a great gig to be able to share something. >> reporter: alina cho, cnn, paris. >> for alina's special back stage pass from paris tomorrow july 14th at 2:30 eastern. several stories caught our attention today. here in india these folk dancers performed during a travel and tourism fair in calcutta. participants from all over the world planned to travel across the country to show case their products and services to attract more tourists. a controversial issue brings out the clowns in the west bank. activists and palestinians dressed as clowns. they marched past israeli soldiers earlier today. they are protesting against israel's controversial barrier in the west bank near bethlehem.

i'm suzanne malveaux. america's largest bank opens its books. it ain't pretty. also the late joe paterno speaking out in the wake of the penn state sex scandal. the outcry over teen usa's olympic uniforms. why one lawmaker wants them burned. let's get straight to it. in london soccer star john kerry has been found not guilty of racially abusing an opponent. the two had an exchange of words in a match last october. ter dion eyed they were racially motivated. the world needs airline pilots believe it or not. one of the biggest commercial jet companies says in the next 20 years the air travel industry will need almost a half million more trained up pilots. boeing sums it up this way. the global economy is growing fast and airlines are expanding just as fast to support it. here is the problem. analysts are afraid the pilot

shortage will mean trains will suffer and less qualified pilots will be hired. condoleezza rice has said over and over she has no interest in being mitt romney's vice president. but that has not stopped many political observers from putting the former secretary of state high on the list of potential picks. yesterday speculation about rice intensified when a drudge report revealed she could be at the top of romney's short list. as recently as last month rice said no again. >> i'm saying there is no way that i will do this because it's really not me. i know my strengths and governor romney needs to find someone who wants to run with him. there are many people who will do it very, very well. i'll support the ticket. >> that's a no or it's not going to happen? >> it's not going to happen. and no. >> senior political analyst david gergen is with us from cambridge, massachusetts.

david, i don't believe it. i don't know. what do you think? if romney picked condoleezza rice would that not be a game changer? >> it sure would create a lot of buzz just as even the rumor has overnight. coming from matt drudge. you know, it's conventional wisdom within the political community that matt drudge has a direct line to one of mitt romney's top people matt rhodes who is very close in and drudge and rhodes are good friends. so all along drudge has had a pretty good take on it. when he came out and said conned -- condoleezza rice is at the top of the list everybody said wow. i thought this was off the table. look, i think it's more of a trial balloon than anything else. i'm in that camp. the romney people wanted to change the story and get away from bain and get on to other things. it's also true that they could stir things up and sort of put things up in the air and say, conservatives, are you willing to go with this or not? a lot of conservatives think condi rice is too close to

george bush sr. and not enough of a foreign policy type like george bush jr. and they want the harder line. and she is also for abortion rights as you know. >> right. let's play this out a little bit. she would be formidible. she is in the foreign policy experience, former national security adviser as well as secretary of state. you do say she is pro choice. but let's think about this. in terms of making history, do you think there would be the possibility where you would have a shift in moderates or african-american voters deciding that they would go for the ticket purely for the sake that this would be historic? >> coming off a week when mitt romney went to the naacp and is clearly trying to chip away some african-american voters she would add weight to that effort. the critical thing here is that she would help with women. they are the big, big question mark right now. it seemed early in the campaign obama would have a lock on women but some polls show mitt romney has closed in, even been ahead

among women, and condi would help on that front. she is also i might add a -- she is a very devout christian and she is a person not only of dignity but of a deep religious faith and coming out of her birmingham experience both her mother and father and it was her father and grandfather who were in the church as pastors. and that could make a difference as well. so she -- also one last thing, she has an 80% favorability rating. there are very few people in the country who have that. there are a lot of reasons. at the end the day most people in politics think the romney campaign will be hard headed and look to somebody from a midwestern state because there are so many tossups in the midwest. >> real quick here how would she compare to some of the other possible vp picks when you talk about marco rubio, who would track hispanics. you're talking about rob portman, new jersey governor chris christie, former minnesota

governor tim pawlenty. does she offer something that is inherently different than those four? >> yes. all of the candidates you just mentioned tend to bring strength in a particular electoral state that is important. rob portman ohio. obviously crucial state. condi rice's strength is not bringing in a particular state. her strength would be to improve the likability and attractiveness of the overall ticket. to lighten up mitt romney just as ann romney has done so much, to help mitt romney on the stump. condi rice showed when she went to a private retreat, she gave a fiery speech out there. a lot of conservatives liked that. she could bring this kind of sheen and just sort of a sense of, oh, that's more impressive, i feel the country would be in good hands. that kind of appeal. >> you want to make a wager? >> i'm betting against it but let's see what the next week or two brings. >> we'll see what happens and bring you back when you lose the

bet. >> okay. >> all right. thanks, david. >> okay. president obama setting sights on the key battleground state of virginia. just moments ago he began two-day swing through the state that helped him win the presidency in 2008. last night the president sat down with cbs's charlie rose and reflected on his first term and his plans if he wins re-election. >> the mistake of my first couple of years was thinking that this job was just about getting the policy right. and that's important. but, you know, the nature of this office is also to tell a story to the american people that gives them a sense of unity and purpose and optimism especially during tough times.

>> dan lothian at the white house. one thing that struck me when the president was talking about that he needed to do a better job in inspiring people, inspiration comes from other people. that is not something that you can necessarily control. it wasn't something he necessarily did in the beginning of the campaign in 2008. that was something eventually that happened. he inspired people. how does the president -- how does he address that? >> you know, i think it is much more difficult in this campaign perhaps than even in 2008 to inspire people, energize people the way he did in 2008 as you pointed out. it wasn't necessarily there at the very start. the president was able to inspire especially young people who were the grass roots or the center of the grass roots effort that got him elected. most people think it would be much harder for him to recapture that. number one he is president so he is not a fresh, new politician on the stage. he has a record to contend with. but the way the president hopes to inspire is by telling

personal stories and you've stheen on the campaign trail talking about what he hopes to do not only for middle class americans but lifting those who are trying to get into middle class. then you hear the president as well telling his own personal story, talking about the role his grandparents played in his life. that his wife has the inspiration that his wife has given him and also talking a lot about his kids. those are some of the things that the obama campaign is using to try to provide some inspiration with the hopes of wooing voters going into the election. >> we saw the last go around in 2008. we took so many trips to virginia because that was really critical that he actually win that state and he made history in doing so. what are his chances this go around? clearly he has his eyes set on that critical state once again. >> well, i won't predict whether he'll win or lose virginia but you're right. in 2008 the president did win there just by a slight margin over john mccain. it was the first time that the

democrat had done that in decades. the obama campaign frankly both campaigns are really pushing hard in all battleground states but in particular virginia. what you've seenrom the obama campaign in recent months is this outreach to military veterans. why is that important? in a state like virginia you have a big population of military personnel. so he is appealing to all voters in that state but in particular to military veterans with the hope that he can pull off another victory there as he did in 2008. it's not just virginia as i pointed out where the president is today and will be there as well tomorrow in this big push in that -- in the commonwealth of virginia bu also you see this push in battleground states like ohio. he was there last week and heads back again on monday. you see him heading to florida as well. that's where the race is neck and neck and in these battleground states they'll ultimately decide who wins in november. >> all right. thank you, dan. good to see you. have a good weekend. scandal in the d.c. mayor's office. allegations of secret spending have even the people closest to

him crying foul. we'll tell you what the mayor has to say. it's a popular pill used by thousands of men to help prevent baldness. but it may have sexual side effects that are serious and long lasting. and these aren't your average seniors. a look back at 50 years of rock 'n roll with the rolling stones. ♪

♪ i want to go ♪ i want to win [ breathes deeply ] ♪ this is where the dream begins ♪ ♪ i want to grow ♪ i want to try ♪ i can almost touch the sky

[ male announcer ] even the planet has an olympic dream. dow is proud to support that dream by helping provide greener, more sustainable solutions from the olympic village to the stadium. solutionism. the new optimism.™ ♪ this dream

welcome back. the largest bank here in the united states has come clean. today jp morgan revealed the extent of a loss from risky trade investments. we are talking about a whopping $5.8 billion. it is almost three times as much as they had initially predicted. and now this stock, a staple in a lot of mutual funds and nest eggs. alison kosik is joining us from the new york stock exchange to talk about how this is impacting all of us. >> reporter: okay. let's talk about the shares. the shares are jumping a whopping 6% right now. the 5.8 million dollar trading loss is almost triple what the bank originally predicted and guess what? ceo jamie dimon says the losses could get much bigger but the way that wall street sees it is investors have heard from dimon himself, not the speculation that's been coming out over the past several months and analysts

say the way the market sees it the main reason you're seeing shares of jp morgan jump is there is this feeling the worst is behind them. >> so is this going to impact a lot of 401(k) accounts? >> as you look closely at the portfolio jp morgan most likely is probably in a lot of your every day investments. the total value of jp morgan shares that mutual funds hold is more than $50 million. one expert we talked to tells us it's kind of tough to quantify what the impact would be but the trading loss isn't likely to ha a big impact on your savingsment even with jp morgan shares sliding about 16% when all of this came to light shares of jp morgan are still up about 4.5% for the year. while you may not be where you were on may 9th before we got all this news about what's happening with jp morgan you still may be making some money on jp morgan stock. >> that's not bad. what about the big banks, wells fargo, bank of america? >> it definitely puts the other banks under a microscope more.

financials, we saw them get hit hard when the trading loss first came to light. there were a lot of questions whether the other big banks may have the same situation and investors didn't know it yet. that we haven't gotten any indications this is the case. we are going to get a little more insight when some of the banks report their earnings next week. citigroup on monday. goldman sachs on tuesday. bank of america on wednesday. here's one place where jp morgan does have a leg up. one analyst tells us that the bank is not as exposed to europe as some of its rivals who may take a bigger hit from the debt crisis there. >> thanks. have a good weekend. >> you too. they say you should start investing early. well, now there are 15 school children with a leg up on their future. we are talking about warren buffet and shares of berkshire hathaway. the kids were finalists in buffet's grow your own business challenge and received ten class b shares. at thursday's close those shares were worth close to $836 each.

good for them. serious allegations against the mayor of washington, d.c. why some city council members are now calling for vincent gray to step down.

another d.c. mayor under investigation in a scandal. the latest involves the current mayor vincent gray. prosecutors are looking into allegations that his 2010 campaign benefited for more than $600,000 in illicit money. >> mr. mayor, did you know in january that money for your 2010 campaign had -- >> we're allowed to ask. >> reporter: embattled washington mayor vincent gray wants to talk about a new 911

service but evades questions about a campaign finance scandal that suddenly engulfed his office. >> mayor gray. >> federal prosecutors are investigating what they call the mayor's shaw campaign in 2010 when secret money they say was not reported to campaign finance officials. an ally of the mayor's jeanie clark harris admit thed week she helped steer money from a wealthy businessman to the mayor's campaign. i spoke with u.s. attorney ronald machon. what kind of money are we talking about? >> over $650,000 that was funneled from a coconspirator's company to ms. jeanie clark harris's company bell international and then that money was used to buy campaign materials for the mayoral campaign. it was unreported and unregulated. >> reporter: another source close to the investigation tells cnn the mayor learned from jeanie harris in january of this year some of the money spent for his 2010 campaign was not

properly reported. the source says gray told harris then to report it immediately. contacted by cnn, gray's attorney wouldn't comment citing the continuing investigation. prosecutors' documents don't indicate whether gray knew of the alleged secret spending at the time it was happening. mo alathy who worked on gray's 2010 campaign says this. >> i never saw any evidence during the campaign that he new anything about it at the time. >> reporter: for the d.c. council member mary chay who went against many constituents to endorse gray that is not good enough. >> people were acting in his name and for his benefit and committed probably the biggest election fraud in the history of the district. i have asked him to resign or step aside as an act of public service. >> reporter: she is joined by two other council members. gray says he is not resigning. the swirl of scandal is nothing new in this building. other d.c. mayors have been accused of either incompetence or outright corruption. former mayor marion barry was arrested in 1990 for crack cocaine use and possession when

a sting operation targeted him and a former girlfriend at a hotel. he spent time in jail. barry's successor sharon pratt kelly built up huge budget deficits. more recently former mayor adrian fenti was investigated for steering contracts to a friend and was cleared. i asked analyst mark plotkin what has tainted the d.c. mayor's office. >> i do think if we had the higher positions that people could aspire to and attain then the people at the starting level would be of a different caliber. >> reporter: he is talking about the fact that washington, d.c. has no real voting power on the floor of congress, no senator, nothing to reach for after the mayor's office. brian todd, cnn, washington. the jerry sandusky sexual abuse scandal has many people pointing fingers at the late legendary coach joe paterno. some say the famous statue outside of penn state's beaver stadium should come down.

paterno's legacy now taking a hit. don't forget you can watch cnn live on your computer while at work. hit the cnn.com/tv. can be such a big thing in an old friend's life. purina one discovered that by blending enhanced botanical oils into our food, we can help brighten an old dog's mind so he's up to his old tricks. with this kind of thinking going into our food, imagine all the goodness that can come out of it. just one way we're making the world a better place... one pet at a time. vibrant maturity. from purina one smartblend.

getting a new report now. significant flooding being reported out of houston. reports of 3 inches of rain in three hours in downtown parts. there are reports of folks being rescued from their homes. chad myers, what on earth is happening in houston right now? >> you know, 61% of the country is in a drought. then we have houston where it just won't stop raining. could we just spread this out a little bit? this has been three solid days of rain in harris county all the way up farther to the north even toward college station and now over to beaumont, port arthur.

some spots in the past three days have picked up 14 inches of rain. doesn't matter where you are. 14 inches of rain that will run off will obviously get flooding and it is still raining in houston right now so if you don't have to go outside don't. flash flood warning in effect until 2:45 local time. the waters will res ecede. don't let the kids play in the water. you don't know what's out there. you don't want to walk into a big hole that used to be a manhole cover. stay home and stay safe. >> some folks at home have to be rescued. >> the water goes up and down. some places up near cypress, cypress creek as high as they've ever been or one foot from the record flood stage. this is only a three-day rain. this is pretty amazing stuff. >> thank you, chad. appreciate it. as the latest fallout from a scathing internal report on penn state's handling of a sexual abuse allegation against jerry sandusky. nike says it's renaming its joe paterno child care center at the company headquarters in oregon.

nike's president and ceo mark parker says he decided to change the name after an internal investigation blamed paterno and other top penn state officials for keeping quiet about the san sandusky abuse allegations. there is a controversy over a statue astatue. protesters are turning out. even one of paterno's oldest friends former florida state coach bobby bowden says that the statue should go. now bowden says every time they show this statue on tv people are not going to remember the good things but instead think of the sandusky scandal. our guest joins us from state college, pennsylvania. you've been covering this. where do most folks fall on this? >> you know, the statue obviously has become a symbol of

joe paterno's legacy. we're running a poll online right now and about 60% of the penn state fans who responded want the statue to stay. 40 want it to go. i think the board of trustees was smart though in saying they're not going to make any quick decision on this. they'll give it some time. when they make a decision they'll let the entire university community have its say. that is pretty smart. >> what does it say that one of paterno's closest friends, more than 40 years, wants this statue down? >> well, his son said he wants it up. i think people are coming down on both sides of it. one of his great players said he thinks it should come down. you know, what does it say that bobby bowden said i think everybody has an opinion on this. it's weird. it's become -- i don't want to say an emotional argument but i do think it is one of these things where people are trying to wrap their heads around everything that's gone down here and figure out what joe paterno's legacy is and this has become a symbol of his legacy. >> why is it so important what

his legacy is? >> i think because of so much positive that he had done. i think what people are trying to figure out is how do you balance 60 years of positives against this one horrendous thing where he obviously didn't do as much as he should have? i'm not saying it should be a positive legacy. obviously his legacy is going to be tarnished to some extent. i think it is going to be a while. we'll hear testimony from the schultz hearing. we have to wait a little bit to know exactly what the legacy is but for the time being everybody is focusing on that statue. they have security out there right now. people are going by. some putting flowers, taking pictures. i do think it's become that symbol. >> what do they do? everybody is focused on this statue here. you have a library. he funds this library. it bears his name as well. you have a mural that is close by. i mean, do you start taking down all of this stuff? do you rename the library? what's the sense, the feeling on campus or the community about all of these things in his name and honor?

>> as ridiculous as it sounds peachy paterno ice cream is the big seller at the creamery on campus. these are all things people are trying to figure out. i really -- the board of trustees in my view when this whole thing broke back in november bumbled a lot of different things but here i think taking the measured approach is the smart thing to do. making a knee jerk reaction after yesterday's news would be the wrong way to go. i also think they're intelligent in saying when they do make these decisions they'll keep the entire university community involved in the decision making process. >> all right. mark, thank you very much for your perspective. mitt romney's role, specifically his departure from bain capital, continues to fuel a political firestorm. the questions and controversies still taking center stage. hey everyone. here on the health desk today we're talking about paying for college. a very hard thing for folks to do. with me our money experts.

listen to this question that came in for you, donna. >> my question is, what am i going to do about getting financial aid for the upcoming years? i've run out of people that will co-sign for loans and the federal government isn't offering me as much as i need. >> reporter: he's 23 years old. donna, i know we've talked before and you said there is more competition for this federal money as well. >> that's right. it's a tough spot to be in. you max out your federal aid and there is not anything additional you can go to. the federal government isn't the only place that you can turn. there are private loans that you can get. it's going to be harder to do it without a co-signer unless you have a really strong track record with credit and a job. that might not necessarily be the case with someone who is that young. there are other options, too. a lot of states offer subsidized loans and they should look into that. there is an organization called the education finance council that has a list of state subsidized programs. that is something they should look at. >> greg, private loans you want

to be careful. that should be your last resort in terms of interest rates. >> in fact, in this particular situation, i might recommend that maybe slow down the amount of credits that you take and work a little bit more. i am a huge advocate of people that are working in college and those resumes really stand out when they come across my desk and we're hiring folks out of college. >> thank you, guys. appreciate it. if you have a question you want our experts to tackle just upload the 30-second video with your help desk question to i-report.com. this man is about to be the millionth customer. would you mind if i go ahead of you? instead we had someone go ahead of him and win fifty thousand dollars. congratulations you are our one millionth customer. people don't like to miss out on money that should have been theirs.

that's why at ally we have the raise your rate 2-year cd. you can get a one-time rate increase if our two-year rate goes up. if your bank makes you miss out, you need an ally. ally bank. no nonsense. just people sense.

team obama, team romney are in an all out battle over mitt romney's involvement with bain capital. the latest back and forth was sparked by a newspaper report that says that romney had an active role in the private equity firm until 2002. romney insists he stopped making executive decisions at bain three years earlier. >> mitt romney has said repeatedly he left his private investment firm bain capital in 1999. >> i left that business in 1999 to help with the salt lake city olympics and put them back

ontrack. >> the bain capital filing at the securities and exchange commission obtained by cnn shows romney as the ceo and president of the company in 2001, two years after the gop contender says he left the firm. the obama campaign pounced on the document as proof. romney has misled the public about his business career. >> either mitt romney through his own work and his own signature was misrepresenting his position at bain to the s.e.c. which is a felony or he was misrepresenting his position at bain to the american people. >> reporter: the obama campaign says the s.e.c. documents are crucial because they prove their attack ads are accurate and claiming romney was at bain when the firm advised companies on outsourcing. >> newly published documents show mitt romney's firm was a pioneer in helping companies outsource manufacturing. >> reporter: the romney company insists the obama ad is a lie because the republican candidate had left bain before the

outsourcing work began. democrats say it's romney who is lying pointing to the massachusetts financial disclosure form from his time as governor showing he made more than $100,000 from bain in 2001. roberta carmel an s.e.c. commissioner during the carter administration says the government documents raised serious questions. >> either the statements in the s.e.c. filings are untrue and as a former s.e.c. commissioner i regard that as a serious problem. or they're true but he wasn't really on the job. >> reporter: in a statement to cnn a romney campaign official said s.e.c. regulations are complicated and do not square with common sense in this case. although governor romney was not involved with bain capital after he left to head the winter olympics in 1999, he was still listed on some technical filings. this is nothing more than a quirk in the law. a bain capital executive who is

also a democrat said romney's name remained on some government documents due to his sudden departure from the firm adding mitt romney left bain capital in february, 1999 to run the olympics and has had absolutely no involvement with the management or investment activities of the firm or with any of its portfolio companies since the day of his departure. cnn has obtained from a democratic official a brand new document filed by bain capital to the massachusetts secretary of state's office in 2001. it shows romney as the president of bain capital. cnn, houston. and speaking of romney earlier an exclusive interview. i spoke to one of the members of his foreign policy team. former cia director general michael hayden. he was the keeper of secrets during president george w. bush's administration and we talked about syria and other failing states around the world and hayden says he is convinced syria needs the attention of the united states and other world powers. take a listen. >> this looks like even from the

outside the problem from hell and i don't think anyone in or out of the administration believes what it is we're doing now is or will be sufficient. so i fear we and other members, responsible members of the international community, are going to face some very difficult choices because right now we have stasis between the government and the opposition at a horrific level of violence. that just can't be sustained. >> what would you recommend in that position today? >> who are these folks? so we can have some reasonable confidence that what follows the assad regime isn't as bad or even worse. frankly, i'm a little troubled right now. this is a bit, the assad regime against the sunnies and other groups in syria are on the sidelines. the kurds for one. the christians.

the drus. that would trouble me that this has the earmarks of a sectarian conflict in addition to being one between democrats and autocrats. caution is warranted here and frankly i think over time we'll see ourselves and our friends take more action. >> do you think we should be militarily involved and have boots on the ground, any military u.s.? >> i would be very reluctant to recommend that. i would be a voice of caution if i were at that table in the situation room. fully realizing that circumstances may make our choices very few indeed and none of them being the kinds we would desire. >> nothing more patriotic than representing your country at the olympic games. right? but when american athletes cross the pond their uniforms not going to have the made in the usa label. ♪

♪ ♪ ♪

ready or not, london, here come the olympic games two weeks from today. the opening ceremony. athletes, visitors already pouring into london. they're finding traffic jams, airport chaos, and more uniformed british soldiers pressed into security service than they had planned. one more thing. dismal london weather probably going to be a little nastier than normal throughout the games. last month was the coldest june in london in more than 20 years. rain is forecast now every day for the first week o competition. america's finest athletes

could march into london's olympic stadium decked out in custom outfits designed by a major olympic sponsor talking about ralph lauren. a lot of people including the most powerful united states senator have a big problem with where the uniforms are made. here is moren that from lisa sylvester. >> reporter: they are the pride of america, the u.s. olympic team, but their 2012 uniforms? strictly made in china. ralph lauren touts on its website it's the proud outfitter of team usa but not everydy is happy with the company's sourcing. >> i am so upset that i think the olympic committee should be ashamed of themselves. i think they should be embarrassed. i think they should take all the uniforms, put them in a big pile and burn them and start all over again. >> that was senate majority leader harry reid going off on the u.s. olympic committee. reid isn't the only one with strong opinions about it. u.s. fashion designer nannette

lapore says this was an opportunity to help support u.s. jobs. >> it is very disturbing because it completely could have been manufactured here in the united states, in new york city, or in any other city where there are factories that still exist. and it's frustrating for us because it's a cause we've been fighting for and trying to raise awareness and trying to convince designers to move work back to our shores and stop offshoring and start onshoring. this would have been the perfect opportunity. >> reporter: the u.s. olympic committee responded with this statement. quote, unlike most olympic teams around the world the u.s. olympic team is privately funded and we're grateful for the support of our sponsors. we're proud of our partnership with ralph lauren an icon ik american company and excited to watch america's finest athletes compete at the upcoming games in london. free market advocates like the cato institute say none of this is surprising. globalsation means manufacturing companies will be drawn to countries where costs are lowest. >> when companies are able to outsource they are able to

produce most competitively, able to attend to their costs. when they can do that they can deliver better quality, greater variety at lower prices for u.s. consumers. >> in the case of the u.s. official olympic gear anyone can buy the items are not cheap. the team usa ceremony beret is $55. the classic fit shirt? $89.50. the tie? $125. men's double breast blazer $795. belt? $85. the flat front men's trousers $295. and the shoes $165. >> the company that makes the uniform for the olympic men's and women's rowing teams says their athletes will be wearing american made uniforms when they compete. this is team usa. it is the women's rowers. and the competition suits are custom designed made by a uniform company in philadelphia.

they're still going to wear the ralph laurenniforms for the opening ceremony like the rest of the american athletes. it's a popular drug used by millions of men who are losing their hair. why propecia may be causing men to lose their sex drive.

if you're sitting here thinking about popping a pill, a popular drug taken by millions of men to fight baldness could be causing major sexual side

effects even after stopping taking the pill. elizabeth cohen, there is a new study out now. what does this reveal? >> let me step back and give some context to the new study. years ago merck which makes the drug study. years ago there was a study, where they took 900 men and put them on propeesh thcipropecia. >> we'll see both those numbers are tiny, but the difference between the two groups is statistically significant. the current study looked at a 54 men on propecia were having sexual problems. and most of them were on the website. 54, very small number, and what

the study found was that about 90% of them were having sexual problems even after they stopped taking the drugs. so even after they discontinued, some of them apparently for years. >> so what does the drugmaker say about this study? >> the drugmakers say there's no proof that sexual side effects last even after stopping taking the drugs. here's their statement. a causal relationship between propecia and the sexual dysfunction after the treatment has been discontinued has not been established. >> who's actually funding the study? because you always want to get to the bottom of that, whether or not there's any kind of bias. >> the big study, the merck study that found that there was a low incidence of -- the doctor

who did that study has taken money from law firms who are suing merck because of sexual problems, so he has taken money from attorneys who are suing merck. >> so should men be concern about this drug? >> here's what the fda has to say, the fda is very clear. they say that men have reported certain sexual side effects that have lasted after they stopped taking the drug. let's take a look at these, men have reported getting erectile dysfunction, libido changes. do you want to take that ssible risk so that you can have more hair on your head? that's basically the question that you have to ask yourself, you can go to your doctor and

say is there another drug i can take? is there something else i can do, otherwise just live with less hair. the rolling stones are marking a musical milestone, we're going to take a look at some of their highlights as the band celebrates 50 years. with its built in beats audio, every note sounds amazingly clear. ...making it easy to get lost in the music... and, well... rio vista?!! [ male announcer ] ...lost. introducing the musically enhanced htc one x from at&t. rethink possible.

all right, so is the best place to vacation, travel and

leisure magazine has a list of the world's best. the feature editor has highlighted the top trends and choices. >> people are looking for experiences. they're looking for things that feel authentic, and they want to live a little bit on the wide side. our first winner is an incredible fire lodge in tanzania, and i wore a little animal print to celebrate it. going on a safari is one of those trips of a lifetime. this incredible property, it really is an experience of a lifetime, not only do you t world class guides, you get to be in a 350,000 acre private reserve, you see tons of animals. the setting is incredible, the hotel itself is beautiful.

the tented camps are some of my favorite. it feels like these are outfitted for royalty. >> what about number two? >> number two is closer to home, this is in darby, montana, the cripple creek ramp, this is number two world's best hotel according to our readers. what they love is that they can get outside and enjoy that beautiful mountain nature. you can fly cast, you can do every activity you can imagine, and you can do something with the chef and learn to cook some of the local dishes. it's very intimate, very charming. >> several stories caught our attention today. photos as well. in india, these dancers --

showcase their products and services to attract more tourists. and a controversial issue brings out the clowns in the west bank, activists and palestinians dressed as clowned and marched past israeli soldiers today. they are protesting against israel's bare year in the area. 50 years of the rolling stones. kids, you can ask your parents about this. 22 studio albums, 12 live alb albums, one of the most grueling to tours. and on the music scene, here's what's blowing up in germany. ♪

>> coming in at number one this week, the hit song "days like this." the band is singing about their 30 years together. germany may be celebrating for another reason. for the first time, this is four men only parking spots, popping up in a small tourist town called triber. the parking lot there is labeling the cars with male and fema female -- women find parking trickier than men do. >> i don't think that's right. i thought they were trying to make a statement about size at first. the guys are thinner, so they get thinner parking spaces?

>> i guess i got to go over to fredericka, who's going to continue in the newsroom because we're talking about these parking spaces. >> it sounds strange. >> it is very strange. >> but as long as everybody's happy and as long as they're not dinging each other's cars, because that's what drives one nuts. >> maybe it works for them, but i appreciate a little bit more space. >> you have a great weekend, thanks so much. i'm fredericka whitfield in for brooke baldwin. right now major flooding in a major city, houston, texas, deluged with three inches of rain in three hours. >> reporter: hey, guys, the rain is starting to fall here in northwest harris county and this is something people do not want to see. you can see all the floodwaters just swallowing up this neighborhood i'm in here. look at the water coming out of this nearby creek that's flowing over this sidewalk.

this very same body of water, this very same swollen creek nearly took a man's life earlier today. but the water's rising and there's nowhere to go. nearby tow truck driver archie rains. >> you can't swim, we called fire and rescue. >> he's used to saving cars, but today he saved a life. >> the car was flowing into the bayou. >> raines got into his tow truck and got as close as he could and then helped the man to safety. >> i got him up on my truck, he got in the backdoor of my truck and i drove him over here. [ speaking spanish ] >> diaz soaking wet says he did not see the people warning him to stop. >> we all honked our horns at

him, telling him not to go any further, he just smiled at us and kept going. i hope no one else goes and does this. >> reporter: and back here, you can see sheriff's deputies have blocked off the road, they're trying to prevent people from going down this street because it's just too dangerous. now that the rain is falling again, it's something people in this area do not want to see. in the northwest harris county, tim wetsel. their school disgraced, their leadership questioned, the pen state board of trustees is meeting today one day after hearing a scathing report on the sandusky scandal. the board also failed in its duties to oversee the president

and senior university officials in 1998 and 2001 by not inquiring about important university matters and by not creating an environment where senior university officials felt comfortable and accountable. the board of trustees say they take full responsibility for that environment. there are critics who don't think some of the board members should actually stay. what is being discussed right now in that board room? >> well, remember, this is not being held, this meeting in state college, this is as you indicated at a satellite campus in scranton and right out of the gate, the chairman of the board of trustees here immediately addressed the free report. and karen pete said that she acknowledged that free report said that the people that were in very high positions here at penn state university, failed to confront a child sexual predator

and then without mentioning the names of those high oficials named in the report. former president graham spannier, the athletic director tim curley. he went on to say that there was a collapse in leadership, in her words, of a magnitude that should never be seen again. and the president of penn state university rodney erickson said that he was horrified by the report and said that already the board is starting to implement some of the recommendations made by former fbi director louie freeh, but they have a long road ahead of them and a lot of fallout from this scandal. >> you also spoke to one of the trustees on the way into the meeting, what was said? >> anthony lebrano is a former member of the board of trustees. he ran on a campaign saying that

penn state university should apologize to joe paterno's family for firing him. not only that, that the board should name is football stadium after joe paterno. now we wanted to ask him what he thin now after getting a chance to see the freeh report and asking him about it. i also get a sense of what people are saying about what should be done now. you know, there are calls today -- >> i think pete said last night in the press conference, it's a penn state community matter and the penn state community will address it in due time. but you all know my feelings for coach paterno. >> reporter: there are many calls to suspend the football program immediately. >> i have no comment on that.

>> reporter: according to louie freeh had problems with jerry sandusky, problems with him going back to 1998. hard evidence presented by this report. anthony lebrano said he has not had a chance to digest the report, but whatever it says, i will say this, it won't affect in his opinion, the legacy of joe paterno, but he said he might have more to say about that after he thoroughly digests this report. >> susan, thank you in scranton, pennsylvania. more news happening right now, rapid fire, let's go. president barack obama's campaigning today in one of the southern states that he won back in 2008. here's the president in virginia beach, virginia and here he is just a short time ago with a jab at his 2012 challenger mitt romney.

>> when something is said, let's let detroit go bankrupt. he said, we're going to bet -- said we're going to bet on american workers and american history, and now gm is back on top and selling cars because we believe in that american promise. >> the president has a full afternoon in virginia, he'll be campaigning in hampton and also roanoke. the drudge report that mitt romney has narrowed his vp candidates and condi tops the list. rice recently told cbs it's not going to happen. >> i'm saying there's no way that i will do this because it's really not me. i know my strengths and governor romney needs to find someone who wants to run with him. there are many people who will do it very, very well and i'll

support the ticket. and a warning now the video you're about to see is disturbing. police in connecticut say they have arrested this group home worker seen here kicking a developmentally disabled adult in the stomach. police say anjelica river turned herself in and said that she was the one in the video. officials told cnn that the victim in the video is all right. >> this is part of a larger set of circumstances that happened some many months ago, where there were several staff that were terminated. >> rivera faces criminal charges. we have a lot more to cover in the next two hours. watch. >> reporter: predawn crowds tired of the violence and tired

of the deceit by the syrian government. this one day after a massacre kills 220 people. a charity for reunites military service animals with soldiers. >> can you tell us why you came on cnn and basically lied to our viewers about ivey and nugget? he's a singer, an actor, and now lenny kravitz, an interior designer. >> i think it goes hand in hand with everything i do here. ♪ one a day men's 50+ is a complete multi-vitamin designed for men's health concerns as we age. ♪ it has more of seven antioxidants to support cell health.

that's one a day men's 50+ healthy advantage. i bought the car because of its efficiency. i bought the car because i could eliminate gas from my budget. i don't spend money on gasoline. it's been 4,000 miles since my last trip to the gas station. it's pretty great. i get a bunch of kids waving at me... giving me the thumbs up. it's always a gratifying experience. it makes me feel good about my car. i absolutely love my chevy volt. ♪

losses from botched trading at jp morgan chase are almost triple what we were first told. it is approaching 6 million and jamie dimon says that's probably not the last of it. allison kosik is at the new york stock exchange. allison, what's the reaction on wall street? >> even with that $5.4 trillion trading loss, that could go higher. jp morgan chairs are -- the worst is behind jpmorgan, they knew these big losses were coming and now they have a figure and they know it's going to go bigger than that. jpmorgan has still made 9.9 billion this year. they may actually make more money on the trades that they're

currently unwinding. and one more thing, business is pretty good at jpmorgan, they said they made double what nay -- >> what happened to the traders involved in all this? >> well, ceo jamie dimon said the traders that were involved in this lawsuit are not there anymore, they were severed. they're going to be involved in what's called fall back, meaning they're going to have to for go their bonuses to help pay for the losses that they were responsible for. so that includes, that so called london whale, and ina drew, who actually left the office, after the bad trades came to light. >> is jpmorgan still involved in the derivative trades that led to the losses?

>> those are big complex, risky trades, and they're not doing that anymore. what they are doing is unwinding the original trades. just because these trades were discovered, they can't suddenly be shut off. it takes time to get out of those positions. jamie dimon says the bank has reduced it's share in one of the -- right now they have about 30% exposure and jamie dimon is -- >> how much impact has this had on 401(k)s, iras. >> if you have that stuff in your portfolio, that hasn't taken such a huge hit. and jpmorgan is held in a lot of our everyday investments. if you look at the part of

jpmorgan are in requirement funds. shares of jmmorgan chase are still up about 4.5% for the year. >> allison kosik, thanks so much as always, appreciate that. snipers in south carolina, a couple of alleged gunmen are captured after police say they wanted to kill someone who see how it feels. the spartanberg sheriff joins me next to tell us how it all played out. and some difficult ones. but, through it all, we've persevered, supporting some of the biggest ideas in modern history. so why should our anniversary matter to you? because for 200 years, we've been helping ideas move from ambition to achievement. and the next great idea could be yours. ♪

all right, trying to kill people for kicks? that's what investigators in

south carolina say these two young men did. they are charged with three counts of attempted murder. it's a blessing they apparently had bad aim, a teenaged girl was hit. it could have been worse, 28-year-old brian holder that you would see on the left, when there was a two-shot there, right there. and 10-year-old madison schomer allegedly fired two shots earlier this month. the girl who was 19 is going to recover. the suspects laid in a field off of an ashville highway in spartanberg county using a high powered rifle using a scope. sheriff chuck wright is with us. is this reminds you a lot of the two shooters in washington, d.c. killing ten people. what were some of the similarities here. >> we had two individuals that

thought it would be fun, so to speak, in their words, not mine, to lay in a field and experience killing someone. it's headed for some very good investigate work, one of our investigators paying attention to detail, he wasn't even working on that case and he solved this case for us. so this is going to be professionally investigated. there's no telling how many people could have been killed. for somebody to actually obtain a 30 ought 6 rifle, which is a very, very powerful rifle, to lay in a field and wait to pull the trigger. >> one of these boys confessed

to investigators said they were doing this out of sheer pleasure, they wanted to know what it felt like to shoot somebody? >> one of the gentlemen is actually cooperating with us, the other guy has a lawyer. so we have to obviously follow what the rules say about his rights, but when one gentlemen says i'm sorry, and the other gentlemen says -- when they told me about it, i was absolutely -- i was shocked. you hear of people getting angry, you hear of people doing things during a fight, or, you know, you catch your spouse running around on you, you beat somebody up, you do something that you didn't really mean to cause a death, these young men didn't do it that way. >> what did these suspects say, at least the one that's cooperating, madison schomer, on

the right there, what did he or they say about how they picked their alleged victims. >> i don't want to get into that because we still got a little bit of work to do. i don't want to talk specifically about the case. but that was the message that we got, it was just random, they didn't know any of these people. >> what broke the case? >> one of the investigators was working a property crime case over on to the east side of town and he was paying attention to small details pretty much and one of the guys he interviewed, he said, well, i'm going to help myself, i know something you probably need to know. so he starts talking and just went from there. it was pretty much by accident

that he solved the case, but it was good investigative work to keep up with things that were going on in the county, and he ran with it from there. it was very fortunate that we had an officer that was listening. >> spartanberg county sheriff, thank you so much, i know there's much relief on the highways, at least were these shootings were occurring. right now this, it is being called the bloodiest day in syria since protests began 16 months ago. plus syrian's weapons are on the move. those of you who are heading out your door, you can watch us from your mobile phone and you can of course watch us from your desk top, just go to c new york new york.com/tv.

-- cnn.com/tv. [ male announcer ] this is rudy. his morning starts with arthritis pain. and two pills. afternoon's overhaul starts with more pain. more pills. triple checking hydraulics. the evening brings more pain. so, back to more pills. almost done, when... hang on. stan's doctor recommended aleve. it can keep pain away all day with fewer pills than tylenol. this is rudy. who switched to aleve. and two pills for a day free of pain. ♪ and get the all day pain relief of aleve in liquid gels. ♪ our current dividend tax rate will expire this year, sending taxes through the roof and hindering economic recovery.

the consequences? millions of americans will see their taxes on dividend income spike, slowing investment in u.s. companies and jeopardizing development in energy projects that create american jobs. ask congress to stop a dividend tax hike -- for all of us. until i got a job in the big apple. adjusting to city life was hard for me. and becoming a fulltime indoor cat wasn't easy for atti. but we had each other and he had purina cat chow indoor. he absolutely loved it. and i knew he was getting everything he needed to stay healthy indoors. and after a couple of weeks, i knew we were finally home! [ female announcer ] purina cat chow indoor. always there for you.

we're standing by for a live report on yet another massacre allegedly carried out by government forces in syria. please stay with us for that. first we have got another alamping story this, one concerning syria's chemical weapons. the assaad regime has apparently started to move some of those weapons out of storage. barbara starr, what do you know about this? >> the pentagon is not commenting on this at all. but we spoke to an official who said yes, we the united states do believe that syria has moved some of its chemical weapons in recent days. they still believe the chemical weapons are still under the control of the regime forces, so that suggests that it was a

planned decision by the syrians and you can see the sites are well disbursed across the country, to move some of them. this is causing a lot of concern because nobody knows exactly why the syrians did it. did they do it just to console late the facilities, are they doing it to taunt washington? are they god forbid doing it to prepare some kind of attack? that's beginning to worry a lot of members in congress. issued a statement saying in part, quote, loose chemical weapons in syria are exactly the type of opportunity al qaeda has been looking for. we cannot discount that the assaad regime could make a decision to use these weapons in an act of desperation and we must act accordingly. so a lot of concern growing about what exactly assad in syria is up to with all of this. >> would the department of

defense actually be considering how or whether to somehow swoop into that country to secure those weapons, should the regime crumble? >> right, what if the regime crumbness, what if you start to see through your satellites or other means those weapons really on the move about to be used against the syrian people, what on earth do you do? right now, for now, at least, the u.s. continues to rule out the use of force, but as we have reported before, the u.s. military right now is working very closely to the military in next door jordan, right to the south of syria, working with jordanian special forces, getting them ready if they had to go in to be the first troops in to secure those facilities if it came to that, fred. >> barbara starr from the pentagon. right now this horrible story that we alluded to a moment ago, opposition groups are accusing the syrian

government of carrying out another massacre, this one occurred yesterday in a town of some 10,000 people in the. give us more on this. >> reporter: we have started to get very horrific details from activists in syria, they say that syrian forces surrounded the town for several hours, that shelling ensued, the shelling was relentless. after the shelling of the town stopped, tanks, plow regime forces entered the town and they started slaughtering families that were trying to flee the violence. we have seen some very disturbing videos begin to emerge today. amateur videos, we must warn our viewers it's very disturbing and very graphic what you see. one video shows people huddled around bodies inside, weeping, very distraught because of the people they say were killed in

this massacre and another video shows body bags in mass graves outside, while dozens of people are being buried because activists tell us that these people were killed in that massacre. they say the security forces went in to try to arrest those syrians and the clashes there led to the death of about 50 people. >> in the wake of in massacre, certain opposition figures are calling for the replacement u.n. envoy kof fi envoy kofi annan. >> reporter: you have lots of rallys across the country, demonstrations that were calling for the removal of kofi annan as the envoy to syria. they say as long as he has --

it's escalated there's been more killings the last several most so they're very upset and they think that the u.n. and kofi annan bear some responsibility in not protecting these people. we have heard from the syrian national -- here's more of what he had to say on this. >> translator: this mess kassac falls under the regime to force the -- these massacres target the country to force into a horrendous sectarian war. annan's regime day by day is failure and it truly is a thing of the past. >> reporter: we heard from kofi annan earlier, he said he was hoping that the u.s. observer mission would like to get to the site to determine what happened but they can't get to it until the violence ceases.

heavy rain bringing terrifying bloods in japan. -- terrifying floods in japan. the death toll and the damage straight ahead. and here, cameras catching a nasty accident right there. the weather was not a fact for, we'll tell you what a driver did i don't think. -- wrong. ♪

♪ pop goes the world ♪ it goes something like this ♪ everybody here is a friend of mine ♪ ♪ everybody, tell me, have you heard? ♪ [ female announcer ] pop in a whole new kind of clean

with new tide pods... a powerful three-in-one detergent that cleans, brightens, and fights stains. just one removes more stains than the 6 next leading pacs combined. pop in. stand out. do you have any idea where you're going ? wherever the wind takes me. this is so off course. nature can surprise you sometimes... next time, you drive. next time, signal your turn. ...that's why we got a subaru. love wherever the road takes you.

nnchts post. in post apartheid -- has been living in a slum all his life, but he's doing all he can to empower the next generation. >> since the -- there is no electricity. people are living in shacks. growing up in kington makes you think you have no control over your life. many children drop out of school because they don't have the school uniforms and textbooks. i realize that the only way that victim could change through education. i'm helping educate the children so that we can change the town together. we help the children by paying for their schoolbooks, school

uniforms. our main focus is a program that would run four days a week. as young people -- we know the challenges of this community. we're also doing a number of activities. with come together for fun while we also come together for academics. >> this program gives me a chance to go to school, they pay for my fees. a little can go a long way. one thing i like math and science and english. i d >> i did not go to university, but i feel excited to help them. >> the work that you do here is bringing change. >> and remember cnn heroes are

all chosen from people you tell us about. to nominate someone you know who is making a difference, go to cnn heroes. now as floodwaters rush through a city on japan's third largest island, a month's worth of rain poured down in just eight hours in some places, 19 people were killed eight others are still missing. more than 500 homes were damaged and tens of thousands of people had to evacuate the area. all right. catch him if you can. this guy going over 180 miles an hour, weaving through traffic, all while filming himself. now police in british columbia are trying to track him down and they think they know who this guy is. 25-year-old randy george stodd of victoria, this video has gone viral with a million hits on youtube. stodd is facing charges that could see him locked up for five

years. it's called a red light for a reason. look at this car, yeah, that one speeding through a red light in new jersey. slamming into another car, then going airborne, spinning around and crashing into a light pole. the driver actually made it okay. police made this video to illustrate that running a red light is a matter of life and death. you heard about the pleas to -- you donated mill yols, so where did that money go? rd griffin is keeping them honest. and singer, actor and now designer, lenny kravitz. and they are rich, they're famous and some not even old enough to rent a car. forbes just came out with the top paid entertainers under 30. 27-year-old katie perry who made

45 million in the last year. lady gaga who's 26 and made 43 million. who leads it? that's straight ahead. and no, it's not justin bieber who leads it.

we're back with the top two highest paid entertainers under

30, and they all just happen to be the youngest. justin bieber is number two, bringing in $65 million in the past five years. that's just two million less than the leader, that's 22-year-old taylor swift. congrats to all of them. all right, here's another name you know, lenny kravitz, famous more rock 'n roll, but interior design? he has a love for art that extends beyond music. ♪merican woman ♪ said get away >> reporter: lenny kravitz, rock star, actor. interior designer? why not? >> i was always into my environment. you know, when i was a little kid. >> reporter: i sat down with

kravitz at his palatial paris home, a place he's called home for seven years. the four-story mansion is filled with all of his favorite things, art by warhol, his four grammys, photos of his late mother and the couch and chandelier he designed. >> it always made me feel good. it made the music sound better, you know. the lighting was right. everything was good. i think it just goes hanged in hand with everything i do creatively. >> reporter: in 2003, he founded kravitz design. a residential, commercial and product design company with a real office in new york. with real workers and real projects. >> it's the same way i make my music, it's the same philosophy, i'm very detail oriented. if you put me in a room that's perfect, except for one flaw, my

eye goes right to the flaw, it's kind of a sickness, you know, my attention to detail. but that's the way i am. >> reporter: he's designed condos and hotel suites in miami, wall tiles, wallpaper and these chairs for cartel. does one help the other? >> yes, because when i'm doing music, i need a break from music. it doesn't mean i want to stop being creative. >> reporter: how do you keep it all straight, you're talking about tile designs and -- >> you have to. it's a plan to make it a lifestyle brand, that's been, you know, my dream for this company, the same way you see ralph loren. when people say they enjoy something, music, a couch,

whatever it may be, it's just a great gift to be able share something with other people. alina cho, cnn, paris. >> very cool stuff, you can watch alina's special tomorrow afternoon, 2:30 eastern time. another quick programming note, at 4:00 in "the situation room," our jim acosta sits down with mitt romney talking about his vice presidential selection, bain capital and when he'll release his tax records. a charity that played on human symthy, reuniting military dogs for soldiers and rasing millions of dollars in the process. it turns out to be a sham. drew griffin is keeping them honest in an exclusive cnn investigation. ♪ [ male announcer ] this is our beach.

♪ this is our pool. ♪ our fireworks. ♪ and our slip and slide. you have your idea of summer fun, and we have ours. now during the summer event get an exceptionally engineered mercedes-benz for an exceptional price. but hurry, this offer ends july 31st.

his morning starts with arthritis pain. and two pills. afternoon's overhaul starts with more pain. more pills. triple checking hydraulics. the evening brings more pain. so, back to more pills. almost done, when... hang on. stan's doctor recommended aleve. it can keep pain away all day with fewer pills than tylenol. this is rudy. who switched to aleve. and two pills for a day free of pain. ♪ [ female announcer ] and try aleve for relief from tough headaches.

the next time a chairity asks you for money to help rescue an animal. do your research. there's a woman who claims her charity helps reunite military dogs with the troops she served with overseas and she has raised millions of dollars doing it. sound patriotic? noble? our own drew griffin proves otherwise and now he confronts

her. >> our satellite to the troops today is actually life in the studio. >> reporter: is one so many of you found outrageous. >> this is terry, with the spca. >> reporter: march of 2011, espi crisp was telling us ivey and nugget were two bomb sniffing dogs who had worked for a u.s. contractor in iraq and had been essentially abandoned by the company, she rescued them and was trying to find them homes, along for the visit was an unwitting retired military dog hand dl handler. our own robin meade was -- >> that's why spca international is making sure that these dogs don't get forgeten. >> reporter: it turns out ivey

and nugget were not aban didndo after terry crisp asks for them. a military contractor said that they had no idea that crisp was use ivey and nugget for fund raising in the united states. this week we drove to terry crisp's rural home, down this dirt road in the foothills of the sierra nevada and found crisp driving straight toward us. >> reporter: ms. crisp, it's drew griffin with cnn, we would like to talk to you. she walked right up to our vehicle and acted like she was ready to do an interview we have been trying to get an interview with you for a long, long time.

>> stephany scott, our director of communications as communicated with you directly. >> reporter: i understand that, but can you tell us why you came on cnn and basically lied to us about ivey and nugget. >> you need to talk to stephanie. >> reporter: i think you need to explain to us what -- it seems to be a -- >> you need to contact stephany, all of our interviews are coordinated through her, we have done them with you. >> reporter: you told us that ivey and nugget were military contract dogs which we have confirmed them or not. and i know you've gotten an outpouring of support and most likely money after that appearance. our viewers and so does cnn

feels like we were lied to. >> like i said, this is not the time and place. everything has to be coordinatedthrough our director of communications. >> terry crisp is part of spca international with it's specific fundraising campaign called baghdad pups. according to these filings, they have taken in $26 million in donations over the past three years. $23 million of that money has gone right into the coffers of the company fredericka art not to relocate dogs. spc international says they rescued about 440 sold years pets in afghanistan. but the charity watch dog says the numbers don't seem to add up.

>> i can't understand how to connect the dots of how much money is spent on fundraising to how much money was spent on programming and what the sources of those revenues are. and i also can't really measure the impact of those organizations. what difference are they really making? >> and our drew griffin tries one more time to get answers from terry crisp, he'll be joining us live to explain more on that, drew. the medicare debate continues in washington... ...more talk on social security... ...but washington isn't talking to the american people. [ female announcer ] when it comes to the future of medicare and social security,

you've earned the right to know. ♪ ...so what does it mean for you and your family? [ female announcer ] you've earned the facts. ♪ washington may not like straight talk, but i do. [ female announcer ] and you've earned a say. get the facts and make your voice heard on medicare and social security at earnedasay.org. [ female announcer ] improve the health of your skin with aveeno daily moisturizing lotion. the natural oatmeal formula improves skin's health in one day, with significant improvement in 2 weeks. i found a moisturizer for life. [ female announcer ] only from aveeno.

just moments ago you saw our drew griffin confronting the manager of baghdad pups, it's a charity that claims to reunite military dogs with the troops they served with overseas. it's raked in millions of dollars in fund raising and now we're finding out it could be a scam. how does the manager explain it? drew griffin gives her one more chance. . >> reporter: i'll give you one more opportunity to explain why you came on cnn and quote, unquote, lied about those military contract dogs. >> we would like to do an interview, but we have procedures in place and everything has to go through stephan stephanie. we have given you lotts of information and you have taken that information and not reported it correctly. >> reporter: now is your chance. >> i would like to, but i'm an employee of spca international.

i can't answer any of your questions right now, believe me i would love to. >> drew griffin joining us now, she kept talking about the communications manager, and saying the same thing over and over again. she says she is an employee of spca international. we have been dealing with this manager of communications trying to set up communication with terry crisp. but she says she can't do it without the communications manager to give her the okay. so you have tried the communications manager time and time again, and even after that confrontation with terry crisp? >> they said since we were so rude, it's unlikely that terry crisp will ever respond to our viewers andrequest to talk

about why -- >> to they're standing strong, the organization, saying this is a legitimate business, we are -- or are they at least saying that or reiterating that we are indeed reuniting puppies with troops? >> they are saying that they're taking troops pets, certainly not military dogs, but pets and bringing them home to reunite them with the troops. but this fundraising drive where so much of the money is going through a private company isn't quite where they would like it to be, but they tell us in the long run this fundraising drive will eventually give them the money to do the job. >> is there a fraud investigation under way? >> there is not as far as we can tell an investigation of spca international going on. the -- reviewing a settlement

agreement with another animal charity that he worked w it's called noah's arc, saving the katrina pets. the state of california found that everything was not perhaps up to snuff. signed a settlement agreement, that charity had to give back $4 million and terry had to agree not to be a board member of any charity for five years. >> interesting, drew griffin, thanks so much. a fascinating story and a fascinating confrontation, appreciate that. all right, stopping the drug war is hard, thanks in part to the hundreds of small tunnels that are hand dug under the u.s.-mexican border. now our cameras take you inside the passageway that's being called the most sophisticated. casey wian is there. >> reporter: this is the way agents first discovered this tunnel a few days ago, under

this giant container of water. over here, you can still see 55 gallon drums that contain the dirt that was dug out of this tunnel, stretching 240 yards across the u.s.-mexico border. >> this is the most sophisticated one i have seen in arizona. >> reporter: and what makes it that. >> most of the time what we have in arizona is digging to the sewer system and punching out. but this is completely four by six all the way, plywood all the way around it, rebar re-enforced. >> reporter: the funnel is so deep that -- each with the help of a harness. it gets evensmaller? >> well actually, to crawl through, it goes a whole lot furthe