hello, everyone, i'm eric boling, with kimberly, dana perino, i'm eric boling. this is "the five." a bombshell in a report suggests top intelligence officials may have been cooking the books on ice to make it seem like the war on terror was going a lot better than it actually was. a house republican task force reveals government documents were manipulated to main paint y picture of the u.s. fight against isis. donald trump fired up on the campaign trail, calling out

president obama and hillary clinton for dragging their feet against radical islamic terrorists. >> isis is honoring president obama. he's the founder of isis. he's the founder of isis. and i would say the co-founder would be crooked hillary clinton. i call president obama and hillary clinton the founders of isis. they're the founders. in fact, i think we'll give hillary clinton the most valuable player, you've got the mvp award. isis will hand her the most valuable player award. >> so how have the white house's policies impacted the growth of isis. general jack keen explains. >> it is a fact that the separation's policies did contribute to the fact that we have isis as a reality. walking away from iraq certainly in 2011, and creating -- helping

to create the stalemate in syria, opposed to throwing our weight behind the syrian moderates. that gave isis the opportunity to form this safe haven in syria, which has been so destructive, because it's from that save haven that isis comes from. >> the producers are telling me there's a hillary supporter now climbing the statue of liberty. so we're going to throw it to shep for the next hour. we're going to watch her climb it slowly. >> statue of liberty or planned parenthood midtown office. >> don't forget the ice coffee. >> underestimating a threat has they have led to victory. this administration is thrilled to overestimate certain threats. for example, climate change. they will talk like that is the

apocalypse. but when it comes to something there that is a immediate threat, people are dying. the fact is, this is a personal, idealogical vendetta by president obama. the fact, is he doesn't want to admit that the republicans were right about isis, and that they were right about staying in iraq. so instead, he's treating it like a sales report where they're puffing up the numbers. the only difference is, people will die from this. >> kimberly, now we sent out that the centcom may have been cooking the books. you can almost say this whole j.v. thing, maybe it was because they were getting bad information. >> shaping the information to say, in fact, that it's the j.v. team when it's not. there's a serious question there as to the ethics regarding a national security assessment perpetrated on the american people. there should be serious concern about that. that affects the choices we

make, it affects their lives out on the line, it affects these very limited rules of engagement that cause a lot of casualties in the theater. so all of this is part of a matrix and web of our foreign policy and our national security. if you cannot trust the people in charge, we have a serious problem. >> so if they're getting bad information, because the books are cooked from the top down, allegedly, centcom said i need this to look better, if they're getting bad information, then you make bad decisions. why to put security in libyan consulates that are asking for it. >> this helps explain a few things. remember we've had several scenario where is the president on one day will say, j.v. team or it's not that big a deal where everything is okay. then the very next day there will be testimony from administration officials who will contradict him. we've done a lot of stories about that. this might help explain that.

if he was getting different information. based on my experience, i think the president of the united states should always want to know what the worst case scenario is. what is the worst possible thing that can happen and that's what i want to plan for. i also think what trump could have done on that piece of it is to say, i will always tell it like it is. you say you like it i don't tell it like it is. i will promise you this, i will always tell the military that they can tell me how it is. >> great point. we're in it together. >> this goes to the upper echelons of the defense department. maybe state, too. >> i don't know about state. i think that's wishful thinking. centcom did this. but dana raises an excellent point. donald trump had a huge

opportunity today to talk about what dana talked about. he went out and said barack obama is the founder of isis. hugh hewitt said, you mean he created a vacuum that started isis. and he said no, no, reis the is founder of isis. >> the point being, wow, they were forced -- the agency was forced to make the war on terror look like we were winning when we weren't. >> were they forced? centcom made this decision on its own. i don't think anybody from the white house or the defense department came down and told them to do that. >> what difference does it make if the upper echelon -- who is that at the top of centcom then through this period? >> i'm not sure. >> ultimately the answer is the

defense secretary. >> does it scare you that if it did come down from the top, that the defense secretary or whoever is underneath, said make this look better for me? >> i think they were working backwards from a conclusion they made prematurity. the less competent you are at something, the more you overestimate your competence. we've seen this in a lot of areas with president obama and other candidates currently running. is that they boast. studies show that the people that boast are the people least competent and should not be voting. >> they said they changed the data for political -- they politicized the data. can you imagine? >> no, i can't imagine. when it is okay to lie to the president of the united states who is the commander in chief? my god, he has to have accurate decision or he's going the make

all the wrong calls. >> he didn't want the accurate. >> this is another problem, right? that's why dana is saying trump should say this will not happen in my administration. if you elect me president of the united states, i'm going to get the facts and share them with you because we're a team together. and i'm not going to lie to you and make calls based on the real-time facts and evidence happening in that geopolitical theater. >> it was all about one thing, telling the boss what the boss wanted to hear. >> this happens in corporations too, where say you're the boss. i remember when i was the press secretary, a great assistant press secretary, they were amazing. they never wanted to bring me bad news, because they knew i already had a ton on my plate. so when they approached me, you never go to the boss and say everything is great. you go in and say, i am sorry to bother you. i never wanted them to have to say that. you don't want people to be concerned or afraid to bring you

bad news. >> we're making assumptions that -- your implication is somehow they were directed to do this -- >> that's what they said. >> no, all this says is that centcom made the decision to do this. >> there was some -- if i'm not mistaken, 50 people who believed that this is what they were supposed to do. >> but that accusation isn't coming from the white house. >> i'm not saying it's coming from the white house. it happens all the time in business, but when you're in business, you say our sales in the southeast region are lagging, and all that happens is you don't sell as much -- >> how about your subprime mortgages. >> a good business analogy is

fudging analysis on a pharmaceutical. that it's going to work better and you lower the -- you say there's not as many side effects and it solves this problem and it turns out there's more people dying -- >> of liver disease. >> is there any legal implication to this? >> there could be, it depends. you have to dig deeper, who pushed this idea? they say one person that woke up, the alarm went off and they said all righty, i'm going to cook the books. what is the basis for it? just because you don't want to tell the president so he doesn't get mad, so you don't lose your job because things are really bad in the middle east? i don't know. >> do we have time to talk about the second part, the founding part? donald trump saying that obama -- i think on the obama front, i don't think that founding is right, but all the other pieces could be linked to obama's door. but on hillary clinton, i think the more effective argument would be that she was ignored by the president, that she was

incompetent. she was not effective in getting her way, because if she is on record and it's corroborated by the people, that she did want to keep troops in iraq for a longer period of time and she did want to go up against assad and she was rebuffed. >> that's exactly my point. there are all sorts of things you can say about this. i think this as a democrat. you could easily say conditions were made by this administration that allowed isis to flourish in places like syria. why this candidate comes up with some fantastical claim and he still steps on his own message. >> it's a consistent issue with trump. you have general keane come up and give this cogent analysis of what everybody would understand. the recent foreign policy blunders under president obama has helped birth and then spread

this toxic isis scourge on earth. but that's not talkradio language. and trump is the first talkradio language candidate. he speaks as though he's on a phone call. first time, long-time listener, first-time caller. i think obama caused this. and then they go, tell me more. >> tune in tonight at 8:00 on "the o'reilly factor" and i'll ask him. >> i'm going to leave it right there. i'm not commenting on that. >> -- stunning new developments in hillary clinton's e-mail scandal suggests her state department pulled strings for the highest bidder. so why did the justice department decline to investigate the clintons? details next. when this busy family...

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snend ♪ new developments on those e-mails that suggest hillary clinton's state department was doing favors for donors of her family's foundation. today, we are learning that the justice department reportedly decided against an investigation into the clinton foundation.

after the fbi requested the agency look into allegations of corruption. the doj's public integrity unit apparently declined to pursue the case, citing insufficient evidence. meanwhile, donald trump is slamming his rival over these new revelations. >> new e-mails come out. new e-mails. how do you think hillary would feel if e-mails were never invented, would she be happy? that's like a truth serum. it revealed the lies, the deception, the dishonesty. what came out yesterday, reported today, i pay for play. you're not allowed to do it. it's illegal, it's illegal. and i would imagine other things are going to be coming down the pike. so let's see what happens. >> i have to say, greg, i might be happy if e-mail was never invented. >> we will be hacked. i want a foundation.

why didn't i think of this? an operation that matches me with really rich people who want to spend time with me. this really isn't a nonprofit. it's a sugar daddy operation for the clintons. >> called seeking arrangements. >> it's a larger quid pro quo. we talk about that. i'm in public service for years, and i'm broke. therefore when i'm out of public service, i deserve to be wealthy, because they've been spending all my time, hillary and bill, spending all their time with rich people with yachts and four homes. but they're on an arkansas salary and they get angrier and angrier. so they feel they deserve to be wealthy and it doesn't matter how they get there, right? >> do these stories -- there's anticipation there's more where that came from. but does it make any democrats queazy?

>> it makes me queazy personally. i think what they did is wrong and shouldn't have done it and inexcusable. does it make me queazy in terms of getting her elected or not? she's running against somebody who can't help himself. so perfect example. so donald trump, the clip we saw, stayed on message. he was very good. but what's going to happen in the next 24 to 36 hours, he's going to say something, because he is going to have to start talking about himself, step all over that message only to talk about himself non-stop. that's why this message is going to dissipate and we'll all talk about donald trump again. >> however, eric, the media really has stayed on this story across the board. they are not getting off scot-free. i think the clinton global initiative -- >> sure, i'll agree with you that -- well, we are certainly staying on it. the reason why we even know

about this tie between the state department and the clinton foundation, is that judicial watch put in a foya request. foya takes forever to get a request processed. they go to the agency. one guy in the agency is responsible for this, and he has to dig through volumes of paper and he turns them back. the amount of backlog of requests is 75 years to get them all. but the point is, julie says this is inexcusable. what does that mean, you mean politically inexcusable, ethically or criminally inexcusable? >> i don't know about criminally. >> i would say all three. >> i'm not a lawyer, i don't know. justice department apparently doesn't think so. >> not yet. but there's more. >> to answer your question, it is politically inexcusable. they always set up barriers for themselves, the clintons. >> even at this point, if there

is sufficient evidence that comes forward, they're not going to be able to put a case together and prosecute it before november. >> because they're running out the clock. so they're going to slow walk this. they just try and age the case. and they want to run it out, let her become president of the united states. and it's shameful, because there's a tremendous amount of material that should be taken seriously and investigated. there's a serious question whether or not the doj punted on this and declined -- why would you decline to investigate this, unless you're all in for hillary and now you see loretta lynch, who is very tight with the clintons. we saw that on the plane in the first class. so this is a problem across the board. but is it going to be enough to resonate with the voters, decemb despite the lack of a

conclusion. >> you know what really bothers me? that huma abedin, she was getting a state department salary -- >> of course. >> and that's good money. >> it is. >> but in addition, they signed off on her getting a part-time job, a consulting fee with a firm connected to the clinton global initiative. i find that to be disgusting. >> shadier than michael moore's shadow. >> never get sunburned in that shadow. >> go back to that one thing i mentioned yesterday. huma left hillary clinton's schedule in an empty hotel room in a foreign country. so she's as careless about information as anthony weiner, her husband. both are addicted to exposure. what is wrong with these people? >> can i give you a business example of what goes on? you make that important case of huma working for both.

it's like working for goldman sachs and the bureau of labor statistics. so you have the person who is supposed to keep a wall up when what they know and not being able to tell goldman sacks -- >> it's huge conflict of interest. but the clintons there's a separate set of rules. because there's such a fatigue, no one can pay attention anymore. there's so many transgressions and so many flags. oh, here we go again. >> do you know who signed off on it? >> i suspect hillary did. i have no evidence of that. >> you're a government employee. you should be mad about that. >> or you should try to get that same gig for yourself. >> no, don't do that. directly ahead, could a third party candidate spell trouble for clinton or trump? greg breaks down what a libertarian on the ballot may

offer voters, when we return.

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♪ against the third party? it helps elect the other party that it's lease like. meaning a conservative third party would only help hillary win and a liberal third party would only help trump. but what if no one is thrilled with either ticket? the republican party began as a third party. today, we have the two least liked candidates ever. so there's a third choice, libertarian. gary johnson, a successful governor who vetoed 47% of all legislation and left office with a budget surplus. he won in a state that's 2-1 democrat. plus, you have william weld, another popular governor, but who unlike johnson, is far from

libertarian. he's a supporter of the epa and gun control. either way, they're conjoined success stories. so rather than vote who is not the worst, why not pick what's worked? everything candidates keep saying they'll do, gary has pretty much done, shrinking government, promoting school choice, leaving a surplus budget. true, he's inhaled, but at least he's honest about it. really, america deserves more than two choices. out of 320 million, it's hillary and donald. that's hike going to disney and only being able to ride two rides. small world is hillary. >> so you like hillary? >> i didn't say that.

in a small world, it's about diversity. why are we talking about this? i want to ask about weld, because you lived under weld. >> i did. he was a republican governor. i thought he was a great governor. >> that's a bad sign. >> it's a bad sign because i love him. he ran against a democrat john silver, who i am happy who lost. god rest his soul. >> the poor guy. and he died? >> he died much later, i had nothing to do with that. i thought bill weld was a very good governor, which means he's a little out of step with the republican party today. he came back to new york and tried to run i believe as a democrat, i'm not sure in new york. so a little bipolar in his political affiliations. >> gary, taxes. consumption tax, he's for that.

he's fair tax. >> is a libertarian more gop or more dem? >> i think it's always more gop, because the crux is small government. but there's some things that aren't republican, which is slashing military funding, which i have a problem with. >> and opening up -- all the -- >> decriminalization, small government, noninterventionalist. >> who is he taking from, hillary or trump? >> a little of both. >> he's different from trump on immigration and different from hillary on big government. >> the polls show he's taking from both. >> so it's a push. >> and if you look at some of the recent polls, trump does do better with gary johnson in. he does two points better. he had two points better, but

jill stein was in that poll, too. >> what do you think, dana, does he have a chance to make the debate? he has to get to 15% and he's at 9%. >> i think it's tough to do that in the next six weeks. but they are raising some money and getting some attention. i think on friday, august 26th, john stossell will have a fox business not debate or forum with them, town hall. >> stossell has the best mustache at fox, geraldo. >> you're so mean. poor geraldo. >> how many people do you know that describe themselves this way, most people say i'm socially liberal and fiscally conservative, and i'm not interventionalist in foreign policy. now, if gary johnson described himself that way, and say unless it is necessary to protect national security, i think he would get to 15% at least.

>> more free advice, dana. >> how could you be socially liberal and fiscally conservative? that makes no sense. >> it means you're okay with gay marriage and abortion. >> a lot of people contend to be pro-choice that self-identify that way. they say no shot. >> what is patty power? i'm afraid to ask. >> i love to weigh in on american politics. but i don't see how he makes it up to get it. >> to get in the debate? >> to be able to get 15% to make the stage to debate. >> how many days does he have? he's got a month. >> not a lot. >> if you chipped in a bunch of

money. >> he funded his own campaign when he ran for governor in '94, and he -- when he ran again, a hispanic candidate in a tate that's 40% hispanic, he won big. >> he has some upon lpopularity. >> he and weld have the best commercials. all right. on that note, trump says he wants to debate hillary very badly, but he has some conditions. not medical ones. will the upcoming show downs be fair and balanced? details when "the five" returns. offers on our complete line of f sport performance vehicles. at the lexus golden opportunity sales event. and i quit smoking with i'm chantix. i decided to take chantix to shut everybody else up about me quitting smoking. i was going to give it a try, but i didn't really think it was going to really happen. after one week of chantix, i knew i could quit. along with support, chantix (varenicline) is proven to help people quit smoking.

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i want to make sure we get that for the record, because it took the president 14 days before he called the attack in benghazi a terrorist attack. >> can you say that a little louder? >> he did call it an act of terror. it did, as well, take two weeks

or so for the whole idea of there being a riot out there about this tape to come out. >> painful. should have shut it down. we all remember when candy crowley took president obama's side moderating a presidential debate. this time around donald trump is worried the same will happen when he faces off against hillary clinton. he's agreed to participate in all three debates, but warns he may try to renegotiate the in terms if it's not fair and balanced. >> i want to do the debates. i did very well in the other debates, obviously. otherwise i wouldn't be sitting here. and i think we're going to have very good debates. i don't think they should put them opposite nfl games, because i think that's really unfair to do that, and i probably -- hillary clinton would like that. i want to see a fair moderator and whatever else we'll look at. certainly i want to do the debates. >> dana, he wants to do the debates and be fair and balan d

balanced. e reserves the right to renegotiate. >> of course you want a fair and balanced debate. nobody gets everything they want in a negotiation. i don't know what specifically he's going to ask for. if they ask for, i don't want any candy crowley moments, i don't know how you can be guarantied that. so i don't understand what they'll ask for. i've known candy crowley for a long time, and i do believe that was a mistake. greg and i were watching the debate at the time and you threw your pen against the wall you were so mad, but you were mad at romney before not seizing the opportunity. >> i was screaming. >> so it's not necessarily the moderator's responsibility to make something out of a moment, it's the candidate. so romney i think was trying to be polite and pulled back and he should have pressed the advantage. >> this is -- >> i hate a missed opportunity. >> this is wen i was going, oh, my god, we need a fighter. so now we have the opposite of romney, which is why i don't think this is a real legitimate

concern, because i don't think -- i don't think trump is going to react the way romney did. he should demand that candy crowley do this debate. let's do a rematch. give her another shot. i cannot wait for these debates. this is the ali-frazier for dorks. this is going to be the least boring debate ever. it could get so ugly. >> pay-per-view. >> he doesn't have much of a choice. they'll decide what they want. maybe they'll ask for input from the candidates. they'll decide who they want. >> they want donald trump -- >> disagree. he has one of two choices. either he shows up or not. if he doesn't show up, he's going to get -- he has no choice but to show up. they know they have him. >> listen, i'm saying that -- >> he might think that's a good strategy. it's a terrible strategy. >> but they know he's not showed

up before, so it's not like it's without precedent. >> when did he do that? >> i don't recall. >> he must know, and people around him are at least smart enough to know. they're going to say he's a coward, he's too scared and push every button he's got. >> he's going to debate. >> of course he is. >> everyone has been saying, he's going to get after it, he's not going to stand down. he's going to be like, can't hear the stand down order. he's just going to plow after it. so eric, what should be the strategy here if you're advising him on this debate? >> exactly what you're doing, saying i will do this. i'm all in for the three presidentials, and the one vice presidential. i'm all in, but i want some say in it. you don't want a completely biased moderator. she took down romney. grant it, he should have known

she was wrong and fought back. i don't think it was lack of fighting, it was lack of background on the topic. >> i don't know which is worse. >> listen, you know donald trump brings eyeballs. so the commission, they negotiate everything, besides the podium. they can negotiate everything. is it the commission that's involved or the individual networks? >> it's the commission. they don't care about eyeballs. >> there's a republican and democrat. the other thing is, a lot of people think that romney lost the election because of that debate. that is by all accounts, looking back, he was probably going to lose any way. that debate didn't help much. but it was not the deciding factor. >> but it has to be a legitimate concern if you're a republican, because the media is largely democratic. so you've got to have some due diligence and go through the

matchinations. >> i'm sorry, you have donald trump. are the people here biased? come on. >> k.g., you know what the answer is? robots. >> robot moderators. >> i like robot for president. [ overlapping speakers ] >> at the end of the day, though, he says listen, i'm a great debater, i do well in these debates. he's gone against people who are seasoned debate veterans. >> and he dropped the nfl concern, because that was dumb. >> he punted that. >> very nice. >> deep into the opposing field. when we come back -- >> you're on fire day. >> i know. a major decision from the federal government about the legality of marijuana. all the details, up in smoke, ahead. ♪

snenld sneld ♪ some marijuana lover's dreams are going up in smoke. the drug enforcement administration announced it's

still illegal to smoke pot. marijuana will stay on the list of the most dangerous drugs because it has a potential for abuse. that keeps the feds at odds with 25 states and the district of columbia. greg, we were having a discussion earlier about this, where you said your concern was about synthetic marijuana being sold downtown. but then we said, if you legalize it, you won't have to have that. >> we live in a strange world where thousands of substances and objects, farm more harmful than marijuana, are legal. texting kills more people than marijuana. everything has the potential for abuse. pot is a substance with actual properties, that if studied in a controlled environment, could provide help to millions with various illnesses. but there's a stigma attached. imagine the new pharmaceuticals that would be available if we could studied ecstasy the way we

studied aspirin. we might have treatments for depression, hostility, dealing with marriage issues. but people are scared of drugs, because they proximate the transen dance and oblivion one gets out of religion. >> oh, my goodness, thought probing. i think more than that -- >> it's true. >> you know, eric, what's interesting to me is it's overtaken tobacco as a more prevalent substance that people are now smoking. >> the main reason it will stay as a schedule one, it has a high tendency for abuse. so does alcohol. forget what you want your son or daughter driving drunk, you would want them high than drunk.

i would rather be on the road with someone high rather than drunk. and i think a lot of the issues is, the benefits could be seen in drunk driving fatalities going down. >> so you're saying if you have the choice of smoking pot or drinking -- >> i think there's some research, but i can't -- >> are you going to him like he's our pot expert? >> do we find that people will not drink if they can smoke pot, and if they smoke pot, they won't drink. if that's the case -- >> did you guys go after -- i feel like prosecutors tend to go after people who have low levels of pot on them. >> no, no, not at all. in san francisco, even in l.a., small, minimal amounts of personal use or possession, that's not the deal. they want to go after people that are selling large quantities, because the jails are overloaded with maniacs as

it is. so you want to focus and have your resources at the most sick, violent predators, the recidivists, homicide, gang units, child abuse cases. so we've leaving the cheech and chongs alone. >> but people do go to jail for pot. that's such a waste of tax dollars. >> i'm conflicted on this issue. i remember charles krauthammer one time on "special report" said a society can't really handle two legal substances like this. >> very interesting. >> i would have to go back -- >> i've heard that. >> i have to look at this from a political level. this coming fall, november 8th, arkansas and florida have ballot initiatives that will be on that same ballot where you vote for trump or clinton and your senators. in florida, i think this could help drive voter turnout and i would imagine the marijuana

supporters want that. and i just don't know who that helps. >> probably gary johnson. >> i'm going to stick to my martina. >> the dea said marijuana has "no currently acceptable medical use, because the drug's chemistry is not known and reproduceable." they just don't know. >> "one more thing" is up next. she spent summer binge-watching. soon, she'll be binge-studying. get back to great. this week sharpie singles now twenty-five cents. office depot officemax. gear up for school. gear up for great. mapping the oceans. where we explore. protecting biodiversity. everywhere we work. defeating malaria.

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time for one more thing. k.g.'s up. >> last night, we were on at the largest special olympics program in america. we've served as ambassadors there for the past five years. our awards were presented by per death o'connor and the first down syndrome model in the world, madelyne stewart, who has an amazing career, being featured in vogue and "cosmopolitan" magazine. we raised $100,000 and all proceeds will benefit the 67,000 athletes of special olympics, new york.

>> very nice. k.g., congratulations. dana? >> i love to watch the olympics and one of the things i love to see is all the diversity. the tallest tales and the shortest stories. can you see this picture? these gymnasts from spain, anna perez is 4'11", and pao gasol is 6'11". this is just amazing. here's another one. gymnast regan smith, 4'6", and basketball player deandre jordan, 6'11". i always remember this picture, me with mikembe the mutumbo. >> i just don't believe sizes should mix. >> oh, my god. >> greg's nutrition tips. when you eat machos, you've got to concentrate. take a look at this fan at a

pittsburgh pirate fan, trying to catch a ball and his face goes right into the nachos. it's all over the place. that was $50 worth of food, if you're eating it at a ball game. [ overlapping speakers ] they gave him a shirt, the pittsburgh pirates. >> two more to get in very quickly. look at this lineup tonight. donald trump, newt gingrich, rudy giuliani, rand paul with some very provocative comments, dana perino, and we'll bring up the caboose with geraldo. >> glad you said "caboose." >> so this story made me cry. her father was murdered about a decade ago. after he died, they gave to his heart to a man in new jersey, arthur thomas, who was saved by jenny's father's heart.

he traveled to pennsylvania almost a decade later to give away the bride, and he did that because her father's heart is inside his body. i think this is such a beautiful story. this is them walking down the aisle. >> very touching. they have miss an episode. "special report" is now. the justice department passes on an fbi request to investigate the overlap between the clinton foundation and the clinton state department. this is "special report." good evening, welcome to washington. i'm bret baier. what you don't know apparently is just fine with the obama justice department. when it comes to the clinton foundation. it is refusing to look into a story we reported wednesday on fox about e-mails suggesting an inappropriate relationship between the clinton charitable foundation and the state department when hillary clinton was in charge. this comes as democrats are said to be bracing