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as of now, the message back from its own party appears to be you're not the boss of us. it is a stunning reversal of events. remember, just one year ago, democrats across the board slammed republicans, 2013 shut down. calling them unhinged, and referring to them as hostage takers. with president obama leading the charge. >> the american people are not pawns in a political game. you don't get to demand ransom in exchange for keeping the government running. you don't get to demand ransom in exchange for keeping the economy running. you don't get to demand ransom for doing your most-basic job.

so pass a budget and the government shut down. >> americans are tired of this knock down, drag out debt fight. the way is to set a sensible policy for regular order. through dangerous hostage taking. >> now, with only three days left, republicans are threatening a shut down this is the most-irresponsible way to negotiate a budget. >> ed henry reports the breaking news. >> the situation here at the white house tonight because the shoe is on the other foot. you now have a small minority of democrats, not republicans threatening to blow this up. you have potential for a government shut down. saying it is just under five minutes from now. and so that continuing

resolution to keep the government open. house republicans think there are things in there that will hurt the middle class and upset about roll backs of wall street reforms and house democrats championed. if this were to survive a vote in the house, you then have a second problem for the president which is a fellow democrat again this is why it's a two-fold revolt. in the senate, elizabeth warren saying she'll hold all of this up so what i think is going on tonight is that this is the first big test post election of the president's juice he came out through his spokesman and said after much contemplation we want house and senate democrats to support this. they're revolting including

nancy pelosi. we're told we have enough votes to show them never to do this again. not talking about them being republicans but them being the white house. they're upset starting with nancy pelosi as the they're trying to jam this down democrats' throats. other point is what is the president doing now? he was calling lawmakers earlier and now in a christmas party behind me. someone said they're out of line to take a photo and all of a sudden secret service shut down the line and said the president has to go take care of business he went into a room and just came back to take more photos. not sure what happened in that room. expecting to sort out what is next here. >> latest from our producer is that they do not think this is going to pass.

and thank you. we'll get to nancy pelosi. she's with those liberal democrats and against the white house. really? listen, what a difference a year makes back in 2013 top democrats were saying republicans have lost their minds. they were irrational. those are the nice comments. and we heard democrats calling democrats unhinged and hostage takers. when they do it, it's just fine. chris stierwalt lives for this stuff. chris? we'll get to nancy pelosi in just a moment. this is hostage taking and ransom. this is not how democracy functions >> they learned and figured out that ted cruz and republicans that have been able to take a

small number of members of congress and drive policy discussions by engaging in brinksmanship, they can do it, too. >> they told us they didn't like that. and told us senator cruz was crazy. >> yes. it's now them and nancy pelosi says she's against it. she helped craft the deal and helped make the deal. elizabeth warren is -- >> nancy pelosi comes out and says she's disappointed in this white house, that they're going along with this. this is horrible. she crafted the deal. >> crafted the deal. >> she does not care what she d she'll say whatever she wants to say today. >> she's a politician. >> she's more unhinged than other politicians am i wrong? >> i don't have a richter scale. >> i have it here.

and says they are constantly like that. so keep going. she's reversed herself but the point is that these liberal dems are running from the deal and don't like other stuff but the real or kes straighter is not even in the house but in the senate. tell us. >> the only potential real challenger, the closest ally of wall street in the national political scene. so here is elizabeth warren. turning the congress on a dime, on the issue of helping wall street. >> right. she did not care what president obama wants. they don't care and they've got

marching orders from elizabeth warren who is pro shut down in this particular instance, leading the charge to get this thing shut down because that is what they think will happen if they can't get this thing passed. but elizabeth warren, you'll be shocked to hear did not always feel this way about the possibility of a government shut down. listen to her when it was republicans doing it. >> we can avoid a government shut down. republicans have refused to do that. these threats may continue but they're not working. and will never work because this is democracy. hostage tactics are the last resort for those who can't win their fights through elections. where this right wing minority hostage taking is all they have

left. a last gasp of those who can v cannot cope with the realities of our democracy the time has come that those legislatures who cannot cope with reality of our democracy to get out of the way. >> liz beth, hostage taking is all they have left. a last gasp for those who can't deal with reality. >> oh. >> i bet you'd like to have that line about winning elections back. and so there is a wall street and a host of things they have a nominee they're far from satisfied from and their party just got a spanking in november so they're acting out i promise you this, counselor. if democrats act on this, if they push it over the brink, they're going to have a test vote. we'll see what happened thchl is

a test vote to count the chickens. if they do this, can you imagine what parties will think and then forces a shut down? >> drama is going to happen and we want him to update us in terms we can understand because it's confusing but thing are falling apart there. the government is going to shut down and he's going to stay tuned and let us know. we may get word any moment now this bill is debt and a government shut down is potentially upon us. the minute there is news, we'll bring it to you. nancy pelosi now saying they were never told about these enhanced interrogation techniques you'll be shocked to learn there is evidence that that is not true. the cia says it's a lie. and we have a kelly file investigation into the truth next. ♪ ah, push it. ♪

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we are not, i repeat, were not told that waterboarding or any of these other enhanced interrogation methods were used. >> that was then-speaker of the house nancy pelosi back in 2009 flatout denying that she and her colleagues had been brief about the cia's enhanced interrogation techniques put in place after september 11th, a claim the politifact website then investigated and rated as false as you see here. claim the man in charge of the cia's interrogation program is also on the record saying was false. >> you personally briefed nancy pelosi? >> i did. >> about enhanced interrogation? >> we briefed her on the fourth of september 2002 about the interrogation of abu -- techniques used on him.

>> that senate report that's so quick to cast all the blame on the cia for these enhanced interrogation techniques, where exactly does it hold itself, the senate, its colleagues in the house accountable? john rizzo, who is acting general counsel of the cia with me tonight as well as republican congressman peter king member of the house intelligence committee. congressman king, good to see you tonight. nancy pelosi, dianne feinstein and others are quick to say the cia did bad things, bad things they didn't tell us about. and yet the cia's own documents, contemporaneous records show that at the time in that initial briefing that was back in 2002 right after they had first used these methods on zubedah, they sat down and provided, i quote, a description of the enhanced techniques that have been employed which included waterboarding. your take on what's going on here. >> yes. megyn, i was on the committee at that time, but i've spoken to a

number of people who were and they all say the only response of the members on the intelligence committee was why isn't more being done? nobody questioned what the cia was doing. no one doubted it. no one raised any human rights issues or any of the issues we hear about now. the emphasis at that time both on the intelligence committee and throughout the congress was to get as much information, do everything that was necessary and don't ask questions. just make sure we're not attacked again. that was the orders that were given to the intelligence community. >> when you look back and you see the statements, this is j. rockefeller, a democrat, who talked about the capture of ksm in 2003. he came out and said we need to be very, very tough with him. we should consider shipping him to a country with no laws against torture. i mean, the revisionist history now by some of these democrats, oh, we just wanted to chat with him. we would have scolded the cia if only we had known. >> megyn, this isn't just

revisionist history. this is absolute hypocrisy. and john rizzo, who you're having on, is the expert of this. he was there. he saw it firsthand. i was down here in the congress at the time. i heard all that same talk. and now to hear them act as if they were just somehow innocent bystanders off to the side. the only criticism i ever heard in those days was that the intelligence community did not do enough before 9/11 and to make sure they never ever made that mistake again. and so all the pressure, all the emptous, all the mood of congress was for the cia and entire intelligence community to do everything possible. so i am disgusted by the hypocrisy today. and i'll say every one of those cia people should get a medal for what they did. >> congressman, good to see you, peter king. joining me now former cia legal officer. john, good to see you tonight. so you heard mr. rodriguez say

specifically he briefed nancy pelosi and others. and the records show that briefing took place. were you there at the time? do you have an independent recollection of it? >> yes, i was there at the time and have an independent recollection of it. the other point, megyn, this was not just a one-time briefing. ms. pelosi and her senior colleagues including senator rockefeller were repeated a number of times periodically as the program was unfolding. so if they were going to express objection, they had ample opportunity to do so. >> so dianne feinstein comes out now, she didn't get on these committees until 2006 which is when her briefing started. but she comes out as if we weren't told, we weren't told and it's like she hasn't talked to her democratic colleagues who were told. >> yeah, absolutely. interesting the cia director in 2009 when pelosi made those statements was leon panetta, a close friend of pelosi, and even

he couldn't let those comments stand. he repudiated basically on record what ms. pelosi was saying. >> leon panetta said "there's no question that the interrogation program produced important, even critical intelligence." and yet today dianne feinstein and others are saying it is a fact that it did not. how are we at that place? >> it's somewhere between alice in wonderland and -- i don't know. >> what's going on? how are the american people supposed to sort this out? >> well, for one thing, they could read the detailed cia report. this was purely the democratic side of the senate intelligence committee. >> no one spoke with you. >> no one spoke with me. no one spoke with anybody at cia.

neither current nor former. unique in my experience, megyn. 35 years in investigation in the cia i've never seen a congressional committee that refused to actually try to talk to the people whose activities are investigated. >> you want to find out what happened at a briefing or meeting, it's helpful to speak with all the participants and not just nancy pelosi who's already been called a liar by politifact among others on this issue. >> well, you should also speak to people before you trash them publicly, which is what has happened here. >> but the viewers need to understand this is a democrat report. it is not a republican report. it's not a bipartisan report. it is a democrat report about something that they apparently have a lot of guilt over. i don't think they're feeling very good about having been effectively signed off on this program. but there are some issues on which they are standing on firm ground. in particular, you tell me if i'm wrong, the accusation that some individuals went beyond the authorizations that came from the department of justice and the briefings that were provided to congress.

there were instances of rogue behavior by cia agents, were there not? >> absolutely. this was not a perfectly run program. there were -- there was misconduct on the way. occasionally. not frequently. and cia self-reported itself to the department of justice reporting those abuses so the department of justice could investigate them. >> mr. rizzo, thank you for being here tonight. we appreciate your time. >> thank you, megyn. well, we also have some ugly e-mails leaked from hollywood tonight involving big donors and what they said behind closed doors about the president. plus, a new twist in the drama over the court decisions in ferguson and staten island. and how some law students are getting their final exams postponed due to their "existential worry." >> please don't shoot!

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>> the more liberal democrats hate it the more conservatives are going to love it. if this dismiss they have time to come back do a resolution to keep the government from shutting down again, tomorrow. >> that is so washington. how much is needed again? let me take a look. okay. >> you bet. >> well there is a dramatic story developing in hollywood tonight. computer hackers leaked e mails from movie studio executives who are also some of the president's biggest donors and these e mails are shocking in what they say. wonder why we didn't hear about this today? trace ghallager has more from our west coast newsroom. trace? >> it happened just before the president appeared at a hollywood fund-raiser in november, 2013. the head of sony pictures and

film producers were having a back and forth about what the president's favorite movies might be. the exchange began writing what should i ask the president at this stupid jeffrey breakfast? being jeffrey castenberg. respond would you like to finance some movies? i doubt it. rudin apologized, saying quote, i made remarks that were made to be fun rebut in the cold light of day are in fact thoughtless

and insensitive and not funny at all. and the content of my e mails were insensitive and inappropriate but are not an accurate reflection of who i am. if movies themselves are making progress, can the same be said for the people making the movie? >> it's unbelievable. and one wonders whether the same quote from the left, so quick to cry racism at every turn will hold these people to account for comments that went way beyond being insensitive and direct references to race. moments ago, stierwalt reported the g.o.p. now thinks it has the votes to save us from a government shut down after liberal democrats focus on this bipartisan budget deal. apparently he was calling the wrong people.

he should have been calling conservative republicans saying do you see how much they hate it? come on over. and new fox polls out with a troubling report card for the country. >> look. racism is a issue in this country and has been for a long time. i don't know if it's going to get better. it was improving. there is no doubt about that. anyone denying that is not living in reality. but that wound has been opened again. some is because of the submissive politics the white house is using. ikely to go away. ...on its own. so let's do something about it. premarin vaginal cream can help it provides estrogens to help rebuild vaginal tissue and make intercourse more comfortable. premarin vaginal cream treats vaginal changes due to menopause and moderate-to-severe painful intercourse caused by these changes.

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welcome to the modern world. if every driver in the u.s. kept here's a qtheir car's you: tires properly inflated, how many gallons of fuel could america save each year? up to 2 billion gallons? 4 billion? 6 billion? the answer is... up to 4 billion gallons. by keeping your tires properly inflated, you can increase your car's fuel economy and reduce its co2 emissions. take the energy quiz -- round 2. energy lives here. from the world headquarters of fox news, it's "the kelly file" with megyn kelly. new developments tonight on the issues of race, politics and criminal justice as we track the ongoing fallout after the ferguson and new york grand jury

decisions. today a number of congressional staffers walked out of work to show solidarity with the people protesting those decisions. they joined together on the steps of the house raising their hands, as you see here, in the hands up don't shoot gesture made popular by those in ferguson, missouri. all this as tonight fox news releases a new poll showing 62% of voters believe that race relations have gotten worse since barack obama became president. joining me now david clarke, the sheriff of milwaukee county. good to see you tonight. so 62% of americans believe that. and when you break it down, white and black, how race relations have done, 65% of whites believe that 55% of african-americans believe that race relations have gotten worse. are they right?

>> of course they're right. he built that. remember that statement, he didn't build that. it was a wound building for a number of decades i should say and he reopened it with his di visive comments. president obama has secured two successive electoral victories for the white house, but it's been very destructive for america. who would have thought that after the election of the first black president in the history of the united states that we would need a period of reconstruction to try to put this country back together? >> what specifically do you feel he's done or not done? >> well, he's taken sides in issues. he's fanned those flames. and it started back at the gates situation. remember when he talked about how the police acted stupidly and that insinuated that the police were engaged in some sort of racial profiling investigating that. like i said, instead of -- >> sorry --

>> go ahead. instead of taking a more neutral tone and trying to get people to stay calm about this matter he fanned those flames. this was a chance for barack obama to have a gettysburg address moment where he could have asked the country to come back together and heal. and instead all we get out of him is being president. >> do you think it's the president himself? or do you think it's those with whom he surrounds himself? people like eric holder and so on? >> well, it's all of them. but, you know, he's at the top. and when the president speaks, people listen. he has to choose his words carefully. and he didn't do that when he made the police all across america a whipping post and painted them as bloodthirsty and engaging in racial profiling. >> he acknowledges the sacrifice made by police officers and the fact they have the right to return home alive. >> well, you know, he said the other day that he blamed bad

training and also said this fear of people that don't look like them when he was referring to the police. i thought that was disgusting. while he may throw a few bones in there, if you will, to try to smooth things out. people know what he's doing. i said a couple weeks ago, he does this stuff with a wink and a nod. >> what do you make of the fact we have congressional staffers walking out, basketball players walking out, football players walking out with the hands up don't shoot. i'm not going to go so far as to say that's been disproven in ferguson, but at a minimum there's been very strong testimony that that is not at all what happened including by african-american witnesses who say that's not what happened. in the meantime we just did a story about two big-shot hollywood producers attending a big fundraiser for our first african-american president. and behind the scenes before they get there they're talking about what movies he would like, oh, it's all black movies. that's not -- people aren't standing up and yelling about that kind of what appears to be

actual racism or racist comments. i won't accuse them of being racist, but the comments, versus a situation that is very ambiguous. your thoughts on it. >> well, tasteless. and of course people on the left get away with it. but that's who they really are. they were exposed for who they really are. eric holder says we're cowards when it comes to talking about race. i'm not. i'm ready to talk. we're now punishing people for sins they didn't commit. at some point, and i've done this with myself, i've forgiven and i've moved on. i've stamped that bill marked for the wrongs of slavery paid in full. this country is now open for opportunities for all people. instances of discrimination and racism had to go underground. okay, it's been uprooted. the president of the united states said a couple days ago that they were deep rooted. and that's simply not true.

so we have to have that discussion as to when we're going to really be ready to move on and forgive people, especially people today who have no connection to what's being talked about anyway. >> sheriff clarke, always interesting to get your perspective. thanks for being here, sir. >> thank you, megyn. there's a new twist over the drama in the court decisions in ferguson and staten island. and now some law students are getting their exams postponed and we have the explanation. wait until you hear what they are saying. plus, breaking news from washington next. and cialis for daily useor you. helps you be ready anytime the mont is right. cialis is also the only daily ed tablet approved to treat symptoms of bph, like needing to go frequently. tell your doctor about all your

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>> there is a report it was house republicans and well over 135, 140 house democrats that roeted no. abandon the president because of their anger.

he urged his fellow democrats to support this. in large numbers they said no to the president of their party in large numbers republicans who earlier resisted this, conservatives said look. let's move forward on this. because remember, where is elizabeth warren, said she's going to hold this up. will she hold it up? we'll see. >> will she call herself a hostage taker if she does? ed, thank you. grand injuries determined

officers should face no charges joining me now is dr. daniel bober, child psychiatrist. pete, i did not know that in addition to serving three combat tours of duty you went to princeton and harvard? >> i did. >> it's impressive. and did you have to postpone your exams due to obvious threats you must have been under in the program and whatever you're doing? >> lots of stress and difficulty. no. i was at princeton during slenl and i didn't get bereavement. i know about the ivy league bubble world there is naval gazing and feeling with adult children that want to be coddled in their beliefs tell that to the soldier who saw their buddy killed or kids born

while they're overseas they did this job no matter what. to delay an exam because of feelings is the typical fawning over liberal elite the way these academic institutions love to do. >> how is this anything other than absurd? >> megyn, i disagree with you. there is precedent for this. in 1970 the faculty at harvard voted to delay exams because of antiwar protestors. >> you can't justify a -- >> harvard? >> harvard is -- >> these events affect people differently the minority community, they're disillusioned it's what we call in psychological literature learned helplessness f they want extra time for exams, i think they

should get it and i think it's interlem twablly dishonest to say they should be compared to a different group of people. people experience trauma in different ways. >> do you these these traumatized young law students should be giving continuances? because things happen a lot and it can happen to you the judge will tell you if you say i can't go on, he'll say give me your law license. >> these events have historic pro portions we have to be sensitive. >> do you know what? that sensitivity is making these folks have this learned vict victimization. >> what better way to celebrate the constitution by allowing

people to engage in civic activism. >> on your own time, pete. >> i'm learning being helpless listening to this basketball because i was part of a protest or saw a protest, i can't take a test? i understand things are difficult, we've seen difficult things but what a pathetic excuse that we're saying i'm so traumatized and coddled such an adult child at a coddled ivy league university i can't write an essay because i've been offended by something i'm watching on tv. i understand, these are difficult things. >> on my facebook page i was getting messages from mothers say do you know what? what if i took a day off when i have a trauma. there are people with deaths in the country and they continue to do their job. in america we have grit and have responsibilities. >> everyone is different. that is the whole point. >> every time we got hit by ied,

what the soldiers say i'm good. i won't do this anymore. . >> i don't know you can make a complete comparison like that, but the point is that different things affect people differently. sometimes, people need more than others i thank you for y your service you can't exactly say that these minority students are lazy and shishging their responsibilities. >> i didn't say that. >> no one is saying they're lazy. >> the ivy league is the best of the best. if you're best with the best you need to be trained in adversity the fact we're coddling them shows these institutions are incapable -- >> they should get an asterisk on the diploma and tell anyone who wants to hire them, in cases of trauma, i might not be able to go into court and do what

you're paying me to do. >> breaking news is not done in washington we're waiting to see what happens in the senate and whether a government shut down could happen over there. and christians persecuted in the middle east and whether america is doing enough. --i don't know my credit score. that's really important. i mean - i don't know my credit score. don't you want to buy a house...like, ever? you should probably check out credit karma, it's free. credit? karma? free? credit karma. really free credit scores.

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don't listen to the naysayer. take the comcast business speed test. get faster speeds or more savings, or we'll give you $150. comcast business. built for business. last night reverend franklin graham was here talking about what he called the growing hostility towards christians in america including the christmas holiday. from christmas carols banned to schools and banners popping up. replacing the christmas season with sparkle days. pittsburgh saw the error of its ways a long time ago and sparkle days alas are no more. sorry for that pittsburgh, and

merry christmas. and now to the second part of my interview with the reverend about growing reports of christians being killed for their faith in the middle east. so there's a report that christians are the most religiously persecuted minority in the world. this is something prince charles spoke out about. do you think our president should be more vocal? you once said president obama in your view had given some religions like islam a pass. do you think he should be a more forceful advocates for christians? >> absolutely. you've got an american pastor in prison in iran. he's in jail because he believes in jesus christ. and he's put his faith and trust in him. and the iranians have locked him up and given him an eight-year prison sentence because of his faith. and this goes against international law, this goes against the u.n. charter. the iranians have violated all

this. but he's an american citizen and he should be demanding from the iranians to have him released. he's there for no other reason other than his faith. you take the persecution of the christians in egypt, take the persecution of the christians in syria and in iraq that we have seen with isis -- >> you know we're now engaged in a war over there. the president is taking some action. >> he is. but the christians are being slaughtered. listen, this storm was coming last year as isis was building. and everyone knew it. i have people that work there and they saw it coming. certainly the cia and everyone else knew it, the white house knew it. and he called them junior league or something -- >> jayvee. >> yeah. so it's there. christians are not only being

targeted but they are being butchered. the women are usually raped by the soldiers. the men are shot or beheaded in front of their families. this takes place everyday. >> it's as bad as you can imagine. the vicker said four iraqi children were beheaded for refusing to convert from islam and they said "no, we love jesus." something similar with miriam. refusing to denounce her christian faith. but in those circumstances should christians consider saying what the enemy wants them to say to preserve life? >> no. no. i think we take a stand for our faith. christians have been martyred going all the way back to the romans when they fed them to the lions. we would be betraying every person who stood for their faith, who stood for jesus

christ if we turned our back on christ. >> reverend franklin graham, thank for being here. >> thank you. >> all the best. we're back to our top story, the house narrowly approving a budget deal after the white house and republicans joined forces to override complaints from liberal democrats. the volkswagen golf was just named motor trend's 2015 car of the year. so was the 100% electric e-golf, and the 45 highway mpg tdi clean diesel. and last but not least, the high performance gti. looks like we're gonna need a bigger podium. the volkswagen golf family. motor trend's 2015 "cars" of the year. thand helzbergre fidiamonds celebrates the spirit of the season. our diamond ring is the perfect way to express your love.

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tonight. now the bill heads to the senate where elizabeth warren will surely oppose it and push for a shutdown. wait, this elizabeth warren? >> we can avoid a government shutdown. but the republicans have refused to do even that. these threats may continue, but they are not working. and they will never work because this is democracy. and in a democracy hostage tactics are the last resort for those who can't win their fights through elections. >> "hannity" is going to have much more on that. i'm megyn kelly taking your thoughts at live from america's news headquarters, the senate could vote as soon as friday on the $1.1 trillion spending bill just approved in the house.

the measurement will keep the government running through september. funding was expiring at mid night, but the senate bought some time by approving a 48-hour extension. the pineapple express storm hitting the san francisco bay area flooding freeways, toppling trees and knocking out power to more than 100,000 people. the storm also keeping thousands of people home from work and school chl the bad weather is now also spreading into southern california. sparking fears of mudslides. stay tuned for "hannity." for all your headlines, log on to foxnews.com. see you tomorrow at 9:00. welcome to "hannity." this is a fox news alert. tense moments on capitol hill tonight. just moments ago the house passed the omnibus spending bill to narrowly avoid the shutdown. joining me on