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U.S. Military Joining Relief Efforts in Southeast Asia; Communities Buried in Guatemala Mudslides

Aired October 10, 2005 - 10:30   ET

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

DARYN KAGAN, CNN ANCHOR: Secretary of State Condoleezza Rice is not expected to push central Asian governments for a swift democratic reform. Rice is leading Washington this hour to visit governments in the region. There is concern about alienating military allies, and the U.S. has decided not to criticize every anti-Democratic move there. Rice will visit Kyrgyzstan, Kazakhstan and Tajikistan and Afghanistan all this week.
A deal has apparently been reached that would give Germany its first female chancellor. Conservative leader Angela Merkel said her Christian Democratic party had reached an agreement with the Social Democrats. Under the current deal -- under the deal the current chancellor Gerhard Schroeder would step down, but the Social Democrats would keep eight of the 14 cabinet posts.

Today is Columbus Day and for some cities, that means parades. New York had its marches in its boroughs over the weekend. Today the big one will be held in Manhattan. It's the 61st annual Columbus Day parade, with Supreme Court Justice Antonin Scalia as the grand marshal. Chicago holds its 53rd annual Columbus Day parade today.

Now let's bring you the latest on what's happening -- we'll get to Guatemala in just a moment. But the death toll from the weekend earthquake in South Asia is climbing and government and rescue officials in Pakistan say that that country alone has seen about 30,000 killed. Officials say that number almost certainly will climb as crews reach remote areas and assess the devastation in Pakistan, India, and, to a lesser degree, Afghanistan. Entire villages were reportedly flattened by the Saturday earthquake, which measured a magnitude of 7.6. The U.S. has pledged an initial aid package of up to $50 million.

The U.S. military is taking a leading role in those relief efforts and immediately deployed aid helicopters to the region. U.S. military officials will coordinate their mission with Pakistani and Afghan forces.

Our Pentagon correspondent Barbara Starr joins now with us more. Barbara, good morning.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Good morning to you, Daryn.

Well, the first aid helicopters and first cargo flights now arriving in Pakistan and, by all accounts, we should expect to see many more flights, many more air missions in the days ahead. Pakistan saying it's in desperate need of assistance in terms of food, medicine, water, blankets, tents, basic life-saving supplies and search and rescue for any victims who may still be alive in all of that terrible rubble and landslides. They are looking for both helicopter search and rescue and heavy earth-moving equipment.

Officials here at the Pentagon worked all weekend trying to identify where the U.S. had some of that material, where they could get it and send it into Pakistan, just as quickly as possible. But it is, in fact, a sensitive political situation, Daryn.

Of course, Pakistan's president Pervez Musharraf, a close ally of the United States and the global war on terror. But certainly, it is worth remembering, he has a very significant, fundamentalist Islamic movement in his country that is not friendly to the United States. So there is a lot of concern about not having too heavy a U.S. military footprint inside Pakistan that would put President Musharraf under further political pressure, but still trying to give him as much assistance and aid as possible -- Daryn?

KAGAN: Barbara, let's talk about Osama bin Laden. It has long been believed and discussed that he could be hiding out in this part of the world, Pakistan, Afghanistan and that border area. I asked the Pakistani general a few moments ago what he thought about the search for Osama bin Laden. He said it wasn't a relevant question at this time, because so many civilians are in need of help.

STARR: Well, by all accounts, I think that's the view from here as well. We've asked that question around, and people here say they are focusing on trying to get relief and humanitarian assistance to the people in Pakistan who so desperately need it.

On the question of bin Laden, it's a question with no answer, Daryn. No one knows where he is so it's almost impossible to know whether he's dead or alive -- Daryn.

KAGAN: All right. That question will remain out there. Barbara Starr, thank you.

Now to Guatemala. Officials there saying they will simply abandon towns that were swallowed by massive landslides and declare those communities as graveyards. Last week's torrential rains, unleashed by Hurricane Stan, triggered the mudslides. More than a hundred communities have been cut off or buried.

CNN's Harris Whitbeck visits one of them.

(BEGIN VIDEOTAPE)

HARRIS WHITBECK, CNN CORRESPONDENT (voice-over): The town of Panabaj in Guatemala knows tragedy well. It was the scene of bloody massacres during Guatemala's civil war. The Park of Peace it built to honor its war dead is now filled with mud, and local authorities fear the entire town will be declared a cemetery.

"Panabaj's completely destroyed," says the deputy mayor. "There is just nothing left." The authorities say they may never know how many people were killed in the mudslide that buried the community last Thursday, but they say it could be close to a thousand.

(on camera): Survivors say the victims had no idea what was coming. It had been raining for about three days, but they had no idea that rain would cause the mud to come crashing down the mountainside.

(voice-over): Those survivors now search through the mud and debris and wait for humanitarian aid that still hasn't arrived.

"We need food to be distributed to the family," he says. "We are beginning to feel desperate."

While some major highways in the region have been cleared and aid is flowing from the regional capitol of Solola, the affected communities say local officials are blocking distribution efforts.

"There is too much bureaucracy," he says. "They are asking us for our identity papers, but they were lost in our houses."

Those who need help the most wait and wonder what will become of the town where tragedy has struck once more.

Harris Whitbeck, CNN, Panabaj, Guatemala.

(END VIDEOTAPE)

KAGAN: And then here in this country, a lot of people have no money, clothes or place to call home. Now, some victims of Hurricane Katrina have no other option. Up next, the race to file for bankruptcy before time runs out.

And millions could be wiped out. Fears ride high that a deadly flu strain could reach our borders. Are we prepared?

More of CNN LIVE TODAY after a quick break.

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KAGAN: It's about gasoline -- there are signs of upcoming relief for motorists, but the signs at gasoline stations right now might not reflect that picture. The Lundberg Survey says retail gas prices rose an average of 10 cents in the past two weeks. A big reason, refineries closed by Hurricane Rita or damaged by Hurricane Katrina. Many of those refineries are gradually going back online.

Meanwhile, many consumers have cut back, gasoline imports are rising and crude oil prices have dipped. Experts say all those factors should lead to lower prices at the pump. The national average for all three grades of unleaded gasoline is now at $2.93 a gallon. That is a 10 cent hike over two weeks. The average for self-serve regular is $22.91.

Their homes are no longer underwater, but now many New Orleans residents are swamped by debt instead.

More now from CNN's Allan Chernoff, that these people only have bankruptcy as their only option.

(BEGIN VIDEOTAPE)

ALLAN CHERNOFF, CNN CORRESPONDENT (voice-over): When Hurricane Katrina was about to hit New Orleans, Joseph Marino jumped into his truck with his partner and started driving. At a motel, Marino turned on a television and watched the levees break.

JOSEPH MARINO, KATRINA VICTIM: The first thing that came to my head was, oh my God. I guess I'm going have to file for bankruptcy.

CHERNOFF: Not only was Marino's home flooded, but his insurance company said his policy wouldn't cover the damage and he still had to make payments on his mortgage.

Marino, though, has no income coming in. His business, appraising homes in New Orleans, is in ruins and his bills are piling up, $35,000 in credit card debt,$190,000 remaining on his mortgage and a $10,000 home-equity loan.

MARINO: For the past month I have spent my time on the phone with mortgage companies, insurance companies, car -- you know, my car loan people, my -- everything, trying to keep the wolves at bay.

CHERNOFF: Marino had put most of his money into his home and business. He knew the bankruptcy law would be toughened in October and decided to call a lawyer.

MARINO: For me, strong make this telephone call, filing for bankruptcy, feels disgraceful. It feels disgraceful to me. I can't believe I did it, but I had no choice, because I have no idea about what the future will bring. I have no idea about what I'm going home to.

CHERNOFF: On October 17th, Washington will impose an income limit on who will be permitted to walk away from their debts by declaring bankruptcy. Marino is above that limit. After the deadline, he would have to pay off his debts using a five-year payment plan.

Marino's attorney says there's little choice, but to file now.

PAT VANCE, ATTORNEY: It's this simple. People who are in financial extremity right now don't know what their future will be like in six months. If they wait and do not file bankruptcy now when they know they're facing devastating economic losses, you're taking a chance.

CHERNOFF: There's little momentum in Congress to push back the deadline, so it appears yet another effect of Hurricane Katrina will be a rush of bankruptcy filings in the coming weeks from Americans, like Joseph Marino, who had been living comfortably only several weeks ago.

Allan Chernoff, CNN, New York.

(END VIDEOTAPE)

(STOCK MARKET REPORT)

KAGAN: European Union saying today it will ban all imports of live birds and feathers from Turkey. Now why are they doing that? The move follows lab results showing avian flu in that country. Thousands of birds have been culled in Turkey and Romania. Quarantine have also been imposed. Turkish authorities say nearly 2,000 turkeys have died from the disease at one farm. Authorities have detected the disease in poultry in Romania as well.

Concerns about avian flu spreading to the U.S. have prompted the government to prepare a response plan. But our Kathleen Koch tells us the draft proposal has a lot of holes in it.

(BEGIN VIDEOTAPE)

KATHLEEN KOCH, CNN CORRESPONDENT (voice-over): The draft U.S. plan to handle a massive pandemic warns if there were an outbreak in Asia, it would reach the U.S. in a few months, or even weeks. The plan, obtained by "The New York Times" and confirmed by CNN, says under the worst-case scenario more than 1.9 million Americans would die and hospitals would be overwhelmed. Riots break out at vaccination clinics, worse, some say, then the chaos after Hurricane Katrina.

MIKE LEAVITT, HHS SECY.: We could be battling 5,000 different fronts at the same moment.

KOCH: The plan calls for ramping up vaccine production to 10 times the current output. The president met with vaccine makers Friday, but experts say such an increase isn't likely unless the federal government itself on a yearly basis buys vaccines and insures manufacturers a profit.

LAURIE GARRETT, AUTHOR, "THE COMING PLAGUE": Some companies already do that, and that pretty much guarantees that they always have a certain level of vaccine supply. Our country has not historically done that, and we have a very mixed-up mechanism for distribution of flu vaccine, because we don't have a national health system.

KOCH: The plan suggest more states pass laws permitting the quarantine of effected areas, as Virginia has done. That state's pandemic flu plan, in place since 2002, includes new sophisticated labs for testing deadly pathogens and regular meetings with community leaders on how to respond.

DR. LISA KAPLOWITZ, VIRGINIA DEPT. OF HEALTH: How are businesses going to continue if a quarter of their workforce is ill at any one time? How are we going maintain a essential services? How are we going to be sure that we have police and fire services? We don't have all the answers.

KOCH: Six Democratic senators sent a letter to the Bush administration, expressing concern the government is, quote, "ill- prepared to respond to this looming crisis," and asking yet U.S. is so far behind other nations.

(on camera): The plant cannot control the action of other countries, who the U.S. must rely on to accurately report bird flu outbreaks, especially if the disease morphs into a form transmissible by humans. Officials say the U.S. response plan will be completed later this month.

Kathleen Koch, CNN, Washington.

(END VIDEOTAPE)

KAGAN: Coming up next, a concert with a cause. R&B star Usher ushers in the cash for victims of Hurricane Katrina in front of a very special audience in Atlanta. That's coming up next.

(COMMERCIAL BREAK)

KAGAN: R & B singer Usher was in the spotlight, but it was the victims of Hurricanes Katrina and Rita who were the unseen stars. About 500,000 evacuees attended his concert last night in Atlanta for free. The remaining tickets were sold to the general public. The money raised will help house the Gulf Coast evacuees.

Former President Bush says his weekend tour of the Gulf Coast reminds him of the tsunami devastation that he witnessed last year in Asia. Mr. Bush and former President Clinton have spearheaded private fundraising efforts for victims of both disasters.

We've been asking CNN viewers to e-mail us their thoughts on the rebuilding of New Orleans.

Brian in St. Louis, Missouri says: "The spirit of the city is in the people, not in the buildings. Bulldoze that rotting, decaying mess and move inland a few miles to higher ground. People in the 1700s did not think about things related to construction that we do now. You simply do not build a city in a hole that's going to be filled with water."

And a disagreeing point of view from Rich in Whitewater, Wisconsin. He says, "The spirit of New Orleans was in its decadence and the decadence of its buildings. Building something new and mimicking the old will only give it a Disney feeling that cannot capture the old. Some of the old neighborhoods may be saved, but New Orleans as a whole will never be the same and would waste human and national to even try."

To share your thoughts, read the latest on the relief efforts or electronically thumb through our galleries of images. Visit our Web site, CNN.com/katrina.

(WEATHER REPORT)

KAGAN: There's more ahead in the next hour of CNN LIVE TODAY. We're going to have the very latest on recovery and relief efforts after the major earthquake in South Asia. We are live from Pakistan and India. Plus, our Ryan Chilcote is just back from Afghanistan. This is the deadliest year yet for American soldiers there. You're going to hear his firsthand account of what it was like to go on patrol with soldiers and witness that country's elections.

The second hour of CNN LIVE TODAY will begin after a short break.

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