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Quest Means Business
Trump Denies Accusations of Unwanted Advances; Michelle Obama Slams Donald Trump; Trump Campaign Pulls Resources from Key State; Trump Threatens to Sue the "New York Times"; Thailand Begins Year of Morning for King; Thailand Prime Minister Urges Calm After King's Death; U.S. Stocks Finish Slightly Lower, Off Session Lows; Pound Plunge Sparks Tesco-Unilever Row; Wells Fargo CEO Retires After Scandal; Congressman Meeks Goes After Stumpf on Capitol Hill; Clinton and Trump Battle for Florida Voters; Bob Dylan Wins 2016 Nobel Prize in Literature. Aired 4-5p ET
Aired October 13, 2016 - 16:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[16:00:00] PAULA NEWTON, CNN ANCHOR: It was wild day on the markets today, and we can just skip to the headline. That market slipped slightly into
the red. And the trading comes to an end for this day on Wall Street. It's Thursday, October the 13th. Tonight, forget trade, forget taxes, the
U.S. election is becoming a referendum on women. Now the First Lady slams Donald Trump on the trail. Thailand's prime minister makes a plead to the
markets as the country morns its King. And the fall of a Wall Street titan. Shares in Wells Fargo think as the CEO departs. I'm Paula Newton
and this is QUEST MEANS BUSINESS.
Good evening, we begin tonight with the U.S. presidential race. A defiant Donald Trump saying accusations from several women claiming he made
unwanted sexual advances toward them are in his words total fabrications. Well, here is his explanation in a moment. But first, you have to hear
this. U.S. First Lady, Michelle Obama's making her most impassioned plea to the American public to reject Trump at the ballot box. She has made
several speeches during this campaign on behalf of Hillary Clinton that electrified her audiences. On Thursday, she put all other issues aside to
focus on Trump's attitude and alleged actions towards women which is quickly becoming the only issue in this race.
(BEGIN VIDEO CLIP)
MICHELE OBAMA, U.S. FIRST LADY: Too many are treating this as just another day's headline. As if our outrage is overblown or unwarranted. As if this
is normal. Just politics as usual. But New Hampshire, be clear, this is not normal. This is not politics as usual. This is disgraceful. It is
intolerable. And it doesn't matter what party you belong to. Democratic, Republican, independent, no women deserve to be treated this way, none of
this deserves this kind of abuse.
And I know it is a campaign, but this isn't about politics. It's about basic human decency. It's about right and wrong. And we simply cannot
endure this or expose our children to this any longer. Not for another minute, and let alone for four years. Now is the time for all of us to
stand up and say enough is enough. This has to stop right now.
(END VIDEO CLIP)
NEWTON: You can see it is undeniable. Michelle Obama was quite emotional there. Now Trump meantime spoke in Florida where he categorically denied
the allegations. He blamed the Clinton campaign and the media for what he called a coordinated attack.
(BEGIN VIDEO CLIP)
DONALD TRUMP, U.S. REPUBLICAN PRESIDENTIAL CANDIDATE: These vicious claims about me, of inappropriate conduct with women are totally and absolutely
false. And the Clintons know it and they know it very well. These claims are all fabricated. They're pure fiction and they're outright lies. These
events never ever happened and the people that said them meekly, fully understand. You take a look at these people, you study these people, and
you will understand also.
The claims are preposterous, ludicrous, and defy truth, common sense and logic. We already have substantial evidence to dispute these lies and it
will be made public in an appropriate way and at an appropriate time very soon. These lies come from outlets whose past stories and past claims have
already been discredited. The media outlets did not even attempt to confirm the most basic facts.
[16:05:00] Because even a simple investigation would have shown that these were nothing more than false smears.
(END VIDEO CLIP)
NEWTON: absolutely categorical, he's saying that's not true. Joining us now to discuss this from Washington, our CNN political director, David
Chalian. And CNN political analyst Jackie Kucinich. All, let's just take a deep breath. Jackie, what we just saw unfold here in the last few hours
was quite frankly, breath taking. Whether you were listening to Michelle Obama with that absolutely emotional angry, I would say, speech and Donald
Trump coming out and fiercely, fiercely defending himself.
JACKIE KUCINICH, CNN POLITICAL ANALYST: Absolutely, and it was even more of a contrast when you watch them back to back. If not the most emotional
and best speech of the campaign. I mean, Michelle Obama, she gave the best one of the convention. That was probably quite a speech that she gave, but
also what she said. And it not only appealed to women, but she talked about how to say t that this was normal was an insult, or locker room talk
was an insult to decent men everywhere. This also reached out to men, reached out to anyone who has ever seen a woman once, frankly.
And then to contrast that with what Donald Trump said, pushing back against these women who were accusing him of sexual assault, saying it is not true.
And saying the reason that all of these people are going after him is because they don't want him to win the election. And it was all about him.
It really was a study in contrast this afternoon between the two campaigns. Michelle Obama, of course, stumping for Hillary Clinton today.
NEWTON: Yes, a study in contrast and yet so visceral from both sides. I mean, David, you warned us so many times over the last few months that this
was going to get uglier before it was over. How do you frame this race now?
DAVID CHALIAN, CNN POLITICAL DIRECTOR: Well, certainly that prediction came true. It is ugly and probably will get a lot uglier. I frame the
race right now that Donald Trump needs to do something dramatically different in order to change the trajectory of the race right now. He is
clearly back on his heels. And I don't think simply saying that the allegations are untrue, and attacking Bill Clinton is going to be enough
for him to up end the trajectory.
So where we are, is that Donald Trump's main mission, from an electoral perspective, is to start digging into some of the leads Hillary Clinton has
built up in some of the states that lean in her direction like a Pennsylvania, or a Michigan, or a Wisconsin. But were seen polls I have
those states that show her with significant leads. Her wall of defense, if you will, in the electoral college is fortifying largely because suburban
women are no longer open in the way that Donald Trump needs them to be open to his arguments. And that is a serious electoral problem for Donald
Trump. Never mind the fact that he's mired in now a daily news cycle of concern about new allegations, how to respond to them. This story is not
going away from now through November 8th.
NEWTON: David, just to kind of follow up on what you just said. I mean, just a really put some numbers to that. If we look at the map, it looks
according to CNN's projection that's a source from the Republican National Committee now telling CNN that the Trump campaign has decided to pull
resources from Virginia, which is very significant. Which is obviously leaning toward Hillary Clinton. Thank you Tim Kaine from Virginia. But
not too long ago that state was very much in play even for Trump.
Now new polls this week from the states Trump needs to carry, as you stated before, Pennsylvania, Michigan, Wisconsin, now you have them leaning
Democratic. I mean, Jackie, you know what Trump campaign going to say. They are going to say our polls are wrong and that there are two things
that work in their favor. One is, no one who's voting for Trump is really going to tell us that they're voting for Trump necessarily, and voter
suppression. You have to say this thing is so ugly, there must be so many people turning off politics right now and they won't be voting.
KUCINICH: That definitely is a concern and it's one of the reasons that Donald Trump told Bloomberg -- in his campaign told Bloomberg that one of
the reasons they're going after Bill Clinton for his alleged abuses toward women is because they want to discourage millennials who may have not heard
these stories from voting and sort of throwing up their hands. But you know, this campaign for Donald Trump is sort of coming down to four states,
Florida, North Carolina, Ohio and Pennsylvania. Michigan and Wisconsin are kind of pipe dreams anyway. Those have been Democratic strongholds for the
last couple elections.
But it really is, the window and the race is narrowing for Donald Trump and certainly going to a rally and just reviewing all -- not only did he talk
about and defend himself, but also he went through the litany of accusations before defending himself.
[16:10:07] So he's certainly not doing himself any favors at this point, and David is absolutely right, this isn't over.
NEWTON: Yes, and another point to be made, I think many Americans want it to be over right now. But David, when you look at the map, as I know you
have for months and months and months, and you know whenever say that it's going to be a tough call, that likely even someone like Donald Trump, yes,
is yelling at you David, and saying, David, you're wrong. How can you be wrong? When you look at the map, what tells you that maybe he can carry
Ohio? Maybe he is going to come back and carry Pennsylvania. Anything out there at all?
CHALIAN: well, I think actually if you look at the four states in yellow there in the map, the sort of remaining true toss up states, Nevada, North
Carolina, Florida, and Ohio. Donald Trump is in the hunt in all four of those states. He could make a play in each of them. New polls out just
moments ago from NBC/Wall Street Journal show him with a one-point edge, basically a statistical tie in Ohio. And Hillary Clinton with a four-point
edge in North Carolina.
But you just raised Pennsylvania, Paula, that is the key. They now are putting everything, Ivanka Trump was there today. Donald Trump did a
couple events there. Mike pence was there. They're putting everything into hoping that they can change the electorate in Pennsylvania in a way
that those white working-class voters come out in ways that overwhelm the nonwhite vote in Philadelphia or Pittsburgh, and that suburban vote. That
is a very tricky proposition to put all your eggs in one basket that most recent polling shows Hillary Clinton with a nine-point lead.
NEWTON: Yes, it is a stunning mathematical calculation. And we keep saying it, but what do we know, right? We could not predict anything that
happened so far. So were just going to have to fasten our seatbelts and wait and see what happens over the next few weeks. Thank you both I
appreciate it as we continue to follow this crazy campaign.
Meantime, the "New York Times" is standing by its story in the face of a threatened lawsuit from Donald Trump. CNNMoney senior media correspondent,
Brian Stelter, from New York, earning every single solitary penny of his paycheck I can tell you, my gosh, Brian. OK, so let's rewind a little bit.
There were new accusations today as Americans woke up, and yet Donald Trump hitting back hard and saying, how do you know that these women aren't
lying? What does the "New York Times" say? How do they know the women aren't lying?
BRIAN STELTER, CNNMONEY SENIOR MEDIA CORRESPONDENT: Well that's right. The "Times" says it corroborated these women's accounts partly by speaking
to friends and family members who had told these stories either right after this allegedly happened or before Trump was the GOP nominee. So the
"Times" sought out corroboration from those friends and family members. It also says it wanted to purposely film one of the interviews. Released a
video of one of the accusers. If you hear her from her own words, and it is a very compelling testimony, to see her on camera. The "Times" believes
they're on very firm, solid legal ground here even though Trump is threatening to follow a lawsuit.
NEWTON: He is only threatening to file a lawsuit. He says he has proof that these women had asked perhaps for jobs. He says he has emails. I
mean, are you hearing from the campaign that actually they do have evidence to refute this and perhaps backup Donald Trump's claim that this is a vast
conspiracy against him? To use a term.
STELTER: To tell you the truth, there is no evidence backing up what Trump said at that rally a couple hours ago. He did say that he would present
evidence at the right time that these women are lying. The campaign is not indicating what kind of evidence they could have to do that. We're seeing
a very clear victim shaming, victim smearing campaign by the Trump campaign, which believes it is part of a vast conspiracy. Almost a vast
left-wing conspiracy. To borrow Hillary Clinton's term for the vast right- wing conspiracy and apply it to today. The reality from my perspective as a former "New York Times" reporter, is that these reporters were on to a
great scoop. They try to check it out the best they could and they published once the story was ready. There is no evidence they work
coordinating with the Clinton campaign or with other entities for that matter.
NEWTON: You know Brian, if we step back from this. You know, the media has been involved as a blunt instrument in this campaign like no other.
Some people will say that we deserve it. Other people will say, well, no, it's just the character of both of these candidates being so well known to
everybody. But have to wonder, do you think American voters now are just discounting all of it? Not believing anything that they hear from the
media especially.
STELTER: Among a subset of voters, that is absolutely true. The New York University, Professor Jay Rosen, has said that some Trump supporters in
particular are opting out of journalism. That they're not accepting the idea of journalism is as public mission. That they view all journalism as
just being more politics. They are designed to elect Hillary Clinton. You and I both know that is not the case. That journalists actually do strive
to tell the truth, to be pair and to hold all campaigns and all politicians accountable. But Trump has succeeded in delegitimizing journalism among
many of his supporters.
[16:15:02] He has succeeded in further tearing down trusted media, which was not high to begin with. But he has brought it to an even lower level,
and he is proud of that. Because it is helping him rally support. It is helping him hold on to their support in these final weeks of the election.
I think that the reality though, is that even though we are 26 days away from election day, the consequences, the effects of his rhetoric are going
to be with us for a long time to come. The campaign will be over, but Donald Trump and what he has said about the media and how he has so
distrusted and how he has delegitimized the media that's going to be with us for a long time after the election.
NEWTON: Yes, and that's got to be the most insightful take away, really from this very bruising campaign over the last couple of weeks. This isn't
going anywhere and it will continue to have tremors through America as this campaign continues. Brian Stelter, as ever, I don't know when your day
ends today, but thank you for being with us. Appreciate it.
STELTER: Thank you very much.
NEWTON: Now mourning in Thailand as one of the world's longest serving monarchs dies. Next, we're live in Bangkok where there's an outpouring of
grief for their revered King.
(COMMERCIAL BREAK)
NEWTON: In the next few hours in Thailand the sun will rise on the first day of a year of mourning following the death of their revered King. Now
earlier there was an outpouring of grief outside of the hospital where he passed away. Civil servants are now order to where black clothes for the
next year as a mark of respect. The King was seen as a unifying figure in a country beset by political instability. The type Prime Minister quickly
urged investors and the business committee to remain calm.
(BEGIN VIDEO CLIP)
PRAYUT CHAN-O-CHA, THAILAND, PRIME MINISTER (through translator): Everyone will need to be alert in every region and throughout the country to ensure
safety. If there is a suspicious incident, please inform civilian volunteers. Policemen and soldiers that I have ordered to be located
around the country. For economy, stock market, trade, investment and business sectors, please stop. Don't make our country stuck and lack
reliability. Don't panic and don't try to crash the market. I urge everybody to maintain our country's financial security.
(END VIDEO CLIP)
NEWTON: All reporting on the Thai monarchy is constrained by the countries strict lese majeste laws. Anyone who breaks those risks at least 15 years
in jail We're all well apprised of the laws for we report from Thailand. As has been Will Ripley, who's been among the mourners now for hours.
Will, I think sometimes it is hard to explain when you're in Thailand and you speak to people, people who feel this deeply. How much they are
devoted to their monarchy there.
WILL RIPLEY, CNN CORRESPONDENT: King Bhumibol Adulyadej day, Paula, is the relationship that he had with the people of Thailand is really unparalleled
in the modern world. Because, yes, he is a monarch, and yes, the lese majeste laws here do prevent people from openly speaking or on social
media, or just out in public in general about things like his personality or speculating about his health, for example.
[16:20:09] So there was an information vacuum even in the hours leading up to the official announcement of his death, when there were rumors swirling
around online. And then a stern warning from the government, not to spread those rumors. Because people who do that could end up in prison.
But what outsiders may not understand is that despite those restrictions, this is a King who for the past 70 years, because in 1946 when he became
the king at age 18, he just didn't sit in the palace and kind of taking aloof view of his country. He went out into the rural areas where people
at that time, especially post-World War II, were malnourished, were suffering, were poverty stricken.
And he realized that things needed to change. And he used his education, much of which he received in Switzerland in engineering and agriculture.
His language skills for diplomacy to get aid for his country. But even more importantly, he was the man behind a number of civil projects, which
really did help improve the living standards for the people here in Thailand, and push this country to become what it is today. Which is a key
American ally. A developing economy in an emerging market. All of those things the Thai people credit to their King and his hard work.
NEWTON: Yes, and a lot of the outpouring and devotion you see there is absolutely genuine and heart felt. Will, in terms of Thailand preparing
for this, and now coming to terms with what's happened. You know, we just heard there from the Prime Minister saying everybody remain calm. Is there
a real fear that this will destabilize the country?
RIPLEY: It's certainly telling to hear the Prime Minister called the King's death a national crisis. But there is a reason for people to feel
uncertain, to say the least, about this whole idea of cessation and what that means for the country, and what that's going to look like. Because
over the course of his lifetime, the King presided over a nation that had more than 12 military coups. And there were several times in Thai history,
where he actually -- he was very careful to mostly keep out of politics. Because this is a constitutional monarchy, so he doesn't actually have any
political power.
It was an absolute monarchy when he was a baby, when he was born. But by the time he rose to become King, it was a basically a ceremonial position.
That's a very simple way to look at things, because he was the one person in this country who could sit two opposing sized together who might
vehemently disagree, even hate each other, but if he told them, you two need to work it out. We need to get along for the greater good of our
country. They listened, and then things move forward. Often defusing violent situations and pulling the country back from political chaos and
the brink of civil war.
And this is because of those decades of hard work and that reputation and that rapport that he earned from the Thai people. And frankly, many here
rightfully question whether anybody, whether it be the crown prince, who is the designated heir, or anybody for that matter, could fill those shoes.
NEWTON: Thank you, Will, appreciate that. Will Ripley covering what are to be an extraordinary few days ahead in Thailand. Appreciate it.
Now on the markets. Meantime, U.S. stocks ended the day slightly lower. Here's how the Dow closed the session. As you can see down about 45
points, but shares fell more than 100 points at the open, and spent the day trying to erase those losses trying to catch up. Investors found little to
cheer in the minutes of the Fed's latest meeting.
Across the pond, European markets, you can imagine, had a rough day. Frankfurt and Paris saw falls of more than 1 percent. Stocks were dragged
down by some weak Chinese economic data. The fallout from Britain's vote to leave the European Union has reached the kitchen larder. You'll
remember in late June the country was split. Of course you remember, 52 percent voted to leave, 48 percent voted to remain. That may be the same
portion of Brits who either love or hate Marmite, and I can tell you, my kids love this stuff and I could not figure out why. About half of the
British population will tell me why.
This thick brown spread is one of many products at the center of price row between Tesco, Britain's biggest retailer and Unilever. It is one of
world's biggest consumer brands companies behind those household names in the U.K. and elsewhere. And they're now, with the pound is plunging,
expect a dispute between the two terms over who should bear the burden of the weaker currency.
Now earlier, Tesco pulled the Unilever products from its online store. In the last few hours, there has been a collective sigh of relief. Yes,
agreement over Marmite. That's because Unilever announced the issue had been resolved. We have no idea how it was resolved, but apparently it was
resolved. John Caudwell is a British businessman and philanthropist. He joins is now live from London.
[16:25:00] I am wondering what you made of this entire Marmite controversy. And do you think it's symbolic of the battles yet to come in Brexit?
JOHN CAUDWELL, BRITISH BUSINESSMAN AND PHILANTHROPIST: It's just the games that people play. It's just business. If the exchange rate goes in the
right direction, Unilever pocket the profit. If it goes in the wrong direction they want compensation for it. Tesco, of course wants to
maintain maximum value for the customers, as do all the big supermarkets that are fighting with each other. So they negotiate hard. Unilever
negotiates hard. And pretty much the prices stay the same or there is some small adjustment.
NEWTON: You know, this is just a little skirmish though for what is about to happen as we continue to learn the ramifications of Brexit. Am I right
or wrong that you're saying look, despite the historically low levels of the pound, and some concerned about the economy, that Brexit bashers are
just that. That they don't know what they're talking about and the effect on the economy will not be bad as they say.
CAUDWELL: As you know, there is lots of governors at the Bank of England over the last 50 years that would have absolutely loved the pound to have
dropped for the right reasons. And this reduction in the pound's value is phenomenal. Phenomenally good news for Britain. Our exports will gain a
surge as a result. Our imports will be more difficult. The -- all of the importer wills be negotiating very hard with their suppliers to keep prices
maintained for the consumer. But prices will rise to a small extent for some. And it will drive greater production of our own grown consumer
products. Of course that would take a long time, and do I expect the pound to recover. I do believe and I always said, any drop in the pound, any
drop in our share indexes would be a temporary setback as a result of the shock of Brexit. But it would not last for very long.
NEWTON: But to many people in Britain, it may not seem like that right now. They feel poor and they are more insecure when they look at a
government that has yet to spell out exactly how this is going to happen.
CAUDWELL: You know, that was always going to be the price of change no matter what you do in your life. If you have change, there is insecurity.
The simple fact is that we're now poised to make Britain far, far greater than it has been in Europe. Way greater and I'm really excited about the
future. There are also challenges, of course there are, and it's those challenges that cause people concern. But you can see the share indexes in
the U.K. They're not overly concerned. They're not overly concerned because they know a lot of people in the know will realize this is a good
move for Britain and that Britain will be greater.
We've got the ability now to set our own tax regime completely. We've got the abilities to set VAT. To set our own policies. We can get rid of all
that bureaucratic red tape that was coming in from Europe, which was costing the British taxpayer fortunes in internal costs, let alone the 8
billion net debt that we were contributing to Europe that we'd never get back.
NEWTON: OK, well we appreciate you being part of the debate. And hopefully you continue to be part of the debate to come. And I'm glad to
hear once again that people are saying there will be some pain before you get to any of that gain. Caldwell, thanks so much for joining us.
Appreciate it.
CAUDWELL: Pleasure.
NEWTON: Banks are thinking about leaving Britain, and in the U.S., an executive has left a bank. John Stumpf is out at Wells Fargo. His
replacement is just as controversial.
[16:30:10] (COMMERCIAL BREAK)
NEWTON: Hello, I'm Paula Newton. Coming up on the next half hour of QUEST MEANS BUSINESS, Wells Fargo has a new CEO. That has sparked a new
controversy. The prizes they are a changing. Singer song writer, Bob Dylan, has won the Noble in literature. Before that though, these are the
top headlines were following at this hour.
U.S. First Lady, Michelle Obama is condemning Donald Trump in very harsh terms. Mrs. Obama says Trump's recently leaked comments about grabbing
women's genitalia fall low basic standards of human decency. Trump is facing new allegations that he made sexual advances against several women
without their consent.
Thailand's King has died at the age of 88. He had been in the hospital in poor health, prompting an outpouring of support from the Thai people. The
King held the throne for 70 years. He is survived by his wife, the crowned prince, and their three daughters.
Nigeria says Boko Haram has released 21 of the missing Chibok girls. This exclusive photo shows some of them. The International Committee of the Red
Cross and the Swiss government help negotiate their release. They are said to have been among the hundreds of girls and women that the militants
abducted in 2014.
It is a withdrawal from the top of Wells Fargo. John Stumpf is out as CEO. He has effectively retired, effective immediately. Wells Fargo is still
engulfed in a scandal. It's been one month since U.S. regulators accused bank employees of creating two million fake bank accounts and credit card
accounts. Stumpf's replacement as CEO is controversial. He's an insider, Wells Fargo president, Tim Sloan.
Now shares of the bank fell more than 2 percent following the news. Stumpf's resignation doesn't end the controversy at Wells Fargo or around
Stumpf himself. Many U.S. lawmakers didn't just want him out, they wanted to clawback some of his money too. First up, Stumpf's bonus and benefits.
After hearing on Capitol Hill, Stumpf said he would give back $41 million in stock, as well as his salary for this year. But a CNN money analysis
finds he'll still walk away from the bank with about, drumroll please, $130 million in stocks and cash.
Now the clawback isn't all financial. The investigation into the banks behavior will continue and lawmakers have called for bank executives to be
charged. Finally, there are changes in bank governance. John Stumpf's two rolls as CEO and chairman will finally be split into two people. Cristina
Alesci is following the latest developments. She joins is now from New York. I mean, Cristina, in terms of how all of this is shaking out. What
is most controversy oh here? The fact that we still have heard very little from Wells Fargo in terms of reform, or the fact that that there's an
insider, you know, Mr. Sloan, coming into the job?
CRISTINA ALESCI, CNNMONEY CORRESPONDENT: The insider angle is definitely controversial. If you look at Sloan's background, a 29-year veteran of the
bank. Now there are tons of questions about, you know, did he know about the scandal as it was happening? Remember the bank knew that these fake
accounts were being opened well before this was blown wide open and publicly available information. And they started firing low level
employees for the most part as a response that. Look, the reason that this story in part so crazy, and why it sparked so much public outrage, is not
just because these employs opened up these fake accounts. It was the botched handling of this scandal by management.
[16:35:01] And the question then is, did the new CEO make any decisions when it came to how to respond to these fake accounts being opened?
Because what the bank did was basically put an immense amount of pressure on tellers and bankers to meet aggressive sales goals. And when the
pressure got too high, they resorted to the these possibly illegal activities. And then instead of owning up to it, and holding higher level
executives accountable, they fired lower level, low-paid workers as a response. And this is what has gotten so many people, like Elizabeth
Warren, really upset.
And that's why the story doesn't really end here. Remember, there's a Department of Justice investigation that's ongoing. No charges have been
brought. That's ongoing. The Department of Labor is looking into this. We talk to an analyst today who said, for sure more congressional
grillings, probably next year. And, let's not forget, there may be class action suits as a result of this. People lost their jobs. People's credit
may have been impacted. All of that will play out over the next couple of months. This is not a story that is going away for Wells Fargo. It's
going to have to answer a lot of questions about customer defections. Because people do not trust the bank anymore. It's taken a massive
reputational hit.
And then let's put all of that aside, the business model. We're overbanked in this country. So they're going to have to deal with all of that at a
time when they may have to close branches because the math doesn't work anymore to have all of these branches open.
NEWTON: You have certainly outlined quite a mess there and will continue to see the reverberations of this. Not just at Wells Fargo but at other
American institutions. Cristina Alesci that continues to follow this incredible story for us.
John Stumpf is gone from Wells Fargo, his photo though, lives on. This is from the banks leadership and governance website. That's Stumpf with a
quote, "Integrity is not a commodity. It's the most rare and precious of personal attributes. It is the core of a person's -- and a company's --
reputation." When he testified on Capitol Hill, Congressman Gregory Meeks accused him of giving the entire industry a black eye.
(BEGIN VIDEOTAPE)
GREGORY MEEKS, U.S. HOUSE DEMOCRAT: If somebody walked into Wells Fargo tomorrow and robbed your bank or defrauded your bank. And then after they
are caught they will say, well, I'm sorry. I'm going to take full responsibility for robbing this bank. And I am sorry that I robbed this
bank. So please don't prosecute me because I am sorry now that I robbed this bank. Would you allow the person to just walk out after robbing your
bank because he is now sorry that he robbed this bank after he took the money already?
JOHN STUMPF, CEO WELLS FARGO BANK: Congressman, I see something very different between being honest and breaking our code of ethics, and taking
advantage of --
MEEKS: You didn't break code of ethics? Do you realize that you have not only given -- would you admit this? That not only does your bank have a
black eye, that your bank, Wells Fargo, has given the entire financial service industry a black eye. Your responsibility. You heard Mr. Sherman,
he wants, and I agree with him, he wants everybody to come in here. Why? There's only one reason why, your bank, you, CEO, Chairman .
(END VIDEOTAPE)
NEWTON: U.S. Congressman, Gregory Meeks, joins now live from New York. I watched that live exchange, and I watch it again. And it still is riveting
because it really does get to the heart of the matter here. Congressman Meeks, he's walked away with $130 million.
MEEKS: We've got to claw that money back. It is basically become one of the greatest criminal enterprises of all time. You put the pressure on low
level employees, with standards for compensation that clearly the OCC as well as the CFPB say were unreasonable in the first place. When they don't
make it They're pressured to create these accounts. They're fired, you know what's going on. It goes on, you don't handle it, you don't change
anything. You just fire them, but you continue to get bonuses. And then when the pressure is put on you, you can walk away. The vice president,
one walked away already with a think was $121 million. And now he thinks he can walk away with close to hundred and $130 million, that cannot
happen. Every investigation should continue.
And the fact of the matter is then you replace him with someone who was there for 29 years, and you think business goes on as usual? That means
that the bank still does not get it. This wasn't a small lapse. This wasn't in just one region. This was across the United States. It's a huge
lapse. You don't put the wolf in there to inspect what's going on, inspect the sheep. And that is what is happening again. So I still have huge
problems with reference to what's still taking place at Wells Fargo.
[16:40:00] I can't tell you how many individuals who are customers of Wells Fargo that have emailed me or called my office et cetera, to give me
stories of what has taken place with them with Wells Fargo. There's a problem. They need to change the Board of Directors. They need to look at
a whole new set of board members. They need to diversify it more. I understand the whole executive offices -- there should be some new people
there. They've got a lot of work to do, and every dollar should be clawed back from those executives who have now tried to run after they were part
of the head of the fraud that was committed on their employees. They fired the employees. And of those customers that they had.
NEWTON: I'm sure there will be many Wells Fargo's customers and former employees that will look forward to that if that happens. But Congressman,
I have to ask you, you know, this story was uncovered by a newspaper. It was not uncovered by the regulators. After we had all that controversy
about are you too big to fail, and we don't want that anymore. Wells Fargo was supposed to be one of the success stories. And here we are again, the
regulators let Americans down.
MEEKS: Well we've got a tighten up. I looked at that also, especially coming up to the hearing. Especially with regard to CFPB. And they were
just starting up at the time. Not an excuse, but they were just starting up. They had not had an individual that had been confirmed to be running
it. But we've got to make sure. That's their job. I mean, that's what makes us different than any place else. That we have regulators that are
able to look in and see what problems are before they happen, and or immediately after they happen, and rectify them. And so I'm going to work
with my colleagues on the financial services committee, and others in Congress, to try to make sure that the regulators are on their job also.
We've got to make sure that everybody's on the job protecting the consumer's in this instance.
It is a story that we will continue to cover and you cover your participation in it. Congressman Meeks, thank you so much. It's always a
pleasure.
MEEKS: Thank you, good being with you.
NEWTON: Now Florida, yes, Florida, once again playing a key role in the U.S. presidential election. The candidates trying to appeal to two very
diverse communities there. Will introduce you to these voters who could decide the election.
(COMMERCIAL BREAK)
Now, as it is in virtually in every U.S. presidential election, Florida is a key battleground state. And it bounces between Democratic and Republican
and it famously made the key difference in the 2000 election. Now the state has a large population of both Latinos and retirees, and they could
swing the vote for either candidate, CNN's Poppy Harlow reports in her latest installment of series "YOUR MONEY YOUR VOTE."
(BEGIN VIDEOTAPE)
[16:44:59] JERRY SHAW, FLORIDA VOTER: I think we mostly feel it's not so much that we were real crazy about Donald Trump, but most of us want to
change.
POPPY HARLOW, CNN CORRESPONDENT: That's the common thread among many of the seniors that we met in Florida, a sense that the country is going in
the wrong direction. Even the well-off seniors in this gated community are anxious.
SHAW: A lot of countries are nipping at our heels.
HARLOW: We met these neighbors in Sarasota. Their dissatisfaction with what they see as the status quo runs deep.
SHAW: She has talked about increasing the immigration that's stunning. That we would allow that many people to come in, that will ensure a liberal
culture forever.
BOB KUCK, FLORIDA VOTER: We're coming out of this recession slower than we have previous recessions.
SHAW: That is true.
KUCK: I strongly disagree with the assumption that we're better off now than we were seven to eight years ago.
HARLOW: The thing is by almost by almost all measures, the U.S. economy has improved significantly in the last eight years. Unemployment is half
of what it was in 2009, and the stock market has almost tripled from its lows that same year, but the national debt really troubles these voters.
KUCK: I think it scares us that we're starring at 20 trillion in debt not knowing how our grandchildren will repay it.
HARLOW: Well, Trump may the support of many seniors, Clinton has her own growing demographic here, Puerto Ricans. There are by some estimates,
100,000 more Puerto Ricans in Florida now than there were for the 2012 elections.
MIRIAM CASANOVA, PUERTO RICAN-AMERICAN FLORIDA VOTER: The most important thing besides that the lord is there is education. Are you -- they need
it. My vote is going to Hillary Clinton. To me she has her held on her shoulders.
HARLOW: So what about Cuban Americans? A group that makes up about 30 percent of eligible Hispanic voters in Florida. Miguel and Maria Garcia
moved to the United States in the early 1960s following the Cuban revolution. You can see the generational divide in their family, split
right down party lines.
MIGUEL GARCIA, CUBAN-AMERICAN FLORIDA VOTER: I have a lot of reservations about both nominees.
MARIA GARCIA, CUBAN-AMERICAN FLORIDA VOTER: This year is a tough year.
DELIA GARCIA, CUBAN-AMERICAN FLORIDA VOTER: I'm not having such a tough time.
MARIA GARCIA: I have problem with Trump in the sense of the filter here if it is working. And the other hand with Hillary, I honestly don't trust
her.
CARMEN GARCIA, CUBAN-AMERICAN FLORIDA VOTER: If it wasn't for your fear of communism, you would be a Democrat. You believe in everybody having equal
opportunity.
MARIA GARCIA: I saw it in Cuba. People didn't have incentive because the government was giving them everything. I know we have to leave some part
to help, because there is always a need to help.
DELIA GARCIA: These two people right here are the biggest helpers you ever want to meet.
MARIA GARCIA: The Republicans help too.
HARLOW: 97-year-old grandma Maria has cast her ballot for many Republican candidates over the years, but not this time.
GRANDMOTHER MARIA GARCIA, FLORIDA VOTER: The Donald Trump?
(END VIDEOTAPE)
NEWTON: She didn't even need any words there. We just want to follow up and say that Poppy Harlow did those interviews before the infamous video
was released of Trump. She says all of the Trump supporters she interviewed are sticking with Trump. You will hear more in two weeks from
now. And Richard Quest will be making his way through Florida for more on his American quest speaking leaders and voters who may hold the key to
deciding the next president. You can see that on Quest Means Business starting Monday October 24. Don't miss it.
Now a stunning winner of the Noble Prize for literature.
(BEGIN VIDEOTAPE)
BOB DYLAN, POET, SONG WRITER, PERFORMER: Hey, Mr. Tambourine man play a song for me --
NEWTON: That's the surprise of the day, Bob Dylan takes the prize. The reaction we will have it next in a live report.
[16:50:00] (COMMERCIAL BREAK)
NEWTON: Oh, what a great day it was for Bob Dylan fans. What a surprise. He has now won the Noble Prize for literature. Take a listen.
(BEGIN VIDEO CLIP)
DYLAN: Hey, Mr. Tambourine man play a song for me, I'm not sleepy and there is no place I'm going to --
NEWTON: Folk singer and song writer and modern day musician, for many baby boomers, he is the voice of their generation. But winning the 2016 Noble
Prize for literature stunned the Stockholm crowd on Thursday's announcement.
SARA DANIUS, PERMANENT SECRETARY, SWEDISH ACADEMY: Bob Dylan.
NEWTON: Mentioned in Nobel speculation for years but never seen as a serious contender, Dylan is the first song write to win the prestigious
award.
DANIUS: For having created new poetic expressions within the great American song tradition.
NEWTON: And Dylan has created so much poetry over the years.
DYLAN: How many times must a cannonball fly before they --
NEWTON: From "Blowing in the Wind".
DYLAN: Johnny is in the basement mixing up the medicine, I'm on the pavement thinking about the government --
NEWTON: From "Subterranean Homesick Blues.
DYLAN: Once upon a time you dressed so fine threw the bums a dime in your prime, didn't you? --
NEWTON: To his transformative rock anthem, "Like a Rolling Stone". The Nobel is just the latest honor for this legendary performer. He won ten
Grammy awards, a Golden Globe, an Oscar, a Pulitzer Prize and the presidential Medal of Freedom. And he sold tens of millions of records in
a career spanning more than five decades. Now 75 years old, he performed this past weekend at the U.S. music festival called Oldchella. He shows no
signs of letting up.
(END VIDEOTAPE)
NEWTON: John Friedman, author of "The Dylan Biography", forget about today, joining us live from Stony Brook, New York. I mean you have written
but look, Dylan has that whole thing down. Longevity. His music will outlast all of us of course, why do you think it's extraordinary that he is
now a Nobel Laureate?
JOHN FRIEDMAN, AUTHOR, "THE DYLAN BIOGRAPHY": It probably has a lot to do with his longevity and reinvention. The man is timeless. His music is
timeless and his persona is timeless too. He speaks to all generations, young and old, Oldchella, everyone.
NEWTON: When I try to explain it to my teenage kids, I say it is pathos, angst, irony, protest, what is it about his prose that he is able to be
cited this way as being an extraordinary writer.
FRIEDMAN: He was an extraordinary writer, in "Tambourine Man" he writes about a very surreal world. And yet in "Blowing in the Wind" it is a very
direct world. So he can write all kinds of forms of writing literature, if you want to call it that, both direct and surreal, and makes it all sound
so vivid and real.
[16:55:00] NEWTON: And he is an incredible writer, when you look at some of his lines here, "I've stumbled on the side of 12 misty mountains, I've
walked and crawled on six crooked highways, I have stepped in the middle of seven sad forests, I have been out in front of a dozen dead oceans. When
you look at all of these lyrics, what tells you, you talk about longevity, but what tells you that in 50 years they may still look at the lyrics and
find them relevant?
FRIEDMAN: No question about it, he speaks to people's needs for being real, contemporary, relevant, people have a need to feel important and Bob
Dylan touches them in their intellect. The Beatles did it with their music mostly and some of their songwriting. Bob Dylan does it with his
songwriting all of the time. And people feel affection to this man, they feel they know him through the song writing and it is quite an
accomplishment over the years.
NEWTON: An incredible accomplishment and where you surprised? I know it's been whispered about but did you really think it would really happen?
FRIEDMAN: I was surprised that it took so long to happen. I know he wanted it to happen and a lot of people all over the world were praying for
it to happen. He has fans like you would not believe. They are really ardent.
NEWTON: I now have a very good reason that when my husband I yell at the top of our lungs and say, "how does it feel" and I look at my kids and say,
see we're not so crazy. The Nobel committee thought we were right.
FRIEDMAN: So far from home.
NEWTON: Exactly, John, thank you so much., really appreciate you putting this in perspective for us.
FRIEDMAN: My pleasure. Thank you.
NEWTON: Now if want a daily digest of the day's top business stories delivered to your inbox subscribe to the QUEST MEANS BUSINESS newsletter
featuring Richard's Profitable Moment and all the top headlines from the rest of the CNN Money team.
Just go to CNNmoney.com/quest to subscribe and this is it for QUEST MEANS BUSINESS. I'm Paula Newton here at the CNN center and I will see you back
here tomorrow.
END
