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Crisis in Iraq; ISIS Attacks Iraq's Largest Oil Refinery; Will Iraq Crisis Be Proxy War Between Saudi Arabia, Iran?; 21 Dead After Boko Haram Attacks World Cup Viewing Party; African Start-up: Amagara Skincare

Aired June 18, 2014 - 11:00   ET

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

JONATHAN MANN, HOST: Under government control, Iraq says it has secured the main oil refinery in Baiji. But in cities like Falluja,

clashes are forcing residents to flee in droves. We're live in Baghdad with the latest.

Also ahead, Libya says it wants the so-called mastermind of the Benghazi terror attack tried at home. The U.S. has other ideas. We're

live in Tripoli.

And a tail of two goalies -- a hero that kept the dream of one team alive and one that let this howler get by at the World Cup in Brazil.

Thanks for joining us.

Iraq's prime minister says the military will be victorious in its fight against ISIS. But so far nothing has stopped the Sunni militants'

advance.

The latest battle in Iraq is centered on the country's largest oil refinery. This video shows smoke rising from Baiji after ISIS fighters

attacked there. Iraq's military spokesman says government forces were able to beat back the insurgents and regain control, but ISIS also has its

sights set on Baquba and that lies just 60 kilometers from Baghdad. That's where our senior international correspondent Nic Robertson is

standing by.

Nic, what happened in Baiji? And what else is going on with the fighting in other parts of the country?

NIC ROBERTSON, CNN INTERNATIONAL CORRESPONDENT: In Baiji around the oil refinery, and this is a very important oil refinery for Iraq, because

it produces about 40 percent of the gasoline that's used by cars around the country, so you can imagine if that goes offline then there's going to be

long queues for gas here.

What we understand is overnight, ISIS began to attack this well defended oil refinery. The perimeter of the refinery is almost sort of 60

kilometers long. It's a relatively large area. But the army, the Iraqi army there -- we understand this -- one of the only army units in the area

that didn't run away in front of the advance of ISIS. ISIS has been in the town of Baiji for the past week, but this advance, an attack with mortars

and shell fire, heavy machine gun fire on the oil refinery, we understand that this time hasn't been successful. We're not able to independently

confirm that. But the Iraqi army spokesman said they killed 40 ISIS fighters there in Baquba.

That gun fight that was underway yesterday, it's not clear where that stands, but it seems at the moment that ISIS has not been able to take

control of the city, that the government has some parts, ISIS other parts, that their offensive at the moment -- it just seems to spring up different

places, different days, Jon.

MANN: And what can you tell us about the prime minister's televised address. I'm curious about the tone of it. Did he sound like a man who

was on the verge of losing his country and his capital?

ROBERTSON: You didn't get that impression. He sort of seemed to, if you will, sort of want to explain what had happened. He said number one,

this is a conspiracy between ISIS and the Ba'athist elements. Of course, this was the government under Saddam Hussein, so blaming it on his old

enemies as he's always done here.

But he also said, look, there wasn't a military failing. The reason that we lost so much ground, there was political paralysis is what he

described it as. He said we were taken aback by it, but we're now sort of bounding forward. And we're on the front foot.

His message is that that the Iraqi government will succeed here -- there was an element in there perhaps he was trying to sort of split some

of the tribal support away from ISIS and the other rebel groups here by saying that the tribesmen wouldn't kill, you know, 400 prisoners, they

wouldn't kill 175 young army recruits, they wouldn't do that sort of thing. So perhaps he's appealing to the better instincts of the Sunni

tribes.

But there wasn't that sort of sense of this was a very strong national unity. I will compromise. I will talk to this party. I will talk to that

party. That didn't come across.

He did say there was Iraqi unity, but he said that came about as a result of a calling by the top Shia cleric in the country, which has

largely resulted in really a call to arms for a lot of young Shia men in the country.

So, that national unity element, it's not really coming across that strongly there, Jonathan.

MANN: Yeah, thanks very much.

We'll keep taking a closer look at the battle for Iraq all through this program.

First, a look at whether the conflict could turn into a proxy war between two countries fighting for regional influence -- Iran and Saudi

Arabia. And we'll examine whether some of the Iraqi's prime minister's own policies may have fueled the Sunni-Shia divide in his country.

The accused mastermind of the 2012 attack on the U.S. consulate in Benghazi, Libya is headed to the U.S. to face charges. Ahmed Abu Khattala

was captured by U.S. commandos in Libya. U.S. officials say he's now being taken to the U.S. on a navy ship rather than by air to give investigators

maximum time to question him.

He's said to be behind the attack that killed U.S. ambassador Christopher Stevens and three other Americans nearly two years ago.

Libya's justice minister says Abu Khattala should be tried in the Libya, though.

Jomana Karadsheh joins us now live from Tripoli with the latest.

We'll get to the Libyan point of view in a moment, but I just want to ask you more about this operation. It was shrouded in secrecy even after

it was carried out. How much do we know about what actually happened?

JOMANA KARADSHEH, CNN INTERNAITONAL CORRESPONDENT: Jon, very little detail that's coming from the U.S. What we do know what happened was in

the days leading to the capture of Ahmed Abu Khattala U.S. officials say that he was being monitored, watched closely by U.S. special forces, that's

the army's Delta Force, the FBI and intelligence agencies. They also say that information from locals was also helpful.

On Sunday, they say he was lured to a location south of Benghazi where he was grabbed. And not a single shot was fired, according to U.S.

officials.

A senior former Libyan intelligence official in Benghazi who I spoke with yesterday, said he found that really surprising that there was no

resistance, no firefight that took place, because he said Ahmed Abu Khattala was a well guarded man.

Now many Libyans believe, including government officials I've spoken to, that the U.S. may have taken advantage of the current security

situation in Benghazi and the current climate against jihadi groups in that city to carry out this raid.

The jihadi groups, Islamist militants group in Benghazi have been on the defensive for about a month now after retired general Khalid Ahafted

(ph) launched an offensive against Islamist militants groups. Some believe that this may have given the U.S. a better opportunity to carry out this

operation, Jon.

MANN: And they seized that opportunity. He's now on a slow boat to American justice.

But the Libyans, obviously, have something to say about this. And they are saying it. What can you tell us about the latest comments?

KARADSHEH: Well, we just heard a short while ago from the Libyan justice minister and the spokesman for the foreign ministry, the government

here is asking the United States to hand back Ahmed Abu Khattala to Libya. They say there is an arrest warrant for him here and that he should stand

trial in Libya.

They also say that the operation was a surprise.

(BEGIN VIDEO CLIP)

SALAH MARGHANI, LIBYAN MINISTER OF JUSTICE: We have been notified of the operation after it has taken place, not before. So the Libyan

government had no previous knowledge, no advance warning of any such operation otherwise we would have obviously objected.

(END VIDEO CLIP)

KARADSHEH: And the government, Jon, is describing the U.S. operation as a, quote, "unfortunate attack on Libya's sovereignty" and the capture of

Ahmed Abu Khattala as the kidnapping of a Libyan citizen. They are urging the United States to guarantee his safety and his legal right in accordance

with international law.

Now one major concern here among many Libyans I've spoken to and also senior government officials is whether there's going to be any sort of

backlash to the capture of Abu Khattala. There are many who are concerned that there could be some sort of retaliation by jihadist groups that are

very powerful and very active in this country, whether it can any sort of retaliation against US, western interests or even the Libyan government.

MANN: You've got to wonder, though, if they're really all that sorry to see him go.

Jomana Karadsheh live in Tripoli. Thanks very much.

The Benghazi attack raised questions about security at the U.S. compound and whether the U.S. president and then Secretary of State Hillary

Clinton had paid enough attention to warnings of an attack.

In a townhall meeting moderated by CNN's Christiane Amanpour, Clinton looked back at what might have been done differently.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, FRM. U.S. SECRETARY OF STATE: I think if any of us had known that there was going to be a wave of attacks -- remember it

started in Cairo that day and swept across the region, I think we would have certainly cautioned and maybe even directed people to, you know, just

shelter in place, so to speak, and wait to see what was going to happen.

(END VIDEO CLIP)

MANN: A World Cup viewing gathering in Nigeria ended in tragedy when a bomb exploded. It happened in Damaturu in the northeast, a stronghold of

the militant group Boko Haram. A hospital source tells CNN at least 21 people were killed. Police tell CNN the extremist group had distributed

leaflets to the viewing centers in three different languages warning them not to open during the World Cup.

Nima Elbagir has spent years covering the region. She's just back from there, in fact. She joins us now from London.

How much do we know about what happened?

NIMA ELBAGIR, CNN INTERNATIONAL CORRESPONDENT: Well, at the moment, Jonathan, it just seems like people had hoped that the danger had started

to abate. Boko Haram last week when we were in Nigeria had themselves been distributing letters to the viewing centers, warning them against opening,

warning them against allowing people to gather and saying that they would be responsible for the outcome.

Well, yesterday evening, we saw what that outcome was.

Some of the pictures that we've been seeing, Jonathan, are too graphic to show our viewers. What we are putting up on our screens is very little

of what we're actually getting in. But it is just too horrible.

The security situation continues to be as tense as you would imagine it to be in Adamowa State (ph). But people are just trying to ask the

government officials when this will be over, Jonathan.

MANN: And you know there's a terrible irony here, which is the World Cup is a global celebration of one of the world's most lighthearted past

times. But in Nigeria, it makes -- I guess the viewing centers make poor Nigerians easy targets.

ELBAGIR: Absolutely. And in a way this was almost the cost of community's defiance against Boko Haram. They just decided that they were

going to take the risk. And Boko Haram -- well, local officials believe it to be Boko Haram and it bears all the hallmarks of Boko Haram. Boko Haram

retaliated really swiftly.

But we've seen this before with other militant groups -- al Shabaab attacked a viewing party in the -- during the 2010 World Cup in Uganda.

And there was a huge loss of life there in Kampala. It just seems to be an easy target. And it also seems to be a way of hammering home the militant

and extremist interpretation of Islamic law that these groups espouse, Jonathan.

MANN: Nima Elbagir in London. Thanks very much.

Still to come tonight, leaving no stone unturned. We'll bring you a firsthand look at Israel's extensive search for those three missing teens.

And how regional tensions between two of Iraq's neighbors could play out in the bloodshed that's gripping the country.

(COMMERCIAL BREAK)

MANN: You're watching CNN Connect the World. I'm Jonathan Mann standing in for Becky Anderson. Welcome back.

As Sunni militants moved toward Baghdad, Iran's president says he will not hesitate to defend Iraq's Shia holy places. Hassan Rouhani says many

Iranians are ready to cross the border to protect the holy sites, and in his words, put the terrorists in their place.

Millions of pilgrims visit shrines in Karbala, Najaf and other cities each year. President Rouhani's comments, another reminder of his alliance

with Iraq and its Shiite prime minister Nuri al-Maliki.

But the Sunni insurgency also has the potential to disrupt Saudi Arabia's alliance and interests in the region. Mohammed Jamjoom joins us

now from Beirut.

And Mohammed, I wonder if we could start with Iran. What is its role now? What could it become?

MOHAMMED JAMJOOM, CNN INTERNATIONAL CORRESPONDENT: Well, Jonathan, that's the question that everybody in this region is asking. Obviously,

Iran has very close ties with the government of Nuri al-Maliki. Speculation over the course of the past week has been what exactly will

Iran do? Many have wondered if Iran would possibly send in troops to help protect the Iraqi government.

With comments that you're hearing today from President Rouhani, it's clear they say they're going to do whatever they can to protect Shiite holy

sites in that country, but what exactly does that mean? And the fact that these comments were made now, that's adding to the speculation that was

already out there. And because this region is so volatile and because sectarian divisions have deepened ever since the Syrian conflict first

started, that's causing a lot of concern in Sunni powerhouse countries like Saudi Arabia who are now also making a lot of noise as to what should

happen in Iraq, what the outside community should do and how the situation, or how anybody should try to approach the situation there and calm it down,

Jonathan.

MANN: Well, could we end up seeing some kind of remote control conflict between Iran on one side and Saudi Arabia on the other? And let

me ask you more pointedly, are we already seeing that? Is there Sunni money already helping ISIS in its campaign to take over Iraq?

JAMJOOM: It looks like this proxy war has already begun. And that's not really a surprise, considering how arch rivals Iran and Saudi Arabia

both have a very vested interest as far as what happens in Iraq.

Today, we heard from the Saudi foreign minister in remarks that he gave at a gathering of Islamic countries in Jeddah, Saudi Arabia. He

warned that what's happening in Iraq could become a full-blown civil war.

Also, we've heard from Saudi officials these past few days who have warned outside powers from intervening in the Iraqi conflict. Clearly,

that is a veiled -- that's a veiled remark that's directed towards the Iranian powers. The Saudis don't want to see the Iranians get involved in

the Iraqi conflict.

But the problem is that the Saudis are also very concerned about the rise of ISIS and how much -- how much stronger ISIS has become in the last

couple of months.

We saw in -- about two-and-a-half months ago, the Saudis officially declared ISIS a terrorist organization. And I've heard from Saudi

officials who have told me in the last 24 hours that in fact ISIS is actively trying to recruit members from inside Saudi Arabia to launch

attacks against the Saudi royal family.

So the Saudis really believe they have a big problem on their hand just with ISIS alone in Iraq. But they're also very concerned about Iran

entering that conflict. Saudi Arabia shares a border with Iraq. And they're very worried that the stability, not just of a region, but of Saudi

Arabia itself, will be affected by what's going on in Iraq --Jonathan.

MANN: So let me ask you a question -- maybe I'm spinning the coin in the wrong direction -- but to look at the other side of it, Tehran, Riyadh,

Washington all would like to see ISIS contained and/or defeated. Who gains from ISIS's advance? Who gains if Iraq ends up coming apart?

JAMJOOM: It seems right now only ISIS gains. Clearly, this region loses if ISIS continues on its march towards Baghdad, if they continue to

gain strength.

The question is, how is ISIS been able to become as strong as it has become? Well, they've had years of now fighting in Syria, getting stronger

in Syria, then coming into Iraq.

The question is, what does this do to this region? And there really is a lot of concern right now this could become a conflagration for the

region at a time when already sectarian tensions are as high as they've been in this very volatile region in quite a long time because of the

Syrian conflict, which has spilled over so many borders into other countries.

What is what's going on in Iraq going to do? And it doesn't seem like the rise of ISIS or how popular they are becoming amongst recruits, how

much money they've gotten, how strong they've gotten, is going to do anything to help this region, except for the rise of ISIS and their terror

campaign -- Jonathan.

MANN: So, how does ISIS get contained? The Iranians say they might do it. Is there anyone there who would like to see Washington contribute

to keeping ISIS from taking still more control of still more Iraq?

JAMJOOM: What's interesting right now in this region is there is a belief amongst a lot of countries that Washington should be doing more, but

there's also a lot of fear that if Washington gets involved that that's going to -- that's going to fuel anti-Americanism in this region and that's

going to cause a lot of anger in this region as well.

Nobody really knows what to do. And nobody really has a good idea as to how best contain ISIS . This really took a lot of the countries in this

region by surprise, although when you look back and you see how ISIS has been able to thrive these past couple of years and become as strong as it

has because of what it was doing in Syria, perhaps there shouldn't be that much surprise. The fact of the matter is, it seemed clear by analysts

looking at the situation that ISIS was gaining in strength, that they were getting funding.

You know, just a few weeks ago, ISIS was putting out horrific propaganda videos which were showing killing sprees that they were

conducting across Iraq.

So, when you see something like that and then you look at what's gone on since then, it really doesn't seem to be as much of a surprise as maybe

some people purport that it is. And yet nobody in this region really seems to have a great idea as to how to best contain this group that so many

countries deem as such a threat right now -- Jon.

MANN: Mohammed Jamjoom, live from Beirut, thanks very much.

Much more analysis still to come on Iraq, including a closer look at the record of Prime Minister Nuri al-Maliki. His critics say his policies

are a big part of the problem.

But up next, we go to Uganda for our African startup. Stay with us. You're watching Connect the World.

(COMMERCIAL BREAK)

MANN: Time now for us to take you to the Global Exchange where we introduce you to the people and places paving the way forward in the

world's emerging economies.

Now natural ingredients like vegetables, fruits, essential oils, are abundant in Uganda, and ideal place, then, for an innovative company

specializing in skin care products.

In this week's Africa Start-up, we meet the people behind Amagara.

(BEGIN VIDEOTAPE)

SHAKIB NSUBUGA, DIRECTOR, AMAGARA SKINCARE LTD: : This is Amagara Skincare. And we are a skincare line. We do natural skincare products.

We source products from farmers like vegetables, fruit, essential oils and make them into high quality skin care products.

ANISHA KIGOGO, DIRECTOR, AMAGARA SKINCARE LTD: Amagara means life in indigenous African dialects. Here in Uganda, we have different tribes, so

Amagara tends to reach out to all the communities here.

MANN: Launched in 2012, Amagara was founded by a group of friends and family who saw an untapped market in Uganda.

KIGOGO: My mom, one of the directors, she got a gift and it was like lotions and everything. And we looked at the back of it and most of it was

stuff that grows here in Uganda.

And then we thought to ourselves, you know, why not try and do something like this here?

MANN: Producing a marketable product at a reasonable cost means they have to consider different factors.

NSUBUGA: You have to work with raw materials that are very easy to get. Because of one of the problems that we -- that we farmers face is

forced to have this storage. So what we do, we go to them and we buy in bulk and we process and, you know, add value to the product.

MANN: Amagara's skincare products are produced at Uganda's industry research institute where the company is an incubatee.

NSUBUGA: So, before we go in, we (inaudible) we have to wear the safety coats. We have to have the hair net and make sure that everything

that we're touching in there we're clean.

KIGOGO: This is our storage facility, our raw materials. It's important to say that we use 100 percent natural extracts.

NSUBUGA: For such a short time we've been in the market, we're actually quite proud of our distributorship. We're stocked in

supermarkets, pharmacies and we also stock in fashion shops. So, we -- the variety of places where people can reach our products.

DETERIOS: Despite the early success of the company, it still faces challenges.

NSUBUGA: I think it takes awhile, especially for a startup, to build that trust and to build that -- you know, to establish that brand. We want

to see what Amagara everywhere. We want Amagara in every hotel, want Amagara in every household as the -- you know, as the nice luxury African

cosmetic brand.

KIGOGO: And it doesn't only stop in Africa, though. We want to conquer the world. That's what we want to do -- Amagara.

(END VIDEOTAPE)

MANN: Africa is buzzing with innovation with more business start-ups in African nations than anywhere else in the world. Join the African

start-up team and a panel of experts for a tweet chat at this time tomorrow to take part. Log on to Twitter and search hashtag #CNNAfrica to join the

conversation.

The latest headlines from around the world just ahead.

Plus the U.S. president weighs how to help Iraq defeat the Sunni militants sweeping the country. We'll take a look at some of the options

on the table after this.

(COMMERCIAL BREAK)

MANN: This is CONNECT THE WORLD, the top stories this hour. Sunni Islamist fighters launched an attack on Iraq's largest oil refinery in

Baiji today, but the government says Iraqi forces were able to drive them back, and some 40 ISIS militants were killed in the fighting. Meanwhile,

British prime minister David Cameron raised this warning in the House of Commons Wednesday.

(BEGIN VIDEO CLIP)

DAVID CAMERON, PRIME MINISTER OF BRITAIN: I also disagree with those people who think this is nothing to do with us and if they want to have

some sort of extreme Islamist regime in the middle of Iraq, that won't affect us.

It will. The people in that regime, as well as trying to take territory, are also planning to attack us here at home in the United

Kingdom.

(END VIDEO CLIP)

MANN: One of the runoff candidates in Afghanistan's presidential election wants the vote-counting to stop immediately. Former foreign

affairs minister Abdullah Abdullah told reporters he's seen evidence of widespread fraud. The runoff was held Saturday between Abdullah and former

finance minister Ashraf Ghani.

An explosion outside a World Cup viewing center killed as many as 21 men and boys in northeast Nigeria. The victims had been watching the match

between Mexico and Brazil when a bomb went off. Police suspect Boko Haram militants.

Ukraine's president says he will order a brief unilateral cease-fire to allow pro-Russian separatists to lay down their arms. President Petro

Poroshenko says militants who disarm will be given an escape corridor. The announcement comes after a phone conversation between Mr. Poroshenko and

Russian president Vladimir Putin. But Russia's foreign minister said part of the plan amounts to ethnic cleansing.

The divide between Shia and Sunni in Iraq has been established for centuries, but recent actions by Iraq's prime minister, Nouri al-Maliki,

may have led to this latest outbreak of violence, an outbreak that is threatening the country itself. Randi Kaye has a look.

(BEGIN VIDEOTAPE)

RANDI KAYE, CNN CORRESPONDENT (voice-over): After the fall of Iraqi president Saddam Hussein in 2003, Nouri al-Maliki saw an opening. He'd

spent 24 years in exile in Syria and Iran, and was finally able to return to Iraq in 2003.

Unlike Hussein, who was Sunni, Maliki was Shiite Muslim. In 2006, he was sworn in as prime minister. He spoke to Congress that year.

NOURI AL-MALIKI, PRIME MINISTER OF IRAQ (through translator): We faced tyranny and oppression under the former regime, and we now face a

different kind of terror. We did not bow then, and we will not bow now.

(APPLAUSE)

KAYE: Back in 2006, the Bush White House supported Maliki, looking to him to alter the balance of power, giving Shiites more control and

weakening the Sunnis. Maliki had once promised to unify Iraq, even welcome Sunnis into the government. Colonel Peter Mansoor was General David

Petraeus's executive officer.

PETER MANSOOR, COLONEL (RETIRED), FORMER EXECUTIVE OFFICER TO US GENERAL DAVID PETRAEUS: He used all of his power to pursue his political

enemies rather than reaching out and ensuring that he could embrace them and bring them into the tent.

KAYE (on camera): Iraq's Sunni insurgency has been gaining momentum since 2006. In fact, General Petraeus's strategy behind the US troop surge

in Iraq in 2007 was to give Maliki and the Shiites more time to figure out how to share power with the Sunnis.

KAYE (voice-over): Instead, Maliki was accused of reneging on deals he'd made, cutting off funding to the Sunni tribes after they'd helped

defeat al Qaeda in 2008, even targeting high-ranking Sunnis. Last year, President Obama praised Maliki after meeting with him at the White House.

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: We were encouraged by the work that Prime Minister Maliki has done in the past to ensure that all

people inside of Iraq -- Sunni, Shia, and Kurd -- feel that they have a voice in their government.

KAYE: And just last week, Maliki was still preaching unity.

MALIKI (through translator): We must stand as one united front. Our insistence and will must never waver when it comes to expelling these

criminals.

KAYE: Yet, it was Maliki who may have prevented the United States from keeping troops in Iraq after the surge to help build a true democracy.

MANSOOR: He made it very difficult for the United States to retain troops in Iraq. But again, the Obama administration never really tried.

KAYE: Now, Maliki is under pressure again, with President Obama insisting the United States will only step in if Nouri al-Maliki takes

another shot at a unified state, where Shiites, Kurds, and Sunnis live in peace.

Randi Kaye, CNN, New York.

(END VIDEOTAPE)

MANN: The prime minister is warning neighboring countries that the terror will not stop at Iraq's borders. Will Iraq sectarian bloodshed

inspire new unrest in other countries across the region? Leone Lakhani is in Abu Dhabi with more on that.

Obviously, the Sunni-Shia split goes a long way back, but when you look at the region today, outside of Iraq, how much of the unrest that we

see, how much tension is there in the tussle over power?

LEONE LAKHANI, CNN INTERNATIONAL CORRESPONDENT: Jonathan, as you say, it's not just the tension in Iraq. What's worrying for many of these

countries, particularly in the Gulf, is those tensions crossing the border.

Now, when you look at the region, the majority of the countries in the Gulf, in particular, are Sunni, but there are pockets of significant Shia

populations. Take a look at Bahrain, for instance. It's a small country, but it's got a Shia majority ruled by a Sunni minority. And the beginning

of the Arab Spring three years ago, we saw those tensions rise with major anti-government protests.

We haven't seen similar unrest now, but those tensions are still simmering. And that's significant for two main reasons: Bahrain is small,

but it's highly significant. It's right across the border from Saudi Arabia's lucrative, oil-rich eastern province, which is also dominated by a

Shia population. So, Saudi Arabia can't afford to have any kind of spillover into that part of the country, of sectarian tensions.

The other thing, Jonathan, is any kind of unrest in Bahrain or any of these other countries in the Gulf, could be a threat to the monarchy, and

that's a worry for any of the monarchies in the Arab world.

MANN: Now, once again, we are coming to the bedrock rift between the Shia and the Sunni in that part of the world. Given the history, given the

centuries of animosity, given the importance today, is anyone trying to bridge the divide or limit the damage or just span the gap?

LAKHANI: For the time being, the Gulf states are trying to stay out of it. We've seen statements from Saudi officials this week. We got a

statement from the UAE foreign minister just in the past hour, just saying that this insurgency in Iraq is because of what they called the

"exclusionary policies," the sectarian policies of the Nouri al-Maliki government.

And they've also very clearly stated that they're against any kind of foreign intervention. They want to stay out of what's happening in Iraq.

But when you look at what's happening with ISIS, it's already crossed borders between Syria and Iraq. How long can these Gulf states really stay

out of it if those tensions spread across the borders, Jonathan?

MANN: I want to as you one more question. Iraq today is the way it is because of the US invasion. How many actors, how many leaders, how many

people in the region, would want to see the US try and address this problem with some kind of intervention once again?

LAKHANI: So far at the moment, as I said, in the Gulf they want no foreign intervention. The question is whether the Iraqi government can

handle and manage what's going on in that country and whether people will be forced to intervene.

Now, in terms of the US, as you mentioned, people blame what happened in Iraq because of US intervention, but they also pulled out. So, it goes

both ways. But for the time being, it's going to be a matter of time whether we see -- whether they will be forced to intervene in what happens

in Iraq, depending on how the government handles it there.

MANN: Leone Lakhani in Abu Dhabi, thanks very much. The violence raging in Iraq threatens to tear the country apart. Now, one analyst says

it seems ISIS wants to start a new religious war between Sunnis and Shia.

That's the focus of one of the top articles on our website describing how the tensions between Sunni and Shi began and how that divide has only

gotten worse since the fall of Saddam Hussein. Find out more and share your own thoughts at cnn.com/international.

Live from CNN Center, you're watching CONNECT THE WORLD. Tensions are on the rise in the West Bank as Israel ramps up pressure in its search for

three missing teens. We'll track the search ahead.

(COMMERCIAL BREAK)

MANN: Welcome back, you're watching CONNECT THE WORLD. The Palestinian Authority president says whoever is behind the abduction of

three Israeli teenagers is trying to destroy the Palestinians. And despite criticism from a Hamas spokesman, Mahmoud Abbas says security coordination

with the Israelis is in the Palestinian interest.

Little headway, meantime, has been made in the search for the teens. They've been missing for nearly a week. But Israel has rounded up hundreds

of Palestinians in mass raids. Ben Wedeman followed several Israeli units as they went about the search.

(BEGIN VIDEOTAPE)

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice-over): An Israeli army foot patrol is making its way through Wadi Abu Iktela outside

the southern West Bank city of Hebron. For five days now, Israeli forces have conducted an intensive manhunt for the three teenagers who disappeared

Thursday night. So far, they've turned up nothing they're willing to talk about.

WEDEMAN (on camera): Did you find anything?

UNIDENTIFIED MALE: Yes.

WEDEMAN: What did you find?

UNIDENTIFIED MALE: I can't speak to you about that.

WEDEMAN: This is the scene in a lot of the areas around the city of Hebron. The Israeli troops are going from house to house, questioning

people, searching homes. And in some cases, ransacking them.

WEDEMAN (voice-over): In some areas, the searches are extensive, the media not welcome. Here, medics are trying to get to a house the troops

have taken over.

WEDEMAN (on camera): OK, so they're trying to get in. They already took away one woman who was seven months pregnant and a little hysterical.

Now, they're trying to get in for the fifth time to get a woman out who needs kidney dialysis and hasn't had it in two days.

WEDEMAN (voice-over): The soldiers pulled away from the house a few minutes later, and the woman was treated in the ambulance. We tried to

follow them as they left. They didn't want to be followed, however.

WEDEMAN (on camera): OK, he's going to shoot.

(GUNFIRE)

WEDEMAN (voice-over): Inside, we found the house turned upside down. No one here was arrested. Subhi Qawassmi says he was kept for three hours,

blindfolded with his hands bound. "They're looking for those boys. Didn't they question you about them?" I asked.

"No, questions, nothing," he responds.

These searches, warns activist Mustafa Barghouti, are only further raising tensions.

MUSTAFA BARGHOUTI, PALESTINIAN NATIONAL INITIATIVE: What you see here in this place is one example of what's happening everywhere in Hebron,

which are acts of illegal collective punishment against the whole population.

WEDEMAN: Near where the abductions are believed to have happened, Dvir, an Israeli settler, is trying to catch a ride home.

WEDEMAN (on camera): But since those three boys were kidnapped, are you more careful?

DVIR, ISREALI SETTLER: Yes, of course. Actually, my wife doesn't know that I'm here. And if she knows, she will come and get me. But I

don't want to bother her.

WEDEMAN: But if she sees you on television, will she be angry with you?

DVIR: A little bit.

WEDEMAN (voice-over): Just to the south, Israeli police control the entrance to the town of Halhul, part of a search that has so far yielded

little.

Ben Wedeman, CNN, on the West Bank.

(END VIDEOTAPE)

MANN: Coming up after a short break, World Cup highlights, and we'll assess Spain's chances as it tries to restore some pride after its opening

defeat. We'll be live from Brazil.

(COMMERCIAL BREAK)

MANN: World Cup time, and for host nation Brazil, a disappointing goalless draw with Mexico on day six. Mexico goalkeeper Guillermo Ochoa

was named man of the match after fending off Brazil's eighth shot at goal.

Belgium was off to a rocky start of its own when Algeria scored from the penalty spot. But after halftime, two goals carried them to victory.

And in the late match of the day, Russia and South Korea drew one-all.

Today, defending champs Spain will be looking to bounce back from their opening defeat to the Netherlands when they play Chile at the

Maracana in Rio. Shasta Darlington joins us now, live from Sao Paulo. Shasta, what are you going to be watching today?

SHASTA DARLINGTON, CNN BRAZIL BUREAU CHIEF: Well, we do have a few games. We've got the Netherlands against Chile in the south. We've got

Cameroon against Croatia in the Amazon. But I, like everyone else, will no doubt have my eyes glued to that game Spain against Chile.

And that's because we've got the defending champs, Spain, coming in this game against Chile, it should have been a no-brainer. Spain was

thought to be one of the favorites to win this World Cup, but after their trouncing by the Netherlands 5 to 1, it's really up in the air.

In one of the possible outcomes is that they could get knocked out this early in the stage. So, we're all going to be watching this game

closely. We want to see if the goalkeeper, Casillas, stays in, or if coach Vicente del Bosque moves him out and brings in someone else.

And it's also going to be, obviously, a great venue. This is going to be played in the iconic Maracana in Rio de Janeiro, great fans, just a

really good vibe, and an important game. So, I think that's where most of the focus will be today.

A lot of fans already gathering at the fan fest here in Sao Paulo, it's in the center of the city. In Rio de Janeiro on Copacabana Beach, and

excitement is growing, Michael (sic).

MANN: Shasta Darlington, we'll be checking in with you. Thanks very much.

We return now to our top story. US president Barack Obama says US forces will not intervene on the ground in Iraq, but there are dozens of

military personnel in Baghdad protecting the embassy, and hundreds standing by elsewhere in the region.

President Obama has been meeting today with congressional leaders to discuss the crisis. Chief international correspondent Christiane Amanpour

joins us now from New York. Christiane, we'll get to the US response in a moment, but you just spoke with Iraq's deputy prime minister. What did he

have to say?

CHRISTIANE AMANPOUR, CNN CHIEF INTERNATIONAL CORRESPONDENT: Well, he had to say two things. Number one, he said that the result of all of this

is that all parties now need to isolate ISIS from what he said was a legitimately disaffected group of Sunnis and others in Iraq who have

started to join ISIS, but they too, now, need to join the fight against ISIS.

So, that was his main point, that Iraqis need to ban together to do that. Also another main point was that there needs to be a serious attempt

at power-sharing in Iraq. He is deputy prime minister, he's a Sunni, he's had several assassination attempts against him.

And yesterday, though, he was in that meeting, which you all saw on television, somewhat stilted, somewhat formal, where Prime Minister Maliki

was trying to at least put on a show of attempting to bring all parties into some kind of emergency power-sharing arrangement, or at least reaching

across the aisle, so to speak.

He is not convinced that this is actually something that Maliki really wants to do, but he says this has to happen.

I asked him about Iran, saying they would come in to defend the Shiite shrines. And he said, we don't need that, thank you very much, we're

capable of doing it ourselves and all Iraqis will do so.

And then, I asked him about the United States, and he said, well, the United States was very irresponsible in invading Iraq, but it was very

irresponsible in leaving Iraq, and if it's to help us, we need a joint military and political solution. So, those were his main points in our

interview just now.

MANN: I have to ask you about the last point, because the obvious question in all of this is, is Washington going to let this happen, let

that country collapse? What are you hearing from the administration?

AMANPOUR: Well, it's very difficult to read what actually they are saying and deliberating. Certainly last night, as I spoke to Hillary

Clinton in that town hall, she seemed, like the administration, to be putting all the blame on Maliki. And frankly, washing her hands of Maliki

as, it seems, the Obama administration is doing as well.

They want to see him gone. It seems to be very, very clear that that's the case. The question is, what do you do to make sure that there's

actually something, some kind of political diversity or unity or power- sharing arrangement to move a very critical situation forward politically?

And it's very difficult to tell right now whether the Obama administration is actually going to use any kind of military power to stop

the immediate threat of the ISIS advance while as well trying for a comprehensive political solution to that.

And the truth is, the US, once it pulled out all its forces, doesn't have a huge amount of leverage right now. So, it's quite a difficult feat

to pull off right now. And there seems to be some thought that perhaps they would just allow it to stay in this state of de facto partition.

MANN: Is there a consensus on that? The message from the Obama administration clearly, from virtually the very first moment this became a

new issue, was there will be no US boots on the ground. Does everyone in Washington agree?

AMANPOUR: I would say yes, by and large everybody agrees with that. They know that there is no ability, really, to do that right now.

Certainly no political appetite. And the president is totally against that.

But there is some talk about potential special forces as advisors, not thousands and thousands of actual boots on the ground to fight, but in

terms of advisors trying to provide intelligence to the Iraqi forces, such as they are right now, trying to give some strategic advice.

Trying to do the things that America can do that the Iraqis don't have the means of, sort of even a national intelligence-gathering in real time

capability, so that they can funnel that out to whatever front lines or brigades who are out there.

They just don't have that ability, they don't have the logistical ability, I'm told by US commanders who trained those forces, to actually

fight on multiple fronts. And we're seeing that, frankly, right now.

Now, this deputy prime minister told me that they are fighting back in Baiji, which is where that big power plant is, and they would try to fight

back and get Tikrit. But this is going to be very difficult. Once these people have momentum, US commanders have told me, the ISIS people, it's

very hard to stop that momentum and to actually, then, push it back, unless they can isolate ISIS from the greater Sunni population.

MANN: Christiane Amanpour, live for us, thanks very much. Well, Christiane mentioned that she spoke with Iraq's deputy prime minister just

before joining us. You can watch that full interview coming up on "Amanpour," starting at 7:00 PM if you're watching from London, 8:00 PM in

Berlin, only on CNN.

Spain's monarchy begins a new era. King Juan Carlos is about to sign the law of succession, opening the way for a new king, his son, Felipe.

Spain's first commoner princess, Letizia, will become queen. And by the way, we mention this with some affection and good memories: she used to be

an anchor for CNN Plus.

Al Goodman joins us live from Madrid with more. And Al, I gather what is ahead will be a very dignified but understated kind of ceremony. Can

you walk us through what we're about to see?

AL GOODMAN, CNN MADRID BUREAU CHIEF: Hi, Jonathan. Two days of historic change in Spain is unfolding at this hour. We're on day one, act

one. King Juan Carlos has just pulled in with his motorcade to the royal palace, that's the official seat of the kingdom, and he is about to sign

the law of his abdication.

And when that law takes effect in a few hours at midnight, Thursday, local time, Felipe VI, his son, will be the new king of Spain, and his

wife, Princess Letizia, a commoner just ten years ago, will be the queen of Spain.

Now, there's all sorts of attention to this event, and certainly a lot of it on the princess. We're taking a quick look at her story.

(BEGIN VIDEOTAPE)

GOODMAN (voice-over): She's the focus of attention in Spain. Princess Letizia, who's moving up this week to become queen of Spain.

(PRINCESS LETIZIA SPEAKING SPANISH)

GOODMAN: Here, presiding over the first edition of the National Fashion Awards.

(APPLAUSE)

GOODMAN (on camera): Letizia Ortiz has long been know as fashionable and in vogue, even before she became a princes.

(LETIZIA ORTIZ SPEAKING SPANISH)

GOODMAN: More than a decade ago, she was a television journalist, even working for a while at a CNN partner station in Spain.

LETIZIA ORTIZ, CNN PLUS: Letizia Ortiz, CNN Plus, Madrid.

GOODMAN: Then, she met Crown Prince Felipe, heir to the Spanish throne. Their wedding ten years ago, seen as a fairy tale. She a commoner

and divorced in predominately Roman Catholic Spain, yet still marrying into the royal family.

She's adapted to royal life, representing Spain at numerous events, a largely ceremonial role, while the elected government runs the country.

But it has not all been a fairy tale, says this journalist who covers the princess.

BEATRIZ CORTAZAR, ABC NEWSPAPER (through translator): The worst part for the princess has been her own family, a very difficult situation.

GOODMAN: Her youngest sister committed suicide seven years ago, just as they were starting their own family, with two daughters. In recent

years, various scandals have hurt the royal family's popularity. King Juan Carlos, the head of state, has just abdicated, and Prince Felipe will

become king. The scandals have not personally tarnished the prince and princess.

Back at the fashion awards, this designer, who says the princess buys her handbags, is confident Letizia will do well as queen.

ANA CARRASCO, FASHION DESIGNER: She really knows about life and what happens to people in normal life. So, it's also going to be good for all

of us.

GOODMAN: Just last month, the couple stood in line for tickets for the screening of an Orson Welles classic movie, and then sat right down in

the middle of the crowd. Analysts say getting close to the people may help them restore the monarchy's reputation. While a big part of the focus is

sure to remain on her as queen.

(END VIDEOTAPE)

END