Return to Transcripts main page
The Story Is with Elex Michaelson
U.S. Indicts Former Cuban President Raul Castro; U.S. Doctor Receiving Treatment for Ebola at Berlin Hospital; One-on-One with L.A. Mayoral Candidate Spencer Pratt. One-on-One with L.A. Mayoral Candidate Spencer Pratt; Some Republicans Skeptical of $1.8B Compensation Fund for Trump Allies; Nvidia Posts Record Revenue as A.I. Chip Demand Surges. Aired 12-1a ET
Aired May 21, 2026 - 00:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[00:00:35]
ELEX MICHAELSON, CNN ANCHOR: I'm Elex Michaelson live in Los Angeles. Welcome to THE STORY IS.
(BEGIN VIDEOTAPE)
MICHAELSON (voice-over): THE STORY IS indicted. Former Cuban president charged by the U.S. We're in Havana with new reaction.
THE STORY IS payouts for January 6th rioters? CNN one-on-one with acting Attorney General Todd Blanche.
And THE STORY IS the L.A. mayor's race. Spencer Pratt racking up tens of millions of views on social media. But how would he govern America's second largest city? He's sitting down with us.
(END VIDEOTAPE)
ANNOUNCER: Live from Los Angeles, THE STORY IS with Elex Michaelson.
MICHAELSON: The top story is in Cuba, where the Trump administration has indicted former Cuban president Raul Castro for his alleged role in a fatal attack on two planes back in 1996. The 94-year-old was defense minister at the time. The downing of the civilian aircraft killed four people, including three Americans.
At a ceremony honoring the victims, acting U.S. Attorney General Todd Blanche said this.
(BEGIN VIDEO CLIP)
TODD BLANCHE, ACTING U.S. ATTORNEY GENERAL: This isn't a show indictment. This is an indictment because we expect that there was a warrant issued for his arrest. So we expect that he will show up here by his own will or by another way, and go to prison.
(END VIDEO CLIP)
MICHAELSON: By his own will or another way. The indictment was greeted with cheers by Cuban Americans in Miami. But in Havana, Cubans interviewed by Reuters described it as politically driven.
The U.S. Secretary of State Marco Rubio, whose family is Cuban, addressed them directly in a Spanish language video.
(BEGIN VIDEO CLIP)
MARCO RUBIO, SECRETARY OF STATE (through text translation): President Trump is offering a new relationship between the U.S. and Cuba. But it might be directly with you, the Cuban people, not with GAESA. In the U.S., we are ready to open a new chapter in the relationship between out people and our countries. And, currently, the only thing standing in the way of a better future are those who control your country.
(END VIDEO CLIP)
MICHAELSON: Now, amid the heightened tensions, the U.S. military says the Nimitz Carrier Strike Group has arrived in the Caribbean. President Trump says there will be no escalation.
(BEGIN VIDEO CLIP)
UNIDENTIFIED REPORTER: How much longer do you anticipate the embargo having to be in place on Cuba?
DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Let's see. We'll be announcing it pretty soon.
UNIDENTIFIED REPORTER: On the table here, Mr. President, should we expect any escalation here or should they expect anything? Yes?
TRUMP: No. No. You won't -- there won't be escalation. I don't think there needs to be. Look, the place is falling apart. It's a mess. And they've sort of lost control. They've really lost control of Cuba.
(END VIDEO CLIP)
MICHAELSON: The Cuban government is condemning the charges, and Cuba's current president wrote this on X, quote, "The purported accusation against Army General Raul Castro Ruiz, just announced by the U.S. government, only reveals the arrogance and frustration that the representatives of the empire feel towards the unyielding resolve of the Cuban revolution and the unity and moral strength of its leadership."
CNN's Patrick Oppmann has the details from Havana, Cuba.
(BEGIN VIDEOTAPE)
PATRICK OPPMANN, CNN HAVANA BUREAU CHIEF: Cuban officials are blasting an indictment announced on Wednesday in Miami that for the first time charges Raul Castro with the downing of two civilian aircraft off Cuba's coast more than 30 years ago. This is the "Brothers to the Rescue" shootdown, and it has trailed Castro for years as various U.S. administrations have considered indicting him, but only now has the Trump administration as part of its pressure campaign on Cuba, decided to take the extraordinary step of charging the former Cuban president. While Raul Castro is officially retired he remains the most powerful
man on this island. He's handpicked many if not all of the top leadership here, both military and political. And so when Cuba's president, Miguel Diaz-Canel, says that Castro is not going anywhere, much less a courtroom in Miami, that carries a lot of weight with it. It is essentially the Cuban government's way of saying that if the U.S. were to try to seize Raul Castro, like we saw take place against Venezuela's leader, Nicolas Maduro, who himself was under U.S. indictment, then clearly the Cuban government, the Cuban military, would put up a fight.
[00:05:06]
Already we have seen the Cuban military carrying out more maneuvers. We've seen Cuban officials tell the population here that they should prepare for any kind of military strikes, or potentially a U.S. invasion. That is something that people take seriously here.
This is an island that for decades has lived under the fear of a U.S. invasion, one that is becoming more and more probable as tensions get higher and higher here. Cubans that I've spoken to, even those who don't support the government, say they are very concerned, though, that if there's an offramp to this crisis, that any kind of military strikes that destabilize the government cause it to collapse, eventually could lead to some kind of humanitarian disaster.
Patrick Oppmann, CNN, Havana.
(END VIDEOTAPE)
MICHAELSON: CNN's Isabel Rosales spoke earlier with one of the pilots from the "Brothers to the Rescue" group. He personally knew two of the four men who were killed in that 1996 shooting.
(BEGIN VIDEO CLIP)
ISABEL ROSALES, CNN CORRESPONDENT: How would you like for them to be remembered?
REINALDO MARTIN, FORMER PILOT, "BROTHERS TO THE RESCUE": Well, I'd like that there were humanitarians that had big hearts and they helped out. Sorry. Like ourselves and everybody in there, we all helped out and we did a lot of things, a lot of good things. And that's how I -- you know, I remembered them. So -- but it's hard.
ROSALES: Yes. It's a lot of emotions for you today. It's been 30 years in the making. Right?
MARTIN: Yes.
ROSALES: What does it mean to have Raul Castro, that name, at the top of this indictment?
MARTIN: He deserves it.
(END VIDEO CLIP) MICHAELSON: Cubans in Miami's Little Havana neighborhood reacted to news of the indictment on Wednesday.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: This is the first step for a free Cuba. What they have done is to be considered a terrorist act because they shot down two humanitarian planes on international waters without no excuse.
UNIDENTIFIED FEMALE: We're enjoying the moment because it's one of the steps of the freedom of Cuba. The only thing that we want, all the people Cubans, wants is freedom for all the island that the kids have medicine, the people can get food in the stores. They can -- they can get their own properties to sell to work, to do everything. We celebrate -- we don't celebrate this victory because we think it's a lot of things that need to come more. And we're going to celebrate when Cuba is really, really, really in freedom.
(END VIDEO CLIP)
MICHAELSON: Joining me live is Randy Pestana, director of National Security Policy at the Institute for Public Policy at Florida International University. He is in Miami tonight.
Thanks so much for joining us. Welcome to THE STORY IS.
RANDY PESTANA, DIRECTOR, NATIONAL SECURITY POLICY, FLORIDA INTERNATIONAL UNIVERSITY: Thank you for having me.
MICHAELSON: So how likely is it that Raul Castro ever actually faces trial in the U.S.?
PESTANA: Well, if there's a military action that would ultimately take him from the island and bring him to the United States, and certainly he'd face some judicial consequences. However, on his own doing, it's very unlikely that he's willing to turn himself in or volunteer himself to the United States justice system. What's more likely is for him to kind of leave the island towards a more friendly space, like Spain or other ways, but very unlikely on his own accord that he'll go to the United States to face justice.
MICHAELSON: If there was military intervention, like what we saw to go get Maduro, what are the challenges for buy-in from the American people at this point?
PESTANA: Well, I think there's twofold, right? One is there's midterm elections coming up. You have the Iran conflict, and you're still determining where Venezuela is going to go. So you have to explain to the American people how Cuba rises to the level of a national security threat, given all these other competing interests. The second piece of it is the narrative that's being built right now that Castro is a murderer is not a new narrative. Right?
But being able to sell that to the general American population, as this is the top priority of the United States when all these things are going on, it creates a lot of conflict. And it's very difficult to explain that.
MICHAELSON: But as we've seen, even if they can't sell it to the American people, they might just do it anyways.
PESTANA: Absolutely. And one thing you've seen about the Trump administration is they're willing to take action. And then explain, regardless of the consequences, political consequences, economic consequences. So it's very possible they do this. But even for the administration, they have to see the return. Whereas you see, in Venezuela, the oil argument, there's resources there.
What is that argument in Cuba beyond supporting those in exile here in the state of Florida or in other parts of the country?
MICHAELSON: Senator Rick Scott from Florida said that he thinks the Cuban people are going to rise up and overthrow the current government. But there are a lot of challenges for that. Right?
PESTANA: Absolutely. And if you think the biggest one is weapons, right? It's no surprise that Cubans are out in the streets every day protesting the regime.
[00:10:04]
And what they're being met with is force. They're being imprisoned, they're being beaten. And then they continue to come out to the streets, but no amount of protests in the streets is going to change the fact that the Cuban regime has all the weapons, all the resources, and all the capabilities to continue to put pressure down on any protest that arises.
MICHAELSON: So what is the most likely outcome then, given what's happening? What's the most likely outcome the U.S. can expect?
PESTANA: Well, I think in the short term, the Cuban regime will try to prolong negotiations, continue to prolong it as possible, to prevent kind of a conceding of the -- from the Trump administration something more favorable to the ultimate regime survival. However, I think for the U.S. you're seeing now with the indictment, you're seeing with the recent reports of Cuban drones and the access of China and Russia in Cuba, they're trying to paint the national security threat argument that would create the conditions that would allow for military action while continuing to pressure against that, to get concessions from the Cuban regime to ultimately transition the power back to the Cuban people as Secretary Rubio said today.
MICHAELSON: Randy Pestana, who I identified initially was in Miami, is actually in Washington, I'm being told, or at least you traveled that entire time during that segment. We appreciate you joining us and appreciate your insights. Thank you so much.
PESTANA: Appreciate you having me. Thank you.
MICHAELSON: We're now learning new details about what's being described as a tense phone call between President Trump and the prime minister of Israel, Benjamin Netanyahu, over how to handle the Iran war. A U.S. official tells CNN that the two leaders held an hour long conversation on Tuesday, when Mr. Netanyahu said delaying a new round of attacks against Iran was a mistake.
President Trump says the Israeli prime minister will do whatever he wants him to do. He also told reporters that he is willing to keep negotiating a peace deal in order to save lives before mentioning the war during a commencement speech at the Coast Guard Academy.
(BEGIN VIDEO CLIP)
TRUMP: We're respected all over the world. You saw that with China just recently. You saw that in Venezuela. You saw that right now in Iran. Everything is gone. Their navy is gone, their air force is gone. Just about everything. The only question is, do we go and finish it up? Or are they going to be signing a document? Let's see what happens.
(END VIDEO CLIP)
MICHAELSON: Iran's Foreign Ministry says Tehran is continuing to exchange messages with the U.S. operating under, quote, "suspicion and good faith." Tehran also dismissed any talk of ultimatums or deadlines for Iran, calling the claims, quote, "ridiculous."
An American doctor is receiving treatment for Ebola this hour in Berlin, just days after testing positive for the virus in Africa. The charity he works for says Dr. Peter Stafford is responding positively to treatment. Dr. Stafford was working at a hospital in the Democratic Republic of Congo when the U.N.'s World Health Organization declared an outbreak there to be a, quote, "public health emergency of international concern."
The U.S. is coordinating a shipment of experimental treatment for potential use in high risk Americans exposed to the virus. Meanwhile, the E.U. is sending around 100 tons of medical supplies to the DRC to help stop that outbreak. Officials in Congo say the outbreak is thought to have killed at least 148 people there, with hundreds of cases suspected. An expert at the World Health Organization says developing a vaccine could take months.
CNN's Fred Pleitgen is in Berlin with the latest on the American doctor receiving treatment and the international effort to contain the Ebola outbreak.
(BEGIN VIDEOTAPE)
FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice- over): A heavily protected convoy of special ambulances carrying American Peter Safford to Germany's top infectious disease hospital in the middle of the night. The medical doctor working in Eastern Congo confirmed to have contracted a strand of the highly contagious and deadly Ebola virus. The Serge missionary charity that sent Dr. Stafford and his family to Congo for medical work, telling CNN they're concerned but hopeful he'll pull through.
MATT ALLISON, EXECUTIVE DIRECTOR, SERGE: He's in a state of mind and of health that he's able to communicate with us. He continues to have a fever, dizziness, lightness of head and some nausea, which is fairly typical symptoms for Ebola.
PLEITGEN (voice-over): The infectious disease ward at Berlin's Charite Hospital is known as one of the best in the world. Peter Stafford's wife Rebecca, and their four children also isolated here, even though they remain asymptomatic. Another U.S. doctor, Patrick La Rochelle, who had contact with Peter Stafford while in Congo, flown to the Czech Republic for isolation and observation.
The sign that you see behind me says restricted area, danger of infection. This is as close as we can get to the actual isolation ward where the hospital says the American patient is getting the best care possible.
[00:15:04]
ALLISON: He's getting like a monoclonal antibody treatment. He's in a Center of Excellence for Ebola Care with doctors who have treated Ebola before. You know, a day ago, he needed assistance to even walk into the containment unit for his air evac. And so we see some progress and we're really encouraged.
PLEITGEN (voice-over): But encouragement is hard to come by in the areas affected by the Ebola outbreak in Eastern Congo, Uganda, and possibly South Sudan. A vicious strand of the virus for which no vaccine exists that causes severe pain, internal and external bleeding, and bruises, often ending in death.
The World Health Organization now classifying this outbreak as a public health emergency of international concern. Dozens already killed by the virus and the number of infections rapidly rising, the WHO says.
DR. TEDROS ADHANOM GHEBREYESUS, DIRECTOR-GENERAL, WORLD HEALTH ORGANIZATION: We expect those numbers to keep increasing, given the amount of time the virus was circulating before the outbreak was detected.
PLEITGEN (voice-over): Ebola's mortality rates are extremely high, but German health officials say their doctors are well-equipped to give the U.S. citizen they're treating the best chance of survival and recovery.
Fred Pleitgen, CNN, Berlin.
(END VIDEOTAPE)
MICHAELSON: It is the first known legal challenge to a fund that critics say is meant to compensate Donald Trump's allies. Still ahead, why police who defended the U.S. Capitol on January 6th are determined to prevent any payouts. Plus, former reality TV star Spencer Pratt makes his case for why he should be the next mayor of Los Angeles.
My exclusive one-on-one with him after the break.
(COMMERCIAL BREAK)
[00:21:13]
MICHAELSON: An unexpected candidate is shaking up the race for L.A. mayor. Former reality TV star, Spencer Pratt. While some might question his candidacy, we've already seen a reality TV star-turned politician have success on the national stage. And of course, that's Donald Trump, the president himself, weighing in on Pratt when asked earlier today.
(BEGIN VIDEO CLIP)
TRUMP: I'd like to see him do well. He's a character. I don't know. I don't know him. I assume he probably supports me. Does he support me?
UNIDENTIFIED FEMALE: I think so.
TRUMP: I think so, yes, I heard he does. I heard he's a big MAGA person. He's doing well. I don't know. You know, if you have a rigged vote out there, that's the problem. The votes are rigged. You have a really rigged vote in California. You have all the mail-in ballots, everything else. It's very hard to win because the elections are very dishonest.
(END VIDEO CLIP)
MICHAELSON: The president didn't exactly say that he endorses him. And Pratt has not asked for that endorsement in deep blue Los Angeles.
Our series on the leading contenders for L.A. mayor continues now with my sit-down from earlier this week with Spencer Pratt. Why is he running and how would he govern?
(BEGIN VIDEOTAPE)
SPENCER PRATT, LOS ANGELES MAYORAL CANDIDATE: Everything I'm saying is common sense. We've just lost it in Los Angeles.
MICHAELSON (voice-over): Spencer Patt says if he doesn't win mayor of Los Angeles, America's second largest city is doomed.
PRATT: For more years, L.A. is cooked, cooked, like done, burnt, cooked.
Is Karen Bass targeting fire victims?
MICHAELSON (voice-over): Pratt's aggressive social media videos.
PRATT: Nobody in charge will listen. I will.
MICHAELSON (voice-over): Reaching millions around the world.
PRATT: Why I'm resonating is because people have eyeballs.
MICHAELSON (voice-over): Some of his supporters see the one-time reality show villain as a sort of superhero, including one fan who created this A.I. video reposted by Pratt.
PRATT: They know I'm not a politician. They know if they didn't burn my house down, I wouldn't be running for mayor.
MICHAELSON (voice-over): Pratt's home was among the almost 7,000 structures that burned during the Palisades Fire last January. L.A. Mayor Karen Bass was in Ghana at the time, despite warnings about fire weather conditions for days before the blaze.
In my interview with Mayor Bass, she claimed she didn't know about the extent of the warnings and wished she never made the trip.
MAYOR KAREN BASS, LOS ANGELES: When I talked to the chief, when I got home, basically the response was, well, we always have Santa Ana winds. We didn't anticipate them being this bad.
MICHAELSON (voice-over): At least 12 people died during the Palisades Fire, according to city officials.
PRATT: You cannot just move on and act like, oh, I was in Ghana. Oopsy-daisies. Like, no, you should have resigned. You should have admitted to your failures.
This is where Mayor Bass lives. You notice something?
MICHAELSON (voice-over): In a recent ad, Pratt visited Bass' official residence, and then his burnt-out lot.
PRATT: This is where I live. They let my home burned down.
MICHAELSON (voice-over): But TMZ reports that Pratt hasn't ever lived in that airstream behind him, and often stays at the pricey Hotel Bel- Air or at a family home in Santa Barbara County.
PRATT: I don't live at the Hotel Bel-Air, and I don't live in Santa Barbara. I live in that dirt, and that's my fight.
(SINGING)
I had to take a minute to run for mayor. I'll tell you how I became the prince of a town called Bel-Air.
MICHAELSON (voice-over): Spencer mocked the TMZ story in a parody of Will Smith's "Fresh Prince of Bel-Air" opening theme.
PRATT: It's so ridiculous that anyone is focusing on whether my airstream is parked in my dirt lot or I drive it to the Hotel Bel-Air.
MICHAELSON (voice-over): TMZ also reported that he signed a deal to film a reality show with his family about his political run.
PRATT: Like if a Netflix -- I had a Netflix show, it wouldn't be getting broken by Harvey Levin. I would have made my own videos.
MICHAELSON (voice-over): Pratt says as LA. mayor, he'd try to fight future fires faster by installing more water drop sites for firefighting aircraft.
PRATT: We put 20 dip sites around these communities because right now, if we have these sites, they hit the water, boom, they hit the water. And then we also connect pools.
[00:25:03]
MICHAELSON (voice-over): In terms of L.A.'s homelessness crisis, he vows to enforce the laws already on the books.
PRATT: This isn't happening in Beverly Hills. You can go have dinner there.
MICHAELSON: Why do you think that is?
PRATT: Because they enforce their laws.
MICHAELSON (voice-over): Pratt says many on the street are addicted to drugs. He'd created a new place to take them, calling it Treatment and Recovery First.
PRATT: It's time to radically go on a new direction with mandatory treatment, and it's going to be incredible. This isn't like a jail. This is a place where people are going to go and have a chance to come back inside.
MICHAELSON (voice-over): Pratt says his center would include treatment, workforce training, and be located on federal land outside of Los Angeles.
PRATT: It's going to be somewhere where people go and they go, thank God for Spencer. This is the greatest thing in the United States of America. Everyone needs to copy this model.
MICHAELSON: Who pays for that?
PRATT: I have literal billionaires. I've met with 30 of them lined up, not to mention my plan --
MICHAELSON: They're going to pay for it themselves?
PRATT: They are ready to go.
MICHAELSON: Can be privately funded?
PRATT: It doesn't need to be all privately funded.
MICHAELSON: But you know there's going to be all sorts of pushback. There's going to be people in the city council that pushes back. There's going to be folks that are homeless advocates that are pushing back.
PRATT: You know, the bigger system that's going to push back even harder? The communities that are being destroyed, being endangered by this giant system. MICHAELSON (voice-over): So where would spencer and his family live if
he wins? Getty House in Hancock Park has been the official residence of the LA. mayor since 1977.
Would you live at the mayor's home, the residence in Hancock Park?
PRATT: Absolutely not, because we have a housing bed issue. So I'm going to use all the beds in that mansion for these single mothers that we keep hearing about that are living on the street.
MICHAELSON: And where would you live?
PRATT: I will be where they are very upset that I'm not at every night in the Palisades.
MICHAELSON: OK.
PRATT: But I need a fence. We need to connect the water.
MICHAELSON (voice-over): Pratt has been sharing out A.I. generated videos created by his fans on his own social media.
What is the thought process for you in terms of what you share out and what you don't share out?
PRATT: The amount of things that I'm getting tagged in a day like I will, if somebody says, vote for Spencer Pratt, he'll say, that's a repost. You know, obviously I could vet things more.
MICHAELSON (voice-over): One A.I. video shows residents throwing tomatoes at Bass.
BASS: It is absolutely 150 percent fiction, but what's worrying me now is, is that his social media is now taking on a violent turn.
PRATT: Which is the funniest thing I've ever heard coming from the lady who allowed 12 people to burn alive. And she's worrying about A.I..
MICHAELSON: So can Spencer Pratt actually win as mayor of Los Angeles? Clearly there are signs of support for him all over Pacific Palisades. The challenge is Palisades is a relatively small part of the massive city of Los Angeles. Nearly four million residents and an estimated two-thirds of them are Democrats. Pratt is a registered Republican.
(Voice-over): In L.A. City elections, a candidate's political party is not listed on the ballot. But four years ago, Bass and her allies ran countless ads on TV and social media reminding voters of her opponent, Rick Caruso's Republican past. It worked. Bass won that election by nearly 10 points.
Do you fear that they're going to do that same thing to you, that there's going to be a massive onslaught of money to tell everybody that you're a Republican?
PRATT: They could do skywriting all day long. I'm about to do skywriting, so I got to beat them. So they can do anything they want. Everyone that supports me is a Democrat. Democrats do not want naked drug addicts in front of their kids at the park in school, period.
MICHAELSON: Why are you a Republican?
PRATT: Well, you want to break some news here?
MICHAELSON: Sure.
PRATT: It's in my, you know, I've told this before. This is the only time I've ever said this. So this is breaking news. Everyone is going to freak out. When I was a hated reality star.
MICHAELSON: Yes.
PRATT: I got so many death threats. I had so much security and police. And what did they tell me to do? Get a gun. This is where I know people don't like guns, but L.A. was dangerous if you're hated. So I got a gun. My wife got a gun, and then we needed CCWs.
MICHAELSON (voice-over): A CCW is a legal permit to carry a concealed weapon in California.
PRATT: The only people that supported a CCW was the Republican. That was what I aligned with, my safety, my personal safety, my family's safety. I know people don't like guns, but when people are threatening your life and your own security is telling you, you need to have home protection, train, so it's not like just I went to the, you know, go through the proper steps. That was my -- that's it. Period.
MICHAELSON: And that was it.
PRATT: That's it.
MICHAELSON: And you felt like that party was more pro-Second Amendment.
PRATT: And I know that's a very hot button. But here's the thing. I'm also going to be the mayor that puts LAPD in front of every school to make schools safe from guns.
MICHAELSON: Who is your political role model?
PRATT: Jesus Christ.
MICHAELSON: OK. I mean, that's -- yes, that's your --
PRATT: He was a politician. He had a, you know, he had to go in and speak --
MICHAELSON: Are there any modern politicians that you're especially studying or drawn to?
PRATT: No. No. I'm not a politician. I don't want to be a politician. I want to be a fighter for the people.
MICHAELSON: But you've mentioned, though, that --
PRATT: Obama, yes. I'm most similar to Obama.
MICHAELSON: What is one word that separates you from your competitors?
PRATT: Truth.
(END VIDEOTAPE)
MICHAELSON: And he says the Obama comparison because they are both community advocates.
So, we sat with Pratt for nearly an hour. I encourage you: check out the full, unedited conversation and decide for yourself. Watch the whole thing. It's streaming right now at YouTube.com/ElexMichaelson.
And there, you can also find our full sit-down with L.A. Mayor Karen Bass and hear her in her own words.
Tomorrow, here on THE STORY IS, I speak with L.A. city council member Nithya Raman, who is also running and in a close race with both Bass and Pratt.
But up next, we break down what we just watched with Peter Hamby of Puck News. A lot to break down. Stay with us. You're watching THE STORY IS.
(COMMERCIAL BREAK)
[00:35:43]
MICHAELSON: Two police officers who defended the U.S. Capitol on January 6th, 2021, when Trump supporters violently rioted, are now suing to stop the Trump administration's so-called anti-weaponization fund.
Critics call it a nearly $2 billion slush fund meant to benefit Trump allies who claim that they were unfairly targeted by the previous administration. But some of that money could end up going to January 6th rioters and election deniers.
The officers' lawsuit calls the fund a, quote, "misappropriation of taxpayer funds orchestrated by the president to reward his allies and the rioters who committed violence in his name."
They add that, quote, "Most chillingly, the fund will signal to past and potential future perpetrators of violence that they need not fear prosecution. To the contrary, they should expect to be rewarded."
President Trump keeps trying to distance himself from the fund while simultaneously defending it.
(BEGIN VIDEO CLIP)
DONALD TRUMP, U.S. PRESIDENT: I wasn't involved in the settlement. The people were destroyed. They went to jail. Their families were ruined. They committed suicide. You know, all the Biden administration and the Obama administration, both of them. You're talking about peanuts compared to the value.
(END VIDEO CLIP)
MICHAELSON: Meanwhile, a growing number of lawmakers, including some Republicans, also object to the fund.
(BEGIN VIDEO CLIP)
SEN. JOHN CURTIS (R-UT): I will tell you, my -- my first reaction was this doesn't pass the smell test.
SEN. THOM TILLIS (R-NC): It sends a signal, hey, go breach the Capitol, destroy the building, assault police officers, and you may even get compensated for -- some day. That's absurd.
REP. BRIAN FITZPATRICK (R-PA): We've got to unpack exactly what it is, what the source of the funding is in order to stop it and/or reverse it.
(END VIDEO CLIP)
MICHAELSON: Of course. Thom Tillis is retiring, so he doesn't have to face a primary electorate ever again.
The acting attorney general, who used to be President Trump's personal lawyer, refuses to rule out possible payouts for those who assaulted police. But he told CNN their conduct will be taken into consideration.
(BEGIN VIDEO CLIP)
TODD BLANCHE, U.S. ACTING ATTORNEY GENERAL: One of the factors the commissioners have to consider is what the claimant did; the claimant's conduct. OK?
So, in the hypothetical you just described, the claimant would have to say, I assaulted a cop, and I want money. So, whether the commissioners will give that person money, that -- that claimant, it's up to them.
But that's one of the factors they have to consider for the very reason that was raised yesterday, which should be which should be raised, which is that President Trump, this Department of Justice does not stand for assaulting law enforcement.
(END VIDEO CLIP)
MICHAELSON: Let's talk about all this with Peter Hamby, the host of Snapchat's "Good Luck, America," founding partner at Puck News, where he hosts "The Best and the Brightest" podcast.
Peter, welcome back to THE STORY IS. What do you think of the politics of this? PETER HAMBY, HOST, SNAPCHAT'S "GOOD LUCK, AMERICA": Well, the politics
are fascinating, based on those Republicans you just mentioned. It's not -- like, it's not just Thom Tillis.
It's also John Cornyn, who just lost his primary in Texas. Or sorry, might lose his primary in Texas. Bill Cassidy --
MICHAELSON: He lost the endorsement of President Trump --
HAMBY: Yes.
MICHAELSON: -- which probably means you lose in the primary.
HAMBY: Yes. Correct. Bill Cassidy in Louisiana did lose his jungle (ph) primary in Louisiana and now --
MICHAELSON: After losing the endorsement of Donald Trump.
HAMBY: -- now feels liberated, finally, like Bob Corker and Mitt Romney back in the day and Jeff Flake.
It's going to be hard for Donald Trump to fight back against this, I think, with a lot of Republicans in Congress. But we'll see.
I mean, there's a lot of other Republicans who didn't lose their primaries, et cetera.
The question I have, though, isn't -- isn't just how grievance-driven and -- and gross this is, really. The size of this, quote, unquote, "slush fund," the legal defense fund, whatever you want to call it, is massive. Almost $2 billion.
To put that in perspective, the entire operating expenditure of the Consumer Financial Protection Bureau was, like, half of that in 2024. And by the way, that's a bureau Trump wants to get rid of --
MICHAELSON: Yes.
HAMBY: -- that does financial protections for people in favor of establishing a legal fund for lawfare. I just think that, whether -- whether or not Republicans get on board with this, there is this growing corruption message, I think, that Democrats can run on. You see Jon Ossoff doing this a little bit --
MICHAELSON: Yes.
HAMBY: -- in Georgia.
But Donald Trump cares about the ballroom. The, you know, apparent insider trading that was revealed this week around Trump's investments and buying stock in A.I. companies, before announcing, you know, favorable news around them. There's obviously this.
It just, I think, can create a message for Democrats that Donald Trump is looking out for his friends, his allies, his political allies, his cronies. He's not looking out for you as the cost-of-living soars in this country.
[00:40:09]
MICHAELSON: And isn't it amazing that these folks who are so against the -- the concept of reparations, especially for people that may be connected to, you know, race discrimination over the years, now seem happy to accept money from the federal government for something like this, too?
HAMBY: I know we live in this era that Trump brought on of endless "what aboutism" and grievance politics, but it is remarkable that the same person who danced on Bob Mueller's grave, because he was a political enemy, is now saying -- or I know he's putting distance between himself.
But J.D. Vance, Todd Blanche, you know, are saying that -- that people are entitled to payments for political persecution. It's just they completely always want to have it one way and not the other.
MICHAELSON: And a reminder of how important that election of Donald Trump was. Because remember, he was facing charges for January 6th, which went away when he got elected.
And instead, he pardons everybody involved with it. And now they may be getting money from the federal government. Yes.
HAMBY: And this department -- this just, again, shows the erosion of the Justice Department's independence under Donald Trump.
MICHAELSON: Right.
HAMBY: He's also using the Justice Department to go after Jim Comey and Tish James.
MICHAELSON: Yes. And he has his personal attorney now running the Justice Department.
Let's talk about what -- what's happening here in Southern California. Spencer Pratt is running for mayor. You wrote about this in Puck. You called it the "Pratt Pack" when discussing it.
We just had this -- this interview with him. What was your big takeaway from -- from what you just watched in terms of our conversation with Spencer Pratt?
HAMBY: I mean, by the way, great interview.
MICHAELSON: Thank you.
HAMBY: The comments about guns. He hasn't really talked about that publicly before.
MICHAELSON: Saying that he's -- a reason he's a Republican is because he wanted to protect his family.
HAMBY: Yes. MICHAELSON: And so, he needed a concealed carry weapons permit.
HAMBY: Right. But I think, as much as he is a registered Republican and is, by the way, stirring up Republican enthusiasm here in Los Angeles, when you look at returned ballots in the race, I think -- I think a lot of people criticize Spencer Pratt. But I see some of his strengths, actually, as a communicator.
People call him a reality TV star, former reality guy. And he is.
His strength is really social media. I'm not talking about the A.I. videos.
Ever since "The Hills," he has gone all in on Instagram, Snapchat, TikTok, all -- every platform possible. The phone. He is so native to the phone camera.
And he is using that phone camera, which he's developed over many years, developing a following well before the Palisades Fire, to document what a lot of us who live in Los Angeles see and do a kind of, you know, some emotional storytelling.
And some of it is inflammatory, and some of it is really compelling about public safety.
And whether he wins or he loses, Elex, he is, I think, at least forcing Democrats to confront very real concerns in cities around the country around homelessness, crime. I know he's making moms central to his campaign, but, you know, I think that is compelling to a lot of people.
The question I have is two questions, really. Is this just a phenomenon of his support of white people in Los Angeles who have gardeners and nannies? Does he have a lot of support in nonwhite communities? Can that grow?
And then also, is this just an online bubble conversation --
MICHAELSON: Right.
HAMBY: -- where we're all seeing it, us journalists, political junkies, in our algorithms? But are -- is it enough to move real voters in this city?
MICHAELSON: And in -- in Los Angeles? Because over on our friends over at FOX News Channel are talking about him all the time, almost every hour. They don't live here, and they don't vote here.
HAMBY: Correct.
MICHAELSON: I mean, the political reality in Los Angeles is two things are true. Almost everybody in Los Angeles is against Donald Trump. Based off of the numbers. Almost everybody. Two-thirds Democratic city.
But a lot of those same people are not happy with the way the city is going. And whether Spencer Pratt, as a registered Republican, can say, avoid the partisanship.
HAMBY: Yes.
MICHAELSON: Come over to me. Let's just do city problems. We've got to do something radically different -- is a huge experiment. It's a huge question mark, and we really have no idea how that goes.
HAMBY: Yes. Look, I think that the Donald Trump quasi-endorsement today on that tarmac was problematic for Spencer Pratt, because he has so far been able to say, I'm focused on fire victims. I'm focused on homelessness, crime, public safety, et cetera. The corrupt insiders.
But he -- he doesn't talk about, you know, immigrants or national issues with the same kind of mean-spiritedness of Donald Trump.
MICHAELSON: Doesn't talk about it at all.
HAMBY: No. As many comparisons as there are --
MICHAELSON: He does not talk about it.
HAMBY: Correct. And so, he's running, as he said in your interview, despite being a registered Republican, to be a candidate for all Angelinos.
I find that interesting also. I mean, I encourage people to go read my piece at Puck, but you've certainly talked to the same people, as well.
I bet there are lots of -- not a ton, but I think enough quiet Democrats who maybe voted for Joe Biden and Kamala Harris, who don't like Donald Trump, who are giving money to Spencer Pratt.
[00:45:01]
MICHAELSON: Thinking about it.
HAMBY: Who are saying quietly in private settings, I think I want to vote for Spencer Pratt.
Again, are these Latinos in South L.A., where he was campaigning in Hyde Park today? Or are they just white West Side people who own their houses and think -- don't like Karen Bass? And also don't like Donald Trump, but are willing to take a flier on Spencer Pratt, because there's so much visible squalor in the city, and it doesn't feel like anything's getting better.
But again --
MICHAELSON: Yes.
HAMBY: -- Karen Bass has support with labor in nonwhite communities. As unpopular as she is, you know, if she can narrow it to a choice between her and Spencer Pratt, I think she'll be coasting.
MICHAELSON: A lot of those same communities were very behind Rick Caruso last time around, and then he lost by ten points. But it's interesting.
Pratt clearly trying to be taken seriously. and that's part of the reason you see him in a suit here. He came to CNN, sat for an hour, which we appreciate.
And it'll be interesting to see what happens in the weeks ahead.
Peter, thank you so much. We didn't get to talk about the governor's race.
HAMBY: I know. That one's boring.
MICHAELSON: Instead of doing that, we have Katie Porter coming in, in our next hour, who's going to be talking about that.
Peter, great to see you.
HAMBY: Good to see you, too.
MICHAELSON: Check him out, of course, on Puck and on Snapchat.
Still to come, new details on how SpaceX operates as the company files for a public stock offering. What we're learning and how much Elon Musk could stand to make. That's just ahead.
(COMMERCIAL BREAK)
[00:50:57]
MICHAELSON: SpaceX has filed paperwork for a public stock offering. It's a major shift for a company that has long kept much of its business out of public view.
In its filings, the company said it wants to, quote, "build the systems and technologies necessary to make life multiplanetary and understand the true nature of the universe."
Those ambitions require even more advanced technology and the money to produce it. Details of the IPO remain unknown, but CEO Elon Musk could eventually make trillions if the company hits specific milestones, including establishing a permanent human colony on Mars with at least 1 million inhabitants, something he's been talking about for many years.
The CEO of Nvidia says investors don't need to worry about the company keeping up with demand for A.I. chips after posting record revenue in the first quarter.
The company reported $81.6 billion in revenue, up 85 percent from a year ago. Talk about growth.
Despite surpassing Wall Street expectations, stocks fell slightly in extended trading. What have you got to do?
It's been a strong year for the company, whose chips power major data centers around the world. And Nvidia says the current quarter could be even bigger, forecasting $91 billion in revenue.
CNN's Clare Duffy has more.
(BEGIN VIDEOTAPE)
CLARE DUFFY, CNN CORRESPONDENT: Nvidia has once again posted massive earnings growth and exceeded Wall Street's expectations in its most recent quarter.
DUFFY (voice-over): The company posting sales up 85 percent year on year. Profits up 139 percent year on year, to more than $58 billion.
And in some ways, this is what shareholders have come to expect about Nvidia. The expectations quarter after quarter are so high. And yet, Nvidia continues to exceed them.
And that presents something of a challenge for the company in terms of messaging where this is all going to go, especially as you have growing questions about the trend lines in this industry.
Whether the big hyperscalers like Meta and Microsoft will continue to shell out tens of billions of dollars on --
DUFFY: -- A.I. infrastructure, which makes up the core of Nvidia's business.
Nvidia is also facing growing competition from the likes of AMD, as well as custom in-house chips from Google and Amazon.
And that is why, I think, you see Nvidia really leaning into trying to tell the story that it is more than just a chip company.
The company talks, in its earnings press release this quarter, about the launch this year of its Vera Rubin A.I. platform.
The company is building networking and software on top of its chips, trying to create this ecosystem that customers can come in and build A.I. tools on top of. And in some ways, that makes it harder for them to come and pull out.
I think the other thing that may have helped ease shareholders' jitters a little bit here is that Nvidia announced an $80 billion share repurchase program. Again, I think they're trying to keep shareholders happy. Obviously, the numbers will do that, as well.
But as these growing questions about the trend lines and the trajectory of this A.I. industry continue to grow.
Back to you.
(END VIDEOTAPE)
MICHAELSON: Clare Duffy, thank you.
Meta, the parent company of Instagram and Facebook, has laid off 8,000 people, about 10 percent of its workforce. Seven thousand others have been reassigned to roles focused on
artificial intelligence. Meta says Wednesday's job cuts will help offset the costs of its investments in A.I., which are expected to reach at least $115 billion in capital expenditures this year.
Russian President Vladimir Putin is calling talks with Chinese leader Xi Jinping successful and productive. His comments came during a tea ceremony in Beijing.
The leaders sat down Wednesday to discuss a number of issues and signed several agreements, with the Russian president saying the countries have built a system of mutual trade, shielded from, quote, "external influence and negative trends in global markets."
During a state visit, Putin alongside Xi, toured a photo exhibition celebrating a Russian-Chinese relations. While Xi praised China's strong ties with Russia, he also warned that the world is, quote, "far from peaceful," and it's now at risk of returning, to quote, "the law of the jungle."
Putin's visit to China came just days after Xi hosted U.S. President Donald Trump.
[00:55:05]
Be sure to watch our next hour. We'll dive into everything you need to know about the Ebola outbreak in central Africa.
My guest, Dr. Anne Rimoin, professor of epidemiology at UCLA. That conversation coming up in about 30 minutes.
(COMMERCIAL BREAK)
MICHAELSON: Forecasters say the heaviest rainfall has now moved out of New York City after thunderstorms triggered flash flooding.
The storms dumped almost two inches of rain in less than one hour in some areas and caused flooding and downed trees in parts of Queens and Brooklyn.
