House Intelligence Committee member congressman peter king told fox news meghan kelly that petraeus acknowledged the cia knew it does he was an act of terror from the very beginning and that the talking points provided to ambassador rice were edited by someone after the cia had delivered their assessment to the white house. Reis went on five sunday morning talk shows and alsely told america that benghazi was a spontaneous attack in response to the internet video. The talking points that came from the cia specifically mentioned al qaeda and that al qaeda was involved in the attack. They left the cia and went through a whole process which i believe included the white house , and when the talking points were finalized, all references to al qaeda were taken and it was put in as an afterthought, saying there were indications of extremist involvement in the demonstration lou president obama himself has been repeatedly that he considered the siege of the council and benghazi in active terrorism since the day after it happened. So how in the world would he or his United Nations ambassador to make this statement onational television five days after the incidents . The best assessment is that in fact this was not a preplanned, premeditated attack. What happened initially was it was a spontaneous reaction to what had just transpired in cairo. As a consequence of the video. Lou ambassador rice made nearly identical false statements to four other networks the very same morning. Three days later on the 19th of september the National Counterterrorism center director, matthew olson, told the Senate Homeland committee the attack on our diplomatic post in benghazi last week that took the lives of four americans including ambassador stevens is proof that acts of terror and violence continued to threaten our citizens and interests around the world. Why would president obama go in front of the United NationsGeneral Assembly the following tuesday, september 205th and then blame the benghazi incident on the Youtube Video yet again if he already knew the incident had been incited by an offshoot of al qaeda in libya. The speech thajustifies mindless violence. [applause] there are no words that excuse the killing of incidence. No video that justifies an attack on an embassy. Lou why didnt anyone on the president S National Security council or in the Intelligence Community question the statements that they all knew o be false. Meanwhile, democrats on the house Intelligence Committee are today still trying to spend what has become abundantly clear as a false characterization by the white house. Nobody has ever denied it was a terrorist attack. What we question is how far. It appea now even intelligence at this was someone spontaneous. But the terrorist attack and spontaneous. Why that has to be mutually solicit is completely beyond me. Lou congressman adam smiths with a new take on the spin. We will take up t implications of todays revelations with a number of experts and insiders. Former cia covert operatives. The louis gomer, and to leading doctors here to psychoanalyzed it all. In washingtonthat is a lot. Our first guest has a deep understanding of the way the inteigence ommunity works. Joining us now, former cia operative, the highly decored operative who served 23 years in a clandestine service. He worked as chief of statioin the middle east and latin america let america. The first question has to be, the former cia director saying that he does not know what happened after the cia send over their memorandum. That isnt the one he delivered, and the changes had to be made subsequently. The cia director by the way, you anticipated when you were on this broadcast a few years ago saying that it had to have originated in the changes, the flow from the white house to the United Nations ambassador had to occur either in the state department of the white house itself. I stand by that. And the fact isthat no one writes those sorts of things that a cia office would right to my director would write other them at the white house or at stake. Remember something. The u. N. Ambassador, our ambassador to the United Nations is a member of the cabinet also. This has been lost a lot of folks. She is a cabinet member and would be taking instructions directly from the white house and probably not the secretary of state. Lou president obama and acknowledging exactly that. The white house request. Petraeus testimony creates a number of troubling questions. One, he knew immediately that he was a terrorist attack. Just a few days later on the 14th of september before the Intelligence Committee. Frankly, at least the statements and most members ofthat committee to examine with the white house line on an internet video, which the president himself has pointed to, disavowing that very message, that very talking point from he first 24 hours. Clearly hehas amended his statement. The first statement, you know, said that he purportedly, written and sent from cia out al qaeda was suspected. The words wre changed to extremists suspected or indications of extremists. Lou he amended his statement. Who is the heat . Patraeus appears to the seventh from petraeus appears to be amended. What he did stay based on the news reporting is that the statement that was sent out, the riding said katie suspected. The change was indications of extremists. This goes to a larger narrative that there was not a terrorist attack, and if you listen for the president s words of the United Nations he talks about a mindless attack. Mindless activities. Well, no. It was not mindless. It was prelanned. Heres the president trying to make the point that itwas not of planned terrorist act. Something about the way the president is approaching this and all his supporters have got behind in to try to sell this narrative to the United States. It just wasnt true. Lou tp House Armed Services democrat and embrace adam smith, rather, as we just saw talking about the statements by ambassador rice saying he does not understand how a terrorist attack can be both spontaneous and preplanned. Its just bizarre what is going on here. The 80 logical, if you will, mandated logic of all is appalling. Democratic contortionists trying to support the president. Lou it may be as straightforward. We also have come some contortionists on capitol hill who have yet to express a complete outrage at what was a completely different statement by a man who is engaging in some contortion of his own, David Petraeus he testified on the 14th of september. There was a terrorist attack, not a spontaneous reaction to the internet video who is now apparently not discussing why he thinks of this change of for the past week and a half. I have to ask you, Nothing Happened with what had been of very long investigation apparently into petraeus on the part of the Justice Department which is a politiciz Justice Department. I mean that as an understatement. Nothing happened on he until he insisted on putting up the time line. Then suddenly in his oral all hell broke loose. Do you think thats a coincidence . I dont think there are any coincidences in any of this. You know, if you look at all of the time lines in terms of what is clearly cover up, when you have to ask this many questions, push this hard, when they will keep a straight answer, when the words meant of th, i mean, its clear theyre not telling the truth. Theyre trying to conceal and protect the prsident. Im sure at some point given the testimony today and yesterday they will find some midlevel staffer that the combined gasol on down at the nsc. Lou thank you for being here. Much more on the implications the ateam in moments. Fiscal cliff . What fiscal cliff. our challenge is to make sure that we are able to cooperate together, work together, find some common ground, make some tough compromises, built come build some consensus to do the peoples business. Lou did they figure out a way to steer away from that cliff . Congressman louis gummer joins us next. Rising tension. Israeli troops are massing has accomplished on the gaza border escalates. The latest details and just moments. Lou disco cliff negotiations under way at the white ouse today. A solution to our economic problems easier than people believe. Talking with us here tonight about those discussions and also his call for a special prosecutor in to benghazi. Later, the latest from israel as rocket attacks continued on both sides of the gaza border. A complete update on the rising tensions. In a moneyline tonight, stocks ending the week on a positive note. Posting the biggest gains today since election day on optimism that our leaders in washington will reach a deal to avoid a fiscal clef. The Dow Jones Industrial rick breaking a four day losing streak. S p up six and a half. Nasdaq bros rose 16. The s p down one and half percent. The nasdaq six week losing streak, the longest in almost four and a half years. Four and a half years. And economic news, Hurricane Sandy took a toll on industrial production. It fell fortunes of a percent. Economists expecting a two tenths of a percent increase. Thyield on a ten year treasury note moving down. Crudeoil prices down selling at 86. 67 per barrel. And in corporate news, though losing more than 7 in its share price after reporting late yesterday, Quarterly Earnings fell by nearly 50 . Good news for facebook. That stock up more than 6 . The social Network Share is holdg up despite the expiration of some like the agreement this week. Two oil workers are missing after an oil platform exploded off the coast of louisiana today eleven other crew members were flown to hospitals, four of them listed in critical condition. Coast guard ships and helicopters are continuing their search tonight for the two people who are missing. No crew of is leaking from the platform owned by black elk energy, which is about 25 miles southeast of grnd isle, louisiana. Turning back to politics, and joining us now, the ateam tonight demopolis a prizewinning columnist, fox is contributor, former clinton adviser, fox is political analyst, republican strategist, fox is political analyst. Lets start, if i may, with you, michael. David petraeus, two meetings before the house and the senate Intelligence Committees. All closed door, but we are told he went in and contradicted just about everything the white house and said. You know, i think, lou, the before today there were two possible explanations for what for the white house failing to immediately recognize it is terrorism. One was incompetence and one was far worse. Based on the testimony today, we can say that the answer was it was far worse. It was dishonesty, intentional, a concocted story about a demonstration that never existed simply to mislead the public about what actually happened. Lou is there a complication here though in that David Petraeus and congressman peter king on the Intelligence Committee as well as thehair of the Homeland SecurityCommittee Says that his, petraeus remarks about his testimony on the 14th of september are not the way he recalled that testimony. Your thoughts . And i trust peter king. Hes a great leader, and id like David Petraeus, but clearly weeks before september 11th, and the deocratic convention said that al qaeda was on its heels. Basically destroyed. So the white hose lied. They took al qaeda out of the talking points so that obama could win the election. So it would not be a politic issue so the president , again, the olitics of for country. Lou its pretty clear that mitt romney made a tremendous mistake in not taking the initiative on benghazi, despite all that occurred in the debate. He had every pportuty in the third debate to rive that issue for work and did not. He absoluty did. My colleague and i made that same point before the election. We said, if he did not do it he would not be president. He didnt do it. He is a president. You cant bear to be cautious in politics, especially in the most especially when you have the facts in your side. Lou a lot of the folks said that this docile lap dog liberal National Media would oy have taken up the issue had governor romney done so. And, of course, thats history. No sense mopping yarboroughs with it here tonight to ut the fact is there is some much there that the National Media has not gone after that the Republican Party has not gone after. This white house has refused to bestraightforward. Obviously running of the clock is the expression. Right. Lou and one of e few things that is transparent about this. Look. Even with the press corps this week with the president on this, there was no attempt to really get to the bottom of this. The closest question was something along the lines of do you think you should have known before the election that, you know, about petraeus . Well, that presumes the white house line whichs that he did not know. The things the president chose not to know before the election is mindboggling and so they kept it from the public because it was convenient and another travesty here, you have these female members of congress that are calling the fact that we are going after the un ambassador because she is a woman of color, and where is te air rai that we have for americans that have been murdered . Get there saying that even light burns said the reason why were going after the u. N. Ambassador, that she went on the air is because is a woman of color. Thats ludicrous. Lou you know, its really worse than ludicrous. There is the insult, of course, in the suggestion that those folks think that it will work as a tactic rather than air response substantively to the issues that are grave, indeed, and critically important to the natioo. Certainly principal among supposed to be the familiis of those four americans were murdered. We will be back with the ateam here in just moments. U. N. Ambassador says a rise of the center of the administration what will we call this . And evolving story on benghazi. Does she have a prayer of becoming secretary of state . These folks will answer that question and so many others. Stay with us. 4g lte is the fastest. So, which supeast 4g lte service would yochoose, based on this chart . Dont rush into it, im not looking for the fastest answer. Obviously verizon. Okay, i have a different chart. Going that way, does that make a difference . Look at verizon. Its so much more than the other ones. So what if we just changed the format altogether . Isnt that the exact same thing . Its pretty clear. Still sticking with verizon. Verizon. More 4g lte coverage than all other networks combined. Lou we are going right back to the ateam river wl start with the question of whether or not this president will go ahead with the nomination of susan rice, given all the revelations by David Petraeus today before the senate and house. First want to bring you uptodate on what is happening in the middle east and israel appears closer to a possible ground operation in gaza. The israelis have ordered up another 45,000 reservists. They are on standby now, and that is an additional 75,000 total reserves that are now massing on the border with gaza. The israelis are vowing to intensify there air strikes on the gaza strip, that after Palestinian PalestinianPalestinian Militants targeted tel aviv. , says no fired more than 450 rockets at israel over the past three days. At least 23 palestinians have been reported killed in the fighting along with three israelis. The violence straining israeli relations with egypt. The senates Prime Minister, not its promise to the president , Prime Minister to gaza to show solidarity with the palestinians and to, some say, a broker truce. Moments ago men yahoo called president obama to discuss options for the escalating the crisis. That is the latest there. Lets return to the ateam. I had just pose the question, will this president move ahead with the nomination of ambassador rice to be secretary of state . Senator mccain, others would know how to fight it fighting and filibuster. I think as president , we ought to stop fighting americans and working with other americans and fight the world pbgc was going on in the mideast. The enormous problems we ave. The president hes fighting other americans. I think that is a huge mistake in why t country is so polarized. Lou go ahead. Of the liberal mainstream and also liberal members of congress, they are already laying down the framework for the president to nominate her command theyre going to bring female members of congress, the black caucus, the hispanic caucus to say if they do not confirm her time of republicans fight her, if they try to filibuster, filibuster her their right to make it into a race issue again. Lou race, class warfare, we would have all of the ingredients necessary for a continuation of the tension that has existed between the republicans, conservatives, and this president and the Democratic Party in the liberals it is not, however, onesided. Republicans have been very antagonistic toward this president and his agenda and fighting hard to match and appropriately so, fighting hard against what they do not believe in and reject, a leftwing shift in the country. But this is an interesting point. Because David Petraeus has contradicted everything that the white house build its, if you will, narrative, its benghazi narrative on. His, this internet video, which is one of the most bizarre things ive ever heard, has been utterly discredited with it bassador rice, the president and his administration, state department including secretary of state hillary clinton. I would like to get your opinion first, each of you. I would like to understand whether or not you believe this president is, perhaps, wounded here more than he realizes and would be playing a very foolish came to dole dow on the ambassador rice, playing a very foolish game to project a hardened image and position on the fiscal cliff as well. I agree that he took the wrong course yesterday. I was discouraged from the point of view ofthe bipartisanship that michael spoke to and i believe is important. Bottom line, doubling down on ambassador rise, i think is the wrong course of action. He should ave said lets let the chips fall where they may find out what really happened. On the fiscal cliff i thought he was unduly hostile. Think there is the basis for a deal, and to be so harsh and difficult as i think jt plain wrong. Lou he sounded a little better today, angela. He did. And here in washington, i think theyre really going to work out a deal. But republicans are going to have to give a little bit. Steve forbes said we should just ll off the fiscal cliff and let the cards fall where they may and let this president take the blame for it, but i o believe, you guys, theyre going to work a deal. As for benghazi and susan rice, i think that this is worse than watergate. If the president does double down it will backfire on him. Lou the last word. The only has so much Political Capital to spend. He spends it all once is a rise, which i think is a fools errand because we dont know where this is going. Do know that their have to be other hearings. It could not end today please today was a very bad day for him on this. Lou a we watch all this one can begin to understand his error in senate. He, david axelrod, his reelection campaign, his administration, they have successfully fended off an inquiry from the republicans, the ational media, won reelection, and they look like they are one heck of a lot smarter than the republicans. Thank you very much. Appreciated. Good to see you. Lou hat petraeus sex scandal. Without it would we have never learned more about a dozen . And paul was going to the mind of our nations top spy. Here to a psychoanalyze the pair. Richard trumka does n have much to say about the union that brought down hostess. Instead, he gured out a wa to blame governor romney for the demise of the company and the 18,000 jobs. Happy birthday, speaker . The president gave him his gifts, but was it a secret plot to eliminate the competition . What may be a white ouse diabolical plan, we are just kidding. 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Lou following a meeting with the president and the congressional leaders, the House Speaker says the group outlined what he called a framework for compromise on the fiscal clef. Republicans apparently willing to put revenue on the table if accompanied by opprobrious spending cuts. Joining us now, congressman leach, r from texas just reelected to a fifth term, vice chair of the house subcommittee on crime, terrorism, Homeland Security and served previously as chief justice for the texas 12 court of appeals. Great to have you with us. Always good to be with you. Lou lets start with the fiscal cliff. Your call for a special prosecutor on benghazi. Going to the fiscal cliff, the speaker making it very clear that he is going to enforce his negotiation with the white house. Very poitively with some sense, at least, of accommodation, potential accommodation if his terms are met. That is pretty positive stuff. Well, it is positive, but theyre is a lot of pressure right now. Of course pressure is what you can use to take carbon and make diamonds. This is the time to be bold. This is not the time to be defensive. I am glad the speaker has come forward with the proposal, but the thing is we ought to be taking the president s words and sticking them back. He wants everybody to pay their fair share, lets do it. Lets have capital gains, 15 . Lets have income tax 15 . Give tax, 15 . Lets make sure that Warren Buffett finally starts paying at least as much as a secretary in the percentage. What has been proposed here by the president will not have Warren Buffett paying the same as his secretary in percentage. A flat tax, lou. Lets take the president at his word. If you make more, youll pay more, and this is the only way thats going to happen. Lou i believe that the speake, perhaps the president himself may have been talking to you, talking to steve forbes and others when it talked about the possibility of reforming the entire tax code. This is a great time. Lou well and not only that, lets not forget the last time the senate and the budget it was when harry reid worked with his friend, speaker pelosi, and nobody in the 2008 budget complained that it was a spending enough money lets go back o 2008, two and a half trillion. That cuts off a trillion in spending right there. Lou well, there are all sorts of ways to get there, as you suggest. It has been suggested in other forms as well. But the idea that this president and the eaker are coming together to have at least a civil discourse over what in the world were going to do about this fiscal cliff six weeks remain, are you any more hopeful as a result of the tunnel had taken on this for state . Well, i was a helpful with the president s tone when he said that are you being partisan . Im not being partisan. Im being objective when i say that the president proposed over one half trillion in new revenue. He wants to destroy the economy. Come on. You in their right mind is going to allow that kind of increase to just devastate the economy . It will be just hostess going into business. Lou thats a good point. Its interesting, no one down there is talking about the fact that individual tax payments, a taxpayer payments, the intrnal revenue service, receipts from the taxpayers are risen 26 of the bush tax cuts of the past two years, which tells us that the answer here is growth. But im asimple follow. I just want to see everybody talk to each other. Let me turn to benghazi, the area of the special prosecutor. There is a sense of helplessness that is probable in washington d. C. Right now. I dont believe that congress feels that it has the strength or the tools to actually penetrate the veil of denial and secrecy and opaque miss that is this administration when it comes to what it is done within just the last nine weeks. Youre calling for a special prosecutor, and the fellow who has to do that works for the president of the United States. The attorneygeneral. Thats right. The attorney general has to do it. U can you really see eric holder sang, you know what, congressman, i think you have a splendid idea. What were going to do is investigate ourselves. Well, if he doesnt appoint a special prosecutor to my someone to do an independent investigation, then what you have is the very people who have floated the idea of prosecuting general petraeus for adultery in the military, there are all kinds of things that have been floated that they might doto him. All kinds f pressure that can be brought to bear. Lou are you saying that you dont think, speaking earlier with former cia operative, you dont think its a coincidence that all this hell started raining down on David Petraeus as soon as he issued against the wishes of the administration, a cia timeline on in gauzy. That is exactly, and i love your sarcasm. Its one of the rasons i love you. That is exactly the problem. And the way that we do have the tools is, number one, we have the purse strings. If it becomes a part of injustice we have the power to be funded. When it is clearly being used to exact and justice, is time to dend the parts of it that are being unjust. We have that power. The other thing that is so great about america, when the American People rise up and say, this is crazy, people werecrying for help and nobody did anything. You know, hillary commercial about who you one answering the phone at 3 00 a. M. , the answer we find out is, for heaven sakes, somebody. Nobody did. The president goes to bed. People are being tortured and terrized and killed. He goes to bed. Who was acting president pro tem . We need to know. I tell you what, were going to findout that the protocol requires that when an ambassador becomes under attack he hs to know within ten minutes. Who was notified . President pro tem jerry . We need know, and as attorney general is not going to do it. The American People need to rise up and make it clear, we need an independent investigation. Lou as always, good talking with you. Thanks for being here. Always good. Lou coming up monday, the entire retired Pacific Fleet commander admiral james lyons was some theories abo the possibilities of what happened and why and benghazi. You will want to hear them. And the joy at of hate, author, the five cohost, and redeye host of right. Thats righ two shows a day. Hes among our guest. Stay with us. The dollars doctors psychoanalyze washington d. And in particular David Petraeus and his, the next. Seems they havent been moving much lately. But things are starting to turn around because of Business People like you. And regions is here to help. With the experience and service to keep things rolling. From Business Loans to cash management, we want to be your partner moving forward. So switch to regions. And lets get going. Together. Lou some republican governors folding life cheaper one shares on tax hikes for the wealthy. The governor of virginia, former misssippi governor, Iowa Governor all suggesting Republic Party should be open, open to interestrate hikes in exchange for a major, major democratic concessions. I love ithen the governor stardoing the negotiating. The maker of twinkies, Hostess Brand said is going at a business because of unio workers cripple the company. As fail cio president 8i what is happening with Hostess Brands is a microcosm of what is wrong with america. As maine style wall street vultures made themselves rich by making american poor. You have to admire. This may be news, but the election is over. Maybe he should back up on the painting and handed it to the point. One holdout union ended hostess and the jobs of 18,500 workers. President obama opening this fiscal cliff tal with a birthday wish for House Speaker. My understanding is tomorr is the speakers birthday. For those of you who want to wish him a happy birthday, we are not going to embarrass him with a cake because we did not know how many candles were needed. Yeah, right. We do want to wish him a happy birthday. Lou was tt kind of a grudging wish . Come on. Anyway, good for himpushing the speaker a happy birthday. Happy birthday. But instead of a cake the president caved and a vintage italian wine. This bottle retails for 1,205, and therein lies the rub, the problem, the gift could be violating house ethics rules which farmers of congress from receiving gifts worth more than 50. Some were suggesting that it is a plot. We will see. Up next, americas top spy done enough to get caught cheating on his life. Leading psychologist, dr. Jeffrey guard derek take us inside the mind of the powerful and dug a month and next. 4g lte is the fastest. So, which supeast 4g lte service would yochoose, based on this chart . Dont rush into it, im not looking for the fastest answer. Obviously verizon. Okay, i have a different chart. Going that way, does that make a difference . Look at verizon. Its so much more than the other ones. So what if we just changed the format altogether . Isnt that the exact same thing . Its pretty clear. Still sticking with verizon. Verizon. More 4g lte coverage than all other networks coined. Side bside so you get the same coverage, often for less. Thats one smart board. What else does it do, reverse gravity . [ laughs ] [ laughs ] [ whooshing ] tell me about it. Why am i not going anywhere . You dont believe hard enough. A smarter way to shop around. Now thats progressive. Call or click today. [ grunting ] lou i have been just waiting and waiting to talk with my next two guests. Joining me now the psychoanalyze David Petraeus, some of our nations leaders and some of the liaisons. You can explain all of this to me so that it makes great sense. How does a man with a 37 year career as a fourstar general in the United States army, distinguished, respected, hal in the world does he take the cia job to think suddenly that he is nogoing to be surveiled . Is not going to have the good guys, bad guys, and everything in between watching every step makes . He was thinking with the wrong head, right . You know, i think when people engage lou im glad you said that. I figured i could get away with it. People who know him well really loved him and felt that he was experiencing a void. We were talking about healthy and is very exciting life. He was in afghanistan. Then it moved year. Perhaps he felt like he was missing that excitement. Lou hes the head of the cia. Still. Everything can get boring. Then he has this woman who lou did not find boring. Not boring in very seductive and complementary to. And very fit. A lot of the same values. Admired him. And let me tell you, that is very hard to pass up. I think she was very delibere. You hear people talk about David Petraeus, a very gorgeous reporter said he was never flagitious. He was always honest and a standup guy. So i think there wa something unique to this situation that led to his call them. Lo was cut to the psychology of this woman. A Lieutenant Colonel in the reserves. Topsecret clearances. She is literally writing a book that she has never written a book before. She has suddenly contract to write it. She goes to afghanistan to talk to the general. This woman is an animated, energetic, driven stalker, at least on the surface of it and by all appearances. Is there any possibility psychologically that is what she is all about . I dont know if she is a stalker, but certainly she is a type a personality. She knowswhat she wants. She goes for it. Shes welleducated. Very, very bright. And a lot of people said, how can you do that . How can you become a biographer without having that kind of experice and working with general petraeus . Shes a mrried woman with children. Lou a graduate of west point, we should point out, studying at harvard. In tiptop shape, or to my car body. This is the thing. Going after a man whoshe saw as a father figure and a lover. He could not turn down the fact that he had this beautiful young women who complemented lou t think it might just a boil theom and she said as he was a father figure . We will be right speech here we are back. Okay, so he has responsibility, general petraeus committee as a white that build his areer. He is in charge of fighting two wars at one point. Where is the condemnation in the society . It is a demand presided over an 11 year long war. Basically, counterinsurgency, and people are saying, you know, its a private matter. Its not. Its a very public manner. I dont think this is something that happens overnight. See to it specifically about him. We are desensitized. We are used to hollywood men cheating all the time. This idea that there is a sophistication. People are stimulated sexually all the time, and they dont always do this. People get to these positions,hey slowly got there. These are risktakers. Lou said doctor gardere believes the longer youve been on the job its okay. We are going to be out of time in about 20 seconds. You buy the hype. I