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Presidential News Conference; Iran Faces End-of-Month U.N. Deadline on Nuclear Plans; London Terror Plot

Aired August 21, 2006 - 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: Let's go to Jerusalem. Our Paula Hancocks is live there to talk about that part of the story -- Paula.
PAULA HANCOCKS, CNN CORRESPONDENT: Hello, Daryn.

Well, the one thing President Bush was very definite about was the fact that the need for this international force to be put into southern Lebanon is urgent. And this is something that is agreed on by most sides, the fact that this is a fragile cease-fire and the quicker this U.N. force can get on the ground and the Israeli forces can withdraw from southern Lebanon, then the better.

Now, he also said that he was pledging $230 million in an aid package for Lebanon itself. Now, that's to rebuild houses, residential houses that have been destroyed during this war. Also to rebuild bridges and to rehabilitate schools so that children can go back to school in the fall.

He was also saying that when he saw the first Hezbollah rockets hit northern Israeli towns, he then had a moment of clarity and said that it was a chance for the world to see the challenge that places like Israel and the United States face, saying that terrorism is now part of the 21st century. Now, he wouldn't be drawn when reporters were asking him on that commando raid that happened in the early hours of Saturday morning, when Israeli troops went in to Lebanon itself. He just said that everyone had to realize what had started this conflict, the fact that two Israeli soldiers being kidnapped by Hezbollah guerrillas was what started the conflict in its entirety -- Daryn.

KAGAN: Paula Hancocks in Jerusalem.

Thank you for that.

President Bush asked about Iraq quite a bit, said -- he even brought up the topic of civil war. He said civil war in Iraq is something that he is concerned about, and yet he is believing in the government of Iraq, saying that the people there do not want that.

On that topic, let's go to our Barbara Starr at the Pentagon -- Barbara.

BARBARA STARR, CNN PENTAGON CORRESPONDENT: Well, Daryn, the president's remarks, perhaps, were extremely striking, because two of his top generals recently spoke about the sectarian violence on Capitol Hill, said that it was the worst they had ever seen it, and that they had concerns about civil war, even though they didn't think civil war was here yet in Iraq. But today, the president addressed that issue head on.

Here's what he had to say.

(BEGIN VIDEO CLIP)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: I hear a lot of talk about civil war. I'm concerned about that, of course. I -- and I've talked to a lot of people about it. And what I found from my talks are that the Iraqis want a unified country and that the Iraqi leadership is determined to thwart the efforts of the extremists and the radicals and al Qaeda. And that the security forces remain united behind the government.

(END VIDEO CLIP)

STARR: But, Daryn, the president talking -- saying the words, actually, "civil war," and that he's concerned about it is a clear indication that that subject is on his agenda, that he is thinking about it, spending some time considering whether or not Iraq is in civil war.

The last we heard from Secretary of Defense Donald Rumsfeld, he said it wasn't a classic civil war in Iraq, that he didn't see that, but a lot of concern about the sectarian violence still. The president now saying that he is concerned. Those are two words, "civil war," that the Pentagon doesn't like to use. The president used them today -- Daryn.

KAGAN: Barbara, thank you.

Let's go live to Iraq. Our Michael Holmes is standing by in Baghdad for the latest there in terms of what the president had to say here, that he believes Iraqis do want a unified country and that the government will fight back against giving in to civil war -- Michael.

MICHAEL HOLMES, CNN CORRESPONDENT: Daryn, hello.

Yes, they certainly do want a unified country. They want, first of all, a peaceful country.

Now, I've got to say that I talked to a lot of Iraqis, of course, and U.S. credibility on the ground here in Iraq is, well, pretty much zero. The president talks about it being -- concerned about civil war. He says -- I think he said, in U.S. interests that this country succeeds. And Iraqis see it that way, but it's all about U.S. interests, not necessarily about theirs.

They feel that they're in a lose-lose situation. Should U.S. troops pull out? They'd be delighted. They feel occupied. They feel threatened.

I was talking to an Iraqi today who said he was driving to his house, a U.S. patrol was coming down the street, he looked the other way, he saw gunmen go in the house, put on a vests, go in the house and get weapons. That's what life's like for Iraqis. But if the U.S. does leave, what are they left with? Yes, probably civil war.

So, they feel that it's a lose-lose situation. But you talk to most Iraqis, they'll put the blame for that at the feet of the U.S.

KAGAN: All right. Michael Holmes live in Baghdad.

The U.N. Security Council came up quite a bit as well. Two topics. We'll get to both.

First, the international force that is being built to protect southern Lebanon.

Our Liz Neisloss standing by at the U.N.

Liz, we'll get to that. And then we'll talk about Iran.

LIZ NEISLOSS, CNN CORRESPONDENT: Well, Daryn, on the subject of Lebanon, there is a real problem for President Bush, who authored a cease-fire resolution, along with the French. The French were leading. The French were expected to make a big contribution to the Lebanon forces, and to the surprise of many officials, both at the U.S. and in the U.N., the French are only making a small contribution, citing a problem with the rules of engagement, how will this force be able to operate?

Now, senior U.N. officials very clearly say the French were there, they understand the rules of engagement are there. They are very strong. These forces will be able to defend themselves.

However, the U.N. is also making it very clear that this new UNIFIL, this beefed up U.N. force in southern Lebanon, will not be there to disarm Hezbollah. And this will be a big problem as many walk away from this resolution with different interpretations, but the U.N. making it clear that's not going to be a job of these U.N. troops -- Daryn.

KAGAN: Quickly, another big job, a big date coming up next week for the U.N., the deadline that's been given to Iran over their nuclear plans. How is that playing out at the U.N. with the Security Council?

NEISLOSS: Well, this is a ball that is coming back into the court of the Security Council. I think many diplomats were hoping for better news.

The German foreign minister saying recently that he is very skeptical that the Iranians are going to comply. There is a resolution that says that if they don't stop their uranium enrichment by the end of the month, that economic sanctions could be put into place.

There is, again, a bit of fuzzy language in the resolution. So it remains to be seen whether or not the Russians and the Chinese will work together on this. But certainly, the U.S. is going to be pushing.

The U.S. ambassador, John Bolton, is now speaking at the Security Council on both those subjects.

KAGAN: All right. We'll let you listen in to the ambassador and we'll check back with you if he makes any news.

Thank you.

Liz Neisloss, live at the U.N.

Let's go live to Tehran -- to Iran. Our Aneesh Raman is standing by there.

Aneesh, what's the word from Tehran? Are they paying attention to the pressure from the U.N.?

ANEESH RAMAN, CNN CORRESPONDENT: Certainly they are. They say that pressure, Daryn, is routed in pressure from the U.S.

We heard from President Bush tempered tones, if you will, about Iran. Clearly intent on not presenting this nuclear issue as a U.S. versus Iran scenario, but instead, a broader international community that is pressuring Iran to suspend its nuclear program.

This issue comes down to two things, trust and respect. In terms of the trust, you heard President Bush say, imagine Iran with a nuclear weapon. This country has denied from the start it is pursuing a nuclear weapon. Instead, that it is in pursuit of a peaceful civilian nuclear program and that without credible evidence that a weapons program is in the works, it should be entitled to pursue that.

That is the crux of the nuclear issue. The (INAUDIBLE) is that Iran is a rising power in the region. We saw that in the recent war between Israel and Hezbollah. Iran sees itself as rising further by the day.

It wants the U.S. to treat it with respect. It wants engagement by the U.S. administration. And Iran clearly intent on raising the stakes continually if that does not happen.

Today, a strong suggestion of what to expect tomorrow, when we're going to hear the official response from Iran. The country's top official, the supreme leader, saying Iran will essentially not suspend its program but go on pursuing nuclear energy -- Daryn.

KAGAN: Aneesh Raman, live in Tehran.

You heard Liz Neisloss say that the U.S. ambassador to the U.N., John Bolton, speaking at the U.N.

Let's listen in.

(JOINED IN PROGRESS)

JOHN BOLTON, U.S. AMB. TO U.N.: Each country should be making its own decision, and the secretary then can coordinate their arrival in Lebanon -- Sir.

QUESTION: The Iranian leader has declared today that they will continue their program despite the Security Council resolution.

Is there any comment?

BOLTON: None that I will give for the moment. We were -- what we're awaiting there, definitive response. And -- which is overdue, by our lights. But the Security Council gave them until the 31st of August to complete the suspension of their uranium enrichment activities. So they still have a few days.

QUESTION: Ambassador, are you saying on this new resolution that you are already working on such a concept, such a resolution of disarming Hezbollah, or are you -- or is there possibly a time frame given to the Lebanese government before you move on to a resolution?

Can you explain that?

BOLTON: Well, Resolution 1701 itself expressly says that we would consider changes, enhancements to the mandate of the expanded UNIFIL. And obviously one critical element of the political solution in Lebanon contemplated fully by Resolution 1559 is that all of the armed militia groups would be disarmed.

And so the question of dealing with Hezbollah or whether they deal with themselves by becoming a real political party instead of a terrorist group is obviously on the agenda. But there is no timetable.

QUESTION: Ambassador, there is an element in 1701 which uses sort of the Chapter 7 language in terms of the borders when the council says it decides. Is this -- can you talk about that for me and talk of the borders?

BOLTON: Right, we -- well, we...

QUESTION: Do you need more on that?

BOLTON: We think those provisions are binding on all U.N. member states. The resolution also says that the government of Lebanon can request assistance from UNIFIL to help secure the borders. We would certainly welcome such a request when UNIFIL is enhanced to give that assistance.

Yes, ma'am?

QUESTION: Mr. Ambassador, last week Lakhdar Brahimi wrote an op- ed article in "The New York Times" saying that we need to talk to the Hezbollah right now. And then he wrote in another article -- said that we need to talk to the Syrians.

Do you think it's about time to speak with the Hezbollah and the Syrians and also with the Iranians regarding Lebanon?

BOLTON: No.

Yes, ma'am? QUESTION: Mr. Ambassador, there seems to be quite a number of questions about the rules of engagement, which appears to be holding up possible commitments, particularly from the Europeans. What's your understanding of whether there are going to be new clarifications to the -- to the rules of engagement? Are the rules of engagement that you got over the weekend and that governments have been studying from the Department of Peacekeeping acceptable? Could you give us a sense of where this stands?

BOLTON: Well, the concept of operations and draft rules of engagement were distributed to 70-plus countries, I think, on Friday. And many of the potential troop contributors were very much involved in helping to draft the concept of operations and rules of engagement.

The fact is that we should keep our eye focused on the objective, which is that the combined efforts of the government of Lebanon and UNIFIL in southern Lebanon should result in the government of Israel being able to withdraw and no security vacuum being created by these parallel operations. No security vacuum into which Hezbollah can re- infiltrate.

So, the issue is really how effectively UNIFIL can assist the government of Lebanon as it deploys south and as Israel turns over sector -- various sectors in the southern part of the country, as it has already turned over very substantial portions of the territory south of the Litani. I don't doubt there will be other discussions on the rules of engagement, and you'll recall the original American position was we wanted a very robust multinational force, not even under -- possibly under even -- even under U.N. command.

The government of Lebanon made it clear they did not want a multinational force. They did not want a Chapter 7 mandate. They wanted pretty much what Resolution 1701 provides. But -- so those are the circumstances in which we're operating, and that was known to all of the co-sponsors of the resolution at the time it was adopted.

QUESTION: Could I just do a quick follow-up? "The Jerusalem Post" reported today that the secretary-general was going to announce some new rules of engagement that would allow the U.N. peacekeepers to shoot Hezbollah fighters. I wondered whether that was in the rules of engagement that you've seen.

BOLTON: I haven't seen that, but I'm always eager to read additional press stories and find out what I should know -- Talal (ph).

QUESTION: Mr. Ambassador, you have been briefed, of course, this morning by the Department of Peacekeeping Operations. After listening to them, how confident are you that the U.N. will be able to come up with the numbers they need?

KAGAN: We're going to leave the United Nations right now and U.S. ambassador to the U.N. , John Bolton.

We're going to Scotland Yard. An announcement about some of the suspects in last week's alleged airline plot. Let's listen in to that.

(JOINED IN PROGRESS)

SUSAN HEMMING, COUNTERTERRORISM DIVISION: ... and asked to advise on some preliminary legal issues both prior to the arrest and just after.

Together with another CPS lawyer, I have been working with the police full time at New Scotland Yard for the last eight days. We have been carefully examining and assessing the evidence against each individual, and with the assistance of anti-terrorist officers we have come to a charging decision at the earliest practicable opportunity.

This morning, I made a decision that there was sufficient evidence and authorized with the approval of the director of public prosecution the charge of 11 individuals. Eight are currently being charged with two offenses relating to the alleged plot to manufacture and smuggle the component parts of improvised explosive devices onto aircraft and assemble and detonate them on board. Those individuals are being charged with conspiracy to murder and the new offense of preparing acts of terrorism contrary to Section Five of the Terrorism Act 2006.

In addition, three separate individuals are being charged with other offenses under the Terrorism Act 2000. One, a 17-year-old, is being charged with possession of articles useful to a person preparing an act of terrorism. And two, with failing to disclose information of material assistance in preventing an act of terrorism. One woman has been released from custody without charge.

I would like to remind you of the need to take care in reporting the events surrounding this alleged plot. These individuals are only accused of these offenses at the moment and they have a right to a fair trial. It is extremely important that they -- there should be responsible media reporting which should not prejudice the due process of law.

Finally, 11 other individuals are still in custody and remain under active investigation. Their position is being assessed on a regular basis with a view to considering the need to keep them in detention.

We cannot yet make a decision about whether further charges will follow or if a further application for detention will be made on Wednesday, when the current applications run out. We're looking at the evidential picture on a regular basis as it's continually developing. Any application will be made by a crowned prosecutor from my division to a high court judge in accordance with the new legislation.

I'll now pass you over to Deputy Assistant Commissioner Clarke.

DEP. COMM. PETER CLARKE, METROPOLITAN POLICE ANTITERRORIST BRANCH: Thank you. And good afternoon. This is the first time we've been able to release information about the progress of the investigation since the morning of the arrests on the 10th of August. This is not because we have wanted to withhold information from the public. On the contrary.

We want to tell the public as much as we can about the terrorist threat. But we have now reached the stage where I can give you more details. I cannot give you a running commentary on the inquiry, neither can I give details of the specific evidence against individuals. What I can give is an indication of the type of evidence that will be presented in support of the prosecution.

First, there is evidence from surveillance carried out before the 10th of August. This includes important, indeed, highly significant, video and audio recordings. I can also tell you that since the 10th of August, we have found bomb-making equipment.

There are chemicals, including hydrogen peroxide, electrical components, documents and other items. We've also found a number of video recordings. These are sometimes referred to as martyrdom videos.

This is all combined to give us a clearer picture of the alleged plot. However, the investigation is far from complete. The scale is immense. Inquiries will span the globe. The enormity of the alleged plot will be matched only by our determination to follow every lead and line of inquiry.

I shall try now to give you an idea of the size and complexity of this investigation.

There have been so far some 69 searches. These have been in houses, flats and business premises, vehicles and open spaces. As well as the bomb-making equipment, we have found more than 400 computers, 200 mobile telephones, and 8,000 items of removable storage media such as memory sticks, CDs and DVDs. So far, from the computers alone, we have removed some 6,000 gigabytes of data.

The meticulous investigation of all this material will take many months. All the data will be analyzed. There will be thousands of forensic examinations and comparisons. Fingerprints, DNA, electronic data, handwriting comparisons, chemical analysis and, indeed, the full range of forensic disciplines will be used.

Aside from this particular case, we continue working with the security service and others to investigate the threat from terrorism. I would like to reassure the public that we are doing everything we can to keep you safe, for you to live your lives without being in constant fear.

However, we must be realistic. The threat from terrorism is real. It is here. It is deadly. And it is enduring.

As we all look for explanations, we cannot afford to be complacent and ignore the reality... KAGAN: We've been listening in to this news conference from Scotland Yard talking about the alleged airline terror plot where there were a number of arrests back on August 10th. We only listened for a short amount of time and, yet, fascinating, because we're learning more information than we have in the last week or so, including that 11 of those who were arrested have now been charged, eight of those with conspiracy to commit murder, plus other charges.

Three others with other offenses, including a 17-year-old. And one woman who was in custody has been released. Eleven still are in custody.

Also, there was talk of the kind of evidence that Scotland Yard has collected, including surveillance audio and video, bomb-making materials, and a number of video recordings, or what they called martyrdom videos.

Our Deborah Feyerick is in New York, but spent a good deal of last week in London covering this story, and she joins us now -- Deb.

DEBORAH FEYERICK, CNN CORRESPONDENT: Well, Daryn, we can tell you, I spoke to somebody close to the investigation who said that once all the evidence is put forth, it is very unlikely that anybody will believe that this was some sort of conspiracy in the sense of conspiracy theorists trying to knock down the evidence that's available. They say the evidence is simply too strong. And this source who is close to investigators says that, in fact, it appears that the younger members who are currently in custody, they're the ones who are actually going to be charged with wanting to carry those bombs on board the 10 U.S. jetliners.

Now, listening to the press conference, we did hear that a clear picture of this plot is now emerging, that the evidence is there. They did find bomb-making materials, including hydrogen peroxide. They also found electrical components.

We are told by sources close to investigators that they were able to find a good deal of evidence in a woods outside of London. That's where they had been concentrating their search last week. And we understand that that is where much of the material is coming from.

Also, we are being told by this press conference that the scale of this particular investigation is immense, that it is going to lead them to many different countries. Many different people have to be interviewed. Again, they're right now piecing together the DNA evidence, fingerprints, whatever is available, all of this to put together a prosecution in this case -- Daryn.

KAGAN: Deborah Feyerick, live in New York City.

Thank you, as the picture begins to emerge of this alleged airline plot out of the U.K.

We also have a developing story in Virginia, a lockdown at a university there. We'll have the latest for you there.

Also, police are searching for this man, who is suspected of killing a police officer.

What is next for the suspect in the JonBenet Ramsey case? You'll find out right here on CNN.

You are watching, by the way, the most trusted name in news.

We're back after this.

(COMMERCIAL BREAK)

KAGAN: Breaking news out of Blacksburg, Virginia. Virginia Tech in lockdown.

Tony Harris has details on that -- Tony.

TONY HARRIS, CNN ANCHOR: Yes. Quite a scene, Daryn.

As you mentioned, classes have been canceled. The university essentially shut down, on lockdown today there in Blacksburg.

University employees there at Virginia Tech have been told to stay in their offices and lock the doors. Students who live on campus have been told to return to their dorm rooms and lock the doors. Here's why.

Local police are trying to capture -- and we have a picture of the suspect, a prisoner who escaped shortly after being transported yesterday -- here he is -- from the county jail in Christiansburg to a hospital in Blacksburg for a leg injury. The suspect is named 24- year-old -- he's 24 years old. His name is William Charles Morva (ph).

And reporter Rachel DePompa of our affiliate in Blacksburg, WDBJ, has more information for us.

RACHEL DEPOMPA, REPORTER, WDBJ: I'm Rachel DePompa in Blacksburg, Virginia, right outside of the Virginia Tech campus where we've had a police officer shot and killed this morning in Blacksburg. A suspect has been on the run for two days now, Charles William Morva (ph).

Yesterday, a deputy was taken into the area hospital when that officer was overpowered, shot, and then a security guard at the hospital was shot and killed. The suspect, Charles William Morva (ph), went on the run. He's been on the loose in this community.

And this morning at 7:15 in the morning, Corporal Eric Suston (ph) with the Montgomery County Sheriff's Office, lost his life. He was fatally shot.

Morva (ph) was seen on the Huckleberry Trail, which is a well- known trail in this area that people hike and bike on. That area is surrounded. Police are on alert.

It's tense right now here in Blacksburg. The Virginia Tech campus is shut down. They had a false alarm earlier today, where a student center was shut down because they thought they had a sighting of him.

So it's a tense time right now here in Blacksburg. Police are on the lookout for this suspect. They say he is armed and dangerous and people need to stay away. We've already had three shootings, two people have been killed in two days.

Back to you.

HARRIS: OK.

Once again, let's take a look at a picture of the suspect, Daryn. He's 24 years old. His name is William Charles Morva (ph). And the campus at Virginia Tech University in Blacksburg has been shut down today.

University employees have been told to stay in their offices, lock the doors. Students have been told to go back to their dorms and lock their rooms.

We will keep an eye on the situation -- Daryn.

KAGAN: All right, Tony. Thank you for that.

HARRIS: Sure thing.

KAGAN: Let's turn now to the latest on the JonBenet Ramsey case, what we know right now.

Suspect John Mark Karr is being held under tight security in a Los Angeles jail cell. Officials say guards are under orders to check on him every 15 minutes. Karr is out of reach of other inmates who may target suspected child molesters.

Karr will face a much different menu than what he enjoyed on his flight. He dined on business class fare of roast duck, prawns and pate. It's not clear when Karr will be extradited to Colorado.

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