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EARLY START

First Ebola Diagnosis in the U.S.; Another Presidential Security Breach; War on ISIS: Terrorists Gain Ground; Calls to Protect Hong Kong Democracy

Aired October 1, 2014 - 04:30   ET

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


(COMMERCIAL BREAK)

CHRISTINE ROMANS, CNN ANCHOR: The first case of Ebola, diagnosed right here in the U.S. What health officials are doing this morning to prevent an outbreak.

JOHN BERMAN, CNN ANCHOR: A shocking new security lapse. An unscreened armed man riding in an elevator with the president, just the latest Secret Service failure. The agency scrutinized for a series of blunders and many asking this morning is the first family being kept safe.

ROMANS: ISIS gaining ground in Iraq and Syria, getting closer, closer to crucial cities. What the U.S. and its partners are now doing to stop the terrorist as the wife of an ISIS hostage turns to the camera with a message for her husband's captors. We're live in Iraq and London tracking the latest.

Welcome back to EARLY START. I'm Christine Romans.

BERMAN: And I'm John Berman. It's 31 minutes past the hour right now.

It is the medical scenario that so many doctors and security experts feared. Officials in Texas are on high alert this morning after a case of Ebola was diagnosed in Dallas. Now, this is the first such diagnosis for this virus that has killed thousands in Africa and has no known cure.

(BEGIN VIDEOI CLIP)

GOV. RICK PERRY (R), TEXAS: I received a call this evening, and news is breaking, that the first case of Ebola has been confirmed in the United States, in Dallas, Texas.

(END VIDEO CLIP)

BERMAN: That was Texas Governor Rick Perry right there.

CDC Director Thomas Frieden says the unidentified patient travelled from Liberia to the United States to stay with relatives.

(BEGIN VIDEO CLIP)

THOMAS FRIEDEN, CDC DIRECTOR: This individual left Liberia on the 19th of September, arrived in the U.S. on the 20th of September. Had no symptoms when departing Liberia or entering this country. But four or five days later, around the 24th of September, began to develop symptoms. On the 26th of September, initially, sought care. And Sunday, the 28th of September, was admitted to a hospital in Texas and placed on isolation.

(END VIDEO CLIP)

BERMAN: Dr. Frieden says he is completely confident in the ability of the U.S. public health system to control Ebola in the United States. The patient is now in isolation at Texas Health Presbyterian Hospital in Dallas.

The ambulance crew that transported the patient to the hospital is in isolation, as well as precaution. But officials say they do not believe anyone on the patient's flight to the United States is at risk because the disease is not contagious until symptoms appear.

The key date here, though, the 24th when he first started feeling sick to the 28th when he got admitted to the hospital. During that period, when he did have symptoms, it's very possible that he was contagious and people who came in contact with him are being searched right now.

ROMANS: And he sought treatment but was discharged.

BERMAN: There are questions about that, too.

ROMANS: And then he went back and was actually put in isolation.

So, there's that period of a couple days that are so critical.

BERMAN: And they will go and hunt for every person that he saw and came in close contact with during that period. But they're confident that they can do that and contain it.

ROMANS: Sanjay Gupta calls it contact tracking, where they'll go and just make sure every single person is that came in contact with him is checked for 21 days for fever.

All right. The other story we're watching at the bottom of the hour -- the head of the Secret Service under fire this monk for two recent breaches of presidential security. Secret Service Director Julia Pierson grilled on Capitol Hill Tuesday at a congressional hearing. But only hour later, a new breach -- a new breach coming to light.

Senior Washington correspondent Joe Johns has more on all of this from the White House.

(BEGIN VIDEOTAPE)

JOE JOHNS, CNN SENIOR WASHINGTON CORRESPONDENT: John and Christine, the Secret Service confirms it is investigating a report from two weeks ago that a man with a gun who was a contractor got on to an elevator with the president of the United States at the Centers for Disease Control in Atlanta. Congressman Jason Chaffetz of Utah says he was told about the situation about bun of his whistle-blowers.

This information came out on the same day that the director of the Secret Service was taken to task by members of both parties for a recent incident when a man jumped fence at the White House and made it all the way inside before he was tackled by officers. The Director Julia Pierson saying it's clear that our security plan was not properly executed. This is unacceptable. And I take full responsibility. And I will make sure it does not happen again.

The Secret Service also took tough questions about an incident in November of 2011 when shots were fired at the White House, but agents were not able to determine those shots broke a window until days later -- John and Christine.

(END VIDEOTAPE)

BERMAN: Our thanks to Joe Johns for that.

The U.S.-led coalition is keeping the pressure on ISIS, with one of the heaviest rounds of bombing since the war was expanded to include targets in Syria about a week ago.

A total of 11 airstrikes in Syria and 11 in Iraq over a 24-hour period, some hitting targets around Kobani. That is the town in Syria near the Turkish border. ISIS fighters have been advancing on that Kurdish city. And they have shaken these attacks the Turkish government. The Turkish parliament is debating now whether to send ground troops to fight ISIS in Iraq and Syria.

Britain, meanwhile, carrying out its first air strikes against is in Iraq on Tuesday, four days after its parliament authorized air strikes.

CNN's Ben Wedeman joins us from Iraq with the latest.

Good morning, Ben.

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Good morning, John. Well, the U.K. did do their first air strikes since this campaign began here in Iraq, back on the 8th of August. Two British tornadoes hit targets in northwest Iraq, according to the British defense ministry, they hit a pickup truck and another target in an area where Kurdish fighters were under attack from ISIS.

A fairly small contribution given that more than 200 strikes have been launched by the United States. In Iraq, in addition to France -- rather strikes by France in Iraq with the United States since the beginning of August. But what we're seeing is a fairly worrying situation not here in the north but rather around Baghdad, where it seems that ISIS is intensifying these hit-and-run tactics on the western defensive belt around Baghdad. In addition to that, there's that case of that Iraqi base to the northwest of Baghdad which was overrun yesterday by ISIS. The soldiers got away, but they left their weapons and ammunition behind for ISIS to take -- John. BERMAN: All right. Ben Wedeman on the ongoing battle in Iraq and

Syria against ISIS. Our thanks to you, Ben.

Iraqi officials meantime investigating an accidental air drop of supplies to ISIS terrorists. According to NBC News, Iraqi military pilots mistakenly gave food, water and ammunition to ISIS militants instead of their own soldiers. One Iraqi defense official blamed lack of experience of some air force pilots for that mistake.

Also, there maybe civilian casualties in the U.S. airstrikes on ISIS terrorists. White House officials have acknowledged that the much publicized policy that President Obama announced last year, barring U.S. drone strikes unless there's near certainty there will be no civilian casualties, that policy does not cover the current strikes in Syria and Iraq.

The wife of ISIS hostage Alan Henning making an emotional televised plea for her husband's safety. We're live in London with what she said to the terrorists in about 15 minutes.

BERMAN: The international effort to destroy ISIS is leading the agenda when Israeli Prime Minister Benjamin Netanyahu meets with President Obama at the White House later today. The two men, of course, also planned to discuss the crisis in Gaza, also nuclear talks with Iraq. A spokesman says that the prime minister's visit is a demonstration of the enduring bonds between the U.S. and Israel.

ROMANS: Time for an EARLY START on your money this morning.

European stocks are mixed. U.S. stock futures barely moving to start a new trading month, the month of October has historically been a horrific month for stocks.

BERMAN: Stop it. Stop it.

ROMANS: Just a walk down history.

BERMAN: You're going to jinx it.

ROMANS: At the crash of '29, remember that, Berman? You remember that well.

BERMAN: Not like you do.

ROMANS: Black Monday in 1987. Even the crash of 2008 all happened in October. Currently, though, in the fourth longest bull market in history. Some experts say there's still room to run as the economy improves.

Stocks working on Ebola treatments, companies working on Ebola treatments, their stocks are soaring after that first case was diagnosed in the U.S. Tekmira Pharmaceutical stock up more than 30 percent this morning in pre-market trading. The company that's been working on an Ebola cure has been swinging. Look at how wild that's been during the outbreak. Other pharmaceutical companies like BioCryst, specialized in treating infectious diseases, up more than 10 percent this morning as well. So, watch the pharma patch, specifically the Ebola treatment kind of companies because you're going to see some big moves in those today.

BERMAN: That's interesting.

ROMANS: Yes.

BERMAN: All right. Forty minutes after the hour.

Tens of thousands of protesters in Hong Kong. Some of the biggest crowds we have seen yet, demanding more democracy from their government that is despite a stern warning to go home. We are right in the middle of these protests. You can see Andrew Stevens standing right there. We'll speak to him, next.

(COMMERCIAL BREAK)

ROMANS: Today is national day in China, but protesters not taking a holiday in Hong Kong, not by a long shot.

Now, this is supposed to be a celebration from Beijing to Hong Kong, all across China. But if anything, crowds of pro-democracy demonstrators are growing with more people off work to celebrate this holiday.

CNN's Andrew Stevens live with us again this morning from the middle of the protest.

It's just remarkable. In fact, mainland China, they're not getting the news of these protests for democracy. They're only getting the news of the celebration of China's national holiday. What's happening down there?

ANDREW STEVENS, CNN CORRESPONDENT: Yes, that's right, Christine. It is quite remarkable. It's not far from where I'm standing the border with mainland China. They're doing whatever they can to black out news of what is happening over here in Hong Kong.

It is quite an extraordinary scene here. I've been here for three days since the start. The main protest site, and this is by far the biggest crowd that I've seen so far.

People ordinarily Hong Kong citizens here, coming out to show their support for the students who first came down here which were joined by other activists. But now, a much broader section of Hong Kong have come down to show their support. There are a few tourists down here as well taking in the scene.

This is quite a remarkable scene when you think there are so many people here and it is so good-natured. I just see a sign over there in bright yellow saying, "We are not enemies" in English and Chinese. They're doing (AUDIO GAP) the students, they're doing everything they can here to not antagonize people. You'll hear the applause. That's because there's a band. That's

probably a supply band going through the crowd. As an ambulance goes through, there's a round of applause from the students.

Really, they're sitting around chatting with their friends. Some are actually doing homework -- eating, sleeping, on their mobile phones, of course.

And, generally, it's a bit of a big day out for a lost people here. There is an underlying, very strong, very political message, in that we want to choose our own leader in 2017.

A little earlier in the day, we had the official flag-raising where the C.Y. Leung, the Hong Kong administrator, the leader, the chief executive of Hong Kong presided here, the flag, Chinese flag, a somber occasion and a statesman-like occasion. But the students were down there as well.

Their symbol was to turn their back on that and raise their hands in a cross to show what they think on this Chinese national day. It's national day. (AUDIO GAP) such an important day in China, such an embarrassment for Beijing.

ROMANS: Thank you so much, Andrew Stevens. Of course, the undercurrent of concern because the Chinese have a long history of suppressing, sometimes, brutally, people who protest for democracy. This has been very peaceful today. But clearly, the Chinese losing face here.

BERMAN: We'll see how many days this goes on before there is more action.

Forty-seven minutes after the hour. The man being held in the disappearance of UVA student Hannah Graham has now being linked to a third case. Investigators in Virginia say Jesse Matthew could be linked to the 2009 murder of 23-year-old Cassandra Morton. On Monday, Virginia State Police said Matthew provided a forensic link to the death of 24-year-old Morgan Harrington, who went missing after attending a concert at UVA in 2009.

Harrington's mother spoke to Anderson Cooper about Matthew's arrest.

(BEGIN VIDEO CLIP)

GIL HARRINGTON, MORGAN'S MOTHER: I don't have any desire or need to tear him limb from limb or hurt him. I just want to prevent him from hurting anybody else. And that, I am vehement to do. I don't really feel angry because I -- my mind just -- I can't comprehend how somebody could hurt and, you know, killed our beautiful Morgan. I mean, it's unfathomable to me.

(END VIDEO CLIP)

BERMAN: The Campbell County sheriff says they are trying to find any evidence that places Matthew in the town where Morton's body was found in 2009. ROMANS: All right. Forty-eight minutes past the hour.

The wife of an ISIS hostage making an emotional televised plea to her husband's captors. We're live with what she's saying, after the break.

(COMMERCIAL BREAK)

BERMAN: There is a new message from the wife of ISIS hostage Alan Henning, begging the terror group to let him go. Barbara Henning is saying she cannot understand why ISIS will not open their hearts and minds to his humanitarian motives for traveling to Syria. At one point, she speaks directly to her husband saying she misses him and is concerned for him.

Karl Penhaul is in London with more now on this impassioned plea.

Good morning, Karl.

KARL PENHAUL, CNN CORRESPONDENT: Good morning, John.

Alan Henning's friends know him as the taxi driver with heart of gold, and that because he gave up his own free time. He gave up Christmas with his family. He gave up other family time, and he gave up his weekends to wash cars to raise funds so that he could take aid to Syria, along with his Muslim friends from northern England. So, that is why we're hearing now the impassioned plea from his wife Barbara Henning once again to ISIS: let him go.

But it is beyond just a call for his release, it's also a call to jump-start talks with ISIS. In this short statement, Barbara Henning is also saying to ISIS, we haven't heard from you lately, let us find a way to communicate and specifying that the last she heard from ISIS was an audiotape with Alan Henning recorded on there pleading for his life.

So, clearly, in the past, there has been some kind of communication. This appears to be an effort to jump-start these talks. Again, to make some more direct appeal to ISIS. But let's listen to a little bit to what Barbara Henning had to say to ISIS.

(BEGIN VIDEO CLIP)

BARBARA HENNING, WIFE OF BRITISH HOSTAGE ALAN HENNING: Alan, we miss you and we're dreadfully concerned for your safety. But we are giving so much hope by the outcry across the world as to your imprisonment. I ask Islamic State, please release him. We need him back home. Thank you.

(END VIDEO CLIP)

PENHAUL: The statement is short and very carefully worded. It seems quite clear that some expert in hostage negotiations has helped her draft that message with some very firm goals in mind.

Of course, there is a sense that Alan Henning may be on borrowed time right now. If you look at the timings in terms of the executions of the other hostages that ISIS has presented, there's generally been a two-week or 10-day gap between the executions between the three Western hostages that ISIS has killed so far. We haven't seen or heard anything more of Alan Henning for the last 2 1/2 weeks now.

So, maybe something behind the scenes is going on. But, of course, what is likely to complicate the situation is the fact that Britain has now joined the airstrikes on ISIS positions inside Iraq -- John.

BERMAN: Karl, our heart does got out to that family. Thanks for that report.

ROMANS: It's just terrifying.

All right. Fifty-five minutes past the hour.

The wolf of Wall Street, that image of mostly white, mostly male bankers --

BERMAN: Sometimes naked, that image might not be changing anytime soon -- at least the mostly white, mostly male part. They're most clothed now in the 21st century.

But an EARLY START on your money is next.

(COMMERCIAL BREAK)

ROMANS: All right. Let's get an EARLY START on your money this morning.

European stocks are mixed. U.S. stock futures barely moving to start the month of October. September not a great month for stocks, folks. The Dow fell slightly on the month. The S&P 500 lost 1 1/2 percent. That makes it the worst performance since January. And the NASDAQ fell about 2 percent.

We're currently in the fourth longest bull market in history. But a lot of experts say there's still time to run if the economy keeps improving.

BERMAN: Run, bull, run.

ROMANS: Run, bull, run.

All right. Young bankers getting hired on Wall Street are still mostly male. According to a new report from recruiting firm, about 77 percent of this year's first-year bankers were men. The report also says 65 percent white, 29 percent Asian, just 6 percent black or Hispanic. Now, this lack of diversity is visible in leadership. This report shows it may be a problem across ranks if you look at the hiring, but the banks we reached out to say they're committed to diversity and this report is inaccurate.

But I'll tell you when you look at Wall Street and when you look at Silicon Valley, there's a lot of attention being paid to these two sort of job creators in energy parts of the economy where they are still mostly very white and very male.

BERMAN: Let's see if that number changes.

EARLY START continues right now.