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American Morning
DSK Accuser Speaks Out; Debt Talk Gridlock; Norway Terror Suspect In Court; Schwarzenegger Son Injured; Amy Winehouse Dead at 27; Debt Ceiling Compromise Not Yet Reached; New Study Shows High Suspension Rate for Texas Schools; Does School Discipline Go Overboard?; Norway Terror Suspect Leaves Court
Aired July 25, 2011 - 08:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CHRISTINE ROMANS, CNN ANCHOR: I'm Christine Romans.
She's stayed silent for more than two months. Now, the hotel maid who says she was sexually assaulted by Dominique Strauss-Kahn, she's speaking out. She says she wants to see the former IMF boss behind bars.
ALI VELSHI, CNN ANCHOR: Debt talk gridlock.
I'm Ali Velshi.
With the deadline looming, congressional leaders are scrambling to come up with the deal. But with little progress to report, there are real concerns about the price you and your investment and your retirement are going to pay -- on this AMERICAN MORNING.
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ROMANS: And good morning, everyone. It's Monday, July 25th. Kiran Chetry is off this Monday morning.
VELSHI: We've got a lot to talk about. We are in the final throes of this debate or lack of debate about the debt ceiling. We'll have more on that.
But, first, the hotel maid side of the story. The woman who says she was sexually assaulted by Dominique Strauss-Kahn is speaking out. Thirty-two-year-old Nafissatou Diallo, seen here in an interview with ABC, is saying, quote, "I want him to go to jail. I want him to know there are some places you cannot use your power and you cannot use your money," end quote.
ROMANS: The rest of her remarks about the incident that night are the subject of this week's "Newsweek's" cover story.
Joining us now, "Newsweek's" Paris bureau chief and the man who interviewed Diallo for that cover story, Christopher Dickey.
Welcome to the program.
CHRISTOPHER DICKEY, PARIS BUREAU CHIEF, NEWSWEEK: It's a pleasure.
ROMANS: Why did she decide to do these interviews? I mean, what is she trying -- is she trying to push prosecutors to continue with a case, do you think?
DICKEY: Well, I think her lawyers want to do that because I think there's a real issue that the prosecution feels it cannot prove beyond a reasonable doubt that Dominique Strauss-Kahn sexually assaulted her, even though there's a lot of probable cause to believe that. So, she's just sick of being branded as a prostitute, dealt with, as somebody who's low-life. She's a very proud woman. And this is her attempt to publicize her case, but also to clear her name.
VELSHI: You followed the case, so you knew as much detail as any journalist would know about it. Was there anything you learned in your conversation from her that you didn't know or that surprised you?
DICKEY: It didn't exactly surprise me, but there was an important thing in the interview that came out very strongly that hadn't really come out before, and that was how important her job was to her and how much she was concerned that having found herself in this bizarre circumstance with a naked man in a hotel room, that somehow that would be turned around into a situation where she would lose her job, maybe lose her immigration status in this country, basically lose everything she's worked for, for many, many years. And that was the point of coercion.
Physically, she's bigger than Dominique Strauss-Kahn. And she's a fit woman. So, there was the whole question, why would she do this if she didn't have a gun to her head? Well, the threat of losing her job or the fear of that was just like having a gun to her head.
VELSHI: Interesting.
Now, what did she say about the credibility issues? Because that is what her attorneys have really been jumping on this woman. She was -- she quickly went to the police, quickly went to her bosses and then credibility issues came up later.
DICKEY: Well, actually, her bosses came to her, her supervisor comes in, and finds her completely distraught and says, what's wrong? And she says, well, I -- can guests do this to us? And that is how it snowballs.
I spent a lot of time with the special victims' squad, people who worked with her, talked with her soon after the event. They interviewed people who have been assaulted or who are lying about being assaulted all the time. They found her incredibly convincing.
VELSHI: And these are experienced professionals who deal with victims.
DICKEY: Absolutely.
VELSHI: You said that there were some forced tears.
DICKEY: There were. There were. And I think the reason the prosecution is so worried about this case is not really anything that she says in her account of the attempted rape and the sexual assault. It's that it is clear -- she admits -- that she lied on her asylum application about a rape in Guinea, her home country. And in the lying about that, she had a rehearsed version of that story to tell to interviewers in the asylum process that would move people to tears.
VELSHI: Right.
DICKEY: So, if you put her on the stand and you say you lied about that. You moved people to tears about that and that wasn't true, then how can we trust your account of this?
But the thing to remember, we don't know what Strauss-Kahn's account of this is.
VELSHI: Right.
DICKEY: His entire defense is built on tearing her apart.
ROMANS: Well, a good prosecutor puts her on the stand and says, you know, that in many countries, there are three possibilities arguments for appealing for asylum and everybody goes through this. You know what I mean? That it is not uncommon for people to lie for asylum.
DICKEY: Yes. And one of the things, the great thing about doing an interview like this over the course of the hours is it does clear up things. When I saw that she listened to a tape and rehearsed on the basis of the tape for her asylum application, I thought, well, that's really suspicious. And then it turns out she can't read or write. That's why she was listening to a tape.
VELSHI: What about her conversation with this person she knew?
DICKEY: Amara Tarawally in the detention center in Arizona?
VELSHI: Yes, yes.
DICKEY: Well, you know, that is really a bad piece of journalism on the part of "The New York Times" and also on the part of everybody who picked up on it. She supposedly says to him, "This is a rich guy. I know what I'm doing." So, they seem to be talking about money the day after the event. Well --
ROMANS: Talking in their own language, by the way.
DICKEY: In their own language, in Filani (ph), difficult to find a good translator of that particular dialect, so on and so forth.
All of that was -- it took them a long time to transcribe, a long time to translate. And when that quote was leaked to "The New York Times," first of all, it's not a real quote. It's a paraphrase. Secondly, they didn't have the transcript. They had a one-page summation of one and maybe more conversations.
So, you know, to convict her in the public mind, which to the larger extent of what happened, of being a money grubber or a gold digger, you know, depending on a paraphrase of something in another language when we don't have the transcript, this is just not on.
VELSHI: Interesting.
All right. Christopher, thank you for this. Christopher Dickey is the Paris bureau chief of "Newsweek" and "The Daily Beast." And it's cover story on "Newsweek" -- definitely worth the read.
Thank you for being with us.
ROMANS: The story continues to be compelling with all the twists and turns.
VELSHI: It absolutely does.
ROMANS: All right. A Democratic congressman from Oregon is the center of an ethics investigation. David Wu is accused of aggressive and unwanted sexual behavior toward a teenage daughter girl of a long- time campaign donor. One of Wu's advisers telling "Politico" that the congressman will finish his term and then retire.
VELSHI: And now to the emergency meetings in Washington over raising the debt ceiling. And this morning, a new political force has entered the debate, financial markets. They're down overseas because of Washington's inability to strike a deal, or at least in part because of that.
And on yesterday's "STATE OF THE UNION," Treasury Secretary Timothy Geithner stressed that now is not the time for lawmakers to be injecting uncertainty into America's economy.
(BEGIN VIDEO CLIP)
TIMOTHY GEITHNER, U.S. TREASURY SECRETARY: Well, let me tell you what we're trying to do, OK? The most important thing is that we remove this threat of default from the country for the next 18 months.
Very important we do that. We can't leave the American economy with this cloud of --
CANDY CROWLEY, HOST, CNN'S "STATE OF THE UNION": Through the election?
GEITHNER: Yes, I would say through the election. This is a hard thing to do. And you want to take this out of politics. You don't want politics messing around with America's credit.
(END VIDEO CLIP)
VELSHI: Today, President Obama is canceling two political fund- raising appearances so that he can focus on the debt ceiling crisis.
ROMANS: Our Dan Lothian is live at the White House.
Dan, where are the two sides this morning? I mean, they seem to be, each of them, in their bunkers.
DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: That's right.
ROMANS: And nervously eyeing European and Asian markets.
LOTHIAN: That's right. Right now, they're still divided as ever, hopeful that a deal can be reached, as you pointed. You know, there's been a lot of concern going into the weekend that there should be some kind of deal that should be developed in order to ease some of the worries, not only in the global markets, but also the U.S. markets. But, of course, no agreement there.
What you have from the Democrat, Senate Majority Leader Harry Reid, pushing a plan that would raise the debt ceiling through the end of 2012 and have cuts of $2.7 trillion.
On the Republican side, House Speaker John Boehner pushing a two-tier system where you raise the debt ceiling through 2011 and then you do another raise in 2012. And he says that any plan should have some of the principles of "cut, cap and balance," which, of course, the House passed and the Senate rejected last week. Nonetheless, he remains optimistic that a deal can get done by the August 2nd deadline.
(BEGIN VIDEO CLIP)
REP. JOHN BOEHNER (R-OH), SPEAKER OF THE HOUSE: I was born with a glass half full. I'm the optimist. And it's about trying to find common ground.
Yes, I understand the president feels that we need a bigger government, more spending here in Washington. I believe allowing the American people to keep more of that money is the best way to create jobs and grow our economy.
But having said the fact that we're on -- it's almost like we come from two different planets, my job, on behalf of the country, is to find as much common ground as we can to help move the country ahead.
(END VIDEO CLIP)
LOTHIAN: Now, Ali, Christine, you know Democrats have not always been on the same page in this debate. But one thing they all agree on is that they do not want any kind of short-term deal in terms of raising the debt ceiling and it's for a couple of reasons. First of all, they don't believe getting that short-term deal will provide any stability to the financial markets. Also, if it's so difficult to get this deal done now, imagine trying to get another deal hammered out in the midst of this campaign season.
And so, that's why you see really hard pushback from Democrats and the president in particular, saying no to any deal that does not raise the debt limit through the end of 2012.
VELSHI: Dan, you know, one of the things -- both for you and Christine -- which I think is important to recognize, and I'm sure the White House recognizes and I'm hoping congressional leaders recognize it, we may be past the point of no return. The credit limit is not just going to be downgraded because the U.S. defaults.
ROMANS: Right.
VELSHI: There are people out there who are saying we just don't trust that the U.S. has the ability to do this anymore.
So, a short term deal --
ROMANS: Political disarray, they say, political disarray no matter what is something --
VELSHI: Right. So, a short-term deal doesn't address that, Dan.
LOTHIAN: I think you're right. And that's something that you've heard talked about not only here at the White House but up on Capitol Hill, the concern that even now, if you do some sort of short- term deal just to get over the huge hurdle, which is raise that debt ceiling, it's not going to ease some of the concerns, some of the jitters out there in the financial markets.
Nonetheless, it is something that has to be done, as everyone points out. And this deadline that Republicans have been talking about, John Boehner, in a conference call with GOP leaders over the weekend, is that they need to have some legislation pass by Wednesday, which means they should be posting something online by today.
VELSHI: Wow.
LOTHIAN: So, yet, another deadline. We'll be watching closely to see if they can hit that target.
ROMANS: When you have Republican spin that White House and Democrats position that it shouldn't be short term because that's bad for global markets, they say, the White House is doing this because it's inconvenient for the president's re-election. I mean, that's how they try to spin it, too. So, there's politics on the politics.
VELSHI: Everybody needs to get the politics out of this and just get a deal done.
Dan, we'll be with you a lot this week. Thank you, my friend.
LOTHIAN: OK.
VELSHI: And our question of the day, by the way, is on the same topic. Who is to blame for the debt gridlock? The question is not who is to blame for the debt, it's who is to blame for the gridlock.
We want to know what you think. E-mail us, give us a tweet. Or tell us on Facebook. We're going to read through some more of your responses later in the show.
ROMANS: Stay with us. In about 15 minutes, we're going to talk to Jay Powell, treasury undersecretary under President George H.W. Bush, about whether Congress can really raise the debt ceiling in just eight days and what happens -- what it means when it happens.
VELSHI: Yes. And for those of you who don't find the conversation fascinating, you will find what Jay has to say fascinating. This is a guy who knows or he studied, his group has studied, what decisions are going to have to be made about what checks get paid, and what don't get paid, and how it affects you. So, you want to listen to that.
Also still ahead, an arsonist is on the loose. At least 18 suspicious fires ignite cars, mobile homes and apartments over the weekend.
ROMANS: An amazing video, a man spotted clinging to a car.
VELSHI: Look at this.
ROMANS: Car going 35 miles an hour. Unbelievable. Why he was hanging on and what happened next.
VELSHI: Plus, she was beloved for her talent but infamous for her erratic behavior, arrests and drug problems. Singer Amy Winehouse found dead at her apartment in London this week. We're live with the investigation and the tributes.
Thirteen minutes after the hour.
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VELSHI: I want to get back to those bloody terror attacks who claim 93 lives and left all of Norway in a state of mourning. Live pictures right now outside the courthouse in Oslo hearing for the suspect, 32- year-old Anders Breivik began just moments ago.
ROMANS: On Friday, he allegedly set off a bomb near some government buildings. That bomb killed seven people. Then, police say he traveled 20 miles to an island youth camp and slaughtered at least 86 more. Diana Magnay live from Utoya, Norway this morning. Utoya, of course, that summer holiday island where so much of this carnage took place. Good morning, Diana.
DIANA MAGNAY, CNN INTERNATIONAL CORRESPONDENT: Hi, Christine. Yes. Well, you see Utoya behind me. It's about five kilometers further back, but the police have kept us for the last few days quite a long distance while they continue their search for bodies, and that search is still going on. There are four still listed as missing. But the police are saying that the death count may actually go down, which is good news.
On the island itself right now, they're sort of looking for technical evidence, like the kind of ammunition that he used to try and piece together where his ammunition came from, where his guns came from, and this sort of chronology of events in that horrific two-hour period, really, an hour and a half that he was able to keep shooting before police got to him. Anders Behring Breivik, meanwhile, is before a court, before a judge right now.
We've heard from his lawyer before that, although, he's confessed to the killings, both attacks, he is going to be pleading not guilty. And I'll just let you know, Christine, one of our producers, one of my colleagues was in the lift with his lawyer just before that hearing, yards before the courtroom, and he said he will go to prison. This will be a short hearing.
But the maximum term under Norwegian law that he can get is 21 years. Although, apparently, there are all legal ways around that to keep him in prison for life if he is, indeed, found guilty -- Christine.
ROMANS: You think the maximum sentence, you know, 21 years, Diana -- thank you, Diana for that report. It just shows you that this is a country that is so unused to this --
VELSHI: It's not used to it.
ROMANS: The legal system --
VELSHI: There isn't even something --
ROMANS: To a penalty for something like this simply because it is so out of the realm of the imagination for the Norwegian people.
VELSHI: We'll keep following that.
Also, Arnold Schwarzenegger and Maria Shriver's youngest son is recovering this morning after being badly hurt in a boogie boarding accident in Malibu. Thirteen-year-old Christopher Schwarzenegger was listed in serious condition. He suffered a collapsed lung, broken ribs, and broken bones in the accident. He's pictured in celebrity row at an L.A. Lakers game.
He is expected to make a full recovery. His mother, Maria Shriver, who was with him on the beach, was the one who called 911. Boy, I didn't -- I never think of those things as dangerous, being on a boogie board.
ROMANS: Right.
A string of suspicious fires in California over the weekend. Police are searching for an arsonist, they believe, set as many as 18 fires in north Hollywood. The fires began in cars that then quickly spread to nearby buildings. Police say no one has been hurt.
And a fast-leaking (ph) cameraman in California got two stories for the price of one on Friday. He was preparing for a live report. Look at this. Look at what he saw. A car drove by with a man being dragged from the passenger window at about 35 miles an hour. Apparently, it wasn't a carjacking. Police say, the man, mistakenly thought a friend's purse was inside the car, and he was quite determined to get it back. Now, luckily, no one was hurt. No charges were filed. I don't know whether he got whatever it was he was looking for in the car, but I have to tell you, Christine, as my good friend, if I thought your purse were in a car that was driving away at 35 miles an hour, I would advise you as to who to call to cancel the credit cards.
(LAUGHTER)
ROMANS: Thank you, Ali, from that chivalry will get you everywhere.
VELSHI: I'll do a lot of things for you, but that is not.
ROMANS: Yes. I know that is not a very smart idea.
VELSHI: Mind you, that was his wife, so, maybe, he thought he was really going to get --
ROMANS: Maybe it was a very expensive purse.
VELSHI: Yes.
ROMANS: I'm not sure.
VELSHI: Maybe, it wasn't a purse.
(LAUGHTER)
ROMANS: Including the ultimate knock-off of fake Apple store, oh, and not just one. It's 20 minutes after the hour.
(COMMERCIAL BREAK)
VELSHI: Twenty-three minutes after the hour. "Minding Your Business" this morning. U.S. markets poised to open sharply lower this morning. Right now, Dow futures are pointing about 80 points lower. NASDAQ and S&P 500 also trading lower ahead of the opening bell.
New this morning, Blackberry maker, Research in Motion, just announced it's cutting 2,000 jobs. The company also announcing some senior management changes to cut costs worldwide.
New York City's Grand Central terminal might be the new home to Apple's largest store in the United States. The company has submitted plans over the weekend to build a massive store there, 23,000 square feet.
And you probably heard about fake apple iPhones and iPods? What about an entire fake Apple stores? Take a look at these pictures. They're from China where several mock Apple stores are cropping up, the style and lay out, mimicking real Apple stores. The government there is asking several stores to shut down. Apple has not responded to our calls for their comment on the whole thing.
Winning big at the box office this weekend. "Captain America" knocked down the final "Harry Potter" movie from the top spot. The action-thriller raked in about $65 million in its opening weekend.
Up next, what happens if lawmakers don't reach this debt ceiling deal by deadline day? We're going to ask Jay Powell. He's the former treasury undersecretary under President George H.W. Bush. He's been briefing Congressional members on what the problem is going to be. AMERICAN MORNING back right after the break.
(COMMERCIAL BREAK)
ROMANS: Washington, D.C., fair and 83 right now. Feeling a little more heated, like 90. Thunderstorms, 92 later this afternoon, you know? And there's no heated talks between President Obama and House leaders on the Republican side because they failed, yet again, to break the stalemate over raising the debt ceiling.
There are real concerns this morning about your investments, the markets, the future of the credit worthiness of the country. Here in the U.S., stock futures are down. Joining me now live from Washington to talk about this, Jay Powell, treasury undersecretary under President George H.W. Bush, an expert on how the treasury pays its bills, and also, on how Washington works. Jay, welcome to the program.
JAY POWELL, TREASURY UNDERSECRETARY UNDER PRESIDENT GEORGE H.W. BUSH: Great to be here. Thanks.
ROMANS: All right. You know, we are running out of time here. I mean, the treasury secretary to begin the year said, May 16th, we would hit our debt ceiling. We did. treasury pulling strings all summer to make sure that they could pay the bills that were coming due. What happens right now? I mean, John Boehner, according to our reporting this weekend on a conference call said that maybe we got 48 hours to get a bill up and -- I mean, we're out of time.
POWELL: Yes, we really are out of time. If the House doesn't manage to pass something by Wednesday night, get it over to the Senate and the Senate does not meet a filibuster-style opposition, then, the president could still sign something and avoid passing August 2, that a debt ceiling increase which is really in bright line and will result in lots of nonpayment of bills and that sort of thing.
I have to say, I don't think and most people don't think there's any possibility at all of a bond default, but that doesn't mean that what happens after August 2 won't be -- won't be ugly.
ROMANS: And what you mean by bond fault is that, look, the United States treasury department is going to pay the interest that it owes to the people who loan us money, right? I mean, they're going to make sure they do that. But if they do that, that means there are other bills that they don't have cash on hand for. Explain to me what's happening inside treasury and inside the minds of people who have to figure out how to triage what bills to pay.
POWELL: Well, it's completely unprecedented. Nothing like this has ever happened. We never passed the point at which Treasury hasn't had enough money to pay the bills. So I really don't have any direct knowledge of what's going on over there, but I assume that the excellent career staff is making contingency plans and has been for some time and will pay what can be paid out of available cash.
But I really hope and assume that we are not going to reach that point. It's kind of something we've never done before. It's something you can't get back once you lose it. And I still have a lot of hope that we won't get there.
ROMANS: August 3rd, there's got to be a big payment that goes out to Social Security recipients. And that's going to be billions and billions of dollars that has to be paid out. And paying out more that week than we bring in.
Michele Bachmann, the presidential candidate, she made this point about Social Security. She said there are sufficient funds in the Social Security trust fund right now to make sure that they get checks. And she and a few others said that it's irresponsible for Democrats to dangle out maybe seniors won't be able to get their check so they'll have to get an IOU, that that's just fear mongering. Is that true?
POWELL: It's true that there are more than $2 trillion of securities in the Social Security trust fund. Unfortunately, we can't get at them legally when we're at the debt limit and out of cash. The Treasury department publicly stated a couple weeks ago that their legal opinion is that it's a questionable legality to try to get at those securities. It's requires a highly complex maneuver that's never been done. And therefore really the only way to assure payment of -- prompt and full payment of Social Security benefits, is through a debt ceiling increase, either a broad one or a narrow one tailored just for Social Security payments.
ROMANS: Those of us who have been covering securities markets and capital markets, the idea that Congress -- do they get it? Do they get it how politics has hijacked this and that the rest of the world is watching to see how our political crisis could affect our credit worthiness?
POWELL: so I have spent a lot of time with members of both parties and leadership in both parties. And yes, they do get it. The issue is that they're trying to do something really, really hard here. And, you know, we're not looking very functional right now from a political standpoint.
But it's not because people up there on the Hill don't understand how important it is that we avoid any kind of default, not just a bond default, which is so unlikely, but defaulting on our benefits payments to seniors or disabled or the elderly. It's just not something we should do as a country. And I to think the leadership is committed avoiding that.
ROMANS: Jeff Powell, thank you so much, former Treasury undersecretary to President George H.W. Bush, someone who understands how the system works, how we pay the bills and borrow the money to do it. Thank you so much.
POWELL: Thank you.
ROMANS: You know, the bottom line here, Ali, is that we -- for every dollar the government spends, we borrow 38 cents of it. So the government has to borrow money to keep functioning as it does. So that's what's at the bottom of all of this.
VELSHI: We will continue all of this. We want to know what you think though. Who is to blame for the debt gridlock? E-mail us, give us a tweet, or tell us on Facebook. We gathering your thoughts and we will share some of them later in the show.
All right, top stories right now, the suspect in the twin attacks in Norway in an Oslo courtroom right now. This is a live picture right outside the courthouse. The judge ordered the hearing closed to cameras. Anders Breivik admitted to setting off a bomb near some government buildings, killing seven people. Then police say he traveled 20 miles to an island youth camp and went on a shooting spree, killing at least 86 more.
ROMANS: The New York City hotel maid who claims former IMF chief Dominique Strauss-Kahn sexually assaulted her, she's speaking out for the first time. Thirty-two year old Nafissatou Diallo in an interview with "Newsweek" magazine and ABC News says, quote, "I want justice. I want him to go to jail." Here is some of the ABC as she recalls the moment she first encountered Strauss-Kahn in his room.
(BEGIN VIDEO CLIP)
NAFISSATOU DIALLO, ALLEGEDLY ASSAULTED BY DOMINIQUE STRAUSS-KAHN: "I'm so sorry." I turn my head. He come to me and grabbed my breast. "No, you don't have to be sorry." I said "Stop. I don't want to lose my job." He kept pushing me, pushing me to the hallway, back to the hallway, keep pushing me. I was so afraid. I was so scared.
(END VIDEO CLIP)
ROMANS: She says she didn't want to go public with her story but felt at this point she had no other choice.
VELSHI: Democratic congressman David Wu at the center of an ethics investigation. The Oregon representative is accused of making unwanted sexual advances towards the teenaged daughter of a long-time campaign donor. Wu has resisted calls for his resignation.
ROMANS: An autopsy to find out what killed Amy Winehouse will take place today in London. Many speculating that her death on Saturday is connected to her well-chronicled substance abuse.
VELSHI: Boy what a loss. She was such a great creative spirit. Zain Verjee is live in London with the latest. Good morning, Zain. You know Amy Winehouse, you followed her career very well. There is a great deal of speculation about what killed her.
ZAIN VERJEE, CNN INTERNATIONAL ANCHOR: There is. The bottom line is no one knows for sure just yet. The autopsy is going to be happening today, according to police. But the toxicology results aren't going to come out for a while just yet.
Just outside her home, there are friends and family and fans that are still gathered outside in total shock and disbelief that this actually did happen. She had been warned over the years that the abuse of drugs and behavior that careened out of control here would end up this way.
Her parents actually, guys, were there a couple of hours ago, and spoke to the fans, her dad and her mom with there. Her dad said thank you to all the fans who were gathered there. He also said Amy was always about love.
The police are saying, though, right now that her death is unexplained. There is going to be an investigation. And the family is also saying that they don't know exactly when the funeral will be held because of all of this. But as you can see from those pictures, people coming to put down flowers, cards, and pictures of Amy Winehouse, and there were even cases of wine, cigarettes, and a bottle of vodka there put down for her, too.
VELSHI: All right, irony. For folks who don't know, Zain, she was even public about her issues. And so were so many of her friends and supporters. Certainly in recent weeks they've said they really think this is moving toward the end for her. They were really worried that --
ROMANS: She was coming undone.
VELSHI: Yes.
VERJEE: Right.
ROMANS: She had a concert in Serbia, I think, where she was booed off the face. Even her diehard, devoted fans said we want our money back.
VERJEE: People were so worried about her. They warned her of exactly that over the last few weeks. Her parents tried to intervene. She had gone to the priory to go to rehab, but basically she refused, adamantly. And even her own parents say that Amy did whatever Amy wanted. And this was a situation that nobody felt they could control what ultimately happened.
Interestingly enough, people too are talking about an album that she's been working on for five years and that it was about to come out as well. And so they are likely going to release that. And you can bet it will be a big smash. Even "Back to Black" has shot up in the charts again.
VELSHI: That's right. And anybody who listens to her, for people who didn't know her -- or do know her, you know that she's a fantastic singer and songwriter. But as you said, for people who don't, you look at her pictures and you hear that voice, and you think, wow, that's incredible.
ROMANS: Is that the same person? I know. A very bright star that burned brightly and burned out too quickly, many of her fans would say.
VELSHI: All right, thanks, Zain.
ROMANS: Dr. Drew is going to take a look at that, the sudden and tragic death of Amy Winehouse tonight at 9:00 p.m. eastern on our sister network HLN. He does a lot of work on substance abuse, addiction, how it ravages a family and a person.
VELSHI: It's unusual, because a lot of people face this and they try and the rehab doesn't work. But Amy Winehouse sang about not going to rehab.
ROMANS: It's part of her persona.
VELSHI: he had a strong personality.
All right, coming up next, a new study says nearly 60 percent of junior high school and high school students in Texas get suspended or expelled. Does school discipline go overboard or is there really a problem with students in Texas? CNN education contributor Steve Perry tackles this one next. It's 38 minutes after the hour.
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VELSHI: All right, a look at discipline policies in our schools. Are we punishing kids too harshly? A new study has found that more than half a middle and high schools students in Texas have received at least one punishment ranging from suspension to expulsion.
Here with me now is CNN education contributor Steve Perry. Steve, let's take a look at this. On average, 60 percent of students, you can tell me about this study, from the seventh to the eleventh grade, I guess it was, over the course of three years or longer experienced either suspension or expulsion. Those are not in line with national numbers.
STEVE PERRY, CNN EDUCATION CONTRIBUTOR: No. And what's important, though, is that when schools suspend at such a high rate, it's a very clear example that adults don't have control of the building. What they tend to do is lean on the justice system, whether it's security officers in the school or police officers to take care of what should be happening in the classroom. That's one side of it.
But the other side of it is suspensions are a very necessary part of what we do. Don't think for a second that anyone so sympathetic to a child being suspended is going to be so sympathetic when their child is on the other end of the behavior that requires the suspension.
VELSHI: OK, let's take a look at some graphics. Let's talk about male students who were suspended over this period. And we broke it down by race. Of the male students suspended, 83 percent of African-American students were suspended, 74 percent of Hispanics, 59 percent of whites. The numbers are lower in every category for female students.
So first of all, let's talk about race. Is it a factor? Is it -- does it reflect the breakdown?
PERRY: Oh, absolutely.
VELSHI: -- in those schools?
PERRY: Absolutely, not just in those schools, but across the country. African-American, Latino boys are the most likely to be suspended. It's just the way we look at things.
But there are two reasons why. One is because as adults it's not just white people who are teachers and principals who suspend. I'm a black principal who does suspend black boys when black boys do something dumb. But what we find is that in many cases we are too quick to criminalize the behavior of boys as opposed to the behavior of girls, especially when those boys are boys of color. That's one side.
But the other side of it, Ali, is that in the African-American, Latino community, we are too quick to tell children -- to push behaviors that we believe are protective. For instance, we tell them, if somebody hits you, hit them back. We say things like, if somebody says something to you, say something back.
And on the other side, when we look at the suburban community, what we find very often is that parents are telling children that you have a right to an opinion. Well, all of these children need to submit to authority. And that's what this is about. They need to learn that --
VELSHI: Do suburban parents of white kids trust the system better to say if somebody hits you, I'll go to the principal as opposed to parents of black and Hispanic kids?
PERRY: I don't know what they feel. I just know what I see. What is see is they -- very often, we find a difference in the way that parents are informing their children -- informing their children to respond to authority.
Now the difference also is that middle class families are more likely to come in and advocate for their child, so their child is least likely to be suspended. But poor families --
VELSHI: Let me ask you this. If you see these rates of suspension, does that means kids are causing a lot of problem or does that mean that the school is over-suspending kids?
PERRY: The school is over-suspending. Kids -- the school is over-suspending. Kids are doing the same things all over the country.
VELSHI: Right.
PERRY: There's no state, there's no community within which children have created new bad behavior.
VELSHI: Yes. PERRY: This is a direct result of poorly-run schools. When a school is poorly run, children don't feel safe and so they do things to make themselves seem tougher. They have less respect for authority. When you create a loving, nurturing and very strict environment, what children understand is that there are limits to their bad behavior and if they do something, one, somebody is going to be disappointed in them because children don't respond to just being disciplined. That's one of the reason why punishing children in and of itself is not a solution.
VELSHI: OK, but if we don't --
(CROSSTALK)
PERRY: You have to let them know that you love them.
VELSHI: -- if we don't fix the discipline problems in schools, don't be -- what percentage of these kids -- or what's the correlation between kids who have -- who have discipline problems in schools who have become discipline problems with the law and end up in the -- in the correction system?
PERRY: It's a very high percentage. The report goes -- goes into great depth about how high of a percentage it is. But I don't know, Ali, don't know if it's a causal relationship.
VELSHI: Right.
PERRY: I don't know that because a child was suspended they're more likely to become involved in the criminal justice system or are these behaviors that they were participating in and that the school tried to deal with from suspension is exactly what they kept doing.
So they -- they spit on a kid in the first grade, they bit a kid in the sixth grade and they punched a kid when they -- when they were 25 years old.
VELSHI: Right.
PERRY: I don't know if those behaviors are causal to suspension. But I do know that we, as educators, need to do a better job of keeping control of our buildings. They're children, man. I don't care how big they are. They actually do want to listen to adults when adults have something that they're interested in.
VELSHI: Right. And what are parents to do, if you see this kinds of numbers you are worried about your kid being suspended. What is the advice do you give your kid if they're pushed around, if they are bullied, if they see a fight, if they wander into a fight?
PERRY: They truthfully, they actually do have to depend on the system and the system has to be -- has to be dependable. Parents, we need you -- we need you to understand that when you tell your child to do something that's going to get them suspended, it's going to get them suspended.
VELSHI: Yes.
PERRY: So you have to think about that. If you don't want your child thrown out of a building, then you have to give them behavioral --
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VELSHI: Right.
PERRY: -- cues that are going to keep them in the building.
VELSHI: And you've got to tell them you'll stick up for them when there's a problem. You've got to be able to go in and talk to those teachers --
PERRY: No doubt.
VELSHI: -- and those principals and guys like you, and say hey, my kid is having a problem. The school has got to -- got to help fix it.
PERRY: Absolutely. Parents have to come and they have to -- they have to advocate for their children in a meaningful way.
Coming in and have cops --
VELSHI: Yes.
PERRY: -- mad at the world that's not going to do it to anybody. You come to me like a professional.
VELSHI: Yes.
PERRY: And I'll come to you like a professional and we can work towards professional solutions. You're coming in acting like a fool, you are going to get thrown like a fool.
VELSHI: All right, Steve good to talk to you as always.
Steve Perry is our CNN education contributor and the founder of the Capital Prep Magnate School.
Our morning headlines are next. Its 47 minutes after the hour.
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UNIDENTIFIED MALE: This is CNN Breaking News.
ROMANS: Breaking news right now. The check-in and ticketing area at American Airline's JFK terminal in New York: it is locked down right now. Officials are investigating a suspicious package. The port authorities says the bomb squad is on the scene, investigating an unattended bag at the entrance to the terminal.
We are still following this. And we will give you more as we report on it. But again, it's shut down that area of JFK, the American Airlines part of the terminal.
Now, the suspect in two deadly terror attacks in Norway is wrapping up his first court appearance today in Oslo. Just a short time ago, Norwegian TV reports Anders Breivik has been ordered to remain in custody for at least eight months until the next court proceedings. Police say the 32-year-old terror suspect left behind a 1,500 page manifesto where he copied passages from Unabomber Ted Kaczynski's manifesto. He also expressed right-wing anti-Muslim views and detailed plans for Friday's attack that left 93 people dead.
The hotel maid who claimed former IMF chief, Dominique Strauss- Kahn sexually assaulted her is speaking out for the first time. 32- year-old Nafi Diallo seen here in an interview with ABC News, saying quote, "I want justice. I want him to go to jail."
A Democratic Congressman from Oregon now faces an ethics investigation. David Wu is accused of making unwanted sexual advances toward the teenage daughter of a long-time campaign donor. Wu is resisting calls to resign.
Today, President Obama, canceling two fund-raising appearances, to work on a debt ceiling compromise. Right now, markets across the globe reacting to those stalled debt talks. They closed down in Asia, they are mostly down in Europe. And here in the U.S., markets are poised to open sharply lower. Right now, Dow futures are about 80 points lower, NASDAQ, S&P 500 futures are trading lower ahead of the opening bell as well.
Police are searching for an arsonist they believe who set as many as 18 fires in north Hollywood. Those fires began in cars but quickly spread to nearby buildings. Police say no one has been hurt.
An autopsy for singer Amy Winehouse will take place this afternoon. The 27-year-old singer was found dead in her London apartment Saturday.
You're caught up on the day's headlines. AMERICAN MORNING is back right after this break.
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VELSHI: All right, we're looking at the George Washington Bridge up the Westside in New York which where you'll be going if you were up from the Westside and going to Newark Airport which should be fine. If you're headed to JFK, that's going to be a problem.
And by the way, New York, 79 degrees right now, going up to 80 degrees with thunderstorms later on today.
We've got some breaking news at JFK.
ROMANS: Yes. That's right. The check-in and ticketing area at the American Airlines JFK terminal in New York is locked down right now. So that's check-in and ticketing area. Officials are checking out a suspicious package. The port authority says the bomb squad is on the scene, investigating an unattended bag at the entrance to the terminal.
And, you know, they deal with this all the time.
VELSHI: Yes.
ROMANS: So when they go as far as locking something down, then we like to let you know just in case you're going in and out of there.
VELSHI: All right, wedding bells have been ringing nonstop since same-sex couples were legally allowed to marry in New York State over the weekend. The law took effect yesterday. More than 700 couples won slots in the lottery to get marriage licenses for ceremonies yesterday.
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UNIDENTIFIED MALE: By the laws of the State of New York, I now pronounce you married. You may seal your vows with a kiss.
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VELSHI: This is the first same-sex couples to marry in New York City, not in the state, Phyllis Siegal and Connie Copolla (ph) they tied the knot at city clerk's office as a crowd of onlookers cheered.
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PHYLLIS SIEGAL, FIRST SAME-SEX COUPLE MARRIED IN NEW YORK CITY: It was just so amazing. It's -- it's -- it's the only way I can describe it. I -- I lost my breath and a few tears. And it's -- it's indescribable.
(END AUDIO CLIP)
VELSHI: A handful of protesters gathered across the state, claiming Governor Cuomo redefined marriage without giving voters any input.
ROMANS: Ok. For the American family segment this morning, it's a more important decision than paper or plastic. Carts or basket, Ali Velshi?
VELSHI: Yes.
ROMANS: A study in "Time" magazine say people who choose a basket at the grocery store they make more unhealthy decisions than people who choose carts. Researchers say it all has to do with the mind/body relationship and the motion, apparently, Velshi of flexing your arm to hold the basket leaves you to choose vices as a reward like candy or soda.
VELSHI: I mean, it's entirely counter intuitive to me. But --
ROMANS: I would think that the big cart, you could put more --
(CROSSTALK) VELSHI: Yes, let's put some more candy. You don't see it, the licorice, and the sodas not as prominent as it is in a basket. You know, what, I didn't do the study. And my mind -- my mind/body relationship is excellent.
How long can you go without checking your smart phone? Mine, by the way, is right here. I can't go anywhere, I can't do anything without checking it.
ROMANS: It's part of your mind/body continuum.
VELSHI: This is part of my mind/body continuum.
A new study shows the people who tried to disconnect from their digital world found it as difficult as quitting drinking or smoking. 40 percent of the people surveyed by the way felt, quote, "lonely, when they were not able to go online". I'm not sure I feel lonely. I feel a little disconnected, a little panicky.
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ROMANS: I know, but I always wonder when we go to dinner if I'm making a reservation for two or three Ali. I never quite how many is out there.
VELSHI: That's a good point. That's a good point.
ROMANS: It's 55 minutes after the hour.
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ROMANS: Washington, D.C., it's fair and 86 right now. Feels more like 96, we're told. And thunderstorm, 92 later.
VELSHI: Thunderstorms are pretty much everywhere across the East Coast later on because of part of that heat.
Part of our question -- back to our question of the day. Eight days and still counting until Washington can no longer pay all of its bills if no deal is reached in the debt ceiling debate. We want to know what you think. Who is to blame for the debt gridlock?
Here are some of your responses.
Michael says on our blog. "Who is responsible? I am. You are. It doesn't matter whether you're a Democrat or Republican. The preamble of the constitution begins, "We, the people". So, to answer your question directly, we, the people, are responsible.
ROMANS: Clyde on Facebook says, "Hey, both sides are to blame. They should broadcast the meeting on TV. Then we would see where the real holdup is. This is nothing more than shameless political positioning at America's expense.
VELSHI: What an excellent idea. Craig on Facebook says, "I have to throw my vote in for both. You have one side dug in due to stupid pledges and the other side dug in because their political opponents are deeply entrenched in their whacked out ideas. The biggest loser of this crisis if it goes beyond the August 2nd deadline will be the world. After all, the U.S. economy is kind of important to many countries on this planet."
He makes an excellent point. This is not just an American problem.
ROMANS: No, it isn't. And yes, I could go on and on.
Tom on the blog, "The fault lies with the system that allows big money, party loyalty and special interests to decide who gets elected."
You know people go all the way back to like Medicare Part B and the Republican Congress then for how we got started moving down this path.
VELSHI: Very thoughtful responses from all of you.
ROMANS: Yes.
VELSHI: Thanks very much. That's it for us. We'll be back tomorrow morning at 6:00 a.m. Eastern.
ROMANS: "CNN NEWSROOM" with Kyra Phillips starts right now. Hi, Kyra.
