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U.N. Reports North Korea Still Making Nukes; Manafort's Accountant Gives Damaging Testimony; Zimbabwe Election; Iran Military Drills in Persian Gulf; Russia Still Hiring North Korean Workers; Trump Undermines His Own Team on U.S. Policy; U.S. Immigration Chaos; Houston Doctor Killing; Fighting California's Fires. Aired 4-5a ET

Aired August 4, 2018 - 04:00   ET




NATALIE ALLEN, CNN ANCHOR (voice-over): A U.N. report says North Korea's nuclear program is still up and running, despite a pledge with the United States to shut things down. That is our top story.

This as the U.S. secretary of state shakes hands with his North Korean counterpart after saying he is optimistic North Korea will denuclearize.

And the Trump administration tries to put the burden on advocacy groups to reunite more than 500 parents if separated from their children across the border.

These stories are all ahead here this hour. Welcome to our viewers here in the U.S. and all around the world. I'm Natalie Allen and this is CNN NEWSROOM.


UNIDENTIFIED MALE (voice-over): This is CNN breaking news.

ALLEN: And this is our breaking news. Despite pledges to denuclearize, North Korea is continuing to pursue its nuclear and missile programs. That according to a confidential U.N. report viewed by CNN.

The report says Pyongyang has been trying to sell weapons to a Syrian arms trafficker, Yemen's Houthis, Libya and Sudan.

It is a blow for President Trump and those in his administration who were optimistic the North Korean leader Kim Jong-un would follow through on his promise to denuclearize. Let's bring in Paula Hancocks, who is in Seoul, South Korea.

First of all, tell us more about who issued this report and what more is in it.

PAULA HANCOCKS, CNN CORRESPONDENT: This is, as you say, a confidential U.N. report made up of independent experts. And every six months or so, they give their findings to the United Nations Security Council Sanctions Committee.

And this particular report is fairly damning. They believe the North Korean government is evading sanctions by illicit ship-to-ship transfers at sea. So they say that they are transferring petroleum products, crude oil; they're also trying to get around the ban on being able to export coal.

Those stronger sanctions came in at the U.N. Security Council in March of last year. So these findings suggest that they are trying to flout -- the word the report uses -- the caps and the limits on the amount of petroleum that they are allowed to import.

One U.N. member says they believe they have already procured more than 500,000 barrels of refined petroleum products between January and May. So certainly quite significant flouting of those sanctions, if it does turn out to be accurate.

We've heard many reports and seen photographic evidence of these ship- to-ship transfers at sea. The U.S. has given evidence to the panel along with photographic evidence.

And we also understand from this report that they say that the North Koreans are, quote, "increasingly sophisticated evasion techniques," this is what they are using, they are becoming more sophisticated in their efforts to try and hide the fact that these are North Korean tankers and ships at sea doing this kind of transfer.

So certainly this will be of concern to the Security Council Sanctions Committee.

ALLEN: Right.

And what about South Korea?

They were the ones who first made this renewed connection with North Korea and that ended up leading to a summit with the U.S. president.

Do you expect them to respond?

HANCOCKS: Well, we've had no response from South Korea at this point or from any of the players in the region. Certainly this report was only handed to the committee on Friday night. So there will be a lot of questions being asked about it.

But at the same time, there will also be a case of some people not actually being that surprised. We had heard over recent months that North Korea was continuing its nuclear and missile program. Intel agencies had been putting information out there.

And "The Washington Post" just a matter of days ago had been reporting that they thought North Korea was trying to build one, if not two, liquid fueled intercontinental ballistic missiles at the same time as having these negotiations with the United States.

But, of course, the fact is that, during that Singapore summit between Kim Jong-un and Donald Trump, they agreed to work towards denuclearization. There was no pledge from Kim Jong-un to completely give up all of his nuclear weapons immediately.

So I don't think this will come as a huge surprise to many but the very fact that it is the United Nations panel that has come up with some really quite detailed information about the ship-to-ship transfers will pose problems for these ongoing negotiations.

ALLEN: We thank you so much, Paula Hancocks there for us in Seoul.

For more about it, U.S. secretary of state Mike Pompeo's --


ALLEN: -- at the ASEAN ministers' meeting, where he shook hands with the North Korean foreign minister Ri Yong Ho a short time ago. CNN's Ivan Watson is there, too, with more reaction.


IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: America's top diplomat arrived in Singapore with some tough words for North Korea, accompanied by some warm smiles and a handshake.

At a group photo of dozens of foreign ministers from around the world, he made a point of walking across a crowded stage to shake hands and exchange a few warm words with North Korean's foreign minister Ri Yong Ho.

And this, despite the fact that Pompeo traveled here, telling journalists that he believed that Pyongyang was acting in a manner that was inconsistent with what he described as North Korean leader Kim Jong-un's pledge towards denuclearization, a pledge that was made here in Singapore less than two months ago, during that historic first face-to-face encounter between Kim Jong-un and U.S. president Donald Trump.

Pompeo went on to say that he was urging Southeast Asian nations to continue the diplomatic and economic isolation around the North Korean regime, calling on all countries to continue enforcement of United Nations Security Council resolutions, banning, for example, illegal ship-to-ship transfer of petroleum headed to North Korea.

And he also singled out Russia, accusing it of being involved in helping North Korea evade United Nations embargoes.


MIKE POMPEO, UNITED STATES SECRETARY OF STATE: We have seen reports that Russia is aligned for joint ventures with North Korean firms and granting new work permits to North Korean guest workers. If these reports prove accurate, then we have every reason to believe they are, that would be in violation of U.N. Security Council resolution 2375.

I want to remind every nation that has supported these resolutions, that this is a serious issue and something we will discuss with Moscow.


WATSON: Secretary of state Pompeo and several other top officials have also have said that they have not seen signs that North Korea has suspended its production of material that could be used for nuclear weapons.

But they have applauded the North Korean decision to hand over the remains of 55 individuals believed to be United Nations forces, possibly U.S. troops lost during the Korean War back in the 1950s, applauding that as a confidence-building measure.

But clearly they want to see more steps toward nuclear disarmament coming from North Korea -- Ivan Watson, CNN, Singapore.


ALLEN: Let's talk more about this report with our guest, Inderjeet Parmar. He teaches international politics at City University of London. He joins us this time from Kuala Lumpur, Malaysia.

Inderjeet, thank you so much for talking with us about this. Now we are learning that not only is North Korea flouting sanctions, it is involved in illegal ship transfers of oil, coal. And according to this report, it's also selling weaponry to an Syrian arms trafficker and it's not denuclearizing.

What do you make of this?

INDERJEET PARMAR, CITY UNIVERSITY OF LONDON: As your correspondent said, it is not particularly surprising. Sanctions which have been applied for a long time on North Korea really hit the people of that country and therefore the regime's stability.

So they have been working for many years now, in trying to undermine and violate them in order -- to basically (INAUDIBLE) their survival. And to some extent, the talks in June with President Trump were an attempt to loosen up sanctions on -- or loosen up or decrease the pressure somewhat.

And that did sort of work to some extent. It seems to have relaxed China and Russia from the -- (INAUDIBLE) with the intensity with which they have been applying the sanctions and they'd agreed to at the U.N.

ALLEN: North Korea started the year with an olive branch towards South Korea which led to cooperation with the Olympics, which led to a meeting between the two countries and then a summit with the U.S.

Has it all been just a big ploy, do you think, Inderjeet?

PARMAR: I think if you put yourself in the shoes of North Korea, I would think they would want to play for time. But I think they just have no trust in what the United States is likely to do. And I suspect that the withdrawal from the Iran nuclear agreement hasn't increased their confidence very much.

So I think what they wanted was a kind of a reprieve to some extent, a decrease in the level of tension that had developed with the Trump administration. You'll recall, the (INAUDIBLE) and I think they generally feared that President Trump might do something very, very provocative. And therefore I think they wanted (INAUDIBLE) to buy some time.


PARMAR: And I suspect that is broadly what they are doing. I can't see (INAUDIBLE) realistically developing in which North Korea actually gives up its nuclear weapons. That is probably its only guarantee of regime survival.

ALLEN: The president after his meeting had said that he believed that North Korea would denuclearize, so this certainly is, this report, is an eye opener. As always, we appreciate your insights, Inderjeet Parmar, thank you.

PARMAR: Thank you.

ALLEN: We turn now to the Russia investigation and the web of intrigue which surrounds the woman known as the Manhattan madam and why she agreed to an interview this week with special counsel Robert Mueller's team.

Kristin Davis, seen here, once ran a high-priced prostitution ring and went to jail for it. On the surface she doesn't appear to have a connection to the Russia investigation.

But she does have a close relationship with Roger Stone, a long-time adviser to Donald Trump. Sources say her testimony suggests Mueller might be building a case against Stone.

Meantime, the trial of Paul Manafort resumes on Monday after a bruising week for the defendant. In just four day, jurors have seen and heard a mountain of evidence, pointing to bank fraud and tax evasion. For more now, here is CNN's Evan Perez in Washington.


EVAN PEREZ, CNN JUSTICE CORRESPONDENT: The most damaging testimony so far in Paul Manafort's tax and bank fraud trial was from one of his former accountants.

Cindy Laporta told the court that she and others at her accounting firm helped Manafort falsify numbers so that Manafort could save hundreds of thousand of dollars in taxes. Laporta is the first witness we've heard from so far who is testifying under a limited immunity deal from special counsel Robert Mueller.

Prosecutors say Manafort used offshore bank accounts to hide millions of dollars that he was paid while doing political consulting work in Ukraine. He is charged with failing to report those foreign bank accounts and with lying on his tax returns, as well as lying on bank loan applications.

Laporta said in court that she and others at her accounting firm helped fake $900,000 in income from one of those offshore accounts as a loan. That saved Manafort as much as half a million dollars in taxes for 2014.

This is all building toward the big witness still to come, Rick Gates, who, as Manafort's number two, and who has now flipped to provide testimony against his former boss. We expect Gates will testify that he was part of the conspiracy to help Manafort hide this money.

Manafort's lawyers, of course, are expected to attack Gates' testimony by pointing out that he has now pleaded guilty to lying to the FBI. The trial continues on Monday -- Evan Perez, CNN, Washington.


ALLEN: We turn to world news next. This week's election in Zimbabwe was supposed to bring calm. Instead, it did just the opposite. We'll go live there after a short break.

Also, usually Iran tells the world its military exercises are about to begin. Not this time. When we return, why a show of force has been kept under wraps.






ALLEN: Five days on from its presidential election, the stability Zimbabwe sought has yet to appear. The president called for calm after violence broke out when preliminary results were released. The opposition party leader says the vote was rigged.


NELSON CHAMISA, ZIMBABWEAN OPPOSITION PARTY LEADER: We are not accepting (INAUDIBLE). We are not accepting this (INAUDIBLE). We want the (INAUDIBLE).

We will pursue all means necessary, legal and constitutional, to make sure that we protect the people's vote. The people have voted. They are cheated. The people have won. They are subverting that win. We will not allow it and we will not accept.


ALLEN: Defiant leader from the opposition there. David McKenzie is joining us from Harare, Zimbabwe, with the fallout from this election.

And, David, so much was at stake for Zimbabwe here. This was to be a turning point for this beleaguered country, now that it is out from under the grip of Mr. Mugabe. And now this. What's the latest?

DAVID MCKENZIE, CNN CORRESPONDENT: Well, the latest is 22 supporters and officials from the opposition party are in the court here behind me, where they could be facing the incitement of violence charges that could be very serious charges. That stems from a raid on opposition headquarters in the lead out of this controversial vote.

And it points to the potentially level of intimidation that is ongoing in the country, harkening back to the time of Robert Mugabe, who was ousted in November. The more things change, the more they seem to stay the same here.

Still, this result is disputed by the opposition party. They say they have evidence of rigging and fraud. But they haven't presented any of that evidence at this point.

a little bit So you say there is a court hearing underway behind you.

Any idea where this goes from here, how it might be resolved?

Is there any indication that Mnangagwa will reach out at some point to the opposition?

MCKENZIE: According to the opposition, they haven't received that connection with the ruling party. Mnangagwa says they are welcome to take any disputes to the courts here in Zimbabwe. But the courts, in the past, at least, have been aligned with the government in power at the time.

There is calm in Harare today. Life getting back to normal. Normal is not a great scenario, frankly. We saw lines of people outside the banks here in downtown, trying to get their allotment of cash because they can't draw what with a they want. So there is this economic crunch that --


MCKENZIE: -- continues. There is a sense from some that they just want to get on with things, try to open the country to investment after years of a very struggling economic situation.

But others who are more political and want change in this country, they believe that the opposition has been wronged here and they want the court process or the disputes to be properly investigated before the country moves on.

ALLEN: We hope the country can move on from this, they certainly need it. David McKenzie there for us in Harare. Thank you.

We turn now to the Persian Gulf, where the U.S. is keeping a close eye on Iran's military exercises. There is concern Tehran is using a show of force to demonstrate it can shut down the Strait of Hormuz, a strategic passage for global oil supplies. Our Nic Robertson joining us from Abu Dhabi with details on this.

Is it looking like Iran might still plan to do that?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: It certainly seems to be a signal. And you can definitely say that is how it is being read in this region here, although Iran, untypically for this type of military exercise that normally comes later in the year, isn't announcing that it is happening, isn't making public explanation.

But I think in this region at least, where oil producers are very familiar with this conundrum, that Iran can close the Strait of Hormuz if it so chooses or make it exceptionally difficult for vessels to move through there, they have long had this problem here and they have found ways to get around it.


ROBERTSON (voice-over): At anchor, tankers, waiting to help slake the world's unquenchable thirst for oil. Between them and their vital cargo, the Strait of Hormuz, a strategic choke point in the path of 20 percent of global oil supplies and a massive military exercise by Iranian forces.

ROBERTSON: U.S. Defense officials say that dozens of small Iranian vessels are involved in these military drills that normally happen much later in the year. The timing now so close to the reimposition of U.S. sanctions on Iran and Iranian threats to close the strait is raising concerns.

ROBERTSON (voice-over): Typically in the past, Iran publicizes its naval training exercises. This was similar maneuvers last year. Not so this time.

UNIDENTIFIED MALE: Given the ongoing saga of the geopolitical (INAUDIBLE) Arabian Gulf, UAE, like many other countries, has taken a set of measures to ensure the (INAUDIBLE) supply of this oil exports.

ROBERTSON (voice-over): Iran's threats aren't new. During the 1980s, the so-called Tanker War saw U.S. Naval ships escorting oil tankers through the Strait of Hormuz. Since then, regional oil producers here, like the UAE, have been making contingency plans.

The port of Fujairah on the Gulf of Oman is at the end of a massive pipeline begun a decade ago to bypass the Strait of Hormuz.

UNIDENTIFIED MALE: Fujairah, historically, has been always considered as a kind of a natural hedge again any geopolitical risk that take place at the Arabian Gulf.

ROBERTSON: So it's a backup.


UNIDENTIFIED MALE: Yes, it is a backup.

ROBERTSON (voice-over): In recent weeks, a war of words has been escalating between Washington and Tehran, Iran's president warning a war with Iran would be the mother of all wars. President Trump firing back an all-caps tweet, demanding an end to threats or else face serious consequences, then changing to this tactic.

TRUMP: Thank you very much.

I believe in meetings, I would certainly meet with Iran if they wanted to meet. I don't know that they are ready yet. They're having a hard time right now. No preconditions, no. They want to meet, I'll meet, anytime they want.

ROBERTSON (voice-over): The Iranians not taking up the offer.


ROBERTSON: So what is expected to happen in Iran?

Is, in effect, President Trump pulling out of the nuclear deal?

That begins on Monday, August the 6th. That will be when the first raft of sanctions become reimposed on Iran. And that is undoubtedly -- and is already causing economic hardship there.

ALLEN: All right, we appreciate it. Nic Robertson in Abu Dhabi, we'll be paying attention, of course, to this story as it develops.

Russia is still reaching out to North Korea for workers. But that is not the United Nations' concern. Why Russia says it is not violating U.N. sanctions. That is ahead here.

Also, the shocking disconnect between the U.S. president and his own national security team.


ALLEN: They sound the alarm on Russian election meddling from the White House Briefing Room. Hours later, he says it is all a hoax. More about it after this.




ALLEN: Welcome back to our viewers all around the world. You are watching CNN NEWSROOM live from Atlanta. I'm Natalie Allen with your top stories.


ALLEN: Pompeo sending a message to Russia, granting work permits to North Koreans is against U.S. sanctions.


MIKE POMPEO, UNITED STATES SECRETARY OF STATE: We have seen reports that Russia --


POMPEO: -- is aligned for joint ventures with North Korean firms and granting new work permits to North Korean guest workers. If these reports prove accurate, then we have every reason to believe they are, that would be in violation of U.N. Security Council resolution 2375.

I want to remind every nation that has supported these resolutions, that this is a serious issue and something we will discuss with Moscow.

We expect the Russians and all countries to abide by the U.N. Security Council resolutions and enforce sanctions on North Korea. Any violation that detracts from the world's goal of finally fully denuclearizing North Korea would be something that America would take very seriously.


ALLEN: Those sanctions are aimed at cutting off a revenue stream to the North in the hopes of getting the country to end its nuclear program. Last January, our Matthew Chance saw an example of the conditions North Korean workers face working in Russia. Here is his report.


MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Behind these ramshackle gates a hidden world of North Korean labor where Pyongyang sends its camera-shy workers to live and to earn hard Russian cash. It's a crucial economic lifeline from Moscow to the sanctioned North Korean regime.

KONSTANTIN KOSACHEV, SENIOR RUSSIAN LAWMAKER: Sanctions is their own instrument to my mind. This is not the solution of the problems of North Korea.

CHANCE: So employing these tens of thousands of North Korean workers is Russia's way of going around those sanctions.

KOSACHEV: Absolutely not. We will not go around any sanctions which are supported by the Security Council.

CHANCE: We visited this construction site in the Russian city of St. Petersburg where the workers are North Korean migrants. U.S. diplomats tell CNN they believe more than 50,000 North Koreans work in Russia and upwards of 80 percent of their wages are paid directly to Pyongyang. It's an important source of funding for the cash-strapped regime.

ALEXANDER GABUEV, CARNEGIE ENDOWMENT CENTER: Russia is allowed to keep the workers which they have but not to either enlarge the quotas or introduce new labor or to resign the contracts.

And the ambiguity is that nobody has looked into the proper contracts so nobody knows how many years they are allowed to stay. CHANCE: And as sanctions tighten on North Korea, there are concerns about how Pyongyang uses the cash earned by the laborers who work and sleep and even eat here.

All right. Well, this looks like it's the canteen for the North Korean workers. And here they are in here having their lunch. Obviously, this is very important.

There are a lot of people just here. And it's very important because across Russia there are thousands -- come on in, come on in -- there are thousands of Russians, thousands of North Koreans rather that operate on North Korean sites.

And the importance of that is that the U.N. says that this is one of the main ways that North Korea funds its missile program and its nuclear weapons program.

But Russia denies undermining international sanctions saying it stands against Pyongyang's military ambitions and supports U.N. Security Council resolutions calling for North Korean nuclear restraint.

The money these workers earn, insist Russian officials, is a form of direct aid keeping North Koreans alive.

KOSACHEV: The money is used to assist people who live in North Korea to survive because they do experience economic and social problems. I cannot imagine a situation where you may color this money and see look this money earned in Russia go for the nuclear program and that money earned I don't know in Japan it goes somewhere else.

CHANCE: Russia it seems supports efforts to isolate the North Korean regime, but also helps to keep it afloat -- Matthew Chance, CNN, St. Petersburg.


ALLEN: President Trump hit the campaign trail again on Saturday. He will be in Ohio, where a special election on Tuesday could foreshadow the midterms, just three months down the road.

As often happens these days, Mr. Trump's message at a campaign rally can be wildly different from that of his senior advisers back in Washington. For more about that, here is CNN's Jeff Zeleny.


JEFF ZELENY, CNN SENIOR WHITE HOUSE CORRESPONDENT (voice-over): It has become part of President Trump's all-too familiar soundtrack.

TRUMP: I call it the Russian hoax.

They made up the whole Russia hoax.

ZELENY (voice-over): But --

[04:35:00] ZELENY (voice-over): -- those same words at a Pennsylvania rally last night...

TRUMP: Now we're being hindered by the Russian hoax. It is a hoax, OK.

ZELENY (voice-over): -- striking a new and discordant tone, coming only hours after his national security team stepped forward to call out Russia for its ongoing role in attacking U.S. elections. From the FBI director...

CHRISTOPHER WRAY, FBI DIRECTOR: Russia attempted to interfere with the last election and continues to engage in malign influence operations to this day.

ZELENY: -- to the head of National Intelligence...

DAN COATS, U.S. DIRECTOR OF NATIONAL INTELLIGENCE: We continue to see a pervasive messaging campaign by Russia to try to weaken and divide the United States.

ZELENY (voice-over): -- after the secretary of Homeland Security...

KIRSTJEN NIELSEN, SECRETARY, DEPARTMENT OF HOMELAND SECURITY: Free and fair elections are the cornerstone of our democracy and it has become clear that they are the target of our adversaries.

ZELENY: -- all saying what the president has refused to say in public. As the government issues warning after warning about Russia...

UNIDENTIFIED MALE: This is a threat we need to take extremely seriously and to tackle and respond to with fierce determination and focus.

ZELENY: -- the president dwelling on his warm relationship with Vladimir Putin.

TRUMP: In Helsinki, I had a great meeting with Putin. We discussed everything. I had a great meeting. We got along really well. By the way, that is a good thing, not a bad thing.

ZELENY (voice-over): Three weeks after Trump and Putin's summit, a meeting that elevated the Russian president on the world stage, a central question remains.

What did the two men talk about during their two-hour private meeting?

When asked in the White House Briefing Room, Dan Coats, Director of National Intelligence, said he still didn't know to what degree election meddling was discussed.

COATS: I'm not in a position to either understand fully or talk about what happened in Helsinki. I'll turn it over to the national security director here to address that question. JOHN BOLTON, TRUMP NATIONAL SECURITY ADVISER: The issue was discussed and, in fact, President Putin said the first issue that President Trump raised was election meddling.

ZELENY: Still so many questions about that Helsinki summit and that private meeting between President Trump and President Putin.

But one thing has changed as we end this week here, there was a unified message from the U.S. government about Russian election meddling. But that unified voice missing a critical voice, the president's own. He has yet to use his own megaphone to draw attention to the election attack -- Jeff Zeleny, CNN, Berkeley Heights, New Jersey.


ALLEN: The U.S. government suggests a new method for reuniting children and parents separated at the southern border but that idea is being highly questions. We'll tell you about it coming up here.

Plus, the souvenir T-shirt that is supposed to be a gag but some journalists are not laughing.





ALLEN: Welcome back.

A federal judge in California is slamming the U.S. government for its slow progress reuniting hundreds of parents and children separated at the border. Some 500 deported parents still can't be located. So the government suggested a new approach for tracking them down. Here is Dianne Gallagher with that.


TRUMP: Families being separated --

DIANNE GALLAGHER, CNN CORRESPONDENT (voice-over): The Trump administration telling the ACLU essentially, we broke it, you fix it.

In documents filed ahead of a hearing this afternoon, the Justice Department argued the ACLU should use its, quote, "considerable resources," its network of law firms, NGOs, volunteers and others to find parents who the government separated from their children and then deported without them, even suggesting that the ACLU be required to share weekly updates about their progress locating parents and whether those parents want to be reunited with their children.

Making this even tougher, the government has resisted handing over entire case files for these parents, something ACLU says would help expedite the search.

LEE GELERNT, ACLU: You know what's unfortunate, the government doesn't have a plan the government's shifted the responsibility to us and NGOs to find these parents. We'll do it because the government is not, but what we need is information from the government.

Any relative the government may know about, any last known address something to help us. We're not going to give up.

GALLAGHER: It's not a small task. In a Senate hearing this week, Public Health Service Corps Commander Jonathan White said the parents of more than five hundred kids still here may have been deported.

But some of those children have been released to sponsors or relatives, but 410 of the separated children with parents no longer in the country remain in government custody.

Meanwhile, each week seems to bring new allegations of abuse at shelters for migrant children.

Court records first reported by "ProPublica" reveal that a former youth care worker for Southwest Key, Levian Pacheco, is accused of molesting eight boys ages 15 to 17, who were staying at the Mesa, Arizona, shelter where he worked between August 2016 and July of last year. Pacheco denies these allegations.

Now, on Tuesday, another man, an employee at a Southwest Key children shelter in Phoenix was arrested on suspicion of molesting a 14-year- old migrant girl who was staying at the facility.

The spokesman told CNN, quote, "Southwest Key programs does extensive work to prevent all forms of abuse. When these rare situations occur, all staff involved adhere to our strict protocols."


ALLEN: The man suspected of killing a prominent doctor in Texas has killed himself. It ends a days' long manhunt for Joseph Pappas. Investigators say he killed the renowned cardiologist possibly as revenge for his mother's death 20 years ago. For more about it, here is Ed Lavandera in Houston.


UNIDENTIFIED MALE: He's walking. It's going to be the suspect. He's walking eastbound on the bayou toward the bridge.

ED LAVANDERA, CNN CORRESPONDENT (voice-over): This is how it sounded over the police radio systems as officers cornered 62-year-old Joseph Pappas. One officer confronted the murder suspect as he walked through this Houston neighborhood Friday morning. Police say Pappas was wearing a bulletproof vest and carrying a handgun.

UNIDENTIFIED MALE: Suspect Pappas had his left hand up and has his right hand secreted, where the officer could not see his hand. The suspect said something about suicide and the officer said, let me see some hands, or something of that nature.

LAVANDERA (voice-over): A second police officer arrived seconds later.

UNIDENTIFIED MALE: He just laid back as the second unit got there. I think he shot himself.

LAVANDERA (voice-over): This resident saw the scene unfold in front of his home.

UNIDENTIFIED MALE: I saw a police officer pull his weapon and was pointed at a man behind that tree that had (INAUDIBLE) -- had his hand up. And then I heard a gunshot, gunshots. Didn't see the hand anymore.

LAVANDERA (voice-over): Pappas killed himself. It ended the manhunt for the killer of prominent Houston cardiologist Mark Hausknecht. The doctor was shot and killed while biking to work --


LAVANDERA (voice-over): -- on July 20th.

Newly released court documents reveal that video cameras from city buses captured extensive footage of Pappas following Dr. Hausknecht before he appears to shoot him, then the unknown male did not stop and rode his bike away from the scene.

It was video footage from a home surveillance camera in a nearby neighborhood that helped police identify Pappas.

UNIDENTIFIED MALE: At the suspect's residence, they found a very extensive intelligence file that this suspect had put together on Dr. Hausknecht. He knew everything that you could possibly find on this man. I'm not going to go any further in the details, just to say that it was very extensive.

LAVANDERA (voice-over): The file also contained the names of several dozen doctors and employees who worked in the same medical center, which raised alarms for investigators.

UNIDENTIFIED MALE: We actually passed that information onto the medical center and they dealt with it to make sure notifications were being made and as they identified those employees.

LAVANDERA (voice-over): The newly released court documents also reveal that, inside Pappas' home, the front door was barricaded with a large piece of metal and that the living room had been cleared out, except for a lone chair facing the front door. And in the kitchen, Pappas left his last will and testament -- Ed Lavandera, CNN, Houston.


ALLEN: The Newseum in Washington is a shrine to the U.S. First Amendment and a free press. An item for sale in the gift shop is causing a stir. That would be it right there. T-shirts emblazoned with the words "fake news" are selling for $25 in store and $20 online.

Some journalists say it makes a mockery of their profession and echoes authoritarian regimes that persecute reporters. The Newseum says people are reading too much into it. A spokeswoman defends the T- shirt, saying, "Fake news is a word that is in our popular culture now and this is intended to be a satirical rebuke."

In California, firefighters are battling 17 major wildfires. But it will be an intense battle because of intense dry heat and gusting winds. Our Ivan Cabrera will have more about it coming up here.






ALLEN: Parts of Europe are in the grip of a deadly heat wave. The Iberian Peninsula is reaching near record high temperatures. Three people in Spain died from heatstroke this week. The forecast shows the thermometer should drop almost 10 degrees in the coming days. So relief is on the way.

Massive wildfires in California are covering the state with a blanket of smoke.


ALLEN (voice-over): This is what that looks like from space. That gives you a pretty good idea of what they are dealing with. Despite the best efforts of exhausted firefighters, some of the strongest fires continue to grow. We get more from CNN's Scott McLean in California.


SCOTT MCLEAN, CNN CORRESPONDENT: As fire continues to bear down on California, there is no relief in sight. After days of relative calm, high winds are once again fanning the flames.

UNIDENTIFIED MALE: Wind coming in clears the airspace so we can see what we're doing and actually have an aerial firefight. However, it does mean increased fire activity.

MCLEAN (voice-over): At the Carr fire, which has already destroyed more than 1,000 homes, hot and dry conditions have made the hillsides tinder dry with not a drop of rain in the forecast.

UNIDENTIFIED MALE: What would really help is a shift in Mother Nature.

MCLEAN (voice-over): In the small town of Lewiston, there is heavy smoke just over the ridge, as a nonstop cycle of helicopters drops fire retardant on the mountains. Almost everyone in town has long evacuated. But not James Deborello (ph).

JAMES DEBORELLO (PH), LEWISTON RESIDENT: My wife and dogs got back and they left. But I stayed to do what has to be done.

MCLEAN (voice-over): With his neighbors long gone, Deborello (ph) has volunteered to feed their cats.

DEBORELLO (PH): Here, kitty, kitty, kitty.

MCLEAN (voice-over): And even their turkeys, too.

DEBORELLO (PH): Yes, they couldn't make it this morning. So Uncle James is going to take care of you.

MCLEAN (voice-over): He has nothing packed and no plans to leave.

DEBORELLO (PH): At the worst, I'll just jump in the river and let it burn over.

MCLEAN (voice-over): Armed with two water trucks and a friend, he is planning to defend his neighborhood, even if flames reach town.

MCLEAN: When you look over the ridge and you see smoke, are you not afraid?

DEBORELLO (PH): When your number's up, your number is up.

MCLEAN: More than a dozen fires are still burning across the state. Visible even from space. Officials reporting Friday morning the Mendocino Complex fire is now even bigger than the Carr fire, threatening over 9,000 buildings. Even as big flames have crossed over the ridge and toward the community of Upper Lake...

UNIDENTIFIED MALE: The kids have left, the grandkids have left.

MCLEAN (voice-over): -- some like Theresa Pena (ph) are ignoring evacuation orders.

UNIDENTIFIED FEMALE: I got to stay here until the flames are right at my door because I ain't got nowhere else.

MCLEAN (voice-over): Scott McLean, CNN, Lewiston, California.




ALLEN: We've got a little fun story before we go this hour.

Many of us can't wait to get off work at the end of our week to relax. Well, apparently goats feel that way, too. Dozens of goats became escaped goats and invaded a neighborhood in the state of Idaho. They weren't supposed to be there. They are usually rented out as an eco- friendly way to clear weeds. Goats are our friends that way.

Most of the neighbors weren't too upset that the goats came to visit. But finally, the owners got them, as you can say, rounded them up and off they went. Goats gone wild.

IVAN CABRERA, AMS METEOROLOGIST: Have you tried the goat yoga by the way?

Oh, my goodness, highly recommend it.

ALLEN: We'll talk about that later.

CABRERA: You'll have to Google it.

ALLEN: I will.

We got more news right after this. Thanks for watching.