wedding, the bride's father and three other relatives secretly killed a cousin for accidentally touching the bride's rear end, then roasted the man's body with coconut leaves and kerosene. Police say the four men then served the cooked remain to unsuspecting guests. All four have been arrested and charged with murder. The most popular story on CNN.com.

Things could get ugly in Athens. That's just what has some people worried. A warning going out to Americans, you don't want to be too obvious at the Olympics. It might not just be ugly; it might also be dangerous. That's coming up next.

And later, go West. That's exactly what the two presidential candidates are doing to round up support. The morning's most complete political wrap-up is ahead. (COMMERCIAL BREAK)

KAGAN: We want to tell you about some news that's just getting into us here at CNN, news out of Saudi Arabia. The Saudis announcing that they are going to increase their oil production to help meet the world demand that is out there. They say they're going to increase their output by 1.3 million barrels per day in order to help meet the immediate demand around the world.

Once again, the Saudis announcing they're going to increase their oil output. More on that ahead in our business news.

Right now, we want to focus on the thousands of American tourists that are heading for Athens for the Olympics.

Well, just like that animation, it's not hard to spot the Americans. Some travel experts have even labeled them ugly Americans. You've heard the term.

With anti-American sentiment running high overseas, falling into that stereotype can actually put you at risk.

Some bad traits you might want to keep in check: Criticizing local customs, demanding to find the American way of doing things when you're abroad, and making no effort to communicate in the native language.

The folks at "Town & Country Travel" magazine say the way you dress can also cause some attention and call attention to your home country.

Editor Melissa Biggs Bradley is here with us on some advice on how to blend in and stay safe.

Good morning.

MELISSA BIGGS BRADLEY, EDITOR, "TOWN & COUNTRY TRAVEL": Good morning, Daryn.

KAGAN: And, of course, this advice is not just for folks heading to Athens, but anybody traveling overseas.

BRADLEY: Absolutely. This is good advice for people going to Athens. But wherever you travel in the world, the idea of the ugly American is someone who is aggressively advertising American ways as opposed to trying to blend in to the culture where they are.

KAGAN: Just trying to be proud to be an American, but you also want to keep yourself safe. Let's first talk about what exactly you should wear or not wear. What do you leave at home?

BRADLEY: Well, I think what you should leave at home for everyday walking is your sneakers and your athletic gear. Unless you're actually competing in the Olympics, you should not be dressed up in sweat pants and sneakers to walk around the city. That's a very American habit. People in Europe don't do it at all. So, I would certainly not do that.

The other thing that you should not wear is lots of T-shirts with advertisements or slogans on them. That's, again, a typical American thing. Baseball hats, things like that.

KAGAN: We mentioned Hawaiian shirts, too.

BRADLEY: Absolutely. It's any kind of state-emblazoned shirt, whatever the style is, is not really appropriate abroad.

KAGAN: And an important thing is to cover up. We Americans go a bit bare when things get warm.

BRADLEY: Yes. Well, ironically, a lot of Americans think when they're in Europe and there are topless beaches that it's OK to show more of their flesh on the streets or in public places. And that's absolutely not true. I mean, the Games in Atlanta, if it was really hot, Americans sometimes would wear a bikini top or a bathing suit top or a tank top with shorts. And that is looked upon as very disrespectful dressing in most of Europe.

It's much better to cover up. Even when the weather is going to be really hot in Athens, you're better off wearing a long-sleeved, buttoned down, sort of very plain, white kind of shirt for the heat, but also just to blend in.

KAGAN: You mentioned baseball caps. There are other kinds of head wear you might want to avoid.

BRADLEY: Yes. Well, certainly baseball caps, cowboy hats. Things that are obviously American that other people around the world don't wear are just going to make you stand out.

KAGAN: And keep in mind, as you put together your things, you're going to be going through quite a few security checkpoints, whether it's at airports or other transportation stations or the actual arenas.

BRADLEY: Well, and actually, Daryn, a lot of the hotels with many American guests are even going to have checkpoints for visitors going in and out of the hotels. So, I think the best thing to do is to get dressed each day as though you're going to go through an airport security check. Don't wear belts or shoes with metal in them. Don't pack complicated backpacks with lots of key chains and things like that that are going to set off alarms. I would limit as much as you can, and bear in mind that you're going to be going through a lot of security probably multiple times a day.

KAGAN: And that you are a visitor. Melissa, thank you.

BRADLEY: Thank you.

KAGAN: Melissa Biggs Bradley from "Town & Country."

Some say the presidential race is close, and that means every single votes counts. Up next, our own Richard Quest. Well, he doesn't get to vote. He's British. But he does get personal with one minority group that might have been overlooked -- until now.

Stay with us.

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Aired August 11, 2004 - 11:00   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, CNN ANCHOR: Officials say one person was killed, 15 others were wounded today in a suspected suicide bomb attack north of Jerusalem. Israeli police say the bomber set off an explosion at a checkpoint between Jerusalem and Ramallah. The Al Aqsa Martyrs Brigade claimed responsibility. That, by the way, is an offshoot of Yasser Arafat's Fatah movement.
We're getting more information about a train collision in northwestern Turkey. Turkish media reports now say at least four people were killed and several were injured when two trains collided. This happened about 25 miles southeast of Istanbul. Thirty-nine people were killed last month when an express train traveling between Ankara and Istanbul crashed.

Florida is bracing for a pair of tropical storms. Bonnie is moving across the Gulf of Mexico toward the panhandle. Charley is churning through the Western Caribbean and could become a hurricane later today. The National Hurricane Center issues an update this hour. Our Jacqui Jeras will have details for you in about 15 minutes.

We are keeping you informed, CNN, the most trusted name in news.

We are just a minute past 11:00 a.m. on the East Coast and just past 8:00 a.m. on the West. From CNN center in Atlanta, good morning once again. I'm Daryn Kagan.

Up first on CNN, U.S. and Iraqi forces get ready to finish the fight in Najaf. Battles continue there for a seventh straight day. Now, the military says preparations are under way for a major assault against followers of radical Shiite cleric Muqtada al Sadr.

Let's get the latest now on the battle for Najaf. Our Matthew Chance is there and filed this report a short time ago.

(BEGIN VIDEOTAPE)

MATTHEW CHANCE, CNN CORRESPONDENT: Military officials here on the outskirt of Najaf are telling us that sporadic fighting is still continuing in the center of the city between U.S. forces on the ground and those loyal to the radical Shiite cleric, Muqtada al Sadr.

Much of that fighting is taking place around the mosque of Imam Ali. That's one of the holiest shrines in Shia Islam. Mehdi army fighters are holed up inside of it. They're firing mortar and rocket- propelled grenades and automatic weapon fire at U.S. troops, who are maintaining a cordon on the outside. That's how the standoff has really existed for the past week or so, just a few days less than a week, in fact, of that standoff developing.

And forces on both sides are very eager to know how they're going to bring this to an end. There are political discussions ongoing, we're told, between members of the Interim Iraqi Government and Muqtada al Sadr to try and get him to abandon this fight, to disarm the Mehdi militia, and be brought into the political process.

But there are other options being examined as well. One of those options is actually going into that sacred mosque and cleaning out those rebels, who are holed up inside. The U.S. military, though, is very mindful and sensitive of the fact that doing that with U.S. troops could make extremely big problems here amongst the Shiite Iraqis and could create some kind of very violent backlash.

And so, they're looking at ways at how they could limit that. But one of the ways might be to use Iraqi forces, the Iraqi security forces of the Interim Iraqi Government in some kind of forward position that would involve them going into the mosque and doing the clearing-out, the fighting with those Mehdi army fighters inside.

That's just one of the options being laid on the table at this stage, as perhaps this battle for Najaf reaches a new phase.

Matthew Chance, CNN, Najaf.

(END VIDEOTAPE)

KAGAN: And then there's this development coming out of Iraq. Former Iraqi Governing Council member Ahmed Chalabi returned to Iraq today from his summer home in Iran. He's going to face arrest on counterfeiting charges. Chalabi accuses the U.S. of cooking up the charges to end his political career. He was at one time a favorite in Washington and widely seen as Iraq's first post-Saddam leader.

His nephew, White who is overseeing the trial for Saddam Hussein, has been charged with murder. He is currently in Britain.

Defense Secretary Donald Rumsfeld is on a way-day trip to Afghanistan today. He met with interim President Hamid Karzai in Kabul. The topics: the search for al Qaeda and Taliban holdouts, as well as Afghanistan's presidential election. It's set for October.

(BEGIN VIDEO CLIP)

PRES. HAMID KARZAI, AFGHANISTAN: Afghanistan, as of today, has 9.4 million people registered, and the election will take place on time, as scheduled, both for the president and the parliament. We have the international community helping us. We have the coalition helping us. We have the United States helping us with the elections.

(END VIDEO CLIP)

KAGAN: You just heard the numbers from the president, 10 million almost, Afghans are eligible to vote in this presidential election. Several candidates, including Karzai, want that job as president. Secretary Rumsfeld initially opposed a national intelligence director. That is a post urged by the 9/11 Commission. Now, he's warming up to the idea a little bit.

Our Pentagon correspondent, Barbara Starr, is traveling with the defense chief.

(BEGIN VIDEOTAPE)

BARBARA STARR, CNN PENTAGON CORRESPONDENT (voice over): As he began a week-long overseas trip, Defense Secretary Donald Rumsfeld offered his most detailed views so far for post-9/11 intelligence reform. The secretary would not be pinned down to any proposals now circulating in Washington, including any full endorsement of the proposals for a national director of intelligence.

DONALD RUMSFELD, DEFENSE SECRETARY: The president's proposal was that there be one. I agree. I think that's a good idea. And then the question is: One what?

STARR: Rumsfeld is urging that there be more definition of exactly what that job would be. The Pentagon is largest consumer of intelligence provided by the nation's $40 billion intelligence program, which is run mainly by the Pentagon.

Rumsfeld said he wasn't ready to make a recommendation whether the Pentagon should give up any of its authority to a new intelligence organization.

RUMSFELD: This is a very complicated subject, and we're in the middle of a war. And if you're going to tear down what is, you darn well better be rather certain about what you're going to put in its place.

STARR: The secretary is expected to testify before Congress next week and emphasize that any intelligence reforms must be tied to fixing specific problems in the post-9/11 world.

Barbara Starr, CNN, Muscat, Oman.

(END VIDEOTAPE)

KAGAN: Back here in the U.S., intelligence reform is a focus of committee hearings under way on Capitol Hill. Lawmakers are hearing testimony on the recommendations from the 9/11 report.

Our congressional correspondent, Ed Henry, is on the Hill with details.

Ed -- good morning.

ED HENRY, CNN CONGRESSIONAL CORRESPONDENT: Good morning, Daryn.

There are two hearings going on right now. But the one getting most of the attention is the one in the House Intelligence Committee. Of course, that's the panel that's been chaired for some seven years by Porter Goss, the president's pick now to head the CIA. Mr. Goss, though, stepped down last night, and he made it official this morning at the beginning of the hearing.

(BEGIN VIDEO CLIP)

REP. PORTER GOSS (R), CIA DIRECTOR NOMINEE: The text of the letter I sent to Mr. Hastert is as follows. 'Dear Mr. Speaker, as a result of the honor bestowed upon me by the president today, nominating me for the position of director of Central Intelligence, I believe it's appropriate to relinquish my position as chairman on the Permanent Select Committee on Intelligence during the pendency of the confirmation process of that nomination effective immediately.

'Therefore, I would ask that you appoint a member to take the chairmanship of the committee on a temporary basis effective immediately until the Senate makes a final determination on the president's nomination. I believe it continues to be appropriate for me to remain a member of the committee however. Thank you for your consideration of this request. Very truly your, Porter Goss.'

A copy to Miss Harmon. And that letter has been sent to the speaker.

(END VIDEO CLIP)

HENRY: 9/11 Commission Chairman Tom Kean is testifying at this hearing with his co-chair, Lee Hamilton. And Mr. Kean used the opportunity to speak directly to Mr. Goss at the hearing and warn him about the difficulties he will face if, in fact, Goss becomes director of the CIA.

(BEGIN VIDEO CLIP)

THOMAS KEAN, 9/11 COMMISSION CHAIRMAN: BCI has to direct agencies, and yet he can't control them. He doesn't receive an appropriation for their activities. And therefore, he has no control over their purse strings. He has little insight into how they spend their resources.

(END VIDEO CLIP)

HENRY: That is why the 9/11 Commission is pushing for creation of this new national director of intelligence that would supersede the CIA chief. But at a second hearing today in the House Armed Services Committee, they're hearing testimony from a top Pentagon official. Pentagon officials have been pushing back, saying that this new national director of intelligence could actually complicate military operations -- Daryn.

KAGAN: Well, and that complication would be, Ed, that the budget, I guess, because right now the Defense Department controls so much of that money.

HENRY: That's right, about 80 percent of the budget. But also, Pentagon officials are concerned that if this is not restructured properly it could be difficult to get intelligence information right out to the field, to the troops. And it could actually complicate military matters. And that's why they're pushing back in part, but also obviously critics think that people like Defense Secretary Donald Rumsfeld do not want to give up turf -- Daryn.

KAGAN: Ed Henry on his own home turf, Capitol Hill, thank you for that.

HENRY: Thank you.

KAGAN: A Pakistani man is in custody today. He was arrested videotaping a bank headquarters in Charlotte, North Carolina. Authorities are trying to determine whether or not he has any terrorist ties. A detention hearing for Kamran Shaikh, also known as Kamran Akhtar, is scheduled for Friday. He is suspected of videotaping other building in cities across the South, as well as transit systems and a dam in Texas. Police say he gave conflicting statements about his motives when he was arrested last month. He's being held on federal immigration charges.

Now to lies, deceit and a sexual tryst, all ingredients for murder -- so says Scott Peterson's prosecutors. His former mistress, Amber Frey, will continue her tale when she returns to the witness stand this afternoon.

Our Rusty Dornin is covering the double murder trial from Redwood City, California.

Good morning.

RUSTY DORNIN, CNN CORRESPONDENT: Good morning, Daryn.

Well, from the moment that Amber Frey took that stand, all eyes and ears were upon her in that hushed courtroom. She talked about the intimate details of her four dates with Scott Peterson. It was a tale she thought of a prince charming. She soon learned it more resembled a story about sex, lies and audiotape.

(BEGIN VIDEOTAPE)

DORNIN (voice over): She was nervous, but Amber Frey kept her composure in her first few hours on the stand. She described her first date with Scott Peterson in detail, how they met at this bar in Fresno and were intimate that night.

At times, the testimony resembled scenes from a romance novel as Frey painted Peterson as a man who was charming, who gave her champagne and talked of love and long term.

But from the first meeting, Peterson lied to Frey about his life. He told her he wasn't married. He lied about where he lived and where he's traveled.

The defense has already admitted that Peterson was a lying and cheating husband, but says it was only four dates, not much of a relationship.

Peterson's sister, Susan Caudillo, says Amber's testimony is nothing but a side show.

SUSAN CAUDILLO, SCOTT PETERSON'S SISTER: I mean, we all know he had an affair. That's not the issue here, you know. The issue is about Laci, and I don't think the two are connected whatsoever.

DORNIN: Frey says two weeks before Peterson's wife was reported missing, Peterson came to her house and cried. He told her he had lost his wife.

Five days later, they went to a Christmas party together, and Frey says Peterson told her he was going to Europe until the end of January. That statement, says one legal observer, is something powerful for prosecutors.

UNIDENTIFIED MALE: Certainly, the district attorneys are going to use that to show that he planned this homicide. Why would he tell Amber he's not going to be around in January, unless he was planning something?

DORNIN: Frey says she learned of Peterson's wife's disappearance on December 29 from a friend. She called police that night. The next day they came to her house and began recording their phone conversations.

(END VIDEOTAPE)

They played a few of those telephone conversations in court yesterday, notably the one on New Year's Eve 2002, apparently right as Scott Peterson was going to a candlelight vigil for his missing wife. Laci Peterson had been missing for about six days then. He called Amber Frey and told her he was in Paris, and that he was hanging out with some friends, Pascal and Francois, and that he had just seen fireworks on the Eiffel Tower.

We're expecting to hear more telephone conversations between the two. There are more than eight hours that police did record in the coming times with her on the stand.

Things are getting under way a little late this morning. They're going to be behind closed doors, presumably talking about the newly- discovered evidence that brought things to such an abrupt end next week. We don't know if we're going to hear anything about that in court today. But then again, the first person up on the stand will again be Amber Frey -- Daryn.

KAGAN: And getting back to her testimony, if you take away the guilt or innocence of Scott Peterson, it's very embarrassing to have this stuff played out in a public courtroom. What was his reaction as she was testifying?

DORNIN: He was just watching her intently and taking notes. She never looked at him other than the time the prosecutors asked her to identify him in court, which she did. But she never looks over in his direction. She never makes eye contact with him. He, on the other hand, is watching her intently throughout her testimony.

KAGAN: Rusty Dornin in Redwood City, thank you.

Other legal news to check on now. Police in Utah have a murder confession, but the victim's body has not been found. Lawyers say that Mark Hacking's confession to family members that he killed his wife is enough to build a murder case against him, even without Lori Hacking's body.

Mark Hacking appeared in court for first time yesterday. After a few nights off, crews will resume looking for Lori Hacking's body tomorrow.

Double trouble off the coast of the U.S. Not one, but two big storms may be taking aim at the mainland. The complete weather picture is ahead.

Also what could be the ugly truth about Americans in Athens? We'll tell you about some very strong advice being given to American tourists that are heading to the Olympics.

And next, our CNN.com click of the day, a wedding where it was no coincidence that there were a lot of empty plates and one empty seat.

CNN LIVE TODAY is back after this.

(COMMERCIAL BREAK) (BUSINESS NEWS UPDATE)

(COMMERCIAL BREAK)

KAGAN: The view from high above as Tropical Storm Bonnie makes plans for a trip toward the Florida Panhandle. Bonnie is expected to come ashore near Panama City tomorrow. And then there is Charley.

(WEATHER BREAK)

KAGAN: And now our most popular story on CNN.com. You're not going to believe this one, or perhaps you will. They killed a cousin during the family wedding. Then they cooked up and served his remains to the wedding guests. That's the charge from police in the Philippines.

Officials say during the wedding, the bride's father and three other relatives secretly killed a cousin for accidentally touching the bride's rear end, then roasted the man's body with coconut leaves and kerosene. Police say the four men then served the cooked remain to unsuspecting guests. All four have been arrested and charged with murder. The most popular story on CNN.com.

Things could get ugly in Athens. That's just what has some people worried. A warning going out to Americans, you don't want to be too obvious at the Olympics. It might not just be ugly; it might also be dangerous. That's coming up next.

And later, go West. That's exactly what the two presidential candidates are doing to round up support. The morning's most complete political wrap-up is ahead. (COMMERCIAL BREAK)

KAGAN: We want to tell you about some news that's just getting into us here at CNN, news out of Saudi Arabia. The Saudis announcing that they are going to increase their oil production to help meet the world demand that is out there. They say they're going to increase their output by 1.3 million barrels per day in order to help meet the immediate demand around the world.

Once again, the Saudis announcing they're going to increase their oil output. More on that ahead in our business news.

Right now, we want to focus on the thousands of American tourists that are heading for Athens for the Olympics.

Well, just like that animation, it's not hard to spot the Americans. Some travel experts have even labeled them ugly Americans. You've heard the term.

With anti-American sentiment running high overseas, falling into that stereotype can actually put you at risk.

Some bad traits you might want to keep in check: Criticizing local customs, demanding to find the American way of doing things when you're abroad, and making no effort to communicate in the native language.

The folks at "Town & Country Travel" magazine say the way you dress can also cause some attention and call attention to your home country.

Editor Melissa Biggs Bradley is here with us on some advice on how to blend in and stay safe.

Good morning.

MELISSA BIGGS BRADLEY, EDITOR, "TOWN & COUNTRY TRAVEL": Good morning, Daryn.

KAGAN: And, of course, this advice is not just for folks heading to Athens, but anybody traveling overseas.

BRADLEY: Absolutely. This is good advice for people going to Athens. But wherever you travel in the world, the idea of the ugly American is someone who is aggressively advertising American ways as opposed to trying to blend in to the culture where they are.

KAGAN: Just trying to be proud to be an American, but you also want to keep yourself safe. Let's first talk about what exactly you should wear or not wear. What do you leave at home?

BRADLEY: Well, I think what you should leave at home for everyday walking is your sneakers and your athletic gear. Unless you're actually competing in the Olympics, you should not be dressed up in sweat pants and sneakers to walk around the city. That's a very American habit. People in Europe don't do it at all. So, I would certainly not do that.

The other thing that you should not wear is lots of T-shirts with advertisements or slogans on them. That's, again, a typical American thing. Baseball hats, things like that.

KAGAN: We mentioned Hawaiian shirts, too.

BRADLEY: Absolutely. It's any kind of state-emblazoned shirt, whatever the style is, is not really appropriate abroad.

KAGAN: And an important thing is to cover up. We Americans go a bit bare when things get warm.

BRADLEY: Yes. Well, ironically, a lot of Americans think when they're in Europe and there are topless beaches that it's OK to show more of their flesh on the streets or in public places. And that's absolutely not true. I mean, the Games in Atlanta, if it was really hot, Americans sometimes would wear a bikini top or a bathing suit top or a tank top with shorts. And that is looked upon as very disrespectful dressing in most of Europe.

It's much better to cover up. Even when the weather is going to be really hot in Athens, you're better off wearing a long-sleeved, buttoned down, sort of very plain, white kind of shirt for the heat, but also just to blend in.

KAGAN: You mentioned baseball caps. There are other kinds of head wear you might want to avoid.

BRADLEY: Yes. Well, certainly baseball caps, cowboy hats. Things that are obviously American that other people around the world don't wear are just going to make you stand out.

KAGAN: And keep in mind, as you put together your things, you're going to be going through quite a few security checkpoints, whether it's at airports or other transportation stations or the actual arenas.

BRADLEY: Well, and actually, Daryn, a lot of the hotels with many American guests are even going to have checkpoints for visitors going in and out of the hotels. So, I think the best thing to do is to get dressed each day as though you're going to go through an airport security check. Don't wear belts or shoes with metal in them. Don't pack complicated backpacks with lots of key chains and things like that that are going to set off alarms. I would limit as much as you can, and bear in mind that you're going to be going through a lot of security probably multiple times a day.

KAGAN: And that you are a visitor. Melissa, thank you.

BRADLEY: Thank you.

KAGAN: Melissa Biggs Bradley from "Town & Country."

Some say the presidential race is close, and that means every single votes counts. Up next, our own Richard Quest. Well, he doesn't get to vote. He's British. But he does get personal with one minority group that might have been overlooked -- until now.

Stay with us.

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