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Quest Means Business
World Cup Crime; World Cup Latest; Violence in Iraq; Ukraine Readies for Gas Shutoff; Pressure on the U.K.
Aired June 13, 2014 - 16:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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RICHARD QUEST, CNN HOST (voice-over): Extremely busy week. The Dow Jones eking out a little gain. Well, it is, after all, it is Friday. It's
the 13th of June.
Tonight a World Cup warning: the head of Interpol says he's very concerned about match fixing and illegal gambling at the World Cup.
Oil supply woes: supply's in trouble, prices are up and a former French prime minister tonight, he tells me Europe's dead.
Tonight live from the French capital, I'm Richard Quest where, of course, I mean business.
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QUEST: Good evening tonight, the world's top policeman gives us an exclusive warning. He tells me he's very concerned about the possibility
of match fixing and illegal gambling in the World Cup.
Interpol is sending teams to Brazil and major cities around the world, notably in Asia, where they're hoping to crack down on illegal betting. It
pays out hundreds of millions of dollars a year and now they fear there could be a dramatic increase with the events taking place in Brazil.
Interpol's secretary general Ron Noble told me the potential for profit is huge. And he's determined that this year's World Cup will be
clean.
(BEGIN VIDEOTAPE)
RONALD NOBLE, INTERPOL SECRETARY GENERAL: I can assure you that right now, while the World Cup is underway, there are organized crime groups
engaged in illegal betting and with illegal betting there's a greater likelihood that there could be an influence on the outcome of the match or
an influence on what happens on the pitch based on a bribe or some kind of corrupt act.
QUEST: In this World Cup?
NOBLE: In this World Cup. And the first time you think that it won't happen because it's too great of an event, it's too important is when
you're in trouble. And that's we at Interpol, we have a team deployed to Brazil to help the Brazilians. We have teams deployed around the world
with regards to organized crime groups engaged in illegal match fixing. And we recognize that you've got to be vigilant.
Betting has been around forever. Illegal betting has been around forever. You've got to remain vigilant.
But if -- illegal betting's one thing. But illegal betting on an outcome involves one of the players or officials or one of the participants
to be involved.
NOBLE: Yes. And that's why we have to think -- we have to think about match fixing differently. It's not just the outcome anymore. It's
what happens on the pitch, a penalty, which team kicks the ball out first, the first corner kick. There are all these things that they're betting
millions of dollars on.
So it's no longer just the outcome. It's what happens on a pitch, was it authentic. Was it real or was it influenced? That's what our concern
has to be. That's how we define match fixing in the 21st century.
QUEST: Do you believe that somewhere in this World Cup -- never mind the illegal betting per se -- I'm talking now about participants in the
World Cup, players on the field, officials regulating the game.
Do you believe that there's a possibility that one of those players or one of those officials or somebody involved is going to be involved in
something nefarious?
NOBLE: Do I believe there's the possibility? Of course there's a --
(CROSSTALK)
QUEST: A likelihood.
NOBLE: Do I believe there's a likelihood? I don't know whether there's a likelihood or not. I'm not a -- I don't predict the future. I
just know what's happening in terms of the real world.
QUEST: Might I suggest you're looking at the wrong people when you're talking about corruption?
Shouldn't you be looking at FIFA itself? I mean FIFA itself is well and truly enmeshed in a controversy, rightly or wrongly, over corruption
and the awarding of the '18 and '22 World Cup, particularly the '22 World Cup.
Shouldn't you be looking at that as well?
NOBLE: FIFA has put in place an investigative mechanism to determine what happened with regard to the awarding of the 2018 and '22 World Cups,
one of the most proficient respected former prosecutors, investigators in the world, Michael Garcia, is conducting some investigation.
I've been reading a lot in the newspapers and on the media about FIFA being suspected of X or Y or Z. And I say let the investigation run its
course. And when the investigation runs its course, let us look at the evidence and see what happened.
QUEST: So. Let me ask you then just to push a bit further on this.
What would you -- what standard, what would call on FIFA now to do as a result of these allegations?
What standard do you expect them to uphold?
NOBLE: I expect them to support the investigation that's underway, an independent investigation. I expect that investigation to be given all the
resources it needs. And I expect the conclusions of that investigation to be respected.
QUEST: Held them to what? To the highest standards?
NOBLE: To the highest standards.
QUEST: However that might fall out?
NOBLE: However that might fall out.
QUEST: Because --
NOBLE: Because if there's an independent investigation that's going to come up with conclusions and because I know the quality of the person
conducting the investigation. I know his integrity. I know that thoroughness. I'm saying whatever his report concludes should be
respected. Whatever it recommends, it should be respected.
What that is specifically, I don't know.
QUEST: But you have faith in this investigation?
NOBLE: I have --
QUEST: There are a lot of people who don't.
There are some people who suggest the terms of reference have been -- are quite narrow and the most recent allegations won't be investigated. So
there are quite a few people saying that the -- to use a -- forgive the analogy -- but the rules of the game have been gerrymandered.
NOBLE: OK. So I'm a former prosecutor. I'm an evidence professor. I'm the secretary general of Interpol. I know how thorough investigations
are conducted. I know how independent investigations are conducted and I know the terms of reference that this investigator has.
So I have 100 percent confidence that this investigation is authentic, independent, thorough and whatever findings Michael Garcia comes up with, I
believe all of us should respect.
(END VIDEOTAPE)
QUEST: Now the FIFA and Interpol are working closely together on this problem and these issues. It's called the "Turn Back Crime." The
secretary general even given me a hat to wear on suitable occasions. The organization Interpol's already partnered with stars alike Lionel Messi in
their wider effort to combat crime. We'll more from the secretary general later and indeed some next week.
The game between Spain and the Netherlands is underway. Amanda Davies is in Rio.
And I have a vested interest in this game, even though I'm absent from New York. The team told me that I have -- that the Netherlands has been
plucked out of a hat on my behalf.
So how am I doing, even before I've begun?
AMANDA DAVIES, CNN CORRESPONDENT: Well, you're still in it, Richard, I should say. Yes, this night, Spain-Netherlands are giving the match of
the group stage. It's a repeat of the final from four years ago, you might remember, which Spain won to lift the title in South Africa 2010. It was
always going to be a pretty feisty affair. There's a lot of history between these two sides.
There were 12 yellow cards and one red handed out in that final in South Africa. And it's been pretty lively in a very wet and soggy Salvador
already. They've just resumed in the start of the second half. It's 1 apiece; Xabi Alonso putting the defending champions ahead after27 minutes
from the penalty spot. And then there was the most incredible kind of swallow dive header goal over the Spanish keeper from Robin van Persie just
on the stroke of halftime to draw things level.
Spain, Richard, looking to become the first defending champions to successfully retain their title in 50 years here in Brazil and it's a real
shame, I have to say, that despite the big billings for this game, the incredible wealth of talent on display in the pitch, there are a large,
large number of empty seats there in Salvador. But it's set to be a fantastic remaining 40 minutes or so.
QUEST: Empty seats on such an important or major event. A shame indeed.
Now Amanda, there was some -- there was some questionable calls in the other match of the day, Mexico and Cameroon. And there was some rather --
well, one side wasn't very happy. Tell me more.
DAVIES: No. Sadly it is the story of the officials dominating the tournament so far. The first game of the day was the second match from
Group A, of course, the same group as Brazil-Croatia, who kicked off the tournament yesterday.
Mexico recorded their first win ever over an African side at a World Cup finals. They beat Cameroon 1-0. It was Oribe Peralta, a young 20-year
old who scored the match-winning goal after 61 minutes. And he really has been a star for his side over what's been a very tumultuous couple of
years. He scored the decisive goal when they won the Olympic title in London in 2012. He scored five goals in just games in the playoffs to get
them to this World Cup finals.
But before that had taken place, there were two disallowed goals for Mexico. Twice they had the ball in the back of the net. Giovani dos
Santos, once with his feet, once with his head, but the linesman judged to -- judged that they were both offside. Television replays show that really
wasn't the case.
And of course that follows the controversial penalty that was handed out by the Japanese official in the opening match to Brazil against
Croatia. It led the Croatian boss to say that he feels his side should just give up, go home and play basketball.
QUEST: Well, that's one way of looking at things. Amanda Davies, who's in Rio, we thank you for that.
Now when we come back in a moment, President Obama is quite clear: there will be no U.S. troops on the ground, even as unrest and violence in
Iraq continues. We'll bring you that after the break. QUEST MEANS BUSINESS: we're in the French capital. We're in Paris.
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QUEST: Now as President Barack Obama said today on Friday that he will not send combat troops to Iraq. The U.S. is considering its response
and options to help Iraq fight against attacks by Sunni militants. The president warned military support from the U.S. will not make a major
impact unless the Iraqi government mends its deep political divisions.
Violence continues to spread across the map of Iraq. Fighting was reported in several cities. In Diyala province in the east, as insurgents
press on towards Baghdad. This video says to show ISIS fighters parading through towns in the Diyala region.
Our senior international correspondent is Arwa Damon. She joins me now from the Northern Iraqi city of Erbil in Iraq.
Arwa, now look, you and I spoke last night. But the president says he's not even contemplating troops on the ground. The situation in Iraq is
deteriorating. The U.S. says they want the Iraqi government to do more.
I can't see how this is a very satisfactory ending.
ARWA DAMON, CNN CORRESPONDENT: It's not a satisfactory ending. In fact, all indications are, at least in the words of one Iraqi politician,
heading towards a complete and utter catastrophe. You have the ISIS fighters basically moving in what can be considered to be something of a
Sunni beltway as they make their way toward the capital, Baghdad. Along the way, not just ISIS fighting, although they are the group that is in the
spotlight. But alongside them, former Sunni insurgent groups that were very prominent during the U.S. occupation of Iraq, fighting not because
they believe in ISIS as end game of the establish and (INAUDIBLE) a caliphate, but because they do feel that this is an existential battle and
they do need to make a stand against the predominantly Shia government of Nouri al-Maliki. A lot of Sunnis placing the blame directly on al-Maliki
himself, saying that it was his polarizing policies that led the country down the current path that it finds itself in.
The Shia, for their part also trying to ramp up support, various calls from Shia mosques, from leading Shia clerics, for volunteers to join the
Iraqi security forces. Iran even at this stage, according to an intelligence source, getting involved as well, sending in several units of
its elite special Revolutionary Guards force to fight specifically in Diyala province.
According to --
QUEST: Right.
DAMON: -- police official that CNN spoke to in Diyala itself, ISIS managing to take over three more villages at this stage. But the Iraqi
government launching an airstrike according to state television that they say killed 70 ISIS fighters, Richard.
QUEST: Arwa Damon, many thanks. I don't think anybody would disagree with either of us tonight when we describe that as what a mess that there
is there and we'll talk more about that next week, now Arwa Damon.
One of the effects we are starting to see, of course, is on the energy markets. The price of crude oil is now at its highest that it's been in
nine months. It's just shy -- this is the West Texas -- of $107 a barrel. Brent crude, though, down slightly for the day at $112.73.
President Obama says he's working on contingency plans if oil supplies are disrupted.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: One of our goals should be to make sure that in cooperation with other countries in the region, not
only are we creating some sort of backstop in terms of what's happening inside of Iraq, but if there do end up being disruptions inside of Iraq,
that some of the other producers in the Gulf are able to pick up the slack.
So that'll be part of the consultations that'll be taking place during the course of this week.
QUEST: The International Energy Agency says supplies of Iraqi oil are not at an immediate risk. The agency also says 60 percent of OPEC's oil
production growth over the next decade will come from Iraq.
Antoine Halff is the head of the oil industry markets at the IEA and he joins me now.
Good evening to you, sir.
ANTOINE HALFF, IEA: Good evening.
QUEST: Good evening.
Whichever ways you look at it, it's not good for the sentiment of the market. Now, I mean, never mind -- God helping the poor people involved
for the oil industry, the risk must be on the downside.
(CROSSTALK)
HALFF: Sure. I mean the thing is --
QUEST: -- this was on the upside, yes.
HALFF: OK. Well, the thing is, so far, there's been no production at risk because the fighting has been in the northern and central region and
all of the production from Iraq recently has been rising, has been coming from the south.
So as long as the fighting doesn't spread to the south, there's no immediate risk of disruption. In fact, the northern supply has been
disrupted --
(CROSSTALK)
QUEST: But if there is a disintegration of the political union or a partition or anything like that in Iraq, then we're into a different game.
HALFF: That's exactly why the price is going up today. It's not going up because there's less barrels in the market today; it's going up
because of concerns about what an escalation with the future of Iraq will look like, given this -- the developments and the prospects for resolution
in the future.
QUEST: Now we always talk about the summer season, the driving season in the United States, which is now underway. But I suppose on the plus
side, if you look at supply, if you look at the reserves, they are quite good.
HALFF: Well, it's really a two-sided market. So you have in North America, you have a tremendous increase in production from light oil, from
shale and so on. Same in Canada with oil sands. There's a prospect of writing (ph) supply in Brazil. But if you look at the traditional center
of the market in the Middle East and North Africa, there the situation is deteriorating rapidly. Problems in Iraq but also problem in Libya, in
Syria and so on.
QUEST: So what does this mean for supply, reserves, oil stocks?
HALFF: The stocks have been draining, but they've been rebounding the last two months. So we're not tight. The market's not tight.
QUEST: The market's not tight. But I keep coming back to this fundamental point, that at any given moment things could get very nasty.
Would you agree?
HALFF: I agree. But the fundamentals is that there's a dramatic shift in the way the market works. We're no longer depending on the Middle
East as much as we did in the past. We do and we will in the longer run. The oil shale and the newer developments will not suffice in the longer
term.
QUEST: But shale is a factor -- because I remember the IAEA's report last year, exactly on this point.
HALFF: Right. It's changed everything. So it changes the situation in the U.S. It changed the situation in the Western Hemisphere. It
changed the perception of the market.
The risk is rising in the Middle East. But there's more security coming from the OECD markets (INAUDIBLE).
(CROSSTALK)
QUEST: So when we talk about countries like France and we talk about European countries that have banned or are in the process of restricting
shale oil -- and we're not getting into a debate, by the way, on that -- just purely from an economic, purely from a production point of view, they
are putting themselves at risk in a sense.
HALFF: (INAUDIBLE) because from an environmental standpoint they are against it. But from an economic or an energy standpoint, they're
attracted by it.
QUEST: Thank you very much indeed, sir. I appreciate it very much. Good day. Thank you for coming in and putting that.
Now we're going to stay with oil and we're going to stay with the energy problems in Europe.
Ukraine's prime minister has told the country to prepare for Russian gas to be turned off on Monday. Now the head of Ukraine's gas company,
Naftogaz, says a compromise with Russia is still possible and that his company is ready to sign a deal.
Andriy Kobolev is the chief exec of Naftogaz. He joins me now from Kiev.
Mr. Kobolev, have you and are you in a position tonight to say whether you've paid the money you owe to Gazprom or it will be paid by late Monday
night?
ANDRIY KOBOLEV, CEO, NAFTOGAZ: It won't be paid because as a position of Gazprom so unconstructive and I would say even aggressive, that Ukraine
does not see any reason to pay disputed amounts of unpaid invoices. We've already basically paid the whole amount which we believe were undisputed
over and delivered the undisputed price.
That was the first move that we did in order to unlock negotiations as Russians requested. We've been negotiating for one week for a price at
commercial level and that then this week, Russian Federation came to ask back --
QUEST: Right.
KOBOLEV: -- no. We are not accepting commercial negotiations. We are ready to discuss some discount.
And that discount basically --
(CROSSTALK)
QUEST: Putting it that way -- well, well, that --
KOBOLEV: -- not do it, neither of European countries.
QUEST: Sorry but -- forgive me. So we have a very bad delay between me here in Paris and you in Kiev. So I do apologize if it seems like I'm
interrupting you.
What -- I know that there are talks planned between Russia, the European Union and yourselves.
What hope for the gas to keep flowing in Ukraine from next week?
KOBOLEV: The hope is very simple. European Commission has made a compromise proposal that Ukraine is prepared to accept. So we do not
establish final price. We have interim price, which is between -- which is just a simple -- between of two prices, one Ukrainian price, second Russian
price. Ukraine is prepared to carve a debt at that price. And Gazprom should be prepared to supply gas in this price until those final
settlements either in court or solicitations (ph).
We're ready to accept that. Russians are not ready as far as we know. That might change during the weekend, but we are not sure.
QUEST: And how far are the plans coming along for a reverse speed to actually get gas back from other European countries, from Russia through
these other European countries, because in the long term, that could be one of the only ways you will get gas in the short term.
KOBOLEV: I would say not only reverse flow. I would also say that we are taking supplies of gas from European countries. And that gas does have
particular residence, I would say.
Now we're overtaking almost maximum amount. We can achieve through existing pipelines. However, we expect to increase that amount through
Slovakia (ph), through the small reverse option. Maybe large option of flow from Slovakia will be unlocked as well, as that could save Ukraine
fully.
QUEST: Sir, thank you very much for joining us. I appreciate it. Joining us from Kiev tonight and again I apologize for the delay, which
could often seem like one's being rude and interrupting our guests. But it does look sort of, by the time it goes from me to there to there or back
again, so I apologize if it sometimes appears that way.
When we come back, now look, it's one thing for the people to say some strong language about the future of Europe. But when a former French prime
minister says Europe is dead, you've got to take notice. You'll hear from Michel Rocard after the break.
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QUEST: Now an extraordinary story. Welcome back to QUEST MEANS BUSINESS. We're live in Paris for you tonight.
A former French prime minister is telling Great Britain to get out of the European Union for the good of the European Project. No, I jest not.
Michel Rocard wrote in "Le Monde," "So go before you wreck everything. There was a time when being British was synonymous with elegance. Let us
rebuild Europe. Regain your elegance and you will regain our esteem."
Michel Rocard's also accusing Britain's prime minister, David Cameron, of pretending to want to leave the E.U. Mr. Cameron's already promised a
referendum on whether to stay in the union. He says he doesn't want to leave.
(BEGIN VIDEO CLIP)
DAVID CAMERON, PRIME MINISTER, GREAT BRITAIN: I've a very straightforward approach, which is I want Britain to stay in a reformed
European Union. That is my goal. That is what I think is best for Britain and I think is best for Europe as well. Now the decision about whether to
stay in Europe or to leave Europe will be for the British people in a referendum by the end of 2017. And obviously the approach that the
European Union takes between now and then will be very important.
(END VIDEO CLIP)
QUEST: One of the issues, of course, very much deciding or at least leading the way on that is the decision, who will be the next European
Commission president taking over from Jose Manuel Barroso? Will it be Jean-Claude Juncker, whom Mr. Cameron opposes but many of those, including
Angela Merkel, are in favor of?
I spoke to Michel Rocard, the former French prime minister. And I asked him why was he being so strident? Why was he calling on Cameron and
he and the British to go?
(BEGIN VIDEOTAPE)
MICHEL ROCARD, FORMER FRENCH PM (through translator): Today, Europe is dead. We try and do business, but today Europe does not exist in
Africa, does not exist in the Middle East at a time when serious jihadist state is being created, state of terror. Europe does not exist in East
Asia, where there's a threat of war. There's no Europe.
QUEST: What would your message to Britain be now tonight?
What would your message be?
ROCARD (through translator): My message to Great Britain, my dear British friends, you're a big population. You invented democracy. You
invented Parliament. You invented habeas corpus and human rights. We're grateful to you. We owe you a lot. You helped us be free 70 years ago.
We owe you our friendship. But we, the continentals, cannot bear this weakness, this division which is making us disappear from the world.
We want to survive together, not for my grandchildren. I'm frightened of a lack of leadership in Europe. You're going to break our friendship
because of these misunderstandings? You want to leave? So do it, elegantly.
QUEST: So go? So go?
ROCARD: With our friendship and the preservation of yours.
(END VIDEOTAPE)
QUEST: Strong language from Michel Rocard, who once or perhaps is hoping or maybe just speculating on Britain leaving the European Union.
When we return after the break, more from the head of Interpol. We'll be talking to Ron Noble who will be giving us his views why more countries
are not using the lost and stolen passport database following Malaysia MH370. We are in Paris this evening where I can tell you absolutely
glorious, clear, warm early summer evening. And the French capital has rarely looked so beautiful. "Quest Means Business." Good evening.
(COMMERCIAL BREAK)
QUEST: Hello, I'm Richard Quest. There's more "Quest Means Business" from Paris in a moment. This is CNN, and on this network, the news always
comes first. Iraq's top Shiite cleric is urging civilians to join the fight against advancing Sunni militants. His representative delivered the
message in the holy city of Karbala. Also today, CNN learned Iran has sent elite troops to fight alongside Iraqi forces in a province near Baghdad.
President Obama says he will not send combat troops to Iraq. The U.S. is considering other options to help the country. The President warned
military support will not make a major impact unless the Iraqi government mends its deep political divisions.
United States Army Sergeant Bowe Bergdahl has returned home early on Friday. He's said to be in a stable condition and he was able to walk into
hospital without assistance. He is due to undergo more tests in the next few days.
The world's top policeman says he's very concerned about match-fixing in the World Cup. Interpol's sending teams around the world to crack down
on illegal betting which he says can lead to bribery and attempts to influence the game. Speaking to me early, the Interpol secretary general
told me he's determined to keep the World Cup clean.
(BEGIN VIDEOCLIP)
RONALD NOBLE, INTERPOL SECRETARY GENERAL: I can assure you that right now while the World Cup is underway, there are organized crime groups
engaged in illegal betting and with illegal betting, there's a greater likelihood that there could be an influence on the outcome of the match, an
influence on what happens on -
(END VIDEOCLIP)
QUEST: Meanwhile on the pitch, Mexico beat Cameroon 1-nil in their opening game in group A. Oribe Peralta scored the winner after 61 minutes.
Spain has just got another goal against Netherlands who were trailing the score indolays (ph) 4-1 in the middle of the second half. Live pictures of
course from the fan zone as we continue to monitor the events of Spain versus the Netherlands.
Returning now to our exclusive interview with the secretary general of Interpol. One of the major issues resulting from Malaysia Airlines flight
370's disappearance was the discovery that two passengers on board were traveling on stolen passports and that they hadn't been checked because
Malaysia did not use Interpol's database of lost and stolen documentation. I asked the secretary general whether following the MH370 revelations, more
countries were now using the database, and quite simply, if so many weren't, why not?
NOBLE: It's a question of bureaucracy and it's a question of lack of political commitment, there's a question of competitiveness between police
and immigration authorities but it's not an issue of money, it's not an issue of technology.
QUEST: Are you prepared to say now that it's a disgrace that those countries don't?
NOBLE: I'm prepared to say that there is no excuse for any country not to screen Interpol's database before allowing someone to enter their
country with a passport. And I can't for the life of me understand why something so cost-effective, so practical that citizens expect to happen
isn't happening. And I - what's more shocking, it's not happening not only in the countries that are poor or developing, but also in the countries
that are considered the richest and most powerful.
QUEST: Tell me.
NOBLE: For example, Germany is the most shocking example for me. One of the world's busiest airports, police very, very affected, immigration
very effective, a country committed to keeping its citizens safe and yet they don't screen our database.
QUEST: Which other countries? Which other developed countries that you would expect?
NOBLE: Well, I can flip it around. I can tell you the countries that are doing it. And I can say number one in the world is the U.S., then the
U.K., then UAE, then Singapore and other countries. So there are ten and we have 190 countries. And besides those ten, just about every country you
can think of is not doing it on a systematic basis.
QUEST: (Inaudible.)
NOBLE: Let me finish. Since - that makes 370, two countries that hadn't been doing it before on a systematic basis are Netherlands and
Korea.
QUEST: But if you're right, the vast majority of OECD countries are not the vast majority of E.U. countries or not?
NOBLE: The vast majority of OECD countries are not, the vast majority of E.U. are not and more shocking, the vast majority of Schengen countries
are not. And there's simply no reason. I mean, if you think about the Schengen system, the purpose is that you're only as strong as your weakest
link. If you cross one Schengen country with a passport that's been reported lost or stolen in our database and you're able to move throughout
the Schengen system, and yet it's so easy - and that's why MH370 at the time, the two passengers with a stolen passport were stolen Italian and a
stolen Austrian passport - what were the destinations? Netherlands. At the time they weren't screening our database. And Germany. Still not
screening our database.
These criminals know. They know where to go. They know where the weak links are and they're exploiting them.
QUEST: You're being rather crafty, Secretary General. You're going around the back of governments and official agencies, aren't you? You're
going through private industry, private sector. You're saying, `Well listen, Government, with your eye jacket (ph), if you're not going to do
it, the airlines will, the hotels checking in will. We'll find other people that'll check these passports.
NOBLE: I'm not trying to be crafty, I'm trying to do what I believe all of us want to do. I'm going to the people who have as great an
interest as the governments in making sure that airlines are safe, airplanes are safe and countries are safe. So if the governments are not
doing what they're supposed to be doing to protect our borders, I'm asking the private sector would you like to have more resources in order to make
sure the person that's getting on your plane is who he or she purports to be and is not someone carrying a stolen and lost passport.
QUEST: It's controversial to get the private sector to do something that government should be doing. You can admit that.
NOBLE: I don't believe it's controversial at all. I believe around the world whenever governments are having problems providing security for
citizens or businesses, citizens and businesses put private sector means in place - either by businesses or homes. I believe it's perfectly consistent
with what makes sense to keep someone safe.
QUEST: It's not just about getting airlines to check databases as well. It's much broader than that, it's core to what you were doing as
Secretary General and what Interpol's doing.
NOBLE: I check - its broadest goal is to deter people from stealing passports from individuals traveling internationally. Passports are stolen
because they are used as identity documents to board planes, open bank accounts and go into hotels. To the extent we're able to screen them like
we screen credit cards, we're able to reduce a likelihood that organized criminals, human traffickers and terrorists can move through the world
using passports that are reported lost or stolen. So it is much broader than just a simple screening. The goal is to deter serious criminal
conduct.
(END VIDEOCLIP)
QUEST: That's the secretary general of Interpol, Ron Noble talking to me earlier. And now I believe whilst we've been on air, more goals have
been scored. Spain 1, the Netherlands -- I'm just going to make sure that I get this right - 5. Just making sure - 5-1 is what I'm being told which
is quite a most remarkable score. It's 5-1 to the Netherlands in case you're about to fall off your chair when you think about the two teams
involved. And we will be hearing more about that as we continue.
Now, if you're trying to get around France over the next few days or over the past few days, you've been in some serious trouble because there's
a major national railway strike. In fact, industrial relations are in a very bad way in France at the moment, a bit like the economy. After the
break, we'll be talking about have the wheels finally come off the Hollande wagon.
(COMMERCIAL BREAK)
QUEST: Francois Hollande is demanding a firm end to one of the worst rail strikes to hit France in many years. Labor unions are refusing to
give in, they say a reform moving through Parliament will harm working conditions and they're demand the French government help take on some of
the rail system's debt. The strike is particularly disruptive because it comes during the end of year exams for French students. A member of the
Sud-Rail Union Fabien Villedieu had this to say.
(BEGIN VIDEOCLIP)
FABIEN VILLEDIEU, MEMBER OF SUD-RAIL UNION, VIA TRANSLATOR: They present a bill on the eve of high school exams. What were they thinking?
That we wouldn't do anything? That we wouldn't go on strike and kindly apologize? We didn't fix the agenda ourselves, the government did.
(END VIDEOCLIP)
QUEST: The international diplomatic consultant Christian Malard is with me now.
CHRISTIAN MALARD, INTERNATIONAL DIPLOMATIC CONSULTANT: Good evening. * QUEST: Why are the railways on strike? Is this a - I mean, they've got a socialist, they've got the man they want in the Elysee Palace. Why
are they striking against him?
MALARD: There is a culture of strikes in this country. And today for the first time I heard a unionist from CFDT which is left wing saying it's
enough of this culture of strike in France. We need to get modernized to adapt ourselves to the world. And we don't. And we are going to die.
QUEST: But everybody knows that France needs to make these modifications. Even Hollande agreed that they had to take place.
MALARD: Yes, but Hollande is not followed by the people in this country. We are in full political turmoil, social turmoils in this
country. The government is not handling the situation. Economy is worse, the sheve's (ph) in very bad shape, the rate of unemployment, as you know,
Richard, is very high. Nothing works in this country.
QUEST: Oh, now, now, you're sounding very extreme here.
MALARD: No, no -
QUEST: Does nothing (ph) seems to be working?
MALARD: No, no. We can't look at the appearances. It doesn't work with the socialist government. It's a total failure after two years in
power. The right wing is not doing better - it's in full crisis with financial scandals. This country goes straight into the wall.
QUEST: And this is the problem because this is the moment when Sarkozy, if he runs again, should be at his strongest to be able to say to
the French people, `I told you so. Now I'll rescue you.'
MALARD: Sarkozy's probably ready to come back on the political scene but at the same time he has to know he has many enemies inside his own camp
at the UMP, the right-wing conservative party.
QUEST: Right.
MALARD: He want the easy way for him.
QUEST: Now, what about Christine LaGarde at the IMF? Now here we have Christine LaGarde. I assume that if she decided she wanted to go for
the European Commission, she might get some support or maybe not.
MALARD: Surely she might get some support, but according to what I understand, and you know that better than I do, I think she denied that she
-
QUEST: Yes.
MALARD: -- would be - she denied -
(CROSSTALK)
QUEST: They always do until they join in.
MALARD: Yes, but --
(LAUGHTER)
QUEST: They always do.
MALARD: All right. Very often. She denied until now, but as Mr. Juncker is not the favorite of the British and Mr. Cameron there was a big
fight between Angela Merkel and Cameron on Juncker. Maybe she might be the solution - having a good woman with a lot of experience at the IMF in
Brussels might help.
QUEST: Right. Finally, when we look at the strikes and we look at the summer - because one of the things about Frances', you know -- the
unions know exactly the right moment to grab the country -
MALARD: Oh yes.
QUEST: -- (inaudible) and we're heading to that summer.
MALARD: Hostage. Hostage, hostage ---
(CROSS TALK)
MALARD: Hostage by the union.
QUEST: Yes.
MALARD: Summer vacation, long weekend and it is the same way all going with same kind of game going on all around the time. And I think a
lot of part - a big part of the French population is really fed up with that. Fed up with the government, fed up with the right wing, fed up with
everything. This is France, Richard.
QUEST: We are not fed up with you, sir. It's always a treat and a pleasure to have you on this gorgeous evening.
MALARD: Yes.
QUEST: Now, the European markets - well they were certainly not gorgeous with the way they traded throughout the course of the session.
They were all down - look at the numbers, make your own judgments. London FTSE down nearly 1 percent, the Xetra Dax and the CAC coros (ph) here in
Paris down. The Bank of England says the U.K. could raise interest rates sooner than expected. The pound climbed against the dollar to the highest
level in years. On the news, S&P has revised the outlook on the United Kingdom from negative to stable and affirmed that triple A long-term credit
rating. You'll remember of course other ratings agencies have not given the U.K. They've actually downgraded the U.K. in previous years.
To the United States where Wall Street came to a close just within the last hour - modest gains for the Dow. Very modest indeed. When the bell
rang, the Dow Jones went down 38 points - up 38 points, I beg your pardon. Me downs have become me ups. And if you look at the graph, you'll see it
was a bit of a choppy session, but by and large, closing up 38 points. The S&P finishes down for the week on worries about conflicts in Iraq.
Today has been one of those spectacular days in Paris where spring turns into summer and the temperatures are just perfect. Jenny Harrison at
the World Weather Center.
JENNY HARRISON, WEATHER ANCHOR FOR CNN INTERNATIONAL: Well, I'm glad you're enjoying the weather there, Richard. Some pretty good weather you
say where you've been. Not likely great weather for this match which is nearly over. They 5-1 the score right now, that's 5 to the Netherlands
against Spain. And as for the weather, it was fairly mixed throughout that particular match. And of course we've got another game coming up in, what,
about an hour and ten minutes time - local time. And that is of course the game Chile versus Australia.
But what you can see on here - this is the forecast over the next 48 hours. Now, quite a bit of rain along these eastern coasts in Brazil.
That for certain will continue to add up as well in some areas. But let's have a look then at game matches on Saturday. Now first of all, the first
one of the day, 1 o'clock local time, Colombia against Greece. And this of course coming from Belo Horizonte, and we've got some pretty good weather
conditions there. Quite cloudy, 24 degrees Celsius, but it should stay dry. And that's not a bad temperature, particularly for that time of day.
However, not all matches are going to be quite so lucky. And, again, we could have some pretty heavy rain at times for the match Uruguay against
Costa Rica, this one coming from Fortaleza. And that's at 4 p.m. local time, 28 degrees Celsius, so a little bit warmer than the other game - 28.
It's pretty hot of course for playing a football match. But then we head up to Manaus, and despite the location, we might expect to see some rain.
It actually should be a pretty good, clear evening.
Italy of course against England, 29 degrees Celsius, and that is at a local time of 6 p.m., so pretty warm, particularly for that time of the
day. And then the last match on Saturday is in Recife and that is at 10 o'clock local time, Ivory Coast against Japan at 26 degrees Celsius. But
again, it could be one of those games where we actually have some rain throughout the match. So we'll have to see what bearing that has. But as
I say, some locations in the next 48 hours actually picking up quite a bit of rain. Just as well we've got a match in Porto Alegre in the next 24/48
hours. Because 94 millimeters will accumulate there, and you can see, just sort of trace amounts elsewhere along the coast.
Been pretty lucky in the golf. Of course across the U.S. Open - it's day two. The rain has been coming through. It's actually stayed either
side of the golf course in Pinehurst. Oh, we've lost the current conditions - but it's about 30 degrees Celsius under fairly cloudy skies.
And then for Saturday and Sunday, similar sort of weather conditions. Just the outside chance of parting shower or thunderstorm, and that'll generally
crop up of course in the afternoon. Quite a bit of rain around as we head through the next 48 hours. Some showers pushing through New York and
Washington in the next 24 hours, but pretty warm - 26 in New York, 29 in Atlanta, and a pleasant 22 in Los Angeles. Richard.
QUEST: Thank you very much. Jenny Harrison at the World Weather Center with some very nice temperatures for some - perhaps a little toasty
for others. We will be talking to Angel Gurria of Brazil after the break. We'll be talking about the inequality in the Brazilian economy. This is
"Quest Means Business" in Paris, the city of lights. Incidentally, the reason it's called the city of lights - nothing to do with the magnificent
lights. It's all to do with the enlightenment in earlier years. That is why it was called the city of lights. Just thought you might like to know.
"Quest Means Business." Good evening.
(COMMERCIAL BREAK)
QUEST: Welcome back. I've got the final score of Spain and the Netherlands. If you were supporting Spain you will need a very stiff drink
this Friday evening - 5-1 to the Netherlands. I suspect this must be one of the first major upsets of the tournament - 5-1 to the - 5, yes! Count
them 1-2-3-4-5. One to the Netherlands in that match.
We've talked so much about the football and we've talked so much about the inequality. And when you consider how the World Cup got underway, and
you look at Brazil's levels of inequality, you start to understand why there was demonstrations and protests and why there's the possibility of
more of them in the days and weeks ahead. None of this was surprising to the Secretary General of the OECD, Angel Gurria. He can easily under - see
- how this all breaks down into protests.
(BEGIN VIDEOCLIP)
ANGEL GURRIA, SECRETARY-GENERAL, OECD: When Brazil was awarded these two events with the World Cup and the Olympics, all of Brazil was a big
party. Everybody was very proud and very happy. And of course now because of the world's recession, the crisis, unemployment. In some cases, Latin
America, in particular I'd say Brazil not the exception, a distribution of income a question of inequality, both real and perceived, that of course
made things even more difficult.
QUEST: And that's core, isn't it here? Because what you're seeing here is whether real or perceived, a feeling that they've been left out.
There is an underbelly of society that has been ignored and has not shared in the created wealth.
GURRIA: That is the main problem and you say real or perceived, and I would add to that, that both are very powerful, but there are numbers that
would support the fact that in the recovery, the numbers start to look better but many are left out. There is such a thing as jobless recovery,
we've seen it. Brazil had a slow growth period after a sustained high growth period, and then it kind of slowed and then it's picking up again.
It's going to look better this year, it's going to look better next year. But, there are some underlying social tensions.
(END VIDEOCLIP)
QUEST: That's Angel Gurria, the secretary-general of the OECD. When we come back, a "Profitable Moment" from Paris.
(COMMERCIAL BREAK)
QUEST: Tonight's "Profitable Moment" from Paris. What a sober warning from the secretary-general of Interpol. Illegal gambling, match
fixing, even the possibility of spot fixing events in the World Cup. No wonder Interpol is sending teams to Brazil and elsewhere to make sure that
things are according to plan. Hundreds of millions of dollars will be bet in the next few weeks. It's up to Interpol and the world's police to make
sure everything is as clean on the pitch, in the betting, oh and yes and don't forget in FIFA itself. And that's "Quest Means Business" for
tonight. I'm Richard Quest in the French capital, Paris. Whatever you're up to in the hours ahead, (RINGS BELL) I hope it's profitable. Good night
from Paris. Oh! Sparkles!
END
