cyrus vance sought an indictment and got it. that day prosecutors were just as confident in their accuser as commissioner kelly was. >> the complainant in this case has offered a compelling and unwavering story about what occurred in the defendant's room. >> what assistant d.a. mcconnel did not say perhaps because he did not know were facts about the alleged victim's past and questions about her account. in a moment former prosecutor sonny hosten and jeffrey toobin on whether they think a rush to prosecute made this case impossible to prosecute. first, though, tom foreman lays out the facts. >> reporter: dominique strauss-kahn's new york arrest in mid may was a sensation. the head of the international monetary fund, the potential next president of france, snatched from a jet moments before takeoff, accused of attempted rape by a hotel maid. manhattan democrat cyrus vance put it simply. >> these are extremely serious charges. >> reporter: the maid told police she had gone to clean strauss-kahn's $3,000 a night suite and he had ju

and cyrus vance did the right thing. >> what's going on here, richard? yes, avery underscored there is some forensic evidence substantiating that something, there was some sort of contact between these two, at least that's the allegation and investigators want to stand by that, but they have a problem with the story of the alleged victim. how is it that perhaps -- i guess the story really needs to supercede that forensic evidence or at least match it and that's the problem here, it just doesn't match? >> fred, the great yogi berra coined the phrase it's not over till it's over, this case is over. this case will be dismissed and there's no way they can prosecute him for this. >> no way even if there's forensic evidence, there's no way they can go in regard. >> the defense says it was consensual, number one, and this victim has now proven to be a liar on many issues, including, claiming he was gang raped, raped back in her own country. that was a lie. you cannot have a rape victim on the stand with her credibility on the line who previously claimed to have

the thing we will hear next is how does cyrus vance, who is the prosecutor who brought this case withre, embracing the credibility, describe what happened and whether he is really selling out his -- this victim. whether he is in fact responding rationally and logically to new developments or whether he is simply throwing in the towel because he's afraid of losing to a powerful defendant and his skilled and expensive lawyers. this is a very difficult moment for cyrus vance and he better have some answers. >> did you hear anything presented by the attorney of the alleged victim? anything at all? it was unbelievable, the level of detail about this alleged assault. was there anything that gave you pause in terms of whether or not this case could move forward? >> well, you know, i think we have to keep in mind that we are hearing a defense attorney's characterization of his client's story. by definition, the defense attorney is going to play, is going to put forth the facts in a favorable light, so you know, we weren't hear frg the witness. we were hearing from the witnesses lawyer. he mad

strauss-kahn of assaulting her the district attorney cyrus vance had undermined their case by leaking damaging information about her client. mr. vance's team had described the request as wholly without merit. and now dominique strauss-kahn's successor at the international monetary fund christine lagarde has started her new job. she will have to tackle the problems in the euro zone. we spoke to christine lagarde in washington. this is the report. >> christine lagarde is the first synchronized swimmer to become head of the i.m.f. she's also the first woman. but in other respects, she's not a novelty at all. after all, she is a european like every other managing director before her. >> i don't see myself, nor do i feel specifically french or european. i feel very much a member of the entire community. and having to serve the entire community. >> there are 187 members of the i.m.f. there have been 11 managing directors. five of them have been french. how can you justify -- is it something in the wine that makes french people particularly good at running the i.m.f.? >> it gives us a better

manhattan district attorney cyrus vance said the hotel maid lied about events immediately following the assault on may 14. sources tell cbs news investigators also obtained a reported phone call to her boy friend an arizona prison which she said that she could potentially cash in on the case. all of this raises serious issues, says former sex crimes prosecutor robin saks. >> she lied about the events, she lied to the investigators and she potentially lied under oath to the grand jury. when you have lies that are specifically about a case, there is no recovery from that. it's case over, day over, good-bye, good night. >> reporter: the district attorney's office and police are facing criticism over how the case was handled from the very start. >> it appears that what happened was that this was a rush to judgment. they did not want a roman polanski situation where he was going to go run off in france and possibly never return to the united states. but they chose speed and they chose sloppy work over precise interviewing and these were the consequences. >> reporter: for now, strauss-kahn mu

he gets up there, he accused cyrus vance of being scared to take on dominique strauss-kahn and his team. let listen to him. >> our concern is that manhattan district attorney cy vance is too scared to try this case. we believe he's afraid he's going to lose this high-profile case like he lost recently the high-profile case brought against the two police officers who were accused of raping the woman who was drunk. and like he lost the two high-profile cases this week involving a deutsche bank fire in which two firefighters lost their lives. but the district attorney has an only case to stand up for this rape victim. >> so jeffrey toobin, sounds like he is saying, the manhattan d.a. must have concluded this case is a bad career move. is that what you heard as well? and why go there? what could the strategy be in saying that? >> well, i mean, it was really amazing press conference by ken thompson. he was extraordinarily graphic in claiming what happened. i think there are multiple agendas at work. here, he wants justice for his client. he wants to see -- he believes his client was horribly

know, we heard her personal attorney ken thompson make a very passionate plea to district attorney cyrus vanceith the case, saying that there's substantial evidence supporting the client's claims. i think you're going to hear the defense, though, say, this is a case of consensual sex and how do we know that the bruising of her genitalia was caused during the encounter with strauss-kahn, her ripped stockings, they might have been ripped when she came to work. of course, there would be semen and dna in the room. strauss-kahn admits he had sex with her. each of the points raised by the defense attorney can be dealt with by the defense. i think it doesn't necessarily mean that the case is a strong case. it's got a lot of problems, this case, and i would be surprised, frankly, if the defense, you know, is unsuccessful in convincing the prosecution to walk away. >> i want to hear briefly now from the d.a., cyrus vance, and from strauss-kahn's lawyer, ben brafman, and then i have some more questions for you. >> prosecutors our duty is to do what is right in every case without fear or favor, wherever

so cyrus vance, when his investigators turned up this thing, did what he was required to do under the law. he disclosed that information to strauss-kahn's attorneys. i understand the victim's attorney is very upset making these bold statements against the d.a., but he was between a rock and a hard place. he had to turn it over legally. that's the stance he finds himself in based on what the victim did, not what the d.a. did. >> sunny, what do you make of the d.a.'s behavior? he did seem to so fully embrace this case in the beginning. we can have a long discussion about why they didn't look into other things before they so fully embraced it. nonetheless, it does look like he may be dropping it. do you sense that? >> i do sense that. let's face it. when he was faced with this decision whether or not to go forward, you had what appeared to be a very credible witness, what appeared to be a quick report which lends her story some credibility, and a defendant who was about to leave the country. in a situation like that, you do have to make the tough call. she also testified in front of the

the district attorney here, cyrus vance, jr., spoke. he said the charges still stand. he said that the investigation would continue, and that the -- they go where the facts seem to lead. but he's said there are credibility issues with the alleged victim. dock neek strauss-kahn's attorneys say there's been a rush to judgment, they've been saying that all along, and this points that out. and the attorney for the alleged victim spoke the longest, and the most vehemently. he said that she will now come forward to talk to the press, to talk to the public, to tell her side of the story. and he says the bottom line is that regardless of what happened to her before this, regardless of what happened to her after this, the bottom line, he claims that she was still a victim of a violent attack, and she insists the prosecution of this case should go forward. >> ron allen, we'll obviously be following this throughout the day, tonight and in the future. thanks, ron. >>> for more on the sturning turn of events in this case, let's bring in editorial director of the peterson i institut

with he were just listening to cyrus vance, the district attorney, talking about the case of dominiqueased from house arrest. this after some questions, some reports on the credibility of the accuser, the house maid. we continue to follow that case. they'll be back in court, we are hearing, on july the 18th. now, despite government cuts and layoffs, some cities across the country are going all out this fourth of july. communities have turned to donor sponsors and charging small admission fees to save july fourth celebrations. and one of this year's biggest fireworks displays will be broadcast by the way on nbc so you can enjoy it at home. with me now, nick lachey, host of the macy's fourth of july fireworks spectacular. what do you he cyou expect for year's celebration? no doubt a lot of fun. >> yeah, it's going to be great. macy's does it bigger and better every year than anyone else, and to be a part of it, you know, i'm truly honored to be the host this year in eric new york. it will be fantastic. >> what are you going to be doing to make it fun? >> well, in addition to having the b

interview for newsweek and television interview for which she sat, so you can rest assured that cyrus vance representatives are poring over the interview and the tape of the interview and see whether it comforts with that which she has told investigators and already there are reports that in some respects it doesn't. when she was in the hospital, it said there was no conversation between she and dominic strauss-kahn and as you can read from the "newsweek" account, she is saying that there was verbiage between the two of them. so when there areç inconsistencies, it will make them less inclined to move forward with the case. but thomas, many are sitting back to give what in philly, we would call the hairy eyeball test, and listen to the words and see if she sounds credible. >> well, i spoke to someone from "newsweek" who described her account as vivid and compelling, but said that questions of the past were met with vague responses. do you think that coming out publicly was a good idea, and i don't want to say this in any way to deter anybody from coming forward when you have a situation lik

." >> brown: for his part, the manhattan district attorney, cyrus vance, insisted he is in no rush to reach any final conclusion about strauss-kahn or his accuser. >> today's proceedings did not dismiss the indictment or any of the charges against the defendant. our prosecutors from the manhattan d.a.'s office will continue their investigation into these alleged crimes, and will do so until we have uncovered all relevant facts. the vindication of the rights of sex crime victims is among the highest priorities of this office. >> brown: the charges last may had dashed strauss-kahn's standing as a leading presidential contender in france. today, supporters said it's unclear if he can reclaim that status. >> ( translated ): it's a thunder clap that this has produced, but it's not like when this first happened, because the fact remains that, even if the charges against him collapse, he will still have already been thrown to the lions. >> brown: strauss-kahn's next scheduled court date is july 18, and until then, he is free to move around the united states. sara eisen, a reporter for bloomb

. >> reporter: according to manhattan district attorney cyrus vance that she lied about her backgroundory of gang rape in her native guinea and mentioned that strauss-kahn's wealth and recorded conversation with an incarcerated friend. >> diallo was not concerned about dominique strauss-kahn's money on may 15th. she was concerned about the fact he had tried to rape her. >> reporter: while the 62-year-old former head of the imf has not spoken publicly, his attorneys want the d.a. to drop the case, but diallo said she told her daughter she would fight on. >> what happened to me, i don't want that to happen to any other woman. >> reporter: michelle miller, cbs news, new york. >>> at that news conference, diallo thanked the people who supported her throughout this ordeal. strauss-kahn is due back in court in three weeks or so. >> we will watch that as well. >>> jeff glor is here with a look at other headlines we are following this morning including what is or may not happening in washington. >> exactly. well-phrased. >>> debt limit talks resume again this morning after a long and eventful

and, george, as you can imagine this is a huge black eye for the d.a., cyrus vance, a lot of questionsbout what this means for his future. george, back to you. >> whether or not they'll be able to have a motion for dismissal. >> absolutely. let's bring in our legal analyst, dan abrams. how unusual is it for a case to get to this point and for this to happen? >> very unusual. i mean think about how quickly we've moved. in may you had the d.a.'s office saying this was so violent, he was so dangerous that he should be held without bail. and now they may be coming forward in essence saying we don't trust this accuser. because, remember, they would not be doing this just based on a shady past of the accuser. they're doing this only because they are starting not to believe her themselves. >> and that's a good point because there are a lot of times the alleged accuser going on trial. you're saying it's beyond what happened in her past? >> absolutely, because the d.a. does not want to be in this position. i mean, the d.a. does not want to be giving evidence to the defense at this point where t

jon: that's cyrus vance jr.rk city talking about the case against dominique strauss-kahn, the former head of the international monetary fund, who lost that position after he was arrested for sexually assaulting a hotel maid. let's go back to our panel of attorneys. sharon, help us read between the lines there. he says the investigation is going to go on. but it sure sounds like the fact that he has been released, dominique strauss-kahn has been released on his own recognizance sounds like the prosecutors don't feel like they have much of a case against him anymore. >> that many exactly what's going on. it seems to me this woman is seeking to get asylum, and is going use whatever she can. it's not a typical to make up claims. she has a claim of rape on her application for asylum. under the vowa act, the person just alleged a domestic violence and they can get asylum. it's really sad, but that's the way it works. the person being adduced doesn't have the opportunity to defend themselves. this is with immigration.

she is trying to put public pressure on cyrus vance to prosecute the case.nship victim and here she has revealed her own name so this is an astonishing development. >> it is usual. >> i think in the end 'res vance, the d.a., walks away from the case and moves to dismiss. >> i think some rape victims have come forward before because they say they want to stand up and say i have nothing to hide from, i was a victim. >> i think a great point, christine. >> i do want to say this. just because she's found to be not credible does not mean that this didn't happen. i watched her. i have read her reports. i don't know what happened. i wasn't in that room. but it doesn't mean she wasn't attacked. it doesn't mean she wasn't raped in this prosecution doesn't go forward. >> i don't know what went on. but you kiran, you were saying you saw her statement. i was watching people watch her as i often do because you wonder how a jury is going to react. a lot of women were watching her saying, she is, obviously, lying. she just looks so -- >> i had the exact opposite reaction.

certainly the district attorney cyrus vance, has been very embarrassed by this case.t want to give it up altogether so he may allow strauss-kahn or encourage strauss-kahn to plead guilty to some misdemeanor which would not involve any kind of jail time and probably involve some kind of minimal fine. but i don't think that strauss-kahn's lawyers are going to go for that. certainly the friends of strauss-kahn that i've talked to, say that he wants some kind of arrangement that he can portray as a complete vindication. and we just don't know if that's going to happen or not. >> that's the interesting thing. he was somebody viewed as a potential presidential candidate in france, even if he pleas to a misdemeanor that certainly hurts him in terms of his reputation. >> well, it does. but you know, the french press today is full of stories saying that the district attorney is just going to drop the charges. i don't think that's true, or at least not yet. that certainly is what strauss-kahn's people want, but you know, we haven't even heard from strauss-kahn, his version of w