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Suspect Arrested In Killing Of A Couple Hiking In Arkansas; Experts: Tehran May Be Weeks Away From Running Out Of Water; Colorado Dentist Convicted, Sentenced To Life For Killing Wife. Aired 7:30-8a ET

Aired July 31, 2025 - 07:30   ET

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

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[07:30:03]

KATE BOLDUAN, CNN ANCHOR: New this morning the president announced a trade deal with South Korea, which now calls for a 15 percent tariff on imports coming from there, and they're getting it done just under the wire as Trump's self-imposed August 1 deadline on reciprocal tariffs is tomorrow. And Trump insists the deadline will not be extended again.

Commerce secretary Howard Lutnick also announced trade agreements with Cambodia and Thailand, but both countries have been threatened with a 36 percent tariff on most goods. Details of those deals, however, still quite scarce.

The president took to social media to ramp up pressure on other countries ahead of this deadline threatening to impose a so-called Russia penalty on India for buying Russian oil. That's in addition to a baseline 25 percent tariff.

And wait, there is more. He also took aim at Canada over its support for Palestinian statehood, warning That..." as you see there "...will make it very hard for us to make a

trade deal with them."

Add to this, this week we heard from Ford Motor Company. It reported it lost $36 million in the second quarter for the -- from the impact of tariffs. The company has said that it expects tariffs to cost a total of $2 billion this year. Stellantis and GM have also reported losses due to tariffs, proving that like so many industries the big three automakers not immune to this trade war.

Joining us right now is Lieutenant Governor of Michigan Garlin Gilchrist. He's also running for the -- in the Democratic primary for governor of Michigan. It's good to have you in the studio.

LT. GOV. GARLIN GILCHRIST, (D) MICHIGAN: Good morning.

BOLDUAN: Thank you so much for being here.

Let's start with the big three. I mean, they are definitely feeling the effects of the trade war already. They have -- in their -- in their earnings reports they're making that clear. But they keep saying that they are not going to be passing on the cost to customers. The price increase in new cars -- it's, you know, small is what they are saying.

How are Michiganders feeling tariffs -- feeling this trade war?

GILCHRIST: Well, first and foremost, I mean, this chaos, these deals are not working for Michigan families.

Like, look, it's the big three that are obviously losing money. The United Autoworkers Union and their members have come out strongly against the deal for Japan -- with Japan and others.

But what we're seeing is the auto suppliers -- the supply chain that so many tens of thousands of people in Michigan work for --

BOLDUAN: Um-hum.

GILCHRIST: -- they're getting hurt too. Just two days after that Japan deal was announced a small auto supplier in metro Detroit called Detroit Axle -- they had to lay off 102 workers and close a facility because of what's happening.

So this -- these families are getting hurt. People are not going to be able to afford to even buy these cars even if they only raise the price a small amount. So that's why it's really important.

BOLDUAN: But look, at the same time, the UAW has generally come out in support of stricter tariffs. They say that -- they did come out against the Japan deal for sure. But the UAW has said that it -- that the -- that more tariffs -- this trade -- Trump's trade policy could help actually save Michigan jobs.

And if you look at it the economy has not tanked because of tariffs -- not tanked at least yet. And The New York Times puts it this way. "The muted market reaction to the 15 percent tariffs on Japan and the European Union suggests the panic many expected from Trump's earlier, more extreme levies may not materialize."

I mean, you can debate the economic impact but is it a political victory -- this trade war -- for Donald Trump and his trade plan?

GILCHRIST: There is real human cost to what is happening. People have already lost jobs and been laid off in the state of Michigan because of this all over the place policy. These deals are not working for people in Michigan. And even if they could they haven't because this president is so chaotic, is so all over the place. He's not predictable. There's no way that businesses can plan and a way that families can plan for what they need to spend in the next few weeks.

I mean, look, we're in back-to-school season, for example.

BOLDUAN: Yep.

GILCHRIST: We've already seen that the prices of pencils and notebooks and backpacks already went up on families that are going to have to spend. Like, I'm going to have to buy new school supplies for my own kids. I mean, what we're seeing is this confusion -- this -- all this -- it's just already happening to families and it's going to only continue to get worse.

BOLDUAN: Let's talk about the political map right now. In Texas we know that the Republicans have released their plan for how they want to redraw congressional maps. Democrat after Democrat have said we need to fight fire with fire. Republicans say they can maybe pick up five seats. That's what Donald Trump says is the goal to happen in Texas.

But if Democratic-led states start responding to try to redraw maps to benefit Democrats is that something you want to see happen?

GILCHRIST: Well look, what I want to see is first of all, they need to be challenged and attack what's happening in Texas because it's obviously gone on racial lines to draw -- to draw seats. They're targeting seats that have Black representation already and they're trying to get more power impacted in this state.

And I think we need to respond -- absolutely.

BOLDUAN: Respond in that exact way? You want to see -- you want to see Democratic-led states all over the -- all over the country if they can given the structure of redrawing it. If they can, they should blow up the -- blow up the maps -- their maps as well and fight fire with fire.

[07:35:05]

GILCHRIST: Look, I think that there needs to be -- we need to make clear as Democrats, like, who we're fighting for and that we're going to use every tool at our disposal to fight for working people.

And what we're seeing now is Republicans are trying to exact a political price and take advantage of small gains that they had and turn them into larger ones not because they have a better argument but, in fact, they're actually hurting more people in places like Michigan.

BOLDUAN: Do you think it could backfire for Democrats though? I've heard that from some.

GILCHRIST: That what could backfire?

BOLDUAN: If you -- if you -- if you fight fire with fire. If you -- if you say if you're going to redraw maps and, as you say, it -- you think it is wrong, and you think it's illegal. You think it is gerrymandering but Democrats do exactly the same.

GILCHRIST: There is no --

BOLDUAN: Could it backfire?

GILCHRIST: There is -- there's never a wrong time to be able to fight for people and to be able to show people that we're going to stand up and we're not just going to let this happen to us as Democrats. So it's always the right time to fight.

BOLDUAN: I remember in the -- during the campaign you were a really outspoken supporter of Kamala Harris and a big supporter of hers and campaigned for her.

She announced yesterday that she's not going to be running for governor of California, which leaves open the possibility that she could make another run -- presidential run in 2028.

Would you like to see her do that?

GILCHRIST: Well, I appreciate -- certainly, I did work very closely with her --

BOLDUAN: Um-hum.

GILCHRIST: -- while she was vice president and as a candidate. I know she's going to pick the right route for her leadership, whatever that is.

I mean, look, I think that the reason that Democrats need to step up all across the map -- all across -- and why I'm stepping up to run for governor of Michigan --

BOLDUAN: Right.

GILCHRIST: -- is because we need to have strong, competent leadership with integrity at the state level that's going to fight for working people. It's going to get things done. It has the credibility to deliver values. And so that's certainly what I'm doing in representing and I want to see it across the country.

BOLDUAN: When you say fighting for people it gets to this conversation going on amongst Democrats right now of who is the leader of the Democratic Party and what direction you should be going. Should it be more progressive? Should it be more centrist?

It's an interesting conversation in Michigan especially because Michigan governor, Democratic Gretchen Whitmer has made no secret of kind of the tightrope that she has felt that she has needed to walk for the people of Michigan.

I remember that she had said -- obviously Trump won in '16 and in '24 -- won your state. You have Republicans who won the statehouse in November. And she told the Associated Press, "I've got to make sure that I can deliver and work with folks of the federal government, and so I don't view myself as the leader of the opposition like some might."

Do you agree with that? Do you want to be the leader of the opposition?

GILCHRIST: Look, my responsibility is to be a leader that's working for the people of Michigan, and my job is to protect and promote and defend our interests. I do that every single day when people are talking to me about how they can't afford housing. How they still have -- can't afford their prescription drugs. My job is to advocate to any and everybody to get that done, whether it's in the White House or it's in the private sector. Making sure that people are not getting taken advantage of by companies that are raising prices. That is my job.

So it's not about fighting for anything except the people and families of Michigan that I look to represent.

BOLDUAN: If that would include sitting in the Oval Office with President Trump, as was quite a photo op that the governor found herself in, would you do the same?

GILCHRIST: When I need to have a conversation with the president -- this president how would still be president when I would come into the governor's office -- I'll have a conversation with him about what the people of Michigan need.

So if it's about how he's attacked universities in my state -- for example, the University of Michigan and Grand Valley State University because they have the audacity to believe that all students should have a pathway to be successful and be safe and respected on campus -- like, then we will have that conversation as well because that is fighting for and defending those families.

BOLDUAN: Lieutenant Governor, thank you for coming in. It's good to see you.

GILCHRIST: Thanks for having me.

BOLDUAN: I really appreciate your time -- John.

JOHN BERMAN, CNN ANCHOR: All right. New this morning the family of one of Jeffrey Epstein's most vocal accusers, Virginia Giuffre -- they are speaking out and posing questions about the president in a statement released to The Atlantic.

Giuffre's two brothers and sister-in-law said, "It makes us ask if he was aware Jeffrey Epstein and Ghislaine Maxwell's criminal actions, especially given his statement two years later that his good friend Jeffrey 'likes women on the younger side...no doubt about it.'" The statement continues. "We in the public are asking for answers. Survivors deserve this."

Giuffre died by suicide at her home in late April.

Let's get right to CNN senior law enforcement analyst Andrew McCabe. Andy, this is an issue because of what the president is now giving as his explanation about why he ended his friendship with Jeffrey Epstein. He said, among other things, that Epstein stole employees from the spa at Mar-a-Lago. One of them was Virginia Giuffre.

Listen to this.

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REPORTER: Did one of those stolen, you know, persons, did that include Virginia Giuffre?

DONALD TRUMP, (R) PRESIDENT OF THE UNITED STATES: Uh, I don't know. I think she worked at the spa. I think so. I think that was one of the people, yeah. He stole her. And by the way, she had no complaints about us, as you know -- none whatsoever.

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[07:40:00]

BERMAN: So Andy, see here's the thing. I mean, the language aside "he stole her" which there are a lot of people -- trauma experts who say that's insensitive. If this were still an ongoing investigation -- an active investigation and someone made a public statement like that about someone being investigated -- obviously, Epstein killed himself so that investigation is over. But if this were still open and you were still alive and you heard someone say that out loud and you were still investigating this, would you want to talk to that person?

ANDREW MCCABE, CNN SENIOR LAW ENFORCEMENT ANALYST, FORMER DEPUTY DIRECTOR, FBI (via Webex by Cisco): Oh, yeah, yeah. I mean, look, if you were still investigating this and Epstein was still alive and you're trying to parse your way to the very beginnings of how some of these relationships took place. Who met who when? The things that the president continues to say -- these little details. These little statements on Air Force One continue to complicate and really add to the picture in a way that I think is very unhelpful for him.

He has consistently maintained that he never engaged in any wrongdoing with Mr. Epstein and that he wasn't aware of it. I mean, at this point, really, he should just stay with that and stop getting into the details because every time he tosses out another morsel of fact or recollection, he further clouds this situation.

I mean, the story behind Virginia Giuffre's introduction to Ghislaine Maxwell and ultimately Jeffrey Epstein is well known. It's been told many times. She was an employee at Mar-a-Lago -- worked in the spa. Ghislaine Maxwell saw her and struck up a conversation and it went from there.

So again -- once again, part of what he's saying here seems to -- seems to align with that but in a way that's not particularly clear. As an investigator you would definitely drill down on that.

BERMAN: Yeah. And again, there is no suggestion the president himself did anything wrong. No reason to suggest that he has. But what kind of questions would you now ask him based on this revelation were this still an active investigation?

MCCABE: Yeah. Well, you know, each time he goes back to these things he kind of opens up the door and indicates that he has a little bit more knowledge and maybe a little bit more recollection of the people and the events than he originally suggested. And so you would push on that.

OK, well, who was Virginia Giuffre? Well, so tell me about the spa where she worked. What was her role there? How old was she when she worked there and who was her supervisor? You start to identify other people who might be able to add to this narrative.

And then, OK, what did you mean by "he stole her"? Are we simply talking about he recruited an employee away from your business or -- you know, like, you would really just kind of very carefully push on that narrative to get as many additional facts as you could.

BERMAN: And look, if this were still an active investigation that statement might mean a lot more.

Let me ask you something specific that Senate Democratic leader Chuck Schumer is calling for now. He's calling on the FBI to conduct a counterintelligence threat assessment of the Epstein files.

Is this just something you might hear from an opposition leader, or could there be real national security issues for what's in this file?

MCCABE: You know, it's -- well, I don't think there's -- it's hard to -- hard to imagine the current national security issues still related to the now longtime deceased Jeffrey Epstein. But there's a couple of reasons -- things here that I think are important.

And first, it's intelligence agencies do not typically ever confirm or deny the existence or the identity of an intelligence source. There's really good reasons for that, right? If you start denying it with people who aren't then sooner or later, you get asked about someone who is and then you can't deny that. And so you've kind of revealed your source inadvertently.

So I think if the -- if the bureau does go back and conduct a review, they may already have an opinion or an intelligence assessment on this question. If they are willing to provide that to Congress or to the leadership, it will be in a classified setting that cannot be shared with others.

So I think, you know, the -- Sen. Schumer, like, talking about these things publicly, it's really just kind of fanning the flames of the many different conspiracy theories around this issue. I doubt that we'll ever publicly get to a resolution of that one either.

BERMAN: Andrew McCabe, appreciate your time this morning. Thanks so much -- Kate.

BOLDUAN: Police have now arrested a man in connection with the deaths of a husband and wife who were attacked and killed while hiking in Arkansas. Twenty-eight-year-old James McGann was arrested yesterday, actually at a barbershop that was not far from where the bodies were found. Officials found the bodies of Clinton and Cristen Brink Saturday along a popular hiking trail in the Ozarks. They were hiking with their two young daughters at the time who were not harmed in the attack.

CNN's Dianne Gallagher has the very latest on this for us. And Dianne, what are you learning about this, and any word on how these little girls are doing from what they must have seen? [07:45:00]

DIANNE GALLAGHER, CNN NATIONAL CORRESPONDENT: The latest we have on how the girls are doing is the family just saying that they need people to respect their privacy and to do exactly what apparently happened.

Officials saying that they received numerous tips from the public, including a lot of video footage that helped them identify Andrew McGann -- this 28-year-old elementary school teacher who was arrested at that barbershop and charged with the murders of Clinton and Cristen Banks (sic). He was arrested on Wednesday evening in Springdale, Arkansas. He is facing two counts of capital murder in the Brink's deaths.

Now, police didn't give any kind of details on what led to his arrest citing the ongoing investigation. They also said they are still working to determine what the motive may have been in those killings. Again, the daughters were not injured. They are safe with family right now according to police.

But they say that McGann had moved to the area recently to take a job at a local school. He had been a fifth grade teacher at Spring Creek Elementary in Oklahoma last year, the Broken Arrow Public School District confirmed to CNN affiliate KOKI. But the district says that he "left on his own accord to work out of state." They also pointed out that he had passed the required background tests before he was hired.

Now, he was arrested at Lupita's Beauty Salon and Barbershop mid- haircut according to the owner of that shop who said in a Facebook video that her granddaughter was in the middle of cutting his hair when plain clothed police officers came in and asked if the car in the parking lot belonged to him. She says they even collected some of his hair from the ground after the arrest.

Arkansas officials have praised the police work that was done on these multiple day manhunt, tracking this person down. Now, CNN has not been able to determine if McGann has an attorney at this time -- Kate.

BOLDUAN: Dianne, thank you so much for that update. My goodness -- John.

BERMAN: All right. New this morning Tehran's 10 million residents may be just weeks away from day zero, the day the taps run dry, and the Iranian capital runs out of water. That country is facing one of its worst droughts ever as key reservoirs are shrinking.

Let's get right to CNN chief climate correspondent Bill Weir for the latest on this. What's going on there, Bill?

BILL WEIR, CNN CHIEF CLIMATE CORRESPONDENT (via Webex by Cisco): Well John, we learned about that scary term "day zero" in South Africa a few years ago. When the reserves get so low they have to think about a day with no water in a city of 10 million now grappling with that. Water pressure has been cut to 80 percent of the city by almost half,

so if you live in a high-rise there's no water pressure at all. Tankers are delivering water to some neighborhoods so it becomes those who can afford to store it. Residents encourage to urge every drop.

And what is causing all of this? Well, it's the same story from the American West to South Africa, to all places around the world. You've got poor mismanagement for years exacerbated by climate change. Too much farming. About 90 percent of Iran's water goes into agriculture, inefficiently in many ways. And so to prop up these growing cities they've over pumped the aquifers to the point that Tehran -- some parts of that city is sinking at about 10 inches a year.

Of course, you know, the climate change. The drought that's going on. About 40 percent less rain this year than over the average. It hit 122 degrees in Iran recently. And their capacity in their reservoirs is down below 25 percent.

And so the steps that they are taking now is encouraging people to conserve. They gave a national holiday hoping to decrease water use. They now may put a -- give the whole country a week off, hoping people leave Tehran, in order to decrease the demand right there.

Rationing, of course, is a -- is a specter that nobody wants to talk about right now.

But this is symptomatic of the world in large. I mean, they're feeling it in Tehran right now very acutely, but water managers everywhere are thinking about this culmination of problems and how to avert it. It really comes down to conservation in the near term and a new sort of understanding about our relationship with water.

BERMAN: Yeah, and by the time it becomes a crisis like this it's almost too late.

Bill Weir, appreciate it. Thank you very much.

Brown University strikes a $50 million deal with the Trump administration to restore funding. What the school is giving up and getting.

And a Virginia lawmaker set on fire. Now police say it was no random attack.

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[07:53:37]

BERMAN: New this morning the Trump administration has reached a $50 million deal with Brown University to restore federal funding. This comes after last week's even bigger settlement with Columbia.

Let's get right to CNN's Betsy Klein in Washington. What are you learning about this deal, Betsy?

BETSY KLEIN, CNN SENIOR REPORTER AND WRITER: Well John, the Trump administration touting a new multimillion dollar agreement with Brown University to restore federal funding. But this deal is very different from last week's $221 million settlement with another Ivy League school, Columbia University.

Now, under this new agreement, Brown is going to pay $50 million over 10 years to Rhode Island workforce development organizations. That is something that's been a key priority for the Trump administration. And Brown is also adopting the government's definition of male and female. They have agreed to remove any consideration of race from their admissions process. They are also dismantling certain diversity, equity and inclusion (DEI) programs.

Now, in return, the Trump administration is going to restore all frozen federal grants, restore that school's eligibility for any future funding, and close all pending investigations into Brown.

But it's really notable that Brown was largely able to escape that nine-figure settlement that the White House reached with Columbia and is now seeking from Harvard. The school is not making any payments or fines to the government like Columbia did. They also will not have an independent monitor.

[07:55:00]

And Brown president Christina Paxson also noted in a statement that "The agreement does not give the government the authority to dictate Brown's curriculum or the content of academic speech."

She also says that the provisions codify existing policies and practices but did acknowledge that there are some aspects that were priorities of the Trump administration to resolve this funding freeze, something that was obviously putting so much financial strain on Brown and other schools.

White House officials had told me Columbia would serve as a roadmap for other schools. They had suggested earlier this week that deals with Brown as well as Cornell could be close.

BERMAN: And we will see if other schools follow suit.

Betsy Klein, thank you very much for that.

This morning a man is in custody after allegedly setting a Virginia state council member on fire. A 29-year-old suspect entered an office where Councilman Lee Vogler was working. The man poured gasoline on him and lit it. The suspect took off, but police caught him blocks away. Police say the attack "stems from a personal matter and was not related to politics."

Councilman Vogler was taken to a burn unit. His condition unknown at this time.

A radioactive wasp nest has been disposed of after being found in a South Carolina location that once made nuclear bomb material. Education Department officials say radiation levels from the wasp nest were 10 times higher than what was allowed by the federal government. Authorities say it does not pose any danger, and it was likely leftover radioactivity from when the site was operational.

The workers who found the nest sprayed it with insect killer and disposed of it. Officials say no wasps were found.

I have to say this is like the beginning of half the superhero movies that I like here. Someone is bound to have superpowers from this, but we'll get back to you on that.

BOLDUAN: Stand by. Stand by.

BERMAN: Double check your energy drink. It may actually contain vodka. High Noon is voluntarily recalling its Beach Variety 12-packs of vodka seltzer drinks because some may have cans mislabeled as its energy drink. Celsius Astro Vibe Sparking Blue Razz --

BOLDUAN: What?

BERMAN: It's a pretty long name, to be fair.

BOLDUAN: Yeah.

BERMAN: So people who think they're drinking an energy drink might actually be consuming alcohol, Kate.

BOLDUAN: This is serious. However, um -- I mean, I'd be like sorry, not sorry.

BERMAN: I was going to say, like, I feel very peppy this morning but also relaxed.

BOLDUAN: I'm -- just a regular old day on CNN NEWS CENTRAL.

BERMAN: A regular day.

BOLDUAN: Thank you, John Berman.

Let's turn to this right now. The Colorado dentist who was convicted of poisoning his wife with protein shakes and killing her will now spend the rest of his life in prison without the possibility of parole. After a two-week trial and about eight hours of jury deliberations, James Craig was found guilty on a host of charges.

(BEGIN VIDEO CLIP)

JUDGE SHAY WHITAKER, COLORADO 18TH JUDICIAL DISTRICT: As to verdict one, count one, murder in the first degree, we the jury unanimously and beyond a reasonable doubt find the defendant, James Craig, guilty of murder in the first degree.

(END VIDEO CLIP)

BOLDUAN: Craig was seen crying in court as the verdict was announced and his sentence was decided, and as more than one of his six children confronted their father in court.

CNN's Jean Casarez is here with much more on this. Tell us more about what we heard from the family there.

JEAN CASAREZ, CNN CORRESPONDENT: Oh, we heard a lot.

BOLDUAN: Yeah.

CASAREZ: And first of all, our producer in the courtroom said the jurors came back into the courtroom to watch this sentencing --

BOLDUAN: Oh, really?

CASAREZ: -- and watch the victim impacts, and they were crying.

But the brothers and the sisters of Angela Craig -- they stepped up and they spoke their minds so emotionally. But then it was heartbreaking when Angela Craig's youngest daughter began to speak.

(BEGIN VIDEO CLIP)

ANGELA CRAIG'S YOUNGEST DAUGHTER: I was supposed to be able to trust my dad. He was supposed to be my hero and instead he will forever be the villain in my book. And it hurts so bad every day, and I just hurt so much. Life and the world will truly never be the same. It will never be as bright as it was when my mom was here with us.

CATHY PREY, ANGELA CRAIG'S SISTER: He perpetrated this murder while she was in her own home with her own children around her. He's heartless, cowardly. He's a pretender and a liar. He's a snake in the grass.

(END VIDEO CLIP)

CASAREZ: And the brother of Angela Craig stood up and he said that the night that he knew she was gone that he believed that she had been poisoned. And later at the house he said that he saw James Craig with his children in a circle teaching them a religious lesson and he could not believe it.

James Craig was asked yesterday by the judge before the final sentencing, "Would you like to speak?" Just like Bryan Kohberger, he did not say a word with all of his children there and his family members there.

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