>> there we go. >> keep your knees bent and hang on to the bar. >> elisabeth puts her life on the line for you. >> you want to stay low. bill: a fox news alert. is it the smoking gun in the irs scandal? direct evidence linking lois lerner to the scandal putting the obama administration under a microscope. i'm bill hemmer. martha: i'm martha maccallum. lois lerner back in the news today.

she was the head of the organization accused of targeting 500 conservative groups. when she was called to testify she refused. >> i have been advised by my counsel not to testify or answer questions related to the subject matter of this hearing. bill: now a new hearing whether the investigation on that scandal was a sham as republicans call it. mike emanuel tells us with the emails. >> reporter: an email where lois lerner looking into the irs targeting of con rrp groups is cc'ed on this email. the regulations were released last november that some lawmakers say would shut down conservative groups. the house ways and means

committee said this proves the new rules were in the work for years. >> i'm pretty sure that means hid from the public. would you agree with treasury and the irs fabricated the rationale for a rule change it would taint the process? >> reporter: house democrats are acuting camp of trying -- are accusing cam of trying to -- accusing camp of tries to keep his political game alive. they are hoping to hear from barbara bosserman who is a obama political donor. she gave $750 to the obama campaign. now she is leading the investigation into the irs targeting conservative groups.

the house committee sent a letter to the montana asking if the president is being briefed on the situation. >> you have barbara bosserman who is a maxed out contributor to the president's campaign and she gets picked to head up the investigation. i believe the president can be confident because he knows his person is running the show. they are hoping the justice department will send somebody else to speak about what's going on at the justice department. if not they will hear from tea party groups of who say they were hearing thed by the irs. martha: the irs's new commissioner apologizing to conservatives for the targeting scandal when he spoke to fox news. here is what he said.

>> if the selection criteria were inappropriate and people were delayed in their ability to get a response because of their organize's name, that's intolerable. we are not going to do that. to the extent that people suffer accordingly i apologize for that. martha: is that apology enough? we'll hear from senator orrin hatch, the ranking republican on the finance committee. folks in pennsylvania waking up to a dire situation. an ice storm, we might was coming. 800,000 without electricity including slilla nova university. >> we had a meeting and they pretty much pulled everyone from the door and said find a way home if you can get home. >> we are stocking up at

mcdonald's and try to bundle up and stay warm. >> it wasn't that bad. going through sandy back and long island. this is similar but not as bad. seeing the trees down behind our dorm is similar. bill: the governor saying quote people are going have to have some patience. martha: maryland taking a hit from the highs storm. leaving 85,000 homes with no electricity and no heat this morning. it's cold out there. people are coping the best they can, trying to keep it all in perspective. >> i came in and all the lights are out and a lot of trees down. it's really bad. >> thank god nobody is hurt out here. martha: that's the most important thing but it's tough. utility crew say it could take day the to get the power back. bill: the story continues from

wisconsin. this winter left that state short on salt like we heard about in michigan and other states. trucks ready as the barges arrive carrying salt. >> we are busy, we have always been busy. it's rare we have this coming at this time of year. but with our weather conditions salt has been depleted and we need more salt. bill: the region seeing single digit highs today with another winter storm coming over the weekend. martha: the department of homeland security is warning a new terror threat is out there.

dhs is urging airlines to be on the lookout which they believe could be used to build a bomb on board a plane. it harkens back to the liquid issues. jonathan hunt joins us live. how seriously are they taking this threat? report * as seriously as. >> reporter: as seriously as they take all these threats. though sources tell fox news there is no direct threat against the united states. this is aimed at airlines with direct flights into russia. the concern is terrorists may smuggle explosives in small toothpaste tubes or kin lotion bottles. they may be able to build a bomb onboard.

but officials are playing down all of these threats saying this is just the way of the world these days. >> terrorism and insecurity is a global phenomenon. we have seen that in london, rehave seen that in atlanta, we have seen that in boston. we have seen that in many places so it, initial you we all have to be aware of. we are reassured by the russian authorities. i think you will agree security here is pretty comprehensive and not too intrusive. so we are very happy that what was promised would be delivered. >> reporter: russian president put -- vladimir putin guaranteed a safe olympic games. first events already underway amid very tight security. first event of these olympics

was the so board slope style. the u.s. snowboarding legend shaun white dropped out of that event yesterday because he said he was not happy with the safety of the course. a lot of spectators have traveled from the united states to see these games. they are very excited they are finally underway. >> i just came to support everyone in the united states and enjoy the games. it's unfortunate he's not going to play. but there are other participants from the u.s. and i'm rooting for them. so go u.s.a.! bill: love the olympics. brand-new numbers on the employment picture in america. weekly jobless benefits applications falling slightly. stuart varney, host of "varney and company" on the fox business

immediate work. >> reporter: the answer to your question is no. job creation is weak. we are not recovered to the level of 2007. that number, 331,000 new claimants, that's an indicator of the number of layoffs. that a far too high a number. bill: how would you characterize the recovery? >> disappointing. for the last four years we had our hopes raised at the end of the year, hopes that the fourth coming year would have a growth rate of 3% to 4%. same story in 2013 going into 2014. those hopes appear to be dashed again. this is a disappointing start to the year. we have a down side for manufacturing, jobs, layoffs, that shows a weakening of the economy, not a strengthening. you talk about a new normal.

does this back up your argument? >> welcome to the new normal. if you have got 330,000 people filing for first time jobless benefits, that's too high a number. but that's the number we have become accustomed to. 350,000 every week is the new normal. it's not good of any. bill: at home for you, at the office, or on your mobile device. how is the economy where you live? is it better, the worse or the same. we get a sense and a pulse about how things are where you live. martha: how are things working out for you. >> martha: it's why you could not keep your doctor even if you liked your doctor. insurers limiting your choices under your doctor. law makers say things have to change. this can lead to a bailout?

bill: is the world's biggest loser losing too much? claims that a reality show has far. martha: he killed four people while driving drunk. then his attorneys claimed he had affluenza. a judge took another look. now we learning this boy's fate. >> i don't buy it. even if he knows how to beat this game and he jumps through the hoops and does the tricks he's supposed to do, i don't think the world is ever going to take their eyes off of him. jim, i adore the pool at your hotel. anna, your hotels have wondrous waffle bars. ryan, your hotel's robes are fabulous. so i'm choosing all of you with hotels.com a loyalty program that requires no loyalty.

martha: today is the day for the national prayer breakfast. last year the controversy over the dr. ben carson happened. let's listen to the president for a little bit. >> i'm keeping him and his family in my prayers all the time. just a shoutout to my good

friend. [applause] so each time we gather it's a chance to set aside the rush of our daily lives, pause with humility before an almighty god to seek his grace and mindful of our own imperfections to remember the admonition fitting for those of us in washington. do not claim to be wiser than you are. so here we put aside labels of party and ideology and recall what we are first. all children of a loving god, brothers and sisters called to make his work our own. but in this work as lincoln said our concern should not be whether god is on our side but

whether we are on god's side. here we give thanks for hissifiedans in our own individual faith journeys. in my life he directed my path to chicago and my work with churches who were intent on breaking the cycle of poverty and make our communities better, and i'm grateful not only because i was broke and the church fed me, but because it led to everything else. it led me to embrace jesus christ as my lord and savior, it led me to michelle, the lot of of my life and blessed us with two extraordinary daughters. it led me to public service. and the longer i have serve especially in the time of trial or doubt the more thankful i am for god's gooding handle. we as americans we affirm the

freedoms even do you haved -- the freedoms endowed by our creator including religious freedom. it works the other way, too, because religion strengthens america. brave men and women of faith challenges our conscience and brought us closer to our founding ideals from the abolition of slavery to workers rights. you carry on this tradition today for a child who deserves a school worthy of his dreams. for the parents working overtime to pull themselves out of poverty. for the immigrants who want to step out of the shadows to become a member of our american family. for the young girl in human

slavery through human trafficking. led by melissa rogers, we are proud to work with you on this and many other issues. i invite you to join us in an effort to help more young men of color overcome the odd. because so many boys in this country need that mentor to help them become a man and a good father. i felt the love that faith can instill in my lives during my visit to the holy land and jerusalem, sacred to jews, christians and muslims. i felt it in houses of worship. whether paying may respects to the tomb or visiting the.

' i felt the faith healers and i'm looking forward to meeting pope francis. his message about caring for the least of these is one i hope all of us lead. like matthew he advances the call of jesus and said "follow me." he inspires us with his mercy and his mission to serve the cause of social justice. buenos our faith sustains us, it's also clear around the world freedom of religion is under threat. that's what i want to reflect on this morning. we see governments engaging in discrimination and violence against the faithful. sometimes the religion twisted in an attempt to justify hatred and persecution against other

people just because of who they are, how they pray, or who they love. old tensions are stoked, fueling conflicts along religious lines as we have seen in the central african republic recently. even though to harm anyone in the name of faith is to diminish our own relationship with god. extremists have come to a an. for the killing of the innocent is never fulfilling god's will. in fact it's the ultimate betrayal of god's will. today we profess the principles we know to be true. we believe each of us is wonderfully made in the image of god. we believe in the inherent dignity of every human being. dignity that noily power can take away.

and central to that dignity is parole of religion. the right of every person to practice their faith how they choose. to change their faith if they choose. or to practice no faith at all. and to do this free of persecution and fear. our faith teaches us in the face of suffering we can't stand idly by, we must be the good samaritan. in isaiah we are told to do right, seek justice and defendant oppressed. the torah command, the feeling of the strangers being strangers yourself in the land of egypt. the koran instructs, stand up firmly for justice. nations that stand up fourth rights of their people including the freedom of religion are ultimately more just, more peaceful, and more successful.

nations that do not uphold these rights sow the bitter seeds of violence and extremists. freedom matters to our national security. [applause] as i said before, there are times when we work with governments that don't always meet our highest standard. but they are working with us on core interests such as the security of the american people. at the same time we deeply believe it's in our interests even with our partners, sometimes with our friend, to stand up for universal human rights. so promoting religious freedom is a key objective of u.s. foreign policy. and i'm proud that no nation on earth does more to stand up for the freedom of religion around the world than the united states of america.

[applause] it is not always comfortable to do. but it is right. when i meet with chinese leaders -- and we do a lot of business with the chinese and that relationship is extraordinarily important our two countries and the world -- but i stress realizing china's potential rests on recognizing universal rights including christians and buddhists and muslims. when i meet with the president of burma, a country trying to emerge out of a long darkness into the light of a representative government, i have said that burma's return to the international community depend on respecting basic freedoms including for christians and muslims.

i pledged our support to the people of nigeria who war shop in their churches and mosques in peace. i put the weight of my office behind the efforts to protect the people in sudan and south sudan including religious minorities. we support israelis and palestinians as they engage in direct talks. lasting peace will require freedom of worship and access to holy sites for all faiths. i want to take this opportunity to thank secretary kerry for his passion and diplomacy he brought to the middle east. [applause] i have made the case that no society can truly succeed unless it guarantees the rights of all of its peoples, including riej minorities, whether they are

muslims in pakistan or coptic christians in egypt. in syria it means insuring a place for all people. shiia and christian. going forward we'll keep standing for religious freedom around the world. that's includes opposing blasphemy and defamation of religion measures which are promoted sometimes as an expression of religion but in fact all too often can be used to suppress religious minorities. we continue -- we continue to stand for the rights of all people to practice their faiths. in peace and freedom. and we'll continue to stand against the ugly tide of anti-semitism that rears its

ugly head all too often. i'll look forward to nominating our next ambassador at large to help lead these efforts and we are moving ahead with our new strategy to partner with religious leaders and faith communities as we carry out our foreign policy. i want to thank sean casey for leasing this work at the state department. sean i think is here today and we want to thank him for his outstanding work he's doing. so around the world, we are elevating our engagement with faith leaders and making it a regular part of our difficult ploam sif. today i -- part of our diplomacy. let's do more together to advance human rights including religious freedom. let's do more to promote the development from ending extreme poverty, saving lives from hiv aids to combating climate change

so we can preserve god's creation here in the united states and around the world. our incredible partners and we are grateful to them. in contrast to those who wield roints that divide us. let's build true peace including in the holy land. let us never forget those persecuted today. among them americans of faith. we pray for dennette -- we pray for kenneth bates, he was sentenced to 15 years of hard labor. his family wants him home and the united states will continue to do everything in our power to secure his release because kenneth bay deserves to be free.

[applause] we tray for pastor abadini. he has been held in iran for 18 month, sentenced to 8 years in prison on charges related to his christian beliefs. as we continue to work for his freedom we call on the iranian government to release pastor abadini so he can return to the loving arms of his wife and children in idaho. [applause] and as we pray for all prisoners of conscience, of what their faiths, wherever they are held, let's manage what it must be like for them. you may not know their names. but all around the world there are people waking with up in cold cells, facing another dave confinement, another -- another

day of confinement and unspeakable treatment because they are affirming god. despite all they endured and despite the awful punishments. if caught they will wait for that moment when the guards aren't looking when they can close their eyes and bring their hand together and pray. in those moments of peace, of grace, in those moments when their faith is tested in ways those of us who are more comfort and never experience, and those faraway cells, i believe their unbroken souls are made stronger. and i hope that somehow they hear our prayer for them. that they know that along with the spirit of god they have our spirit with them as well, and they are not alone. today we give humble thanks for

the freedoms we cherish in this country. and i join if you seeking god's grace in all of our lives. i pray that his wisdom will give us the capacity to do right and seek justice and defend the oppressed wherever they may dwell. i want to thank all of you for the extraordinary privilege of being here this morning. i want to ask you for your prayers as i continue in this awesome privilege and responsibility as president of the united states. may god bless the united states of america and god bless all those who seek peace and justice. thank you very much. martha: there you have it, the president's opening remark reflect on the role of faith in his own lif also calling on those to remember those persecuted for their faith around the world. we'll keep one eye on this and let you know if there is

anything news make from the national prayer breakfast. bill: how obamacare might be bad for the economy. there is a new argument about an entirely new welfare state. too soft. too tasty. [ both laugh ] [ male announcer ] introducing progresso's new creamy alfredo soup. inspired by perfection. new creamy alfredo soup. i dbefore i dosearch any projects on my home. i love my contractor, and i am so thankful to angie's list for bringing us together. find out why more than two million members count on angie's list. angie's list -- reviews you can trust.

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♪ (knochello? hey, i notice your car is not in the driveway. yeah. it's in the shop. it's going to cost me an arm and a leg. that's hilarious. sorry. you shoulda taken it to midas. get some of that midas touch. they tell you what stuff needs fixing, and what stuff can wait. next time i'm going to midas. high-five! arg! i did not see that coming. trust the midas touch. for brakes, tires, oil, everything. (whistling) bill: a fox news alert. there is a house hearing in the irs targeting of conservative groups. on whether the person tapped to

leaded the investigation is too much of a white house cheerleader to lead the investigation. that lead attorney is bash what bosserman. she has been invited to testify. we don't think she'll show. but jim jordan lead that hearing. martha: it got very heated with some of the tea party representatives there. how about this stunning new claim that obamacare will hurt the economy? it got a lot of attention. it came from the congressional budget office director who told a house hearing that millions of people could leave the workforce essentially. and here he is explain illegible and how he thinks that is likely to happen. >> it will create a disup season tough for people to work. d it will create a disincentive

for people to work. this is an implicit tax. they are providing a subsidy for people who are better off and they have less of an incentive to work. march rrp marcia p -- march where marcia blackburn is on that committee. what is your retook that statement. >> unfortunately what he's saying is right. the more you put that in there the less people will likely work. the other problem is losing the hourly workweek from 40 hours down to 30 hours and destroying what has been the 40-hour work week in this country. people want a job. they want to focus on earning as much as they possibly can. and now with obamacare even the cbo is saying our best case

scenario and what we think is going to happen is this will equal -- be the equivalent of $2 million more jobs lost, fewer people working, fewer people having a full-time equivalent job. i think it's devastate together labor force participation rate and devastate together economy. martha: the white house is arguing the opposite. they are saying 250,000 to 400,000 jobs will be add as a result of healthcare. we will see what comes out in the wash. >> well, yes. bear in mind. cbo comes before us regularly to give just dates. their initial update of jobs lost due to the obamacare implementation bill was 800,000 jobs. it was going to cost the economy 800,000 jobs. their revised is 2.3 million.

so what we know is that is kind of a floor. there is no telling what it is going end up costing the economy, and what impact it will have on the labor force participation rate which now is the lowest it has been since march of 1978. martha: the argument on the other side is for some of the elderly who are sort of forced to work full time jobs so they can keep their healthcare insurance. for them it will give them an option to work necessary their golden years and still be able to keep their health insurance which a lot of people would agree would be a nice thing for them. the other folks they say will benefit where those want to go make a today rear change. they -- to make a career change. they want to be the examples nancy pelosi gave us, be a photographer or writer and not

lose their health insurance. >> if you want individuals to own their health insurance policy, the way to do that is to open up access to the health insurance market and do across state line of health insurance. allow portability so people can take their policies with them wherever they want to go. and get rid of the government mandates. that's the free market solution. i have had that legislation for six years. i hope we'll pass it soon. secondly it puts the government in control of healthcare. for individual, 65 and above, they are even romed in medicare. -- they are enrolled in medicare. what we hear is because of the additional costs of medicare. things that are not easily accessible. that's why you will see individual continue to work. you also have the medicare dual

eligibles. but this does not solve their problem. it makes it worse. it's on the wrong end of the issue. this is government control. we are saying let's free it up. get people back to work and let them own their own health insurance. martha: we'll see if you can get someone to listen to you. it's always good to see you. bill: we are in positive territory 11 minutes in. new earnings from twitter, from pandora, a lot of the technology companies. the dow closing down 5 points. martha: this scary scene on city streets, wild police chase going on. the drive going the wrong way into oncoming traffic. look at that. we'll tell what you happened after that.

bill: no honeymoon for the new irs boss. as he deals with the firestorm over his decision to hand out bonuses. reaction from senator orrin hatch next to this. >> there have been a lot of statement made in the face of an open investigation that would appear to be drawing conclusions. so you're telling me your mom has a mom cave? hi boys! i've made you campbell's chunky new england clam chowder. wow! this is incredible! i know. and now it has more clams! [ male announcer ] campbell's chunky soup. what? [ male announcer ] it fills you up right.

bill: as we keep an eye on the irs hearing, the new chief is under fire for reinstating millions in bonuses. he says the bonuses are needed to boost more recall. -- boost morale. >> not everyone will get a bonus. but we depend on employees to

perform. to say they haven't had a pay raise in the last few years i thought it was the best decision. bill: my next guest has an issue with that. you know folks at the irs and perhaps there are questions about past behavior. is the bonus right or not? >> there are a lot of good people there, no question about it. but until we get to the bottom of what napped this investigation, we are not through with the investigation though we have had 535,000 document provided by the irs. i have high hopes for him. i helped put him through and get him confirmed. now, his answer is that they were being sued by the union,

but it's over $60 million that will go out in bonuses. that should have been with shelled until we get through with this investigation. bill: can that be stopped or not? >> i don't think so. it's a management decision. we don't have the power in the congress because the democrats in the congress would never do that. but i have high hopes for him and i have think he's a good man. one of the problems with the irs is it has an irs union. that is an agency that should not have any outside political interest force. it should be independent. it should be honest. it should treat every american equally and well. i have got to say until we get through with this investigation i'm not very happy with these bonuses. bill prr he says they have a union deal to work out and his hand are tie.

he called the targeting of conservatives intolerable and he offered and apology, is that must for you? >> i have high hopes for him. i think's a fine man and good leader. i brought him into the office. we have gone over this thoroughly. he made it clear he will do everything in his power to clean up the mess. i don't think it will be cleaned up until he becomes independent. he shouldn't have political influence from the treasury department or anyone else. bill: do you think that will happen? is that the only way to get to the truth in this? is it headed that way or -- i guess maybe there is a more after he appropriate question. why has it not happened yet? >> to be honest with you we haven't finished our investigation. we are well on our way but we still have a lot of things we have got to get. senator baucus has been called to be the ambassador to china.

i'll chat with senator wide hon appears to be his replacement and hopefully he will continue to work with us in a bipartisan way to get this investigation complete. when we do hopefully the american people will be better off for it. bill: the president told bill o'reilly there is not even a smidgen of corruption on this story. keep in mind eric holder said a week ago that the criminal investigation is not closed. what do you think of that? >> i hope it's not closed. but the president knows better. that is fudging on the truth quite a bit. the fact is we know there were people there at the irs acting improperly, who were pick on the 501c4 groups, the conservative groups. there was an equal uptick to the 501c5s, which are the union

groups and hardly anything was considered by them. they just moved through. it's preferential treatment at an agency that should not be preferring anybody and should be doing its job. for the president to say that, you know, i feel like it was way beyond where president obama should have gone. but i know he's under a lot of pressure and he may say some things he will regret later. but that's one he ought to regret. martha: taking weight loss to the extreme. look at this. the winner of the tv show -- very popular show, biggest loser, shedding pounds in a big way. but is it too much? bill: controversy of another kind. what's this cat all about? i ask you. lack closely.

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martha: a growing uproar over the winner of the show "the biggest loser." she went from 260 to 105. she is a size zero. why all the flap over the winner of this show. you look at this and say she looks amazing. but how much is too much. "the biggest loser" is being

criticized for not being big enough. she is getting criticism on twitter for being too thin. she lost almost 60% of her body weight. a day after winning "the biggest loser" tight the, many tweeted frederick on saying she looked anorexic and unhealthy. one saying quote disappointed in the biggest loser. be healthy, not too skinny. one viewer wrote in response to rachael being too skinny, people are never satisfied. that's true. there are always going to be people out there criticizing. martha: what about the show? what is their response?

>> some of the comments, they have reacted on the surprised expressions on the trainers. julian michaels and bob harper went to twitter to which michael replied on behalf of both of them, bob and i want to take a moment to congratulate all the contestants for their hard work. michael's tweet he we are not comfortable commenting on rachael's journey because what he weren't her trainers. any questions should be directed to the show's producers. so at this point they say they do support all of the contestants. we'll have to wait and see. bill: i think she looks great. martha: she he she feels energetic and alive. we wish her well. bill: we are learning of

bombshell developments. what law makers said on the hill that take this story to a whole new level. cúp,@s#b

>> fox news alert. a brand new bombing shell in the irs targeting scandal. an obama donor is leading this investigation and failed to appear at the hearing today. we have new testimony that the irs targeting of conservative groups to be going on today still. that is said to be in the written testimony. welcome, everybody, i am martha maccallum. >> and i will bill hemmer. they invited the leader of the investigation who is a

well-known donor to the president. the president said there is not a smidge of corruption. >> the person heading the investigation, gave $6,750 dollar to democratic campaign and the president's campaign a. lady invested in the president's success is leading the investigation and we are supposed to belie that is credible. >> that was jim jordan. chris is here from the host of power play on fox. representative jordan has a problem that the fact barbara is a maxed out donor. of the hundreds of attorneys

available she was chosen to do this investigation. >> think about it this way: the obama administration has been called the most secretive in history and they are keeping investigators from doing what they do including protecting eric holder and other members of the administration. we are facing the moment, because of what the president told bill, and the way this is going, they could end up with a special prosecutor in their face. >> cleta mitchell is testifying and she has explosive testimony this morning. she is saying the scrutiny is still going on today as a result

of a desire on some of the irs to comb through the groups and make sure the tea party groups get more scrutiny. and this goes back to 2010 and as outlined in a wall street journal piece this morning, in february of 2010, recent media attention indicated this is a high profile case. how could the president say it is a done deal? when his own people in the justice department told jordan this is an ongoing investigation. >> it was intented to protect the people, perhaps -- intend -- from having to say too much to

people in congress. but if you want the advantage of keeping quite, the investigation must be treated like a real thing. and one allegation the republicans can make is this hasn't been a serious criminal investigation. if that is the case, this administration is sideways on the this huge scandal. >> she said she believes this targeting is continuing today. and it begs the question, chris, as to whether or not there is an investigation going on here. because we talk today jay last night and you andiospoke as well about, you know, this on' going treatment and the fact that none of the people, the tea party

targets he is representing, have gone questioned yet. >> and we learned through mike emanual that lois learner, one of the key investigators, she took the fifth and said she couldn't tell house investigators what was going on. she was part of crafting new rules in secret that would make this targeting perhaps allowable. >> why would learner need to take the fifth if there was no corruption? thank you, chris. we will keep an eye on this testimony and let you know what is coming out of it. there is is chris' daily news letter. another big story out there: crews working today to repair the damage caused by the massive winter. the snow and especially the ice knocking out power to more than

a million americans, most on the east coast. pennsylvania hit the hardest. 850,000 in the dark. down in philadelphia taking care of students stuck on campus this way. >> there are some students who can not get home. so we have done a couple things. the dining hall is going to be heated and serving hot food. >> the trees being brought down, power lines are down and it is bad. >> it is. if you know anyone in the philadelphia area, there is a 50/50 chance they don't have pow. much of the delaware valley has and might not get be restored until the weekend. there is snow and a thick keating of ice on the power

lines. schools are closed today and tomorrow and students are being encouraged to go home but if not they have a generator and hot food. >> my parents were-like come home. >> they told us no school tomorrow and friday we are out, too and they said we should leave. >> the worse may not be over, right? >> the weather is below freezing and ice coated limbs and wires and trees so more are expected to fall over. 623,000 powerless homes and businesses in the five county

philadelphia area and it affected well over a million people. they brought in crews from all over u.s. and canada to help out. they have been working to restore the power but 400,000 people in the dark and thousands more in york and lancaster. most should be back online by friday and some on sunday. >> remember toronto around christmas time? it was like 11 days. the chain reaction crash shutdowns down a highway in michigan. 30 people involved. police are blaming the ice that has been everywhere and they say the toughest day so far this winter >> it hasn't been that bad. we had heavy snow last week and

slide-off type crashes. today has been one of the worst days through this winter season with major accidents. >> authorities are reporting several snow related crashes and one left her woman and her baby dead after that. >> folks in ohio digging out and look at this devastating scene. a milk trucker train running off the road and hitting a home but luckily no one was injured. here in new york where everything melts in an hour, there is a lot of slush puddles. there is so much heat generated here, it doesn't stick around. but with these storms, it is still out there. ice across the way in new jersey as well. a former obama cabinet

official is mow changing his tune on the keystone pipeline project. what he is saying now and maybe why. >> massive train explosion forcing hundreds of people out of their homes and we will tell you where this happened. >> and new reaction after a stunning report claim as top member of the administration may have altered the benghazi talking points while knowing full well that it was a terror attack. >> i was in the meeting when susan rice was with director morel and he blamed the fbi for changing the talking points. the fbi went crazy upon hearing that. that. too small. too soft. too tasty. [ both laugh ] [ male announcer ] introducing progresso's new creamy alfredo soup. inspired by perfection.

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who is claiming the targeting of these tea party and conservative groups isn't over. >> i want to make three primary points today. first, the irs scandal is real. number two, the irs scandal is not just a bone-headed bunch of people in a remote office contrary to what the president of the united states told the people on sunday. and number three, the irs scandal is not over. it is continuing to this day. and it department of justice investigation is a sham. it is a non-existent investigation. with regard to point number one, let me tell you in one sentence what the irs scandal is. the irs, at the direction of political elites in washington,

not in cincinnati, took what had been for decades a process of reviewing an application too a process that took 3-4 years. >> doug shown is here, former advisor to bill clinton and a fox news contributocontributor. the president is saying there has been hearings and no corruption happened here. what do you think about that? >> it is undeniable about being

a scandal and a bigger issue than what the president said. what is explosive is the whole notion that targeting of conservative groups is going on now. that we don't know. and the justice department investigation from what i can see doesn't look to be all that substanti substantial. that is an explosive allegation to deal with. >> monica, in the beginning of this, the president came out and said you cannot and i am paraphrasing, you cannot mess with the trust of the irs. this is a serious issue and i don't care if this is democrats or republicans we need to get to the bottom. and his own attorneys at the justice department are saying we cannot discuss this. it is ongoing. and mitchell is saying there is no investigation. >> yeah, exactly right.

she is saying that because not a single conservative or tea party group has been interviewed, not a single religious group that was targeted has been interviewed by the fbi or doj. remember when the story broke in the spring and the president came out and told the american people he was outraged and determined to get to the bottom. he is changing his tune and now and it is a phony scandal. what we saw from the new york times, friends of aid, have their peer-to-peer applications v application pending. >> this is about the suppression of people. they are asked who do you prayer

for? what books do you read? even if it was the truth it went back to somebody in cincinnati you need to do an investigation and make sure someone is held accountable. this is becky garrison and let's listen to what she had to say: >> i am in grief for my beloved county. eight months ago, i and eight other victims laid out information and heard details about donor information being linked when this is a felony. we learned of violations of the first and fifth amendment. and we learned of violations of the internal revenue code.

learner lied and blamed the scandal on cincinnati agents, but knowing it involved offices across the countries. government employees don't go rogue in mass. they have ordered originating somewhere. i have to ask how many people in congress are taking this seriously? since my last testimony in congress, i still haven't been contacted by the fbi. the fbi said no one is going to be charged with a crime. but they have not interviewed the witnesses. are you going to let them get away with this? my government has forgotten its

place. >> what would you say? >> i would say there needs to be a creditable investigation. this is suppressing free speech. and the other point is who initiated this. it is clear it is coming from washington. douglas shultz went to the white house 708 times, did he only discuss the affordable care act? we need to get to the bottom of it. and we have not. >> the president is claiming he never spoke with him on any of those visit and he was there on acs and irs business. we have to leave it there. watching the hearing off camera and we will dive deeper into the that. and new details on a sniper attack an a power station. could this have been a terrorist

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>> certainly possible. they cut phone lines and i think this is a chance it was pre-meditated and could have been a probe. it is criminal. but i'm not sure it is terrorist. could be domestic or international. >> about an hour before the

police got there, they were gone. when you think about dry runs does this concern you as a guy looking at it >> absolutely. we were on television and i h e remember the blackouts. safety, security, lights, power to hospitals, schools, traffic lights, air traffic control. the wall street journal told us that the russians and chinese mapped our electrical grid in case they want to shut off the lights on us. it is critically important to our safety and it is definitely a target. >> reading this from the wall

street journal who worked there: this was well-thought out and well-planned and they targeted certainly components. why would you go after a power station? how much and how much would that cripp cripp cripplealize? >> they would learn they would have to do it differently. maybe next time it would be explosives instead of automatic weapons. it could be a dry run in that way. this story took a year to surface. that is how concerned the energy industry is about it. >> are you suggesting they were trying to keep it quite? >> yes, absolutely.

we don't know who did it. that is why i cannot say criminal or terrorism or something different. but this is a wake-up call about the vulnerability of our electrical structure. >> they shot for 19 minutes and were able to shot out 17 giant transformers in silicone valley and took 27 days to get it back to 100%. thank you, peter brooks, from washington. new testimony coming from the irs hearing we are watching. multiple witnesses claiming that the targeting of conservative groups isn't over and on-going. senator lindsey gram is here next lt.

grahlindsay graham

>> we are back and watching this irs testimony on capital this morning. the attorney jay secular who you have seen on our program representing 61 of the conser

conservative groups that claim they experienced delays and it is was targeted. here is what jay said about revelations regarding an e-mail. >> this was targeted discrimination and i would like to address your view is that came from the highest ranks of the internal service. an e-mail was sent by lois learner who pled the fifth amendment. based on the evidence coming out if i were her lawyer i would tell her to do that. an e-mail was sent from lois, to the department of treasury to

janine cook, associate counselor of the tax exempt entity and the to others from the same department and to the associate chief counsel for tax exempt and a senior advisor who conducted a probe for steven miller months before this e-mail. what was this e-mail? it was an e-mail we will work quote offplan to devise rules to curtail 501c organizations. that is different two some rogue employees. there is serious liability. >> that is moments ago. let's bring in lindsay graham,

south carolina republican, thank you for being here this morning. >> thank you. >> these are explosive hearings we are witnesses and what do you make of what the attorney said? >> i think it is representation of what the president's administration was doing. the president said there was not a bit of corruption and how does he know that if the investigation is ongoing and how could you say that when learner pled the fifth amendment. if this e-mail doesn't wake up the justice department to criminal activity, nothing will. >> i would guess the president regrets saying this. this wasn't getting attention until he claimed the investigation is over. there have been hearings on that and it is done he said.

that is what has been bringing attention back to the story. >> i hate to say this about the president, but he isn't a trustworthy fellow when it comes to scandals. when he signed to health care law about liking your plan and you can keep it, it will be within the budget, he is telling us things we want to hear. he tells the nation there is not a smidge of corruption when the person in charge is pleading the fifth amendment and you have an e-mail talking about a plan to go after people, and you got benghazi where he is talking about a protest that never happened, i hope people are putting the puzzle together that is president himself isn't a reliable person to talk about mistakes on his watch. >> i want to get more specific

about the e-mail so people can know what was in here. this is an excerpt from a treasury attorney e-mail and says i don't know who in our organization is keeping tabs on c-4s but since we mentioned potentially addressing them, offplan, in 2013, i have may radar up and this seemed interesting. it goes back to 2010 in terms of scrutiny and it is stunning the president believes this is over especially since mitchell says it is still going on today. >> i asked the attorney general if there is still on ongoing criminal investigation and i

asked how many people have been interviewed and from what i can tell, none have been talked to by the lady investigation this. look at the chris christy investigation, look how much has been spent on that. this e-mail traffic is showing it isn't rogue people in cincinnati, you have people overseeing tax exempt groups talking about is strategy and that is a conspiracy against people in cincinnati and other places. that is why she took the fifth amendment. she is exposed to illegal behavior here. and the deputy director of the cia got an e-mail on the 15th of

september from the station chief in benghazi saying this wasn't a protest. and then you have susan rice the next day going on television telling the country it was a protest, which was politically beneficial to the president. >> you touched on three areas where the president is swore he would get to the bottom -- >> the bottom is very shallow in his world. >> senator lindsay graham, thank you so much >> a tray goudy, a republican from south carolina let the hearing have it and he will hear what he said in the moment.

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hotter by the moment. trey gowdy asking the panel the following questions a moment ago. the witness claim the targeting hasn't stopped. >> did you hear the president t corruption? >> yes, i have heard that. >> smidge isn't a legal term. but i am assume he meant corruption. have you been interviewed? >> no, sir. >> and three were asked to be interviewed. 0 of 41 have been interviewed. >> correct. >> so the president says there

is not a smidge of corruption. do you remembering seeing lois learner invoking her right to silence privilege? some of your groups want to educate people about the constitution, the one she availed herself of the second he was exposed to criminal investigation. how can the president say there is not a smidge of criminality when lois invoked her right to to be silent? >> new york senator here with usoand a fox news contributocon.

what do you make of the meeting? >> there are are trail of e-mails they are saying that contradicts the fact this wasn't planned. some of people harassed seems this calls for a real investigation. >> if 41 of the groups haven't been talked to, what does it suggest? >> it is is cover-up. we let the time go by and home no one comes back. you have to be mindlessly persistent if you want to get to the bottom. and most people don't the time and those in government even don't have the time to continue.

the media dropped it and walked away. >> if you have not been talked to and no one is asking you questions, that would suggest the investigation is not being taken seriously? >> correct. and that is suggest there is no real investigation going on. and there is an attempt to just kill it by delay, delay. >> is that, senator, possible? >> oh, yeah. if you have a justice department that does not want to get to the bottom of this because they don't want to uncover -- and by the way, i would give learner immunity. they should call her back because you are not after her as such. >> you are looking for the information. >> you want to facts and who is the person that ordered this. bring her back.

fellowed down there, my former colleagues down there, bring her back and give her immunity and get the facts. that is what they should have done before and shouldn't have allowed this to linger out there. >> from sunday afternoon here is the president on corruption. >> you are saying there is no corruption? >> that is not what i am saying. you are saying no corruption? >> there were bone-head decisions but not mass corruption. >> that was four days ago. do we see that in a different light? >> it is generally the cover-up that is worse than the deed. the corruption of any is this failure to get to the bottom of

this. the failure to say who did what and why. the bad problem is we have the justice department that is not pursuing this. if there is nothing there, and a bone headed decisions made by people get out. >> could it be bone headed? or are you smelling more smoke? >> i believe these groups were targeted. what laws are they breaking when you use the irs to target people for political purposes? is that a violation of law? it is an abuse of power and should be exposed. more to come on that and also this: after spending two year behind bars for a protest performance in moscow, two members of a russian band are sending their president a

message just in time for the winter olympics in sochi. so muchi

>> sochi olympics are getting underway and they have been plagued with bad plumbing, lack of water and others. there is talk now from group that was freed by the president there. they were in new york after not playing in six year. >> it is my honor to introduce

pussy riot. >> i think they are heroes. they are everything that amnesty stands for. >> reporter: they bursted on to the national seen after outing the injustice of the president and the orthodox church. they were convicted and charged with a crime. in prison for two years, they went on hunger strikes to protest alleged abuses by the staff. >> they can keep on wanting to live behind bars as the feeling of compassion. >> reporter: they were released early and they claim so that

putin could avoid negative press during the olympics. >> taxpayer money has been stolen to build these objects. >> reporter: they have president for obama when it comes to transparency. >> i would say it is a call to not be afraid to say what your thoughts and feeling are as to what is happening in russia during your next visit. >> they are courageous young women and hope to get attention to their message. >> stunning new testimony: allegations the irs is still targeting conservative and tea party groups. the latest from that hearing on the hill next.

conspiracy conservative

conservative

today is throwback thursday and going to 1952 where britain's king george to six died. his daughter was crowned queen elizabeth the 2nd and more than 8,000 guest were there. she is britain's second running serving monarch and catching up quickly. a coworker here is dressed

like a guerilla and they sudated him later. the zoo director called it a success and the animal escape at the zoo last time was three years ago. but they are prepared. >> i think they had nothing to worry about. they have it under control. >> do not miss, later today, 2 p.m., clint eastwood's daughter talked to us on the real story. >> looking forward to that. and happy birthday to ronald regan. he would have been 103. >> happening now starts right now. see you back tomorrow. >> and breaking news on today's top headlines. >> court action for a women accused of killing her husband while he slept but she said it

was self defense. spl and why the postal service is getting into the banking business. >> and off the top, a new olympic terror threat just as olympic games begin. >> hope you are off to a great start. >> they are warning to be on the look out for tubes of cosmetics or toothpaste because there maybe explosives in them. how are security officials taking the threat? >> they are taking it