atika shubert joins us live from outside the houses in london on what to expect. let's have a look at the questions that mps will have for the three individuals. what are they going to ask, first off? >> basically there's two committee hearings here, one focusing on the police investigation and the other focusing on the phone hacking allegations, and that's where rupert murdoch is expected to be. he should be there at around 2:30, that's when they'll be grilled about how much did they know, when did they know it and why didn't they put a stop to it sooner or come forward with more information as to how widespread the scandal was. in addition to rupert murdoch being in the hot seat, james murdoch will be there and rebekah brooks, former "news of the world" editor and chief sbekive of news international. she of course was arrested sunday and released without charge in connection with the phone hacking and she could be limited in what she has to say because of the ongoing police investigations, nina. >> atika, we've had the death of sean hall, former "news of the wor

let's bring in cnn's atika from london. what has happened, atika? >> well, paul stevenson, the police commissioner, has resigned. this is amid all of the investigations going on, not only of the phone hacking scandal but also police payments by news of the world to receive information. now, he has resigned over increasing public pressure but he has denied any wrongdoing. he has come under increasing scrutiny because of the high level connections between "news of the world," the tabloid, and senior police officers specifically neil wallace, a former deputy editor at "news of the world" had basically been paid by police to become sort of a communications consultant and while he was a communications consultant, it appears he was also reporting back to news international and this is what the police have now come under close scrutiny for. and this is what sir paul stevenson is now talking to in his press statement that has just been released, atika. >> is this the questioning of rebekah brooks as it relates to this scandal? >> it's actually a separate pa

atika shubert joins us live with more on this.let's first talk about rupert murdoch and what he had to say. yesterday he said it was the most humble day of his life. it seems overnight he's written to news corp. staff explaining the situation to them as well. >> reporter: he did. he wrote a letter to staff basically explaining what he said yesterday at the hearing and also making it clear that he was appalled at these phone hacking allegations. one of the things he said in the letter was he has imbued the corporation with an audacious spirit, but this sort of behavior should not be tolerated. he also laid out some of the steps the company is taking to address the issue including setting up an independent standards and management committee. one of the things he also said was that he was sorry for the hurt that was caused, and we have taken responsibility. that's what it says in the letter to employees. of course, one of the things that he said in his hearing yesterday was very -- put very bluntly to him by mp tom watson who asked h

let's bring in cnn's atika shubert. atika, is there a connection between the resignation and the arrest of that top murdoch executive? >> well, there are basically two different strands of the same scandal. in the place of sir paul stevenson, the topmost senior police officer here in britain, he basically resigned because of increasing intense scrutiny over the relationship between the metropolitan police and "news of the world." that tabloid that was shut down because of those phone hacking allegations. and basically there was a former "news of the world" editor, neil wallace, who it turns out was paid by the metropolitan police to be a communications consultant. sir paul stevenson was taking a lot of flak for that. now, he resigned saying he feels he's done nothing wrong, his integrity is intact, he says. however, he does feel that these allegations are distracting from the metropolitan police's police work. and for that reason, he has decided to resign so he can focus only on those allegations and the police can get

atika shubert, why did the commissioner of britain's metropolitan police suddenly resign? >> well, he said basically that he had done nothing wrong but that there had been such intense scrutiny over the relationship between metropolitan police officers and "news of the world" executives that he felt it was best for him to resign, to keep the force from being distracted, so he could continue with all those questions and investigations that are ongoing while the metropolitan police can continue on with their work fighting crime and other, you know, law enforcement issues. now, the specific incident he's talking about is apparently when "news of the world" former editor neil wallace was hired by the metropolitan police here in london to be a communications consultant. now, this has become -- has come under intense scrutiny. in fact, the home affairs minister here, teresa may, was due to give a statement tomorrow about her concern over the impropriety of that relationship. sir paul stevenson says so far he sees nothing wrong, that his integrity is intact. but because he did no

atika, what's this about? just the ex-editor, but also the former lawyer for "news of the world" saying james murdoch was very much mistaken in his testimony, that he had been informed about an e-mail called the fornevil e-mail that showed the problem was not limited to one reporter, that this was more than a single person. it went much further. so this suggests that possibly james murdoch actually knew about this much earlier and that he settled with another claimant on this issue in order to basically cover it up. now, james murdoch has replayed to this challenge by his former editor and lawyer saying just very similar ly, i stand by my testimony to the select committee. very kurt reply. the committee members are not happy about this at all, they say they want to hear back from james murdoch to explain exactly what happened. was he lying the the committee, was he mistaken, did they forget. they want some reason for this apparent discrepancy. >> there has not been a day, has there, atika, where there hasn't b

atika shubert, cnn, london. >>> the syrian government says an american diplomat is deliberately causinging tension between washington and damascus. i'll explain next. >>> a major rescue operation is fwoing on right now on russia's biggest river about 500 miles east of moscow. a cruise ship sank in the vulka with more than 180 people on board. one person confirmed dead and only a few dozen rescued so far. >>> in china two coal miners trapped below ground for more than a week were pulled to the surface today. they are alive and reportedly well. at least a dozen others are still missing. the mine collapsed july 2nd. >>> in india 13 cars of a packed train jumped the tracks today. rescue officials confirm 27 deaths already and say that number will likely rise as they search the wreckage. >>> to syria now where the anti-government movement raging for months is blamed for the deaths of hundreds of people both protesters and security forces. so far the united states has not firmly supported either side in the conflict. but take a look at what happened a couple of days ago when the u.s. ambassad

atika shubert we are watching closely. stay with cnn for in-depth coverage of the murdoch media scandal. we will talk to jeffrey mccrackin coming up, of bloomberg news. >>> two steps forward and one step back seems to be the depth talk tango in washington now. the cut, cap and balance bill would limit future spending and federal taxes. the majority pushed it through but passage unlikely in the senate and doomed if it reaches the president. now it turns to a bipartisan bill proposed by the gang of six. president obama supports the plan and encouraging congressional leaders to follow suit so he can sign the bill into law before the august 2nd deadline. here is the deadline. it helped push the dow to gain more than 200 points for its biggest day of the year. let's get to the white house now and cnn's brianna keilar. what is the president doing to make this deal come together at this point? >> reporter: we are waiting. his public schedule is very light. officially no meetings on the schedule. but certainly that could change. a

atika shubert, cnn, london. >> as you can imagine, all of this has pummeled news corp's stock.p's nasdaq shares, the news of their value has wiped more than $6 billion since the scandal broke on july 4th. that's a drop since july 5th, the first day u.s. investors returned from a long u.s. holiday. that have yet another thing to worry about. inquiries are being made into rue put murdock's newspaper publishing operation in britain. just a reminder, cnn will have live coverage of rue put murdock's testimony. that's going to be on tuesday. his son, james murdock, is also expected to appear and to answer questions. right now it's not clear whether brooks will still testified now that she's been arrested and bailed by police. it all starts at 2:30 in london and that's 9:30 p.m. right here in hong kong. nina. >> that coincides with our later edition of "world business today." so, of course, we'll bring you up to date. let's go to the market. high debt still remains a serious cause for concern on both sides of the atlantic and added to the uncertainty are the stress tests applied to so

. >>> atika shubert joins us with more on this.rp. scandal. >> reporter: previous, the investigation was focused on "news of the world" and other media associated with news international. we have learned the police requested files on another private investigator who was illegally obtaining information and not just for news international, for newspapers like "the daily mail" and the "daily mirror." those are not international newspapers. the scope of this investigation seems to be widening and not in terms of the media, but also in terms and ways the information is being obtained. it's not just about phone hacking any more, apparently. but also something called blagg which is impersonating someone in order to get their personal information from, say, their bank accounts or their house information. so it does appear that these private investigators were paid and used by newspapers to get this information. >> atika, scotland yard, it's hard to follow this. that was the british information service. scotland yard now, the police, the me

. >> atika shubert joins us live from london.he time that this first broke, james murdoch, "news of the world" basically said it's an isolated case, one private investigator and one reporter. this e-mail had the name of another reporter on it and showed that this went far beyond that one isolated case. now, james murdoch testified to members of parliament that he did not know about this e-mail when he agreed to a massive payout to a phone-hacking victim, more than a million dollar payout. now what his exlawyer and the former editor of "news of the world" are saying, no, he did know about that e-mail which indicates that james murdoch knew that this was not an isolated case when he authorized that massive payment. so some people are suggesting that perhaps this is evidence of a wired cover-up. now james murdoch has said he stands by his testimony that he made to parliament but as you can imagine, committee members are not happy. they want an explanation for the conflicting stories here. and one actual parliament member has said th

as cnn's atika schubert reports tonight, brooks had a long way to fall. >> reporter: in the cozy worldpolitics and media rebecca brooks was at its center. she wineded and dineded the rich and powerful on behalf of her boss and mentor. brooks first came to news international as a secretary at news of the world. she quickly developed a reputation for her tenacity as a journalist, reportedly once disguising herself as a cleaning lady to scoop a competitor. described as both ruthless and charming she was soon the youngest editor of the news of the world. shortly after that, the sun, both owned by murdock international. she spear headed a campaign to name and shame alleged pedophiles publishing names and addresses in the paper. as the editor of the sun she testified that her paper had paid police officers for information. it was under her editorship that the news of the world allegedly paid a private investigator to hack into the voicemail messages of millie dowler, a 13 yeerl girl murdered in britain whose court case and investigation made front page headlines. the allegations didn't come

atechniq atika schubert, cnn. >>> a lady who went on to help others. ford, the name behind the well-known betty ford center died at the age of 93 from natural causes. two funerals are planned. one in california on tuesday. the other is thursday in michigan. the public is invite fod pay their respects. >>> and the wife of former president gerald ford was honest, forthcoming about her addiction to alcohol and painkillers, and cnn's larry king interview eed betty ford several times and find out that firsthand and he spoke with me about it. >> she lived a glorious life. she had a great family. in fact, there's one of the best moments in all the years i did on cnn was when gerald ford described what her intervention scene was like when the whole family gathered around to -- to tell their mother and wife that she's an alcoholic, and she had to accept that, and then come forward with it. >> were you helped by your husband who brilliantly describe and this show, on that. >> yes. >> what happened? >> it was a terrible shock. i knew i didn't feel well and all of

let's get straight to london to atika shubert. these witnesses are not under subpoena. they don't have to say a word, do they? >> no. they don't, but it's still a court and can be held in tempt of court for example. even though there is no particular oath here, there is an incredible amount of pressure on them to answer these questions. remember, particularly in the cases of james murdoch and rebekah brooks, they have told lawmakers in previous hearings the this was the end of it. it was a rogue reporter and a private investigator and that was the end of it. clearly, it was not. because it turns out that there are, in fact, thousands of phone mail messages that may have been hacked and now they are back in front of lawmakers again trying to explain why they didn't tell the full story the first time around. >> atika, we have been paying close attention to this since early this morning. you know parliament is very well known for its political theater. how many times have we taken sound bites from within parliament of the yelling and the heckling, the angry outbursts? but

thanks, atika.today is a lot more interesting to watch than what happened yesterday which was rupert murdoch, his son and rebekah brooks testifying before a parliamentary committee. >> you thought today's was more exciting? >> i think that yelling and screaming. >> you had an invader come in there. an attempted throwing a pie in rupert murdoch's face. >> two hours after -- there is the pie attack. it's hard to see but you'll see it again on the left side of your screen wendy dang who is in pink gets up opinion there is the guy off to the side of the jin. she gets up and that is rupert murdoch's wife. >> 42-year-old wife and jumps over another woman to hit that guy. he ended up being a 26-year-old man. had he a shaving cream pie. he tried to hit rupert murdoch in the face. he kind of got his shoulder. this happened yet and it didn't take long for his wife to leap to the defense and police get involved. >> she maked him in the head. >> she got her licks in before the police took him. >> police took hi

let's start there with atika shubert in london.ar as he knew, the phone hacking was a single rogue reporter. but two former executives are denying that. >> reporter: that's right. this all hinges on one particular e-mail. basically, "news veof the world said this was only limited to one private investigator and one reporter but an e-mail named another reporter. this showed that it was more than just an isolated case. now, at that time, james murdoch had also authorized a payment to a phone-hacking victim for a massive amount. it was a million dollars which is very unusual. what he said in parliament he had authorized this payment thinking it was the only isolated case. now, what the former lawyer for "news of the world" and the former editor are saying that's not true. in fact, they showed him that e-mail before he authorized that payment and it's important because it may show an attempt to try and cover up just how widespread this problem was with news international. >> tell us about the allegations that murdoch family targeted fa

atika, what is the headline out of the hearing so far?ll, basically, getting a grilling by the lawmakers about the relationship between his senior officers and news international executives. but, so far, no smoking gun. basically, they are focusing on the hiring of neil wallace, a former deputy of news of the world and he was hired by the metropolitan police as a sort of communications consultant for about a year. now they are questioning about that, because neil wallace was later on arrested for his -- in connection with the investigation into the phone hacking. so a lot of questions being thrown up now. according to paul stephenson, he said they had no way of knowing he was, in any way, involved with phone-hacking allegations when they hired him. he personally did not know of any reason why not to hire him at the time. he is still being grilled on this issue so there may be more coming out of this yet. >> everything has come up about this already. one of the whistle-blowers in the case was found dead yesterday. what do we know about tha

atika shubert, thanks so much. on "american morning," how marines stationed in afghanistan scored a date with actress mila cue nis. you're watching "american morning." we'll be back in a moment. hey, dad, you think i could drive? i'll tell you what -- when we stop to fill it up. ♪ ♪ [ son ] you realize, it's gotta run out sometime. [ male announcer ] jetta tdi clean diesel. the turbo that gets 42 miles per gallon. ♪ t the motorola expert from sprint. its powerful tools help you work faster and smarter so you can get back to playing "angry birds." it lets you access business forms on the go, fire off e-mails with the qwerty keypad, and work securely around the world so you can get back to playing "angry birds." it's the android-powered phone that mixes business with pleasure. so let's get our work done, america, so we can all get back to playing "angry birds." the motorola expert from sprint. trouble hearing on the phone? visit sprintrelay.com. don't let times like these stand in the way of them. protect your family