eamon javers is with us now from washington. good to see you as always, eamon. >> hi, sue. >> the doj made really pretty tough assertions about this deal. give us some of the details. >> reporter: yeah, they did, sue. in fact in a conference call with reporters where they broke down exactly why they took this action, doj officials said it was one of the worst antitrust cases they'd ever seen and said some deals ought to never leave the corporate board room and said candidly they thought this was one of those deals that should never have gotten as far as the government review in the first place. so a fascinating back and forth here between the government and these two companies who argue that they wanted to combine and that they thought it was an important thing to do for their industry. >> so how is the company -- how are the companies, i should say, responding? ly challenge they said they' this decision. they said they're going to fight it. the doj said they're aware they're going to fight it and the companies are welcome to do

today eamon javers talking about to the money who cofounded it all, jergen mosac. >> welcome to panama city, a neighborhood with a lot of law fishes, small businesses and bakes. behind me are the offices of mosav fonseca, the law firm at the epicenter of the so-called panama papers scandal. earlier i had an opportunity to sit down with jergen mosac, one of the founders of the firm, and i asked about the scandal, the impact on business, and whether or not he knew open important political figures had business dealings here. did you know vladimir putin's aides and associates were using the services of fonseca? >> no. when we find out names like putin or like other heads of state, it is always through the media. it means that -- >> did you know that eight members of the chinese politburo were using your services? >> no of course not. >> did you know david cameron's family had used your services? >> no. >> why not? your name is on the front door, isn't that something you would want to know when you're a business owner? >> whenever we find out that there is somebody behind or that through th

. >>> a senior new york fed official spoke with cnbc's steve liesman and eamon javers about the cyberfears. hello, eamon. >> yes, a new york fed official told steve and they the fed is taking it very seriously and that the cyber security of banks around the world that the fed transacts with is critical to the stability of the global financial system. remember, back in february, the crooks got into computer systems in bang ladesh, and authorized transfers of nearly $1 billion out of the accounts at the fed, and in new york, they blocked some of the transfers, but released $81 million to philippines and sri lanka and some of it was sent on to casinos in the philippines, and converted to chips there on the gaming table, and we don't have any idea who stole all of that money. despite the brazen heist, the fed official told us that the fed has no control of the cyber security over to the banks that it does business with, which means potentially an enormous amount of money at risk. there are nearly $3 trillion in assets and rough ly $80 billion is wired into and out of the accounts everyday

eamon javers sent this report. >> reporter: microsoft filed a lawsuit on thursday. the company is challenging the government's ability to examine data held by microsoft while blocking the company from telling customers that the government has accessed that information. we believe that with rare exceptions consumers and businesses have a right to know when the government accesses their e-mails or records, wrote microsoft's president and chief legal officer brad smith in a blog post. he wrote, yet it's becoming routine for the u.s. government to issue orders to keep these kinds of demands secret. microsoft said it received 5,624 federal demands for customer data over the past 18 months and 2,576 of those came with gag orders, that blocked the company from telling the customers in question. the department of justice had no immediate reaction to the suit. a u.s. government source said the feds only learned of the legal action through media inquiries today. the filing coming in the wake of the dramatic standoff between apple and the fbi over encryption. for cnbc business

let's get right to eamon javers with the details. >> reporter: hi, melissa. treasury is implementing imposed regulations on tax inversions, an issue we've heard a lot about, criticism from both hillary clinton and donald trump. now treasury saying it's taking new regulatory steps. here's what treasury says is actually happening. they will try to limit inversions by disregarding foreign parent stock attributable to recent inversions or acquisitions of companies and they will try to address earnings stripping by targeting transactions that generate large interest deductions allowing the irs on audit to have debt instruments and debt equity and requiring certain implementations of debt instrumentation of what is debt and not deal in one of the tax inversion deals. treasury has done this two times before and on a conference call with reporters that happened a few minutes ago they declined to say whether the two previous actions the treasury has taken actually had any effect in limiting the tax inversion transactions. mel sla? >> eamon, from your reporting do thes

eamon javers has been looking into this. >> we had to go back to 1990 to check the records here. in that span of time, we couldn't find a single other fed governor who made a contribution to a presidential candidate while sitting as a fed governor. a lot of them gave money before they joined the fed and after they left, but the tradition has been that while they're a fed governor they don't give to presidential candidates. we did find a couple who gave to lower-level political canceled dates or to state political parties, that sort of thing. this one is raising eyebrows in washington. a lot of people interpreting it as an effort by brainard to curry favor with the hillary clinton camp and maybe angling for a job in the clinton administration if that happens come next year. >> we know whether see has been a long-time clinton supporter, number one? number two, can you see circumstances under which this becomes a major political controversy that could potentially lead to her resignation? >> i don't think it becomes a major controversy at this point. it's well within her rights as a

and as our eamon javers reports microsoft no longer wants to keep those searches secret. >> microsoft filed a lawsuit against the u.s. department of justice in a federal court in washington state today. the company's challenging the government's ability to examine data held by microsoft while blocking microsoft from telling customers that the government has accessed that information. we believe that with rare exceptions, consumers and businesses have a right to know when the government accesses their e-mails or records, wrote microsoft's president and chief legal officer bratt submit in a blog post. he wrote, yet it's becoming routine tort u.s. government to issue orders that require e-mail providers to keep these types of legal demands secret. microsoft said it received 5,624 federal demands for customer data over the past 18 months and 2,576 of those came with bag orders that blocked the company from telling the customers in question. the department of justice had no immediate reaction to the suit. a u.s. government source said the feds only learned of the legal action through media

let's get to eamon javers in washington. >> that's right, the president just a few moments ago had very tough words for companies that engage in the tax inversion process. here's what he he had to say. >> i've been pushing for years to eliminate some of the injustices in our tax system. so i am very pleased that the treasury department has taken new action to prevent more cooperati corporations from taking advantage of one of the most insidious tax loopholes out there and inflame the country just to get out of paying their taxes. >> the president linked this whole issue of tax inversions to the "panama papers" case which broke over the weekend in which leaked documents reveal that world leaders around the world had accounts -- or had law firm in panama that was setting up structures where they could hide money around the world. so that is an interesting point from the president. linking that case to what we're seeing here with tax inversions in the united states. the president saying this is just an indication of a system globally in which people who are rich and powerful have lawyer an

eamon javers has more. >> look at wisconsin voters casting ballots in wisconsin.ow what these voters are doing today, but we think we have a clue about what might happen. so much at stake here in terms of the insurgencies in both campaigns. we have democrats looking at hillary clinton whether or not show will survive this charge from bernie sanders. on the republican side, donald trump seeking to hold his lead. here's where the polls stand now going into today's voting. donald trump not leading in wisconsin. we have ted cruz at 39%. donald trump at 35%. john kasich down at 20%. on the democratic side, 48% sanders, 45% hillary clinton. the clinton surrogates are out there today suggesting that she doesn't necessarily need to win wisconsin because she's got a pile of delegates already. take a look at the delegate count. on the republican side, donald trump 750. ted cruz back there at 481. john kasich at 143. the magic number here, 1,237. on the democratic side, clinton, 1,692 delegates. sanders just 1,012. needed to win, 2,383. you could ask where is wisconsin's pau

eamon javers, thank you very much.hat will shine a light on offshore activity overall. >> i remember when ubs got -- remember the swiss 5:kouaccount people were using to avoid taxes? this is -- i think this will show that there are so many rich people around the world. put a backlash against the rich. again, the rich are just under fire everywhere. and one of them is running for president. >> i'm not getting out my violin. >> no. no. no. >> tiny. >> i think it's interesting that we are -- that cuba, which was always against the rich, right? there's no statement -- there's no one against the rich anymore. in the countries that used to be against the rich. then there marx, lenin, they're struggling right now. wherever they are, they're confused. remember when they said -- >> the world turns upside down. >> when we get back, the ge downgrade, also some calls on apple. later this morning, a conversation with steven chazen, as his industry deals with challenges posed in the slump in oil prices. another look at the premarket

our eamon javers is in d.c.h the latest on the delegate math, morning. >> good morning, sarah, a pair of absolutely monster wins on the democratic and republican side in new york state primary voting last night. look at these numbers donald trump with a huge margin of victory 61% over john kasich at 25%. and ted cruz back there at just 15%. that's for the republicans. on the democratic side hillary clinton also with a commanding win. hillary clinton 58% to bernie sanders 42%. look at this exit poll result. this is in wall street's home state of new york state. and wall street not polling very well. if you asked voters yesterday whether wall street helps the u.s. economy or hurts it, hurts the u.s. economy, 64% of democrats say wall street is hurting the u.s. economy. republicans 51% helps the u.s. economy just 29% of democrats say that and only 46% of republicans say that wall street helps the u.s. economy. so wall street under water in both parties here. maybe not that much of a surprise given that we're just a

. >> eamon javers sat down with the man at the heart of the panama papers scandal.ou'll see some of that interview after the break. >>> we're minutes from the latest rockets launch by elon musk's spacex. got to have that music, of course. we'll bring you that live later on "the closing bell." you'll see the launch right here. is car? came courtesy of james and patricia thompson. this tv? margaret and tom lee. the championship game ball? that was sebastian diaz. good guy. and all i had to do was ask for their money and pretend i was investing it. their life savings is now my lifestyle. female announcer: don't let someone else live the life you're saving for. find out if you're dealing with a registered investment professional at investor.gov. it's a great first step toward protecting your money. before you invest, investor.gov. igoing to clean betteran electthan a manual. was he said sure...but don't get just any one. get one inspired by dentists, with a round brush head. go pro with oral-b. oral-b's rounded brush head cups your teeth to break up plaque and rotates t

close friends to vladimir putin and yesterday eamon javers spoke with the law firm, and he was askednew of the world leaders using his law firm for this activity. take a listen to what he said. >> did you know that vladimir putin's aides and associates were using the information? >> no. when we find out names like putin or like other heads of state, it is always through the media. it means that -- >> did you know that eight members of the chinese bureau were using your services? >> no, of course not. did you know that david r cameron's family were using your services? >> you continedon't want to kno owns that company? >> nowadays with the regulations, we have to know who is behind the company. so because our -- >> you just told me you didn't know all those names. >> yes. that is -- that is correct. >> first of all, who do you believe? do you believe the -- the ceo of this law firm? >> well, if you're going to say -- i did know that 12 heads of states laundry money through my firm, of course not. of course he would say -- >> but the implication is maybe they're not doing something ill

eamon javers is in d.c. >> they're comparing this to the edward snowden leaks and wiki leaks in 2010.called the panama papers incident. it broke around the world yesterday. a consortium of investigative journalists starting in germany broke a series of stories through the day yesterday. here's what we know so far about the panama papers. about 11 million documents are leaked as a part of this overall leak. the documents come from a panama-based law firm called monthsic phenomenon saka, helps companies set up shell corporations and also allegedly helps them set up situations where they can have anonymous members of the board of directors or false members of the board of directors to help hide assets for global folks around the world. we're looking at reports now that 12 current or former world leaders maintain the offshore shell companies as a result of the information that's come out of leaks just so far. russian leader vladimir putin's name is not mentioned specifically in these documents themselves. but his close circle of advisers and friends is mentioned, and there's an effort her

. >> and political as always in dc, and than you, eamon javers. and coming up a coke and a frown.tock is tumbling, and the worst day since 2014, and find out if anybody has bowed on the dip. and also, the sell of the dreamliner, and more on the company that investors first caught headwinds. ♪ approaching medicare eligibility? you may think you can put off checking out your medicare options until you're sixty-five, but now is a good time to get the ball rolling. keep in mind, medicare only covers about eighty percent of part b medical costs. the rest is up to you. that's where aarp medicare supplement insurance plans insured by unitedhealthcare insurance company come in. like all standardized medicare supplement insurance plans, they could help pay some of what medicare doesn't, saving you in out-of-pocket medical costs. you've learned that taking informed steps along the way really makes a difference later. that's what it means to go long™. call now and request this free decision guide. it's full of information on medicare and the range of aarp medicare supplement plans to choose

. >> eamon javers, thanks so much. you are an owner of pfizer, pete. you liked this stock for a long time. the market today is clearly acting as though the deal ison both sides by virtue of how both stocks are trading. what do you do? >> the concern you would have in terms of allergan right now, i actually have seen a little bit of unusual activity of people looking for a bounce. i think the one problem is, the loss of revenue. you really look back to this whole deal, how about the fact they got rid of their generic group and $40 plus billion deal. they get a buyout from pfizer if this thing completely falls apart, $3.5 billion so there is that. everybody wants to say allergan is too cheap. they got rid of a big revenue stream. it is cheap, but based upon what exactly are people measuring that? >> i wonder what this does to the investability if you will of these stocks in this universe. not only ones where you would anticipate a potential transaction and inversion-like transaction or something else, but also now with the rhetoric from the clinton side

eamon javers joins us with more on what is being called the panama papers. robert? >> that's right.t is being called the panama papers, also being compared to the edward snowden leaks and the wikileaks situation back in 2010, a dramatic exposure of global information. here's what is a

eamon javers has the latest. >> the fbi may have found a workarc into the access into that apple iphoneen the certainly of this recent battle, but this issue is just not going away. sigh vance jr. sell they're looking to get into about 175 phones and said a quarter of the 670 phones that the daye's office and cyberunit have obtained during the course of their investigation are locked. they said recently the pace is accelerates one out of two phones is inaccessible to law enforcement as they say there is evidence crucial, and cy vance jr. asked to think about the victims. >> apple has said it's moved to this device devolved encryption to protect the customers. what i want to ask you is for apple to be as interested in protecting its customers who are the victims of crime, many of whom are represented by the groups here today. who at apple is going to speak for them? who at google is going to speak for them? >> just last week we saw microsoft sue the department of justice saying it wants to be able to tell its customers when the government has come and asked for access. often now there ar

eamon javers has the latest. >> the president was wheels up for saudi arabia from andrews air force baseouple minutes ago but before he left he poured a little cold water on the september 11th bill that's moving up on capitol hill. that bill would make it easier for american victims of the september 11th attacks to move forward with lawsuits against the government of saudi arabia in u.s. courts and in an interview with cbs this morning the president said he doesn't think that's a very good idea. here is what he said. >> this is a matter of how generally the united states approaches our interactions with other countries. if we open up the possibility that individuals in the united states can routinely start suing other governments, then we are also opening up the united states to being continually sued by individuals in other countries. >> speaker of the house paul ryan also expressing doubts about the legislation earlier today paul ryan not as definitively negative as the president, but expressing some of those doubts. here is what he had to say. >> i think we need to look at it. i think

eamon javers, what have you learned? >> reporter: hi, brian.e're sitting here inside the law firm mossack fonseca. this is probably one of the most scrutinized law firms anywhere in the world now, given the breaking news around the world of the panama paper scandal that broke on sunday, last week. i had a chance recently to sit down with jurgen mossack, the co-founder of this law firm. i asked him if he says he's done nothing wrong, which he does say, and says this firm has done nothing wrong, i ask him if that's the case, why did you think all the clients from all around the world are coming here to panama to do business? here's what he said. >> there is another misconception here. they were not coming to panama. they were coming to jurisdictions all over the world. in fact, you have many from were coming to places like delaware and the united states. who also incorporate companies in very same fashion as we incorporate them here. but panama is just our base. we incorporate companies in many jurisdictions all over the world. in fact, the minor

eamon javers joins us with more on what is being called the panama papers. robert? >> that's right. it is being called the panama papers, also being compared to the edward snowden leaks and the wikileaks situation back in 2010, a dramatic exposure of global information. here's what is at issue here. a panama law firm called mossack fonseca, 11 million documents taken from that law firm, given to a german newspaper, which shared them with a global consortium of media outlets around the world. in those documents, according to the reporters who had a chance to go through them, are accounts of world leaders, as many as 12 world leaders who set up shell corporations using that panamanian law firm to allegedly hide assets around the world. one of the leaders under scrutiny today is vladimir putin. his name does not show up in the documents personally, but the names of a lot of his close confidants and inner circle do show up in those documents. the kremlin has already had reaction here and we're getting reaction from some of the world capitals to this story. kremlin saying this report was

eamon javers has more. >> reporter: there's an old saying in politics which is you got to dance withring you, mean you're supposed to be loyal to the people who sent you to the convention. we'll test that this summer at the republican national convention. so many scrutiny on those delegates selected to carry out the voting on the floor. let's look what we know as of right now. first of all how do you become a republican national committee delegate. four possible ways. you can be elected at a state convention. you can be elected by primary ballot. or be elected at a state committee meeting. some states accept candidate provided slates. the candidate writes down 25 people he would like to see as his delegates. once the election happens the state takes the list and goes one, two, three, four, five how many they won on election day. the question is are the delegates bound? there are rules that vary state by state. in 31 states the delegates of the republican national convention will be bound on the first ballot. in only seven states will those delegates be bound on the second ballot. on

eamon javers has the story. >> this is massive just breaking around the world.t's already being compared to the edward snowden case and the 2010 wikileaks case. they're calling it the panama papers incident. more than 11 million documents have been leaked to a german newspaper that then cooperated with an international consortium of investigative data. it creates offshore companies for clients around the world. the law firm also operates in different jurisdictions around the world. reports show that 12 current or former world leaders maintained offshore shell companies in that data that was released. vladimir putin's name does not appear in the data but the data does detail holdings of his close friends and also 12 other world leaders around the world. here's a statement from the law firm reacting to the news that broke yesterday saying we have not once in nearly 40 years of operation be charged with criminal wrongdoing. we're proud of the work that we do, notwithstanding recent and willful attempts by some to mischaracterize it. guys there's an awful lot to che

eamon javers has more on the inversion fallout. >> reporter: president obama had some very tough wordsay for corporate inverters saying they effectively renounced their american citizenship. here's what he had to say just yesterday. >> jobs in march. >> reporter: okay. looks like we don't have that sound but what president obama said yesterday that this was a loophole that companies took advantage of to lower their tax bill but sticking the middle class with the bill that everybody else has to pay. on capitol hill republicans said this new treasury rule was punitive but nobody on the hill was predicting that congress will take any legislative action of its own given the election season and limited amount of time left in this congress and this administration. guys we're left with a standoff here in washington where president obama is using the treasury department to tighten up the rules. they had dramatic impact on one of the deals that was pending. we have to wait and see what happens through the rest of the year here. but president obama linked those tax inversions to the panama paper