Its easy looking, oh, yeah, with that money ill be able to i won see anyone, i challenge you, do it. Ifill those are just some of the stories were covering on tonights pbs newshour. Major funding for the pbs newshour has been provided by and by the alfred p. Sloan foundation. Supporting science, technology, and improved Economic Performance and Financial Literacy in the 21st century. And with the ongoing support of these institutions and foundations. And. This program was made possible by the corporation for public broadcasting. And by contributions to your pbs station from viewers like you. Thank you. Ifill billionaire investor steven cohen and his high profile hedge fund agreed today to a record plea deal for Insider Trading. S. A. C Capital Advisors will admit to criminal fraud and pay 1. 8 billion in fines and forfeitures. For federal prosecutors in new york, its the biggest catch yet in a longrunning investigation. Sometimes institutes need to be held accountable too. No institution should rest easy in the belief that it is too big to jail. That is a moral hazard that a just society can ill afford. Ifill cohen was not charged with any criminal violation, but will no longer manage money for anyone but himself. Well have more on the details of the case, right after the news summary. The deposed president of egypt, Mohammed Morsi, went on trial today in cairo, and quickly condemned the proceedings. He insisted hes still egypts rightful leader, and he rejected military rule. The trial then adjourned until january. Well hear from a reporter covering the trial later in the program. Elsewhere in the middle east, secretary of state john kerry traveled to saudi arabia, in a bid to mend frayed relations with a longtime ally. Theyve been strained by differences over syria, egypt and iran. Kerry met with Saudi Foreign minister prince Saud Alfaisal after talks with king abdullah. He said saudi arabia is the regions linchpin. If we can get stability and ultimately hopefully peace in i place like syria, the possibilities are endless. The saudis are very, very important to all of these things. The saudis are really the sort of senior player, if you will, within the arab world together with egypt. Egypt is in more of a transition. So saudi arabias role is that much more important. That assad must step down that iran cannot be allowed to obtain a nuclear weapon. Protestors in iran staged one of the largest antiamerican rallies in years. It marks the anniversary of the 1979 takeover of the u. S. Embassy in tehran. Tens of thousands of demonstrators packed the streets in a show of opposition to president rouhani recent open to the u. S. They stomped on the American Flag and carried antiamerican signs. Thank god, the rally is more spirited than last year. Some people said lets not chant death to america this year. Its not good for us. But the leader has said that it is a good thing for us to chant death to america. The world must see this. Meanwhile talks over Irans Nuclear program are set to resume thursday in geneva. The world bank is out with a study that finds cleaner cooking stoves could save a million lives a year, and slow global warming. The agency says many of the deaths are people in developing countries who cook indoors with wood or coal and breathe in smoke. It says the solution lies in stoves that burn less fuel or cleaner fuel and cost just a few dollars each. A federal trial began in milwaukee today on wisconsins voter i. D. Law. Its the latest flashpoint in a nationwide battle over such measures. The Wisconsin Law requires a drivers license or other photo i. D. To vote. Republicans say it targets fraud. Democrats argue the law discriminates because the poor and minorities are less likely to have such i. D. S. Wall street opened the week with a relatively calm day. The Dow Jones Industrial average gained 23 points to close at 15,639. The nasdaq rose 14 points. To still ahead on the newshour, the largest penalty ever for Insider Trading on wall street. Egypts ousted president morsis defiant day in court. What its like to support a family of seven on 8 an hour. Taxing marijuana in colorado and other initiatives on the ballot tomorrow. Plus a trov of 1500 paintings looted by the nazis found in a munich apartment. Ifill todays Insider Trading plea by the hedge fund, s. A. C. Capital advisers, was notable not just for its financial penalty but also for the prosecutors pursuit of criminal charges against the firm. Jeffrey brown takes a deeper look at the violations in question and what the case may suggest about the governments broader investigations into wall street practices. Brown steven cohen is not just any trader. He was one of the streets best known traders. And his firm was one of the more successful, with a record of Sheila KolhatkarNational Correspondent from business week has been connick elling b the case if he press conference today. I want to pick up on this notion of the success in pursuit of the wall street firm on criminal charges that has been a rare thing, right . Generally the government has been reluctant to charge companies with criminal wrongdoing because it can lead to enormous job losses. Now they did in this case because they have been investigating this firm for going on seven years now, they were quite convinced, apparently, that both steve cohen and those work for him were engaging in some kind of wong going doing. But they were unable to do a criminal case against c mr. Cohen himself. They did not have the evidence they needed to make that case. So back in july they indicted the firm. And suggested that the entire firm was fostering a culture of securities fraud. A culture of securities fraud so remind us, it is Insider Trading so the charge that they agreed to is what, that this was going on. He still says he has nothing to do with it . Right, well he and his company have maintained that they behaved properly throughout this process but back in july the government indicted the company, said that basically a large number of employees of sac capital had been trading on material nonpublic information that is information that has the ability to move stock prices. But is not known by the broader public. The government also alleged that cohen had been hiring people specifically because they had relationships with people at publiclytraded companies, relationships they could potentially mine for tips that they could trade off of. And also suggested that he was incentivizing people, paying bounces to people for bringing this kind of information into the firm and passing it up the food chain to him so he could trade on it as well. And tell us a little bit more about him. Because he is a big player. He famously lives large, buying art, buying all kinds of things. Hes going to come out of this not going to jail and still with a lot of money, right . Well, thats one of the interesting things about this, it is a very, very historic, sort of enormous settlement. Yet no one is actually going to jail. Steve cohen has the net worth of around 9 billion. But even after paying a 1. 8 billion to the government which is what he agreed to today, he will still have 7 billion left. So yes, he can still go out and buy a hundred Million Dollar paintings. He will still live in a 35,000 square foot mansion. Will still do basically whatever he likes. And the fact is that the government was not able to find the evidence to sort of bring them over the line to charge him criminally himself. We heard that line from barajas, u. S. Attorney no institution should rest easy in the belief that it is too big to jail. Is there a was that read as a larger signal to the wall street world today . Well, the government is clearly trying to set an example here and create an atmosphere that will deter illegal trading activit activity activity on wall street. Back in 2060 when the string of Insider Trading cases started to get going the government prosecutors thought that this was rampant on wall street. And in fact its true. Back then wall street traders did not feel scared of prosecution, they thought the securities and Exchanges Commission their main regulator was essentially a joke. They did not take any of it certificate losely. Now after today it is likely that people will be paying much more attention and it will be taken more seriously and file. And this case, of course, has been, was part of a much larger Insider Trading effort by the government against a number of firms. Right, well in 2006 as they discussed at the press conference, they started getting alot of reports from informants and different sources on wall street that illegal trading was rampant it was very common. And since then we have seen a number of historic, very significant Insider Trading prosecutions, for example, there was the charge against ratman who ran the Gallium Group who is serving an 11 year sentence. Go upthat, former head of mckenzie was convicted. They quoted the number, 75 guilty pleas or conviction, so this is a large number and its growing. And finally let me ask you, were talking about this criminal case against the firm but there is more to come, right. Civil charges against steven cohen and more against the firm, so whats next . Well, they want out of their way today to say that this settlement charges againstl the company does not create any sort of immunity for cohen himself or any individual. The u. S. Nk attorney, he might havet mentioned that fourel different times during a 40ey minute press conference. So they are still looking into him. There is also a civil caseci with the sec which also could carry a significant bite. The sec is o bar Stephen Cohen from the securities industry for life. This is almost a harshest penalty the sec can dish out to anyone. That has yet to be resolved. That is likely to be a major blow for someone who thought of himself and was widely seen as the greatest trade never his generation. Sheelah kolhatkar of business week, thanks very much. Egypts first democratically elected president now on trial for ifill egypts first democratically elected president , now on trial for inciting murder was defiant during his brief first day in court. Newshour correspondent kwame holman begins our coverage. With Mohammed Morsi arrival for his trial shown on state television marks the first time he has been seen publicly since the military forced him from power in july. The troil is being held at this highly fortified Police Academy compound. Broadcaster kos not air statements from inside the courtroom but one of morsis lauers said he took a defiant stand. When he came into the hall the lawyers began chanting in support of him. The president said when he came in its 32yearold morsies with kept in a courtroom holding cell along with 14 codefendants, top members of his Muslim Brotherhood. Theyre accused of insighting this violence in cairo last december against opponents of the Muslim Brotherhood. Ten people died in the clashes. Morsi supporters say the case is trumped up. Hundreds of them rallied outside the trial site today. Of course this is a sham trial. They tricked people and told them it is a real trial. We want a public trial so we can know the truth. Reporter riot police later fired tear gas to disperse the crowds. The trial opened a day after secretary of state john kerry was in cairo. The u. S. Has suspended some aid to egypt over morsis ouster but kerry sounded conciliatory. We want to help, were prepared to do so. And the way it will unfold is the democracy is rekindled in its strength. And as the people of egypt make their choices in the future. Im confident the United States of america will be able to stand with you and do even more. The morsi trial now has adjourned until january 8th to give lawyers time to review documents. The deposed president could face the Death Penalty if hes convicted. Nancyiousev is covering the trial for mcclatchy newspapers. I spoke with her a short time ago. So Nancy Noussef apparently Mohammed Morsi said everything including what uniform we wear to court today. What happened in that courtroom . It was actually quite dramatic. It was a lot of yelling by Mohammed Morsi and the six other defendants in the case with them. Every time the judge tried to proceed with the case they would yell that the courtroom and the trial was a as far as. Mohammed morsi repeatedly said that he was a president and called the process invalid. When he walked in, one of the journalists yelled execution, god willing to him and there was even fights that broke out between the journalist and some of the morsi lawyers and those of his codefendants. And so there was so much chaos and drama that at the end of the day the judge determined that the case couldnt proceed. And it was adjourned until january 8th. Was the point of Mohammed Morsis protest to say that they didnt even have the right to be trying him because he still is the legitimate president . Thats right. He really, we hadnt seen Mohammed Morsi since july 2nd the day before he was ousted by the military. And he really picked off exactly where he left off in that speech saying that he was the president. His lawyer said that if they wanted to remove the president that there was a constitutional process to do that, suggesting that the Court Session was, in fact, illegal. And essentially tried to carry himself as the president , even as codefendants tried to treat him still as president. The fact that he was wearing a suit when he walked in. He smiled and gave a wave that has become popular among the islamists. And his fellow codefendants let him take the lead. And so there was an effort in that courtroom to really state and show the position of morsi and his supporters that the process is invalid and that he remains the president. What is the state now of the Muslim Brotherhood, Mohammed Morsis party . Its interesting. What we saw in the courtroom really reflected whats had been happening outside the courtroom. The entire leadership of the very essentialized organization has been arrested and because of that, the organization has been quite fractured where the Muslim Brotherhood could once get hundreds of thousands of people to the street today only managed to get a few thousand. And one could really feel the an vence of that leadership as they tried to galvanize support for Mohammed Morsi and his first appearance in court. At the same time, one could also feel the fear that the military felt about the brotherhood and their ability to create instability in the state. The fact that this trial is not broadcast live, that journalists who were allowed in could not bring cameras or telephones. And that the only images came out later through state television. The fear that its brotherhood could rise up and cause instability was certainly felt and reflected in the militarys decision to not allow people to even see morsi being held by the new government. Ifill so if they were unable to even get this trial started today, what is and put off until january, what is expected to change that will allow this to get under way . Well, i think whats going to happen is well see more restrictions put on those defendants, such that they cant speak so that the judge allowed them to speak. There may be efforts to create some sort of Legal Process such that theyre not required to speak as much. Because every time they were asked to speak, to answer things like their name and the charges we put before them, they used it as an opportunity to state their political positions. So my guess is we will see more restrictions on that front. It was quite a contrast from when hosni mubarak, morsis predecessor was in jachl he was quite quiet and cool. And so the outbursts were unusual for these, whats become relatively frequent trials of former president s. So my guess is well see some adjustments in terms of their ability to speak in court or be addressed by the court in future sessions. Ifill Nancy Youssef reporting from cairo for mcclatchy newspapers, thanks so much for helping us out. Thanks, gwef. We mentioned earlier that secretary of state john kerry has vitted both egypt and saudi a rain why in recent days to work on u. S. Relations with both countries. Newshour Margaret Warner joins me now for more on this latest diplomatic efforts. Margaret, welcome again. Its interesting to me that john kerry would happen to be in egypt on the same day that Mohammed Morsi comes out of seclusion, out of jail to go on trial. Coincidence . Well, this was the day before. No, it was very much awkward timing. The timing of the trip was dictated by what he is doing on the back trip. But they weresy very aware 9 awkwardness of this timing and usually his trip was not announced. His visit was not announced. Now usually that only happening when you go into a really dangerous place like iraq or afghanistan. And im told it reflected the sensitivity about the timing, the awareness of the sort of difficult security situation in egypt. And also the antiamerican feeling. So that said, they really thought about what he would say. You saw yesterday in his press conference with the foreign minister, he said we really think egypt is on this road map to restoring civilian democracy. He was very encoveraged about that. And he said we certainly expect that the constitution will include, will insurance all egyptians quote, unquote, acces