welcome, everyone i'm megyn kelly. governor rick perry of texas brought his campaign to new york today surrounded by jewish leaders, he pledged to support the jewish state. he ripped the palestinian authority for requesting a u.n. vote and statehood and went after president obama for his mideast policy. >> reporter: we are indignant that certain middle eastern leaders have discarded the principle of direct negotiations between the sovereign nation of israel and palestinian leadership. and we are equally indignant of the obama administration and their middle east policy of a peacement that encouraged such an ominous act of bad faith. simply put, we would not be here today at this very precipice of

such a dangerous move if the obama policy in the middle east wasn't naive, an and arrow grant, misguided and dangerous. it must be said first that israel is our oldest and strongest ally in the middle east, a democratic ally in the middle east, and it has been for more than 60 years. the obama policy of moral equivalency which gives equal standing to the grievances of israelis and palestinians, including the orchestrate ors of terrorist ises a very dangerous insult. megyn: eric shawn joins us live from the united nations now.

>> reporter: megyn this is very controversial. although it will not create nation magically it has caused a diplomatic firestorm at the united nations. the palestinian authority mahmoud abbas is bound to go to the u.n. security council this friday for the potential vote. he vows and wants to create a palestinian state, it will likely be defeated. we are told there are seven of nine nonpermanent nations that support this move. the obama administration promises to veto that, believing that only a negotiated settlement should be what is accomplished not a sudden vote like this. then after the security council, the palestinians could go to the general assembly where it will be overwhelmingly approved. they have 126 of 193 nation votes there. each nation has one vote. the u.s. has no veto and we are on par with a country like tuvalu that has 10,000 people. some say if the vote goes

through that the united states should cut its funding to the palestinian authorities. since 1993 u.s. taxpayers have forked over $4 billion, the chairman of the house commit see says in the palestinians continue to push this vote it will be time to pull the plug. >> i think the american people would be shocked if they knew that we are talking about billions of doctors, and that is in fact what we've given to the palestinians. what have we got even in the past few years, for example? are the palestinians closer to having peace accords with israel? no. >> reporter: back in 1989 the palestinians also tried a silar tactic for a potential vote but that was stopped dead in its traction by the administration of george h.w. bush. back then secretary of state james baker threatened to cut off all american-u.s. funding to u.n. agencies that would cooperate with a potential

palestinian state, so that potential was withdrawn. by the way the obama administration as far as we know so far has not publicly made a similar threat. megyn. megyn: eric shawn. thank you. since the president took office in 2009 there have been a few occasion where the united states has challenged israeli decisions. in march of 09 secretary hillary clinton described plans to demolish palestinian homes in jerusalem as quote unhelpful. vice president biden called on israel to not build any nor settlements. a year later in march israel's ambassador to the u.s. reportedly said relations between the two countries face the worst crisis in 35 years. that same month prime minister benjamin netanyahu made a visit to the white house and we are told that president obama did not pose for a photo with the prime minister. the president also reportedly walked out of a meeting with the prime minister and had dinner nearby while mr. benjamin

netanyahu was kept waiting with his advisers. later in may the israeli prime minister canceled another planned visit to the white house. in may of this year the president called for israel to quote, act boldly to advance peace and said that the borders of the palestinian state should be based on the 1967 lines with mutually agreed upon land swaps, something that got very negative reaction from israel. other presidential candidates also went off president obama on the topic of israel today. former governor mitt romney issuing a statement calling the situation at the u.n. a quote, unmitigated diplomatic disaster saying that the president is throwing israel under the bus. herman cain coming out with an editorial today saying americans need to understand what a threat this is to both american and israeli security. so just how serious is this? we'll have that debate in our next hour of "america live."

fox news alert what may be the final chapter now in a capital punishment case that has now stretched more than two decades and got even everyone involved from the u.s. supreme court to jimmy carter to the pope. georgia's state parole board this morning denied clemency to troy davis. this was the ruling everyone had been waiting for. clemency has been denied. this 42-year-old man now set to be executed tomorrow night for the 1989 murder of a police officer, think this is extremely controversial. there has been a massive effort to prove that troy davis was wrongly convicted. trace gallagher from our west coast newsroom. this case has gone up and up and up again so many people on both sides of the aisle weighing in and saying there are too many questions about this man's guilt to execute him, and the georgia parole board says he will be

executed on wednesday as planned. >> reporter: megyn it's the fourth time in four years that troy davis has been scheduled for execution. as you say barring a last minute stay at 7:00 east coast time tomorrow night troy davis will get a lethal injection. the denial of clemency is now sparking a protest both at the prison where troy davis is being held as well as all over the internet. you've got amnesty international calling it an outrageous affront to justice. as you said former president carter, the former director of the f.b.i. davis' attorney issued this statement, i'm quoting here. i am utterly shocked and disappointed at the failure of our justice system at all levels to correct a miscarriage of justice, but the family of officer mark mcphale says they are certain that troy davis is in fact the killer. his mother issued this statement and i'm quoting. we've been here three times before. this is our fourth time to face an execution date, so you get kind of weary of it, and i don't

know if i can believe this. davis convicted of shooting officer mark mcphale in 1989 after he tried to help a homeless man that davis had pistol-whipped over a beer. witnesses say when he shot the officer he had a smile on his face. seven out of nine witnesses recanted parts or all of their testimony. they pointed to another man as having shot mcphale. despite no dna, no murder weapon, court after court after court has upheld this decision. you have the good board of pardons saying they will not grant leniency to troy davis. megyn: this case has got even so much attention as of late. thank you. is an innocent man about to be executed, or is justice finally going to be served? later this hour we will have a fair & balanced debate with both sides on this. plus you will hear from the

children of officer mcphale, the children he never knew, as well as from davis' family and his lawyers. we will have all angles of this covered foe you. it has turned out to be somewhat of a referendum on the death penalty in this country. that is upcoming. the chairman of the house judiciary committee calling for a special prosecutor to be appointed in the solyndra case. lamar smith says it is a necessary move to learn whether politics played a role in the decision to grant more than $500 million worth of stimulus loans to the now bankrupt solar panel manufacturer. that is your money that you don't appear to be in a good position to give back at this point. molly henneberg live in washington on this one. >> reporter: congressman smith not only has questions about why and how they got the original loan guarantees but why the obama administration restructured the loan earlier this year. smith the republican head of the

house jew dish recommittee sent a letter to eric holder asking him to appoint an independent examiner to look into the administration's dealings with the company. smith says events before solyndra declared bankruptcy, quote have raised suspicion to the degree in which the obama administration singled out so linda for special treatment. because of the president's relationship with the company's head george kaiser. did they put appropriate protections on taxpayer dollars on this deal and did the administration not may attention to clear signs that solyndra's ability to repay its loans was in serious jeopardy. the white house said the solyndra deal was not rushed through, that it was okayed by the department of energy and the office of management and budget on its merits.

and they will continue to invest in new green energy projects. megyn: thank you. fox news alert, dire new warnings just coming out from the international monetary fund that the world economy is in deep trouble, and that we could tip back into a recession. we'll crunch their numbers and their warnings for america in three minutes. plus, a dramatic photo of that deadly air race crash in reno, nevada. look at this. it is leading to a dramatic new theory on what really went wrong. we'll have that story later this hour. we have new research showing the president's tax claims may be way off. so what does that mean for his big deficit reduction plan? that debate fair & balanced straight ahead. >> for us to solve this problem, everybody, including the wealthiest americans and biggest corporations have to pay their fair shaeufrplt it's only right that we ask everyone to pay their fair share. ♪

[ male announcer ] we're not employers or employees. not white collar or blue collar or no collars. we are business in america. and every day we awake to the same challenges. but at prudential we're helping companies everywhere find new solutions to manage risk, capital and employee benefits, so american business can get on with business. ♪

megyn: new details today on the search for a missing mother of two in utah. susan powell vanished back in 09. her husband josh says he was camping at the time in the middle of the night with his two young sons in the desert on a cold, snowy evening. today investigators enlisted more than a hundred people to help coma desert area. crews there thought they found a shallow grave with human remains last week. turns out that grave was actually filled with burnt wood, wood that investigators believe may have been used to burn a human body. police are now awaiting test results to confirm that. powell's husband remains the only perpetrator of interest in the case according to the police. back now to our fox news alert, troubling news on the economy today. some of the world's top banks just put out a new warning that the global economy has entered, a quote, dangerous new phase, and that includes america. the international monetary fund just about cut in half its

forecast for america's economic growth over the remainder of this year. predicted 2.5%, now it's been downgraded to 1.5%. saying the limping competent is about to suffer a broken foot. and the growth for next year as well has been downgraded. predicted to be 2.7%, no it's going to be more like 1.8. joining me now to break this down for me fox news contributor charles pain who is c author of act fast, get rich. megyn this comes than on the heels of a similar deal we got a couple of weeks ago. what does it tell us. >> it's an indictment of all the things the western world is trying to do. trillions and trillions of dollars has been thrown at the problem. really where did the money go?

to banks and other things, nothing to unlock potential. this was done to supposedly revive our economy. megyn: the cure isn't. >> it obviously hasn't been. there is no doubt upon it. it comes on the heels of the s&p downgrade which suggests that we don't have the for the taoud or wherewithal to get it straight. what it means for people watching this show is that people aren't really going to get better u. can't expect job growth when the economy is growing at 1.5% or 1.8%. megyn: they said that even these numbers, these revised numbers of 1.5% growth next year and 1.8le the year after that, even that is questionable they say, the economy would need to expand at a much faster rate than it has been thus far. we are actually going to need things suddenly up tick in terms of job creation even for uso reach those meager numbers. that doesn't sound good evening. could we be looking at 1% growth, perhaps even less over the next year? >> absolutely. i hate to say it, absolutely we could. here is the good news, as we

hear about how much money banks have, we hear about how much money corporations has, everyone knows who is watching this show they've tight end their own belts. there is enough money in the system if we can unlock it, unleash it. megyn: the money went somewhere. >> it's on the side lines. you hear bankers say there is no demand for banks. we have the fewess amount of entrepreneurs in the history of this country right now. typically in this situation, a serious recession, people lose their jobs so they start a business, they say what do i have to lose. somehow, megyn that's where we are. we have the ability for these number not to come to fruition, but to your point they could be worse if we don't change things. >> the imf said the united states and europe needs to act more decisively to cut budget deficits. it doesn't like the budget deficits we have in this country, never mind what we are seeing in europe they said barack obama's proceed proceeds alto cut taxes and spend more on

infrastructure should provide stimulus but they want a longer plan. they seem to be saying, cut the deficit but spend more. >> if it was all about spending we won't be talking about these numbers. we spend a lot of money. it's about smart investment and smart spending. i think the notion now of adding tax hikes in the mist of all this. particularly on people who create jobs, made investments, people who take risks is the absolute wrong thing to do. megyn: president obama ten months ago said it wasn't a good idea to raise taxes in the middle of this economy. >> reporter: the president is more focused on re-election right now than the economy. every speech we hear from here on out will have more to do with november 2012 than actually helping the economy. every economic fix that has been presented so far has been short term. we are talking about long term sustained traction in an economy. not getting somebody to build a

bridge for a couple of days, or take solar panels off a flat-bed truck, take them to a military housing facility and install them for three months and then they are out of a job. we are talking about unlocking america's potential. what the president is talking about with the class warfare, even though he insists it wasn't is tamping down on investment capital. people used to want to be rich in this country. people always wanted to get a shot. now we are hearing about unlimited unemployment insurance and things like that. somehow something must give with the ideology. somehow the president has to lurch a little bit to the center to really unlock the great potential of this nation. megyn: you have some employers who don't want to pay their employers more than $249,000 because they don't want to tip them over that taxing threshold, that is a little contrary to the american dream. charles got to go. a massive satellite set to

plunge through space and crash into the earth. not to worry nasa says it has a new prediction on when it will happen. they are going to really track this thing down for you. or are they? the question everyone wants an answer to. whewhen and where? the answer in three minutes. georgia is set to go ahead with the execution of a convicted cop killer. is an innocent man about to be executed or is justice finally going to be served. later this hour a fair & balanced in-depth debate. >> my father was the victim, my father did not get a chance to say his bit. he was taken from us too soon. accept it. you can't change the way banking works. just accept it, man. free ? doesn't close at five ? try nature. it's a bank. what do you want, a hug ? just accept it. hidden fees, fine print, or they'll stick it to you some other way. stay with the herd, son. accept it.

just accept it. accept it. just accept it. accept it. if we miss this movie, you're dead. if you're stuck accepting banking nonsense, you need an ally. ally bank. no nonsense. just people sense. so i took my heartburn pill and some antacids. we're having mexican tonight, so another pill then? unless we eat later, then pill later? if i get a snack now, pill now? skip the snack, pill later... late dinner, pl w? aghh i've got heartburn in my head. [ male announcer ] stop the madness of treating frequent heartburn. it's simple with prilosec otc. one ll a day. twenty-four hos. zero heartburn. no heartburn in the first place. great.

america is getting robbed. the inspector general says the justice department recently held a conference in washington where the department spent $4,200 on muffins, 250 muffins, that comes out to 16 bucks a muffin. the report says the department spent $65 per person at another event, a conference break of cracker jacques, popcorn and candy bars costing another 32 bucks per person. needless to say the inspector general calls the costs quote extravagant and wasteful and well over the department's limit. you know you can go to dunkin' donuts and get them all, it's not just doughnuts any more, you can get a bunch of muffins real cheap down the road. it doesn't have to be 16 bucks a muffin, promise you. the federal emergency management agency dusting off plans to how to respond if big parts after satellite should fall on the united states later this week. great. nasa now says it could happen as early as friday, but the big

question is still where and who needs to be worried if anyone? trace gallagher live in the west coast newsroom. trace, this stuff always comes down in the west, it never happens in new york city, nevada, california, you're in trouble. >> reporter: that's very comforting megyn. it's funny because nasa now says this thing could land on friday, you know, giv or take a day. it's six and a half tons but they expect most of it to burn up on re-entry leaving only about 1200 pounds of metal flying at us, that's not bad, right? 1200 pounds? they expect the thing to break up into 26 different chunks with the biggest chunks being about 250 pounds of titanium, aluminum and steel and it's expected to land, they narrowed it down to the tip of canada, to the southern tip of south america, that is pretty much anywhere in the world. they've narrowed it down to earth is what they are saying, which is good, right? the debris field in this thing could be 500 miles from l.a. to phoenix, from baltimore to

boston. from denver to chicago, that is comforting. remember the odds are getting hit are one in 3,200. why don't you luke those odds, here is nasa by the way with more comforting words, listen. >> it will have what we call an uncontrolled re-entry which most satellites actually do. they are not brought down in a specific place, it's just wherever they come down. you go with the odds and statistically the likelihood of it being over any particular populated area is very, very small. >> reporter: it's the old three quarters of the earth is covered with water theory. it's going to be falling out there somewhere in the ocean. fema is planning an all out assault. they say if you find something in your front kwrord, do not touch it. sure, send the kid out, get a nice picture but don't touch the thing until it cools off and you call the experts and they'll come in the suits and take it away. megyn: i'm not worried about it falling in the front yard, i'm worried about it falling on me. >> reporter: that is exactly right. your odds are pretty good, right. your odds are getting bit by a

shark are lower than being hit by a satellite. megyn: so i'm more likely to get hit by the satellite than i am to be bitten by a shark. >> reporter: yeah. megyn: am i more likely to die in a plane crash than i am to be sit by a satellite. >> reporter: yes. i don't know that one i just did the character research. megyn: i'm disturbed by this whole thing. i know you have a better chance of being killed by a donkey than you do of dying in a plane crash. i havall of this is really disturbing, i've got to be honest. >> reporter: if it hits exactly at this time on friday afternoon we have breaking news. megyn: this is fox news alert. thanks, trace. >> reporter: sure. megyn: we'll find out on friday. we'll look forward to that. taxing the rich, president obama says it is not class warfare but simple math, or is it? why the president may be dead wrong about the numbers according to the associated press next.

plus a new twist in the case of an american woman missing in aruba. this one could proceed prosecutors a very big curve. and an eerie image from the reno air show tragedy. see why this photograph of what appears to be an empty cockpit has sparked a stunning new theory about what went wrong and why the current theories may be off track. >> one of the things that the ntsb does is look at least at three major areas that involves the human, the machine, and the environment. just one phillips' colon health probiotic cap a day helps defends against occasional constipation, diarrhea, gas and bloating. with the strains of good bacteria to help balance your colon. you had me at "probiotic." [ female announcer ] phillips' colon health. or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today.

when i got my medicare card, i realized i needed an aarp... medicare supplement insurance card, too. medicare is one of the great things about turning 65, but it doesn't cover everything. in fact, it only pays up to 80% of your part b expenses. if you're already on or eligible for medicare, call now to find out how an aarp... medicare supplement insurance plan, insured by unitedhealthcare insurance company, helps cover some of the medical expenses... not paid by medicare part b. that can save you from paying up to thousands of dollars... out of your own pocket. these are the only medicare supplement insurance plans... exclusively endorsed by aarp. when you call now, you'll get this free information kit... with all you need to enroll. put their trust in aarp medicare supplement insurance. plus you'll get this free guide to understanding medicare. the prices are competitive. i can keep my own doctor. and i don't need a referral to see a specialist.

call now to get a free information kit. plus you'll get this free guide to understanding medicare. and the advantages don't end there. choose from a range of medicare supplement plans... that are all competitively priced. we have a plan for almost everyone, so you can find one that fits your needs and budget. with all medicare supplement plans, there are virtually no claim forms to fill out. plus you can keep your own doctor and hospital that accepts medicare. and best of all, these plans are... the only medicare supplement plans endorsed by aarp. when they told me these plans were endorsed by aarp... i had only one thing to say... sign me up. call the number on your screen now... and find out about an aarp medicare supplement insurance plan. you'll get this free information kit... and guide to understanding medicare, to help you choose the plan that's right for you. as with all medicare supplement plans, you can keep your own doctor and hospital that accepts medicare, get help paying for what medicare doesn't... and save up to thousands of dollars.

call this toll-free number now.

megyn: president obama justifying his proposed tax hike by saying the megarich do not pay their fair share. was he misleading the american public? here is the president yesterday. >> warren buffet's secretary shouldn't pay a higher tax rate than warren buffett. there is no justification for it. it is wrong in the united states of america that a teacher, a nurse or a construction worker who earn $50,000 should pay higher tax rates than somebody pulling in $50 million. megyn: but in a report by the associated press the ap reports that in fact the rich do pay more than the secretaries in that example. for example, the wealthiest people on average pay a lot more than the middle class or the poor. according to the tax policy

center look at this households making between 20 and 30 grand a year pay 5.7 -p% in federal taxes. salaries between 40 and 50,000 pay an average of 12.5%. household making between 50 and 75,000 pay 15%. and for those making more than $1 million a year they pay an average of 29.1% in federal taxes. joining me now fox news contributor leslie marshal and syndicated talk show hose, along with lar larson. syndicated radio host lar larson.com. that is, lars the associated press doing a fact check and saying the data is not there, the rich do pay considerably more than the middle class and the poor when it comes to taxes. >> oh, yeah, there are all kinds of numbers. if you want to talk about the really poor who make lens $18,000 a year they pay less than 1% of the total tax burden in america. since the 1980s the rich have

taken up a larger share, now paying about 40% of the total where as the very poor pay a smaller share than they did in the 1980s, up to about 86 in the tax reform then. the numbers are not on leslie's side. i kind of feel sorry for her. megyn: leslie thinks the associated press coming out. this is a quote. the data tell a different story than president obama. on average the wealthiest people in america pay a lot more taxes than the middle class or the poor. they pay at a higher rate, and as a group they contribute a much larger share of the overall tax eggs collected by the federal government. why is our president telling the american people something other than that? >> well, he was specifically talking about warren buffett, which warren buffett himself had said and i know that mr. buffet is not lying. and fact check also said that over 1400 millionaires pay zero. if they were each paying a million dollars that is over $435 million. we are also talking about what these millionaires claim. and when you are wealthy, with these tax loopholes, which the

president is trying to get rid of, and which, by the way, speaker boehner and other republicans also agree with him on, these millionaires won't be able to hide their money in off-shore banks in kuwait, switzerland, buy turkish bonds, et cetera. they are paying taxes on money they claim to have earned and a lot of the money is hidden because they have very fancy accountants hide that money. megyn: let me give the viewers what the actual ap report says, leslie mentions the 1470 households had income taxes over a million and they paid no federal income tax according to the irs. that is less than 1% of the nearly 237,000 returns of folks who did have income taxes of higher than 1 million. the vast majority 99% and overpaid a 29% tax rate on that money. is this all about the 1400

people who took advantage of tax loopholes, lars? >> not at all. if it's illegal activity by hiding and evading taxes there are already laws against that, leslie. get the president to start enforcing that. the president doesn't show an inclination to enforce the law in a lot of different areas, like selling guns to mexico or -- you know. here is the bottom line. the bottom line is that in the 1980s the top 1% paid 26% of the total income of the federal government through taxes. today they pay 40%. meantime the people from 33,000 income and below paid about 6% in the 80s. ae now pay about 3%. it may not feel like it but the poor and the middle class are paying less as a percentage and the rich are paying more. what we have is a spending problem. and that's what's changed the picture. megyn: i understand that is a separate argument. the question for today's debate is whether the president was misleading in what he told the american people. >> of course he cause. megyn: he's talking about warren buffett who uses capital gains when you invest and make money

on it you pay 15% tax on that money you make. but warren buffett pays 25% in federal taxes on his income just like all the people who make more than a million dollars do on their income. it is misleading to suggest that the income tax being paid by millionaires is in any way lower than the income tax being paid by the poor or middle class, leslie, do you agree? >> i can't disagree with you on that, megyn. i don't want to say misleading, he should have been more specific in saying that the money they obtained as investors as opposed to the money that they have with their income. the bottom line is they won't be able to hide or get around paying less taxes, whether it's 1400 or 14 million people at zero, it's still a hefty price tag on the 1400-plus. when you look at the bottom line which the president is saying, we need to overhaul the tax code. we need to do away with these tax loopholes. this is not an attack on the rich, and lars i love you but i wish you would fight for the

middle and the lower income classes in our country as hard as you do for the rich folk. >> by the way, megyn less lies being deceptive and here is why. i would like to fight for the lower income. most of my job throughout my entire life has been working for these so-called rich guys that the president likes to disparage. what leslie ignores is if you have a corporation, warren buffett has a bunch of corporations, the corporation pays taxes on the money and when it pays dividends, which by the way warren buffett has arranged his situation so he he doesn't take a dividend from many of his corporations which low -rs his tax bill and leaves the money in the corporation, the fact is if you take the money away from the rich and hand it to the government as speaker boehner said it's like giving more cocaine to a cocaine addict. it's not a good idea. the rich people in this country will make more jobs, they make most of the jobs right now. megyn: understood. my basic feeling when i watch people argue over taxes is as long as they feel it's not going to affect them they are in favor of hiking the tax. as long as it's not going to hurt me, god bless. you have to look at the bigger

picture is what others say. leslie and lars thank you. megyn: we are awaiting a critical free speech ruling right now as ten muslim students go on trial in california. the students shouting down an israeli diplomat at a california university. they claim that was their first amendment right. but what about his first amment right? a powerful "kelly's court." up next a fair & balanced debate on a convicted cop killer set to die tomorrow. is this justice or punishment that should not be imposed? stay tuned. >> it would give me some peace. like i said there will never be any closure, i can't, because mark is gone, and that hole in my heart will be there until the day i die. but it may give me some peace and quiet, that is really what i would like to have. @=h

are you anxious to protect your family with life insurance... but afraid you can't afford it?

well, look how much insurance many people can get through selectquote for less than a dollar a day. selectquote found, rich, 37, a $500,000 policy for under $18 a month. even though dave, 43, takes meds to control his blood pressure, selectquote got him a $500,000 policy for under $28 a month. ellen, 47, got a $250,000 policy for under $20 a month. all it takes is a phone call. your personal selectquote agent will answer all your questions ... and impartially shop the highly rated term life companies selectquote represents for your best rates. give your family the security it needs at a price you can afford. call this number or go to selectquote dot com. selectquote. we shop. you save.

megyn: fox news alert now on a high profile death penalty case. after 20 years of legal battles georgia's parole board has now denied clemency to a convicted cop killer, troy davis. paving the way, barring any successful last minute appeals for his execution tomorrow night. now this case has been through the legal process as i say for two decades, and there are real questions raised by troy davis' friends, families and supporters about whether he is in fact the man responsible for the crime. i want to give you a bit of background on what happened here. there was a police officer by the name of mark mcphale. he was murdered, shot as he was trying to stop somebody from pistol whipping a homeless man. this man, troy davis, was convicted of the crime and sentenced to death, and yet since then his has become a cause that has caught the attention from jimmy carter, to

the pope raising questions whether he really is the man who did the crime. joining me now is laura moy, campaign director for amnesty international usa and former prosecutor jeffery steinberger. this is a short segment, give me the best pieces of evidence, why people should be concerned about this execution going forward. >> we think that the troy davis case is riddled with doubt and we are very disturbed by it. that's why people across the political spectrum have joined their voices with us to call on the board of pardons to grant clemency. they denied it this morning. seven of the nine key witnesses in this case have since recanted or changed their testimony, many of them alleging that the police coerced or pressured them into signing statements that were not truthful. megyn: let me stop you there. i know that an appeals court, the district judge who reviewed the case on the orders of the

u.s. supreme court declared that that additional evidence was, quote, largely smoke and mirrors. why was that discredited, the seven of the nine witnesses recanting? >> the problem is when troy davis had this special hearing he was under the presumption of guilt. he had to prove his innocence to a very extraordinarily high standard. he didn't have the benefit of physical evidence, dna, anything like that. he had to rely on a group of witnesses to testify for him, and those witnesses came forward and said, what i said at trial was untruthful. other witnesses came forward, one said my relative shot this police officer, not troy davis. alternate the end of the day the judge had to decide whether or not to believe these witnesses an did not. and so the credibility of these witnesses is precisely why troy davis is facing death tomorrow, despite the fact that these very witnesses' credibility is exactly what his innocence claim rests on. we believe the witnesses at trial but they don't want to believe the witnesses today. megyn: let me ask you, the death

penalty i is reserved for the cases that are beyond imaginable, where guilt is overwhelmingly established and there is no doubt. eyewitness testimony, no physical proof, no murder weapon ever found, seven out of the nine witnesses recanting their testimony. others coming forward to say it was a different shooter. is this the kind of case, even if you have no questions about this guy's guilt that we should be imposing the death penalty in. >> it has to be the kind of case we impose the death penalty on. we don't really have a say in this. it's the jury that convicted him in the first part. we are not percipient witnesses to the evidence, we are hearsay witnesses later on four years distant from the trial. they had their time in court, they had every possibility to put on their evidence, they put on the evidence -- megyn: there is no remedy in a case like this where you have seven of nine witnesses recanting. that's not to say witnesses don't do that even when the defendant is guilty.

when you have such a situation when there is no physical evidence it becomes more powerful. >> they had a remedy, they took it to the appeals court and the appeals court held up the ruling of the trial court. and the trial court said we listened to 12peers of this defendant and he was convicted of murder in the first-degree and he is sentenced to death. all death penalty cases are difficult, hard, and they have a lot of objections for a lot of people. people recant all the time. that is not under sworn penalty of perjury, sworn testimony under oath. megyn: let me ask you. they say the prosecutors say that ballistic evidence links troy davis to the crime and that many of these concerns about the witness testimony were raised during the trial and dealt with and nonetheless we wound up with a guilty verdict. >> that is exactly what i said. megyn: that's for laura. >> first of all, there are jurors who have come forward who have appealed to the parole board not to carry out this execution, because they said if i knew what i knew -- if i knew

then -- megyn: that happens a lot. jurors are bound by the rules of evidence, they don't get to hear everything. >> the witnesses are saying i didn't have abg at th have access to all the testimony. if i had to do this over with i wouldn't have voted this way. megyn: what about the ballistics evidence? >> they have never had ballistics evidence they could link to any particular personal. they found bullets and shell casings. they never had a gun or fingerprints to link it to anybody. they tried to link ballistics to a previous night's shooting through witness testimony and the witness testimony has all fallen apart. megyn: i'm sorry to rush you, we are up against a break. i want to ask you now that his clemency has been denied, is this it? what are his remedies at this point? you have to once again ask the parole board to reconsider, what about the governor? >> we are asking the parole board to reconsider. we are asking the district attorney to ask the judge that signed the warrant to vacate

that warrant. we want to stop what is an unthinkable tragedy in this matter. there is too much doubt to allow this execution. the legal team is working on last-minute legal avenues. we are doing all we can to continue to raise our voice. georgia is poised to execute someone who may well be indent. megyn: i have to leave it at that. bewe are out of time. i appreciate you both being here. >> thank you. >> thank you. megyn: what are your thoughts on it? kelly at fox news.com. it is a horrifying photo but it may be the best clue yet in the reno air crash investigation. we have breaking news on what you're not seeing here, not seeing here, top of the hour. [ male announcer ] with six indulgently-layered desserts,

all at 150 calories or less, there's definitely a temptations for you. unless you're one of those people who doesn't like delicious stuff. new temptations. it's the first jell-o that's just for adults.

megyn: we are getting this disturbing new video showing the trainer just moments before her death. the 40-year-old woman dragged to the bottom of this pool last year by a killer whale. phil keating live in miami with more. phil? >> reporter: hey, megyn, aside from this disturbing and riveting videotape, home video taken from a new hampshire tourist, there is the even more gruesome seaworld underwater videotape showing in this vivid detail the actual attack of the killer whale ramming, grabbing, biting and thrashing the trainer. that is not expected to play until perhaps later this afternoon, but the labor department first must offer that to be entered and then the seaworld attorneys are going to object, and then the judge is going to have to make that call. this morning the court did play

this amateur videotape, some of the final moments of the train's life. she's performing for the crowd, doing what she loved to do, feeding the whale fish and tossing them into his mouth. clearly, she is touching the whale and just inches away from its teeth, and then the last scene shows her lying on a shallow step in the water smiling, and the killer whale is right there. you see his nose standing out. witnesses say he grabbed her by the arm, seaworld claims he grabbed her long pony ponytail. now, seaworld is fighting being held negligent in her death and the recommendation that trainers never be in the water with killer whales in the future. that could, of course, effect be every marine park around the country. seaworld makes a billion dollars a year in orlando, and they say

it's impossible to keep trainers away from the curl whales. essentially, people aren't going to pay money to see that. megyn: wow, phil, thank you. disturbing tape, knowing how it would wind up. phil keating, everybody. well, ten muslim students on trial for shouting down an israeli diplomat in california. [inaudible conversations] [cheers and applause] megyn: they claim it was freedom of speech, but what about his freedom of speech? that's on the docket in today's cel hi's court. cel hi's court. and governor [ monitor beeping ] [ sponge ] you've suffered some real damage. cheesy crusting. 3rd degree noodle trauma. the prognosis is bleak. you may need to soak overnight. nurse...! dawn power clean? it'll never work. [ female announcer ] dawn power clean with micro-scrubbing enzymes

can give you the power of an overnight soak in just 5 minutes. [ sponge ] i give you a sparkling clean bill of health. it's a scientific miracle! [ female announcer ] dawn does more. [ sponge ] so it's not a chore.

my dis best absorbedlcium in small continuous amounts. only one calcium supplement does that in one daily dose. citracal slow release... continuously releases calcium plus d for the efficient absorption my body needs. citracal.

or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today. megyn: fox news alert, a new theory on what caused one of the most horrific plane crashes ever caught on camera. welcome to a brand new hour of "america live," everyone, i'm megyn kelly. these new questions stem from

this horrifying photo of the last moments before the vintage world war ii fighter plane plummeted nose first into the stands this weekend. the critical part of this picture? the fact that you cannot see the pilot. look here. ten people have now died as a result of an accident at an air race in nevada. our own trace gallagher just spoke to the ntsb, and he joins us live with some fresh insight on what may have gone wrong. trace? >> and the ntsb, megyn, is going to take a look at three pictures, each one individually, and show you why they're important. the first taken seconds before the crash. you see what's circled? it's called the elevator trim tab. it helps the plane fly straight and level. you can clearly see a chunk is missing, some believe that maybe that could have pushed the plane into a steep ascent and into a stall causing it to crash. the second picture otherwise, you know, people say it couldn't do it because it's not that big

of a tail section. the next picture shows jimmy leeward, the pilot, on the ground before he takes off. you can clearly see that he's in there, wearing a helmet, a parachute and he is strapped in by a shoulder harness, okay? the that's important because as we go to the next picture there are two important thing. look at this, the first circle is on the tail, the tail section, the landing gear. it should not be deployed. it should be tucked up underneath the belly because it's going 400 miles per hour, that adds a great deal of drag. it shouldn't be out there. now look at the important part. see the circle at the top? there is nothing visible at all inside the cockpit. in fact, you can see all the way through the cockpit to the other side and the king. now, the theory here from the ntsb might be that he passed out, that he was unconscious. but remember, he's strapped in by a shoulder harness. even if he was unconscious, you could still see his head. his head might nod forward.

i talked to an aviation mechanic who works on these planes who says he believes that the seat -- because it was going 4, 5, 6gs, actually fell back, it bued or slipped back, and that jimmy leeward no longer had his hands on the controls, and that's why this plane went up and spiraled out of control. listen to this aviation mechanic now. >> appear you've got a pilot laying on his back on the parachute, he's got the stick in the his hand, it's back and to the right, and he's just probably trying to pull himself forward. but the airplane climb climbs, rolls right and does a snap roll, stalls, and then it falls out of the sky. and when it falls out of the sky, it's no longer flying. the wing is no longer flying. it's just like a brick, it's falling right out of the sky. >> reporter: it falls like a brick out of the sky. the first thing they teach you, megyn, when you learn how to fly is your seat has to be secured because if seat slides back, you

have no access to the pedals, you have no access to the throttle or the stick. that's the key thing here. the ntsb will clearly take a look at this because that is a very plausible explanation because you cannot see jimmy leeward at all in that cockpit seconds before the crash. and the plane goes right, and the plane should have, to stay on course, went left. so if he passed out, there's no reason for that plane to go in an uncontrolled spiral. they're going to look at it. it's a theory from an air ration mechanic who works on these. the ntsb will clearly take a hard look at that explanation. megyn: wow. it is a chilling photograph to see how you can see straight through the cockpit, and no pilot appears in the eyeline. trace, thank you. >> reporter: okay. megyn: wow. fox news alert now and a big deal for general motors as union leaders at gm factories around the country endorse a new four-year contract with the company. the agreement includes a $5,000

signing bonus, plus better profit-sharing packages, all of this instead of hourly pay raises for most of the factory work force which includes more than 45,000 employees. we'll have more on this just ahead right here on fox news channel. well, charges of class warfare coming from capitol hill as top republicans react to president obama's deficit reduction plan. the battle lines drawn after the president called for higher taxes on wealthier americans as a means of cutting the skyrocketing national debt. mike emanuel live on capitol hill with more. hey, mike. >> reporter: hi, megyn. yeah, eric cantor called the so-called buffett rule, the plan to raise taxes on millionaires and billionaires, a tax on investment and on small business job creators. senate republican lindsey graham of south carolina has called the president's deficit plan dead on arrival. he explained that comment a short time ago. >> i'd like to work with my democratic colleagues to save money in medicare and social

security to keep it from going bankrupt. i'd like to flatten the tax code and create some economic opportunity. but the president's proposal of increasing taxes on job creators is dead on arrival simply because there are democrats who don't like it. the millionaire tax is going nowhere. >> reporter: republicans have called this class warfare, some democrats have given it a lukewarm response although some democrats, like the political argument they are able to make because of the president's plan. here's chuck schumer on the deficit plan and the republicans. >> apparently, they think they can slap that old label on the president's people and be done with it. but their refusal to address the proposal on the merits is revealing. they know they will lose any argument about the policy itself, because it makes sense economically and because the american people support it. >> reporter: republicans suggest a lot of this deficit plan is about the president shoring up his political base for re-election next year and

not a serious attempt to reach across the aisle to find a compromise and a serious plan regarding our deficit. megyn? megyn: mike emanuel, thank you. well, the obama administration is now tossing a lifeline to the struggling u.s. postal service. among the biggest changes for consumers, say good-bye to saturday mail delivery, folks. the agency says weekend mail traffic is just too light to support the service. other big changes include a massive restructuring of the retirement fund aimed at saving the agency more than $20 billion over the next few years. we'll tell our kids, you know, someday we'll say we were alive when they used to deliver mail on saturdays, and our kids will say, what's mail? fox news alert now, defense secretary leon panetta and chairman of the joint chiefs of staff, admiral mike mullen, holding a briefing at the pentagon on the end of don't ask, don't tell in the military. at 12:01 on tuesday gays were

officially allowed to serve openly in the u.s. military after nearly a two-year process. the pentagon says 97% of the military has been trained in what the law means, and that will be an ongoing effort in the weeks and the months to come. a friday night fight under fright night lights. the high school football game that ended with two teams on probation and more than a dozen suspensions. plus, ronald reagan and bill clinton both overcoming some ugly poll numbers about a year before they faced re-election. reinventing themselves in time to win, handily, second terms in the oval office. but can president obama follow in their footsteps? michael reagan on that after the break. and a group of muslim students disrupting a speech by an israeli ambassador. [inaudible conversations] [cheers and applause] megyn: now they are facing from

six months to a year in the slammer for what they say was free speech. but what about the ambassador's free speech? a powerful kelly's court. [cheers and applause] [ male announcer ] to the 5:00 a.m. scholar. the two trains and a bus rider. the "i'll sleep when it's done" academic. for 80 years, we've been inspired by you. and we've been honored to walk with you to help you get where you want to be ♪ because your moment is now. let nothing stand in your way. learn more at keller.edu.

megyn: suspensions have now been handed out after fists went flying during a high school football game in pennsylvania. it all happened friday night, the tape jutte turning up now. -- just turning up now. rival teams during the fourth quarter, the kickoff return took the eagles into the hornets' sideline, and the stingers came out. punches were thrown, flags were thrown, players were tackled, it didn't end well. both teams on probation, and a

hearing is scheduled for october 5th. ♪ megyn: well, president obama's poll numbers stuck i the basement with the economy stalled and unemployment high. but can he make a comeback in the 14 months before election day? well, at least two other commanders in chief pulled that off, at least recent commanders in chief. former presidents bill clinton and ronald reagan managed to reinvent themselves and win re-election in landslides. michael reagan is the chairman of the reagan group, reagan.com and a political consultant. all right, michael. so your dad and bill clinton were both not looking too good at this point in their presidencies, 14 months before re-election. and let's just show our viewers the polls. here is ronald reagan. it's september 16th to 19th, 1983. his approval rating was 47%. they say you need above 50, 51

if you really want to win re-election. but then flash forward when in 12 months later right before the election fs it was at 58%. and with bill clinton it was a similar deal. september, the september prior to the election, 14 months earlier, 34%. flash forward to the election, it's up to 54%. president obama's numbers are in the low 40s, some high 30s depending on who you ask. could he do it? could he do the same thing? >> i mean, anything can happen between now and november of 2012, but when you look at those two presidents, my father and bill clinton, ronald reagan stayed the course with lower taxes, less regulations, and the economy came back. he knew it would because of the history of this country. what it's done before, whether it was the '20s, the '60s or what have you. bill clinton, the reason it turned around for him was he looked at the election of 1994, newt gingrich took over as speaker of the house, republicans took the congress,

and bill clinton finally on the seventh try came to newt gingrich and decided to sign a balanced budget. he also reformed welfare. so he came to the republicans' side. he went up in thels and won re-election mightily. so he changed. barack obama, on the other hand, has doubled down. he hasn't changed at all. he's wanting to raise taxes, he's wanting to put out more regulation. and, remember, we didn't have hillarycare with bill clinton. we were able to defeat it. we now have obamacare, and we certainly never thought about reagancare during the 1980s. megyn: you know, your dad when he took office, according to statistics, unemployment was above 10% in the early 1980s. when your dad stepped into office this '81, it was at 7.5%, and it rose to above 10% in 1982, sound familiar, right? we've got a 9.1% rate right now. but then began an economic turn

around, and the rest was history. once your dad got the economy turned around, his poll numbers turned around. they reached as low as 35% at one point, but once the economy started pumping again, your dad's political fortunes changed, and that second term really changed his legacy. i mean, that's really going to be the crux of it for barack obama, no? if he can get this economy turned around in the next 14 months, history will tell a different story. >> well, it also is. it's always about the economy, stupid. you know, the economy's where it is to the. barack obama's a one-term president. if it turns around. but every poll you see by every organization tells us unemployment's going to stay at 9%, we're going to be stagnant. with the fact that the president of the united states with his new jobs package wants to take away the bush tax cuts of 2013, obamacare really hits hard in 2013-2014, after the next election, that's why corporations aren't employing more people. that's why the economy is stalled where it is at this point.

he has got to come to the republican table if, indeed, he wants to turn the economy around. as long as he keeps on talking about raising taxes, the economy's not going to turn, and he'll be a one-termer. megyn: you know, the interesting thing in these poll numbers is even though ray began was down at this point in his -- reagan was down at this point in his presidency and barack obama is down at this point in his presidency, ronald reagan and bill clinton were trending upward, so things were already starting to look better for them at this point. with barack obama it's the opposite, he's been trending down, or at best he's been trending flat. and the experts are saying that's what the white house needs to be worried about. do you think that that could be what is behind the proposal of another stimulus plan and a deficit reduction plan that the political pundits are saying have no chance of passing? it's about, you know, joining up support for policy -- >> you say what you want about bill clinton and ronald reagan. the fact is people liked them. and right now people really

don't like barack obama. megyn: the polls say the people do like him. the polls say that people do like barack obama. >> bill clinton didn't come across as whiny, neither did ronald reagan. megyn: go ahead, michael. i was just challenging you on that because the polls say they do like barack obama. they don't love his policies, but he, if you ask the average american, is a likable guy. >> well, i don't know if they think he's that likable. with all these new web sites telling us who likes him and who doesn't, i don't think people -- maybe it's respect they're looking for. they don't have the respect they had for reagan or clinton. the fact of the matter is a few weeks ago he was going to change medicare. now what he's going to do is say i'm going to veto anything that might change medicare. we need to do something about the entitlement problem we have in this country whether it's social security or medicare. now he's walking away from something he said he was going to do two weeks ago. so what happens is a lack of

trust in america, the fact i he going to stand in this same spot two weeks from now that he stood this week? and the chances are if you're a betting person in vegas, no, he will change one more time. he needs to be steady on his course. he's very unsteady. megyn: well, the white house would like to make those poll numbers a lot more unsteady, i'm sure of that. they want the trends your dad had, clinton had, and they're trying. michael reagan, thank you, sir. >> thank you. megyn: well, major developments in the case of a horrific connecticut home invasion. this beautiful family was shattered when two suspects, one now a convicted murderer, literally destroyed their lives. today the sole survivor, a husband, a father and a victim himself takes the witness stand in a second trial of the second suspect in this heartbreaking case. and plenty of californians looking for work these days, so why in the world is the golden state turning to china to help build a $7 billion bridge?

think americans could use those jobs? you will want to see this story. it's upcoming. plus, ten muslim students on trial for shouting down an israeli diplomat at a major university, so who was right? and whose free speech matters more? a trial is underway right now. kelly's court takes up the case. [cheers and applause] >> murder is not an expression of free speech! [cheers and applause] [ male announcer ] do you have questions about medicare?

are you wondering about your options? with over 30 years of medicare experience, unitedhealthcare medicare solutions can help. just give us a call. the annual enrollment period to switch your medicare coverage is earlier this year, from october 15th to december 7th, so now is a great time to review your situation. i'm looking for help paying for my prescriptions. [ male announcer ] that's a part d prescription drug plan. choose a stand-alone plan, or combine it with a medicare supplement plan.

it's all in our free guide. is there a single plan that combines medicare parts a & b with medical and drug coverage? [ male announcer ] absolutely. many medicare advantage plans can give you doctor, hospital and prescription drug coverage all in one plan. remember, the annual enrollment period is earlier this year. call unitedhealthcare now or visit us online to get this free answer guide from unitedhealthcare medicare solutions. call right now.

the world needs more energy. where's it going to come from? ♪ that's why right here, in australia, chevron is building one of the biggest natural gas projects in the world. enough power for a city the size of singapore for 50 years. what's it going to do to the planet? natural gas is the cleanest conventional fuel there is. we've got to be smart about this. it's a smart way to go. ♪ megyn: well, major developments in the second trial stemming from the a brutal home invasion case in connecticut. this man accused of a long list of charges in connection of the murder of jennifer hawke-petit

and her two daughters. if convicted, he could face the death penalty. the only survivor of the attack, the husband and father of this wife and two daughters. dr. william petit taking the stand earlier today, delivering heartbreaking testimony about the attack. laura ingle is live outside of the courthouse in new haven. laura? >> reporter: the lone survivor of the home invasion gave a very methodical count, first, of what his life was like with his family, how normal his life was with his family before joshua and steven hayes broke into his home. he was beaten with a baseball bat and then they began a night of terror and torture that is hard to comprehend. dr. petit took jurors this morning through his nightmare of being bound and tied up to a pole in his basement as he heard thumps coming from upstairs with the sound of his wife making noise. that sound he now knows was his wife, jennifer hawke-petit, being raped and strangled by steven hayes. when petit called out, someone

called back, dn't worry, it will all be over in a minute. this was just after hayes returned home from hawke-petit from the bank and told her no one would be hurt if she withdrew $15,000. cross-examination today, aggressively so about how clear his memory is today after hearing previous courtroom testimony. now, the defendant's defense opened the trial yesterday by telling jurors it was hayes who escalated the violence in the petit home, that hayes is the one that poured the gasoline around the girls, the homes, the bed and lit the match and argued during the event repeatedly saying that hayes was the one that took off his gloves, spread his prints around and panicked and wanted to kill the family. petit says he only heard one voice throughout the ordeal. both defendants try today plead guilty in exchange for a

sentence of life in prison without the possibility of parole, but prosecutors both went forward as -- with trying this as a death penalty case. prosecutors are now questioning some of the police officers who arrived on scene to the home in july, 2010, so we continue to move through this, and we know with those officers on the stand, that means from the hayes case we know that the jurors are going to soon be shown the pictures of the bodies that were found inside the home once the fire was put out. we know that that's coming. back to you, megyn. megyn: the horror inside that house that day. laura ingle, thank you. just awful. switching gears now, millions of americans, as you know, need a job and badly. so why is california now outsourcing part of a new bay bridge project to china? a half a billion dollars worth of work. we're live with this unbelievable story. plus, a showdown at the united nations over palestinian

statehood. has the obama administration left israel hanging as its critics are claiming? that debate is next. >> if america does not head off the aggression and forces hostile to israel, we will only embolden them. that would be a tragic mistake.  look, every day we're using more and more energy.

the world needs more energy. where's it going to come from? ♪

that's why right here, in australia, chevron is building one of the biggest natural gas projectsn the world. enough power for a city the size of singapore for 50 years. what's it going to do to thplanet? natural gas is the cleanest conventional fuel there is. we've got to be smart about this. it's a smart way to go. ♪ megyn: and now to a story from california likely to upset some

of america's 14 to 15 million unemployed. the cash-strapped state is taking new heat for a decision to outsource part of a huge building project. the new san francisco/oakland bay bridge. claudia cowan is streaming live to us from treasure island in san francisco with why half a billion u.s. dollars are headed now to china. claudia? >> reporter: megyn, the new span of the oakland/san francisco bay bridge taking shape amid some controversy because much of the work was done not here in california which has a 12% jobless rate, but overseas. when it was built in 936, the san francisco/oakland bay bridge was a depression-era project that put score of americanso work. its $6.3 billion replacement is more international. from 525 feet above the water, you can see the enormity of this project, but while the span is being assembled here, this bridge is an example of massive outsourcing.

half a dozen countries are contributing either expertise or materials, none more so than china. 3,000 workers spent five years fabricating the steel used to build the decks, cable strands and landmark tower, all of it shipped from shanghai when u.s. steel workers say the work should have stayed here. >> not only do you lose the fabrication jobs, you lose those people paying taxes, those people buying groceries, those people buying clothing, so there's really a multiplier effect. >> reporter: state transportation officials argue they saved $400 million by turning to china as well as precious time. >> we're trying to get this bridge completed by 2013. these segments that are larger steel boxes were fabricateed in shanghai because they had the ability to produce them and get them out here on site. >> reporter: and some critics have also questioned the quality of the steel work done overseas but, megyn, bridge officials say their inspections is. have shown that china has helped produce a

span that has seismic integrity which is the primary objective of this project. back to you. megyn: claudia, do they say why the so much cheaper to get the chinese to do it? >> reporter: well, a lot of it has to do with not using american unions. they didn't have to pay those wages and those benefits, so that was a big part of it. a lot of it had to do with the timing and the scheduling, when they wanted to get these parts in if place. they said they could get a lot faster when it was built in china even though it was shipped overseas, even though california transportation officials sent dozens of experts over to china to live in shanghai and oversee the project. obviously, a lot of expenses there. they say it was still almost half a billion dollars cheaper to use china rather than keep this work here in the u.s. megyn: unbelievable. claudia, thank you. well, the big apple not big enough for the two most prominent political figures in america right now.

texas governor rick perry speaking in new york city just a short time ago, a few blocks away from the united nations where president obama is now meeting with world leaders. governor perry slamming the president's foreign policy, specifically on the israeli/palestinian conflict. this as the president prepares to speak on the palestinian bid for independent statehood. >> we are indignant that certain middle eastern leaders have discarded the principle of direct negotiations between the sovereign nation of israel and palestinian leadership. and we're equally indignant of the obama administration and their middle east policy of appeasement that has encouraged such an ominous act of bad faith. simply put, we would not be here today at this very precipice of such a dangerous move be the

obama policy -- if obama policy in the middle east wasn't naive and arrogant, misguided and dangerous. it must be said first that israel is our oldest and strongest ally in the middle east, a democratic ally in the middle east. and it has been for more than 60 years. the obama policy of moral equivalency which gives equal standing to the grievances of israelis and palestinians, including the orchestraters of terrorism, is a very dangerous insult. there is no middle ground between our allies and those who seek their destruction. megyn: wow. joining me now, k.t. mcfarlane, fox news national security analyst, also host of fox news live's def-con 3, and

judy miller, fox news contributor. i can't think of a better panel to digest what we just heard there. k.t., he didn't mince words calling obama's middle east policy naive, misguided and dangerous and using the a word, appeasement. fair? >> absolutely fair, you know, a year ago president obama went to the united nations. i was on with you, megyn, and we analyzed it after the president's speech. he said a year from now we want to welcome palestine as a member state to the united nations. he said we can do it in a year. that was awfully arrogant because it hasn't happened for decades, and the other thing is president obama's managed to maneuver himself into the worst place of all, between a rock and a hard place. if he vetoes palestinian statehood, he's raised expectations, and they're going to look at him and say, you're a traitor. if he doesn't, he's telling all those nations in that region,

open season on israel, do whatever you want. i think the president has made it far more likely we're going to see violence in the middle east in the near term, and perry is right to call him out on it. megyn: we've been hearing this chorus about president obama's policies with respect to israel suggesting he's got some sort of hostility toward our ally or certainly his behavior has helped to chill what was once a very friendly relationship. is that true? >> well, megyn, i have lots and lots of criticism of the administration's foreign policy and its policy towards israel, but i have to say rick perry's speech was a gross, gross overstatement. it was certainly not fair to this administration which is now literally working night and day to prevent israel from being isolated so that it doesn't have to be -- we don't have to be only country on the security council that's voting against palestinian statehood. and let me say something else. there are six israeli security guards who are trapped inside

the israeli embassy in cairo two weeks ago who owe their lives to this president because when benjamin netanyahu could not get the egyptians on the phone to tell them to cut the riots out, to stop the rioters from tearing the israeli embassy apart and killing those people, president obama did that. it is a absolely unfair to this administration whatever its mistakes to say they don't care about israel or they want to throw israel under the bus -- megyn: as mitt romney suggested. k.t., former israeli ambassador to the u.n. dan gilliland was on this program yesterday and said it's not so much that he's not working to stop mahmoud abbas from doing what he's going to do this week at the united nations, it's that the president and his policies laid the foundation for abbas to believe this was possible in the first place. >> yeah. you know, the president whether he's done it with domestic policy or foreign policy, he promises everybody everything,

and then he can't deliver. and having raised raised the bao high, having raised expectations to a very high level when he doesn't deliver, it looks like he's been disingenuous or he's failed. you know, when i worked for kissinger and he went around the middle east and he went country to country to country to country, he dealt with them all what can's possible, what's not possible? even president george w. bush throughout the middle east crises, he always got on the phone, talked to them, dealt with them, dealt with them, dealt with them. and this president, you know, he's on mute. he's not listening. he's just assuming he can make a speech, raise expectations and somehow it's going to happen. and, unfortunately, it's not going to happen. megyn: what about that, judy? the it did come under criticism for the treatment of netanyahu, and those things matter in diplomacy. that's just one example, but this is a litany of examples of how the relationship has chilled

since president obama got into the white house. is that fair, is that legitimate grounds for criticizing our president or not? >> i think the problem, megyn, is cannot want peace, cannot want negotiations more than the two major players in the region want them. there's no indication that netanyahu wants to sit down at the negotiating table with abbas at this point be. there's no indication that abbas wants to sit down with netanyahu, and the american president is in a difficult situation because he can't force them to sit down. that being said, israel, the strongest power in the region, our staunch ally and friend, should have given the president a hand by being a little bit more creative this coming forth with an israeli proposal that would have put abbas in a corner and made him defend his decision not to come to the negotiating table. israel hasn't done that, and i think that's been a big disappointment to the white house. megyn: all right, i've got to

go, so i need a quick answer, but how much of a pickle is the administration in right now? k.t.? is. >> huge. i think it's likely to end up in an absolute disaster, and within six months there'll be some kind of an israeli/palpalestinian conflict. megyn: judy? >> well, i hi we're searching for six votes on the security council so that israel will not be isolated. let's hope they get it. megyn: what a thing to watch this week. ladies, thank you both so much. >> thank you. megyn: well, an israeli ambassador -- this is a different story -- an israeli ambassador speaking at an american college campus out in california when a group of muslim students brings the event to a halt, disrupting the speech with a demonstration. now these ten muslim students have been arrested and are on trial, facing time behind bars. but did they have the right to exercise their free speech? that's next in kelly's court. >> the right the free speech is not absolute, it does not

include the right to suppress or cancel somebody else's right to free speech. >> no matter what faith or no faith a student subscribes to, this case threatens to intimidate and silence students to their right to free speech. you could save a bundle with geico's multi-policy discount. geico, saving people money on more than just car insurance.

♪ geico, saving people money on more than just car insurance. exclusive to the military. and commitment is not limited to one's military oath. the same set of values that drive our nation's military are the ones we used to build usaa bank.

from free checking to credit cards to loans, our commitment to e military, veteransand their families is without equal. ♪ visit us online to learn what makes our bank so different. usaa. we know what it means to serve.

megyn: kelly's court is back in session. on the docket today, up to a year behind bars for speaking out. a group of muslim students from the university of california's irvine campus now on trial, charged with disrupting a meeting back in february of last year. israeli ambassador michael orrin giving a presentation about palestinian relations at the time when the students began shouting, scripted statements one by one. e-mails between members of the muslim student union show that the group knew they could be ared for this. arrested for this. now, despite an outcry from the aclu and several other muslim organizations, the men are being

prosecuted. facing penalties from probation to fines and jail time. but should they get it? the let's ask our panel. defense attorneys david role and mark. all right, panel, if we can tee up the tape, because i want the viewers to see the evidence. let's show the viewers what these students did to the israeli ambassador, and keep in mind, they are charged with disrupting a meeting of you have to sort of have the intention to do it and then do it. let's watch. >> it's a source of frustration that as a person who -- >> michael orrin, propagating murder is not an expression of free speech! [cheers and applause] knox "money rocks". [cheers and applause] [inaudible conversations] [cheers and applause] >> then later i met the foreign minister of israel -- >> [inaudible] [cheers and applause]

megyn: now, let me start with you, mark, because what they were yelling, it's tough to hear, they're telling him he's a war criminal, he's a mass murderer, he's a baby killer, and on it went from there. is that not disrupting a meeting? >> i don't believe it is legally. factually, i'm sure everybody's going, well, what's even to debate. the first amendment gives wide latitude -- not unbridled discretion to do or say whatever you want -- but wide latitude to express even outrageous and offensive speech under the umbrella of first amendment. there were numerous students who did similar activities and protested other lectures who not only weren't arrested, but they weren't even called out on their actions. megyn: how is that relevant? how is that relevant? >> prosecution, select i prosecution, maybe we don't like the message, maybe because

they're muslims, they're being targeted? megyn: that's exactly what the student union groups are alleging and others, suggesting this is about bias against muslims and trying to shut the muslims up. >> megyn, this was a well orchestrated flash mob. this had nothing to do with free speech. this was well planned, and the e-mails prove it, attempts to destroy the ambassador's right of free speech. these people weren't standing up and making speeches on their own, they were shouting murderer at him. you couldn't even comprehend most of what they were saying, and there were e-mails indicating the disrupter was supposed to stand up, and the others were supposed to cheer, megyn. there's no way in the world this could be interpreted as any type of he g8 mate -- legitimate free speech. in and this da, i have to say, the orange county da is doing the right thing not just to punish this hate-filled you can, but to deter it from happening again. that's the bottom line, and

ironically, if they had been tossed out when the first one stood up, this prosecution may never have happened. megyn: you know, mark, one of damning pieces in this case and the reason i believe the students were charged is the e-mails. the investigator for the university found e-mails from the muslim student union asking students who want to disrupt, especially if they're not worried about being arrested, to go and do this saying that this ambassador had no right to go to the university and say what he wanted. now, i mean, there's a reason that they have a law against disrupting meetings like this, because they want to encourage free speech from the podium, and then someone can respond. but what these students did was talk over him to the point where he didn't have free speech. >> well, first of all, their protestations were limited to about five minutes, i've been told. second of all, merely because there's e-mails that planned their exercise of free speech doesn't give them less protection under the constitution. consider rosa parks, martin luther king. i suppose that there were

communications which indicated that they knew they probably would be arrested. it doesn't then relieve them of their protections under the constitution. megyn: but, you know, you seem to be contending that this california statute, disrupting of a meeting, is unconstitutional, that it is in and of itself a violation of the first amendment. >> absolutely. >> you know, megyn, it really isn't. here's the exact language -- >> so where's the dividing line, david? >> acts that substantially impact the course of the meeting such as getting up and shouting down someone else -- megyn: but he's arguing, mark doesn't seem to be disputing the text of the statute, he seems to be saying the statute itself is an unconstitutional statute because it chills free speech. you can't say you can't speak in a way that's disrupt i. >> let me illustrate the point. megyn: hold on, let mark illustrate his point. can we carry this over, control room? okay, good. mark, you make your point. >> change the facts for the

viewers. let's say these weren't muslims. let's say they're non-muslims, and can the taliban then says, okay, 9/11 was an important day in the our history, and i should have happened. let's say the students got up and did the same amount of disruption as being called as these few limb student -- muslim students did. would everyone be in favor of prosecution of those americans who stood up and said, how dare you say those things? is clearly, we know the answer. megyn: we'll leave that point hanging there, and we'll resume right after this break. don't bo away. [ male announcer ] each of these photos was taken by someone on the first morning of their retirement. it's the first of more than 6,000 sunrises the average retiree wl see. ♪ as we're living longer than ever before, prudential's challenge is to help everyone have the retirement income they'll ed to enjoy every one of their days.

♪ prudential. bring yr challenges.

megyn: all right, picking back up with david and mark, mark, to your point the california supreme court has already upheld this statute and has said that this is, this is constitutional

to the extent you can show that the speech, that the protest substantially impair the effective conduct of a meeting, substantially impair the -- >> what does that mean, megyn? what does that mean? megyn: and, number two, that it was -- they look at what was said by the authorities during the meeting as evidence of whether the university would typically allow this. now, here is one piece of evidence of what the authorities there said while these students wereisrupting the ambassador. watch. >> this is beyond embarrassing. i have been a faculty member here for 26 years -- >> [inaudible] >> i have been a faculty member here for 26 years, this is no way for our undergraduate students to behave. [applause] we have. megyn: it seems pretty clear that these students were on notice, they knew it wasn't going to be tolerated, and they went ahead and did it anyway. >> over and over and over again,

megyn. to mark's point, megyn, inciting a riot, that is not protected free speech. shouting fire in a crowded theater, that is also not protected. >> that's not what they did. >> that's not what they did, but it's akin to that, and that's why the statute addresses it. >> but it's not. >> destroying everyone's free speech. megyn: and speaking to your point, mark -- >> that's why it's illegal in the state of california. megyn: had this been somebody from the taliban and saying what you suggested, do you not agree, mark, that the bedrock of the first amendment is the answer to speech you don't lik is not less speech, it's more speech? the and these students canceled out that ambassador's right to have his say. >> no. megyn: there was going to be a q&a after his remarks at which they could have said whatever they wanted. >> bingo. megyn: that wasn't good enough for them. >> that's right. it was canceled because of their behavior. >> and if these guys yelled out we love israel, we're so in favor of you, and they did it for the same amount of time,

they never would have been prosecuted. megyn: it's very interesting. >> because that wouldn't have been a disruption, plain and simple. >> oh! david rules it's not a disruption. so, in other words, whatever you deem d. megyn: got that leave it at that. one final word, this statute exists for a reason. you cannot silence a person's speech. the law protects free speech. it doesn't stifle it. the students here violated that law and are likely to be found guilty. we'll be right back. let me tell you about a very important phone call i made.

when i got my medicare card, i realized i needed an aarp... medicare supplement insurance card, too. medicare is one of the great things about turning 65, but it doesn't cover everything. in fact, it only pays up to 80% of your part b expenses. if you're already on or eligible for medicare, call now to find out how an aarp... medicare supplement insurance plan, insured by unitedhealthcare insurance company, helps cover some of the medical expenses... not paid by medicare part b.

that can save you from paying up to thousands of dollars... out of your own pocket. these are the only medicare supplement insurance plans... exclusively endorsed by aarp. when you call now, you'll get this free information kit... with all you need to enroll. put their trust in aarp medicare supplement insurance. plus you'll get this free guide to understanding medicare. the prices are competitive. i can keep my own doctor. and i don't need a referral to see a specialist. call now to get a free information kit. plus you'll get this free guide to understanding medicare. and the advantages don't end there. choose from a range of medicare supplement plans... that are all competitively priced. we have a plan for almost everyone, so you can find one that fits your needs and budget. with all medicare supplement plans, there are virtually no claim forms to fill out. plus you can keep your own doctor and hospital that accepts medicare. and best of all, these plans are... the only medicare supplement plans endorsed by aarp.

when they told me these plans were endorsed by aarp... i had only one thing to say... sign me up. call the number on your screen now... and find out about an aarp medicare supplement insurance plan. you'll get this free information kit... and guide to understanding medicare, to help you choose the plan that's right for you. as with all medicare supplement plans, you can keep your own doctor and hospital that accepts medicare, get help paying for what medicare doesn't... and save up to thousands of dollars. call this toll-free number now. >>megyn: andox news and google are partnering to host the next presidential debate on thursday night in orlando. 9:00 p.m. eastern. set your tv now. chris wallace and i will be on the panel with bret baier host. >>shepard: the news begins anew, the only survivor of a deadly home invasion that robbed him of his wife and two daughtersta