good evening, everyone. outfront tonight we have breaking news. the market today dropped about 125 points, thanks to greece and jpmorgan. deepening trading losses at the bank today. the total losses for america's biggest bank, at this moment we tell you could now be $4 billion. just on friday we were telling you it was only $3 billion and you may have seen reports the day before that it was $2 billion. jpmorgan is about to face a firing squad here in washington. at the bank today heads started to roll. the first out was the woman, the top chief investment officer. she made $30 million in compensation in the past two years. it's unclear how much of that may be clawed back related to recent reform. we're always just hours away from a more public showdown. jamie dimon will be facing fire at the company's annual meeting in tampa. jamie likes a fight but you can bet he's not thrilled about the timing of this. here in the halls of the senate there's an investigation in the works. senator bob corker is a man who called for the hearings and he's outfront tonight. good to see you, senator. >> good to be with you, erin. >> what do you want to find out? >> well, this is an interesting point in time. rules are being promulgated right now that affect all of these things. the question is, under current laws that have been passed, if they're fully in place, was this in fact a proprietary trade or not, which is something we don't want to see happening in these institutions, or was this really a legitimate hedge that would take place within an institution. we've been getting a lot of, you know, this has evolved. we had a lot of conversations this weekend with the examiner in charge at the occ that oversees jpmorgan. we got one piece of input that's evolved, that walked back away from that. i guess at the end of the day this is very complex. this is certainly no threat whatsoever to jpmorgan as far as it being a going engt tee. >> it's small relative to their assets. >> the issue is there are a lot of rules being created right now. whenever you have especially something this high profile, it's going to affect the outcome of what's actually happening right now in washington. >> but you're saying looking at the top accountants and auditors who are looking at this, they still are not able to determine whether it was proprietary, i.e. should not be happening under the new rules, or legitimate? >> right. and those rules aren't in effect yet. the question is what's really happened here and do we have laws that affect what's been happening. there's some very specific language in the volcker rule that talks about hedging and it talks about aggregate, it talks about unique trades and the fact is nobody yet has been able to determine whether this is something that could stay in place or not. >> but jpmorgan itself, is it possible you could do something about the bank? you talk about it being small ojt bank, and it is. and some people say, oh, well that's a sign that the system is strong. then you could say why is the bank so big. it's 45% bigger in terms of assets. $2.3 trillion in assets. it's 45% bigger now than it was right before the financial crisis, just to be clear. >> yeah. >> i mean is that okay? >> that is a whole different issue. you know, there was resolution language that actually spent a lot of time on myself that you create the opportunity to wind -- you have the ability to wind down an institution that fails. but again, that's a whole separate issue. >> but you could make the argument it isn't. you could say if it were smaller, jamie dimon would have known what was going on. >> so here's the question. under volcker, is this something that is legitimate after volcker is fully implemented? a lot of people are saying yes. secondly, there are people who say that this couldn't have happened if you had the glass-steagall regime in place. the occ has categorically said that's not true, this could still have occurred. and if you downsize the institutions, this kind of trade could still occur. so i think we need to understand how this occurred. it was all on the banking side, not on the investment bank side. and do we have policies that appropriately deal with this? so this is, again, very unique, very specific, very complex. >> right. >> we only had one hearing on the volcker rule prior to making it law. >> unique and specific, i feel like we hear that every time there's a big trading loss. they are all unique and specific. that's the problem. >> human beings do bone-headed things. in a business like this, things like this are going to occur. we need to make sure we try to regulate properly. but the best antidote to this are to have capital requirements that are sufficient. as we mentioned earlier, this is a very large institution. the riskiest thing they do is to make a loan. what we need to ensure is that capital requirements are strong enough. in this case, obviously, way beyond that. >> now, you're speaking for reform so i don't mean to imply that you're not. your top contributor was jpmorgan chase. you're up for re-election. do you feel conflicted? do you feel like you're more likely to be sympathetic lynn g listening to jamie dimon because he gives you a lot of money? >> my race last time was a national race that was huge. people contributed from all walks of life. i was the first person who called for a hearing here, so i don't think that's the case at all. i know it's not the case. and, no, i don't feel conflicted. look, i tell these guys when they come in, i just had this same conversation with jamie dimon recently and a group of other people here, i'm not a friend of banking, i'm not a foe of banking. what i want to see is that we have capital markets in this country that function appropriately, that we have a financial system that meets the needs of an economy like we have in the u.s. and i just want to see it work in the appropriate way. one of the biggest setbacks we've had to our economy is the crisis in this financial system that sets us back years. so i want to make sure that we have good outcomes here. and senators are not basing judgments on this or things that they believe to be perceptions, but the reality of what's actually happened in this case and hopefully a hearing will help us do that. >> senator, thank you very much. senator corker joining me here in washington. now let's check in with john avlon in new york. john, what are your thoughts? i'm curious about your thoughts of lobbying dollars going from industries to committees that regulate those industries. >> well, the growth of lobbying over the past decade in particular has been a real problem. many people point to it for not just the increased spending that we've seen but things like the lobbying that has watered down the volcker rule. much of it was pursued by jpmorgan chase. so lobbyists do have their thumb on the scale. it's contributed to a lot of the frustration people feel at home, the sense washington isn't working. lobbyists are part of the reason why. >> so do you think, john, that we'll be able to get reforms or what's your sense? >> well, look, follow the money. that's one of the tougher things to do. certainly in this specific case calling for a hearing is a step in the right direction. the question is, is it not just about asking regulators what went wrong but bringing members of jpmorgan chase. this is all complicated by the fact that jpmorgan chase has been the responsible bank and power fully arguing against regulation, against the volcker rule. well, that argument will be a lot tough tore make going forward as we find out this loss isn't $2 billion but perhaps $4 billion or higher. this is a complicated position they find themselves in of their own making. >> yes, absolutely of their own making an completely avoidable as well. ahead, senator dianne feinstein joins me to talk about evidence of a possible weapons test, explosive test for a nuclear weapon in iran. and president obama slamming mitt romney at bain capital calling him a job-killing vampire on the same day that he had lunch with a private equity titan to raise money. and hangings and decap takeses. we'll look at what could be the biggest threat in this country. it's not in the middle middle east. it's across our southern border with. with the plan my financial advisor and i put together, a quick check and i know my retirement is on course. 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the united states would accept a little bit more, right? >> i don't think that's the united states' position. i think it's confined enrichment to 5%, limited to the medical isotopes. move anything above 5% out of the country or secure it, have full transparency and 24/7/365 day a year access for the iaea to all these sites. and then be willing to also talk about other things, which is what the iranians have wanted to do. i am hopeful. in my view it's the best chance of a solution. of course this is the p-5 plus one, so it's a unique bargaining agent, you might say. >> when you talk about access, i want to ask you about israel in a second, israel issue, but access. i have this picture which i know looks a little strange. the associated press obtained this from a government that is skeptical of iran's honesty in its nuclear program and they say this is a chamber used for testing explosives of nuclear weapons. we did make some calls and experts did say indeed this could be consistent with that but we haven't skbant independe identified the source government. apparently it's at a site that the iaea has not gotten access to after repeated requests. how big of a problem is this? >> well, number one, i've never seen that picture. it could be from anywhere so a comment could be useless. i can say this, the decision as far as our intelligence is concerned is that iran has not made the decision to enrich to military grade uranium. now, having said that, there's no comment on whether they have speeded things up so they could get to that position, so that if a decision was made, it would go more quickly. so i mean i think that's what's out there. there's one other thing. the sanctions are biting. they're biting deeply. additional sanctions will go into play with the central bank. and so by june or july, the sanctions should be approximately full tilt. >> iran is going to ask for the sanctions to be rolled back. don't put those really tough sanctions that europe was going to be putting on this summer, don't do it, because we've made progress. that's what they're going to ask for. is there any way you think that the united states at least would say, okay, we don't have to put that extra round of sanctions on, or is that something that must go forward to get the final deal done. >> well, this is just my deal. >> yes. >> my view is the sanctions should not be lessened until and if there is a final deal concurred in by all. >> and that leads me to israel. you say the u.s. and israel aren't necessarily on the same page. prime minister netanyahu telling me nothing, you telling me up to 5%. how will we bridge that gap? if they say zero and we say five and they strike, we're going to be involved. >> well, there is a strong difference between the united states and israel. there also is a strong likelihood that if israel were to attack, the united states would be drawn into what would become rapidly another war with iran that could have catastrophic consequences throughout the middle east. and one of the things that we don't do well is follow through on figuring out if you do this and they do that, then what happens? do we support israel? israel is close to us. obviously we're going to back up israel. then, is it war? and then what does the rest of the middle east do? >> is it war, the big question that everyone has to be thinking very much about here in the senate and washington and in this country over the next few months. next on "outfront" prosecutors filing new evidence just this afternoon. i have some crossing right now, regarding the shooting of trayvon martin and the case against george zimmerman. and the president goes after mitt romney and his record at bain capital. plus we're going inside the drug wars from mexico. an amazing statistic. did you know that 90% of the cocaine in this country comes from mexico, and 70% of the guns that are used in mexican drug crime come from right here in the u.s.? we'll be back. oh! 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[ male announcer ] solutionism. the new optimism. new evidence coming to light tonight in the murder case against george zimmerman. he, of course, is the neighborhood watchman who's admitted to shooting trayvon martin. now, the orlando sentinel reported late this afternoon that the special prosecutor's office filed an eight-page preview of their case with the county clerk. now, in it nearly two dozen primary witnesses are listed. there's also some never-before-seen video and more than 50 recorded audio statements that the state plans to use at the trial. coming outfront on this story, our legal analyst, mark nejame. i feel like everyone will say what, a new video, what is this new video? >> well, we have a lot of things coming out but it's just the beginning. you'll see a lot more coming out over time. i think there's about 18 police officers from the sanford police department who are on the witness list. there are 67 cds coming out that will have a lot of information on it. and there's two videos, as i understand it. one from the 7-eleven and one from the clubhouse. so we're going to be getting a whole bunch of new information. i'm not sure if some of the most important information is coming out in this first wave. the autopsy reports i think will be extremely relevant. an enhancement of the 911 tapes are extremely relevant. and knowing where everybody was, the proximity of where the shooting occurred, the clubhouse, the car, where he was staying, all those are important pieces that i don't know if those are going to come out in the first wave. i'm anxious to see if they do. >> why would they come out in waves? because literally they don't have it all together or is this standard procedure? how much more do you think there is and when will we get it? >> well, it's entirely possible they have not completed everything yet and they're not going to turn it over until in fact they are. and if i could, you had indicated earlier that all this was information they were planning on using. not necessarily. in florida we have very open discovery laws. if there's something that's favorable or unfavorable, it still needs to be turned over to the defense and then a determination will be made if one side or the other plans on using it and if it's even admissible in court. there's very open discovery and everything has to be turned over. >> we just found out zimmerman's lawyer just got the package late tonight and presumably he's try to block all of this from going public. will he succeed? >> he'll have an uphill battle, that's for sure. we have very -- as i said, very open not only discovery, but sunshine laws in florida. so