that is all the time we have this evening. thank you for being with us. the news continues with greta. we will see you back here tomorrow night. greta: can you hear me now? you all know that commercial. it was no commercial yesterday. it was the real deal. it happened at a town hall meeting. councilwoman answers herself phone while she is being asked a question. the woman who asked the question is here. what do you want from these town halls? what is the point? you will hear from rush limbaugh coming up. there is a new information regarding pakistani terrorists. henry kissinger goes on the record.

the town hall process continues. >> [unintelligible] >> it triples premiums. >> stand up and fight. we woke vote -- we will vote you out. [unintelligible] [applause] >> it got a little bit rough these days. next question. he did not answer it. he taught in circles. >> people come to town meetings who have objections. i emphasize that they may not be representative of america. their views have to be taken into account.

>> there is some disagreement. >> how are we supposed trust you? is there an option to say no to this bill? >> it is not about health care reform or insurance reform. it is about government control. >> i charge you with usurping authority not granted to you as a u.s. senator. >greta: houston, texas a councilwoman answers a cell phone while a cancer survivor asks her a question. >> if you're conscious allows you, what are you doing for

america -- >> seriously, really. come on. [unintelligible] >> do you think this is good for america? when does it stop? greta: tracy asked that question and joins us live. was there any explanation by the congresswoman by what happened? >> i did talk to her later, but not about her using the phone. what appeared to be happening was her staff was telling her that there were local political

leaders coming to the meeting that he -- that she should talk to. greta: did she pick up the phone in the middle of your question? do you know who she was talking to? >>, yes, she did in the middle of the question. i do not know who she was talking to. i think it was someone in the room. every time she got on her phone, she would give a shot out to someone in the room. greta: did she apologized? >> no, she did not. i talked to her afterwards. i thank her for keeping her town hall open to people who were not her constituents. another person did not do the same. greta: did you get your question asked and answered at any time? >> snow. my question was not directly answered. she basically made a remark

about me having the cancer and that people like me would not be able to afford health insurance. she said this bill would help them. greta: it is hard to tell from the video, but for people yelling things out during the time of the question? >> they were saying that she is not listening to you. they wanted her to get off the phone, telling her that she was being brewed. greta: dishy continue to do that to others? -- did she continued to do that to others? >> yes. greta: was anybody upset about this? it is one thing to do it one time by mistake, apologize, move on. did the crowd get rowdier the more times she did it? >> it did not get any rowdier

than what you heard there on that video clip. people did make remarks whenever she would get on the phone. they thought that was rooude. a lady behind me told her that she was being rude. she told her that she is not rude. greta: why did you go to this town hall meeting? >> i wanted to ask some questions that i had for the congresswoman. once i got there and saw her presentation which she was doing in an effort to dispel the myths about the health care bill, i change my question to the one you just heard. greta: are you now more inclined to be in favor of it or less in favor of it after going to this meeting? >> nothing has changed.

i am not in favor of it. greta: why? >> because i believe that no bureaucracy should be involved in health care decisions. i have decisions to make for my daughter when she had a kidney problem over a year ago. i would like that decision to be between me and my doctor and not a barack receipt. -- not a bureaucracy. i believe under the socialized health care they are promoting, it would be rationed. greta: it sounds like you need an apology from the congresswoman. i do not mean to be flip. that was rude behavior.

thank you and good luck. >> thanks. greta: a congressman at a town hall meeting in indiana. >> town all meetings are more about people in public like hearing from the people they serve. greta: he joins us live. good evening. what was your meeting like? >> people feel very strongly about not just a government takeover of health care but also about the general direction of the country. we had 250 people there. they have all had record town hall turnouts. the majority of people who are coming are expressing the kind of concerns you just heard about a government takeover on health care which would cost millions

of americans the health insurance they have. i am also hearing just as much of concerns about deficits and bailouts and government takeovers over other areas of the economy. a lot of americans are coming out. they are singing enough is enough. greta: it is hard to recover from the fact that she was treated so rudely when she asked a question of a congresswoman and she gets on the phone. i take it you were not on the phone tonight in the middle of years. were you? >> [laughter] i give sheila jackson some credit for having a town hall meeting. republicans across the country are hosting forms like this -- forums like this all across

their district. they are getting record turnouts. there has been the suggestion that the republican national party is turning people away, but how does that explain the hundreds of people turning out at republican town hall meetings? this is not a political effort. this is an effort by everyday americans who are sick and tired of government takeover in one area of our economy over another. there is concern as i said about a record spending deficits, debts, bailout. as a woman told me in for when indiana earlier this week the health-care takeover is just the last straw. that is what i think is bringing out all of these americans to town hall. greta: i like congresswoman sheila jackson lee. she is going to have to

apologize to dig yourself out of this one. she has some explaining to do. i will and butter on tomorrow night. -- i will invite her on tomorrow night. i take it that you oppose the bill. argued in favor of some reform of health care? >> -- are you in favor of some reform of health care? >> yes. we want to lower the cost of health insurance and the cost of health care. we think americans should be able to buy private insurance the same way members of congress can on a national basis. we should do serious tort reform. we can lower the cost of health care and health insurance without introducing a massive new government-run insurance plan that will cost millions and

set us up on a pathway of socialized medicine. greta: thank you and good luck. you'll find out who one person is coming up. take a look at this video. would you want to deal with this? the congressman goes on the record next. travel plans has everyone talking. is he planning something? we will ask him. we will ask him. yeah, so? have you smelled this chair? or these curtains? you've gotta wash this whole room! are you kidding? wash it?! let's wash it with febreze! whoa! [ sniffs ] hey mrs. weber. [ sniffs ] it smells nice in here. i like to keep things fresh. [ male announcer ] for all the things that you can't wash, wash it with febreze. febreze now comes in two fresh new scents -- downy april fresh and gain apple mango tango.

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greta: philadelphia, pennsylvania. a town hall. >> will you enroll you in your family in any public auction and forgo the congressional option you have now? -- in any public option? >> i do believe in my heart that single payer is the best thing

for quality health care. [cheers and applause] >> i want the insurance i have because i picked it. i picked it. it covers me. it covers my wife. it covers my daughter. and i picked it. how can you tell me that the private options will stay in place when my employer with 29,000 employees can just turn around tomorrow and say, "we are writing off the bottom line. you all can go to the public option." greta: the health-care plan is not particularly popular in pennsylvania. and you rasmussen poll shows that only 42% bear -- a new rasmussen poll shows that only 42% -- they are passionate, are they not? >> they are. you know, in the middle of a savage recession, how can you not have anxiety for a government that over the last 10

years has not been very accountable? so it was a great session. greta: your leadership and the house. where you say it is un-american to be out there -- your leadership in the house. >> all i saw in the public today were americans. i had the opportunity to go across pennsylvania, and i have found whether you are a democrat, republican, not registered, independent that there is anxiety out there. how can you not be? we are in a savage recession, and you have lost your job or are about to. if there was ever a time to put principle over politics, it is now. all they want to do is talk to you and to hear and listen. that is what leaders are supposed to do, grab a hold of the anxiety at the moment, and we should be judged by the size of the problems we are tackling.

i am more convinced than ever that we are doing the right thing with the house bill, and i just hope that people come back, having listened. we are on the right path. i spoke about facts tonight, and i thought they had a great conversation with me, and i sure loved it. i am a servant, a public service, and that is what tonight was about. -- a public servant, and that is what tonight was about. greta: do you vote the way you want, or do you vote the way your constituents want? and if you do not vote the way your constituents want, is that political suicide? >> we are not a democracy. you know that, greta. we are a representative democracy, so you just do not have everybody pushing a button.

we have a deliberation. we discussed it, and we listen, and if, after a while -- we discuss it. you will not be reelected. i have 31 years in the u.s. military. i got out after my daughter had a brain tumor. i got into politics to pay back, and everyone should have the opportunity she had under the tricare system. i believe that you just cannot sit there and say, well, 53%, when the economics of this also says that america loses money every year because of the uninsured. we have got to compete with china, and the right health-care conform -- reform will help us do that. greta: do you agree with senator arlen specter on the health care, exactly? >> is hard for me to understand where arlen is on health care,

really. my position is a health-care bill that i helped shepherd through my committee on the house side. i respect the man. but he derailed the clinton health-care plan in 1995, in 1994, and the congressional budget office had actually said it would decrease premiums and would save more money in our budget, so over the last 15 years, nothing has been done to accept to have 120% of the increase in premiums and many lose their health insurance -- nothing has been done except to have 120% of an increase in premiums and many losing their health insurance. greta: thank you, sir. up next, who is rush limbaugh calling a clown? rush limbaugh is coming up. plus, there is political intrigue in washington. there are stories circulating

about rick santorum. senator santorum is here. senator santorum is here.

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[captioning made possible by fox news channel] captioned by the national captioning institute --www.ncicap.org-- greta: rush limbaugh is crystal clear. he is not taking any prisoners, and he loves the town hall

protests. >> if we do not say we want to change it -- we are trying to save it. a full-fledged onslaught. by virtue of votes in the house and senate, it cannot be stopped, so what are we supposed to do with town hall meetings? what is the purpose of the town hall meeting? is it because politicians can come down from on high and say what they are doing? or is the purpose of a town hall meeting to hear some constituents? we do not need to go to a town hall meeting and have a report from these clowns about what they are doing. it is for them to hear us. greta: well, we now know what rush limbaugh thinks. coming up, you'll hear what senator rick santorum thinks. but first, senator santorum is heading to iowa. he joins us.

i love iowa, but it does not have beaches, no mountains are climbing, no disney world to take the family. there is only one reason people go to iowa, so what is up? you are going to iowa. >> do not being dissing i know i was so much. greta: i said i love iowa. >> wisconsin is neighboring iowa. look. i was invited out by the american future funds, and they asked me to come out and give a speech, so i reached out -- by the american future fund. i am speaking. yes, i went to iowa because i am very concerned about what is going on in america right now, and as you know, i come here on fox, go on the radio, and i write, and when you go and give a speech in iowa, people pay

attention to what you are doing, and that is what i hope to accomplish. greta: i wrote down in the notes. is what you said code for that you are considering 2012? >> i am worried about 2009. this is a very critical time, greta. the reason you are seeing a deep passion -- this is called a transition -- the reason you are seeing this passion is because people are very concerned about not just their pocketbook. -- the reason you are seeing the passion -- this is called the transition. they believe something is foundational in going on in washington to rob america -- they believe something is foundational lly going on in washington. i think a lot of people are stepping up to the plate and

trying to get involved to make a difference. greta: do you give members on both side of the i accredit -- both sides of the ideal credit? what about the ones -- do you give members on both sides of the aisle credit? >> i think you have said malaise -- u.s. seen most of the democrats stand up and take it, and not say things that are in temperate -- intemperate. i think many will come back from those town hall meetings and say that there is something real going on out here, and if we do not pay attention to this, it will be to our peril, not just in 2010. greta: you are from pennsylvania, obviously, and i do not need to tell you that.

the number of opposed in pennsylvania. if members go back to congress with those types of numbers opposed to them, is this a huge risk? >> it is a huge risk. joe sestak almost got it right. we are a republic. yes, we owe the people of pennsylvania -- i did 12 years as a senator -- our best judgment. that does not mean we ignore their judgment. that means you have to take into consideration what is going on across america, and your judgment could impact lives and impact this country, and i think that you have to get the sense that the direction that the house is going right now, and the senate may be going, could be very disruptive to americans, not just a handful of folks at town meetings, but disruptive to america as we know it, and they had better think about what they are doing. greta: ok, senator santorum,

thank you. i love iowa. i am always suspicious though when you guys got out there. >> thank you, greta. greta: up next, terrorists have made horrible threats that they want to get nuclear weapons. want to get nuclear weapons.

greta: there is alarming new information about pakistan and its nuclear arsenal. according to a research group, there have been at least three attacks, and the article warns about the threat of nuclear weapons ending up in the hands of terrorists and that it is real. , are we doing enough? former secretary of state henry kissinger joins us -- it is real. are we doing enough? should we be concerned that the nuclear arsenal in pakistan will get into the hands of islamic

extremists or the taliban? >> i think it is certainly a matter of concern of any nuclear weapons falling into the hands of extremists, especially in pakistan, where there is a very active jihadist movement. i have seen no evidence that would question that pakistan has a under firm control, but it is an issue that should concern -- has it under firm control, but it is an issue that should concern us and any other country that could be affected by a nuclear attack from terrorists. greta: besides the fact that they have got so much turmoil in pakistan, it includes the fact that the military is in charge of protecting it, and it is hard for us to think the military is not somewhat sympathetic -- some of the military -- sympathetic

to the extremists and anti- western. am i wrong? >> some elements in the military might well be sympathetic to extremists. on the other hand, the military in pakistan are the best organized and in many respects the most difficult -- disciplined group, and if i had to bet between the military and other security forces, i would rely more on the military, but there are elements in the military that have been encouraging to the taliban, especially inside of one area. greta: and i guess the other thing that sort of alarms me is that there is a history in pakistan. you have got a.q. khan, who is the father of nuclear technology in pakistan, who was arrested, confessed to being essentially the wal-mart of

nuclear technology to iran, libya, and north korea, and then he got, after confessing, he gets hardened by the -- pardoned by the president musharraf, and even now, he has been released, so the political structure seems to look the other way. >> what you say is absolutely true, but we have two challenges in pakistan. one is the challenge you described. the second is the importance that pakistan has in the fight in afghanistan, and what we're trying to do apparently is to walk a narrow path within that, but what we will have to do sooner or later, and maybe we are doing it already, is to have some quiet conversations with other countries that might be affected by jihadists' access to nuclear weapons in the region,

and many of pakistan's neighbors are in that position, but we also, of course, would like to maintain the cooperation of pakistan and increase it in afghanistan. so it is a tough road that we have to walk. greta: indeed. you speak of pakistan's neighbors, and i think of india. what do you make of india's stopping that ship? all we know right now is that they found, like, 60,000 pounds of sugar. they are still looking at it, but what do you make of india stopping that north korean ship? >> india is imposing the security council resolution, and i think it is a very positive sign. india has been very cooperative with us, and they had very many parallel interests with respect -- they have a very many parallel interests with respect to terrorism and with respect to the nuclear danger -- they have

very many parallel interests. greta: am i wrong to be suspicious that north korea might have been being a little coy? because sending that ship off in the direction that they did, knowing that someone was likely to stop it, and having 16,000 tons of sugar sort of makes the stopping country look, well, wrong, for one. >> nobody knows what the north koreans have on the ships. if north korea, a country that has no significant economy, that has no close relations with any other country in the economic field, if they can get away with defying the security council, the united states, china, japan, and russia, and south korea, and

establish a nuclear arsenal, why would any other country, especially countries like iran, have any respect for what these resolutions might be? that is the key issue. we have no quarrel with north korea, as such, but if north korea becomes a nuclear country, in the face of all of these obstacles, then we are going to have a great challenge, and the pakistan issue that we started with is an aspect of this whole issue, because if nuclear- weapons spread around the world, some unauthorized use sooner or later is going to happen, and then we're going to see suffering far exceeding anything we have seen up until now. greta: secretary kissinger,

always nice to see you. thank you, sir. here is a look at what is coming up after the show on "the o'reilly factor." bill: greta, does the obama administration wants a war with fox news? it seems that way sometimes. -- does the obama administration what a war? greta:-- want a war with fox ne? greta: i would not want a fight. and when you

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he hopes to coach for the cardinals long as they will hav. we now return to "on the record with greta van susteren." thanks for watching the fox news channel. greta: "the wall street journal" just surveyed economists, and 27 say the recession has ended. joining us is steve moore, a senior writer for "the wall street journal" editorial page. can we talk about the new ceo for aig? he just got tired last week, and what is he going to do? because i want you to tell the viewers what he is going to do -- he just got hired last week. i do not want them to be mad at me. >> i do not know all of the full details of it, but, essentially, he just started the job last

week, and now he is going to go on vacation to croatia. apparently, he had this vacation planned for many months before taking the job. i think there is a little insensitivity here. greta: a little? a little? they could have hired him next week. he could have held the job for a week. we bailed them out to the tune of $180 billion, aig, or whatever the extraordinary numbers were. could he not have -- if he insisted on going on vacation, would it have made more sense to hire him one week later? instead, all of the unemployed americans, everybody who pitched in to bail out this company and the ceo -- and he is not even taking an american vacation. he is going to croatia. >> it speaks to the fact that a lot of these ceo's in these

companies are somewhat politically tone deaf. i am talking about the ones who took taxpayer dollars. there is still a rage about how they mistreated not just taxpayers but shareholders. you are right. this is a time when many americans cannot afford to be taking vacations, especially overseas, and it seems to me that these guys should buy a v owel here and be more sensitive. greta: i do not get it. but, anyway. the recession. the technical, economic and definition -- the recession may be over, but if you are unemployed and are one of the nine. 5% of americans who want a job and cannot get one, i bet you do not feel that way -- if you're unemployed and are one of the 9.5% of americans who want a job and cannot get one, i bet you do

not feel that way. >> sure, there were less jobs lost than the previous month, but there are millions of americans who do not have jobs, and, by the way, you have to add another 8 million americans who either cannot find work or that have become so discouraged they are not looking for jobs now. 1/6 americans are in that category, discouraged workers, part-time workers, where they do not have a job at all, and i find it hard to believe -- or they do not have a job at all, and i find it hard to believe that they would say this recession is over. greta: the 443,000 jobs lost in june is now down to about 250,000 in july. it becomes good news when we do not lose as much as we did before, and i guess if we can be enthusiastic so the people go out and think it is over, that is good because people are consuming and spending, and we have got to get this thing

rolling rather than the sort of doom and gloom. >> another thing i have to say, greta, when you look at the health-care bill that you and talking about in earlier segments of the show, one of the ways this bill is paid for is on the backs of small businesses, and there is an employment tax. every time they hire a new worker, they have to pay a tax of 8%. my goodness. at a time when we have record- high unemployment, why in the world, would you want to put more taxes on the businesses that create the jobs when we have 9.5% unemployment? let's not do that until we get the jobs back. greta: well, i think that the members of congress are getting an earful when they are home, at least a number of them, on this health-care bill. >> i hope they are. greta: i just want them to read it, understand it, and write it in plain language, so people know how to implement it.

judges will have to interpreted, and then we will have to call them activist judges -- judges will have to interpret it. >> there was the woman you had on from houston earlier, and she is very representative, greta. i am glad that you had her on. she is a housewife. she cares about her country. she is not wearing a swastika. she just cares about her country, and millions of americans are outraged and are going to these town-hall meetings. i think it is great to see people active politically. greta: i have got to go, steve. see you back in washington said. up next, steve's favorites segment, the best of the rest -- my mother made the best toffee in the world. it's delicious.

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greta: you have seen our top stories, but here is the best of the rest. finally, the answer to the winter extra pound or two. we have the answer. it is causing a scene in france. it has been banned from a local swimming pool.

it is known as a "burquini." one woman said it would allow her to date without showing too much of herself. she says she is a victim of discrimination -- would allow her to baithe without showing too much of herself. and lawmakers are trying to determine whether or not to ban the burqa in france. it was ruled today it was legal for governor palin to use her personal email account for business. an anchorage man filed a lawsuit, saying that denied citizens the right to examine public records. the man is considering whether or not to appeal that decision. and how does a ship just disappear? a ship and crew are missing at sea.

swedish police glass sought -- spoke to them in july. since then, it has just been gone. it was allegedly attacked near sweden. swedish police last spoke with them on july 31 allegedly. they say that 8 to 12 men boarded the ship, tied them up, and later left. the crew said their captors claimed to be police. swedish authorities say they were in no way connected to the operation. four days later, the ship makes contact with british authorities as it passes through the english channel. tuesday, august 4, and it is scheduled to arrive in algeria but never does, and now, the ship is just missing. pirates? shipwreck? or something else? we do not know. we will bring you the latest on this mystery as soon as we get it.

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greta: 11 the club is almost a year. flashed those studio lights -- 11:00 is almost here. flash those studio lights. >> this is how the company is trying to make americans healthier. sending out ice cream trucks filled with only fruits and vegetables. yes. do not worry. it is not going so well because all of the trucks have been turned over and burned by angry, fat kids. greta: that is it. the lights are blinking, and we are closing up shop. do not forget, go right to gretawire.com andbl