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New Arrests in Disappearance of Natalee Holloway; New Developments in Investigation of Possible Terror Plot in Northern California.

Aired June 09, 2005 - 07:0   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.


JACK CAFFERTY, CNN ANCHOR: I'm Jack Cafferty. President Bush is pressuring Congress to make key provisions of the Patriot Act permanent. Heightened FBI surveillance and greater law-enforcement powers may be here to stay.
BILL HEMMER, CNN ANCHOR: Also this morning, unsettling developments in Lodi, California, the terror probe: a fifth person now in custody overnight. And a live report ahead on the alleged plot to wage the holy war in the U.S. That's all ahead this hour on AMERICAN MORNING.

On a Thursday morning, 7:00 in New York, good morning to you.

CAROL COSTELLO, CNN ANCHOR: Good morning, everyone. There is a breaking news out of Aruba.

HEMMER: Certainly is. Breaking news from Aruba just moments ago, learning there are new arrests now in the disappearance of Natalee Holloway.

Karl Penhaul is in Aruba on the phone now with the latest.

Karl, what did you find out?

KARL PENHAUL, CNN CORRESPONDENT: Bill, three young men have been arrested in connection with the investigation for the disappearance of Natalee Holloway. As we speak, their homes are being searched for clues and any evidence that prosecutors can glean.

The island's chief prosecutor, Karen Janssen, has told me that the three men who are now arrested are the three men last seen in Natalee Holloway's company. Those are the three men with whom she left the Carlos and Charlie's Mexican bar in the wee small hours of the Monday when she disappeared. That then takes the note to five the total of people now arrested in this case over the weekend. Of course, those two other suspects, two security guards who were arrested and who yesterday have been detained for further eight days -- Bill.

HEMMER: Karl, what's the relationship between the three men picked up last night and the two men in court yesterday?

PENHAUL: Defense attorneys say there's absolutely no relationship between the group at all, that the group of two arrested over the weekend do not know the group of three now arrested. That, though, is obviously a key relationship which the police and prosecutors will be closely looking at. We do, of course, know that the three young men arrested this morning are friends. They do know one another, and they had been at Charlie and Carlos' bar.

HEMMER: Karl Penhaul watching that story in Aruba with breaking news. Again, to repeat, three others taken into custody overnight in Aruba, three young men who were seen at that bar with Natalee Holloway more than a week ago. So as Karl watches that in Aruba, we'll watch it here. More news when we get it.

Here's Carol.

COSTELLO: Absolutely.

Just a little more than a week into hurricane season and we may see the first named storm of the year as early as today. Right now a tropical depression is building in the Caribbean between Cuba and the South American coast. But as it grows in strength, it is expected to move into the Gulf. If it keeps getting stronger, it would become Tropical Storm Arlene.

And that's just the beginning. With forecasters predicting as many as 15 tropical storms this year, of those, seven to nine storms could grow into hurricanes, and as many of five of those could become major hurricanes with winds of 115 miles an hour or more. Four major hurricanes battered Florida in 2004. I'm sure you remember that. Caused more than $4 billion there in damage.

(WEATHER REPORT)

HEMMER: Six minutes past the hour now, Carol.

There are new developments in the investigation of a possible terror plot in northern California. A fifth man is now in custody, and the FBI says more arrests are possible. The investigation spreading beyond Lodi, California, in the Sacramento area, 40 miles to the north, and that's where Chris Lawrence is in Lodi.

What do we know about this fifth man, Chris? Good morning there.

CHRIS LAWRENCE, CNN CORRESPONDENT: Well, Bill, he is 19 years old and the son of one of the Islamic spiritual leaders already detained. We know that he's being held on immigration violation, but not his specific connection to the father and son who lived here.

(BEGIN VIDEOTAPE)

LAWRENCE (voice-over): Federal agents say some residents of this small town were making big plans to wage holy war in America.

KEITH SLOTTER, FBI SPECIAL AGENT: Although we believe these individuals are committed to acts of jihad against the U.S., we do not possess information concerning exact plans, timing, or specific targets of opportunity.

LAWRENCE: Two U.S. citizens are being held in the Sacramento County jail. Umer Hayat and his son, Hamid, have been accused of lying to FBI investigators. Court documents show that both men denied that Hamid Hayat attended a terrorist training camp. But after hours of interrogation the affidavit states, Hamid admitted he attended the camp in Pakistan. Photos of President Bush were used as targets during weapons training. And he specifically asked to come back to the U.S. to carry out his mission.

SCOTT MCGREGOR, U.S. ATTY: He also confirmed that the camp was run by Al Qaeda operatives and that they were being trained on how to kill Americans.

LAWRENCE: The accusations shocked this rural town south of Sacramento, where Umer Hayat drove an ice cream truck.

KARINA MURILLO, NEIGHBOR: He was very friendly with the kids.

LAWRENCE: Some neighbors tell us the Hayats have been in Lodi for years.

MURILLO: He never did anything to lead us to believe he would be planning something like this.

JOHNNY GRIFFIN, UMER HAYAT'S ATTY.: It's important for everyone to push the pause button.

LAWRENCE: Attorney Johnny Griffin says Umer Hayat is being labeled a terrorist without actually being accused.

GRIFFIN: Is he charged with any of those crimes? The answer is no. He is only charged with making a false statement.

LAWRENCE: Two local Islamic leaders have also been detained, at least one for violating his visa. But federal agents won't say how they may be connected to the Hayats. Their attorney tells CNN, quote, "They are victims of guilt by association" and, quote, "completely innocent."

(END VIDEOTAPE)

LAWRENCE: Now law enforcement sources tell CNN investigators are looking to see if the two acted as a conduit between terror groups and people right here in the U.S. So far, there are no charges to that effect -- Bill.

HEMMER: Chase Lawrence, thanks. Chris Lawrence in Lodi. Stay tuned to CNN for day and night for the most reliable news about your security.

Another busy day in Michael Jackson's case, and yet still no verdict. Jackson back in the hospital, too, on Wednesday. His spokeswoman says the visit was a follow-up to his weekend trip to the hospital, calling it a, quote, "basic, routine treatment for his back."

Meanwhile after arriving in white vans, jurors deliberated for six more hours on Wednesday. They are back at it today, but a short day. Many of those jurors have graduation ceremonies to attend at local high schools rather, so deliberations will end early.

Also on Wednesday a flapper-up within the Jackson camp over who should be talking on his behalf. In recent days, the Jackson family spokeswoman Raymone Bain has been talking to the press, so has Jackson's spiritual adviser, though, the Reverend Jesse Jackson. But lead defense attorney Tom Mesereau now says -- I'm, quoting in this statement -- "I have not authorized anyone to speak or hold any press conferences on behalf of Michael Jackson or his family." A gag order is in effect which the defense team will continue to honor. That from Tom Mesereau. There's also a statement on Jackson's Web site too.

We'll get an update from defense attorney Ann Bremner at the courthouse in our next half hour here on AMERICAN MORNING.

COSTELLO: Bill, actor Russell Crowe, he dropped a bombshell.

HEMMER: Yes, he did.

COSTELLO: Well, not really. A phone, I think he threw that.

He admitted he has an anger problem. He began his appearance on the David Letterman show last night with this joke.

(BEGIN VIDEOTAPE)

RUSSELL CROWE, ACTOR: Now...

DAVID LETTERMAN, LATE SHOW HOST: There you go.

CROWE: You may be wondering why I haven't called.

(END VIDEO CLIP)

COSTELLO: Letterman hid his phone because, of course, as you know, Crowe is charged with assaulting a hotel concierge with a phone. But then the actor turned serious, talking about how ashamed he was and what led to the incident. He also directly apologized to the injured man.

(BEGIN VIDEO CLIP)

CROWE: It wasn't just a thing that had come up. You know, we've had nine rooms in that hotel.

LETTERMAN: Right.

CROWE: Over a period of seven days. And everybody was having the same problems. You know, I -- without getting into the details, the bottom line is, I did something really stupid, and don't wish to ever repeat that again. And you know, actually while we've got the moment, you know, I would understand that right at the moment that Nestor and his family would be under a great deal of pressure, and I'd like to apologize to them directly for that as well.

LETTERMAN: These are the people involved in the incident?

CROWE: Yes.

LETTERMAN: Yes. Well, that's very gentlemanly of you.

(END VIDEO CLIP)

COSTELLO: He's still charged, though, with assault, and he could spend a couple years in jail. On "The Tonight Show," Tom Cruise act reacting to some of the recent stories about him, and proving he can laugh at himself, too.

(BEGIN VIDEO CLIP)

JAY LENO, LATE SHOW HOST: Somebody said you had a girlfriend? You know what I'm talking about? I heard...

TOM CRUISE, ACTOR: Yes. You asking me about that?

LENO: Look at you.

(CROSSTALK)

LENO: I have known you for what, 10 years, and this is, like, the silliest you've ever been.

(END VIDEO CLIP)

COSTELLO: Cruise continued to make fun of his notorious Oprah interview by, look, he's going to jump up and down on Jay Leno's couch.

Did you see that "Oprah?"

HEMMER: No. I know you did, though. You've been talking about it for weeks.

COSTELLO: I couldn't believe it. He was jumping on the couch, he was like at her feet, kneeling down. It was weird.

HEMMER: Tom Cruise...

COSTELLO: Weird now.

HEMMER: ... is making headlines every time he walks on to a sidewalk now. This is so contrary to how this guy acts, too. He's rather quiet, reserved. You think Crowe was jealous of Cruise's attention. What do you think?

COSTELLO: I don't know. There could be a method to both men's madness.

HEMMER: Right-o.

Twelve minutes past the hour. In a moment here, more on the breaking news out of Aruba today. Three new arrests in the Natalee Holloway case. Karl Penhaul reporting that just minutes ago. And we'll get back to the latest on that, Carol, in a moment. COSTELLO: We will indeed. Also the feds says a California father and son made plans to wage a holy war. Are there arrests evident of a wider plot?

And allegations of underage drinking along with boxing and mud wrestling. We'll show you a DVD that's grabbing the attention of police. That's ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: About 15 minutes past the hour now, following this breaking story out of Aruba. There have been three more arrests overnight in the disappearance of Natalee Holloway. The three men just charged are the ones who were seen giving Natalee a ride the night she disappeared. That was about 10 days ago. That brings the number of men in custody now to five total. Over the weekend, two security guards also arrested, charged with kidnapping and murder.

Attorney Chris Lejuez is representing one of those men, Abraham Jones, and Lejuez joins us again today, live from Palm Beach in Aruba.

Thank you for your time, Mr. Lejuez.

Again, want to know if you have heard about the news that just broke moments ago about three more men arrested overnight and what more you might be able to add on that, sir?

CHRIS LEJUEZ, DEFENSE ATTY.: Yes, I have heard the news. I have not heard it from the official authorities. I have not heard it from the prosecutor's office or from the police department. But I did confirm it from two independent sources that have told me these that three boys have been arrested overnight, and at present, at this very moment, the police are searching their houses.

HEMMER: And why were they arrested?

LEJUEZ: I have to owe you that answer, sir. I don't know.

HEMMER: Does your client know these three men?

LEJUEZ: My client does not know these three men, but I do know out of the files these three men were the last three to see Natalee Holloway at that night, probably the night of her disappearance, when they took her back to her hotel at approximately 2:30 in the morning.

HEMMER: Can you make the connection, then, between these three men who she was seen with at the club 10 days ago and your client and his friend, who were in court again yesterday?

LEJUEZ: As far as I know, there is no connection between these two security guards and the three men that were arrested tonight. My clients, I've asked him about this expressly, and he has denied them, and he has never heard about them before his arrest.

HEMMER: Do you know why it took some time to find these three others? LEJUEZ: No, well, they were heard already as witnesses. They have given a statement to the police. Probably their status changed right now from witness to suspect, and I do not know what the basis of that is. I do know that...

HEMMER: Go ahead. I'm sorry.

LEJUEZ: The public has been screaming for their arrests for quite some time now.

HEMMER: Is there anything to suggest at this point, any evidence that Natalee Holloway is not alive?

LEJUEZ: I have not seen such, sir. I have analyzed and checked the files that were handed to us by the prosecutor's office. I've searched, but I could not find anything that would point in the direction that Natalee Holloway would not be alive today.

HEMMER: As you know, the judge yesterday said there is significant evidence, or sufficient evidence at this point to hold your client. What was the evidence you saw in court yesterday?

LEJUEZ: No. There was a slight difference of statement between the two suspects that are in custody right now, but yesterday my client remembered, and he said, well, you know something I did forget to mention on that Sunday early in the morning, there was a small festival, beach party, and I did go to that party at the Holiday Inn Hotel in Aruba. I didn't remember it at the moment the police was questioning me. By saying that, there is no difference anymore between the statement of the two suspects. So I don't see no reason to keep them there.

HEMMER: But is there a chance the prosecutors have more evidence than they're showing at this point?

LEJUEZ: The prosecutors always have more evidence that they don't show until the people are charged.

HEMMER: Do you believe that's the case now?

LEJUEZ: I'm sure that's the case now, but I don't know if the evidence could be that relevant to keep our clients, the two security guards, in detention. I have no reason to believe that they have enough evidence to charge them.

HEMMER: One more thing here. It appears under Aruban law we found your client could be held for up to four months. Is that the case? Is that a possibility?

LEJUEZ: Well, yes, but every time they want to keep him for a longer period of time, the burden of proof becomes heavier. So they would have to show more to the judge. This time they got away with very, very little, probably because the judge finds that this case has to be investigated, but not because it was justified by the proof that was presented to the judge. HEMMER: All right, Chris Lejuez, the defense attorney, represents one of those being held now, Abraham Jones. Again, the news of the hour, three more picked up overnight, three men were who seen leaving that nightclub 10 days ago, along with Natalee Holloway. More when we get it out of Aruba on that.

Here's Carol.

COSTELLO: Still to come, Bill, Toyota considers a drastic move to help the U.S. auto industry. And it could affect your wallet. In the meantime, General Motors also considers a drastic move. That would be bankruptcy. Is it really an option? Andy's "Minding Your Business." That's next on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: Welcome back, everyone. Word from Toyota that it may pitch in to actually help rescue struggling U.S. car companies. A handout perhaps.

Here's Andy Serwer "Minding Your Business." What gives here?

ANDY SERWER, "FORTUNE" MAGAZINE: Well, it seems counterintuitive that the chairman of the world's second largest maker would be looking to help Ford and GM, but that's what Hiroshi Okuda yesterday, the chairman of Toyota, was saying in Japan, that Toyota will likely raise prices to help Ford and GM. Obviously higher prices for Toyota vehicles would make GM and Ford vehicles more attractive. Okuda was saying this because he fears if the U.S. auto industry collapses it would be bad for Japanese-American relations.

Honda -- this is interesting, stuff. Honda says it's not going to do this, because it would possibly violate U.S. law, U.S. antitrust law. Akuda said it would not because he would be raising prices on new vehicles. This raises all kinds of legal considerations, doesn't it? And it's interesting to see what GM's response would be. Toyota has stated point blank that it intends to become the world's largest automaker, passing GM within the decade.

JACK CAFFERTY, CNN ANCHOR: Did he also point out it would improve Toyota's margins on the cars it sells, and therefore its profits.

(CROSSTALK)

CAFFERTY: I mean, it's not entirely largess here.

SERWER: No, not at all.

Meanwhile, analysts are considering whether GM should file for bankruptcy to help its case out. Bankruptcy would protect its assets, and also possibly make a judge try to reduce its health care costs.

Rick Wagoner, the CEO of GM, dodged the question repeatedly. Here's an interesting point here: GM has $53 billion of cash and marketable securities on its balance sheet. It holds that. The market value of GM is $19 billion. That means it's worth less than its cash. Very interesting situation there.

COSTELLO: Man.

HEMMER: Thank you, Andy.

SERWER: You're welcome.

HEMMER: Time for the Question of the Day with Jack.

CAFFERTY: I was just thinking about that. I think I may be worth less than my cash as well. That's entirely possible.

SERWER: I'm not going to touch that.

HEMMER: Light bulbs going off.

CAFFERTY: President Bush visits a police training center in Columbus, Ohio later today. He's expected to call for the renewal of the Patriot Act. Mr. Bush hopes to persuade Congress not only to renew the Patriot Act, but to make it permanent. Key provisions of this law expire at the end of this year, including expanded powers for FBI search and surveillance.

Tuesday, the Senate Intelligence Committee -- there's an oxymoron -- approved revisions to the Patriot Act that would allow the FBI to subpoena records in terrorism investigations without the approval of a judge or a grand jury. That means, if you're a suspected terrorist, they come jump right in your bedroom window in the middle of the night without asking anybody's permission. The president maintains the Patriot Act is crucial in the fight against Al Qaeda. Civil libertarians counter that it's sweeping provisions are open to abuse.

The question is this, should the patriot act become a permanent law? AM@CNN.com.

COSTELLO: Some Democrats are even for this, which surprised me frankly, liberal Democrats.

CAFFERTY: Well, you know, the country is afraid of the kinds of things that happened on September 11th, and that fear is what gives rise to things like the Patriot Act.

COSTELLO: Well, the other what some might call disturbing aspect of this, is they rewrote this law, or they revised it in secret. Nobody has really seen it, you know, from the public. I mean, I can't go in and read it right now.

CAFFERTY: I think I'm worth less than my cash.

SERWER: You're cash ain't nothing but trash.

CAFFERTY: I think that's the real question of the day for me. I'm going to be messing around with that for the rest of the afternoon, Serwer. Thanks a lot.

SERWER: It's a good one, I'll tell you. HEMMER: Let's get a break here. In a moment, a spat in the Michael Jackson camp over who should be saying what to whom in the media. That's coming up here ahead on AMERICAN MORNING. Deliberations continue today.

(COMMERCIAL BREAK)

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Aired June 9, 2005 - 07:0   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
JACK CAFFERTY, CNN ANCHOR: I'm Jack Cafferty. President Bush is pressuring Congress to make key provisions of the Patriot Act permanent. Heightened FBI surveillance and greater law-enforcement powers may be here to stay.
BILL HEMMER, CNN ANCHOR: Also this morning, unsettling developments in Lodi, California, the terror probe: a fifth person now in custody overnight. And a live report ahead on the alleged plot to wage the holy war in the U.S. That's all ahead this hour on AMERICAN MORNING.

On a Thursday morning, 7:00 in New York, good morning to you.

CAROL COSTELLO, CNN ANCHOR: Good morning, everyone. There is a breaking news out of Aruba.

HEMMER: Certainly is. Breaking news from Aruba just moments ago, learning there are new arrests now in the disappearance of Natalee Holloway.

Karl Penhaul is in Aruba on the phone now with the latest.

Karl, what did you find out?

KARL PENHAUL, CNN CORRESPONDENT: Bill, three young men have been arrested in connection with the investigation for the disappearance of Natalee Holloway. As we speak, their homes are being searched for clues and any evidence that prosecutors can glean.

The island's chief prosecutor, Karen Janssen, has told me that the three men who are now arrested are the three men last seen in Natalee Holloway's company. Those are the three men with whom she left the Carlos and Charlie's Mexican bar in the wee small hours of the Monday when she disappeared. That then takes the note to five the total of people now arrested in this case over the weekend. Of course, those two other suspects, two security guards who were arrested and who yesterday have been detained for further eight days -- Bill.

HEMMER: Karl, what's the relationship between the three men picked up last night and the two men in court yesterday?

PENHAUL: Defense attorneys say there's absolutely no relationship between the group at all, that the group of two arrested over the weekend do not know the group of three now arrested. That, though, is obviously a key relationship which the police and prosecutors will be closely looking at. We do, of course, know that the three young men arrested this morning are friends. They do know one another, and they had been at Charlie and Carlos' bar.

HEMMER: Karl Penhaul watching that story in Aruba with breaking news. Again, to repeat, three others taken into custody overnight in Aruba, three young men who were seen at that bar with Natalee Holloway more than a week ago. So as Karl watches that in Aruba, we'll watch it here. More news when we get it.

Here's Carol.

COSTELLO: Absolutely.

Just a little more than a week into hurricane season and we may see the first named storm of the year as early as today. Right now a tropical depression is building in the Caribbean between Cuba and the South American coast. But as it grows in strength, it is expected to move into the Gulf. If it keeps getting stronger, it would become Tropical Storm Arlene.

And that's just the beginning. With forecasters predicting as many as 15 tropical storms this year, of those, seven to nine storms could grow into hurricanes, and as many of five of those could become major hurricanes with winds of 115 miles an hour or more. Four major hurricanes battered Florida in 2004. I'm sure you remember that. Caused more than $4 billion there in damage.

(WEATHER REPORT)

HEMMER: Six minutes past the hour now, Carol.

There are new developments in the investigation of a possible terror plot in northern California. A fifth man is now in custody, and the FBI says more arrests are possible. The investigation spreading beyond Lodi, California, in the Sacramento area, 40 miles to the north, and that's where Chris Lawrence is in Lodi.

What do we know about this fifth man, Chris? Good morning there.

CHRIS LAWRENCE, CNN CORRESPONDENT: Well, Bill, he is 19 years old and the son of one of the Islamic spiritual leaders already detained. We know that he's being held on immigration violation, but not his specific connection to the father and son who lived here.

(BEGIN VIDEOTAPE)

LAWRENCE (voice-over): Federal agents say some residents of this small town were making big plans to wage holy war in America.

KEITH SLOTTER, FBI SPECIAL AGENT: Although we believe these individuals are committed to acts of jihad against the U.S., we do not possess information concerning exact plans, timing, or specific targets of opportunity.

LAWRENCE: Two U.S. citizens are being held in the Sacramento County jail. Umer Hayat and his son, Hamid, have been accused of lying to FBI investigators. Court documents show that both men denied that Hamid Hayat attended a terrorist training camp. But after hours of interrogation the affidavit states, Hamid admitted he attended the camp in Pakistan. Photos of President Bush were used as targets during weapons training. And he specifically asked to come back to the U.S. to carry out his mission.

SCOTT MCGREGOR, U.S. ATTY: He also confirmed that the camp was run by Al Qaeda operatives and that they were being trained on how to kill Americans.

LAWRENCE: The accusations shocked this rural town south of Sacramento, where Umer Hayat drove an ice cream truck.

KARINA MURILLO, NEIGHBOR: He was very friendly with the kids.

LAWRENCE: Some neighbors tell us the Hayats have been in Lodi for years.

MURILLO: He never did anything to lead us to believe he would be planning something like this.

JOHNNY GRIFFIN, UMER HAYAT'S ATTY.: It's important for everyone to push the pause button.

LAWRENCE: Attorney Johnny Griffin says Umer Hayat is being labeled a terrorist without actually being accused.

GRIFFIN: Is he charged with any of those crimes? The answer is no. He is only charged with making a false statement.

LAWRENCE: Two local Islamic leaders have also been detained, at least one for violating his visa. But federal agents won't say how they may be connected to the Hayats. Their attorney tells CNN, quote, "They are victims of guilt by association" and, quote, "completely innocent."

(END VIDEOTAPE)

LAWRENCE: Now law enforcement sources tell CNN investigators are looking to see if the two acted as a conduit between terror groups and people right here in the U.S. So far, there are no charges to that effect -- Bill.

HEMMER: Chase Lawrence, thanks. Chris Lawrence in Lodi. Stay tuned to CNN for day and night for the most reliable news about your security.

Another busy day in Michael Jackson's case, and yet still no verdict. Jackson back in the hospital, too, on Wednesday. His spokeswoman says the visit was a follow-up to his weekend trip to the hospital, calling it a, quote, "basic, routine treatment for his back."

Meanwhile after arriving in white vans, jurors deliberated for six more hours on Wednesday. They are back at it today, but a short day. Many of those jurors have graduation ceremonies to attend at local high schools rather, so deliberations will end early.

Also on Wednesday a flapper-up within the Jackson camp over who should be talking on his behalf. In recent days, the Jackson family spokeswoman Raymone Bain has been talking to the press, so has Jackson's spiritual adviser, though, the Reverend Jesse Jackson. But lead defense attorney Tom Mesereau now says -- I'm, quoting in this statement -- "I have not authorized anyone to speak or hold any press conferences on behalf of Michael Jackson or his family." A gag order is in effect which the defense team will continue to honor. That from Tom Mesereau. There's also a statement on Jackson's Web site too.

We'll get an update from defense attorney Ann Bremner at the courthouse in our next half hour here on AMERICAN MORNING.

COSTELLO: Bill, actor Russell Crowe, he dropped a bombshell.

HEMMER: Yes, he did.

COSTELLO: Well, not really. A phone, I think he threw that.

He admitted he has an anger problem. He began his appearance on the David Letterman show last night with this joke.

(BEGIN VIDEOTAPE)

RUSSELL CROWE, ACTOR: Now...

DAVID LETTERMAN, LATE SHOW HOST: There you go.

CROWE: You may be wondering why I haven't called.

(END VIDEO CLIP)

COSTELLO: Letterman hid his phone because, of course, as you know, Crowe is charged with assaulting a hotel concierge with a phone. But then the actor turned serious, talking about how ashamed he was and what led to the incident. He also directly apologized to the injured man.

(BEGIN VIDEO CLIP)

CROWE: It wasn't just a thing that had come up. You know, we've had nine rooms in that hotel.

LETTERMAN: Right.

CROWE: Over a period of seven days. And everybody was having the same problems. You know, I -- without getting into the details, the bottom line is, I did something really stupid, and don't wish to ever repeat that again. And you know, actually while we've got the moment, you know, I would understand that right at the moment that Nestor and his family would be under a great deal of pressure, and I'd like to apologize to them directly for that as well.

LETTERMAN: These are the people involved in the incident?

CROWE: Yes.

LETTERMAN: Yes. Well, that's very gentlemanly of you.

(END VIDEO CLIP)

COSTELLO: He's still charged, though, with assault, and he could spend a couple years in jail. On "The Tonight Show," Tom Cruise act reacting to some of the recent stories about him, and proving he can laugh at himself, too.

(BEGIN VIDEO CLIP)

JAY LENO, LATE SHOW HOST: Somebody said you had a girlfriend? You know what I'm talking about? I heard...

TOM CRUISE, ACTOR: Yes. You asking me about that?

LENO: Look at you.

(CROSSTALK)

LENO: I have known you for what, 10 years, and this is, like, the silliest you've ever been.

(END VIDEO CLIP)

COSTELLO: Cruise continued to make fun of his notorious Oprah interview by, look, he's going to jump up and down on Jay Leno's couch.

Did you see that "Oprah?"

HEMMER: No. I know you did, though. You've been talking about it for weeks.

COSTELLO: I couldn't believe it. He was jumping on the couch, he was like at her feet, kneeling down. It was weird.

HEMMER: Tom Cruise...

COSTELLO: Weird now.

HEMMER: ... is making headlines every time he walks on to a sidewalk now. This is so contrary to how this guy acts, too. He's rather quiet, reserved. You think Crowe was jealous of Cruise's attention. What do you think?

COSTELLO: I don't know. There could be a method to both men's madness.

HEMMER: Right-o.

Twelve minutes past the hour. In a moment here, more on the breaking news out of Aruba today. Three new arrests in the Natalee Holloway case. Karl Penhaul reporting that just minutes ago. And we'll get back to the latest on that, Carol, in a moment. COSTELLO: We will indeed. Also the feds says a California father and son made plans to wage a holy war. Are there arrests evident of a wider plot?

And allegations of underage drinking along with boxing and mud wrestling. We'll show you a DVD that's grabbing the attention of police. That's ahead on AMERICAN MORNING.

(COMMERCIAL BREAK)

HEMMER: About 15 minutes past the hour now, following this breaking story out of Aruba. There have been three more arrests overnight in the disappearance of Natalee Holloway. The three men just charged are the ones who were seen giving Natalee a ride the night she disappeared. That was about 10 days ago. That brings the number of men in custody now to five total. Over the weekend, two security guards also arrested, charged with kidnapping and murder.

Attorney Chris Lejuez is representing one of those men, Abraham Jones, and Lejuez joins us again today, live from Palm Beach in Aruba.

Thank you for your time, Mr. Lejuez.

Again, want to know if you have heard about the news that just broke moments ago about three more men arrested overnight and what more you might be able to add on that, sir?

CHRIS LEJUEZ, DEFENSE ATTY.: Yes, I have heard the news. I have not heard it from the official authorities. I have not heard it from the prosecutor's office or from the police department. But I did confirm it from two independent sources that have told me these that three boys have been arrested overnight, and at present, at this very moment, the police are searching their houses.

HEMMER: And why were they arrested?

LEJUEZ: I have to owe you that answer, sir. I don't know.

HEMMER: Does your client know these three men?

LEJUEZ: My client does not know these three men, but I do know out of the files these three men were the last three to see Natalee Holloway at that night, probably the night of her disappearance, when they took her back to her hotel at approximately 2:30 in the morning.

HEMMER: Can you make the connection, then, between these three men who she was seen with at the club 10 days ago and your client and his friend, who were in court again yesterday?

LEJUEZ: As far as I know, there is no connection between these two security guards and the three men that were arrested tonight. My clients, I've asked him about this expressly, and he has denied them, and he has never heard about them before his arrest.

HEMMER: Do you know why it took some time to find these three others? LEJUEZ: No, well, they were heard already as witnesses. They have given a statement to the police. Probably their status changed right now from witness to suspect, and I do not know what the basis of that is. I do know that...

HEMMER: Go ahead. I'm sorry.

LEJUEZ: The public has been screaming for their arrests for quite some time now.

HEMMER: Is there anything to suggest at this point, any evidence that Natalee Holloway is not alive?

LEJUEZ: I have not seen such, sir. I have analyzed and checked the files that were handed to us by the prosecutor's office. I've searched, but I could not find anything that would point in the direction that Natalee Holloway would not be alive today.

HEMMER: As you know, the judge yesterday said there is significant evidence, or sufficient evidence at this point to hold your client. What was the evidence you saw in court yesterday?

LEJUEZ: No. There was a slight difference of statement between the two suspects that are in custody right now, but yesterday my client remembered, and he said, well, you know something I did forget to mention on that Sunday early in the morning, there was a small festival, beach party, and I did go to that party at the Holiday Inn Hotel in Aruba. I didn't remember it at the moment the police was questioning me. By saying that, there is no difference anymore between the statement of the two suspects. So I don't see no reason to keep them there.

HEMMER: But is there a chance the prosecutors have more evidence than they're showing at this point?

LEJUEZ: The prosecutors always have more evidence that they don't show until the people are charged.

HEMMER: Do you believe that's the case now?

LEJUEZ: I'm sure that's the case now, but I don't know if the evidence could be that relevant to keep our clients, the two security guards, in detention. I have no reason to believe that they have enough evidence to charge them.

HEMMER: One more thing here. It appears under Aruban law we found your client could be held for up to four months. Is that the case? Is that a possibility?

LEJUEZ: Well, yes, but every time they want to keep him for a longer period of time, the burden of proof becomes heavier. So they would have to show more to the judge. This time they got away with very, very little, probably because the judge finds that this case has to be investigated, but not because it was justified by the proof that was presented to the judge. HEMMER: All right, Chris Lejuez, the defense attorney, represents one of those being held now, Abraham Jones. Again, the news of the hour, three more picked up overnight, three men were who seen leaving that nightclub 10 days ago, along with Natalee Holloway. More when we get it out of Aruba on that.

Here's Carol.

COSTELLO: Still to come, Bill, Toyota considers a drastic move to help the U.S. auto industry. And it could affect your wallet. In the meantime, General Motors also considers a drastic move. That would be bankruptcy. Is it really an option? Andy's "Minding Your Business." That's next on AMERICAN MORNING.

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HEMMER: Welcome back, everyone. Word from Toyota that it may pitch in to actually help rescue struggling U.S. car companies. A handout perhaps.

Here's Andy Serwer "Minding Your Business." What gives here?

ANDY SERWER, "FORTUNE" MAGAZINE: Well, it seems counterintuitive that the chairman of the world's second largest maker would be looking to help Ford and GM, but that's what Hiroshi Okuda yesterday, the chairman of Toyota, was saying in Japan, that Toyota will likely raise prices to help Ford and GM. Obviously higher prices for Toyota vehicles would make GM and Ford vehicles more attractive. Okuda was saying this because he fears if the U.S. auto industry collapses it would be bad for Japanese-American relations.

Honda -- this is interesting, stuff. Honda says it's not going to do this, because it would possibly violate U.S. law, U.S. antitrust law. Akuda said it would not because he would be raising prices on new vehicles. This raises all kinds of legal considerations, doesn't it? And it's interesting to see what GM's response would be. Toyota has stated point blank that it intends to become the world's largest automaker, passing GM within the decade.

JACK CAFFERTY, CNN ANCHOR: Did he also point out it would improve Toyota's margins on the cars it sells, and therefore its profits.

(CROSSTALK)

CAFFERTY: I mean, it's not entirely largess here.

SERWER: No, not at all.

Meanwhile, analysts are considering whether GM should file for bankruptcy to help its case out. Bankruptcy would protect its assets, and also possibly make a judge try to reduce its health care costs.

Rick Wagoner, the CEO of GM, dodged the question repeatedly. Here's an interesting point here: GM has $53 billion of cash and marketable securities on its balance sheet. It holds that. The market value of GM is $19 billion. That means it's worth less than its cash. Very interesting situation there.

COSTELLO: Man.

HEMMER: Thank you, Andy.

SERWER: You're welcome.

HEMMER: Time for the Question of the Day with Jack.

CAFFERTY: I was just thinking about that. I think I may be worth less than my cash as well. That's entirely possible.

SERWER: I'm not going to touch that.

HEMMER: Light bulbs going off.

CAFFERTY: President Bush visits a police training center in Columbus, Ohio later today. He's expected to call for the renewal of the Patriot Act. Mr. Bush hopes to persuade Congress not only to renew the Patriot Act, but to make it permanent. Key provisions of this law expire at the end of this year, including expanded powers for FBI search and surveillance.

Tuesday, the Senate Intelligence Committee -- there's an oxymoron -- approved revisions to the Patriot Act that would allow the FBI to subpoena records in terrorism investigations without the approval of a judge or a grand jury. That means, if you're a suspected terrorist, they come jump right in your bedroom window in the middle of the night without asking anybody's permission. The president maintains the Patriot Act is crucial in the fight against Al Qaeda. Civil libertarians counter that it's sweeping provisions are open to abuse.

The question is this, should the patriot act become a permanent law? AM@CNN.com.

COSTELLO: Some Democrats are even for this, which surprised me frankly, liberal Democrats.

CAFFERTY: Well, you know, the country is afraid of the kinds of things that happened on September 11th, and that fear is what gives rise to things like the Patriot Act.

COSTELLO: Well, the other what some might call disturbing aspect of this, is they rewrote this law, or they revised it in secret. Nobody has really seen it, you know, from the public. I mean, I can't go in and read it right now.

CAFFERTY: I think I'm worth less than my cash.

SERWER: You're cash ain't nothing but trash.

CAFFERTY: I think that's the real question of the day for me. I'm going to be messing around with that for the rest of the afternoon, Serwer. Thanks a lot.

SERWER: It's a good one, I'll tell you. HEMMER: Let's get a break here. In a moment, a spat in the Michael Jackson camp over who should be saying what to whom in the media. That's coming up here ahead on AMERICAN MORNING. Deliberations continue today.

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