directly @ray suarez news. see you for the next "inside story." in washington i'm ray suarez. >> on "america tonight": another deadly day in gaza. a u.n. school targeted again. more innocent families killed in the cross fire. as the violence escalates, a palestinian teenager documents her fears and hopes. also, just ahead, schools out, but we continue our in depth look at american education, tackling teacher tenure. >> they don't put the student as their number one priority. >> this couple wanted a baby but

this man they say left them heartbroken and broke. >> rudy some of your former clients have called you a scam artist. >> yeah. and i'm sorry that they feel that way. >> we first reported the story and now we confront the ceo of a surrogacy agency in an inclusive exclusive tv interview. >> good evening everyone thanks for joining us. i'm adam may. joie chen is off tonight. the death toll from the bloody soar. a brief humanitarian pause in fighting between israel and hamas was short-lived. both sides traded rocket fire and air strikes. and yet another air strike on a u.n. school.

at least 19 were killed while they were sleeping. blamed israel, calling the astack a serious violation of international law. in some o of its toughest langue yet, the u.n. blamed the school, calling for safety of the survivors. the shelling of a market, came shortly after israel said it was observing a limited four hour ceasefire. the israeli army says it has discovered four tunnels leading to israel in the past 24 hours and it says it is now just days away from destroying all those tunnels used by hamas operatives. al al jazeera's nick schifrin joins us from gaza. the violence started very either today didn't it nick? >> reporter: it did. it's a very difficult day for people today, started at four or

5:00 a.m., when there was chaos in a u.n. school, these schools have become the shelters for those who fled north gaza, they came from gaza city filling the school, as my colleague discovered at the hospital down the road. doctors worked practically to treat the wounded. the emergency ward of the kamal odowan school was overwhelmed. after the u.n. school directed the hospital be used as a shelter. this man says he was asleep when the attack happened. >> all of a sudden tank shells started falling all around us. we were sprayed with shrapnel. it was pretty terrifying. >> as medical workers tried to treat sheer volume of casualties

and while people are no doubt mourning the loss of their loved ones, they are asking them where they can stay. this classroom was supposed to be safe. all that's left are the remnants of the lives of the people who took shelter here shortly after israel began bombarding the gaza strip more than three weeks ago. it is not first time a united nations school full of displaced people have been hit by the israeli military . abu says it is likely not going to be last. >> there is no safe place in gaza, not a school, not a mosque. i have no idea where to tell them to go. >> steps away from the classroom that was shelled, she sells me she won't leave. >> translator: my house has already been destroyed. where else can enjoy? am i spoached -- i go? are if they bomb this place

again i won't leave. i have incorporate tolls go. >> an israeli military spokes woman has said the attack is being reviewed but that's small comfort to those who have no choice but to stay here. al jazeera at the gevalia refugee camp, gaza and since then the israeli military says it was receiving fire from the area right around the school. the u.n. though has been vociferous, very strong in it's condemnation of this attack saying the death of children as they sleep was, quote, an affront to all of us. the source of universal shame and that the world stands disgraced by this attack. there are some 200,000 people in these schools and as the report so well suggested so many of them tonight are asking well if this shelter isn't safe if my homes aren't safe back in the neighborhoods i fled where can i go?

>> we're going to go in depth with what's happening at the united nations in just a moment. nick i wanted to ask you what happened after the incident at the school. there was supposed to be a humanitarian voluntary ceasefire announced by the u.n. but it seems that was a complete failure on both sides. >> the israeli military claird declared a ceasefire. but only one area they are not already fighting. one of them is shujayea. couple of miles to my left that has been the epicenter of so much of the fighting, so many israeli strikes in that area and so many tunnels that lead from gaza into israel actually start in that neighborhood. the people in that neighborhood were told not to return. they did not listen and israel continued to attack shujayea and add least one strike hit a very busy marketplace. it's kind of a market district in that community. and this was one of the most

horrific images that we've seen of this war, and we have seen a lot of horrific images, where shells landed in a very busy marketplace. wounding almost 200 people by the numbers. this is one of the worst attacks in the last three weeks. the hospital, where these wounds were evacuated to was so overwhelm they put out an urgent call for blood. immediately hamas responded by launching records towards tel aviv all of which were intercepted. but this was definitely one of the bloodiest afternoons in a very bloody three week war. >> the numbers are continuing to grow, humanitarian crisis, very briefly we are hearing from a spokesman that they may have targeted all the tunnels they have been going after. in the next few days. aside from that statement, is there any sign this conflict is winding down? >> the u.s. officials i talked to who are in the milt of this

negotiation have been frustrated with israel's insistence that they have to continue this fight, have to continue going after those tunnels and have to continue to target the rocket launchers that have launched thousands of rockets into israel. even though officials are voicing support for this they are hoping the israelis will get this done, if that is true, the israelis although they have two or three days,er day they find more. that is the most likely scenario where the israeli security cabinet which has so far rejected all peace offers, all ceasefire proposals, that is when they would say yes we are willing to accept a ceasefire proposal because all of the tunnels from gaza into israel have been destroyed. until that point the israelis will continue, it is

believed, firing on hamas rockets. >> nick schifrin, thank you. u.n. secretary-general said he was outraged and added, quote, there is nothing more shameful than attacking sleeping children. for more on the united nations response, christian saloomey, thank you for joining -- kristin us. do you think this statement comes across as the most stern one yet? >> valerie amos called this a gross violation of international law. a school where 3300 palestinians had sought shelter and just hours before the attack the u.n. had again reported the coordinates of this location and expressed concern about fighting in the area. some 19, at least 19 people were killed in the attack. many of them were children who were sleeping on the floor next to their parents. and the u.n. is expressing its

concern that it has no safe haven for palestinians to retreat to. this is an area about the size of philadelphia, gaza, with just 139 square miles. >> they're being told, flee areas, get out of areas, but to where? where should they go? and again we don't have the answer for them. >> and adam, this is the sixth time that a u.n. school that was being used as a shelter has been hit in the conflict earlier this week, another 16 people were killed in another strike although in that case the u.n. has not assigned responsibility for the attack. >> kristin, look israel said they were responding to mortar fire in the area of that school. israel also says that hamas misfires could be responsible. and there is evidence to suggest that missiles and arms have

actually been stored in u.n. facilities. how does the united nations respond to all of this? >> the u.n. has in fact found missiles at three of its school locations and has come out and condemned the using of u.n. facilities to house weapons or fighters. but when pushed they point out that the facilities where these weapons were found were abandoned facilities, places they had to leave because of the ongoing fighting. they say they have an intense vetting process for schools that are being used as shelters, and no one is allowed in with weapons and they do very close inspections of these places. >> the united nations obviously expressing a lot of outrage about what's happening out there. what about accountability? what if anything can they actually do? >> well, we have pushed officials at headquarters here in new york on that very subject and they don't really have an sans beyond calling for accountability, about how that will take place.

it really comes down to the u.n. security council to do something like refer a country to the international criminal court. and as you know the council has been very divided over how to handle the situation in gaza. >> well, no question this crisis continues to grow. from the united nations, that's are al jazeera's kristin saloomey, thank you. >> the united nations joins of a growing humanitarian crisis in gaza. the attack on u.n. school that left sleeping children dead. >> it is one of absolute condemnation. once again we are seeing children, families who have fled from their houses. they have already been displaced, their house is destroyed and they thought they could sleep through all the night protected, seeking shelter in a u.n. school and they aren't protected. there's nowhere they can seek

shelter and once again they come under attack as we have seen before in hospital schools. this is not the first time it's hatching, it's just the sheer amount of civilians and children who are getting killed and injured every day. it's just completely unacceptable. >> what is your organization going to be able to do to help these children, the survivors? >> well, it's from the first assessment that we have from the ground, we know that there are at least 270,000 children who need specialized psychological treatment and support services to be able to cope with the trauma. these are children who have witnessed firsthand death in their family. displacement, injuries, and the trauma, the severe distress that they are going through kill linger for the years to come. what in effect we are going to be forced to do is actually to try and redo what this

escalation has been destroying. it's years of work. investment. foreign aid. going into gaza. this is undone with every explosion that happens in gaza. >> real quick, you lived in gaza for four years, you have a lot of connections on the ground. how concerned are you about the ability to move forward for these children? >> we've reached the stage where nobody knows where they will -- whether they will 75 through the night. and that is terrible. that's a -- whether they will survive through the night. that's terrible parents are hearing from children, asking them whether it will -- they will survive through the night. >> thank you. 16-year-old fara backer, live tweeting this current

conduct. our digital producer azmat khan talked to her about her terror. >> ordinarily, 16-year-old farah backer would spend the night celebrating eid in gaza. >> i can be vistaing my friends or going in the street. >> -- visiting my friends or going in the street. >> instead, she live-tweeted as israeli bombs exploded niche. >> the only sound we could hear was f-16s, drums, balanc ambulances and fire engines. >> she tried ocomfort her six-year-old sister namar. >> i tried to convince her, this is all right, we'll be fine, but she didn't believe it.

>> a minute by minute tie dory of a 16-year-old girl living through war. >> i saw that many newspapers and many things talked about me so that really encouraged me. >> her father, a doctor at el shifa hospital, comes home with stories of wounded and dead. >> he says he can't stand seeing people, that he sees them, cut into pieces, and full of blood, and some of them are burned. so he says that he must -- he has to travel to enjoy his life after seeing what he sees. >> farah's life like that of her friends have been punctuated by conflict. >> this is the third war but this is the worst one. >> reporter: even as the bombs continues to drob, farah -- to drop, farah is keeping her mind on one goal. >> i want to be a lawyer.

i want to bring back some of our rights. >> azmat khan. >> farah has adamant views. she believe the aggressor is israel. when rockets are launched she's praying for them to hit israel. she's very clearly defined by young people in her region, defining that where she grew up. >> azmat khan, thank you very much. meet the voices of israel here on "america tonight." and we'll continue our in depth coverage of gaza. exclusive are coverage from a neighborhood that has endured since the conflict began.

up next on "america tonight." >> what's happening to these children is a crime. not only is it a crime but it should be illegal. >> should public school teachers have guaranteed jobs? a groundbreaking lawsuit. meet the man who's taking on teacher tenure and how it could shake up schools across the nation.

>> al jazeera america presents a breakthrough television event. borderland. six strangers. >> let's just send them back to mexico. >> experience illegal immigration up close and personal. >> it's overwhelming to see this many people that have perished. >> lost lives are relived. >> all of these people shouldn't be dead. >> will there differences bring them together or tear them apart? >> the only way to find out is to see it yourselves. >> which side of the fence are you on? borderland, sunday at 9 eastern, only on al jazeera america. >> welcome back to "america tonight." its reach has been compared to brown versus board of education. it is a california lawsuit that pitted students against teachers and challenged a fundamental

pillar in our education system. tenure or job protection for teachers. schools across the country are watching this one. in the second of our series, school's out, "america tonight's" michael okwu brings us this story behind a lawsuit that started it all. >> what was your basis or the saying teacher a was an extremely bad teacher? >> she pulled me to the side and talked to me negatively and told me i wouldn't amount to anything in life. >> what impact did it have on you? >> it can dig into you as a person because that's somebody who has total authority over you at that time. >> reporter: high school senior brandon dubose was one of nine students who rocked public education against california schools. attacking the sacred cow of education, teacher tenure.

>> what rude comments would this teacher say? >> he would call us stupid and tell us that we are going to clean houses for a living. >> reporter: the students charged the system deprived them of a decent education by leaving incompetent teachers in place. in june judge ralph troy ruled in the students' favor saying california's teacher tenure and seniority laws were unconstitutional, depriving students especially poor and minority students, of their rights. it schoks the -- shocks the conscience. david welch came up with the novel approach of using students to sue their schools. >> what happens happening to these children is a crime and not only is it a crime, it has to be illegal. >> welch has spent millions of dollars creating students matter matter.

keeping subpar teachers from being identified and fired. >> what is happening in california schools? >> in a nutshell they don't put the student as the number one priority. my premise is it is never acceptable to put an incompetent teacher in front of students. >> persuaded by evidence showing that to fire a bad teacher takes anywhere from two to ten years. at a cost of 50,000 to $450,000. tying the hands of administrators. >> parents give us the absolute best thing they own and they put it on our doorstep and they dpch us to do -- expect us to do right and just for it. >> john dacy testified for the plaintiffs. one of the practices which the judge declared unconstitutional was giving teachers tenure less

than two years after they have started teaching. >> it seems very unwise. this is dead serious stuff. in a city like this you don't read by third grade there are chances that you will end up creacreate incarcerated or dead. >> joshua pestalt says it is an attack on teachers. >> i think this trial was about creating an atmosphere that sees teachers and teacher rights as an obstacle to providing quality public education. >> reporter: the plaintiffs want a longer lead time for tenureship or permanent status. >> yes. >> reporter: what's wrong with that? >> if you have somebody working with your child, do you want to give them more, or less time, to determine whether they should be with your child?

frankly i'd be good with one year. >> reporter: but even the unions acknowledge there are incompetent teachers. they presented evidence in court that one to 3% of teachers are grossly ineffective. that's thousands of teachers. >> our feeling were that the facts would speak for themselves overwhelmingly. attorney. >> there are 275,000 teachers in the state of california. how many do you think are actually dismissed for poor performance? the number is 2.2. not percent, 2.2. as in 2 people. >> because of the worst teachers get dumped in poor schools with the highest turnover, superintendent dacy says the damage to low income children is particularly acute. >> 16 to 18,000 youth are homeless, roofless, live in cars. in l.a. and every one of them wants to be us. they want to graduate, they want meaningful employment, they want a roof over their head.

they want to participate in this thing called the american democracy. we know that when a student has a highly effective teacher they do well. >> a classroom of 28 kids, for being exposed for one year, to a grossly ineffective teacher, cost them 1.4 million of lifetime salary. >> this case won't put an additional pencil in a child's hand. it won't be an additional textbook. and the notion that we're going to create an education reform model based on the way we fire teachers? i think it's just ludicrous. >> reporter: teachers feel attacked. seven year middle school teacher christine was put in the cross hairs. criticized bione of the students as subpar.

but she was named pasadena's teacher of the year in 2013 and played a complimentary video in court. >> ms. mclaughlin. she wants to help her students. >> how did watching that video of ms. mclaughlin make you feel? >> it upset me. >> why? >> it upset me because -- to know what the students were saying in the video was a completely different experience than i had with her class. >> do you remember what she said specifically about you? >> i wasn't the best teacher but i wasn't the worst. said that i never assigned homework, we never read any >> true? >> that is absolutely not true. >> we caught up with mc [ laughter ] lin who was out of town and agreed to a skype interview. she says a teacher's value can't be measured by one student's impression at one particular moment in time. >> the thing i have to hold onto

is that the product we produce in schools is so unlike any other product. it isn't always visible from start to fish. it takes a long time osee growth. >> i think this judge just did a huge education. what happens in court is sort of the least of our problem. if they've created an atmosphere where we continue to be demonized, i think they have achieved what they wanted to achieve. >> the unions plan to appeal but the plaintiffs vow they will take vagara case to the california supreme court if necessary. meantime the current tenure laws stay in effect when the case slowly winds its way through courts. >> your honor, the evidence proves that the challenge statutes harm children, before teacher effectiveness can be properly evaluated.

>> how long is this process going to take? >> i don't expect to see that during my career. >> reporter: you don't expect this process to be resolved by the time you retire at the age of 65? >> i do not. it's decades. decades. this appeal process will go on for years and years and years. >> reporter: no doubt we'll be discussing this issue for years to come. david welch the entrepreneur behind students matter is considering filing additional lawsuits in at least a half dozen other states. minnesota, maryland, washington, new jersey, new mexico and connecticut. there's currently a movement here just this last week other educational reform advocates to change tenure rules in new york where the operationary period before teachers are offered tenure is three years, a year longer than in california. in fact to give you a national picture, california is only one of four states including

mississippi, south carolina and vnt vermont where if probation period is two years. in hawaii you only have to be a teacher for ayear before you can consider tenure. but in all other states the praiks probationary period is over three years. there is likely a code that addresses the issue of seniority. and one of the guiding principles is last in, first out. there is too little regard the critics say of how effective the teacher actually is. in addition to that it is extremely difficult to dismiss ineffective teachers. so when a teacher is deemed ineffective and removed, they have to continue teaching somewhere. that teacher's name is put on a priority list, based on seniority. schools that have openings for

teachers are required to fill those vacancies from the numbers on that list. the schools that are consistently with openings are poor, challenged schools. when the schools ban together to force the out offe out ouster of a teacher, those are in poor minority neighborhoods, educators call this the dance of the lemons but whatever you call it it's those poor students that end up suffering. >> the dance of the lemons. michael okwu, good to see you. their job is to protect and serve. but in one major city several officers find thems on the opposite -- themselves on the opopposite side of the law. you can't believe what they've been accused of doing. we first addressed the issue in

december but now there's moosh to the story. a reprieve handed down by a federal judge. >> there is a tendency to downplay human rights in favor of commercial interests >> harsh realities of a world in crisis >> governments care about their reputation... >> can roth, head of human rights watch >> with adequate pressure you can stop anybody's abuse. >> every saturday join us for exclusive, revealing, and surprising talks with the most interesting people of our time. >> talk to al jazeera only on al jazeera america

>> investigating a dark side of the law >> they don't have the money to puchace their freedom... >> for some...crime does pay... >> the bail bond industry has been good to me.... i'll make a chunk of change off the crime... fault lines... al jazeera america's hard hitting... >> they're locking the door... ground breaking... >> we have to get out of here... truth seeking... >> award winning, investigative, documentary series. chasing bail only on al jazeera america >> now a snapshot of other stories making headlines on "america tonight."

utility crews in los angeles are working around the clock repairing damage from a ruptured 93-year-old water plain. the flooding occurred as california is suffering one of the most severe droughts ever on record. it's a good day for fast food employees.the national labor relations board ruled that mcdonald's must take responsibility for all of its workers. the fast food giant would be jointly liable for wage and labor violations even if it's a franchise operations. the ruling could pave the way for unionizing. weeks after the downing of mh17, there are concerns that some passengers will never be returned home. fighting among the ukrainians and pro-russian

separatists , have prevented u.n. investigators from examining the crash scene. some of the severe allegations against a group of police officers in philadelphia that have been busted by the fbi. following a two year investigation, agents arrested six narcotics officers, an unsealed indictment alleges, that the veteran officers routinely robbed the homes and cars of suspected dealers. >> i can say i've been a police officer for more than 40 years and this is one of the worst cases of corruption that i have ever heard. we are moving obviously to suspend for 30 days with intent to dismiss each and every one of the police officers named in this indictment. >> the officers face multiple charges including robbery

extortion kidnapping and drug dealing. for years, the justice department has grappled with problems surrounding excessive mandatory minimum sentences. critics say the laws can put low level drug offenders behind bars for way too long. we first investigate they had issue last december and tonight there's more to the story. one of the most outspoken critics brooklyn judge john gleason has given a man convicted of carjacking a reprieve, saying the judgment handed out in the 1990s were unjust. however many are unlucky . "america tonight's" sheila macvicar on unintended victims. >> well don had a lot going for him, a father of two boys had a budding career as a music producer with his own record label working with big named talent like

wrapper snoop dogg. >> he was a total jokester. he was really into radio, that was his world. >> reporter: but angelos was a dealer of marijuana. he's been incarcerated for almost a decade now. >> hi weldie. >> hi. >> while we talked, angelos called from prison and talked about what led him there. >> one of my childhood friends got arrested, decided to work as a confidential informant. arranged for the purchase of some marijuana. >> the informant claimed he saw a gun in two of the transactions. a search of

weldon's house turned up firearms, all legally owned. but the law says possession of a firearm during a drug crime adds to the ordinance. lawyer jerry moony defended angelos. >> the first one gets you five years, the next gets you 20 years. >> did he pull the gun, threaten someone with the gun? >> no, not even allegations of that. >> the prosecution offered angelos with a deal. >> we faced over 100 years if we didn't accept the plea offer. record. >> first of all i thought it was an outrageous sentence, an outrageous amount of time for the ordinance involved.

>> if the prosecutor offered you a deal why wouldn't you go with the plea? >> congress in the 1980s at the height of the war on drugs. prosecutors often threaten defendants with introducing additional charges or prior convictions, upping the ante. of the nearly 200,000 prisoners in federal custody, 40% were subject to mandatory minimum penalties at sentencing. last year, 61% of drug offenders received a mandatory minimum conviction. federal judges confronted with mandatory minimums have no discretion and across the country and the political divide have spoken out. draconian, cruel. bad law enforcement. stunningly arbitrary. >> mandatory minimums are costly, unfair, they don't make our country safer. >> democrat senator patrick leahy

held a hearing last year on mandatory minimums. after turning down the plea bargain he faced over 100 years in prison for marijuana. he was convicted on three marijuana charges. the judge was obliged to sentence angelos to a staggering 55 years in federal prison without the possibility of parole. judge cassel called it unjust. citing that angelos faced longer terms than those who had face committed three rapes, three

carjackings. >> the appeal for clemency is huge for your family. what would you want president obama to know about you? >> i am a christian. i made a mistake. i had a good career ahead of me. if i get out i won't give no reason to regret it. >> sheila macvicar, al jazeer jazeera. >> we lost over $20,000 from the hospital trying to do surrogacy in mexico. it was devastating. >> if it's so much money and you put so much emotion into the operation, you're so close and it explodes. >> they said an international surrogacy organization

defrauded >> weekday mornings on al jazeera america >> we do have breaking news this morning... >> start your day with in depth coverage from around the world. first hand reporting from across the country and real news keeping you up to date. the big stories of the day, from around the world... >> these people need help, this is were the worst of the attack took place... >> and throughout the morning, get a global perspective on the news... >> the life of doha... >> this is the international news hour... >> an informed look on the night's events, a smarter start to your day. mornings on al jazeera america

>> the most important money stories of the day might affect your savings, your job or your retirement. whether its bail-outs or bond rates this stuff get complicated. but don't worry. i'm here to take the fear out of finance. every night on my show i break down confusing financial speak and make it real.

pull its humanitarian workers from the area. >> welcome back. a few months ago we broke the story that an international surrogacy agent called planet hospital was accused of defrauding its clients. told "america tonight" that planet hospital left them with empty promises and empty wallets. now flit, the kerr ceo of that company sits down for an exclusive tv are interview. he admits he made mistakes but is not a criminal. >> rudy some of your former clients have called you a scam artist. >> yeah. and i'm sorry that they feel that way. if i was them i would probably think of myself that way too but i'm not.

if i was a scam artist i would have cut and run from here. i'd be living in another country. >> why did you agree to speak with us rudy? >> rudy rupak, agrees to talk with us. planet hospital took hundreds of thousands of dollars from dozens of couples, but never delivered their babies. >> how much money do you owe people? about 350,000. >> 350,000? >> right. >> to how many different clients? >> a total of about 16 or 17. >> can you write these people checks right now? >> i cannot. i cannot, i'm sorry to say that but can i not. >> planet hospital closed shop at the beginning of the year. fertility doctors and other vendors quit providing services because they were not getting paid. >> it was a disaster. >> the whole thing was a disaster unraveled completely.

>> crash and burn. >> chris palmer and jonah wynn signed up in january of 2013. they traveled to cancun, mexico, after rudy promised to hire a mexican sur surrogate to carry their baby. >> we put our wishes out 52 the universe there. >> but their journey into father hood into fatherhood and paradise quickly vanished. >> we ended up with a u.s. egg donor who turned out to be homophobic and basically left us in the lunch. we lost $20,000 to

planet parent hoods. >> you are so close and then it just explodes. >> this is a copy of the contract that you had with chris and jonah. >> yes. >> and on the top of page 7 could you just read what that first couple of lines say? >> either party may terminate the agreement before the transfer of the embryos into the surrogate, any funds transferred to the company could be refunded within 15 days. >> did chris and jonah have a transfer? >> they didn't have any transfer. >> did they get a refund? >> they went on camera and said they didn't? they reversed their credit card charges. >> here is a letter from sarah at your office acknowledging that you took in that check for $16,000. they claim they're owed $16,000. >> you know we -- i know what

the contract says but we did provide services to them. >> your contract said embryo transfer. they didn't get that embryo transfer. don't they deserve $16,000? >> i'm denying somebody else a chance to do their thing because it's going to hurt my cash flow. >> you have a list of of all the people that you want to give money back to, you say but chris and jonah are not on this list. this $16,000 check is not on >> right. >> are you going to change that? >> i feel, though, that there are others who need their money back first. and these are people who had no services almost. or just had partial services. let me at least take care of them before i can deal with the jonahs of the world. >> rupak admits 33 couples who signed contracts for mexican surrogacy did not get babies. >> he was a master of diplomacy about making you feel warm and

fuzzy about planet hospital. >> another would be father said he lost $37,000. >> there's nothing i haven't seen i used to see as a trial lawyer in this crazy world for me. i had never seen the level of victimization, when you take the person's dreams of parenthood so private, and steal and leave nothing in return. i've never seen that level of fraud. >> daly contacted the u.s. department of justice about planet hospital. the department won't comment on any level of investigation. but we have learned that a whistle blower has come forward. >> have you met with the feds? >> i have.

i went to visit them. but i'm here talking to you. i am not a criminal. i have nothing to hide. i made bad business decisions so i went, showed them my side of things. >> do you at all fear that you could go to jail? >> honestly, no. honestly, no. because i don't think i did anything criminal. >> before venturing into mexican sur surrogacy, rudy sent his clients to india. rupak said he did over 300 successful indian surrogacies. chargincharging clients around $35,000 each. so where is all the money. >> it was profitable, i would imagine, at this time. >> not really. >> why? >> yes, the margins are good.

so typically we make -- we were making in india all total, from beginning to delivery, $10,000. but if you take that $10,000 and you divided that by you know a 12 month relationship, that's less than $1,000 a month per client that we're making. >> so why did you continue to operate a surrogacy business when you saw there were these problems out there and why continue to do it? >> you know, at the end of the day, the few clients that were having kids through this thing, the happiness the joy was just awesome. look i just attended a gay wedding two weeks ago of somebody that i helped four years ago have a kid. i was just introduced to the guy who made it possible and what a great feeling that is. >> for now, rudy rupok's baby business is on hold. he claims he lost most of his money in a failed attempt to

open his own fertility clinic in mexico. some former clients are trying to force him into bankruptcy. but rupok vows he will eventually rebuild planet hospital. but it doesn't look like chris and jonah will ever start over. they're not sure they can ever afford the child they've wanted for years. >> who do you blame for your problems? >> rudy rupak absolutely. >> i would be happy to see him go to jail. >> if i was crooked or had mall-intent, the easy thing to do would be to let the bankruptcy happen, start a new company, new name, maybe even have somebody else run the business while i'm in the background. i'm not doing that. i'm fighting the bankruptcy, i'm going ocall it planet hospital. >> do you actually think you can rebuild your reputation after all of this? >> i'm going to do my best. this is my passion, this is my love and now it's a challenge. i don't blame anybody else but myself for what happened.

but i will say this: i will work for as long as it takings to pay everybody back. -- takes to pay everybody back. >> joining me in the studio is jonathan daly who lost $37,000 to planet hospital. this is the first time you saw rudy rupak, in a word what would you say about that? >> meaningless. >> meaningless. coming back after the break, we'll talk to jonathan. >> al jazeera america presents >> i want to prove them wrong. i want to make 'em regret rejecting me. >> 15 stories one incredible journey edge of eighteen coming september only on al jazeera america

>> start with one issue education... gun control... the gap between rich and poor... job creation... climate change... tax policy... the economy... iran... healthcare... ad guests on all sides of the debate. >> this is a right we should all have... >> it's just the way it is... >> there's something seriously wrong... >> there's been acrimony... >> the conservative ideal... >> it's an urgent need... and a host willing to ask the tough questions >> how do you explain it to yourself? and you'll get... the inside story ray suarez hosts inside story weekdays at 5 eastern only on al jazeera america >> al jazeera america >> this is the very tail section it was burning when we got here >> unbiased reporting... >> the violence has continued >> the violence has continued just a couple of miles from here >> in depth coverage... >> we've got a military escort

allowing us to feel a further than everyone else... >> real global perspective >> this was clearly an attack against them... >> from around the world, to the issues right here at home >> ...shouldn't been brought here in the first place... >> we're not here to take over >> real stories... real people... real understanding... >> where you scared when you hear the bombs? >> al jazeera america real... news... >> we're back in the studio with jonathan daly. more on the surrogacy agency, planet hospital. rudy excess he's sorry and he back. do you think you're ever going to see that money jonathan? >> no i don't. the only thing

mr. rupak is sorry about ask he's caught. and we have to correct one thing about him, he is a good manager. he solicited funds, and these funds were supposed to be used for surrogate services. he was supposed to use that money to pay for. >> the 37,000, you wired him money just days before that operation folded. just days. >> he shuttered his doors in december of 2013. me and my fiancee were in cancun to make the sperm deposit, days before he shut his doors. >> how upset are you that you spent all this money, that you could build a family with your fiancee, have a child, and there's nothing said for it.

>> i'm going ohave to put a stop for this. -- to have to put a stop for this. either in the civil courts or the criminal courts, he has to be stopped. ironic about his apology, he will continue the rubric of planet hospital. that cannot be allowed. all that means is, he is going to continual to have victims and this man has to be stopped one way or the other. >> rudy rupak told me would like to open a destination medical tourism services. >> medical tourism, providing kidneys and whatnot? everyone who was spoken to, about stopping victimization. >> of the people that lost money you have been leading the charge. i know you have been in charge with federal investigators. do you believe he is going to go to jail? >> i believe -- i'm very

confident he will be indicted by a grand jury in san diego, california. again it is up to the federal authorities how they work this out. but as a result of a plea being worked out, jail to be included as well, i'm not sure about that outcome i would be hopeful that his victimization stops. if he's locked up all the better. >> jonathan daly, thank you for coming in the studio and your warning about this industry. thank you so much. that's it here for us on "america tonight." if you would like to comment on any of the our stories log on to aljazeera.com/americatonight. you can also join the conversation on our twitter or our facebook page. good night. we'll have more of "america tonight" here tomorrow.

>> israel's invasion of gaza continues tonight. >> we have been hearing a lot of tank shelling coming from where we are, here. >> every single one of these buildings shook violently. >> for continuing coverage of the israeli / palestinian conflict, stay with al jazeera america, your global news leader. . >> america's economy bounces back in a big way, growth and shaking off the rough start at beginning of the year. also america gears up to export crude oil for the first time in decades. i'll tell you that that means paying more when you fill up at the grass pump. and joining forces in a multi million dollar deal. i'll talk to a man who says that embodies everything that wrong