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    ANDERSON COOPER 360 DEGREES

    Major Winter Storm Clobbers Northeast; Black Widow TerrorThreat; Ex-Virginia Governor Indicted; Payback Politics?; Can ChrisChristie Weather Political Storms? Governor Sworn In for Second

    Term; Controversial Crack Smoking Toronto Mayor Admits toDrinking in New Video Posted Online; Texas GubernatorialCandidate Admits to Fudging Some Details of Her Inspiring Bio; "TheKilling Cove," Dozens of Dolphins Killed in Japan's Annual Hunt,According to Reports

    Aired January 21, 2014 - 20:00 ET

    THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINALFORM AND MAY BE UPDATED.

    ANDERSON COOPER,CNN ANCHOR: Good evening, everyone. Here's all you needto know about the storm that ishammering the

    country. They are cancelling ice hockey games.

    That's righ t, it is too snowy and too cold for winter sports. The Flyers gam e cancelled in Philadelph ia. About 3,000 flights cancellednationwide. And schools and the federal government and just about every state in local government function, except plowing streetsand emergency services.

    There are weather warnings in effect all across the northeast and mid- Atlantic states. As the snow rises and the temperaturesplunge.

    We've got correspondents out in the middle of all of it tonight. Some in blizzard conditions, covering the punish ing and potentially verydangerous winter one-two punch.

    EDITION: INTERNATIONAL U.S. MXICO ARABIC

    TV: CNN CNNi CNN en Espaol HLN

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    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    (BEGIN VIDEOTAPE)

    COOPER (voice-over): Dangerous driving conditions around D.C. send this car spinning ou t of control on the beltway. Federal officialswere taking no chances. The nation's capital closed for bus iness . Federal offices shuttered. And the president's schedu le scaledback as the city braces for accumulations of up to 10 inches of snow.

    As far west as Iowa, winter weather plagued commuters. Traffic on I- 80 was backed up for hours after this tractor-trailer jack-kni fed,leading to multiple collisions of cars crashing into this ditch.

    Lake-effect snow continues to wallop the Midwest with parts of Indiana in near wh iteout conditions. Snow was falling up to two inchesper hour. Chicago als o hit with lake-effect snow, more than eight inches overnight. And today mass ive winds s wept into the WindyCity, shown here i n this time laps e photography, bringing with them even more frigid air.

    GARY SCHENKEL, CHICAGO OFFICE OF EMERGENCY MANAGEMENT: Wind chill factors w ill be dragging temperatures into thenegative teens. These are extremely dangerous conditions that we expect to continue through tomorrow, and strongly urge residentsto exercise caution over the next few days.

    COOPER: In Ohio, the governor has declared a s tatewide energy emergency due to subzero temperatures and a propane and heatingoil shortage. States of emergency, too, for Delaware and New York and nearly the entire eas tern seaboard braces for a very long,snowy and cold night.

    (END VIDEOTAPE)

    COOPER: Well, the big picture is, it is a mess . Now some winter pos tcard starting with Chad Myers in Plymouth, Mass achusetts,which is a lot colder, windier and snowier than it was when the pilgrims first hit town back in 1620.

    Chad, what's the latest?

    CHAD MYERS, AMS METEOROLOGIST: Well, the pilgr ims didn't have these fancy CNN jackets. So I'm sure they weren 't as warm aswe are.

    But this is Plymouth Harbor. This is where you'd come and order up on any day a cruise in the sum mer.

    Here are the cruises , you can go on a pirate cruise, a lobs ter excursion, an ice cream Sunday cruise or a sunset evening cruise, if youlike, for $16. But that, that right there is wha t we have tonight. Absolutely wind picking up, s now picking up now. This is the hardest

    we've seen the snow, the hardes t we've seen the wind.

    And, Anderson, you and I have spen t enough nights in hurricanes to know that things s tarting to go bump in the night, and that's whatI'm hearing behind m e. Things are s tarting to blow armed. Starting to blow down for the first time. That's how we know the s torm isgetting as close to us as we think it's going to get tonight and then finally exit tomorrow. But at least another 12 hours of snow.

    Earlier today, I could see those res taurants across very well. Right now the snow picking up, the wind picking up, the visibility goingdown. And one of the parameters of a blizzard, so you can't see a quarter mile for three hours s traight. And right now I think we're downless than a quarter mile. We are now blizzard conditions here in Plymouth, Mass achusetts.

    COOPER: And to go on this much longer. I mean, Chad, in terms of where you are on the south shore of Mass achusetts, as you said ,

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    I mean, this is going on overnight into tomorrow.

    MYERS: There's no ques tion that this -- I just love this s hot. Look at the snow b lowing around here. And then all of a sudden you cansee the pavement. But right beyond the pavement -- and I'm going to walk over real quick. Up behind the pavement, you have 10inches of snow. You're all the way up to your knees here, where just back there you can s till see the pavement, you can s till see theconcrete.

    The drifting is going to be the big deal. You may -- you know, som etimes we 'll say six to 12 inches of snow. Today we're going to sayzero to 24 inches of snow, because som e people are going to get three feet, two feet of a drift, and som e people are going to be ableto see the ground, depending on where you are in the wind.

    COOPER: Wow. Long night ahead. Chad, appreciate it. Thanks.

    Next stop, New York's Long Island. Poppy Harlow in the north shore town of Port Washington.

    So what's it like where you are?

    POPPY HARLOW, CNN CORRESPONDENT: It's beautiful, Anderson. But it is frigid here. This is the main street. Not a single soul.There were a few brave souls an hour ago. They're all done. What we're dealing with here is about four to five inches on the ground.But what we're looking towards is eight to 12 inches .

    The story here is the snow, but even more it is the abs olute freezing cold. It's going to feel overnight like negative 10. And the real s toryfor us and our crew getting out here is the roads. It was a complete nightmare. We left New York City 12:30 in the afternoon, not in

    rush hour, took us four hours to get to where it should have taken us les s than an hour.

    We tried all three major highways out eastbound to Long Island. We did not go over 10 miles an hour the entire way here. That is thestory. The roads are treacherous, the wind gusts are be tween 20 and 35 miles per hour.

    This s tory here is also the fact that it's not going to get much warm er. So this -- the roads are going to get worse, they're going to getmore icy. Hundreds and hundreds of schools clos ed here, telling people not to go to work.

    All that I found open on this m ain s treet was a pizza shop, the drugs tore which was clos ing early, and the wine s tore, which the guysaid busines s is good, because everyone is getting wine to stay in tonight, and that's about it.

    (LAUGHTER)

    COOPER: Pizza and wine. That doesn't sound too bad right now.

    So what about the rest of the night and tomorrow?

    HARLOW: I know.

    COOPER: I mean is it -- is the snow going to continue?

    HARLOW: It's going to continue until 6:00 a.m. We've got a state of emergency here Governor Cuom o is suing for the entire state.You've got -- get this number, Anderson -- 107,000 tons of salt. That's how m uch this s tate has, including 30,000 here on Long Island,

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    to deal with the roads.

    I mean, they're awful. The driving is awful. They've had twice as many accidents recorded in this county so far, just tonight alone. Andyou know, we're jus t past the rush hour. It's taken a lot of peop le -- I talked to our colleagues back in the bureau waiting for theirspous es ou t here, four or five hours to get home.

    Driving is bad. Do not go to work if you don't have to go to work. Stay off the roads. Because these are better than what they're going tobe in the m orning as it gets colder overnight, this snow turns into ice. It's go ing to be a very bad situation for anyone.

    I'm telling you from personal experience, stay off the roads . And I think mos t kids are going to get a snow day tomorrow.

    COOPER: All right. Well, Poppy, I hope you get some pizza and maybe some wine, too.

    Down in Washington, they traditionally freak out at the first snowflake. Today in the face of a whole lot more, as we told you at the top ofthe broadcast, they pretty much s hut the joint down. Schools, colleges , the Smithsonian closed early.

    Right on the snow-covered National Mall where Athena Jones is standing by.

    This could be the most s now, I understand, D.C. has seen s ince 2011. What's it like tonight?

    ATHENA JONES, CNN CORRESPONDENT: Hi, Anderson. Well, it's freezing tonight. You can see the snow falling now. It's been fallingpretty steadily since 10:00 a.m. It stopped briefly a couple of hours ago but now it's back in full force and it's been blow ing in all s ortsof different directions.

    We expect it to continue to snow here until about 10:00 p.m., so that'll be 12 hours of s now total and bring the snow total, theaccumulation to it around as many as eight inches o r 10 inches of snow.

    Let me just show you what the snow is like, though. It's p retty light. Easy to blow around. People around here on the National Mallwere spending the day trying to build s nowmen. They were making snow angels . A little while ago, I saw som eone trying to do cross -country skiing. But, of course, this is also dangerous. We're talking about dangerous temperatures.

    The National Weather Service iss ued a winter storm advisory -- winter storm warning, saying that the -- and a wind chill advisory,saying that the temperatures could go down to negative 5 to negative 15 because of the wind chill tonight. And we're going to see icyconditions on the roads. And so, of course , they are als o telling everyone to s tay home, only travel in an emergency -- Anderson.

    COOPER: A lot of kids are going to be bummed. It's not good s now for making s nowmen and snow balls and s tuff like that, the wayyou were just able to blow it around.

    The federal government closed its offices last night. Has that -- I mean, has that helped keep -- you know, kept people off the roads?

    JONES: It absolutely has helped get peop le off the roads. The federal government shut down, many schools shut down, certainly theones right here in D.C. and others in surrounding areas . And that has helped keep traffic to a minim um.

    We've been here all day, Anderson. We haven't seen more than a few cars go by at a time. Mostly what we have seen is thesnowplows . The D.C. government has had about 200 snowp lows out on the roads available since 8:00 a.m., making multiplepass es, laying down salt to try to keep these roads pas sable. But, of course, with these wind chills and these cold temperatures and

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    this snow, which could turn to ice, they're still advising people to be very, very, very careful.

    And if you do decide that you need to get in your car, make s ure you pack a blanket, food, water, a flashlight, in case of an emergency -- Anderson.

    COOPER: All righ t. Good advice. Athena, appreciate it. Thanks . Get warm, I hope.

    At Washington National fill up the international. Three airports in New York, massive flight cancel lations , as you can imagine. If you'rewatching from an airport right now, I'm so rry.

    Here with that and details o f the storm, Jennifer Gray in the Weather Center.

    So who's getting hit the hardest right now and how m uch more s now can we expect?

    JENNIFER GRAY, AMS METEOROLOGIST: Well, we're s eeing the hardest hit areas anywhere from D.C., New York and Bos ton. Iwould say Boston area is probably the hardest hit right now. D.C. saw m ore snow today than they normally see the entire month ofJanuary. If that puts it in perspective at all. But still snowing in D.C., Baltimore, as we travel up 95.

    You can s ee Philly, New York, still in the m ix. And Bos ton, you can s ee those brighter bands right there. That's continuing to push tothe northeast with very gusty winds. You'll see the blowing snow and that will create blizzard-like conditions for a lot of areas.

    As far as snow totals, we're seeing anywhere from 8 to 10 inches of snow anywhere from Philly to New York. Some is olated am ountseven higher. And some areas close to where Chad Myers is could see m ore than a foot of snow.

    So as we continue to track this, hour by hour, you can s ee most of the big cities still affected at the 10:00, 11:00 hour tonight. But thenby tomorrow m orning, this s hould be pushing on out. So it is going to be leaving places like New York City, D.C. and Philly better bythe morning comm ute tomorrow.

    But temperatures are going to be very, very cold. Look at these wind chills . New York City will feel like 10 degrees below zero. Boston,12 degrees below zero. As we go through the overnight hours. And then your three-day forecast, highs will only reach the teens onWednesday and Washington, as well as New York -- Anderson. COOPER: In terms of airports, I mean, it's got to be turmoil.

    GRAY: Oh, yes. It's been crazy. In fact, more than half of the delays worldwide were here in the U.S. for today. We had 2600 delays,more than 3 ,000 cancellations. And 1300 flights are already cancelled for tomorrow. And you can expect places like Bos ton, New York,Philly and D.C. to be very, very slow for tomorrow.

    COOPER: All right. Jennifer, appreciate the update. Thanks. We're going to keep following storm developments throughout the hourand also tonight on 360 later at 10:00.

    As always, let us know what you think. Follow me on Twitter @andersoncooper, tweet us us ing #ac360.

    Coming up next, the growing threat to the Olympics and Sochi and a closer look at the m ilitant women they call black widows. Threenow being looked for by Russ ian authorities. We'll tell you what we know about them.

    And later, more breaking news from ris ing Republican star, a criminal defendant, the corruption case against former Virginiagovernor, Bob McDonnell, and how he is ans wering the charges tonight.

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    Also later, Toronto's mayor, Rob Ford, the crack-s moking mayor, well, he's a t it again. A new drunken rant caugh t on camera andMayor Ford's late reaction tonight, caught on tape.

    (COMMERCIAL BREAK)

    COOPER: Well, it's hard to imag ine but there are even more security concerns tonight surrounding the upcom ing Winter Olympics inSochi, Russia. The region is already being flooded with security personnel, they're already searching for one of those s o-called blackwidows. They're already gotten threats in the city of Volgograd, a dead ly taste of what Islam ic militants prom ise will be m uch more tocome. Two attacks there.

    Today on top of all of that, there was a s hootout. A black widow danger appeared to grow. President Obama and Russ ian PresidentPutin spoke by phone about security meas ures and we learned that top Russ ian and U.S. generals have been talking about sharing

    American techno logy for detecting IEDs. That certainly gets one's attention.

    Phil Black is in the Rus sian city of Volgograd and he joins us now with the latest.

    So these threats. Talk about what is the latest in terms of them because las t night we talked about them s earching for one so -calledblack widow. How big a danger these threats now pos ing to the Olympics?

    PHIL BLACK, CNN CORRESPONDENT: Well, it now s eems greater, Anderson. So we are aware of two potential, separate blackwidow terror threats that the Russ ian authorities have detected. The first we talked about, a wom an who could already be in Sochi,planning an attack. A second involving a group of women, targeting the Olympic torch relay in the city of Rostov-on-Don. Rostov-on-

    Don is where the Olympic torch was today and will be again tomorrow. So po tentially an imminent threat there.

    One of the women sai d to be involved in this was killed by Russian s ecurity forces in an operation on the weekend. But there is stilltwo other women. And their whereabouts is unknown.

    The only reason we know abou t any of this, Anderson, is not because the Rus sian au thorities a re talking about it, but because theyhave been concerned enough in both cases to appeal for help from hotel workers on the ground to try and find, locate these women --

    Anderson.

    COOPER: And the Russ ians appear to be reaching out to U.S. officials about security. What do you know about that?

    BLACK: We know that the chairman of the Joint Chiefs, General Martin Dempsey, met with his Russ ian counterpart, and they talked

    about sharing technology. Technology -- American technology to detect and jam improvised explosive devices. And both s ides arenow said to be looking at whether or not that U.S. technology developed through the tough experience of the Iran and Afghan warscould be of use, is compatible with U.S. systems -- Russ ian systems , I should say.

    But we also know that Presidents Obama and Putin spoke by phone tonight, and while the American version of that conversationmentions Sochi and the U.S. offer to help in any way it can, the Russian version o f that call does not mention that. The Russians willnot easily admit that they need help or they are not up to the task of securing these games -- Anderson.

    COOPER: All righ t. Phil, appreciate it. Thanks very much.

    A closer look now at the women who have -- who have terrorized Russia through the reali ty -- I should s ay though the reality of female

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    combatants is not new to much of the world, it is to this part of the world.

    Paula Newton explains.

    (BEGIN VIDEOTAPE)

    PAULA NEWTON, CNN INTERNATIONAL SECURITY CORRESPONDENT (voice-over): There was a time when women were abovesus picion in Russ ia. It was unthinkable, especially among Russ ian security forces, that mothers and daughters would res ort toruthless acts of terror.

    But the mass hostage-taking at a Moscow theater in 2002 blew apart the s tereotype. More than a third of the terrorists were female,and while all the attackers were killed, so were 115 hostages. Ever since, and with more cunning than ever, black widows havestalked Russia.

    CHRISTOPHER SWIFT, ADJUNCT PROFESSOR, GEORGETOWN UNIVERSITY: They tend to be m ore ruthless, they tend to be morefocused and they also tend to hit civilian targets rather than security services. And that's a big change and poses a substantial risk forpeople a t the Olympics .

    NEWTON: Black widows were labeled for their motives, a determined band of women, mos tly Chechen, out to avenge their husbandsor relatives' deaths at the hands of the Russ ian government. That's s till true, but they have been joined by a new wave of ideologicalwomen who s ee themselves as freedom fighters like the this wom an who lived in Dagestan, a calculating suicide bomber whoboarded a city bus in Volgograd, Russia, in October killing six people.

    She lived in Dages tan. A stifling place in the Russian caucuses , childhood home of the Boston marathon bombers , where securityforces impos ed curfews, stop and s earch at will and free movement is often restricted.

    SWIFT: And because they have been so heavy-handed down there, in m any respects the radicalization and the regionalization of thecrisis we have seen over the space of the las t few years, you know, it's a s cenario where Vladimir Putin has s adly created the enemyhe imagined back in 1999.

    NEWTON: And that enemy has proven a formidable challenge for Russ ia's vast security forces. They are trained to fight rebels onmountains and s treets, not black widows prowling civilian targets with clever guile and a des ire for revenge.

    Paula Newton, CNN.

    (END VIDEOTAPE)

    COOPER: And the search on right now for three so-called black widows in Russ ia.

    As always, for more on the s tory and others , you can go to CNN.com.

    Just ahead tonight, breaking news. Former Virginia governor, Robert McDonnell, is indicted on fraud and other charges. His wife, aswell. They are denying any wrongdoing. We'll tell you what they said earlier tonight and what we've learned.

    Also New Jers ey Governor Chris Chris tie was s worn in for a second term in the m iddle of a snows torm, with his admi nis tration facinga blizzard of accus ations and investigations, although no direct evidence of any involvement by Governor Chris tie. The question is , will

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    he be able to weather it all? His friend, former New York mayor, Rudy Giuliani, joins me ahead.

    (COMMERCIAL BREAK)

    COOPER: More breaking news tonight.

    Former Virginia governor, Robert McDonnell, once a leading light in the Republican Party, is facing federal charges in connection witha gift-giving scandal. He and his wife have been indicted on 14 counts, including fraud, false s tatements and obs truction.

    Now the charges down from their relationship with a bus iness man who p rosecutors say provided the couple with illegal gifts andloans including trips and Rolex watch and extravagant shopp ing spree. Tonight the former governor denied any wrongdoing.

    (BEGIN VIDEO CLIP)

    ROBERT MCDONNELL (R), FORMER VIRGINIA GOVERNOR: I am here with my wife, Maureen, and my daugh ter Kayla and my son-in-law Chris . And I really appreciate this opportunity to addres s the people of Virginia here tonight.

    I come before you this evening as someone who has been falsely and wrongfully accused and h is public s ervice, has been wrongfullyattacked.

    (END VIDEO CLIP)

    COOPER: Senior Washing ton correspondent Joe Johns is on the story, he joins us tonight.

    So a 14-count federal indictment. What are -- what are they charging him with exactly? What are they saying he did?

    JOE JOHNS, CNN CRIME AND JUSTICE CORRESPONDENT: Well, this is about alleged public corruption, Anderson. Wire fraud,illegal gifts. Essentially bribe-taking, along with other things like false s tatements, lying, in other words . It's all about the McDonnells'relationship with a CEO of a dietary supplem ent company named Johnny Williams.

    We're talking about loans for tens of thousands of dollars, other things of value. A shopping trip in New York City at Oscar de la Rentafor a designer s tress. Shopping at Louis Vuitton, Bergdorf Goodman, a $15,000 check described as a wedding gift apparently for oneof McDonnell's daughters. A Rolex watch with the words "71st Governor of Virginia" inscribed at the back. Golfing trips.

    The list goes on and on of the things the government has searched were given to the McDonnells allegedly in exchange for their help

    in promoting the s tar scientific company and its products -- Anderson.

    COOPER: The governor, I mean, says this was a case of poor judgment. He adm its poor judgm ent in his relationship in acceptingthese things. But he says there is nothing illegal about it.

    JOHNS: Right. Right. He's a lways said bad judgm ent. He didn't break the law. His lawyers are already making that case. Oneexample is a big luncheon for the company at the governor's mansion in August of 2011 which has s ort of been used to s ay the firstcouple was on the take. Their lawyers in court papers are blaming a staffer, who organized that luncheon, because at the time, thestaffer supposedly was leaving for a PR job . And according to the (INAUDIBLE) version, trying to ingratiate herself with this guy JohnnyWilliams.

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    COOPER: So what happens next?

    JOHNS: Well, apparently preparing for trial, quite frankly. Sources told me that federal prosecutors were ready to charge McDonnellweeks ago , while he was still in office. But that his lawyers m ade a las t- minute plea to the top officials over at the main jus tice, andthat the McDonnell argument es sentially was that the government wasn't going to be able to prove up its case. So now it's sort of timefor everybody to put their money where their mouth is.

    But remember, this is a former governor who once may have run for national office on his radar. He just left office on January 11th. Sohe's not long out of public life. And the odds are he's going to fight this tooth and nail.

    COOPER: All righ t, Joe. We'll continue to follow. Thanks very much.

    True politics now, the winter storm pounding the northeas t arrived in time for Chris Christie's inauguration. It was hard to mis s themetaphor. Christie begins his s econd term with his adminis tration and someone wrote a crisis facing state and federalinvestigations.

    Just before Christie's inaugural speech, Democratic state lawmakers said they are merging investigations by the ass embly andSenate into one panel to look into the lane closu res on the George Washington Bridge that Christie's top aides allegedly ordered.

    On top of the bridge s candal, Hoboken's mayor, Dawn Zimmer, has accused Chris tie's lieutenant governor of threatening to withholdSandy relief funds from her city unless the mayor supported a Christie-backed redevelopment project in her town. Here's what MayorZimmer told me las t night.

    (BEGIN VIDEO CLIP)

    MAYOR DAWN ZIMMER (D), HOBOKEN, NEW JERSEY: I couldn't be lieve it. I mean , I just cou ldn't believe that she was saying whatshe was saying. I mean, and s he very clearly said, you know, if these -- things s houldn't be connected but they are. I know it's not right.

    And if you tell anyone, I will deny it.

    COOPER: She said that?

    ZIMMER: Yes.

    COOPER: She said, if you tell anybody, I will deny it?

    ZIMMER: Yes. So, you know, this isn't something that, you know, you forget. When the lieutenant governor of the state of New Jerseytells you in a parking lot, if you tell anyone, I will deny it, you remember it. And I -- you know, I was very upset. And I did a journal entry.

    (END VIDEO CLIP)

    COOPER: One of Christie's biggest defenders , former New York mayor, Rudy Giuliani, has downplayed Mayor Zimmer's allegations.He's also called the bridge investigation a partisan witch hunt, he joins me tonight.

    Thank you very much for being with us , Mr. Mayor. So what do you make of these allegations from the mayor of Hoboken? I m ean, shenow says s he has these letters that she sent to the governor's office before this m eeting with the lieutenant governor that according toher show a pattern of pressure related to developments project and Sandy aid. Do you believe she has any credibility?

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    RUDY GIULIANI, FORMER MAYOR OF NEW YORK: Well, look, I don't know. I don't -- I haven't seen the letters . I don't know thebackground of all of this. Having spent more of my time in a courtroom than I have in politics, I think there are a lot of ques tions aboutthe mayor's s tatement. I mean, the mayor didn't make the statement until recently, until the witch hunt began, until all the otherDemocrats kind of weighed in.

    She was saying just a few mon ths ago that he was a great governor. She actually at one point just a s hort while ago denied there wasany connection between pres sure and endors ing the mayor. Any threats with regard to endorsing the governor, rather. So look, thereare a lot of what we would call as lawyers prior contradictory statements to the s tatement she's now m aking.

    COOPER: But let me ask you about that because --

    GIULIANI: And the lieutenant --

    (CROSSTALK)

    GIULIANI: And the lieutenant governor denies it. The lieutenant governor says it's not true.

    COOPER: Somebody is not telling the truth. Either -- it's either the mayor of Hoboken or the lieutenant governor.

    GIULIANI: No ques tion about that.

    COOPER: Their s tories are com pletely contradictory. But just because -- I mean, she did say prior -- previously, the mayor said that

    Christie was no t pressuring her based on no t giving an endorsement, as you said. And even last night, on my program, she said thatChristie has done great things for Hoboken, that he's done great things for the state.

    So the fact that she still in s ome way is a Christie supporter, her supporters would s ay that actually lends credibility to her argument,that she's not part of s ome s ort of partisan attack.

    GIULIANI: And what takes credibility from it is that she knew this for quite some time and didn't come forward with it, even though it didsignificant damage to her citizens. What kind of a m ayor --

    COOPER: She said she didn't think anybody would bel ieve her.

    (LAUGHTER)

    GIULIANI: Well, I'd like to see if I wouldn't come forward with an allegation like that, if it hurt the people in the city of New York, becauseI was afraid people wouldn't believe me.

    (LAUGHTER)

    GIULIANI: That's a heck of a thing to say. These threats are made to you by a lieutenant governor. Threats that will hurt the people ofyour city and you're afraid to come forward with them? Until there's a whole big witch hunt that starts that you can join?\

    So, come on. There are real ques tions about this. And the reality is; this is a witch hunt. The person who is running this investigationnow joined it looks to m e like every Democrat in the legislature. This pers on announced before it even started that Governor Christie

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    isn't telling the truth.

    How would we allow s omeone to run a Senate committee with an -- as an impartial arbiter who had already announced that theperson that is at the top of the investigation isn 't telling the truth? That person that is assemblyman, I think it's Wisniews ki shouldrecuse himself, shouldn't he?

    COOPER: Well, he was on the program last night. I mean, he s ays, you know, he's not willing to say that he believes the m ayor ofHoboken. He's now saying, look, we've got to let the investigation play out.

    GIULIANI: Anderson, I'm not talking about the mayor of Hoboken. I'm saying Wisniewski announced a week ago that Chris Christie isnot telling the truth. How can he be an im partial arbiter of this thing? They really should go s elect a more impartial person to do it, if

    they want to give it any sense of fairness.

    COOPER: When you were here jus t after the bridge scandal broke, you s aid that the unfortunate thing for Governor Chris tie is that ifsom ething happens that reinforces this s tereotype about you, in this cas e that Christie is a bully. You said that's when it becomes abig deal. Is there a danger of that now with these newes t allegations?

    GIULIANI: Absolutely. And that's why they're doing it. I mean, these are not ineffective politicians.

    COOPER: But do you see the mayor of Hoboken as part of, you know, being promoted by the DNC? I as ked her las t night, has shebeen in contact with the DNC and she s aid she doesn't know who is head o f the DNC and has no connections.

    GIULIANI: She doesn't have to be part of it. She can s ee the handwriting on the wall. I would expect other mayors will now com e

    forward, listing whatever gripe they have. What I'm saying about her allegation and I'm not saying she is telling the truth or s he is n't.But if we want to use the standard test for whether someone is telling the truth, inconsis tent statements, prior behaviour inconsis tentwith what she is s aying now.

    She is threatened, doesn't come forward with it until all of this comes out. So those are things that have to be taken into consideration.If you're running a fair investigation that lends a certain degree of lack of credibility to what she is saying. On the other hand, thelieutenant governor doesn't have any prior inconsis tent statement, doesn't have any prior inconsis tent behaviour. So you have to weighthose two things if you want to be fair. But I don't believe that this comm ittee wants to be fair when the pe rson running it has alreadyannounced that the governor is a liar.

    COOPER: You have a close relationship with the governor, obviously. We have talked about that before on many occasions. Accordingto one report I read, Christie has had at leas t think eight of your former aides working for him, including Bridget Ann Kelly who, you

    know, the name is the one who contacted the guy on the Port Authority and now fired by Governor Christie. What is Bridget Ann Kellylike? She worked for you. Do you know her well?

    GIULIANI: I don't know her at al l.

    COOPER: You don't know her.

    GIULIANI: I don't know her.

    COOPER: She worked for your pres idential campaign but a low level.

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    GIULIANI: She worked somewhere in my presidential campaign. I don't remem ber what she d id or coming into contact with her there.I did come into contact with her s ince she has been working with Governor Christie, however. She seem ed like a very fine person tome, but I really have very little knowledge about her.

    COOPER: What happens now? I mean, there is no t just you know, you s ay this is a political witch hunt, the legis lature investigation,but there is a lso a prosecutor looking in to it, a state Attorney looking into this.

    GIULIANI: There is. There is a prosecutor looking into this. And, you know, that, I think, is a different story. The United State AttorneyOffice in New Jersey! Although the prosecutor is appointed by President Obama and it's a Democratic adminis tration. The prosecutorwho I know somewhat about, I know his reputation, as a very, very fine reputation. I think that's a very different kind of situation.

    And where you're more like ly to get a much more impartial inquiry, as oppos ed to the entire Democrat's, both Hous es now see ingplenty of television time. And I do Anderson, I hate to keep repeating, but I do find as a former as sociate attorney general and UnitedStates a ttorney, I find it really strange that the person in charge comes out and announces his conclus ion before the investigationeven begins. I think that's very, very strange.

    COOPER: Let me ask you, as a former pros ecutor, what would you had the mayor of Hoboken, you know, back when she said shehad this conversation with the lieutenant governor, gone to legal authorities and s aid, look, I'm being s trong-armed, I mean, what doyou think she should have done as mayor? If, in fact, that conversation took place?

    GIULIANI: She should have reported it then. She is reporting it now. She shou ld have reported it then, and she could have poss iblyfreed up the money for the people of her city that she felt they were entitled to. She alm ost had a fiduciary obligation to come forwardwith it at that point, rather than sitting on it because s he alleges she was afraid.

    So you have either one of two things could have happened. This happened, she was a fraid, she didn't come forward. Kind of strangethat she wouldn't. Doesn't seem like a very strong mayor that wouldn't come forward and fight for the people of her city. Gosh, I foughtfor the people of my city when people thought I wouldn't tell the truth.

    COOPER: She basically said she was intimidated. She is a former s tay-at-home mom who got involved in politics to build a park inher enabled. That's what she said las t night.

    GIULIANI: Gosh, s he does n't look too intimidated right now. Something happened . Something happened to her. Something happenedto her. I don't know, she might have been had a conversion of some kind. She doesn't look too intimidated to me when I s ee her onTV. She looks pretty determined.

    COOPER: The former GOP candidate, Ken Cuccinelli, said Chris tie should s tep down as head of the Republican Governors'Association. Do you agree with that?

    GIULIANI: I don't agree with that. I think this i s pa rt of what happens with the snowball effect. I think we are where we were when wefirst talked about this, Anderson. And is he telling the truth or isn't he telling the truth? If he is telling the truth, then I think this is asituation where s omething bad happened, but he handled it correctly. He held people accountable. We don't have to repeat it.

    But there are a lot of situations in which bad things happen and nobody took accountability. The President and the secretary of state!Nobody was held accountable. Nobody fired. I think if he's telling the truth, and he handled it that way, this thing turns out to be aproblem, but one that has ano ther side to it.

    If h ' t t lli th t th d ti l l ith th U S! Att ' i ti ti I thi k 'll fi d th t t Th f hi liti l

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    If he's not telling the truth and particularly with the U.S! Attorney's investigation, I think we'll find that out. Then, of course, his politicalcareer is in grave jeopardy and all these bad things will happen.

    COOPER: Mayor Giulian i --

    GIULIANI: I think we have to give it time, calm it down, and give it time. We're going to find out the truth here. It might take six months,but we'll find it out.

    COOPER: Mayor Giuliani, it's good to have you on the program. Appreciate it.

    GIULIANI: Thank you, Anderson. And bear up well under the snow there. COOPER: All right, I'm not going to ask you about the Toronto

    mayor, by the way. That's our next story. I'm going to let you off the hook on that one. Probably don't want to comment on that.

    GIULIANI: That's for a psychiatrist. That's for a psychiatrist.

    COOPER: We'll hand it over to Dr. Drew or s omething. Mayor, thank you very much.

    Coming up, as I said, Toronto's Mayor Rob Ford is back just as bizarre as ever in a new YouTube video that has surfaced. We aregoing to show you the video. He admits he was drinking when the camera is rolling . It's pretty obvious he was .

    Also a Texas Democrat is running for governor admits that the life story she has been campaigning on, well, it's factually incorrect.We're going to keep her honest, ahead.

    Plus worldwide outrage couldn't save dozens of dolphins slaugh tered today in Japan. We'll talk with a long-time dolph in activist, whois part of a documentary, which exposed the controversial practice.

    (COMMERCIAL BREAK)

    COOPER: Perhaps this shouldn't be a surpris e, but Toronto's mayor, Rob Ford, is back in the headlines after weeks o f attentionsurrounding his admission that he smoked crack, probably while in a drunken s tupor, according to him. It got quiet for a while, andnow this --

    That was posted on YouTube today. If you can make out even a quarter of what he is saying, you're doing better than I am. Mayor RobFord did speak to reporters about this today. He appeared to be s peaking in s ort of a Jamaican accent. He admitted basically that hewas drinking las t night. Here's what he s aid. It's an audio-only interview. Let's listen.

    (BEGIN VIDEOTAPE)

    UNIDENTIFIED FEMALE: Were you drinking?

    MAYOR ROB FORD, TORONTO: Yes, I was.

    UNIDENTIFIED MALE: You were drinking last night?

    FORD: A little b it, yes.

    UNIDENTIFIED FEMALE D thi k th t ff i t l ?

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    UNIDENTIFIED FEMALE: Do you think that was offensive to people?

    FORD: No, I was with some friends and what I do with my personal life and my personal friends.

    UNIDENTIFIED FEMALE: Mr. Ford, you said something about the police chief.

    FORD: It has nothing to do with you guys. It's my own time, with my own friends.

    UNIDENTIFIED MALE: Did you use drugs last night?

    FORD: No.

    (END VIDEOTAPE)

    COOPER: Just for the record, he was ho lding court in a fast food restaurant, it looked like. Paula Newton joins me live from Toronto.So Rob Ford, I mean, this thing is jus t a week ago he told a reporter that he doesn't drink. Didn't he?

    PAULA NEWTON, CNN CORRESPONDENT: Yes. And probably more than that, Anderson, becaus e his brother was asked just a fewhours ago, was that your brother on the tape. And he said nah, it couldn't have been. I talked to him at 10:30, everything is fine. Soclearly he's not jus t telling me and everyone else he's not drinking. He's telling his family he's not drinking.

    And then he com es ou t and says yes, I had a few drinks, I was talking to friends. Real ly, Anderson, trying to put it in a box, his ownunfortunately very confusing right's now pers onal box. That is just not going to wash with many people. I've been speaking to

    counsellors for weeks now, and, you know, Anderson, they had a terrible ice storm in Toronto. It could be upwards of a quarter billiondollars in damage. They want someone who is going to run this city that can show they're competent enough to run the city.

    Rob Ford is hanging on. I spoke to his lawyer. He says there is nothing in that video that would indicate that he's in any legal trouble,no trouble with his job, at least more than he already has been. And that, yes, it's obvious he's fallen off the wagon and that he's facingsom e hurdles in trying to deal with what is dearly substance abus e.

    COOPER: People make fun all of the time, but obviously this is a real issue that clearly he is dealing with something very serioushere. It's hard to understand exactly what he is saying in this video. Can you explain any of what he is talking about? It's because hedoes seem to be using a Jamaican accent.

    NEWTON: You know; I wish I could explain it, but in fact I can. What he is talking about very clearly is the fact that the police were in a

    surveillance operation, an intensive surveillance operation that did cost millions of dollars, 24/7 to find out if the mayor was doinganything illegal.

    Extraordinary, because then he goes on to criticize the police chief that he em ploys. It is an incredible set of events that he would begoing on in this video about legal iss ues that are still before the courts. As I said, his lawyer says he didn't do anything illegal. Butpeople in Toronto have got to be s haking their heads, es pecially after what they have gone through in the last few weeks and months.

    COOPER: It's also pa thetic him s aying he's hanging out with his friends and this is his private time. If these are his friends, he needsto get a better group of friends that can tell him a drunken rant in a fast food restaurant late at night is just not a good idea. Andobviously someone was secret videotaping. Paula, appreciate the update.

    Keeping them honest tonight an aspiring governor under fire for allegedly blurring the facts of her life s tory stretching the truth to the

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    Keeping them honest tonight, an aspiring governor under fire for allegedly blurring the facts of her life s tory, stretching the truth to thepoint where some say misled or worse. Texas gubernatorial candidate, Wendy Davis, became a Democratic supers tar last summ erwith her marathon filibuster on abortion regulations and made her story part of her campaign.

    A teenage single mom who pulled herself out of a trailer pa rk and into a better life through grit, gumption and financial aid. Keepingthem hones , though, that story as compelling as it does n't stand up to the facts. Here is Ed Lavandera.

    (BEGIN VIDEOTAPE)

    ED LAVANDERA, CNN CORRESPONDENT (voice-over): Sporting pink tennis shoes, Wendy Davis, spent around 11 hours lastsum mer filibustering a controversial abortion bill in the Texas legislature. It was a wild, rowdy night inside the Texas capitol. She

    emerged as the great hope of Texas Democrats to reclaim the governor's s eat, which Republicans have controlled since 1994.

    UNIDENTIFIED FEMALE: I was raised by a single mom.

    LAVANDERA: Davis' personal jou rney of struggle and hard work seem s tailor-made for an ins pirational political campaign, a youngdivorced single mother, a meteoric rise out of the trailer park to Harvard law school and on to a legal and political career. But thensom e discrepancies in the story uncovered this week by the "Dallas Morning News."

    While the basics a re true, Davis, a poor s ingle mother, working multiple jobs , graduates from college and Harvard law s chool. But acloser look s uggests the exact details are more elusive. For example --

    UNIDENTIFIED FEMALE: My mom started out like many folks do in a very tough spot. She was raised by a single mother with a sixth

    grade education.

    LAVANDERA: Now Davis says he r mother dropped out in ninth grade .

    UNIDENTIFIED FEMALE: By the time I was 19, I was a s ingle paren t. And I was living in a mobile home in s outheast Fort Worth.

    LAVANDERA: It turns out Davis separated from her hus band at age 19, but d idn't divorce until s he was 21. And the trailer park, whichhas gotten top billing in her bio, the reality is she may have only lived there for a few months.

    (on camera): Because of the scrutiny surrounding Wendy Davis' story, her campaign put out a two-page biography of her early life. Itsays she was m arried at 18, and she and her hus band had their first child at 19, and lived here. At some point they were separatedand Wendy Davis and her daughter remained here. But it's not exactly clear just how long that was. The biography says they struggled

    to make ends meet and it does say that by age 20, she spent a s hort time living with her mo ther.

    (voice-over): Bud Kennedy is a veteran columnist for the "Fort Worth Star Telegram" and has seen Wendy Davis sky rocket to the top ofthe Texas political scene and he says the trailer play a m inor in her story until recently.

    BUD KENNEDY, "FORT WORTH STAR TELEGRAM": The trailer was never a big deal until this year she has gone through bittercampaigns for city council where s he won and los t. She has gone through two very bitter campaigns for State Senate. The trailer wasnever a big deal. It was always something she said in passing.

    LAVANDERA: And then the issue of how she paid for several years of college and law school. A topic often featured in her campaignads.

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    UNIDENTIFIED FEMALE: She could have buckled under but instead s he buckled down and enrolled into comm unity college,graduated from TCU while raising my sis ter and me. She got herself into Harvard law school.

    LAVANDERA: She got herself into Harvard, but she had help along the way. Davis had been remarried by then and her secondhusband tells CNN he paid for her last two years of college and cashed in his 401(k) to pay for law school. The Davis campaign saysshe also relied on financial aid and scholarships.

    A spokes man for Republican gubernatorial cand idate, Greg Abbott, says that Davis has s ystematica lly, intentionally and repeatedlydeceived Texans, and calls her personal s tory a fanciful narrative.

    (END VIDEOTAPE)

    COOPER: And Ed Lavandera joins you live from Dallas. What is Wendy Davis saying about all this?

    LAVANDERA: We spent the last two days trying to get an interview with her and that request has been denied for the last two days. Butshe did post a letter to her supporters on her campaign's web site this afternoon saying that the Abbott campaign has s tooped to anew low here.

    That she is not surprised that they would resort to attacking the s tory of a single mother who worked hard to get ahead. Now in that"Dallas Morning News" interview, Anderson, Wendy Davis d id acknowledged that she s hould, quote, "be tighter with her language."But she s ays she will keep on talking about her s tory, because, quote, "you're damn right it's a true story" -- Anderson.

    COOPER: All right, Ed Lavandera, appreciate it. Thanks.

    Up next, it's happening again hundreds of dolphins rounded up off the coast of Jap, some s laughtered, others captured. The huntused to be a s ecret until exposed in a powerful documentary "The Cove." Rick Obari joins us next.

    (COMMERCIAL BREAK)

    COOPER: Today in Japan, fishermen carried out an annual tradition, which they hid from cameras with the tarp. They don't want theworld to see them slaughter defenseless dolphins captured several days ago in Japanese waters. The tarps shielded the slaughter.Some cameras captured blood in the water.

    Over the weekend, Caroline Kennedy, the newly installed U.S. ambass ador to Japan tweeted, "Deeply concerned by inhumanness of

    hunt dolphin killing. U.S. government oppos es drive hunt fisheries."

    Her tweet triggered a backlash with some in Japan blasting Kennedy for criticizing what they considered tradition. What happenedused to be a well-kept secret until an Oscar documentary "The Cove" exposed in 2009?

    Rick O'Barry is one of the activists featured in "The Cove." He is the director of the Earth Island Ins titute Dolphin Project. He joins menow. So the fact this happens every year, people in Japan s ay this is a tradition that dates back hundreds of years. That's not true,though, correct?

    RIC O'BARRY, DIRECTOR, EARTH ISLAND INSTITUTE'S DOLPHIN PROJECT: That's a lie. That's a de liberate lie . Anybody canresearch this and learn that it actually started in 1969. So it's not traditional. It's not cultural and it's time to end this barbaric practice.

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    COOPER: And they're killing dolphins, what, for meat and als o some of the dolphins are captured. What happens to those captureddolphins?

    O'BARRY: They end up in tanks s o peop le can swim with them. They're going to china, they're going to Dubai, and they're going toRuss ia. Many years ago, they went to the Miami sea aquarium right here. They went to Sea world.

    COOPER: So when people go s wimming at hotels in Dubai with dolphins and stuff, that's where these dolphins a re coming from,they're being taken from their families from the wild?

    O'BARRY: That's correct, yes, and it's based on supply and demand. So the solution is doing buy a ticket for a dolphin s how. It's that

    simple. And people can do that. They can the indus try itself doesn't police itself. The World Association of Zoos and Aquariums canstop this any time they want to. And if people want to urge them to do that, please, go to our web s ite, dolphinproject.org and look fortake action. Hit that and take action. If we can get enough peop le to force the world association of zoos and aquariums to take action,we can end it.

    COOPER: Let me ask quickly, the Japanes e government says look, slaughtering these dolphins, it's like killing anim als, you knowkilling pigs or cows for food in the wes t. Do they have a point there? O'BARRY: No. They're comparing domes ticated farm an imals withwildlife. No, that's not true. And by the way, they're doing this in a national park and the legality of it is highly questionable. That needsto be ques tioned in court by Japanese people. And we have had a team on the ground there, dolphin project, for 11 years now. Andwe're starting to have Japanese people join us. And hopefully they will take over and we'll s tep out and let them because only theJapanese people can solve this problem.

    COOPER: Yes.

    O'BARRY: It's starting to happen. Yoko Uno, wherever you are, thank you, I love you. She is doing the same thing Caroline Kennedy isdoing, speaking out, and it's starting to happen now. I'm very excited.

    COOPER: The documentary "The Cove" certainly was a big boon to stop this. Ric O'Barry, I do appreciate your time tonight. Thank you.We'll continue to follow this. We'll be right back.

    (COMMERCIAL BREAK)

    COOPER: Quick programming note, his pos t-game rant set off a storm of comm ents and controversies, ugly comments online.Seattle Seahawks cornerback Richard Sherman is obviously never shy. But did he cross the line? Rachel Nichols will as k him in her

    exclusive interview next on "PIERS MORGAN LIVE."

    That does it for us . We'll see you again one hour from now at 10:00 p.m. Eastern for a special edition of "AC360 LATER." Hope youjoin us . "PIERS MORGAN LIVE" starts now.

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