and sound off at bill o'reilly at foxnews.com and name and town if you wish to opine. thanks for watching us tonight. o'reilly, the spin stops here. we're definitely looking out for you. i'm megyn kelly live in new york city and tonight. >> president obama accused of ignoring the scandal of neglected veterans as we learn his team was told about the problems back in 2008. >> my concern is that the obama administration will treat this scandal like it does all the others, like a political crisis. >> senator mitch mcconnell. >> i want to know what is going to jail. >> possible details on legal problems who may have been encouraging the irs and breaking

news for dads everywhere as we get a shocking ruling in a custody battle for a hollywood star who hasn't seen his four-year-old son in a year. it all starts on a busy "kelly file" right now. and breaking tonight, stunning new revelations in the scandal rocking the veterans affairs department and now engulfing the presidency. welcome to the "kelly file", everyone. i'm megyn kelly back from vacation. some of the biggest veterans groups are accusing president obama of watching from the sidelines as americans learn of alleged failures throughout the va medical system, some of which may have costs lives. those acquisitions coming, even thoerks though as a candidate and in office the president vowed to confront the issues head on. >> no veteran should have to fill out a 23-page claim to get care or wait months, even years to get an appointment at the va. >> america will not let you down. we will take care of our own.

let us commit ourselves to keep making sure that our veterans receive the care and benefits they have earned, the opportunity they defend and deserve. >> and now we learn that then president elect obama was warned of the very problems we are now learning about today, six years ago, i mean, the exact problems, not just the long wait times but false falsifying reports. it was last month the allegations exploded at the phoenix va, whistle-blowers including a doctor said veterans waiting for appointments were being hidden on secret lists and dozens of veterans may have died without seeing a doctor. since then, claims of serious va misconduct have been reported in now 19 states and today, a new

report alleging that since 2001, the va has paid out more than $36 million to settle nearly 200 cases related to delays in medical treatment. yesterday the national commander of the american legion demanded to know why the president stayed so silent. >> we need the white house, the president to come forward. he needs to make a statement to show the employees of va that this needs to change now. one death is tragic, but when you hide it, that's unforgivable. >> our chief white house co correspondent ed henry is live tonight, ed. >> reporter: the white house not only admitted they were warned during that presidential transition in 2008 but said the president was aware of these big problems at the va in general. back in 2007, which is why one of those clips you played was the speech of the vfw where the

president said there was a sacred trust to make sure veterans would get their benefits, that trust may be shattered as you noted. this reached 19 states in terms of allegations of secret waits lists and the like. is this an effort to deceive at the hospitals rather than rogue employees or elsewhere as for the washington times report about the 2008 presidential transition. that confirms this started in the bush administration, but obviously, carried over into the obama administration, which is why jay carney was pressured today. >> if you're wondering about it in the transition, wouldn't you do something in 2009, 2010 -- >> absolutely, which we asked for and received cofrom congres >> it's not getting to the veterans. >> that's simply not the case. you have more veterans being

served through help centers around the country. >> whistle-blowers are disagreeing on whether or not benefits are actually getting to the veterans. on the question whether or not the president will speak out, his aids say he is matter than hell and will speak out soon on this. we'll see if that happens. jay carney said in terms of allegations in phoenix, the president learned from media reports. >> the president has spoken out on this one time and tell us why and when that happened, ed. >> it was the end of april, a news conference in minnelli. he called on me for a question. i asked him two questions, one about foreign policy and one about this scandal. the phoenix scandal had just broken and i thought it was an important issue to get the president on the record. at that time he did not express outrage. he did not say he was madder than hell as the white house is saying. in fairness, it was early in the story. that was weeks ago. a lot has happened since then. we don't know why he's not spoken out.

>> what we don't know, it was not early in the story, early in the media's coverage of the story but not early in the story and we find out from the washington times not early in the white house's knowledge. ed, good of you to be here. >> despite the president's repeated promises to stay on top of the va and fix these problems that he was warned about, press secretary jay carney today had to admit to reporters that president obama first heard about the phoenix va allegations on the news. >> when was the president first made aware of these problems, these fraud lists being kept -- >> specific allegations i think were reported first by your network out of phoenix, i believe, we learned about them through the report. >> joining me now for an exclusive interview, republican senate minority leader mitch mcconnell. sir, good of you to be here tonight. now we learn thanks to the washington times report confirmed, that they were warned, they weren't just warned the wait times were long, they

were specifically warned that the va department, that administration should not trust the wait times that the medical facilities were reporting, that they were recommending a va inspector general should take hold and test the accuracy of reported wait times, and yet, and yet senator, it appears that was not done. the numbers were accepted or certainly there has been something has gone wrong because now all these years later, the problem appears to be worse than ever. you're reaction? >> look, the va has been a problem for a long time. it's nice that the president is mad as hell but why didn't he have the kind of attention applied to this he did to the obamacare website? multiple press conferences, multiple communications with the american people. look, this is a huge problem. he needs to step up to the plate. don't try to blame it on bush or republicans in congress. he's the ceo of the country.

the va reports to him. he ought to have the same kind of interest in this that he did in the obamacare website and that obamacare law in general. make it a top priority, shape these people up. it doesn't make any difference that he just heard about phoenix in april, we've known for years that the va backlog was enormous. i had the secretary of veterans administration in my office a year and a half ago on the same subject and other members have, as well. this has not to been a secret t va was not doing right by our veterans. >> and yet, it takes it to another level when there is specific warning or knowledge the numbers are being falsified. not only veterans waiting too long but data coming in from the va facilities is false, misrepresented and cannot be relied upon. no one can know without doing an audit how bad the situation is. you mentioned the republicans.

according to the same reports now, nine recommendations arising from inspector general audits from 2005 to 2007 were not implemented by 2008. so both of these administrations have a dreadful history on this, however, we have to deal with the one we have in office now. my question to you is what can be done? is this on shinseki? is this on president obama? he's commander in chief. shinseki is chief of veterans foreign affairs. does this man have to go? >> it's a management problem, not money problem. so it's obvious the management team needs to be changed to address this problem. this is -- you know, i'm not saying there were no problems in va back during the buescher sh . in 2006 they announced a news v new hospital and eight years later they haven't broken ground yet. this whole agency is completely

out of control, and as you indicated, it may rise to the level of actually getting people killed because of the incompetence and failure to service these wonderful veterans who deserve our finest care. >> what do you make of the fact that the president has yet to specifically come out and make a statement on this, as opposed to, you know, one answer to one question, our own ed henry pressed him on? >> as i said, he need s to put the same kind of personal attention to this on the obamacare websites. this is much more important. these men and women have sacrificed for our country. we promised them the best possible care. this is a promise that needs to be kept. >> tomorrow is primary day for you. you've had a tough challenge from the tea party contender. you're ahead in the polls and yet, they are saying if you win, you may have a tight reelection battle and some republicans may stay home and may not be motivated because they like the

tea party candidate who is challenging you. how do you motivate those people and get them out? >> look, after, we had a big primary in 2010 between ran paul and incredible opponent to him and right after the primary, everybody who supported the losers said i won't support senator paul. by the time the election rolled around. over 90% of kentucky republicans supported senator paul and won. there are always hurt feelings. we'll bring the party together. this state is not a state that's hospitable. the president carried four out of 120 counties and launched a war on cole and we have a depression in the cole fields of eastern kentucky. i'm confident the voters of kentucky won't send somebody to the senate to make harry reid the majority leader once again, a guy who says coal makes you sick and provide another vote for barack obama. that's not going to happen in the commonwealth of kentucky.

>> minority leader, thank you for being here. we'll watch the results tomorrow night. >> thank you, megyn. >> all the best to you. >> we'll have those tonight as well as other primaries taking place tomorrow. >> new questions about what the nightmare of the va may tell you about the future of obamacare. plus, a "kelly file" television exclusive. we'll speak with the benham brothers that almost saw their business impose because of their believes. see what happened at the 11th hour. possible legal problems for democrats if they encouraged the irs to target conservative groups. judge napolitano was next. >> there was bone head decisions -- >> bone head -- >> but no mass corruption? >> but no mass corruption? >> not evensked people a simple question: in retirement, will you outlive your money?

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let's start with carl leaven and whether he or potentially other democrats who medaled in the relationship between the irs and citizenry could potentially face charges because now it's come out that carl leaven was very active in pushing the irs to look into the tax exempt status of certain inparticular groups. >> from the information i released, the same people that got documents on benghazi. >> they have been busy. >> the house committee couldn't get, that's investigating, it is apparent that senator leaven has taken the lead. senator leaven actually asked for documents from the irs that the irs said you should know better. >> the irs went too far. >> big picture, it appears that a group of democrats in the congress have pressured the irs and executives in the irs, most probably this woman lois lerner, caved into that pressure to

exercise their power to infringe on the free speech and association l rights of americans in an effort to null fie or reduce the effect of a supreme court opinion with which the president disagreed. >> citizens united which allowed political speech by corporations. >> to translate this in plain english, when somebody who works for the government uses the power the government has given them in their job to interfere with a private person expressing his political views or associating with other people, that's a federal crime. if the justice department had the courage and the fidelity to the contusion to prosecute these people, there would be some targets on the heads of well-known public officials. >> i looked at the law myself. i'm not sure whether this could be a criminal offense. i see the argument for it but sounds like a stretch to me. however, talk about the basic liberty threat when we have u.s. senators calling up the tax

agency saying give me documents about this applicant for tax exempt status because i, senator leaven think there is funny business going on. >> sometimes the greatest threat to liberty does not come when somebody puts a gun in your face and says do it or else. it's when they are so close to you with their power that they chill you, that is a technical legal phrase with which you're familiar, meaning you're afraid to exercise your freedom for fear you will have to tangle with that government -- >> because they are not equals. the irs and senator leaven are not equal. >> correct, he's the chair of a committee that leg rates them and controls their budget. he's saying use this money we've given to you, use the power the statutes have given you to silence conservatives because we don't like the way the supreme court unleashed to them, that could very well have the effect of silencing them, whether the irs does it or not. >> you have to be more careful, not less when you have that

power in dealing with an agency like the irs that has substantial powers. this group of republicans has been trying to get a list from the irs of all the lawmakers that its been talking to or did by the leadup to the irs targeting scandal, who was pushing you saying go after them. >> right. >> they can't get them to respond. it's been a year and they keep getting responses saying we need another delay, we need another delay. >> they want to delay this in barack obama is out of office and they hope this will dodge -- >> how can they get away with that? >> this might not die because the person who replaces barack obama maybe from the other party and that person's prosecutors may prosecute these people, it will not be too late to do it. the republicans in congress should not let them get away with this, the house of representatives should sing its teeth in it because republicans out number harry -- you said mitch mcconnell on. sometimes i feel sorry for him. everything he wants to do is

blocked by harry reid. the republicans have the majority in the house and can do with the irs what they are about to do with benghazi, investigate it. >> judge, good to see you. >> good to see you. the va scandal and what lessons it may have for the future health care of every american and a showdown shaping up between republicans and the first lady, see what is up with this. a "kelly file" exclusive, the benham brothers on conservative believes that got their upcoming tv show cancelled and much more. predicting the future is a pretty difficult thing to do. but, manufacturing in the united states means advanced technology. we learned that technology allows us to be craft oriented. no one's losing their job. there's no beer robot that has suddenly chased them out.

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it was unbelievable what took place, but one thing that we want to encourage americans is that it's so important right now. there is a fracture in our nation and religious liberty and freedom to think and express our believes is right now fractured, and our nation needs us. >> well, that was the benham brothers in a video over the weekend thanking supporters after a wild few weeks that included hg tv cancelling plans to do a reality tv show with the brothers and last week after their series got pulled before it started to air, sun trust bank appeared to cut ties with the benham brothers due to their conservative believes. after pressure mounted, the bank said it was all a big misunderstanding. we didn't try to cancel them, and they apologized. tonight the "kelly file" television exclusive. the brothers are here.

jason and david benham are with the benham real estate group. let me start with sun trust that apparently seen the light after saying they didn't even want to do business with you and you have franchises, you're real estate agents and they help you and severed all ties and within a couple hours, they said we love them. what? now they claim it was all a big misunderstanding, some third party really did the cancelling and they slapped that third party on the wrist. do you buy it? let me ask you, jason? >> well, when we were fired by the third party, we had a feeling it was directly from sun trust, so we went to sun trust and said can you tell us why and will you change your mind? within a matter of a few hours, they said we can hire and fire whoever we so choose. we asked for a direct answer and got an indirect one. so we made the conversation public and within a matter of about eight hours, we received all our properties back, so did

our franchises with an apology from the president. they flipped the decision and done the right thing. >> it's incredible the backlash against you for your conservative or more traditional views, and just so the viewers are not confused, walk us through, that david. i know your father said controversial things but let's talk about you. you were the ones that were going to be featured in the hg tv series. what are your views on the gays and quote homosexual agenda that people find so offensive. >> well, our views are biblical views that any type of sex outside of the context of marriage between a man and a woman is not healthy for human beings and definitely not good for a nation that approves of it. it's very much like a fireplace. it's very -- fire inside of a fireplace is romantic, it warms your home, heats your food but once it gets out of the fireplace it's dangerous. that's the same thing for any

type of sex, homosexual sex, hetero sexual sex and i was listening to the "kelly file" when a woman said my views were extremist views. if i could elaborate on my extremist views, i do believe marriage is between a man and woman. that's 2,000 years of christian history. i believe in the sanltty of human life that little babies in a mother's womb are human beings and the bible has values that are good for humans, human flourishing and a nation. i agree with george washington when he said of all the dispositions and actions that lead to political prosperity, religion and morality are in -- >> i got you. we're not at a point yet where folks who believe as you do, have a meeting of the minds or come to a resolution with people who are in loving, supportive, gay or lesbian relationships and want to express that love in the same way as a man and woman do

by getting married and the future will resolve this in one way aranothor another. you guys talk about there is an agenda to silence the nation based on one's believes. talk about that. >> we believe there is an agenda to silence. they are not concerned with the fact that we have faith. they just don't want us to be vocal about our faith. my brother and i love all people. the reason we love all people regardless of their belief is because god lives inside of us and we know that if we love god, we naturally will love people and so in doing that, when you present truth, which is an absolute standard, handed down by god, that's something that a lot of folks don't like anymore -- >> they don't see it like that. are you looking to -- if you have somebody whose big on gay marriage or a forceful advocate for gay rights, do you believe in stopping that speech and taking away a platform that

person may have? >> absolutely not. they have the right as americans in this nation to speak. that's the beauty of america. it doesn't mean that their right or we're wrong. they have the right as americans. the great thing about religious freedom in america is the fact, the bible sets people free. we see with other religions like this lady in sudan if she doesn't renounce her faith she dies. it's very important that we understand that people do have religious freedom. there is a conversation that we can have -- >> i got to run. it will be interesting to see what happens because hg tv is having the same pressure to reverse, we'll see what happens there, guys. see you soon. >> thank you, megyn. up next, charles on the va scandal and the bigger message to america and a victory for a hollywood actor in his fight to become a father.

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well, developing tonight, a political activist is under

arrest in the runup to a hotly contested gop primary in mississippi. this story is about as ugly as it gets with acquisitions the political operative sneaked into a nursing home to take pictures of a candidate's bed-ridden wife? chief washington correspondent james rosen has the story. megy. the republican primary battle in the mississippi senate race is seen as the tea party's best chance to knock off an incumbent but this incident could change that. 28-year-old blogger clayton kelly of pearl, mississippi was ordered held on $100,000 bond sunday following his arrest friday for allegedly sneaking into an assisted living facility in madison, photographing a woman named rose cochran and uploading the images to youtube. kelly faces a felony charge of exploding a vulnerable adult. rose cochran is the wife of the sixth term republican fighting

for reelection. chris mcdaniel a tea party favorite, his campaign manager called cochran saturday to say about kelly's act. >> we have no idea who he is. there was stuff several months ago where this guy was doing some insane stuff online. we found out about it, chris and immediately got volunteers to find the source. >> they told fox news no one on staff made contact with the accused man but kelly did have his photo taken with mcdaniel. they said their man leading cochran but the polls were conducted before news of the arrest broke, megyn? >> we are seeing new questions being raised about the nightmare in the veterans affairs medical system and what it may reveal about the future of obamacare. charles is a fox news

contributor, columnist and author of things that matter which is still on "the new york times" best sellers list. great to see you. tonight as we see how wide-spread the scandal is, over 19 va facilities involved in this and not just long wait times but more and more the covering up of the wait times says what to you about government health care and obama care in the united states? >> well, there is a connection between the underlying crime, if you like, and the coverup. the reason that there was this coverup was because there were these long delays, and as a result, they had to give out false information about people being seen. well, the question is why are these long delays? and it's not very hard to understand. the va system is the only system we have, excuse me, in the country that is entirely

government run very much like the british system and canadian. they deliver it from beginning to end. what is the incentive? the doctors are on salary. there is zero incentive for them to see any patients and in one study that came out and came published in the daily beast from albuquerque, they found out that the eight members of the cardiology unit in the va hospital were seeing on average as many patients per week as a single private practice card ol' gist in the area. you have incentive to produce. you're paid on a salary, you don't. that works for health care, that works for the making of cement. it's the reason why in the soviet union there is cement. the economy was disastrous and we have a robust market in cement. as a result, in those kinds of

publicly run systems, you get tremendous inefficient. >> the president came out not long ago and tried to speak to this by saying look, i know i made promises running for office and right after i took office but the backlog has been worse than we expected thanks in large part the to the number of veterans who we now are servicing. the president is going to have to speak to this at some point, he's going to have to. are we likely to hear him blame the influx of patients again? >> well, that's because for obama, everything that goes wrong under his watch is either the result of the push administration or of climate change. i'm waiting to hear how climate change has been the cause of the influx of patients. look, this is preposterous. the president spoke about this in 2009. he knew about the long wait times. there was no question about a major unexpected influx.

he said we're on this. we're going to fix this. we're going to do this, and now what does he say? through his chief of staff, i am madder than hell about this as if he stumbled upon this problem the way he stumbles upon everything in his administration from the irs scandal to the disastrous launch of the obamacare website. >> we'll have a major influx in many doctors offices as well thanks to obamacare and subsides being provided. let me ask you about this as a political matter, charles, because we're being told the democrats are running from this as fast as they possibly can run. it was a problem under president bush, the problem appears to have grown worse under president obama. who gets charred with this? >> administration in charge. there is nowhere to hide on this one. what is amazing is how obama has been hiding, hasn't said a word about this speaking through his chief of staff.

this is a problem now becoming so wide spread as you showed in all those states and so close to home, so much of people's hearts there is nowhere to hide. he'll have to take responsibility. shinseki like sebelius is going to have to go and announce some major restructuring, anything short of that and the democrats are going to suffer mightily. >> charles, great to see you. >> pleasure. well, we are getting news of a major legal victory in just the last few hours now. this is an update for a hollywood actor in his fight to be called a father. this is a story that should matter to dads and moms everywhere. you would be surprised how common the situation he found himself in is. jason patrick joins me for an update on his high-profile paternity case. >> i feel for my child. this is not about a father's right, a mother's right, but a child's right.

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well a major about face in a high-profile custody case. tonight jason patrick is one step closer to being reunited with his 4-year-old son gues. he can get a new trial to establish his rights as a father. the appeals court said they will find a way for this man to have his day in court. this is the last time he had contact with his son 65 weeks ago, the same day a lower court deemed patrick just a sperm donor based on a law that says sperm donors have no legal rights to the children if the fathers are not married to the mothers and do not sign a contract otherwise. he's been p in an epic custody battle with the child's mother who was an ex-girlfriend. what a stunning ruling. they had to reject an earlier

ruling on the book and they did it themselves for being too broad in their initial ruling and said they hadn't forseen cases like yours and as a result, you get to fight for custody of your son. your thoughts? >> well, i mean, obviously i'm relieved and happy because it's going to have effect on many other couples and, you know e people that are just fighting to be with their children. of course, the fact that it's taken 65 weeks and their actual ruling was verbatim what my lawyer argued 65 weeks ago to the point they sited the same cases, which is disturbing you have a trial judge that would air so badly. >> the trial judge said i agree the best interest of the child is to be with his father and have his natural father in his life but i have to follow the law in the books in california. the reason its there is to protect women, and couples who go in and get a sperm donation who want no relationship with

the sperm donor and the dow narcot -- donor comes back in. that's not your case. >> not my case and in many acts, there are several statutes that you use to prove something and there are many stood constitutes to prove that and i was barred from showing the basic one, which is i took the boy into my home and held him out as my own. i was barred from doing that. the appeal court said you should never be barred from doing that. >> it's a crazy situation where you have a biological father who wants to be in the child's life, who has been called dada by the child for the first three years of his life. the mother acknowledges the role and they break up and the mother says you're just a sperm donor it's done. in gus's life it was like your were the disappearing parent once the mother made that decision. >> i split up with her and he never saw me again. this is just a form former al n.

it's happening all over the country in different ways. you don't need to have money. you can have custody and shut the door or you don't let that child talk to the other parent that's trying to be part of their life. it's a form of abuse going on far too long and as painful as this is for me, i've been connected to other people desperately trying to be part of other people's life so i'm standing up for gus and we raised money and forms and legal aid. so please, if you're suffering, go to stand up for gus.com and donate and connect with legal advice -- >> this law is -- it's not just california and modified versions. here is what i want to ask you, your ex says she's going to appeal that ruling and she doesn't want you to have

visitation of gus while she pursues that appeal. tonight, you got a ruling on when the hearing will be on whether you will have visitation rights. what did they say? >> well, i mean, once again, the shiebers are doing anything they can to keep me away from my son, so they are going to try to take it to the supreme court level and they tried to get dismissed my petition to have visitation reenstated pending the new trial and that judge said no on may 28th, we are going to hear and have a wearing about this visitation being restraated. another small victory he's saying no, this man deserves a day in court to say why this vesation should be reenstated and i believe this tide has turned in the best interest of the child is absolutely going to be taken into play and i have great faith i'll see my son soon. >> it was completely irrelevant under the law. >> unbelievable. >> considered it all like, we'll

tell them what is in the best interest and follow the letter of the law, even if it's bad. jason, incredible ruling. as a lawyer, i read it and surprised the court of appeals went so strongly in your favor. all best to you. >> thank you. >> all the best to you. we want to know what you think about this paternity case that affects not just jason patrick, but soso many potential parentsa and up next, did someone sah foodfight? a show dpoun shaping up between republicans and the first lady over lunches. ♪ (woman) this place has got really good chocolate shakes. (growls) (man) that's a good look for you. (woman) that was fun. (man) yeah. (man) let me help you out with the..

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♪ ♪ those students got creative to drew attention to their complaints. they are sage we're hungry in the videos. changes brought about by the first lady and her campaign for healthier choices. republicans are picking up where those students left off. trace gallagher has the story. >> the schools are being forced to serve this but can't force the kids to eat it, so what is happening is students are buying fewer and fewer healthy meals and the cost of the food goes up and schools lose money. the three big rules of the healthy hunger kids act, 50% of the grains have been to be whole, 100% come july but look, many kids won't eat whole wheat pasta, tortillas or brown rice. sodium levels have to be lower

but the lower the sodium levels get,milk, cheese and meat get eased out and fruit and vegetables at every male, that's lead to 100% increase in wasted fruits and vegetables. >> when the fruits and vegetables go into the trash can it's not economically a good thing for anybody, the students, school, or the department that's serving it. >> critics don't want to eliminate the program, just slow down the implantation. the house appropriations committee wants schools that are losing money to get one year a waiver to compile. some groups are vowing to fight that, listen to them. >> allowing unlimited amounts of sodium and not worrying about fat standers and not requiring kids to take a fruit or vegetable is one simple part of that lunch would definitely be a

move in the wrong direction. >> the word is, megyn, the first lady is vowing to fight any changes. she has not yet spoken publicly about this. >> the problem the veg tabs weren't present or the kids didn't want them to begin with. they may have been wrongly assuming one of those, trace, good to see you. we'll be right back, plus, "hannity" coming up at the top cars are driven by people. they're why we innovate. they're who we protect. they're why we make life less complicated. it's about people. we are volvo of sweden.

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anticipated 9/11 museum will open but a sneak peak what is inside including the controversial al qaeda film the museum will show. dennis michael lynch joins us tomorrow night with the video. sedvr now for the "kelly file." see you then. and this is a fox news alert, the white house knew, now the washington times is reporting that the obama administration was notified about scheduling problems and delayed care at multiple veterans affairs hospitals, more than five years ago. the paper obtained materials through the freedom of information about request proving that the va officials warned the obama biden transition team in 2008. this is not only a data integrity issue in which the veterans health administration reports on reliable performance data but effects quality care by delaying or denying vets timely care. ed henry is standing by at the white house tonight with the very latest how