last time it happened, yen soared. takes a look at fxy, and if you are looking to diversify out of dollar, this is a good pick. >> terry: it is risky. that is going to do it for us. thanks for joining us. have a great widen weekend. >> gregg: i'm gregg jarrett. we are just getting videotape of a crash of a belo russian fighter jet. it happened in poland. it was performing maneuvers. we're going to try to get more information. we're also hearing from police regard the jadee dugard kidnapping case. they are focusing their investigation on two suspects, philip garrido and his wife. they are digging in the backyard where jaycee and two daughters were allegedly being kept in a

makeshift compound of tents and sheds and a whole lot more. we're going to continue follow what is happening. we'll bring that you news conference as soon as it begins. another fox news alert. wildfires in california threatening 12,000 homes. 6,000 of those homeowners are under mandatory evacuation order as the flames are closing in. the unpredictable fire is spreading in all directions. schwarzenegger says 2200 firefighters are battling the flames and he is urging them to heed authorities' warnings. live from california. anita? >> good news, bad news situation the bad news because of the extremely hot triple-digit temperatures, this fire did triple in size overnight to 35,000 acres. good news is, it's a little cooler today the temperatures

and humidity is on the rise and that should help firefighters in their battle. let me show you where high am standing. you can see at the end of the street there is fire engine and firefighters, we've watched them at the end of this cul-de-sac taking a stand of flames that were leaping into the neighborhood about 150 yards away. we watched homeowners on their rooftops spraying down their roofs, doing whatever they can to save their homes. earlier today we heard from governor arnold schwarzenegger so far three homes have been lost. he hopes that number will stand. >> this is a huge and very dangerous fire. fire is moving very close to homes and structures. i will promise they do the best job that they can. >> reporter: so far we know that three civilians and one firefighter have been injured.

we know there are 10,000 homes that remain threatened. a couple of though of people remain evacuated, as well. what kind of resources are firefighters using to try to quell the flames? >> we have a lot of resources on the ground, much more than yesterday. as you said at the top, 2200 on the ground from all over the state. there are 50 strike teams here and we ran into a couple of crews from montana. we have been watching throughout date. there have been water dropping helicopters and forest service crews in the rough terrain. that is one of the factors, more resources on the ground and better weather conditions. they are hoping that firefighters get a better handle on this today. >> anita, thank you. a thick gray cloud hovering over the angeles national forest. you can see how close those flames are. this is the city of pasadena you are looking at. it's a very populated city.

smoke and haze not to mention the smell lingering in the area. if you have pictures of the fire send them to us. we my decide to put the pictures on tv but don't put yourself in harm's way. >> gregg: high temperatures is helping fuel this dangerous fire. they are in the midst of a five-day heat wave. they are trying bring the flames under control. any relief in sight. let's go to our meteorologist, any help on the way with mother nature. >> three to five days it will be very hot in the western part of the united states. we have a big ridge sitting right in here. that is classic california heat wave situation. marine layer will try to work its way inland over the next several days. i promise relief it's going to

turn chilly in the west and wetter winter this upcoming winter. let's take a look at this map. this is the hurricane jiminez. the hurricane center is forecasting into baja and believe this is going to turn out. however, it will be a warning shot where we may see storms turn up into mexico and into the southwest. we want to point this out in the atlantic, for the labor day weekend. this may again be in the area in the eastern seaboard of the united states. caribbean is almost shut off. most of the action comes up but we'll be keeping an eye on that too. >> gregg: thanks for the update. bush fires are ranging in new south wales, australia. fanning flames and number of homes evacuated and people say 150 scouts were camping had to

flee the area. fire investigators say those blazes are expected to burn for several more days and number of homes threatened by those fires. well, the story we have to go to, three texas boaters. they were missing at sea for eight days. everybody thought, they probably were gone but they were reunited. they were found alive atop their boat yesterday. 230 miles off the texas coast. coastguard had basically given up on the exhausted search for these guys. ordeal ended when a car dealer on a luxury yacht spotted them. he took them in and treated them naturally to a nice steak incident other the boat. he will be joining us later on in the hour. manhunt on hunt is on for

the killer two students from virginia tech. they are described by the minister as godly young people. police found the couple shot to death last thursday in a parking lot within the jefferson national forest. laura ingle has the latest details. >> the murders of 18-year-old and 19-year-old has rocked the virginia tech community. it's already been hit so hard with tragedy. locals describe the park where the couple were murdered as a peaceful serene place that is very popular for students looking for a quick getaway. they were a couple who had been described as honest, church going students who were role models. they believe the two were hanging out when they were shot what appears to be a random act of violence. >> they came here to park and were sitting there probably talking. >> it's shocking, it's

disturbing, just to summarize it in one word, it's brutal. quite honestly it's brutal. >> reporter: the bodies were discovered by a man walking his dog in the morning. police continue to search for clues. cops tell us there still have not been any breaks in the case. nearby residents reportedly did not hear any gunshots. we heard there they were shot on wednesday night or thursday morning. no weapon was found at the scene. right now the public is being asked to come forward if they have any information about an older model queen victoria car. they had seen the car driving back and forth over the last couple of months. they want to find that driver. the boy was majoring in industrial engineering. heidi childs was an honor steward at but oh chemistry

major attending college on a full scholarship. the couple worked together at a localize cream shop. residents right now and friends have been placing flowers on top of fence posts where they shared their last moments together. we'll couldn't to bring you updates as we get it. that is a sad story. if you have any information you are urged to call the sheriffs' department in that area. >> gregg: we are getting a look at the final resting place of senator edward kennedy. he was laid to rest at arlington near his two brothers. at the head of his gravesite is a white oak cross identical at robert's gravesite. buried near the eternal flame that was lit for john kennedy that overlooks the hill. a push is on to name a replacement.

massachusetts lawmakers targets to rally behind the governor to appoint somebody to fill that office. that would give the governor to appoint a democrat and if that happens they would keep their critical vote margin 60 votes to overcome republican filibusters. it looks like the legislature will change the law allowing the governor to name a temporary replacement. >> gregg: the passing of ted kennedy leaves a void in the senate. perhaps the most immediate and drastic effect will be seen in the debate over health care reform. project that kennedy called the cause of his life. >> the death of kennedy could dramatically change health reform for two reasons, he has been leading the charge for four decades. they have been fallen below the 60 vote majority.

they may have to lose some senatorial maneuvering for a simple majority instead of the threshold. harry reid said if he can't get a by partisan bill through, he'll vote part son. orrin hatch said lawmakers can learn a lot from kennedy. >> he could bring together all the base groups of the democratic party. they wouldn't take him on. >> kennedy had something most members in the senate don't have he could afford to wait. and he didn't have to worry about attacks from the left, over 47-year career. >> he had the ability and knowledge to get into a political situation and make the compromises and he knew there might be some people who might be unhappy but no one was going to say, take it out for no good reason. >> so far, no action. next up, gang of six, bipartisan

group in the senate committee they have a conference call this friday. >> dick cheney accusing president obama's administration of under mining national security. in a fox news exclusive, cheney slams the justice department's decision to investigate terror interrogators. it's such a terrible precedent by looking back at the previous administration. >> you think it's a political move? >> i think the fact is the justice department has reviewed the report five years ago. now, they are dragging it back up again and holder is going to review it again to try to find some evidence of wrongdoing by c.i.a. personnel. a review in never going to be final anymore. we can have some future administration come along ten years from now, 15 years from

now and go back and rehash all of these decisions by an earlier administration. >> let's go to washington. live with a little more light to shed on the story. >> it was dick cheney unplugged this morning. he predicted that the review of c.i.a. interrogations would be devastating to morale at the agency. and accusing the obama administration of political pressure to the left. to elect a special prosecutor would be up to a them but the ultimate authority should lie with the president. >> he has backed off and disclaiming he is not responsible. i just think high is trying to duck the responsibility for what is going on here. i think it's wrong. >> bush administration guidelines gave interrogators the ability to use water boarding that some consider torture.

cheney says that kept the country safe from terrorist attacks but they question the value of the interrogation techniques. >> if you inflict enough pain on anyone they will tell them anything to make the pain stop. so you not only get right information but you also get a lot of wrong information. the damage that it did to america's image in the world is something we're still on the way to repairing. >> reporter: senator mccain opposed to the interrogation methods but he says it's a serious mistake on open the investigation because it could harm c.i.a.'s effectiveness. dineian feinstein says she is horrified by what he shas learned but she thinks they should have waited to act on this until they complete their bipartisan review. >> gregg: let's continue the conversation on this rather controversial topic, by

welcoming our congressional panel. congressman adams and a republican from tennessee. representative blackburn, could prosecutors closely examine these interrogations, they found no prosecute offenses and one they did prosecute. suddenly you have a political appointee in the in time of eric holder that is reversing the judgment of non-political appointee. does that smack of partisan politics? >> what it smacks of is a pilt of this entire process. when you know this review was made a decision was made. the one infraction was dealt with. that person was given a jail sentence. gregg, when you look at the fact we have individuals there at the c.i.a. who are instructed to carry out.

look at 911 commission had to say about investigating the c.i.a. and the damage that did during the clinton years. what could have lack of information and our ability to some thwart 911. i would say it's very dangerous. >> congressman, back in 2002, eric holder said in an interview that gitmo detainees are not entitled to the protection of the geneva convention. how can the attorney general now appoint a prosecutor to potentially bring charges for violating rights which he himself said do not exist? >> the is responsibility there was preliminary review and early investigation because they determined that federal criminal laws had been violate or may have been violate. we have prohibited torture in

this country. that is matter of u.s. law separate apart from geneva convention. >> gregg: ratified against torture that was adopted there. what i'm asking here, he said seven years ago, they don't have these rights. now, he is potentially prosecuting them under a violation of those rights which he said don't exist. >> i don't think it's quite that simple, there are violations of u.s. law potentially involved here as well. i think where i disagree both strongly with the vice president. he seems to think that the attorney general should do whatever the president wants him to do, which was the case with attorney general gonzalez but that was precisely the problem. we have an attorney general as the top law enforcement officer in the country. he has been referred these cases. >> gregg: i apologize for interrupting, we're live in

california. this is jaycee dugard news conference. girl that was kidnapped 18 years ago. >> the search will likely wrap up probably sometime in the early evening, sometime tonight. i'll have a little bit more on that in just a few seconds. as far as the neighbor's houses at 1540, as you can see we do have it roped off and we do consider eight crime scene. there seems to be a lot of misinformation about robinson and i would like to clarify that right now. in 2006 we do know that house at 1540 was vacant that damon robinson didn't live there and we do know that philip garrido had access to that property. he used that property and it looks like he lived on that property in a shed. we know he was there. that is why, primarily we're

taking a close look at that property. as part of the overall investigation we talked to all of the neighbors in the area, they've all provided some information. damon robinson gave us permission to look at his property. he gave us consent to go on the property. we would be remiss if we didn't take a close look. as you just saw a few minutes ago, some dogs were brought in to be used to search and check that property. i want to clarify that damon robinson is not a suspect for a person of interest. he has been cooperative with law enforcement. on that same note, there are no other suspect leads in this case. as i mentioned, the search will likely end in the early evening probably around 8:00. we've been here for three days. three agencies involved, contra

costa office and antioch police department and pittsburg police department will take a close look at the evidence that was collected here and see if they are linked in any way to open cases. at this point it's still early on in our investigation. there is a lot more work that needs to be done. there is a lot of unanswered questions and this is a process that could take weeks if not months. i might take one or two questions. >> no, i never said that. pittsburg police department, antioch police department and office of sheriff. open, sorry. i'm sorry. [ inaudible ] >> neither right now. it's still very early in the investigation. it's an exploratory

investigation. we're trying to see if there is any link, any possible link between philip garrido and those open cases. it's too early to say. [ inaudible ] >> as far as the three agencies there are a number of open cases. i'm not sure if any other agencies are involved in that but at this point, we definitely be remiss if we didn't ask that question. it's just too early to answer at this point. i'm sorry. i can't comment on that. i'm going to confirm those are cadaver dogs. we're going to have them go through the backyard at 1450, that is part of the overall investigation. you know, it's too early to say what we're looking for. anything that may be linked to some open cases that we have.

at this point we're going thoroughly through both backyards and it's too early to say what we might come up with. i don't know if it's going to to that extent but we're going to take a very detailed look at the backyard. no, it seemed like that as of this morning, that damon robinson was a person of interest or a suspect. he is neither. i want to make it clear again, that damon robinson is not a suspect and not a person of interest. he has been cooperating with law enforcement and he voluntarily gave us consent to go on his property. that what we're doing today. one more question and that's it. you know, i think we're following up on that. that is going to take a little bit more time.

that is going to be more involved. >> the i don't have any information on the girl, that is not our area. we're investigating the house. this is a crime scene. i don't have any information on eldorado county sheriff's case. i will also say i'm not going to plan any more press briefings today. we'll have to revisit tomorrow and see where we go from there. thank you very much for your time. >> gregg: brief news conference in antioch west of berkeley about 25 miles and that, of course, is where jaycee dugard had been held against her will. she had been repeatedly raped. let's go to casey siegle who is standing by live. what is new that we've learned in the last several hours? >> first of all i want to talk about the press conference, the only person of this press conference was to come out and clear damon robinson, the man

who lives next door to the garritos. his name has been thrown around in local newspaper reports. we never called him a person of interest in this case. i suspect they want to come out and clear that up. they have been searching around his backyard. us a heard from that press conference, they roped this whole area off as a crime scene. they said from the get-go this is an extensive crime scene. what has happened in the last few hours is the activity we have seen in terms of the digging that has been going on in that backyard and the literally about five minutes before that press conference started, before jimmy lee stood up to that podium, a van carrying a cadaver dog pulled up. that is very important here because we have been talking about the potential search for human remains in the backyard. not only of philip garrido's backyard but robinson's

backyard. that has been the primary focus of this investigation. we were here all day yesterday. they have been processing this crime scene for three days now. it's described as a compound, a backyard within a backyard which is how a lot of the neighbors were not able to detect what exactly was going on in that backyard. the atrocity that has come to light in the last several days but they were talking about digging. they have been pulling in shovels, chainsaws, rakes a number of those types of equipment just within the last 12 hours or so. we have seen that. that is most notable to talk about as they are processing this crime scene. as far as the investigation goes into the potential link between unsolved cases and philip garrido, in the early 90s there were several prostitutes, up to ten prostitutes that were killed. many of those cases have gone cold and many of the bodies

turned up near an industrial park where philip garrido was working and he just confirmed this public information that they are perhaps looking for evidence that may link garrido to those cases. this is just really bizarre. it is unfolding, story is unraveling here on live tv over the last several days. >> gregg: casey siegle in antioch, california, we had some audio problems but we got the gist of the events, thanks very much. firefighters face a raging inferno in los angeles. 35,000 acres blackened so far. 12,000 homes threatened. mandatory evacuations and no end in sight. when we come back. very latest on california's out of control wildfire. >> today what happened was the perfect storm, fuel, weather and topography comes together generating extreme fire

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>> gregg: quick look at some of top stories. georgia police have arrested a man who called in the killings of seven people in a brunswick mobile home park. officers say the man made false statements to police and he tampered with evidence. they are not saying if he is actually a suspect in those

killings. >> danny a tropical depression but churning up dangerous surf along the eastern seaboard. some surfers are braving the waters. surf at your own risk. forecasters are warning about large waves from carolinas to new england. >> first images of senator kennedy's final rest contingent place. he was laid to rest yesterday near his brothers john and robert. >> proponents look at heath care to canada. but what you have an emergency across the border in united states? a deal that allows canadian to cross contracts the border and get treatment here in america. >> just watering plants used to tie him up. >> i feel great. >> last april he learned he had serious heart trouble and was rushed to a hospital in windsor,

canned. they say his arteries in his heart were blocked and he could have died. instead of putting him on the operating table they put him in a ambulance. >> i did not enough time to go to london or toronto and they sent me to henry ford. >> it's just two miles away, not in canada but across the border in detroit, michigan. it's one of more of a dozen hospitals in the u.s. that have an agreement with the canadian health system to help provide emergency care. >> they need intervention much quicker. so we can get the patients the help they need and better outcome. >> during recent year, there were more than 7,000 patients from ontario alone that received emergency care in u.s. and canada paid for all of it. while canadians have universal health, sometimes the wait for non-you are sent care can be months and even years. that is one reason they crossing the border, sometimes even at

their own expense. >> they can get access to care faster in the u.s. >> he says the treatment saved his life but others aren't as lucky. >> canadian health care system is great but there is a concern for patient that has an emergency. cancer, heart attacks, if it's an emergency, there is a concern >> reporter: partnership between u.s. and canada has been ongoing for about six years. they say that no matter how the health care shakes out here in the united states the cross-country connection will continue. >> thank you very much. it's important to point out that many americans turn to canada for prescription drugs. prices are much cheaper. >> gregg: there is a new report out of britain and deep suspicions about the release of pan am flight bomber.

libyan who is the only person ever convicted in the 1988 lockerbie bombing killing 270 people on that flight. the times of london is reporting gordon brown's government released him in a deal for oil, not for compassion due to his terminal cancer as previously claimed. that is according to leaked government correspondence. he presides over the world's most volatile region. shimon peres is one of most recruit inside these had leaders and now another look at the man that may hollywood the key to mideast peace. >> just yesterday, a rocket was fired from here landing somewhere around here? >> yes. they fly immediately. >> so you are standing here

looking at this and they can see you at this location, do you get worried? >> no, they won't do it because they will would be a retaliation and they know they respect it they would pay everything. >> that interview with s pr perfect airs tomorrow night at 6:00 p.m. eastern time. brett baier will report live from jerusalem. wildfire near los angeles explode go to a major threat. it has charred more than 55 square miles. it's only 5% contained. one witness saying nothing can stop it. the governor says the state is pulling out all the stops to put the flames down. >> because the fire is still totally out of control, emergency declaration will help to cut through the red tape and free up additional resources and response and recovery efforts.

>> so what are they doing to get a handle on this fire? joining us on the phone, fire information officer for the u.s. forest service. first of all, governor swarzenegger earlier today said the fire was out of control. is that the way you would describe it? >> in our definition, yes, whenever the fire has any percentage that is uncontained it is out of control. >> i know the weather has started to work in your favor but is it helping to control this fire? >> may be a minimal amount due to the temperatures are five to six degrees lower today than they were yesterday. i think that effect is probably minimal at best. >> we are looking video and much of the video we see is forest, trees burning but again you have a lot of people, thousands of people with tens of thousands of people whose homes are threatened. what kind of message do you have

for these folks? >> well, the message i guess is to be prepared, be vigilant, be situation aware of their surroundings if they chose to stay at home and guard their property or watch over their property. don't get into a situation where you are trapped. there is no need to be a hero. to save property that ko can be replaced. your lives or their lives cannot. when the evacuation orders are given they need to obey them and take heed. >> absolutely. we're looking at live pictures from the area. when i lived out there, i remember a lot of people would say, we're just going to stay here and try to do something, water our lawn. is there anything these folks who are sitting there watching these flames starting to lick at their neighborhood. is there anything they can do to help firefighters in protecting their homes? >> not really.

i guess the best thing they can do is stay out of way so firefighters can do their job and not kind of clog up the roads at and not the right time when there is a need to takes action on an ongoing flame-up. >> all right. thank you very much for joining us today. best of luck to you. again to warn everybody is out there, please be careful. you've heard of a boycott but how about a buy cott? they are asking supporters to hit up on montana whole foods to show support. ceo recently wrote an op-ed piece oppose ago government health care option. so-called buy got starts

6:00 p.m. on tuesday. >> gregg: last call for a very special bartender in the state of pennsylvania, heat angelo. he has been tending bar and servings up drinks for decades. he was serving a ten cent bottle of beer minutes after prohibition died. he has been running his cafe for years and he is selling the bar. he and his wife decided to retire at 95, camratta, it's great. >> it says for drinks, everybody relaxes. >> here to defend herself. >> remember the billions of dollars the government has fulfilled major banks on the markets collapse, maybe the financial factors. it appears to be backing business as usual big time. what the government needs to do

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fox news alert, getting crash of a fighter jet in poland. you see the jet was performing acrobatic tricks. jet descending after a maneuver and then it disappears into the forest. people were horrified. crash occurred far away from the town luckily, however both pilots were killed. investigators are looking into what may have caused that accident. >> gregg: financial markets collapse taught a lesson about banks. too big to fail, they are not. now billions of government bailouts, lenders called too big guess what, they've gotten bigger.

jonathan hunt portfolio manager and regular on fox news cash go in. while we we're doing this, i kept scratching my head amid the protests over too bill to fail. government's reaction was not bailing out but to engage in forced merger acquisitions and consolidations and that made them bigger? >> right. we made a notion too big to fail worse. two years ago, investors in banks and financial institutions were voluntarily. now, we're all on the hook for citigroup, for bank of america, for aig, for general motors. so those losses will be borne by all of us. in a sense to your point, government has almost exacerbated the problem they wanted to solve. >> gregg: jonathan let me throw out data. j.p. morgan wells fargo

citigroup, aig, issue one of every two mortgages in america and two of every three credit cards. that is according to federal data. that to me is monopalitstic practices but don't consumer's xhurs lose? >> but it's the regulation that props up the big companies. a hazard has been created. government will step in to bail out any big player that gets into trouble. who does that help, it helps the big players. that is one of the reasons, i follow the markets very closely. stocks like freddie and fannie and aig have soared in the last couple of months. many investors have taken it for granted if they do run into trouble, uncle sam will be there with our tax dollars. >> gregg: doesn't that tell them, if they know they are going to get bailed out because they are so big, they can engage

in increasing risky behavior? >> right. because they know, again, those losses will be borne by the taxpayer. what is difficult, in any free economy there would be new players on the marketplace offering up the big guys competition. there has been more and more regulation in the financial space, it's harder and harder for new innovation, new products to be offered. one great example is credit card space. government enacted this whole new slate regulation to help consumers but it has made credit less available. we need to be deregulating the marketplace not adding more regulations. >> gregg: six months ago i posed the question isn't this the violation of the sherman antitrust acts, when you get so big that your failure create as a potential systemic risk, then you are violating antitrust laws. it was interesting that the committee held a hearing not too

long about that but they got differing opinions. what is the solution in your mind? >> i think the solution is to return to a natural free market. for example, i wish that what happened with lehman brothers, they were allowed to fail. they found other jobs. investors lost money but the taxpayer was largely affected. >> gregg: what about aig? >> aig we funded $150 billion of hard working taxpayer dollars that the company is on operating at a ward of the state. >> gregg: they recently reported a week ago $1.8 billion in profits for the second quarter, that is the first reported profit in two years. so the reason i asked about that hasn't the government bailout actually turned around aig which

stock has gone up 264%? >> in the short term, i guess if you gave me $150 billion i could probably report a profit, too. what i worry about, are we setting up for the next aig, next $150 billion bailout with taxpayer bailout as companies too big to fail feel they can engage in this risky behavior knowing at the end of the line, uncle sam is going to step in and write them a check. that is exactly what we do not want to encourage for future good times or bad. >> gregg: it is the antithesis of the free market system. good to see you. we are keeping an eye on california, wildfires there are threatening some 10,000 homes near los angeles. update on the battle against the flames will be coming straight ahead.

>> gregg: couple of headlines, crew of the space shuttle discovery docking at the international space station. astronauts planning to take pictures to see if it suffered any damage in the liftoff. they did not see any fuel tank debris during that midnight launch. >> vacation on the vineyards, it's over for the president and first family. they are heading back to d.c. but not without a final trip to the general store. they bought him push pops and he posed for pictures with locals. >> autopsies performed on seven people found dead in a mobile home in southeastern georgia. police are not saying much right now but they have arrested the 22-year-old family member who

called 911 after finding the bodies. that man not charged about murder but with drug possession and making false statements to police. a controversy is brewing in the netherlands, a 13-year-old girl says she has what it takes to sail solo around the world but psychologists say it could be too much. they are stepping in to keep her from setting sail. >> years ago, born in a boat and aged just 13 wants to spend the next few years of her life sailing around the world. >> nora says she can't see what the fuss is about and insists she is mature enough to cope but the netherlands has intervened. in a bizarre twist they are going to place the school girl under a supervision order. they want to work out whether

the trip would make or break nora. >> the issue for us is safety of nora and we're concerned and decision of the court is quite clear about it. we to do nor research about it. >> 27 foot yacht would be her home on the high seas. her parents support her and her they say she has the ability. >> in this case,... she can do it.... >> now, 42 degrees. >> one teenager who understands more than most how tough the trip would be. it's his crown he wants to

snatch. just this week, 17-year-old british sailor became the youngest person to sail around the globe singles handed. if things don't go her way, she is threatening to move to new zealand where she can claim citizenship because she was born there while her parents were sailing around the world. >> that was from sky news. >> gregg: how would you like a prison shirt for five bucks. >> i already have one for free. >> and listen if you want one of those shirts you can get one in the state of california. cash strapped state is holding a garage sale selling phones, cars and watches and cars. you can find a selection of dental chairs, do we have a picture of those? maybe we can get a drill of that. california is hoping the sale

will bring in a million dollars. symbolic gesture but a small drop in the bucket for a state facing $26 billion budget shortfall. >> there are some nice watches there, gregg. president's approval rating is not looking so hot this summer but how he is doing overseas. why some may be losing confidence in the obama administration. that is coming up next. ( birds chirping ) ♪ ♪ mmm! ♪ and i would do anything for love ♪ a.1. makes meat loaf sing. a lot of other beef too.

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president obama's approval ratings are dropping at home and apparently the president is not faring better with washington's strongsest middle eastern ally, israel, our reporter tells us why the obama administration is met with skepticism. >> reporter: he met with israeli leaders and toured hamas rocket stricken cities and parade at the western wall but the survey of 25 countries shows israel where president obama's approval rating has declined from 75% to 63% following the cairo address to arab nations in june. >> president barack obama: shalom. >> don't like obama. >> but he has been here several

times. >> been here, but he doesn't really know what is going on here. >> he no say, say like what we wanted him to. >> reporter: adding to america's popularity decline his mush for israel to stop building s ing s limits -- set elements in the west bank. >> he doesn't understand what is going on in the middle east or is having conversation with israel in order to please muslims. >> reporter: at the white house, the coming months, pushes for a palestinian state, not everyone is pessimistic, i agent mort supports the president's position of a palestinian state but what they say they don't like is the way he is forcing like is the way he is forcing israel to accept his agenda. captioning by, closed captioning services, inc.

>> i'm jelly -- julie yet. >> and flames spreading close to los angeles, flames spreading all directions, 6,000 homes evacuated and the gorgeous arnold schwarzenegger, urging people to heed the warning to get out, and when polled at least three people have been injured. >> north, and york california, police are combing a property where a girl is kidnapped, kept for the past 18 years and investigators want to know if her suspected cap tor, a convicted child molester is a long sought serial killer, coming up we'll go to the scene where police held a news conference and a live report from casey steegel. >> gregg: and dick cheney not pulling punches with his assessment of the president's administration and his handling of the war on terror. a fox news exclusive, mr. cheney slams the attorney general, eric holder's decision to investigate cia interrogations, and maybe filing criminal charges and mr. cheney is also airing his

doubts about president obama's ability to defend the nation. and we are live in washington, with more. hi. >> reporter: hi, gregg, he is not mincing any words, the former president called it a terrible decision and an outrageous precedent to appointed a special prosecutor to review cia treatment of terror suspects. >> it is a very, very devastating, i think, fact that it has on morale inside the intelligence community. if they assume they are going to have to be dealing with the political consequences, it is clearly a political move, and there is no other rationale why they are doing this. >> reporter: cheney accused the obama administration of folding to political pressure from the left and says, the president himself is ducking responsibility by suggesting that the decision to launch the investigation rested entirely with the attorney general. now, under bush administration guidelines, the cism a w iscia

to use harsh interrogation including waterbarding and they are focusing on the things that went beyond the guidelines and chen has called it good policy that saved lives and that is a claim democrats dispute. >> it is -- it did bring about information but there is discrepancy and error out there in what people are saying it did produce and we need to straighten that out. >> reporter: senator feinstein said she's stand horrified by what she has readed about the interrogations but thinks the attorney general should have waited to acted until the senate intelligence committee completed its investigation. back to you. >> gregg: and you can watch the entire interview with the former environment, dick cheney, today, 6:00 p.m. eastern time on "fox news sunday" with chris wallace, will be right after us, right

here, on the fox news channel. >> the raging wildfire north of los angeles is forcing a lot of residents there to leave everything behind, and there is little relief in sight for the firefighters and the residents there, and the inferno wages and mandatory evacuations are underway and the region is under a state of emergency as 12,000 homes, are threatened. and more than 55,000 acres of dry forest burned so far and this flames are spreading. and anita vogel joins us live from the scene of the firefighter with the latest. anita? >> reporter: juliett i'm in a neighborhood and now the street right here was evacuated, overnight, and people were out of their homes, and they were allowed back in today and look down at the street, where you see the fire engine and the plume of smoke there, the folks who live down there had a few scary moments as flames were literally leaping practically into the neighborhood. and now, let me take you, rob,

our photographer, he can pan up a little bit, to a larger plume of smoke, and that is a nearby community of altadina and i spoke to residents from that community and she said when you decide to move into the foothills of california you need to be as prepared as you can be. >> it is a beautiful place but people who live there are wonderful and, we do regular brush burns and with a fire like this, it will take structures and brush and it will take everything. >> reporter: and though the people back -- on this particular neighborhood are back in their homes tonight, there are still many thousands of people out of their homes today. back to you. >> it is a difficult thing, because you don't know when it will hit and you don't know if it will take a turn and how are residents dealing with that sort of confusion? >> reporter: well, like i said, you know, when you are moving into the foothills area of california, you have to expect there is going to be fire

danger, now, fortunately, there are more resources on the ground today, there are 2200 fire personnel, and firefighters from all over the state, and 50 strike teams, and they are even -- a couple of crews here from out of state, and earlier today, we heard from governor arnold schwarzenegger, and he told us that so far, three homes had been lost, and he really hopes to be able to keep it to that number and i think that was very encouraging for residents to hear. >> anita, is there any word of any sort of cause for the fire? >> right. not yet, juliett, that is still under investigation. and although, we did hear from the incident commander yesterday, basically what we have here is a perfect storm of factors, warm temperatures, and perfect topography to burn and the woods in the angeles national forest have not burned in 60 years and there is a lot of brush up there, and, a lot of fuel for the fire, unfortunately. >> a rough situation, we'll continue following it, thank you very much, anita. >> gregg: look at this picture,

fox news producer kathleen foster cents sent in the photog of the fires getting close to pasadena, california and it is a big fire and that is really just on the fringe of old town pasadena. we want to have you be a part of our news coverage, all you have to do is get a -- go to foxnews.com and click at the top of the page and follow the up loads, and to send us your images, and as always, be very very, careful in whatever you are doing intake the photographs and don't put your safety in jeopardy. but we'd love to see the noets photos. >> if you have never been around something like that that has to deal with that type of fire situation it's not just you worrying about your home being threaten but you have to have the smell in the air and it is hard to breathe and is a rough -- >> gregg: and the santa ana winds from the mohave desert over the san gabriel mountains and it makes the flames worth.

>> good news for firefighters and residents out there, near los angeles, forecasters say the temperature out there will drop and winds will start to tamper down a little bit but those aren't the only forces of nature we're keeping an eye on along the pacific coast, jimena is a category-4 hurricane off the coast of mexico and we are joined now with more on the california forecast, and, the hurricane, hey, joe. >> hello, juliett and you heard that -- we have -- the climactic hardship are in similar to the 1930s, 40s and 50s and the weather pattern is dropped into the lap of people that wanted to watch and it is -- you saw it in the 1940s and 1950 significance and it is happening now and when it cools again, you folks, in california, don't be spriechd, because of the -- el nino, getting going you will have a wet winter for a change and the wildfire situation is going to get better next week at this

time, and will be quite a bit cooler than now, all through this west and here's jimena and they are taking in the to bat ha and i understand why they are -- baja and i understand why they are doing to do this, the modelling, and what i look at from other sources is taking it west and the climate technology, of the situation, this time of the year, is to turn west into the open pacific and home it will do that and the official trek is to the baja and i think it will turn out with time, although later in the season, september an october you may see a couple of these try to hit and the atlantic, we want to gopher there and had a system, july the, came up through new england and danny came up through new england and bill out east of new england and the system may be in the bahamas for the labor day weekend and may be our next system to watch, coming out of the atlantic basin and overall, the atlantic is much slower than the pacific, this year and we still have to watch the southwest atlantic basin, a lot

of what there is, is -- we may have to watch it later in the week, too. >> joe, thank you very much, we'll keep an eye on it. >> gregg: the debate over health care reform raging right now, and congress continues the august recess and lawmakers, hearing certainly from their constituents and all of the town hall events and trading barbs on talk shows and television and radio, and soon they will return to capitol hill and get back to work. and senator edward kennedy, the political landscape has changed with his death. caroline shivley has the story in washington. >> reporter: the death of kennedy could change health care reform for two reasons, he has been leading the charge for reform for four decades and another, the dems and independents have fall in below the 60 vote filibuster proof majority and if they go for a partisan bill they may have to go to moving for a simple majority instead of the threshold and at the town hall last week, majority leader harry reid said if he can't get a bipartisan bill through he'll go

partisan. the republicans are no fan of that plan and republican orrin hatch tells abc lawmakers can learn a lot from kennedy. >> we used to get into tremendous fights, he and i and we'd come together in the end and it was always because, both of us were willing to go to the center. and sometimes, he'd go to the center right. >> kennedy had something most members in the senate don't have, he could afford to wait and he didn't have to worry about -- attacks from the left and that is something earned over 47 year career. >> wuptd if you want to honor teddy's memory it is come back, and put behind us the blistering days of august and cool days of september an act like senators again. >> reporter: there is talk of compromise from both sides and no action and next up on the fight the gang of 6, the bipartisan group in the senate finance committee, have a conference conference call friday. in washington. caroline shivley, fox news. >> this brings up questions of

health care and republicans claim democrats are not giving them a say in the debate and democrats sinist it is not true and prefer a bipartisan reform bill and the debate rages on and the majority party may become tempteded to go it alone without republican support and if so what would the bill look like and how would america respond, the managing editor of the hill newspaper, joins us now, thank you very much, for being here. and. >> thanks for having me on. >> there was an editorial in the "new york times" an suggested as we talked about, senate democrats, if they want to go ahead with the health care reform, may have to go it alone, and the majority rule strategy could be, a risk maneuver and do you think it is likely they would do that? >> i think it is likely. president obama has been patient with the senate to come with a bipartisan deal, and a lot of them feel he'll have to be more actively involved, and democrats need to pass health reform, whether it is a large bill or even incremental bill and so by mid september, possibly the end of september, democrats are going to use this partisan muscle and try to get it through

the senate. >> going for the partisan approach could alienated the republicans, but, also the public as well. >> sure, sure, and a lot of conservative democrats don't want harry reid to do this reconciliation process, where they use the partisanship to get a bill through but democrats and the white house have endorsed the plan that if they can't get a bipartisan deal, they will go the route. but the question is, the democrats still don't have a bill, necessarily, the house is unclear what they'll vote on on the senate signed we don't know what the bill is and democrats on the hill have to release bills in the next few weeks and right now, the votes aren't there. >> it is interesting, because i was watching this channel, earlier today and we had a lot of experts on and pundits on, and many over them -- many of them kept on saying, over and over and over a deal is close, a deal is close. so, you know, how do you explain that? everybody is an expert and everybody is coming up with a different theory? >> sure, well, we have been

hearing that for months, that a deal is close and of course, democrats are looking at the republicans in the gang of six and saying they are just delaying that into the election year, and, where it is harder to pass controversial bills and this thing to remember here is passing these types of bills takes sometimes years and is where i think the president will not be bill clinton and if he can't get the whole comprehensive bill he'll go for a scaled back approach and down payment and then claim victory and it remains to be seen what will happen. >> give me more detail on the approach and what will be left off and what are the priorities. >> one option they could do instead of getting to the debate about public option, or private option, which is really derailing the bill, they could choose to just expand existing government programs, to cut into the uninsured such as expanding medicaid. and expanding medicare, an old bill clinton idea, and it didn't go anywhere and could go somewhere this year and at some point, the white house knows they must pass some bill and they will not be shy if they

have to scale back a little bit. >> we'll keep an eye on it, thank you very much, sir good have you. >> thank you, appreciate it. >> gregg: the ruling party of japan suffering a major election defeated. prime minister asso calling the results very severe and admits there is a deep dissatisfaction, and the power will now go to the left of center democratic party of japan, headed by hatayama and analysts say the vote is a barometer of frustration over japan's worst economic slump since world war ii. former israeli leader ehud olmert is the first prime minister in the history of his country to face a criminal indictment, an israeli court hit him with a number of corruption charges. and he's accused of accepting illegal money from american financiers, double billing for trips abroad and concealing funds from a government

watchdog, he stepped down earlier this year over the charges and vows his name will in the end be clear. >> we're getting word of a new israeli military airstrike in the gaza sprinkles lotristrip, s left of a building targeted by the war planes and israel claims it was used by palestinians to access a tunnel for attacks missions across the border and the airstrike took place the early morning hours and no one was reportedly hurt. and mike tobin has more from jerusalem. >> juliett they're at it again along the gaza strip, israel and palestinians, taking shots at each other. the truce shaken but still holding. the latest shot fired from israeli aircraft, building near the gaza-israel border was hit, hamas claimed it was an empty building and israel claims it hid the entrance to a tunnel to be used to transport gunmen into israel for another cross-border attack and there was no one in the building at the time of the strike and no one was injured and the israeli army said the strike was in response to a crude rocket which was fired out of the gaza strip into israel on saturday.

and rocket landed in open area, and also, hurt no one. over the past week, skirmishes anything the israel-gaza border have been increasing with frequency, and have involved mortars being fired and -- at israeli positions and soldiers opening fire with machine guns when they've reported seeing individuals approaching the fence and through it all the egyptian made yatesed truce that endeded the gaza war is still loosely holding together and it was negotiated with hamas. and intelligence indicates the palestinian fire is not coming directly from hamas and rather is coming from the other rebel groups inside of the gaza strip. and sticker israel holds hamas responsible for all of the fire, because hamas controls the narrow strip of land. juliett, back to you. >> mike tobin, thank you very much. >> gregg: tomorrow night fox news will broadcast an exclusive interview with a man who may hold the key to middle east peace, israeli president shimon peres and here's a preview of his one-on-one conversation with fox news correspondent bret

baier. >> just yesterday, a rocket was fired from here, landing somewhere out here. >> yes. yes. yes. yes. the story is... if this fire the rocket, we -- reply immediately. >> you are stand hearing and looking at this and they can see you at this location and do you get word? >> no, i think they wanted to hit because they know immediately, we will have retaliation, and then, there is an unwritten game, between us and them and you know if they won't respect it, then, pay heavily. >> gregg: the exclusive interview with president peres will air tomorrow night, 6:00 p.m. eastern time, a special report live from jerusalem. >> we are look at the final resting place of senator edward kennedy, laid to rest in arlington national cemetery, near his two brothers. at the head of his gravesite a

simple white oak cross identical to the one of his brother, and list his full name with birth and death dates and all three are buried near the eternal flame lit for j.f.k. and in the military cemetery. >> gregg: the current president and first family wrapping up a week long vacation. head back to washington back, and just moments ago, they boarded air force one. and, they spent the last week there and the first daughter bought some sweets and they shook hands with the locallessles and they'll spend a few days at camp david and will head back to school, school girls, homework... september 8th. sorry about that. >> oh, well... >> gregg: homework, i love homework. >> i can give you some, the manhunt is under way for the killer of two virginia tech students police finding their

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the top headlines, the battle rages on for weary firefighters, just north of los angeles, a roaring wildfire that is already -- has charred 35,000 acres continues to burn out of control, and evacuations ordered in the area, 12,000 homes are threatened. baja, california, also in danger as hurricane jimena may slam into the coastline by wednesday and investigators looking into the background of a couple accused of holding a kidnapped

girl 18 long years and it's possible nancy and phillip garrido are behind the murders of prostitutes. >> police investigating the shocking murders of two virginia tech students, david lee mess ler and 18-year-old heidi lynn childs were found early thursday morning and the man walking his dog discovered the couple in the jefferson national forest and police say the location is is a popular hangout for virginia tech students and laura ingle is live in our newsroom and what is the latest. >> we have been told, investigators continue to comb the scene for clues, this has been a very hard case, to get a handle of, because they are -- there apparently were no witnesses and no residents in the area to speak of, and near the campground area, that heard anything, wednesday night, or thursday morning, when investigators believe the young couple, this well-liked, church-going couple was gunned down in a gravel lot, in the camp ground area. this is an area that is very

popular with virginia tech students. a short distance from the campus. and an area known as caldwell fields, and a place popular, where kids go, to hang out, along the wild flower fields and the green rolling mountains, and they were found by somebody who was walking their dog, right now they are -- you can see they are going through this scene and trying to find any clues and no weapons found at the scene. >> the area, is it an area prone to violence. >> reporter: you know, it's not in terms of this beautiful area as far as the campgrounds and virginia tech no strange tor violence, of course we reported on the virginia tech massacre everybody knows about and january 22nd a student was decapitated in a college cafe there, but, police termed that as an isolated tragedy and they are trying to piece together clues and the best thing people can say, that happened in the area and near the camp ground is that every once in a while there is a rowdy party, with college kids on the campground but

nothing like this. >> i can imagine the people there are incredibly nervous and what is next in the investigation, give us a forecast over the next couple of days. >> we're waiting to hear from investigators on the scene right now and we the they have been talking to people, who have seen traffic in that area. and they are looking for people who have been in than campground area, over the last week, and there were reports there was a shady suspect going back and forth at least a car that continues to go up and down the road and trying to locate that particular car and they are asking anybody who may have seen something that was a little bit different, montgomery investigators, sheriffs investigators in that counties to please call them, because this are just trying to track down any leads they can now. >> laura ingle, thank you very much. >> thanks. >> we're going to take a look, live -- i'm sorry, what? of nasa. thanks. take a look at space. it never gets old, i could watch it all the time, now, shuttle "discovery" astronauts will be taking a look at well, the body

of the shuttle itself, to see if during lift off any of the foam might have damaged the aircraft itself, obviously a dire concern, if they find something, but, so far, review of the videotape indicates no damage and they'll just double check. we'll be right back. if you're like a lot of people, you have high blood pressure... and you have high cholesterol. you've taken steps to try and lower both your numbers. but how close are you to your goals? there may be more you can do. only caduet combines two proven medicines... in a single pill to significantly lower... high blood pressure and high cholesterol. in a clinical study of patients... with slightly elevated blood pressure and cholesterol, caduet helped 48% reach both goals in just 4 weeks. caduet is one of many treatment options, in addition to diet and exercise...

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>> bottom of the hour, time for top of the news, the crew of she shuttle "discovery" dheekt is it space station and taking

pictures of the shuttle's belly to see whether it suffered any damage in the lift off midnight friday and nasa says it did not see any fuel tank debris hit the spacecraft during the launch. >> well, they -- vacation is over on the vineyards, the president and the first family head back to d.c. not without a final trip to the general store and sasha and malia bought some things, and can you imagine, and now are heading to camp david. >> gregg: and the body of the 7 people found dead in the mobile home park in southeastern george and police aren't saying much but have arrested a 23-year-old family member, who called 911 after finding the bodies and he's not charged with murder but drug possession and making fault statements to police. >> disturbing developments in the 18 year long ordeal of a kidnapped girl and police searching for evidence to see if her suspected abductor, a convicted child molester is also

a serial killer, jaycee dugard, captured at the tender age of 11, now 29, back in the arms of her family and police holding a news conference a short while ago to update reporters and casey steegel is live on the scene and how are jaycee and her family doing. >> reporter: we understand they are doing okay. considering the circumstances, the victim's stepfather tells us they are already feeling fielding calls from people like cope pray winfrey trying to gain this first exclusive interview and we can tem thou national centers for missing and exploited children have sent a team of counselors to work closely with the dugard family, not only jaycee but her two children, children fathered by her captor, a man not only admitted to kidnapping her when she was just 11 years old back in 1991, but, also, having sex with her, and keeping her in a sound proof shed that could only be opened from the south outside at times. and a -- in a compound of sorts in the backyard and what is

more, 58-year-old phillip garrido, already convicted of rape and kidnapping back in the 1970s, is also being considered a suspect in several unsolved murders in the area, according to police. murders of prostitutes, from the early 1990s and the man's father says an accident and drugs may be to blame. listen. >> it's crazy. he's out of his head. he was on lsd and had a serious motorcycle wreck and hit his head, still a young teenager, he wasn't even 17, and he had an accident. and had surgery and that -- and he was on lsd and lsd killed him. >> his own father, characterizing his son as crazy. and in the meantime, multiple police agencies have been scouring garrido's home and backyard for days and then, just

this afternoon, started bringing in shovels and tarps and one the last hour, new video into the fox news channel, cadaver dogs on the scene searching for human remains and have expand the search to a neighbor's backyard after the neighbor called police in 2006 saying children were in fact living intents in the sex offender's yard, but, the police came out in that press conference a short time ago and wanted to reemphasize the neighbor is not a suspect, in the case, not even a pen of interest and is cooperating with police and in fact told us during the press conference at one point, garrido was living in a shed in the neighbor's backyard though he had a house right next-door and just a long series of bizarre behavior, again, has been unramping, a story that seems to get stranger by the day, juliett. >> and the investigation continues, no doubt we'll be hearing from -- some pretty horrific things and we'll be looking at the wife in the case,

nancy and debate whether the defense could claim she was actually a victim of her husband's alleged insanity and police say they've arrested the man reported -- who reported 7 people dead and two critically injured in the georgia mobile home. police discovered the bodies yesterday morning and coroners conducting autopsies today on 7 of the victims, investigators say the other two victims remain hospitalized, in critical condition, police have arrested 22-year-old guy heinz, jr., and he has not been charged in the killing but he was charged with drug possession and making false statements to police. and police are not saying if he is considered a suspect in the death. >> gregg: turning to the u.s. economy, money experts telling us the mortgage crisis is one of the chief causes of our nation's current financial mess, you know that. and, so, as we struggle to recover, we have to ask the question, has the mortgage problem actually been fixed? well, there is a new report out that indicates no. not by a long shot, in fact, some economists predict yet another mortgage crisis, looming

on the horizon, and take a look at this latest rasmussen poll, shows nearly 1/3 of homeowners say their home is now worth less than what they owe on it. and imagine that. a third of them, is there a way to prevent another mortgage melt down? fox news business contributor, gary kulpbamu joins us, if i understand the report, $750 billion in this arms, adjustable rate mortgages will be reset over the next four years at rates much higher than the homeowners can pay, will we be looking at another mortgage melt down as a result. >> i don't know about another mortgage melt down but it will be an ongoing process and you have to realize government that's their foot in there with a lot of modifications with the banks and the big issue will be two-fold going forward, we have huge deficits right now which

may cause interest rates to spike up and if interest rates spike up look out below and there will be the unemployment rate, if it continues to go up, you know, the economy is going to continue to suffer, there is no way people will be able to pay down these mortgages, so there will be a lot more foreclosures going forward, and we'll be back in fun times again, you know, the economy stabilizing here and housing is stabilizing right here and let's hope it continues, or else, as i keep saying... >> gregg: i don't want to be a downer here, i was encouraged by the report that came out for the month of july, 9.6% increase in home sales there, which made me wonder, wow. with prices low, and home sales on the upswing, have we bottomed out? what say you? >> i don't call it the bottom, i call it a bottom, i think we are going to bounce around, i think it is going to be location, location, location, and you will see some areas, prices go up, but don't expect anything like we saw in the 2000s, we were going up 20% a year, and what

you have to realize, we are doing better here, not because things are strong but how weak things are, and for example in miami, they are selling the living daylights out of condos right now, only because they went from $500 a square foot on the water, down to $200 a square foot, right now. so, price coming down 50, 60% in areas is what is doing the job but, hey, it is a start. >> gregg: with a half million of these adjustable rate mortgages, getting reset and people can't pay them, are they eligible for refinancing? >> well, look, on an individual basis, people are going to the banks and the banks are approaching them but the bottom line, with -- when all is said and done if you cannot afford to pay a mortgage, you cannot afford the house you will not stay in it and it will be taken away from you eventually and the good news is, the worst part of the housing drop in prices is what really caused the problem and as things stabilize and start inching up, the confidence will come back and more people

will go out and buy the foreclosures and take an inventory down and we get one of those grand cycles versus the vicious cycle we have been in the last three or four years and i'm not there, just yet and all i'm calming it now is stabilization. >> all right, a bit of a mixed bag, gary, good to see you, thank you. >> we have shocking video, just in, of a deadly aerial stunt. listen to this. spectators watching in horror as a military jet goes down, two people were on board and they were both killed all caught on tape. we'll tell you what happened, coming up. ce. gecko: aw thank you, sir. boss: but i think there are a few other things you can say about what a reliable company geico is. gecko: right. uh, well maybe how geico's the third-largest car insurance company in america? nice tidbit there. boss: exactly. and i've been thinking, looking a bit more businesslike might help too. gecko: oh my. uhhh, no it's, what's, what's the word...

vogeico. 15 minutes could save you 15 percent or more on car insurance.

>> gregg: in poland an aerial stunt goes wrong and now two people are dead. >> that video of the crash, happened during an air show close to the town of radome and witnesses say it involved a

belarus air force plane and attempt aid loop--to--loop and went down in a cloud of smoke and there are unconfirmed reports the two pilots on board were killed and none of the spectators were injured. >> the shock and bizarre discovery of jaycee dugard, after her abduction 18 years ago, is leading to more details. >> phillip garrido and his wife facing 29 counts including forcible induction and false imprisonment and the list goes on and on and if the case goes to trial could the defense argue, garrido's wife, like jaycee, was also a victim of her husband's well, abuse, insanity, whatever you want to call it, and mercedes colwin joins us along with jenna stoodmore, former prosecutor and a former federal defense attorney and let me ask you, you dealt with

situations like this and there is a phenomenon i never heard of that you told me, intimate terrorism, tell me about that. >> and nancy, herself might be a victim of it and that is when you have a relationship, with one person as the controller and the other person as the controlee and it is essentially a form of brain washing, in a sense that makes the persons being controlled, fail to do a normal, rational person would do, in domestic violence situations. and, this could be the case for nancy, the wife, of the controller and -- in this case. >> years ago it brings up the head -- >> exactly, a woman badly beaten and on the stand and we talked about her, mercedes and the woman was badly beaten and we don't know if nancy was. >> that is a great point and all the jurors are saying this is a horrific case, how could you not have stepped forward and done something, and number 2, talk about two decades and the other

woman was beaten by her husband, savagely and we don't have the evidence with nancy and plus the fact it was and intricate ploto con site and two decades and she had two children in the background who never saw the light of day and never went to doctor, know it for a fact and someone should have stepped forward. >> you know what makes sense about what you are arguing here, is this behavior of the children that were involved here, and they were described by berkeley police as being robotic and withdrawn, completely un-and-a-half, it suggests to me that by threat and force and abuse, they had been completely controlled and brainwashed as well. and that might be indicative of what happened to the wife. >> very well could be and they wouldn't know any better, the poor children have never known anything but that they were born into it and we don't know what kind of threats phillip was

instituting against nancy and we don't know if he beat her and maybe she was indoctrinated well before the kidnapping happened. we don't know. but, i guess we'll soon find out. >> and the greater thing could have been they were isolated and who knows and your entire world are three people, four people maximum and obviously, the influence would be greater. >> how do you prove this, though, let's say you are her defense attorney and how do you actually prove that she is a victim of this intimate terrorism or that she is a victim, in some way -- >> psychiatrists? >> it is going to be very difficult, first you need psychiatrists who, think about it this way, it doesn't automatically stop, they got caught, she is still going to be under his influence, even though the jig is up, so to speak and you have to get doctors, and they'll deprogram her and then, get her to talk. otherwise, it will be difficult, and it is even still difficult. >> isn't it classic stack home syndrome in which a kidnap victim begins to exhibit

complete an utter loyalty to the kidnapper. >> that is true, because actually jaycee said to her mother, i feel such guilt because i actually bonded with him, and she bonded with the kidnapper and nancy. >> a method of survival. >> dpaekt exactly and the mom says that, that is why she is still alive 18 years later because he did bond with both of them. >> how often is this employed, this intimate terrorism. >> you know, i -- rarely. but, when it is employed, we hear of it -- >> because it's not effective. >> well, sometimes i don't think it is brought forth for whatever reason but i have seen it plenty of times, where it wasn't actually raised as a defense, but, it is very real. >> let me extend the conversation, to something that i think a lot of people are thinking about, this man, phillip garrido had done it before, kidnapped a woman, and he had tied her up, he had raped her repeatedly and kept her in a storage unit for a while, and finally got caught, and he gets sent to a prison for not very

long. and they let him out and of course he does it all over again, with jaycee dugard, except for 18 agonizing long years. which invites the question, of penalty. >> sure. >> the united states, supreme court outlawed the death penalty for kidnap and rape back in 1977 and just last year reinforced it. do we need to rethink the notion of capital punishment in cases in which children are kidnapped and raped. >> absolutely. gregg, that is what one of the problems here is. he was sentenced to 50 years and served 11:outrageous and if you have someone who has violent propensities that is not someone who should be reintroduced into society and there are such repeated offenders and sex offenders have that recidivism and that is really problematic. and that is why -- one of the reasons -- >> i'm no big fan of the death penalty and you probably aren't, either, but goodness, sometimes it is merited.

>> this guy is -- if he goes away forever or give him the death penalty it doesn't matter, we'll never see him again, he has an indefensible case and his wife on the other hand, not so much. i wouldn't want to see her get the death penalty if in fact she was conflicted because he was under his control. >> and it would have been back in the 1960s when kidnapping cases were death penalty eligible. >> and he went across state lines. >> and all of this, all of his history, leading up to these, you know, officials who are going to -- >>'s it. >> the probation officers and -- >> how about the neighbors, juliett and how could they not know! >> and the onus is on -- >> a lot of blame to go around we have to leave it at that. good to see you, thanks. >> thank you. >> thank you. >> the president could have completed control over the internet in the event of a national emergency. and that is a provision of a bill right now, making its way through the u.s. senate, the cyber security activity act is sponsored by democrat john

rockefeller of virginia. and republican olympia snow and it would allow the president to shut down on-line traffic by seizing control of private networks and business groups are blasting the bill, calling it nothing more than government intrusion. the white house says the president has the duty and the authority to direct the national response to any emergency that threatens the country. >> got a sweet tooth, you are no different from a lot of americans and that is a problem not just for your teeth and waste line and the american heart association, your candy cravings could be doing more serious damage to your health. we'll chew on that, coming up with dr. siegel, after this. ( conversation )

garth, you're up. hold on, i'm at capitalone.com picking a photo... for my credit card. here's one from my prom. oh, what memories. how 'bout one from our golf outing? ( shouting ) i know, maybe one of my first-born son. dad, mom says the boys gotta go.

♪ ♪ lollipop, lollipop... ouch! [laughter]. >> what was that. >> nothing like -- was that a commercial. >> gregg: i have no idea but it had stock do with sugar, do you like sugar, everybody does, do you have a real sweet tooth, because it turns out, it is more than the beautiful teeth of yours. >> they are fake! >> fake! >> veneers. i admit it! >> gregg: really? they look natural. >> i knocked my tooth out when i was a kid. >> gregg: you will be on youtube, any minute now. >> who cares. >> gregg: the american heart aso's eyes, says there is evidence it makes us fatter. >> sugar. >> gregg: and -- and well, it also raises our risk for heart disease in -- an diabetes. >> the american heart association recommending americans start putting a cap on their sugar intake, ironically, it is making the pitch at a time when our nation could be facing a sugar shortage and fox news

medical contributor dr. marc siegel is joining us to talk about this, don't be a sugar hater, don't hate on the sugar. >> i'm not but i'm proud of the american heart association, because we are actually eating 19% more sugar over the past 35 years and back in the day when we thought sugar was okay we ate less of it and now we are having a problem with it and i don't think there will be a shortage, by the way, but i am concerned about the fact the american heart association previously endorsed orange juice an cereals loaded with sugar and now are finally waking up here, because you know what? juices are a problem, and eat fruit. it has fiber and less sugar and 22 teaspoons of sugar a day, americans are having more than they should, not juliett but maybe gregg and me. >> i'm surprised, all of these natural fruit drinks are out there. and, you know, and they have those and juice ergs and so forth and i'm surprised our sugar intake is increasing. >> and tell you another secret we have been so busy, warding off fats now, a lot of these

products, yogurt and things you think are good for you are loaded in sugar and you no what the body does, first thing it does when it gets sugar is converts it into fat and that is why you have a problem with heart disease and obesity. >> and diabetes. >> and diabetes. >> and there is this problem, you said yourself, back in the day, when we didn't think it was a big problem we were eating less of it and now eat more of it and why aren't we heeding the warnings. >> because, it is because it comes in too many different forms, in corn syrup and fructose and glucose and in your coffee and everywhere you look, corn products are everywhere and corn is loaded with sugar and we don't realize we're getting bad stuff and we have to wake up and stay away from the cereal and in the morning you have cereal with fiber and has sugar and skim milk and shs has sugar and drink a glass of juice and it has sugar. >> and i had a breakfast bar the other day and decided to look at it and there was sugar in it. a bunch of sugar, and it was, 90

calories. but there was sugar. >> it's not like the odd ad, a spoonful of sugar keeps' medicine -- helps the minute go down, now it is 22 spoons. >> gregg: it rots your teeth and by the way, does it rot veneers. >> no, it won't go to veneers. let's not get the dentist here but it will rot your teeth an rots everything else inside of you and it is converted to fat. >> you say go for the fruits, natural sugares. >> i love fruits because not only do they have natural rag sugars and less of it but are loaded with faber and that is really good for you and a bulky fruit, a banana, something with light of fiber an fills up, because the problem with these sugars, also, you add it to your coffee and you want more and you have a glass of orange juice and want more and you don't stop and it starts in the brain with the craving problem. >> gregg: dr. mark sealing, thank you very much. >> and and julie bandaras's wedding -- >> gregg: she looked like a million bucks, you never saw a

prettier bride. >> she was gorgeous. >> she was. >> hopefully she won't run into bad weather, ever have a date from hell -- wait until you hear what one man is accused of doing, to his date and even more shocking, why is it so easy for police to caution with him?  there are many "ifs" in you family's life. if your kids can go onward and upward, no matter what. if you get side-lined from work. insuring your family's ifs can be confusing. so metlife removed the guesswork. combining two essential insurances... term life and disability... in one affordable package. creating a personal safety net that's bursting with guarantees. for the if in life, find out how to start protecting your family today. visit the term life and disability tool at metlife.com.

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>> gregg: top of the news, a growing wildfire in the los angeles area, has 14 evacuations

and threatening 12,000 homes and consuming 55 square miles and hurricane jimena a cat 4 storm off the coast of mexico. and forecasters say the hurricane watch may be required from -- at the baja peninsula later on tonight. >> ladies, those of you who have been on bad dates haven't -- might appreciate this story, watch this, this guy, is 23-year-old terence dujuan and is accused of skipping out on a restaurant bill and stealing his date's car. >> he took my car and -- we actually bought her, her food that day, she was upset, we felt bad for her. it was awful. >> and that is nice -- >> gregg: oh, on. >> it happened in a detroit suburb of ferndale and cops nabbed him and he gave the victim his name and phone number, and -- [laughter]. >> and yeah, she's a genius, too! in addition to a criminal. >> and his next date will likely be with a judge. >> unbelievable.