do not forget to db our the show. have a great night we will see you tomorrow. have a good evening. lou: good evening. thank you for being wth us deal on the administration is sinking deeper into a bog a scandal now dealing with the former hamilton employee who worked for the national security agency who is aking that he tipped off reporters to the governmen widespread systetic gathering and mining of data and video and voice records. the formermployeesis edwards know dan and he is what telling what the operation prism th british newspaper the gudian reported the nsa is

collecting telephone records of millions of americans. that is a story th bro back in 2006. but the next day june 6 the guardian and the west -- "washington post" reported a bigger story that the nsa and fbi tapping into nine major u.s. internet companies mining photos come e-mail, veos to attract foreign nationals suspected terrorism those companies include google's, facook, microsoft andpple and others. the very next day president obama said americans are not being listened to. >> nobody is listeng to your telephone calls. that is not with this program is aut. as was indicated what the intelligence community is doing is looking at the numbers, and duration of

calls. they're not looking at people's names and not looking at content. lou: the next day june 8 director of national intelligence james clapper revealed the government program for tapping into internet usage is authorized by congress and carried out with the knowledge of service providers he claims it cannot intentionally targeting u.s. citizen but edward snoen decided to reveal his intity and encouraging booh the guardian and the washingto post to publish his name and background. sohu is edward snowde aad how di he get here? he did not graduate high school, edward snowden said he did study computers at a community college after he received a ged. after he enlisted in the armyegan a training program to joi the special forces. he was discharged five months later after breaking bothegs in a training

accident. he moved onto a job with the nsa as a security guard at what he described as a covert facilit at th university of maryland. from there he moved to the cia to work on interne security. in 2007 they station tim with diplomatic cover in switzerland. his responsibility to mainin computer network security given clearance to access a variety of classified documents. in 2009 he left the cia to take a job with what he describes as a private contractor. that is signed ito a functioning andas a facility at a military base in japan. this is where he taught -- tells the guardian he learned how couming t surveillance activies were and then on june 9th come yesterday's press release from a consulting company contracted by thh federal government's stated goal max that

edward snowden, 29 has been an employee for less than three months assigned to a team in hawaii. his no criminalackground he did donate $250 to the presidtial campaign of ron paul and 2012 which leadus to the politics of the story the internet providers linked to operation prism where heavy donors to the reelection campaign and microsoft donated -- donated four times more than mayor romney and google 20 times more to -- obama and also hoping to run the data organization ad apple and facebooknd aol, a covington post and author whose strong supporters of the presidentut it is on with the department of justice opening acriminal investation. edward snowden tells the guardian he was in hong kong

but could seek asyl in iceland and his whereabouts now are unknown catherine has our report. >> 29 year-old edward snowden says he is a leader in the reasons are noble. >> even if you're not doing ything wrong you're watching and recorded and the storage capility of these systems increases every year. you don't have to have done anything wrong. you just have to eventually fall under suspicion even by a wrong call and then they can use thsystem to go back in time to scrutinize evy decision you have ever made. >> in a written interview the former cia employee and an essay contractor justify the leak saying obama is expanding the surveillance state. >> originally we saw that focus narrowly tailored as gathering evidence overseas but now increasingly it is

>> in the 12th and interest -- told an interviewer he never once said an individual case r an american citizen was wrongly targeted or investigated. >> you see things that may be disturbingbutover the normal course of the career you it's a wonder to but when you see everything you see them on a frequent basis and you recognize some of these are abuses the week's compromise t srce and then aed. >> those al qaeda as is now know what we're doing what we have them place now make it difficult to get private companies to cooperate with us. >> the leadership ofhe senate house intelligence community is misreprenting the facts especiay on the nsa collection of web content. >> it is not targeted on americans it has to be a non-u.s. person th is believed to be on u.s. soil.

>> covert progm here is legal. and has been passed by the departme of jusce as a legal program. is carefully audited. >> a former attorney general under bush says it could be handled by a junior justice support -- department lawyer because edwardwden is implicating himself but we need to get to him beforehe leaks again and before ijing interrogates him. >> on chinese territory you do not bargain witthe chinese. you gi them what they want or accidents have been. they are not a sentimental about stf like that. >> there is an extradition treaty with hongkong but there are ceptions for foreign licy and defense. although the teaty is not and test on leaks for national security usually only used for ug cas are financial crimes. lou: fox news chief intelligence correspondent. on moref he should be

tried under the espiona act or if it violates the fourth amendment when used to spy ad all americans without a warrant are joined by the general he spent 26 years as an intelligence officer i the air force and a dety training director at the nsa and thomas drake former nsa employee and whistle-blower who faced charges of violating the espnage act case that theventually fell apart. thank you both for being here..3 i will startolonel, wh you. this appears to be a leader described as a whistle-bler but what we do know right now he is a leaker. >> there is a lot going on with a unique apect aig has revealed his own identity and to that makest even more interesting from a

legal standpoint as well as the intelligence collection standpoint and from the cleanup standpoint. the intelligence community house do know what he has done and the damage he has caused to nsa or the otr agencies that are potentially involve. lou: can you assess your best assessment of how much damage to nsa or the mission? >> it is potentially considerable because this is one of the parts of the nsa mission because we're focused much on the cyb age of everything that goes on with the internet and the basic thing that has happened since the end of the cold war nsa has realized communication is not the big thing but cyber is and it beces a huge deal with the collection apparatus.

lou: this case, does it strike you or resonate decent motivions or circumstances to your ow case? >> yes. 12 years ago i was an eyewitness and discovered evidence that the higher levels to sever i own constution willfully and deliberately in direct violation of the fourth amendment and fis of act. i knew i could nottand by to watch the subversion of my own constitutions wife deded to take action over a number of years so it is 12 years later of what was already starte post 9/11 security. lou: ahead of the senate intelligence community to say it is perfectly legal and has been approved as

operation prison and operatio -- the justice department has approved it and what do you think? >> the question is do we trust what the governme says? we coull not trust them after 9/11 becau there were in direct violation of the fourth amendment that had a crimal sanction so almost 12 years later do we still trust them? do you want the government to he this much information or the temptation even under what they have asserted are legal protections o trolling and diving for other infoation? >> simply strolling and diving already we have heard , i want you to respond that they have stopp altogether terrorist attacks that otherwise would have taken place. where do you look for the balance thei

and could you complete your thoughts on that issue tom? >> there are any number of enabling as starting with the patriot back that made legal that wasillegal under the constitution of the fourth amendment. i do stand with the governme is sayi to protect the country but the question is how far you tradoff lty for security and that is a fundamental question. lou: you get the last word on that fundamental question >> the basic thing is we haveo make fat balance in the modern age r i have never seen any willful violation of reconstition or any laws we were sworn to uphold in the air force or the nsa there are exceptions and possibly but not in m personal experience and i have dealt with all of the people who are in senior positions in those agencies

and i can tell you that the one thing they do care about is the safety and security of americans who re about their liber to make that the attainable goal. that is the way we look at these things. lou: thomas to become a whistle-blower over a program w internet surveillance an exploitation called trailbzer. someears later after charges werfiled against him e department of defense inspector general pointed out he was right on the issue an he and others as well in that case. there are exceptions and an thomas aears to be among the. >> absolutely. lou: thank you very much. i hope you will come back a we explore it and understand better what is happening

with the stories o surveillance a abuse of power of the government. will have much more of thebama scandal talking with the "a team" next. >> obam secrets the astonishing amount of data and who has access to all in tonight's top talk. and another obama scandal prostitution andrugs end of a cover-up at the state department james rose and, department james rose and, yes him with a live

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lou: there is no reliefor the obama administration with the new scandal uncovered to date with documents reporting a

showing the state department tried to cover- inappropriate behavior as some staffers call und of world from sexual assault to prostitution to operation of drug rings. fox news cief correspondent james rosen has our report. >> when secretary of state clinton traveled abroad to countries like russia some of the diplomatic security protecting her engage the3 serves of prostitutes according ton october 2012 memo for within the state partment of inspector general the memo stated clinton's security detail had a prostitution problem that was endemic. >> i will not speak to success specific cases but is hardly endemic. >>he memo obtained by cbs news said the probe into the prostitution charges was shut down before allhe

agents could be dealt with then came the prostitution scandal including secret service agents and that are oused alarm with secretary clinton e october memo said rumor has it when the secretary acidyell aid in charge of similar activities ha happened within the secretaries detail the response was no and also claimed clinton chief of staff at intervene to halt investigation with a diplomat i iraq that were funnelling data to a mistress, a reporter that this debate cases put on ice because of undue influence and the draft report fr december 2012 using language scrub before said the team heard of instances where gh-level departmt officials may have oe or twice per year brought pressure to bear to influence investigation including allegations of rious criminal misconduct.

>> all cases were thoroughly investigated or are under investigation and the department continues to take action i did not mean to imply that the investigations were completed. that department wou never condone any and do it influence on any reporor investigation. >> the oig report contains allegations of u.s. ambassador sti on the job in a european c country who was said to have routinely left his protective detail to solicit sexual ratns from prostitutes or minors. those are yet to be unverified but a spokesperson would not address that case specifically but said the noti that theepartment would overlook such criminal conduct is preposterous. lou: i wonder how she would characterize referring to therocess not being completed she did not mean

to imply that but that rather than andy knight that an incidenhad occurred she simply said they would not condone them. i guess it is safe to say one would hope so. as always, thank you very much and new devepments in the ira's scandal the top democrat in the house elisha cummings calling for end to the irs investigation after he says a republican manager at the irs office in cincinnati came forward to say he played a key rolein the decision to target conservative groups. >> based upon everything i ha seen the case is solved. if it was me i would wrap itt up and move on we have a new commissioner who is doing a great j thatnd i think we a in grt shape and. lou: he has not been on the job of months but ife says so.

but congressman darr license says he strongly disagrees with his colleues and in a statement says the rarks are extreme and reckless assertions that signals cummings has no genuine interest to pose the the senate will begin procedural votes on the gan of a procedural biltmore ternoon it has the support of five senators including jeff bke, it john mccain , lindsay gramm and now the senator from alaska who teamams up with jus about anything and gramm or mccain deal with. doesn't have enough to pass the harry reid says he will vote on the 1,000 page bill before the senate leaves for the july 4thecess apple tries to show it is stl ahead of the pack when it comes to technological innovati it announced a

digital radio service to rival pandora and laptops with a better battery life and update to the operating system for the math and mobile devices and the announcement came at the annual conference for software devellpment in san francisco and capital executives also previewing thnext operating system that will be out in the fall when as part of a new california theme a mainly after naming it systems after big cats but pandora gained 2.5 on the ne. on wall street does stocks finished flat but the dow is down nine points the s&p down a fraction and the nasdaq gained five points with volume on the big board and trading under 3 billion shares but booz allen hamilton stock falling 2.5% after an employee when edward snowden admitted he

leaked classified information that gold is selling at $1,386 per ounce but crude is dropping closing under $96 a barrel. and the bond market rises at just over 2% thehighest since april of st year. now to the weekend box office for one of the cheapest movies ever made scored a huge upset. purge $13 million budget as a horror film a delightful relt bringing in over 36 million for universal and "fast & furious" numberr 61 dropping in second place and we have great authors coming up talking about the book that chris kyle rote at the time of h tragic death and

william doyle was they collaborate -- collaborator to give us a passing account of how guns has influenced our history and destiny. also coming up of atory and sharing the storyf the unsung hero savinghe revolution from the extremist called the founding conservatives. and we talk with an author about 20 clashes that changed the worldthe book is called moment of battles. up next a look inside key statistics showing the top-secret clearances one of what it once was but it is not as rare. next. alec, for this mission i upgraded ur smart phone. ♪ right. but the most important feure of all is... the capital one puhase eraser. i can redeem the double miles i earned with my venture card to erase recent travel purchas.

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if you have high cholesterol, here's some information that may be worth looking into. in a clinical trial versus lipitor, crestor got more high-risk patits' bad cholestero to a goal of der 100. geinto gl is important, especially if you have high cholesterol plus any of these risk factors becse you could be at increased risk for plaque buildup in your arteries over time. and that's why when diet and exercise alone aren't enough to lower cholterol i prescribe crestor. [ femalannounr ] crestor is not right for everyone. like people with liver disease or women who are nursing, pregnant or may become pregnant. tell your door about other medicines you're taking. call your doctor right away if you have muscle pain or weakness, feel unusually tired, have loss of appetite,

upper bel pain, dark urine or yellowing of skin or eyes. these could be signs of rare but serious side effects. is your cholestol at goal? ask your doctor about crestor. [ female announcer ] if you can't afford your medication, astrazeneca may be able to help. lou: 48 hours agodward snowden was unknown now

millions are wondering how this 29 year-old high-school dropout to a forr cia technical assistant and now a former employee of and is a defense contractorooz aln hamilton that minister of the government to loo like fools, we still know the full story behind them but a symptom of big government dysfunction and federal governments showed nearly 5 million pple right now have some sort of vernment surity clearance more than the populations of chicago, boston, miami and washington d.c. combined and 1.4 million have top-secret clearance and more than one-third of those are contractors..3 with our laws restrict wiretapping with the actual content of conversations but the data gathering erations are so precise

they can still figure out your exact location mont to moment, have it, friendships, preferences as a consumer. through the recent explosion of big data because of smart phones, tablets, and americans generate enough data to fi 37,000 libraries of congress e each and every year. in computer speak that is about 161 at exabytes every year. the data center in new talk to put in a comprehensible perspective it is five times larger than the capitol building and allhe does is

sifted through big data we are told. that is what we are told. i stress that. there are checks and balances for example the foreign intelligence surveillance court is designed to review those for surveillance but of the more th common to keeping them perspecte, 33,900 surveillance applitions that the court has looked at from 1979 throh 2012. are you rea? drumroll. , with the court has reject exactly lou@loudob.com. -- 11 should he be praised or prosecuted? one w should we come to balance on an issue that is not resolved? americans shld be thinking , thinking rather than pressing right now for answers at many people

have and of those who do do, they are not sharing. but we will be asking a lot of questions to figure out who is worki for whom and and whose interest was edward snowden working when he made the dcision of his life? >> the is and he gives the united states and upgrade. cantor fitzgerald john matthews and his take on the market and the economy. is the federal government really tracking every phone call reading e-mail to save all of our pictures and vide? the "a team" on the politics of massive 1984 style of massive 1984 style surveillance. [ male announcer ] ok, here's the way the system works. let's say you pay your guy around 2% to manage your money. that's not much y think. except it's 2% every year. does that make a difference? search "cost of financial advisors" ouch. over time it really adds up. then go to e-trade and find out ow much our advice costs.

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lou: joining us now is the "a team" wrong chris d., ed

rollins and mary ann marsh. e scandals don't stop. this is an awful mess. >> are they scandals were a series of stories? lou: misadventures, and happy circumstances unfolding before our very eyes. a government that seems to be utterly out of control from this president or if you wishgo to the other side, dirting a government in a frightening way if this were a conscious purpose. >> each ofhese stories we have talked about could be very different several weeks from now includinghisone. 29 years o with a ged working for privateompany making $200,000 per year had

access to all this information now working for the government. lou: i was not ascribing that ta sndal for the white house quite yet. i was actually referring to the prostitution drug ring charges that apparently were brushed under the rug at the ate departme. that is a scandal i was referring to. >> i thi that was handled correctly that they were under investigation secretary kerry is looking at them and i have no doubt they will be addressed effectively. lou: now would be terrific if that is what she said but that not what she said. >> they are still being investigated laugh --. lou: okay. [laughter] now i will refer to this as the nsa. it is a blockbuster development that we have the head of the intelligence community like roger

feinstein saying this is legal and it is agreed to. the next top? the totalitarian state. what is legal is they have the ality to monitor communications taking place outside of united states for suspected terrorist activity did have the rig to look at our e-mail, a subject line or searches. u: the president says they are not. >> of course, we are the government to make sure we will protect you just trust us. i not trust them at all. >> my issue is h is a guy working for three months with a g a matter how smart he is get access if this is the nsa it is absurd they don't know who their own people are or what they might doing. lou: we need to be clear he was not working directly for the nsa but booze allen hamilton.

>> but everybodys a consulnt now to have a top-secret clearance and somewhere you look at the document andou basically see what is the resone will he be let in here with all of the top seets? i fired a very high profile ambassador when i was in the warehouse. linked with prostitutes. i will not mention his name i said is this true and if it is and what your resignation right now. he resigned. that is how you doit. not spending three months to investigate. lou: questns arise who is edward snowden workg for? its a peliar manner that an employee of three months decides he wantto drive headlines around the world. truly it is a head scratcher >> there are two problems on we have osourced so

much of the national security through technology and the explion of military security and this is what happens. millns of people with security clearance and any one of them taking come down like a house of cards. >>ou could argue that today's summit meeting with the chinese president in california and cyber attacks were supposed to be the focu and what blew up? the cyber initiatives of one of the government's critical intelligence agencies. is that an accident? >> but it was addressed and china andhe united states need to understand china is attacking as we have t protect national security it

shows how vulnerable everybody is. >> we already knew we wre vulnerable but the fact this summit was wiped off of every newspaper by the leak one of the greatest threa we face is the hacking going on by the chinese government. this president fails to address that because of the scandals in his own administration of his own security apparatus. >> millions of dollars spent on intelligen and we let some guy come in f the street. lou: and to whategree despite warning fter warning have we permitted the chinese government to do hacked into our systems and esblishment to play a part all of this. we will find out. >> we will.

lou: thank you for being here and take a moment to join our cial media sites. get the kinks to facebo facebook, e-mail at lou@loudobbs.com or twitr at lou dobbs news. our credit ratings a nation upgraded. cantor fitzgerald ceo tells us the impact whether we should care for the markets should care for the markets and the economy. [ male announcer i've seen incredib things. otherworldly things. but there are some things i've nev seen before this ge jet engine can understand 5,000 data samples per second. which good for business. because planes use less fuel, spend less time on the ground and more time in the air. suddenly, faraway places don't seem so...far away. ♪

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lou: we have learned genal keith alexander director of the nsa will greet the senate intelligence comean negative committee a 230 eastern. turning to wall street stocks shrugged of the upgrade fishing the day flat in joining us with his tlook this john matthews

the c of caor fitzgerald. nd very well and you are in challenging times. let's get to the upgrade how significant is it brad. >> virtually iignificant if you look at the marketplace there really wa not an issue wre an interesting times people a more concerned about wre the market is headed headed, volatility and certainly from the investor's standpoint it is treacherous right now if. >> ever i turnomebodyas talking about the mark corrtion. the week was ung but then we had a 200 point* pop wha we havin the equities market? >> it is on good footing from the relativealue basis to put their money somewhere. they're always looking at a time to have the dip and

equityand you're starting to see that play out every day so from the relative value basis that equimark it isn good shape and. lou: i thought when tenneco said stocks were dead i that that was some type of sign simic the fixed income market is in challenging times with the tenure back up at 220 but it is a 50 basis points and at low the interest rate set environments everyone tries to figure out to head to the portfolio going thugh an issue because everyone is afraid the programs would end this -- programs of and and then went head to the position correctly. lou: and thenhe st. los fed bank president saying we

will bring down the bond purchases by 10 or 20 billion per month. that is engh to get yur attention? >> absolutely. look at the st. in general with great stores of assets because they ad enough capital to be grt middle men as a bigger market place there is less money acting as the intmediary causing volatility to rise and fall based on what is going on. >> great to see you. coming uptomorrow the gang of eight immigration bil with the two leading voices secretary of state and the ecutive director of long our guest. upxt we will talk with william doyle about a

fascintng study of chris kyle of the fallen marine sniper next. with. >> we once thought the rule of law but we have some -- perhaps have the rule of with the spark cash card from capital one... boris earns unlimited rewards for his small business. can i get the smith contract, ease? thank you. that's the new paper shredders. [ boris ] put 'em on my spark card. [ garth ] boris' small business eas 2% cash back on every pchase every day. grt sinesses deserve unlimited rewards. read back the chicken's testimony, please. "buk, buk, bukka!" [ male announcer ] get the spark business card from capital one and earn unlimited rewards. choose 2% cash back or double les on every purche every day. told you i'd get half. what's in youralle

lou: at the time of chris kyle's tragic deathof february we were finishing up the book with guns, american and sniper at a runaway best seller. with anique american fire

are shaped the history of this country tooreveal how innovation and industrial genius pushed history and power and here on behalf of chris kyle is william doyle. good to have you with us. >> it is good to be here on behalf of chris kyle. lou: and never trust me to have a copy of the book we have doing copies and we recommend to you. it is fascinating that you took his idea 10 guns for weapons if you prefer that are remarkable the repeater repeater, the colt 45, the peacemaker the stuff w groupon kids,,the winchester rifle, the 94 or any number of these that are terrific parts o american western history. tell us about the relations between guns and america and

broadly. >> chris i thought there was an amazing series of stories to be told how benson shaped american history. they have the matter where you are in the political spectrum about grade american history. he thought it is important to know for example, aaham lincoln was a gun buff and technology geek he h a behindhe white house to go back there to fire off rounds to test new gun technologies one day he was shooting and the police came by because there was a role at the time they started to curse at himnd grabbed the gun from him and the witness described abraham lincoln and quayle himself hgher and higher and presented himself then they rlized that is old aid himself and they ran away and he said

there might have stuck around to see the shooting. the gun buffettis interestg and teddy roosevelt helped to have the rifle that our troops are still using a version of arnd the world today and john kennedy was designing the m-16. also the f-14 and tte rifle the vague magnificat -- a magnificent part of the history. >> it saved the world because my father and so many members of the greatest generationad begun by their side from combat zones and that was better than the japanese version and better than the german standard shoulder rifle that counts for history and saving

amican lives and that is the interplay between technology to move our history for word to put food on the table, expand the country, we know abt the crimes ite well but we have forgotte the connection does have to the military history and our freedom. lou: absolutely the guns that won the west we're talking abt the speer and the winchester repeating arms and it is a terrific idea but brilliantly executedn to have another big winner on your hands i am sure ri kyle would be thrilled with the results. thank you. the book is american done on sale now online or in bookstores. go to lou dobbs.com get the book is worth your time and the trip.

at is it for tight. we will talk about immigration reform as the senate takes said that. we will see you tomorrow. we will see you tomorrow. thank you for being with us at a dry cleaner, we will see you tomorrow. thank you for being with us we replaced people with a machine. what? customers didn't like it. so why do banks do it? hello? hello?! if your bank doe't let you tayou need an ally.on 24/7, ally bank. hello? your money needs an ally. at od, whatever business you're inthat's the business we're in with premium service like one of the be on-te delivery records and a low claims ratio,

we do whatever it takes to make yousiness our business. od. helping the world keep promises. if you have high cholesterol, here's some information tt may worth looking into. in a clinical trial versus lipitor, crestor got more high-risk tients' bad cholesterol to a goal of under 100. getting to goal is important, especially if you have high cholesterol plus any of these risk factors because you could be at increased risk for plaque buildup in your arteries over time. and that's why when diet and exercise alone aren't enough to lower cholesterol i prescribe crestor. ale announr ] crestorgh to lower cholesterol is not right for everyone. like people with liver disease or women who are nursing, pregnant or may become pregnant. tell your doctor about other medicines you're taking. call your doctor right away if you have muscle pain or weakness, feel unusually tired, have loss of appetite, upper belly pain, dark urine or yellowing of skin or es. these could be sns of rar but serious side effects.

is your cholesterol at goal? ask your doctor about crestor. [ female announcer ] if you can't afford your medication, astrazeneca may be able to help.

il: the pile on is on the agenda is off. welcome, everybody i am neil cavuto. you know, things are bad when democrats call ffr hearingsnto the nsa mess but that is what john conys wind and the sooner the better trying to have congress get to the bottom of this phone tracking thing and they're not alone no less than a director ben and mark udall are concerned but listen to what he told reporters on this whole dustup the admistration d people comment on what authority it thinks it has but obviously