and international mystery between united states and china. is the united states hiring a blind dissident and hiding him in the beijing embassy? governor chris christie, he stuns us. you won't believe what he blurted out. right now, contempt. house republicans turning up the heat on attorney general eric holder. they moved one step closer to holding him in contempt of congress. they have drafted a 46-page contempt citation. it accuses him of stonewalling over operation fast and furious. congressman jason chase joins us. the draft is 46 pages. how serious is this? is this saber rattling or is the attorney general figure out ways to comply or is this going to land in his lap? >> only handful of times in the history of the house is to hold

somebody in contempt of congress. a subpoena that was issued in october of 2011 has been totally ignored. there are 20 categories. and we have received zero documents. we've got a dead border patrol agent. the department of justice have knowingly lied to congress. we have 300 people dead in mexico. we have thousands of weapons knowingly given to the drug cartels. it doesn't get much more serious. >> greta: with a subpoena and you don't comply, you get hauled into court right away and put in jail until you comply. if you get a subpoena from congress, it seems to linger and go on for months and months. i'm kous curious. suppose you do hold him into contempt. what does it really mean? >> it means they will have to provide the documents.

what we're trying to determine how is it the department of justice in their own words came up with a program that was fatally flawed? why is it the intradepartment agency discussions absolutely failed? we have to remember, at the heart of this we have a dead u.s. border patrol agent. when he was on the receiving end he died. i have to look at that family in the face, we did everything we could to figure out how it happened and make sure it never happens again. the democrats want to play politics. they say we're on witch hunt. nothing is further from the truth. they should be locking arms and holding people accountable. the president on march 25, 2011. nobody has been fired. these getting promotions. chief of staff got a promotion. that is not right. >> greta: 80,000 documents and daunting task.

if i were part of the committee. who authorized fast and fewer ideologues and who knew about it how high up? those two questions, those two answers and primarily because the person who authorized and the people who knew about it still there, they are at risk they are showing really bad judgment. maybe sent to the ggsa but transferred out. we don't need them making bad decisions -- i shouldn't be sarcastic but who authorized and it how high up? >> that is the core we asked in the subpoena. we have had no information. the only thing is the communication with the white house. the white house has denied any involvement. then we found an e-mail that went from atf agent to the white house. i do think the white house is involved because whistle blowers who have given the bulk of the information have stepped up and provided this information. so they have 80,000 documents

that the i.g.within the department of justice is looking at that congress should be looking at. you can't ignore a subpoena. >> greta: how high up? who knew at the white house are the two key questions. i do not understand why we haven't gotten those answers. why is the responsible why you have not gotten the answers to those two questions. congressman issa say they have been asked? >> we have been asking them. the subpoena was issued in october. they say, we're on a witch hunt. they are doing an investigation. we're not trying to pry into the investigation that committed these crimes. we're doing an investigation of the department of justice. you can say we are at an impasse. we as a separate branch of government we need these documents. that is why we're set up in separate branches. you have to reply to a subpoena. >> greta: i think the strongest

argument, this is very bad judgment. everybody agrees with it. even the attorney general who authorized but they may still be floating around the government. that is the problem. you need to know who authorized it. that person needs to move on so that person isn't making other bad judgments. that is your most powerful argument as to why you need it now. >> exactly. it goes to the white house and gary, chief of staff and lenny brewer that is chief of the criminal division. he had the documents related to fast and furious. he forward frd the department to his own g-mail account and he testified he had no idea what was going on. the letter that was issued to congress on february 4th which was a lie. they lied to congress on february 4th on the same day. lenny brewer was in mexico talking about gun running. so for the department of justice

to deny they ever used these tactics is an outright lie. you can't lie to congress and not have a consequence. >> greta: is speaker boehner, she on forward to go ahead with the contempt citation? >> one step at a time. crystal clear. he is has not made that final determination. it needs to go through the committee process and hands of the speaker and the timing as to whether to bring it up to the floor of the house for a vote. >> greta: you are lucky i can't ask you the same question. >> thanks, greta. >> governor mitt romney says small businesses are under attack. >> small business has really felt like it's been under attack for the last several years. i wonder what the president was

thinking why hasn't he spent more time talking with small business people and understanding why it is they are having a harder time making ends meet. why it is that fewer and fewer small businesses are getting started. if i become president of the united states i'm going to be a pro small business president and fight for the rights of small business people. >> greta: good campaign tactic? washington editor rick cline joins us. small business and the president is running a different campaign talking about osama bin laden? >> that is exactly it. this campaign, if it is about osama bin laden, mitt romney is not going to end up on the winning side. they need to make this about economy and job creation. that is mitt romney's wheel house, that is barack obama weak spot. that is something they need to exploit. they need to change the terms of the debate.

>> greta: if you think about it right now, i don't think people are profoundly scared of national security. it doesn't feel like there is anything imminent. people are currently afraid about jobs, afraid about the economy. that seems like the more potent argument? >> two things, president obama taking advantage of the calendar, the fact that year after osama bin laden as was killed. this was a warning shot that was fired from chicago to boston to say don't come after us and don't attack us because we have a major trump card. we can say we killed osama bin laden. it's the presidency decision that made it happen. >> greta: has the romney campaign gone after him on national security at this point? >> the early indication they are going attack as naive and inexperienced in foreign policy and he has a national security victory to tout. >> greta: it seems like that argument is bifurcated to me.

on one hand he gets credit for getting osama bin laden and drones have made significant strikes, but on the other hand if you look at the world, everybody is stepping down, people are arming themselves. you have north korea, india testing a long-range missile that can hit beijing. pakistan testing a missile. so step back and look at foreign policy, the world is stepping up in terms of arming, not stepping down? >> none of those things mentioned in the campaign videos talking about the osama bin laden killing. they wanted to make it a bumper sticker. >> greta: small business, has the obama campaign been bad for small business? >> you have some small business owners, they cite new regulations. whether it's good or bad depends on your point of view. he has a different view than mitt romney.

of taking it as open hostility is something that democrats would outright reject. >> greta: things are trending upward. obama administration saying they are not fast enough but trending in the right direction. i am surprised obama administration is running more on the trend and paying more attention to that. without the immediate fear, i don't understand how that is so persuasive? >> you heard bill clinton saying just that. this has been a faster recovery than some of the other major down turns. we're in an entering a critical phase these numbers that are coming out the next couple of weeks will determine the perceptions through the fall. we're going to be in a middle zone, things are getting better but not fast enough. >> greta: i would hit the nerve that they had the house and senate and white house, they did nothing about tax code, which

3300 earmarks if you look at boles-simpson and nothing about illegal immigration. they had a wasted opportunity. i would take as a nerve point. >> a lot of democrats that window early on was eaten up by the healthcare debate. that was the only major thing they could do. republicans are making a nuance argument. they want control of washington right back. >> greta: and going back to romney on healthcare. >> they love that one. >> greta: gas prices are going down? >> that is one of the reasons the democrats can sigh a bit of relief. >> greta: but november is a long way off. great to see you. >> and epa official crucifixion comment puts him had the center of a firestorm has now resigned. about the epa's philosophy in dealing with oil and gas

companies. >> it's about something >> greta: lisa jackson says she resigned because he didn't want to distract from important work from the agency. a senator insisted that call to crucify oil companies with intimidation even though the administrator said he was targeting oil companies that were not comply with the law. >> it's intimidation.

i've been there. i used to be a builder and developer and i've been intimidated by the epa years ago. when you stop and think that people who get letters we're going to invoke fines of 33 you,000 a day, i can tell you, i use cases on the floor in the senate yesterday a lumber company in tulsa, oklahoma. they would have dropped if they hadn't called me. that is just a threat. they would have been out of business. >> greta: the senator says the resignation is no way solves the epa solves the crucifixion if i local los if i. president obama has a new weapon in the oval office. he goes on the record. and also right now, hillary clinton heading to china and flying into a firestorm. blind chinese dissident escaped house arrest in china?

but the mystery, where is he? >> and you have to hear what came out of the governor chris christie's mouth. you'll hear what governor christie said. all multivitamins give me the basics. they claim to be complete. only centrum goes beyond. providing more than just the essential nutrients, so i'm at my best. centrum. always your most complete. yeah, scott. i was just about to use... that's a bunch ofround-up paper, lad! scotts ez seed absorbs and holds water better. it's guaranteed to grow grass anywhere, even if you miss a day of watering. [ scott ] seed your lawn. seed it! hey, heard any updates on the game? i think it's final seconds, ohh, shoots a three, game over. so two seconds ago... hey mr. and mrs. harris, where's kevin? say hi kevin. mom, put me down.

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>>. >> greta: congress, president obama fighting to keep his job despite a slow economic recovery and congress's approval rating hitting a record low. is he trying to cash in? here is what he told union workers. >> over the last year i've sent congress a whole series of jobs' bills to put people to work, to put members back to work. [ applause ] >> again and again. i've said now is the time to do this. interest rates are low. construction workers are out of work. work needs to be done. let's do it. time after time the republicans have gotten together and they've said, no. >> greta: congressman is chair of housing republican

conference. good evening sir. the economy is very slow recovery. president has identified the problem, it's you, you guys. the republicans. what is the story with trying to create jobs for the american people? >> well, first, greta, i don't think there is president in living memory who has less credibility on the topic of jobs and economy than barack obama. he told the american people we passed the stimulus plan, unemployment would never go beyond 8% and in fact it would be 6%. as you well know we have 38 straight months of 8% plus unemployment the worst record since the great depression. we were told if we last had his healthcare plan it would help. the congressional budget says it will cost us almost a million jobs. private economists put it much higher. he told us if we passed the

dodd-frank act supposedly aimed at wall street that would help. we see the big banks are getting bigger and small banks are getting smaller. with all due respect to the president. i don't think he would know a jobs bill if he tripped over it. house republicans have passed over 30 different jobs bills, with one or two exceptions he has ignored them all. people can go to jobs dot governor and it's mainly aimed at making the tax code fairer and simpler and more competitive. trying to balance the regulations against the cost of jobs. it has everything to do with bringing down the cost of energy. >> greta: there are so many of these. the entrepreneur access to capital act passed in the house that stalled in the senate. access to capital for job act, passed in the house, stalled in

the senate. no, i realize i've got a whole list. because i went to the website. i think the president should call harry reid. let's stop playing. you pass yours and then we'll send them to conference and the house and senate can work them up. i do think that the president probably is jabbing a little bit because the senate has passed the transportation bill which does much towards going toward construction and infrastructure of the country the house can't seem to do it. is that totally the house is blame free on this. everybody has responsibility here. i blame the house. i blame the senate more on simply not writing their own bills so these can go to conference. >> number one. we will go to conference on a transportation bill if the infrastructure is important. the presidents policies have

failed. he is presiding over an economy where half of all americans are classified by the census bureau as being in poverty or low income. single mothers, you have more of them in poverty than ever before. small businesses are frankly just throwing up their hands at the regulatory and red tape onslaught. again, this is a president who because he can't run on his record on jobs and economy, frankly trying to engage the politics of division. >> greta: washington is without a doubt divided but when you become president, your job is to lead and try to somehow get that gap to bridge. right now the budget the senate doesn't have a budget bill. it seems that there is a lot in the democratic senate that needs to be done so -- i'm not saying you have perfect bills in the

house. >> i wish we had them. >> greta: the leadership does require you to sort of deal with two recal si transplant people and i don't see it. >> they have made a political play call that it's more important that nothing gets done in washington. meanwhile, house republicans have put forth, we deal with the drivers that would help this economy. number one, dealing with this red tape burden to make sure that anything that has significant impact on the economy has to be approved by the elected congress as opposed to the unelected bureaucracy. tax code, fundamental tax code to bring down rates of 10-25% on the deficit by getting rid of the under brush of the loopholes and special interest deductions. getting rid of the president's healthcare plan would be huge in creating jobs. >> greta: and boles-simpson

getting rid of the tax on 3300 earmarks. first of all the boles-simpson was outsourcing because congress didn't do its job, but then it was rejected. nothing ever gets done. i recommend the book to you, senator tom colonel burn written a book about the debt bomb that would make everyone's hair stand on end. thank you congressman, good luck. >> a woman reporter is murdered in her own home. did she do the unthinkable, did she report about her murderer. and senator dazzles the crowd of third-graders. we were dazzled, too. most life s look at you and just see a policy. at aviva, we do things differently. our wellness for life program rewards you with savings

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fohalf the calories plus vgie nutrition. could've had a v8. >>. >> greta: developing situation between china and the united states. the chinese suspicion that the united states is hiding a blind chinese dissident at the embassy in beijing, the question is where is he and how did he do it and who helped him. julian, if s hiding in our embassy, do we know? >> that is what his friends are

saying. there is good chance he is. >> greta: who is he? >> he is bit of a folk hero. he self-taught lawyer. he has been blind since childhood. he started his career made a name for himself about ten years ago. he rode to prominence and he helped people with disabilities collect on their benefits and helping farmers with illegal land seizures. by then the authorities kind of agreed with that. he was a champion to the local people but to the authorities, as well. things changed in 2005. he filed a class action lawsuit drawing attention to the one child policy accusing the government of forceful abortion, sterilization against people against their will. a year later he was arrested on charges of disrupting traffic, sentenced to 51 months in

prison. he served his sentence. he is very well known in china. not only he has been convicted but he served a lengthy prison sentence. he has been under house arrest which on its face is illegal. >> greta: so people are watching his house and he sneaked out of the house and made it to the obviously the embassy, somebody helped him. now, we believe he is in our embassy and hillary clinton coincidentally is going to china? >> right, coincidentally. she is leaving with treasury-secretary timothy geithner. long time discussion about economic matters. this is very high level negotiations on everything from syria to iran to north korea and geithner is going to talk about turnz and trying to get the chinese currency at a lower

level. >> greta: they are going to be asked about this. i assume so, right? >> the chinese have already said they have been bit more forthcoming. chinese have said we don't think the chen issue is going to be a big deal during the negotiation. >> greta: last year the double-talk of diplomats what goes on behind closed doors. i'm curious. if we have a dissident, chinese dissident in our embassy which is united states property in china they can't go in to, they are not going to be very happy with us? >> probably not. it's important to note that chen his friends, he released a video after he escaped. the idea that he planned it over a long period of time. he escaped over a back wall. it apparently happened ten days ago but the guards didn't find

out for four days. possibly get too the embassy which is very well guarded, surrounded by spies and government officials. so this all happened over a period of days when the guards didn't know it was happening. but his video he released, he basically says, i'm not anti-communist, i'm not anti-government, i want the premier of the country to basically let me live my life as i'm allowed to under chinese law. it's interesting go the premier of china has talked about the rule of law how he wants the country to modernize, he is being taken to task by this person and told here is your chance to prove to the world that you really mean what you say. these guys that are holding illegally in my house shouldn't be able to do that. >> greta: thank you. ♪

>>. >> greta: we've heard a million times? >> police officers, journalists, no one escapes out of mexico. tonight there is terrible news out of mexico. mexican magazine murdered in her own home. joining us by phone from mexico city. who is this woman and what do we know about her murder? >> the latest, she was found murdered in her home on saturday. people saw a door open all day and eventually the police went in. eventually it was in the evening. they found she had been battered severely and also strangled, aphysical yiatd. it was not robbery or burglary, it was for her work which was

one of the most respected magazines in mexico which delves into political scandles but into the drug cartels and their activities. it seems this probably got her murdered. >> greta: her last story about was arrest of nine municipal police officers and the day before she wrote about a shootout and arrest of a woman suspected of commanding hit men. i imagine those articles enraged some very nasty people. >> the problem is the history of this in mexico. in 80s and 90s actually through 2004. there is another magazine. same name, but founding members were shot in 1988.

another one was murdered in 2004 and another one with machine guns was shot. basically the people who are going to be working this these highly dangerous areas, it's obvious they are going to have to have some kind of protection because they are being specifically targeted. three other journalists have been murdered in vera cruz. one woman had her throat cut. another man, he and his wife and son were in their home and they were shot dead. most on all of these was not robbery but the fact they reported on the drug cartels and it cost them their lives. >> greta: aren't these journalists terrified. 40 mexican journalists have been killed or disappeared since president felipe calderon

declared war on drug cartels. 40 journalists? >> they put the number at 74. it depends. when somebody has been shot dead but a number of these people just go missing, i mean missing forever. they just vanish off the map. what isn't in dispute the cartels are pursuing a policy of trying to silence the mexican media. in some indicates they are successful. in other cases, incredibly people of risking their lives and costing their lives. >> greta: james, thank you. >> coming up, teachers, police, firefighters, hundreds of thousands of public workers are now out of work. sounds like trouble for president obama but it could be a political black eye for the g.o.p., too. that is up next, and governor

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>>. >> greta: who is campaigning a news. and ainsley earhardt has got the headlines. >> documents seized by navy seals during the raid on osama bin laden are going on line this week. al-qaeda leader killed memorial a year ago ago. chief john brennan it includes osama bin laden's diary. new york city police say a woman who lost control of her suv with deadly results was driving 68 miles per hour. investigators finding she clipped concrete divider and fell 60 feet on the grounds of bronx zoo.

all seven people in that car all same members of the family died. the delivery was likely going with the flow of the traffic. the posted speed limit was 50 miles an hour. now back to on the record with greta. >> greta: 611,000 jobs, that is how many positions state and local governments have slashed since president obama took office. sounds like trouble for the president, right? maybe not. financial reporter joining us. i suppose republicans like a smaller government. that may be a good thing. how bad is this? >> it's been a really difficult part of the economic recovery. the president goes out each week we've created 4 million private sector jobs and that is true but this is dark spot of the economic recovery. over 600,000 jobs, majority but a large proportion being teachers. it's been a serious problem. he won't campaign on that.

the republican that don't favor aid won't help either. >> greta: so created 4 million jobs he created, but the problem is 611,000 need to be filled by people that lost their jobs in the public sector. if you get rid of 600,000 jobs but you create 4 million it's not such an impressive number? >> right. that is why the president won't talk about it as much. economic recovery has grown under the president but not been a robust recovery. there are signs of weakness we see today. public sector job losses is clear demonstration of that. >> greta: and republicans want smaller government. is that not a plus? >> you can have a good debated about whether government should be smaller and arguments on both sides. you probably don't want to hack away at jobs in the middle of a

recession whether or not you support a smaller or larger government. the teacher jobs have to do with the training of the next generation of the work force. so you should cut jobs in an orderly fashion. >> greta: any idea spending $8 billion stimulus, how much went to state and local government? >> $150 billion went. but the issue it goes over two years and it runs out. that is going dollar to dollar to save the jobs. jobs were preserved for the first and second year. as the aid has run out, money went away and no money for people to hold on to. stimulus helped keep jobs in but in a temporary way. because the recovery wasn't more robust it didn't provide a longer solution. >> greta: any projection between now and to move in terms of public sector jobs? >> states are stabilizing with the economic recovery but local

governments that are battered by the housing market collapse and property taxes they will continue to suffer. economists say that will be one of the main stumbling blocks for the recovery taking hold. >> greta: so other jobs in the public sector and -- that is grim. jack, thank you. >> straight ahead, senator scott brown is caught on camera. don't worry. he got lots of applause. that is next. also, wait until you see what is going on in the streets of where else -- key west. not in this economy. we also have zero free time, and my dad moving in. so we went to fidelity. we looked at our family's goals and some ways to help us get there. they helped me fix my economy, the one in my house. now they're managing my investments for me.

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>>. >> greta: you've seen the top stories but here is the best of the rest. scott brown is reliving his college basketball days. take a look at this amazing half-court shot. >> greta: he made that incredible shot while visiting the community center. a group of third-graders mobbed him with congratulations. in college, senator brown played basketball for tutts university and he earned the nickname

downtown scott at this brown. >> and things to the en m&m's. he has carried the tradition on since 1999. he dumps m&m's into a job jar into his desk. then they gather for a snack. he is retired teachers and he told students not to bring a snack unless there is enough for the entire class. >> a oregon girl is running for the record books. she ran a marathon but that one step in great quest. she wants to be the youngest girl to run seven marathons on all seven continents. she is running to honor her father to who died in cancer. >> and in key west florida, big different thing.

teams race their beds through the streets of key west. most pushed their bed but one lucky person got to ride. it's the most fun you can have in bed with your clothes on. they are always seem to be a party. and there you have it. the best of the rest. coming up secret service, gsa, g.o.p. candidate, nothing is off-limits. the highlights from the white house correspondents dinner. that is next.

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you walk into a conventional mattress store, it's really not about you. they say, "well, if you wanted a firm bed you can lie on one of those." we provide the exact individualization that your body needs. oh, wow! that feels really good. it's about support where you find it most comfortable. to celebrate 25 years of better sleep-for both of you - sleep number introduces the silver edition bed set, at incredible savings of $1,000 for a limited time. only at the sleep number store, where queen mattresses start at just $699. >> greta: 11:00 is almost here, flash studio lights, it's time for last call. president obama and jimmy kimmel take aim at just about everyone. here is some of the funniest moments from the white house correspondent's dinner. >> it's a thrill to be here with the president. a man i think has done his best to guide us through difficult times and paid a heavy price for it. there is a term for guys like

president obama. probably not two terms, but... some of your fellow democrats think you're a pushover and would like to see you stick to your guns. if you don't have guns they'd tlik see you ask eric holder to get some for you. >> much changed during my time in office. and four years ago i was in a brutal primary battle with hillary clinton. four years later she won't stop drunk texting me. four years ago i was a washington outsider, four years later i'm at this dinner. four years ago i looked like this. today, i look like this. and... four years from now, i will look like this. i'm not going to attack any of the republican candidates.

take mitt romney. i e.and i have a lot in common. we both think of our wives as our better halfs and polls show through an alarmingly insulting extent that the american people agree. we both have degrees from harvard. i have one. he has two. what a snob. congress and i have certainly had our differences. i try to be civil and not take cheap shots. that is why i want to especially thank all of the member who's took a break from their exhausting schedule of not passing any laws to be here tonight. it's great to be here this evening in the vast magnificent ball room for what mitt romney would call a little fixer upper.

and look at this party. got men in tuxes. women in gowns. fine wine, first class entertainment. i'm just relieved to learn there this was not a gsa conference. i really do enjoy attending these dinners and i had a lot more material prepared but very to get the secret service home in time for their new curfew. >> greta: that is your last call. lights are blinking and we're closing down shop. make sure gou to greta wire.com. there is an open thread. greta wire.com. go there. we're going to be there. good night from washington, d.c. see you tomorrow night. ght. >> bill: the o'reilly factor is on. tonight. >> we reported a true story. i'm not at cbs now because i and my team reported a true story. >> bill: dan rather pushing a new bookce