news.com. 's we are back next week 11:00 a.m. eastern. see you then. eric: a fox news alert. we are after he waiting president trump's son-in-law and a representative, jared kushner, to speak out. he is appearing at saban forum. the administration is considering moving the u.s. each bassy to jerusalem. welcome to "america's news headquarters." i'm eric shawn. arthel: i'm arthel neville.

we are keeping an eye on friday's guilty flee from former national security advisor michael flynn. mr. trump fired james comey. the president said i never asked comey to tomorrow investigating flynn. just more fake news covering another comey lie. we learned the justice department is look into a top fbi official fired from robert mueller's team for sending anti-trump text messages with a colleague. reporter: he was involved in several investigations including hillary clinton's private server. two senior department officials confirmed the office of inspector general is reviewing

his role in the hillary clinton investigation as well as several other investigations. this summer he was fired from muellerments special team when mueller learned he exchanged anti-trump text messages with a colleague. this morning the president responded to reports tweeting, tainted very dishonest fbi agent's role in clinton review. clinton money going to the wife of another fbi agency in charge. then he tweeted. anti-trump agent led mueller probe. a date will be set for them to

come before the house intelligence committee t -- to testify. arthel: thank you very much. eric: let's go to jared kushner speak at sabn conference. one of his responsibilities is dealing with the palestinian peace process and dealing with the palestinians recognizing jerusalem as the capital. mahmoud abbas said that would destroy the peace process. >> to not go along with what ended up being an abstention

from the u.s. against a 50-year-old tradition, and to be honest with you, some people might -- as far as i know, there is nothing illegal there, but i think that this crowd and myself want to thank you for make that effort. so thank you very much. [applause] okay. the president has referred to the middle east peace as the ultimate deal. everyone here knows that. experts give you high marks for trying, but none of them believe it's possible. why do you think it's possible? or do you think it's possible? >> yes. so the president has a very long career of accomplishing things that a lot of people say were

impossible. the most of recent example of that is the election where a lot of people who were the experts on the election thought that was impossible. the president took an unconventional approach towards running and was ultimately successful with that. when we started the process of looking at how to create the space between the israelis and palestinians the first thing a lot of people told us, it wasn't the right time. the conditions weren't right. after years of distrust we were wasting our time to do it. the president injected peace back into the discussion. that's something we are proud of because we do think it's achievable and we think there is a lot of reasons why it should happen. when you look at the region you have several regions of concern to people. you have iran and their nuclear

ambitions and their expansive regional mischief. you have isis which this administration has done a great job of beating back and almost defeating at this point. you have the ideology, the extremism which you are seeing a lot of leaders in the muslim world try to restore the religion to what it always has been, and to try to eliminate the ability for people to pervert it the way they have. then you have the israeli-palestinian issue. if we are going to try to create more stability in the region as a whole, you have to solve this issue. so the president sees it as something that has to be involved. that he have much wants to be solved and it's something he put a lot of time into wanting to see it happen. >> i understand that. but to achieve that, the team

has in it an entrepreneur in you, a real estate lawyer, a bankruptcy lawyer, i don't know how you lasted 8 nos this lineup, and it's impressive that it's still going. there is not a middle east' expert in this group. how do you operate when they have no idea about anything. what are you guys doing? seriously, i don't understand this. >> i will say it's not a conventional team. >> you can say that again. >> that's what i said. >> say it again. >> okay. it's a perfectly qualified team in the way -- >> how is that? >> so we have -- when we were thinking about how to put a team

together, the president and i focused who had the right qualifications, who we both trusted. we have david freedman who is a bankrupt lawyer. >> it's a bankrupt situation. >> you are wondering why they never had a bankruptsy lawyer working on this before. there are a lot of real tess state-related i shall -- there are a lot of real estate issues related to it. we have dina powell who has been very instrumental. her family is egyptian. she speaks arabic. she has been instrumental in helping us develop a regional aspirational economic plan on what can happen post-peace.

we don't view the peace agreement upon just a peace of paper. but we are focused on what happens after. how do you create an environment where 10 years down the road the beneficiaries of the peace have opportunities they didn't have before. there is a lot of trust in the team. the fact that we are so close, there have been no leaks, it has been a lot of hesitancy from both sides to explore ideas with us in a way that would be constructive to come to conclusions. when they saw nothing would leak out and we can have open and honest die losing and we were listening to what they had to say and how they thought things could be resolved. we saw the conversations open

up. >> i am glad you mentioned trust. there is no trust between the sides at all. you managed to build trust on the israeli side. i know you are working to build trust on the palestinian side. but it's all going to end up with the mediator, you. both sides need to trust you. if they don't, then if you won't be able to by any stretch of the imagination get there. what is your approach in getting them to trust you? they don't trust each other, that's a fact. >> let me take two of the things you mentioned that i slightly disagree with. i think -- >> you disagree with me? >> yes. >> that's a bad idea. >> if you want to stop this, we can.

>> but only a slight disagreement. the first thing you mentioned is there is no trust between the israelis and palestinians. i think there are instances of great trust between israelis and palestinians, but there is no trust between the leadership. i have been overwhelmed by the case i have seen of israelis and palestinians working together and having great relationships. saying if we can get this resolved politically we can move on to a bright for future. with regards to dusting the mediator, we have done our job, but both sides trust the president. i have been work on the problem for the president. the fact that both sides trust him and know he has the right intentions and right creativity and the desire to have this happen is important. but i will say as this process

has gone through, my team in particular being orthodox jews and coptic egyptian, has done a lot of listening. when we have titles and positions doesn't come with trust. trust is earned. it's note granted. we have gone out of our way to listen to palestinians and israelis. understand their red lines. and find areas of mutual agreement and find reasons to do things as opposed to not do things. we have done the same with different countries that are region pal stakeholders. the fact that we have tried to find a solution that comes from the reason is important. >> this is an important point. the original approach which is basically an outside-in approach that you are taking is what

differentiates this period from previous periods. how are you planning to work with the iraqis and saudis and the other arab states in order to help at least make progress in negotiations? what is the strategy there? >> the regional day ma'amics are interest -- the regional dynamics are interesting. we have been very focused on the deal. spending now 7, 8 months that we have been focused on that. you see a lot of reasons why this deal can go south very quickly. there are a lot of distractions that couple. my team deals with three or four issues that come up. my team says this is the end much it if it doesn't work. i tell my guys we are not chasing rabbits.

we are chasing elephants. the issues that come up on a day-to-day basis, our cause is not having a status agreement. if you solve the little issues, the big issues will be resolved over time. if you talk about trust-building exercises, i don't see a lot of trust. you can trust exercise the next 100 years and i'm not sure what that will accomplish. the regional dynamics play a big role in what we think the opportunities are. as the middle east has evolved, a lot of the countries all want the same thing. they want economic opportunity and peace for their people. they look at the regional threats. i think they see israel who is traditionally their foe is a much more natural ally than they were perhaps 20 years ago because of iran, isis,

extremism, and israel has a powerful army, they have a great economy, a lot of innovation in their economy. and there is an old reason why this has not been put together. a lot of people want to see it put together. but we have to overcome the palestinian israeli issue for that to happen. >> should we see the president's trip to saudi arabia followed by israel as part of this plan? was that -- what was that trip about? why did you start in saudi arabia? >> that was something we spent a lot of time thinking about. we ultimately decided to make the president's first trip to saudi arabia for a few reasons. the first one was saudi arabia, the custodian of two holy sites is one of the leaders in the islamic and muslim world and we

thought that would be a good place to convene the countries for a summit which was the first time it happened. we set out what the administration's priorities were. but to say we are not going to solve the problems ourselves. they are not just america's problems, they are the world's problems. we called on the leaders in the muslim and arab world to step up with us and be our partners and take action. the problems were unifying everyone against iran's aggression. >> how much progress have you made there? >> i think we have made significant progress there? >> how does it manifest itself in the future. >> we'll find out. it will take some time. >> you know but you are not telling us. >> if you look at the last years before we came into office, i

think a lot of these countries felt that iran was being emboldened and their aggression was unchecked. they welcomed american leadership and welcomed the president's vision of everyone unifying around common objectives. the president likes to be very, very clear with the way he speaks and what his intentions are. people accuse him of a lot of things, but not of being blunt and straightforward. going into saudi arabia and convening 54 muslim countries and laying out the priorities of countering iran's aggression, countering extremism, fighting isis and peace in the reason was very important. salman said there is no glory in death which we thought was significant.

when you go to the peace in the region, the first discussions we had with the saudi, they believe the palestinian people should have the same hope and opportunity as everyone else in the world. eric: fascinating view of jared kushner's thinking. he said peace is achievable with his unique and unorthodoxed negotiating team. is that true? we'll talk to ambassador john bolton. it was insight into jared kushner's thinking that we haven't had before. arthel: we'll keep an eye on the special election in alabama.

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for a 3-year-old north carolina girl missing for a week. a dive team found the body of mariah woods in a creek 0 miles away from her home. authorities have charged the mother's live-in boyfriend with concealing a death. eric: jared kushner laying out the administration's plan for peace in the middle east. the team includes an real estate lawyer, a bankruptcy lawyer and orthodox jew and coptic christian. the president's legal team is

saying there was nothing wrong with flynn as part of the transition reaching out to the russians or any other foreign leaders. ambassador john bolton joins us. chairman of the gat gatestone institute. >> based on everything we know, it was perfectly normal transition team business. incoming administration wants to talk to foreign ambassadors, in some cases foreign heads of state. foreign ministers, to find out what's on their minds to tell them some of the priorities of the incoming administration. and in some cases to make it clear incoming administration will have a different view on things. not only is there nothing

illegal by the, it would be malpractice for the transition team not to be doing it, and in this case in a fairly comprehensive and aggressive way given the enormous differences in american and foreign policy. eric: it wasn't wrong, then, why did flynn lie to the fbi about it? >> it's incomprehensible to me. somebody with flynn's background had to know conversations with foreign leaders are always subject to america listening in. to try and say something to the fbi that was contrary to what they could have been listening to moments before the question is income prey hencible. eric: the presidential transition guidebook apparently says this is okay.

the policy team considered the views of stakeholders to develop major policy initiatives and determine executive orders and regulatory actions affect the policy priorities. those working on policy continue with planning during the implementation during the transition phase. do you think that's what flynn was doing? >> it sounds like it. these guidelines are from a think tank on presidential transitions. let me make one other point on this. the foreign governments themselves during this transition between obama and trump were beside themselves trying to find out what the trump administration's foreign policy was going to be.

every expert believed hillary clinton was going to win. i was at fox news in new york on election night and i remember one astute political observer after the eastern polls began to close at 7:00, we'll have anker night tonight. the foreign governments easily predicting a hillary victory along with every other political analyst just about. so trump gets elected and suddenly there is panic in 190 capitals around the world, not because of what trump said during the campaign, but because they didn't know what to expect. i would be stunned if you didn't have evidence whether from intelligence intercepts or other means, all of these other governments besieging the trump transition team saying what do you think about this? what are you going to do.

make this something insidious runs in the face of common historical experience. eric: was it proper to try to interfere with a u.n. resolution that the obama administration abstained on. the state departmenten january 13 said they didn't see anything inappropriate between the incoming administration and foreign officials. he said we have no problem with them doing this on their own. you had experience with this before the administration was sworn in. >> it's perfectly logical to say the obama administration was about to diverge from decades of american foreign policy. if you wait 30 days you will get

an administration that continues that policy. it's true there is only one president at the time. and obama was president up until noon january 20. but the sweap of history doesn't stop. the incoming administration has to be faced with the consequences of what might happen the last 30-60 days of the outgoing obama administration. and by talking to foreign governments about this. i was in the bush 41 administration after the clinton victory when president george h.w. bush decided to go into somalia. this was right around thanksgiving. it was clear the new clinton administration was going to have to deal with that. the bush administration made it clear. that's how you work this out. the incoming president has

equities, too, and that's all they were representing. eric: we just saw jared kushner. saban said he has a unique transition team. >> the peace process crew hasn't performed wonders in getting an israeli-palestinian settlement. because of the threat of iran and the nuclear weapons program and its general effort to establish hegemony in the east, there are possibilities that old formulas would not necessarily turned up it's a huge uphill struggle. but the world in the middle east is changing rapidly.

eric: that it is. ambassador john bolton, good to see you. arthel: the clock is ticking for republicans to get a deal done on tax reform by year's end now that the house and senate get ready to hammer out the final bill. are there any sticking points in the way?

..

eric: welcome republicans once welcome republicans once at closer to get a street being to the next task. marathon voting -- and now both houses must hash out the differences to the conference committee before sending one final bill to the president's desk. caroline shively lachman washington with what we can expect. >> the house is coming back a day early to set up the conference committee tomorrow.

president trump in just three weeks. deadline with it promises. >> we look at this for christmas. it's been a lump of coal for eight years and for obama. president trump wants to get the economy moving again. this bill delivers and it will be a great christmas and you will see this economy take off next year. >> the senate and house versions cut the corporate tax rate from 35% to 20% cut individual tax rates are modestly. eliminates personal production. the half to work out substantial differences in the conference committee. the senate version eliminates the mandates and obamacare this as everyone has to have health insurance and after a decade individual tax cuts go away. official estimates as the senate bill would have a chilling dollars to the deficit so that democrats say it was republicans say it was all out in the open.

>> the process on friday night where the bill was being handcrafted, lots of provisions included for special interests. i would bet she was the literally dozens more of these special provisions. >> this is the melting process. the vast majority online for two weeks. always an big deals like this with last-minute adjustments. >> republicans are pretty confident they would get the final bill through. >> thank you so much. >> more in the spirit of a republican congressman warren davidson who sits on the house financial services committee. are you there? >> iem. arthel: will start getting right to it. what is in the senate that you like and can sign off on? >> there is so much in there that i like in the country is really going to love when you understand it correctly, you will see how much program is

perfect than this in the market. the market understands this well in the american taxpayer is wondering which side of the story is true. the truth is this is a big, bold progrowth tax plan and i would like to make sure it is per minute. not just for corporations but individual families and the corporate rates a big win good also for pastor entities. the corporate reform has meant c. corporations, the smaller family business, llc, partnerships at the individual rate. this gives to 25% as a much simpler way for corporations to be tax. 100% appreciation. for companies to expense. arthel: for corporations as per minute amount of the tax rate reduction for individuals and particularly the middle class that is just temporary. the race will go up after several years. >> correct. the senate bill that is their plan. this is the budget gimmick they fall short.

it goes to the rules of the senate and that's part of why it's not in the house plan. the rates are little more complex in the senate. the house version is simpler with four tears, but nuances in the senate bill are more track than the house bill and things that are more more attractive in the house bill than the senate bill. that's why it's important i get the conference right and i'm looking forward to the final product. arthel: do feel there is difference in the house and senate bill that may be tough to reconcile? >> there's going to be a few challenges. one of the ones i'm excited about is the senate bill repeals individual mandate. i think the house will like that. the bill that pass the house related to health care, but it also pays for a lot of things. arthel: what would that do? how would that affect the overall insurance market? would that cost them to

skyrocket? >> people speculate about that, but i know what happens with health insurance company share prices when you mandate everyone buys the product i'm on the back and buy them subsidies for offering the product. i don't know what they will do for share prices, and that in the insurance market is 20% of gdp people need health care, they will be free to buy it in a different way. tree arthel: 22 days before chris is president trump would like to build a signoff on. can you get tax reform done by then? >> i feel optimistic it almost feels like christmas on saturday to see the senate follow through. when i woke up and saw what they had to accomplish. there's a lot of momentum in the house with a couple senators in the process for reconciliation. would've loved to seen a few more things in the senate bill in the house bill. an opportunity to correct a few things that are shaping out the way they thought they would and

i'm really excited about this chance to put the finishing touches on what is a great progrowth reform for the country. arthel: we have to leave it there. thank you for your time. >> thank you. trade to an fbi agent removed from special counsel. robert mueller's team politically charged text messages again president trump. fox news also learning today about the alleged role in the hillary clinton e-mail investigation. this is the top democratic lawmakers are speaking out this morning. >> i believe in fbi director call me. he was credible in his testimony in his private meetings with bass. -- with us.

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in the hillary clinton e-mail investigation. according to two senior justice department officials, he was taken off mueller's team after the special counsel learned he had exchanged with a college. meanwhile the democrat on the house intel committee among lawmakers react into former national security adviser michael flynn's guilty plea in the probe on friday. >> i wasn't surprised by the plea deal. the fact that he was one of friends but essentially multiple dust on the other former prosecutor that given the much broader universal potential liability they must have concluded he was getting a lot of value. arthel: outlook littlest year, former prosecutor, firing the

significance once held in the content of the text messages. >> the most important pieces during some time in the investigation with the role as an investigator. they had a special team working for him who know the case. mr. trump is part of that team and appears that they wanted to take them on about role that he had made some comments that were harsher president trump. but the text messages say it till unclear that they were critical of the president of special counsel mueller wanted to make sure was taken out of any role in the investigation because of that. arthel: what is the significance of the firing? >> it says a lot about robert mueller. here's the guy in washington a long-time washington a long time ago washington a long time ago still works and you will do everything he can to make sure his work as per trade as nonpartisan as possible. the fact designed to quickly let somebody go with private

comments about the president indicate and he wants to focus on his work. arthel: now that this has come to light can this discredit the russia probe? >> based on what we know now, no. the national security adviser who served in the white house has pled guilty to federal crime in a way that suggests he is cooperating a broader grove. this is the most serious investigation is still in the course of that as we move forward, who wants to criticize the investigation is going to do so and they will use every opportunity they can then have this hook and we will hear more about his firing as things heat up for the president. arthel: as reported the office inspector general will examine the role and a number of other

politically sensitive cases and not probe we are told should be completed. what could possibly be discovered and exposed? >> if they suggested they are going to move in a different way because of the personal views, and it's pretty explosive. it's the first step we know he probably held views that were opposed to president trump and people had views and the fbi both ways. the question is whether it ever rose to anything beyond that. arthel: do think peter struck will appear before the house intelligence committee? >> i expect so. i think it's an opportunity to cross-examine these things than i expected to go along enough laughing. >> i have to leave it there. thank you. nice to talk to you. >> less than two weeks to the election in alabama. this is the republican party

holding a slim two seat majority on capitol hill. what will be the impact of this race, what voters think of the sexual assault allegations against republican candidate roy moore. we will look at that max. how do you chase what you love with moderate to severe rheumatoid arthritis? do what i did. ask your doctor about humira. it's proven to help relieve pain and protect joints from further irreversible damage in many adults.

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tree into just one week for the alabama senate seat vacated by attorney general jeff sessions. poll showing the race is neck and neck. doug jones, former u.s. attorney in the clinton administration, roy moore, the former chief state justice who continues to deny those decade-old sexual assault allegations from a variety. brian is joining us now and what the candidates are doing this weekend to get out the votes. >> two weeks ago, democrat doug jones with an eight-point lead over roy moore for brave new "washington post" poll showing this race is neck and neck. the poll of likely alabama voters taken this week shows jones with a slightly to 50% to 47% of her more. this is close and the margin of error of powerpoint five points. according to the survey, alabama voters are divided over whether or not they believe the sexual

abuse allegations against more while 35% believe the allegations more than 37% of people say they are unsure, have no opinion 128% say they do not believe the allegations. jones spent his saturday in alabama where the christmas. the civil rights movement today is hosting a fresh brian all of this ahead of the campaign business to pensacola, florida on friday. he is not worried about the presidency is it just across the border. >> we are running our campaign. we are going everywhere in the state with the same message so we are not going to worry about having somebody that is campaigning in another state. we are going to be campaigning in alabama all the time. 24/7 between now and december december 12th.

>> robocalls are encouraging albanians to attend the event in florida although the president has been expressed support over jones, says the allegations the white house distanced themselves someone. all of this as a crucial senate seat, the election on december 12th. tree into brian, of course to visit is affecting alabama. >> that does it for now at 4:00 and 6:00 eastern. eric: we are going to be here. more news from washington. take care. booking a flight at the last minute doesn't have to be expensive. just go to priceline. it's the best place to book a flight

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we're part of it. leland: branded treats her president trump on as security adviser michael flynn's guilty plea and why he thinks the media should be focusing on the fbi's handling of the hillary clinton e-mail scandal. elizabeth: said majority leader mitch mcconnell speaking out on this major bank or a passing a comprehensive tax reform bill on what the political fallout is likely to be in the 20 team midterm election. leland: supreme court