FBI Investigation Fallout; Controversy Over Donna Brazile and Debate Questions; Commuter Headache; Clinton E-mail Controversy; Iraqi Forces



Questions; Commuter Headache; Clinton E-mail Controversy; Iraqi Forces

Poised to Enter Mosul - Part 2>

Blaine Graboyes >

gaining momentum.>

CNN; Media; Politics; Donald Trump; Hillary Clinton; FBI; Government;

Technology; Gambling; Business; Military; Iraq>

MCDOWELL: And with respect to your earlier guest what he was saying about Donna Brazile handing these questions to Hillary Clinton before these debates. It just, you know, it's inappropriate beyond that it's a big nothing and, you know what, that shows a blindness and a deafness to why people are completely outraged.

BARTIROMO: It's in here, it's in here. Should Hillary Clinton have said, "I don't want the questions? Somebody give me a question, I don't want these questions"

MCDOWELL: Yes. I don't want that --

BARTIROMO: Should she had given out a shout out?

MCDOWELL: Somebody in her campaign should have said that.

BARTIROMO: We're on a major presidential debate.

MCDOWELL: I don't -- We can't know this.


MCDOWELL: We can't know this. It's -- God forbid. Somebody in the Clinton campaign say, "Hey, that's too sleazy for us."

HILSENRATH: I just think --

BARTIROMO: I don't think that that will ever happen.

HILSENRATH: It looks so bad because it's pulling the curtain back for people and saying "Oh, that's way it actually works."


HILSENRATH: And it's confirming that it's -- that there's things going on behind the scenes that just aren't fair.

BARTIROMO: Yes. Yes. It's all good point. We'll take a short break. Still to come. Volkswagen starts to make amends for its emission cheating stand up. How drivers of the automakers diesel car can cash in? Then ISIS is looking is looking to do more damage as troops move in on Mosul. The chilling details on the terrorist group targeting children now. That's coming up. Back in a moment.


BARTIROMO: Welcome back, good Tuesday morning everybody. I'm Maria Bartiromo, and it is Tuesday, November 1st, just one week before Election Day. Your top stories right now, 6:30 a.m. on the East Coast, chaos on the campaign trail as the controversy over Hillary Clinton heats up, Donald Trump is on the attack.


TRUMP: Putin has no respect for her. He doesn't like her. He certainly doesn't like Obama. And I often say, wouldn't it be nice if we actually got along with Russia.

CLINTON: I just want to focus on three of the most crucial questions facing the next president, can you be trusted to command our nuclear arsenal and make literally life and death decisions about war and peace? How do you handle a crisis and do you know the difference between our allies and our adversaries?


BARTIROMO: What you need to know this morning before you vote just one week from today. Sickening new details after her roster report, ISIS is using teddy bear bombs to target children. The latest as Iraqi forces close in on the terrorist group.

And the deadliest weekend of the year for Chicago, details on the Grim Milestone, the city now has 600 homicides this year alone. The buybacks begin in the Volkswagen Emissions Scandal, today the company's mere $15 billion settlement that could take as many as 500,000 cars off the road.

Move over iPhone, new footage of apple's campus that has both employees and companies busiest as excited. And we are starting a new month on Wall Street and the delegates (ph) through down the S&P 500 coming off to their third straight monthly decline, Futures indicating the month begins on the upside. The Downtown industrial level is expected to be up today about 45 points. We've got earnings. We are looking forward to a job's number, end of the week.

And of course today, kicks off a two day that will reserve meeting. In Europe, the markets searching for direction a bit, as you can see, things are positive, FTSE 100 picking up some steam last half an hour up to 18 points, quarter percent higher across the Euro zone this morning.

In Asia overnight stocks mostly higher with the exception of Kospi, in Korea down just a fraction. And forget lock, the casino that is letting gamblers bet big on their video gaming skills, we will bring it to you.

We begin this top hour though with the battle for most on Iraqi counter- terrorism troops are now less than a mile away from the city. Iraqi Prime Minister even going as far as saying that they will cut the head of the snake to liberate those trapped inside Mosul. I want to bring in retired four-star general and Fox News military analysts, General Jack Keane.

General, good to see you, thank you so much for joining us.


BARTIROMO: Can you characterize things first? What are your thoughts on the U.S. advancement in Mosul today?

KEANE: Well, we're right on the cosmo (ph), the actual assault beginning to the inner city of Mosul with the counter-terrorism force which is actually ISIS is best unit. They lead the attack in the flow sure and the Ramadi both successful operations. These folks are trained by our special operation forces and they are by far. They are most credible and most experienced force.

As you indicated, they are less than a mile from the eastern side of the city, meanwhile the ninth division is moving to the southeastern part of the city and the 16th Iraqi division is moving to the northern part of the city. And also, as you have reported, the Shiite militia, some of them train body running and some of them clearly enemies of the United States, moving to a western city called Tal Afar which is about 45 miles west of Mosul that cut-off the supply lines.

There are no plans for them to enter the city because they usually get involved in revenge killings of Sunnis. So setting that table, we're here, the attack will begin within days. How long this will take? We don't know because it depends on the ISIS resistance but this is the toughest form of warfare.

It has not changed since World War II. This is about going block by block, building by building and eventually room by room to clear out an enemy. And ISIS, of course will use as many human shields as they can to protect themselves.

BARTIROMO: And one of those human shields are children. Apparently the jihadist militant group now hiding bombs inside of teddy bears and toy trucks. The bombs are intended for children and an adults who will walk straight past them, what do you make of this?

KEANE: Yeah, well this is terrific of course. And ISIS has clearly target a civilian population right from the time that they arrive in Iraq to compel them to their will. I mean they are brutal and impulsive and they're killing their people wantingly (ph).

For example, when it came time for these outer villages as the Iraqis were approaching them, ISIS forced many of them to leave to go into the inner city. Anybody that hesitated, any families, they just killed the families right on the streets including the women, the children. They left behind some of these teddy bears and toys for some families who were hiding. And we're not in their grasp and when they did come out in their minds, they would be further to be able to harass and kill these families up.

These are brutal fanatics as we all know. They will stop at nothing to accomplish their goals to be sure and that's why they have to be stopped and that's why they have to be killed or captured.

BARTIROMO: I want to ask you about the FBI and Russia in a second. But let me stay here for a second general and ask you this, is it a fair fight? I was struck earlier to read that just in Mosul, you're talking about 6 to 8,000 ISIS fighters even as some of them are moving back and forth into Syria. When you characterize the allies, the troops going in and trying to take back Mosul versus the actual ISIS fighters, is that a fair fight?

KEANE: Oh, yeah, most definitely. That they -- clearly the Iraqi army assisted by Taji Border Curves (ph), the Sunni travel force and the Shiite militia are clearly had the upper hand. They are a dominating force now. They rarely outgun ISIS. They've got this city literally surrounded. Given a restrictive rules of engagement, we are careful about not killing civilians. So ISIS hides a lot of their resupply and personal reinforcement in civilian vehicles. Unless we know for sure that that's an ISIS target, we will not shoot at it. They know those rules engagement as well as we do.


KEANE: So that's why we have to have people on the ground. You can't win wars from the air. But believe me, Maria, inside the city, our Apache helicopters pinpointed by troops on the ground, fighter aircraft and also AC-130 gunships will deliver very precise fires to help the ground forces overwhelm ISIS inside the city.

BARTIROMO: So now, let me move on to Russia, FBI director James Comey arguing in private that it is too close to election day to name Russia as meddling in the election. Obviously, that's not the way it played out during the final debate Hillary Clinton cited findings from intelligence agencies in regards to Russia interfering with the U.S. election. Listen to this and then I want to get your take on what Comey said.


CLINTON: This has come from the highest levels of the Russian government, clearly from Putin himself in an effort as 17 of our intelligence agencies have confirmed to influence our election. So I actually think the most important question of this evening, Chris is finally, will Donald Trump admit and condemn that the Russians are doing this?


BARTIROMO: I had not heard that before 17 agencies said that which she said on the debate stage. And then, this week we learned that James Comey, Director of the FBI says there is absolutely no evidence to support that Russia is interfering in election and actually behind these Wikileaks dumps, what do you think?

KEANE: Well, my take on this is that clearly Russian agents have been involved in all of this. And we know where the sources are coming from. And what part of this is part of there what they call CIA organization, FSP and the other is a Military Intelligence Unit. So we have that level of identity.

And I think inside the Central Intelligence Agency, because they are not speaking publicly, I believe who are monitoring all of this. I believe they would flat, tell our audience Maria that if those two organizations are involved on this, there is no doubt that, that permission to do something like that in orders to do it had to come from Putin himself because this is United States political process that they are attacking with the possible repercussions that could come of something like that.

So I think he's being far too conservative in statements about this and there are other intelligence agencies who are tracking as far as more deeply than he is in terms of the sources that clearly know that Putin in senior leadership have got the hands all over this thing.

BARTIROMO: All right, we will leave it there. General, good to see you, thank you so much.

KEANE: Good talking to you Maria.

BARTIROMO: General Jack Keane we appreciate your time this morning sir. Fox Business Network will be live this weekend all day Saturday and Sunday. Join us kicking off at 6:00 a.m. eastern right here with our special election coverage. We will be here 6:00 a.m. Saturday and Sunday.

Coming up Blackberry looking to Ford to stir with its new direction, the deal that could power the auto microsoft driving cars coming up next. And then take a look at this birds' eye view of the construction of apple features to campus captured by a drone, a drone camera, the timeline for the completion of the $5 billion complex, next back in a minute.


BARTIROMO: Welcome back, we are expecting a higher opening from the broader averages today. Take a look, the Federal Reserve move -- kicking off its two-day meeting today. We're expecting the DOW open up that 40 points as you see there. A couple of names on the move, we're watching shares of Blackberry, the company sending a deal for Ford model. The deal which is Blackberry's first direct agreement with an automaker aims to help Ford in its development of automated vehicle, shares a blackberry down nearly 12 percent this month alone in the month of October.

Also watching shares of Square, Jack Dorsey, his payment company set to report earnings ups to the belt today. Analysts are expecting a loss of 11 cents of share for the company. The stock has fallen nearly 15 percent year to date. Chicago's murder rate hitting a level that has not been seen in more than a decade, Cheryl Casone with the details there. Cheryl.

CASONE: Yeah, Maria. So, at least 614 people have been murdered so far this year in the Windy City. That's a 45 percent increase from this time last year. Over the weekend, another 18 people were killed. The last time Chicago's murder top 600 was back in 2003 and there have now been more homicides in Chicago than in New York and Los Angeles combined. Because the Chicago's high number the national murder rate is set to jump this year 31percent from 2014.

Well, Volkswagen buybacks are beginning today about 475,000 owners of SUV VWs and Altis will now be able to sell their cars back to the automaker. Owners can also get between $5100 and $10,000 in cash is buybacks coming after a federal judge signed off on a $15 billion settlement after VW admitted the cheating an auto emissions.

Well, see job missionable (ph), one of a kind of campus for Apples corporate in a headquarters nearly at reality. Check this out in a drone video, showing just how far construction has come since the plan was announced back in 2011. The ring-shape buildings' going to have solar panels to generate 75 percent of its own energy needs.

Apple is working on the landscaping as one of final steps that completing the $5 billion spaceship office. And place is expected today move in by early 2017. And finally earning this more in Sony net profit plunging 86 percent cost for a second quarter from a year earlier.

A Japanese electronics and entertainment company reporting a profit of 45.8 million in a quarter. Sony says the results that were hammered by a strong yen and losses from the sale of its battery business. Shares of Sony are lower, Maria, in the pre-market right now just slightly as you can see on your screen. Back to you.

BARTIROMO: All right, Cheryl, thank you. Coming up betting on skill look at the new action pack casino game that is headed to go Atlantic City, that's next, back in a moment.


BARTIROMO: Welcome back, OK, put away that lucky rabbit's foot, bring your A-game, the very first skilled-base gambling game is headed to the casinos in Atlantic City. So they're going to start now with the sneak peek of the new machine. This is the CEO and co-founder of game company, Blaine Graboyes. Good to see you Blaine. Thank you so much for joining us.


BARTIMORO: Well this seems like a management in heaven, gaming and gambling and video games. Just tell us a bit about the game.

GRABOYES: Sure, this is our first game. It's called "Danger Arena". It's a first-person action game where the player is fighting against robots. So if they take out six robots they get half their bet back, they're in the money. Take out 10 robots, 25 times their bet.

BARTIMORO: I'm surprised we didn't see video games and gambling merge sooner. It seems like a perfect combination.

GRABOYCE: It's not always the case. We do inventions after the fact it seems so obviously, but it was actually a bit of a battle for us to help casinos understand how important gamers were to the future of there business. It took us about two and a half years until we really got attraction with the product.

BARTIMORO: So, when should we expect it? How soon does this machine make it to Atlantic City in Vegas?

GRABOYES: We're actually live today at the three Caesars properties in Atlantic City, it Caesars' values and heiress. We have been live for about 10 days now. We've been learning so much as we see real people play the game.

HILSENRATH: Hey Blaine, the odds are always stacked in favor of the house when you're at a blackjack table or roulette table, how does the casino benefit from this? Are the odds stacked for the house on these games? Do the robots get tougher to kill once you get closer to 10 and you're getting all your money back?

GRABOYES: So we do have a patent on the system and method for managing what's called to return to player and the game has a similar return to player, the slot machines or electronic poker or blackjack. The way I like to explain it is that even the best blackjack players sometimes gets a hand that they can't beat. So in this game there's more than 10,000 maps and the only random element to the game is which map you're playing in, in each game session.

From there, it's completely up to the player skill to get the best outcome in score and payout in each game. So it doesn't track the game player or get harder or more difficult. It's really just about which map they are playing in.

UNIDENTIFIED FEMALE: Blaine, these looks like to me like a good way to get perhaps the younger audience into Atlantic City. So what are you expecting? Who do you think is going to be playing this new game?

GRABOYES: Well, I definitely think Millennials and Gen X gamers are going to be playing the game, but it was super interesting. Our first player was a Vietnam veteran who played for about an hour with his wife, really enjoyed the game. And it just shows that everybody likes to play video games and have fun. But absolutely for the casino their number one goal is to attract a new audience and make themselves relevant to the future.

UNIDENTIFIED FEMALE: Blaine, can you explain, though, because in general with all of the games, whether you're playing slots or even card games in Las Vegas and Atlantic City, they want the hands to go quickly and the rounds to go quickly. It doesn't really benefit them if you place one bet and then play for an hour. They want you like pouring more and more and more money into the house.

GRABOYES: Absolutely, player pace is a big consideration for the casino. So slot machines happen at a very fast pace, eight or nine second for each pull. Our game is about 45 seconds. So each round of the game with each bet is about 45 seconds. But what matters a lot more to the casino is the occupancy. How long each machine is occupied everyday and for the week? And of course, gamers like to play three to four hours a day and so we're already seeing a great deal more occupancy on our game than the average slot machine. So the occupancy more than makes up from the fact that our game takes a little bit longer to play than a typical slot machine.

BARTIMORO: What other initial chips that you're working on with casinos to bring in this millennial audience?

GRABOYES: Well, this is our first game. We will be releasing a new game in December of this year and then new game in our library about every six to eight weeks in 2017. We also have a subsidiary that produces Esports, professional video game tournaments in events. And we're working with all of our casino partners to bring Esports to the casino as a way to attract and entertain this audience and then get them on to the casino floor to play these games.

HILSENRATH: Hey Blaine, we talked a lot on this program about small business and how hard it is to start up a business in this environment with the Affordable Care Act and the regulatory environment. How hard has it been for you to get this off the ground? What have been the biggest obstacles for you?

GRABOYES: Well I would say, initially for us doing our first round of funding about a year ago, it was convincing people that this would be approved by regulator. And also, because we are bringing together these two industries of video games and casinos, we had to explain to each different group why it was relevant to the other. Why from a casino standpoint, video games were important and why from a video games standpoint, casinos were important.

In terms of the regulatory process, it was definitely a collaboration with the division of gaming enforcement in New Jersey, now the Nevada game and control board and the other regulators. But they've also been very supportive because they want to see innovation and bring new customers and ensure that their business continues into the future as well.

So I would say there's a benefit to our company like GameCo being in a regulated market and that it provides the path to bringing our product to casino floor. It also creates a really great defensible barrier for us against new companies that want to get into the space.

BARTIMORO: All right, sounds good. Blaine, thank you so much. Blaine Graboyes joining us. They will be watching. We'll see you soon, sir.


BARTIROMO: Coming up the campaign trail heats up after new Wikileagues e- mails change the field just a week before Election Day. More on that on our next hour of Mornings with Maria, stay with us, back in a moments.


BARTIROMO: Good Tuesday morning everybody, welcome back on Maria Bartiromo and it is Tuesday, November 1s. Your top stories right now 7:00 a.m. on the East coast, the candidate none storming the battle ground. With a week to go, Hillary Clinton is headed back to Florida today or she is down in polls now.


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