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The Situation Room

Capitol Hill Reacts to Musk's Public Break With Trump Over Bill; Family of Boulder Attack Suspect in ICE Custody; Gaza Aid Distribution Sites to be Closed for a Day; Witness Says, Rap Mogul Paid $100,000 to Hide 2016 Assault Video. Aired 10-10:30a ET

Aired June 04, 2025 - 10:00   ET

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

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[10:00:00]

PAMELA BROWN, CNN ANCHOR: Happening now, Elon Musk bucking President Trump. The tech billionaire is eviscerating the president's legislative agenda, calling it a, quote, disgusting abomination. New reaction and the new reporting live from Capitol Hill.

WOLF BLITZER, CNN ANCHOR: Doubling down a 50 percent tariff on steel and aluminum imports is now in effect. We'll break down how this will impact you.

Welcome to our viewers here in the United States and around the world. I'm Wolf Blitzer with Pamela Brown and you're in The Situation Room.

We start this morning up on Capitol Hill where key hearings for two of President Trump's cabinet secretaries are getting underway in the House and Senate. The commerce secretary, Howard Lutnick, and the education secretary, Linda McMahon, will testify on their department's budgets. This as we're getting new reaction from lawmakers to Elon Musk's big break with President Trump over his spending bill, and that includes the House speaker, Mike Johnson, who reached out directly to Musk after he slammed the bill as a, quote, disgusting abomination. We're expecting to hear directly from Speaker Johnson at any moment now as his weekly news conference is about to get underway.

CNN Congressional Correspondent Lauren Fox is up on Capitol Hill this morning and Alayna Treene is standing by live over at the White House. Let's go to Lauren Fox first on the Hill. Lauren, what are you hearing?

LAUREN FOX, CNN CONGRESSIONAL CORRESPONDENT: Yes, Wolf. There was so much frustration yesterday from Capitol Hill after that tweet from Musk. We directly heard from Speaker Mike Johnson yesterday where he said that this is simply a disagreement between Elon Musk and many House Republicans who backed this legislation just two weeks ago.

This is also a pivotal moment in the United States Senate as they are trying to come together to find a path forward to pass Trump's agenda in their own chamber, and as John Thune has a series of very difficult maneuvers that he has to make in order to convince some of his spending hardliners to get on board with this package that they believe doesn't cut enough.

You could see how Elon Musk's tweets yesterday potentially could really validate the opinions of those who think in the Senate that this House bill did not cut enough spending. Meanwhile, there is much disagreement over some of the other cuts to this bill that many members think just went too far, including cuts to Medicaid.

So, this is a really difficult and very sensitive time in the Senate as these negotiations get underway. Senate Republicans are going to meet for an extended lunch today to have a conversation about this, but John Thune, Speaker Johnson making clear, they still back this bill. They just have a disagreement with Elon Musk about what it does.

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REP. MIKE JOHNSON (R-LA): For him to come out and hand the whole bill is to me just very disappointing, very surprising.

REP. HAKEEM JEFFRIES (D-NY): Breaking news. Elon Musk and I agree with each other. The GOP tax scam is a disgusting abomination.

SEN. JOHN THUNE (R-SD): We obviously respect everything that Elon did with DOGE on this particular issue. We have a difference of opinion.

SEN. CHUCK SCHUMER (D-NY): Even Elon Musk, who's been part of the whole process, and as Trump's buddy says, the bill is bad, you can imagine how bad this bill is.

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FOX: And, Wolf, there's another important meeting happening at the White House today. Senate Finance Republicans are going to be heading there to have a conversation about how to extend these tax cuts and changes that they may want to make to the House bill. Again, this is just a really sensitive time for this negotiation right here in the United States Senate, that's Elon Musk's tweet not making it any easier on John Thune.

BLITZER: It's explosive, to be sure. All right, Lauren Fox, thank you very, very much. Pamela?

BROWN: All right, Wolf. Let's go live now to CNN's Alayna train at the White House. Alayna is the White House concern that Musk's comments could impact the passing of this bill?

ALAYNA TREENE, CNN WHITE HOUSE REPORTER: There's a few things to break down here. First of all, I'd argue though that, no, they're not overly concerned about Musk actually moving the needle with senators. That's according to my conversations and others of our colleagues here with White House officials. Because part of this, they argue this what, what Musk is doing here with his criticism, and I will say, I mean, calling this bill a, quote, disgusting abomination.

[10:05:00]

He is not mincing words, very much being out there publicly trashing this bill that the president and his team are working so hard to push through Congress.

But they do believe that he has a vested interest in this bill not succeeding. Part of that is because Tesla has benefited from the electronic vehicle tax credits that pass bills and what former President Joe Biden has done with that and this bill would get rid of those tax credits. So, part of this, they believe, is personal for him.

And, of course, what we know Elon Musk came into this administration to do was to try and cut from the federal spending. And this bill does the opposite in some sense, as we heard, see that from the Congressional Budget Office, saying it would add more than $1 trillion to the national deficit. But I will say many White House officials were caught off guard that his criticism of this was so public, and that is something that has been frustrating people behind the scenes.

Another part of this, of course, as well, is that it does give ammunition to some of this bill's opponents, people like Rand Paul, another Republican who is against it. So, that's sort of where this stands right now, at least on the White House side of things. Pamela?

BROWN: All right. President Trump's steel tariffs are now in effect, on a separate note here. What are you hearing from the White House on that front?

TREENE: Yes. Look, I mean, he doubled those tariffs now to 50 percent that went into effect this morning at 12:01 A.M. and it is something that, you know, the steel worker and manufacturing industry here in the United States have been cheering. But then on the other side, you have these industries that have relied so heavily on steel in these different metals for their own industries, from carmakers to car manufacturers to cans, that use these metals in their products, them really concerned about what these tariffs could mean.

Now, these tariffs are in effect for essentially every single country other than the United Kingdom, given they're the only country so far that has actually made a specific trade agreement with this administration. And there are concerns that this could, of course, impact Americans' pocketbooks.

Now, economists are arguing that this isn't going to happen and impacting consumers necessarily in the immediate term, but we will definitely likely see, they say, impacts in the auto-making industry and other industries that are impacted with these tariffs.

And so all to say the administration is arguing, this is a national security concern, but at a time when there's so much uncertainty still about what these tariffs and other trade deals are going to look like, not necessarily easing a lot of those. Pamela?

BROWN: All right. Alayna Treene, thank you so much. Wolf?

BLITZER: And happening now the family of the Boulder attack suspect is in ICE custody and facing expedited removal from the United States. The State Department revoked the visas of his wife and five children. And we're getting this new video into CNN right now. You can see armed officers entering his home on Sunday. Officials say the suspect told them he never talked to his family about his attack plans. But Homeland Security Secretary Kristi Noeme says they are now looking into that. Listen.

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KRISTI NOEM, DHS SECRETARY: We're also investigating to what extent his family knew about this horrific attack, if they had any knowledge of it or if they provided support to it.

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BLITZER: All right. Let's go live right now to see it in Law Enforcement Correspondent Whitney Wild. She's in Boulder for us. Whitney, what more are you learning about whether the suspect's family knew about this attack before it happened?

WHITNEY WILD, CNN LAW ENFORCEMENT CORRESPONDENT: Wolf, that remains an open question. As you had pointed out, Soliman told police after he was arrested that he told no one about this. No one knew about it. But law enforcement is not taking him at his word. They're going to investigate every possible avenue here. Further, Wolf, we know that he had left messages for his wife and children on an iPhone at the home as he carried out this attack. His wife had presented that iPhone to the Colorado Springs Police Department.

Wolf, what we know right now about the family's status, as you pointed out, that their visas have been revoked, they were being processed here in Colorado in an ICE processing facility in Florence, according to sources. Sources are telling CNN's Josh Campbell, that they expect to move that family. They may have already moved them from Florence to Texas as they await this expedited expulsion here, Wolf. But as you point out, I mean the White House, the Department of Homeland Security has made very clear that they expect this family is going to be deported and soon.

Finally, Wolf, what we know is that the state case and the federal case is moving forward quickly. He's -- Mohamed Sabry Soliman is expected to appear back in court at state charges Thursday. The expectation is that he's going to appear in federal court Friday on that hate crime charge, again, Wolf, the long list of charges here, 42 charges in the state court, one charge in federal court. If he's convicted on all of those with a maximum sentence, he will certainly spend his life behind bars. Wolf?

BLITZER: All right, Whitney Wilde reporting for us. Whitney, thank you very much.

This important note later this hour, Colorado's Governor Jared Polis will join me live here in The Situation Room. We got a lot of questions for him. Pamela?

BROWN: Yes, looking forward to that interview Wolf.

[10:10:00]

In Gaza this morning, aid distribution sites run by the Gaza Humanitarian Foundation will be closed today. The group says this pause, which is expected to last one day, will help better prepare for the massive crowds that have converged on the sites since they began operating last week, as well as to let the Israeli military make, quote, preparations along key access routes.

Let's go live now to CNN Jerusalem Correspondent Jeremy Diamond and Tel Aviv. Jeremy, what more do we know about these closures?

JEREMY DIAMOND, CNN JERUSALEM CORRESPONDENT: Well, the Gaza Humanitarian Foundation has indeed temporarily shut down its operations for today. They say that this is going to be a one day closure in order to carry out what they describe as logistical preparations to better handle the enormous crowds that have been arriving at this Gaza Humanitarian Foundation site in Southern Gaza. They also say that this is happening in coordination with the Israeli military, which has now announced that the routes to that aid site have now been deemed, quote/unquote, combat zones.

I'm also learning from a Gaza Humanitarian Foundation spokesperson that they have asked the Israeli military to implement several steps. They've asked them to implement measures to better guide the large foot traffic towards the site clear IDF guidelines to the civilian population about when and when they cannot access this site.

And, interestingly, they're also asking the Israeli military to, quote, enhance IDF force training and refine internal IDF procedures. And that to me suggests that there's been a conversation about the rules of engagement here with the IDF following three consecutive days during which more than 60 people have been killed, according to eyewitnesses and the Palestinian Ministry of Health, at the hands of the Israeli military.

The military for its part has acknowledged some of those shootings, including yesterday when they said that they fired warning shots and then ultimately fired at a group of people who are approaching their forces in a suspicious manner.

But all of this, of course, pointing to the dangers that civilians and Gaza are still facing as they try and feed themselves and their families given that not enough aid is still reaching Gaza's civilian population.

BROWN: Yes. And the U.N. Security Council is also expected to hold a key vote on Gaza today. What are you learning on that front?

DIAMOND: Yes, that's right. According to a Slovenian diplomat the U.N. Security Council will vote on a resolution that would call for a, quote, immediate, unconditional, and permanent ceasefire in Gaza. This resolution would also call for the unconditional lifting of all restrictions related to humanitarian aid and for the, quote, immediate dignified and unconditional release of all of the hostages held in Gaza by Hamas and other groups.

We know, of course, that there are still 58 hostages being held in the Gaza Strip, 20 of whom are indeed still believed to be alive.

Now, there's no indication that this resolution will pass given that the United States, of course, has veto power at the U.N. Security Council. It seems unlikely to imagine the Trump administration supporting a U.N. Security Council vote like this. Pam?

BROWN: All right. Jeremy Diamond, thank you so much. Wolf?

BLITZER: And, Pamela, new this morning. Iran's Supreme leader is now refusing to abandon the Country's Uranium Enrichment Program following a new proposal by the U.S. The ayatollah, Ali Khamenei sending this dark message, quote, they cannot do a damn thing in this matter.

Let's go to see that Senior International Correspondent Fred Pleitgen. He's joining us now from Berlin. Where do things go from here, Fred?

FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Hi there, Wolf. Yes, uranium enrichment certainly has been the big topic between the two sides between the Trump administration and the Iranians as these negotiations over Iran's nuclear program have been progressing. The Iranians, of course, saying that, for them, enrichment is a red line. It's something that they're not willing to abandon. The Trump administration has sort of gone back and forth a little bit on the issue, but President Trump most recently making clear that under any deal that he were to sign, there would be no enrichment by the Iranians.

Today, the supreme leader, Ayatollah Ali Khamenei of Iran, in a major speech, essentially pouring cold water on that, saying the Iranians are not going to give up their enrichment. Let's listen to what he said.

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UNIDENTIFIED MALE: (SPEAKING FOREIGN LANGUAGE).

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PLEITGEN: Supreme leader of Iran, Ayatollah Ali Khamenei speaking there.

Now, CNN has learned, Wolf, that apparently as part of that proposal put forward by the Trump administration they were thinking of forming a sort of consortium that the U.S. would potentially be part of, also some Middle Eastern nations and the International Atomic Energy Agency that would enrich uranium on Iranian soil.

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However, the Iranians are saying that any enrichment needs to be their own. They want to have that capability. They say they have a right to that capability, and they say they certainly aren't going to get rid of that capability. So, certainly enrichment right now is really the big issue dividing the two sides, trying to reach that agreement on Iran's nuclear program, and then, of course, also potentially sanctions relief for the Iranians as well. Wolf? BLITZER: All right, Fred Pleitgen reporting with the latest. Fred, thank you very much. Pamela?

BROWN: All right. Still ahead right here in The Situation Room, another accuser expected to take the stand under an assumed name in the Sean Diddy Combs trial, how prosecutors plan to protect her identity.

You're in The Situation Room.

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BROWN: New details are emerging in the trial against Sean Diddy, Combs of an alleged attempt by the disgraced rap mogul to hide video evidence of his domestic violence. On day 15 of the trial, a hotel security guard testified that Combs offered a bribe to hide that 2016 video showing him assaulting his girlfriend at the time, Cassie Ventura.

CNN's Elizabeth Wagmeister has more.

ELIZABETH WAGMEISTER, CNN ENTERTAINMENT CORRESPONDENT: Stunning testimony that shows the great lengths that Sean Diddy Combs allegedly went to, to bury that video of him physically assaulting his ex- girlfriend, Cassie Ventura, at a hotel back in 2016. Eddie Garcia, who worked security at the Intercontinental Hotel in Los Angeles back in 2016 took the stand as a prosecution witness and told the jury that Sean Combs repeatedly called him and gave him $100,000 and forced him to sign an NDA to hand over that video.

Eddie Garcia told the jurors that after Combs was caught on camera beating Ventura, that he then received numerous calls at the hotel security desk from Combs' personal assistant at the time, Kristina Khorram. He told Kristina Khorram that he would not give over the video. She even showed up at the hotel to ask for it, and eventually she called his personal cell phone. He said that he doesn't know how he got that number. And then on that call, Kristina Khorram actually said Sean Combs was on the phone.

When Sean Combs was on the phone, he asked him if he knew who he was. He called him Eddie, my angel, saying that he could really help him, and he said no. But then Eddie Garcia, he told his supervisor, his boss at the Intercontinental Hotel with the security firm, that Sean Comb said that he would take care of them. And that's when his boss said, okay, I'll sell him the video for $50,000.

That's when Eddie contacted Sean Combs. He said that he was very excited that he can sell -- that he could get this video back from him, and Sean Combs provided him an address. He shows up to this hotel. Sean Combs' bodyguard and Kristina Khorram are there, and that's when Sean Combs hands him an NDA on company letterhead and hands him a paper bag full of $100,000. Sean Combs even had a money counting machine that Eddie Garcia testified that he felt very comfortable using. So, again, brand new details showing the alleged efforts that Sean Combs took to make sure that this video would never see the light of day. Eddie Garcia even said that Combs told him himself that he knew that this video could ruin him. Back to you.

BROWN: All right. And now I want to bring in CNN Anchor and Chief Legal Analyst Laura Coates right outside that courthouse in New York. Laura, what do we know about today's testimony?

LAURA COATES, CNN ANCHOR AND CHIEF LEGAL ANALYST: We're going to hear a couple different witnesses today, Pam, not the least of which will be a forensic video expert whose job it is to essentially see whether it had been manipulated or not, and to have the original footage really again before the jury. This is now at least the eighth or 10th time that this jury has seen this video of this savage assault against Cassie Ventura.

We're also going to hear, however, from another victim purportedly later on this afternoon, as well as somebody who is testifying under immunity about presumably the inner circle that the prosecution is hoping to establish and confirm and describe as an enterprise, as a part of that overall RICO charge. Remember Pam, you got to prove an enterprise, group of people who have a concerted effort to have a criminal activity. They have to prove a predicate crime, whether it's kidnapping or arson, or bribery, as Wagmeister just describes, and they have to prove a pattern of behavior as well.

And so this is all part of the prosecution's case as we're leaning into now the multi-week trial of this former rap mogul, Sean Diddy Combs. We are learning a lot about what the prosecution intends to offer and more importantly perhaps for Sean Diddy Combs, what his defense is going to try to be.

BROWN: All right. Laura Coates, thanks so much.

And make sure to tune in tonight to Laura's show. Laura Coates Live airs every night, every weeknight at 11:00 Eastern. Wolf?

BLITZER: And coming up, I'll speak live to Colorado's Governor Jared Polis after the attack on the Jewish community in Boulder, Colorado, and the rise in anti-Semitic attacks across the country.

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BROWN: Breaking news, we just got the estimate on how much President Trump's legislative agenda will increase federal budget deficits.

Let's go live to CNN Congressional Correspondent Lauren Fox on Capitol Hill. What are you learning, Lauren?

FOX: Yes. This is a long-awaited estimate from the official bean counters on Capitol Hill, the Congressional Budget Office, and they are projecting that the House Pass Bill, as it was written and passed by the House, would increase the deficit by $2.4 trillion over the next decade. And let's just put that in perspective for Republicans and conservatives specifically who wanted this bill to show more spending cuts than it ultimately did. This could be a problem for some of those Republicans.

Meanwhile, other Republicans in the Senate, I just got done talking to Senator Thom Tillis, argue that the impact on the economy, if they do not pass, an extension of the 2017 tax cuts could be more colossally catastrophic than this projection from the CBO.

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Now, a lot of Republicans have voiced concerns with CBO's scoring practices in the past.