the economy. no more excuses. vote democrat in 2012. [ laughter ] >> bret: starting early. thanks for inviting us into your home tonight. that's it for this "special report," fair, balanced, and unafraid. >> shepard: there is breaking news now out of washington. it's official, a challenge to nancy pelosi as the leader of the democrats in the house of representatives. congressman heath schuyler of north carolina tells fox news is he 100% sure he will run against her. the former of tennessee and nfl quarterback will point the campaign from the center. the news is late breaking. we will hear from the congressman as carl cameron joins us with details just minutes from now. as new lawmakers arrive in d.c.

today is compromise in the air over taxes? the new members are swarming capitol hill. they don't get control just yet. because the old congress still has some unfinished business. and now it's time to talk about those tax cut extensions. plus, one man finds airport security a little too intimate. >> are you going to be doing a groin check? >> if you touch my junk, i'm going to have you arrested. >> shepard: this incident didn't end well. but is the argument over? and the short answer is, no. the argument is far from over as fox reports live tonight. it's a complex debate, no doubt. pitting personal freedoms and privacy against public security. now add a viral cell phone video, the internet and stir. the new controversy is all about about the new antiterrorism

screening procedures they just changed at airports across the country. passengers have a choice that new full body image scan as the primary choice for screening or a two palm of the hand patdown. including touching the groin. one passenger, this man, john tyner calls that screen obsessive. compares it to expwreabletion a sexual assault. >> shepard: that may be the line of the week. the defiant passenger says he got a refund and tried to leave that screening area. but that security crews stopped him, telling him it's against federal rules to start the

airport security process and not finish it. >> i would like to leave now. if i'm free to go, i would like to leave >> shepard: bring a case against him. this is the latest in a series of complaints about the powerful new airport scanners that are capable of seeing through your clothing. trace gallagher is on fox top story live four los angeles news hub. trace, what are the feds saying about this? >> well, shep, the san diego office of the transportation security administration is saying that john tyner was treat with the utmost respect and they tonight are standing firmly behind their security measures. on top of that homeland security secretary janet napolitano says abandoning those scanners and pat downs that you see would be, quote, irresponsible. she says passengers who don't like them should travel by other

means. though she also acknowledged there might be some changes. listen. >> if there are adjustments we need to make to these procedures as we move forward, we have an open ear, we will listen. but it's all being done as part of our joint security effort. >> we should note that 68 airports across the country now are using those full body scanners. >> shepard: of course, the man in the video put it like this, if anyone else were,-to-as he future touch my junk in that way, anyone other than the federal government would be a crime. any change of heart from him tonight? >>. no in fact john tyner is taking secretary janet napolitano's advice. until the rules change he is not going to fly. he says he will drive everywhere. he is not the only one upset by the way. you have unions for pilots and flight attendants now saying that they should avoid the scanners and also opt for the patdowns. there is an online campaign even

called opt out day. they are calling on thanksgiving travelers to also opt out of using all the scanners and use the patdowns which would slow things down. john tyner says look they have a right to be angry. listen. >> you know, if people are concerned about bombs being brought on planes, the t.s.a. has bomb sniffing dogs and machines. both of those can trace very minute traces of explosives. i don't see why those are in greater use. >> john tyner could be facing a $10,000 fine from the t.s.a., shep. >> shepard: much more on this to come no doubt. trace, thank you. now to the fox news exclusive, we reported just a few moments ago that the north carolina democrat keith schuyler, representative shull ler will follow through on campaign promise. >> apparently no one else has

stepped forward so i will put my name in the hat and bebl able to run for minority leader. >> shepard: we will explain what that means and what it could mean as members of congress head back to katie couric for the start of the lame duck session. team fox coverage now mike emanuel tracking the tax cut debate. molly henneberg on the start of the ethics trial for congressman charlie rangel. first to carl cameron on this challenge to nancy pelosi. the thinking was steny hoyer might step up and run against her when he didn't enter heath shuler. >> this is about the division of the democratic party. nancy pelosi being for democrats a real albatross. so many ads targeting nancy pelosi and linking them to her. by blue dog democrats. the fiscally moderate democrats and even socially conservative democrats that nancy pelosi and her liberalism from san francisco was toxic for them and bad for the future of the democratic party. heath shuler had said on the campaign trail that he was going

to run against nancy pelosi if reelected and didn't think she should be speaker. the last several days he has been keeping the door open and not closing it and not making a decision. it has caused a tremendous amount of speculation and we caught up with him just a few minutes ago and he confirmed it this is a very big deal. a conservative democrat saying that nancy pelosi should not be the leader says a lot about the party's future in the upcoming legislative session. here is heath shuler. >> we had hoped that she would step down. and that would allow steny hoyer, james clyburn to be able to hold the top two seats. and but that did not happen. and i think it's very important that the democratic party has been an all inclusive party, big tent party. >> and the concern that he is referring to is that because some of those moderate democrats were eliminated in the election just a couple weeks ago the democratic party has become more liberal and nancy pelosi's liberalism will be bad for their image, bad for their ability to

legislate and bad for their political future, shep. >> shepard: more to come. mitch mcconnell made a huge move today on those pork barrel projects. >> yeah. you are talking about earmarks, shep. that's the kind of spending that doesn't normally go through the committee process, the so-called appropriations process where lawmakers are able to study and scrutinize and look over these things. there has been a practice in years past where at the very last minute someone will slip in some provision that's not actually been looked at by lawmakers and they will vote on it without even being aware of the contents. it's billions of dollars. a two year moratorium on that. mitch mcconnell the senate republican leader has been opposed to it for years suggesting that that is essentially forfeiting the congressional control of the purse strings, a constitutional power lawmakers get to spend the nation's bucks. he is afraid that might give too much of the power back to the executive branch. today, with a nod to the tea party, which pushed hard for this moratorium and the incoming freshman class of conservatives, mitch mcconnell changed his tune. >> banning earmarks is another

small but important symbolic step that we can take to show that we are serious. another step on the way to serious and sustained cuts in spending. and to debt. >> now, president obama as a candidate and when he was a senator suggested that a ban on earmarks might be a good idea. it's hardly a done deal just because mitch mcconnell says he likes it in fact, shortly after mcconnell's speech today another republican jim inhofe of oklahoma came out to say banning earmarks could be something that in the end might back fire on us and echoed the same concerns that mitch mcconnell once had that it is up to congress to spend the money and they shouldn't do anything to limit their own power lest they give some of it back to the other end of pennsylvania avenue at the white house. shep? >> shepard: carl cameron with a lot of news at the rotunda tonight. the big talk has been over compromise on tax cuts. that compromise between president obama and republicans over the extension of the bush era tax cuts. here is where things stand right now. both sides are indicating they would like to permanently extend

tax cuts for all wages under $250,000 a year. republicans say they would like to do the same for people who make more than that as well. president obama says he opposes a permanent tax cut extension for the wealthy. which could leave open the door for compromise. temporary tax cut extension for the highest income americans. mike emanuel at the white house with new developments on this. leading republicans are now suggesting that they would be willing to work with the president on that matter. how so? >> that's right, shep. senator jim demint a favorite of the tea party, republican from south carolina signaled there is room for cutting a deal. take a listen. >> i hope we can get a permanent extension. if the president want to compromise on two or three year extension, what's important here, chris, if businesses know what their tax rates are going to be over the next few years so they can plan growth and plan to add people. >> demint and other republicans say we have to have tax certainty for small businesses to hire so it's important to

find common ground with this white house, shep. >> shepard: all right. what are they saying at that white house behind you? >> well, they like the idea of hearing republicans willing to compromise. the question, as you mentioned at the top, was what about the people who make more than $250,000 a year? the president talked about it on his way home from asia aboard air force one. >> i know this is something that during the campaign that republicans expressed some strong feelings about. i want t tearr from them how strongly they feel about it, particularly given that they're also saying they want to control the deficit and debt. if they feel very strongly about it, then i want to get a sense of how they intend to spend -- how they intend to pay for it. >> you can expect to hear more of those different positions when congressional leaders come here to the white house on thursday for a face-to-face meeting with the president and perhaps dinner, shep. >> shepard: mike emanuel live at the white house tonight. mike, thanks very much. now to an absolutely horrible

case out of state of ohio where police say they found a 13-year-old girl bound and gagged in a man's basement. but her mother, her brother, and another woman are all still missing. it is a bizarre case. the facts from the investigators on the scene, plus the blood trail from the journalists of fox news tonight on the fox report. hey, lawrence, my parents want to talk to you. oh. about what? uh, they don't really think you're an exchange student. what? they think you're a businessman, using our house to meet new clients in china. for reals, player? [ woman saks chinese ] they overheard a phone call. speaks chinese ] something about shipping with fedex to shanghai. and then you opened a bottle of champagne. that was for a science project. [ man and woman speaking chinese ] i'm late for..occer... rehearsal. [ man speaks chinese ] you and i are cool? i'll be home by curfew. [ male announcer ] we understand.® you need a partner who can help you go global. fedex.

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[ inhales ] [ exhales ] ask yr doctor if symbicort is a good choice for you. [ male announcer ] if you can't afford your medication, astrazeneca may be able to help. >> shepard: right now in ohio, a 13-year-old girl is waiting to find out whether some of her family members are still alive. police saved that teenager from a man's basement just yesterday. they say he had her tied up and gagged her so she couldn't scream. she, along with her mother, brother, and a family friend all disappeared from a house in howard, ohio last week. police reported an unusual amount of blood there. but there was no sign of what had happened to the occupants until a tip apparently led them to that basement in nearby mt. vernon. the 13-year-old girl is now back

with some relatives and the man whom police say kidnapped her is under arrest. and here he is matthew hoffman, a neighbor reports he was a bit strange, had a habit of killing and eating squirrels and killing dogs. earlier today on "studio b," that neighbor said she had no doubt he was up to no good. >> now that i think about everything and that poor little girl in the basement, i can't believe i didn't hear anything. she was so close. and i just feel sorry for her and her family. and i'm sorry. if i would have heard anything, i would have ran over there in a minute, you know. >> shepard: he lives right next door. the neighbor also says she has seen this man, hoffman, leave his house carrying backpacks, going into a certain area and then returning without the backpacks. our senior correspondent rick leventhal with the news live now in mt. vernon. rick, your team spoke with that neighbor as well. what else did she have to say?

>> well, shep, the neighbor says that matthew hoffman seemed normal and friendly when he first moved in about a year ago. that he had kegs and invited them over for beers and that her friend started dating him and actually moved in with him and said things were great until about a month or two ago when he started acting very strange. eventually she says he choked this woman. she broke it off and moved out. the neighbor says this ex-girlfriend looks very much like that 13-year-old girl that police say was found bound and gagged in his basement. >> shepard: that neighbor today mentioned this park near the suspect's house. the spot where he gold with the backpacks and return without them? >> right. and police have been there searching that park. divers have been in the waters of that park. in fact, tonight they pulled a vehicle out of the water. and they are getting ready to pull another vehicle out of that water. but so far they don't believe those cars are connected to this case. the police here working with the state police and the fbi asking for the public's help. not seeming to optimistic tonight, shep.

but they do give a lot of credit to that 13-year-old survivor. >> the 13-year-old girl being held captive for four days by a total stranger. i would call her the epitome of bravery. >> shepard, matthew hoffman, the suspect in this case, being held tonight in the jail behind me has a bond hearing tomorrow afternoon but may not appear in court. he may appear via video from this jail because of the high profile nature of this case. shep? >> shepard: rick leventhal in ohio. thanks. serious trouble to report from afghanistan now. the afghan president's latest criticism of the united states military strategy has reportedly left the top u.s. commander there, general david petraeus as he put it astonished and disappointed. in an interview with the "the washington post" newspaper over the weekend, harmid karzai says u.s. special forces night raids, quote, have to go away. in his words, the afghan people don't like these raids. if there is any raid, it has to

be done by the afghan government within the afghan laws. general petraeus reportedly considers the night raids an essential part of his counter terrorism effort. secretary of state clinton today defended his strategy, but also said the united states supports karzai's goal for afghanistan's troops to take over security four years from now. >> based on conditions on the ground, we support president karzai's stated goal of transitioning responsibility for all security to an afghan lead by the end of 2014. >> shepard: the timing is important here because a major nato conference on the future of afghanistan begins four days from today. well, they plan to spend six months at sea. but, instead, somali pirates held them captive for more than a year. and now that couple finally free. but what did it really take to secure their release? and who pays the ran some? that's next as the news rolls on

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>> shepard: a british husband and wife waking up to their first full day of freedom after somali pirates held them hostage for more than a solid year. in october of last year, the pirates kidnapped paul and rachel chandler nearly 600 miles from somalia. while they were on a yacht between tanzania and the seychelles islands. the pirates asked for ransom money. here is rachel on finally being free. >> happy to be alive. happy to be free. happy to just be here and see our family and friends. and so happy to see and be among

every day people. >> shepard: every day people. unfortunately they also found out paul's father died while they were hostage. "the fox report's" chief correspondent jonathan hunt is with us now. at issue, most prominently for many people was this idea of ransom. what happened with ransom money. >> as far as we know, shep, a ransom was actually paid but it was nowhere near that $7 million that the pirates were initially looking for. the reports say the actual ransom was closer to around $750,000 in total paid in two installments. they thought the chandlers would be released after the first installment was made back in june. the pirates apparently reneged on that deal. as for who paid it the british government says it was nothing to do with them whatsoever it appeared to have been a combination of the chandler's family and friends and some somali expatriots living in london. >> shepard: the british government says it paid nothing. >> paid nothing. >> shepard: what now for the and which letters. >> the and which letters are

staying at the residence, the british ambassador to kenya british capital of into nairobi. they have to go about piecing their lives back together dealing with the death of paul chandler's father who died while he was being held and they also have to simply get themselves back to together. these after all shep are two people in the late 50s. they have had 388 days day capt. >> shepard: they were very high profile hostage. many more out. >> there somali pirates are holding something like 500 hostage and 20 vessels in total. remember, when they get ransoms for these vessels, which they frequently do, they are getting a lot more than the 750,000. they paid apparently. they were paid for the chandlers. they get millions of dollars every time they hand one of those vessels back it doesn't look like the issue of somali pirates is going away any time soon, shep. >> shepard: doesn't sound like it.

thank you. a woman from san diego is accused of helping eye died affiliate. arrested the 24-year-old woman last week. charged her with conspiracy to provide material support to terrorists. specifically, al shabaab. al qaeda linked militia trying to create islamic state in somalia. three other san diego residents face similar charges. developing now speaker nancy pelosi has a challenger in her bid to lead the democrats in the house in the next session. ahead, we are getting our first reaction from other democrats in congress. some of it may surprise you. that's still ahead. plus, it hasn't happened in more than half a century. lisa murkowski trying to hang on to her senate seat as a write-in candidate. tonight, an update on where that stands. plus, congressman charlie rangel finally getting the chance to try to clear his name at an ethics trial. but the new york democrat just up and walked right out of the hearing. no defense.

but the court goes on without him. what next for the embattled man from new york? we're live in d.c.

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call 1-877-580-afib today. >> shepard: new reaction from capitol hill tonight after word broke that the north carolina democratic congressman heath shuler will challenge the house speaker nancy pelosi for leadership of the democratic party. >> apparently no one has stepped forward so i will put my hat in, name in the hat and be able to run for minority leader.

>> shepard: just moments ago conservative congressman walt minute nick spoke out about that move. the blue dog democrat tells fox news speaker pelosi's leadership style was too hyperpartisan the way he put it. >> the election was a referendum on my party's national leadership. and in that circumstance, my district is so republican and people are so disaffected that i don't think there was anything that i really could have done. >> shepard: he says the democratic party needs a fresh start. it's worth noting here congressman minnick just lost his seat in idaho in this month's elections. also in washington a house ethics manual is delivering charges against charlie rangel. the democrat from new york walked out of his own trial this morning after he asked for a delay so he could get himself some new lawyers. >> with all due respect, since i don't have counsel to advise me, i'm going to have to excuse myself from these proceedings because i have no idea what this

man has put together over two years that was given to me last week. >> shepard: well, lawmakers refused to postpone the hearing so the trial went on without rangel. all of his lawyers quit last night. rangel is facing more than a dozen ethics charges involving his personal finances and fundraising. the panel going to a closed session to described whether congressman rangel is guilty on any or all of those counts. molly henneberg with the news live tonight in washington. molly, why did the committee there, the ethics committee decide to go on without the congressman? >> hi, shep. the chair woman of the ethics committee democrat zoe lofgren didn't buy the argument he didn't have enough time. his former lawyer dropped him this fall concerned he couldn't pay his future legal bills. he can hire any lawyer he wants to but the trial in this lame duck session will not wait for him. here is more. >> mr. rangel's counsel withdrew

a little over a month ago and further counsel has not been retained and that the committee has indicated an intent to proceed today. >> rangel has said he needs extra time to set up a legal defense fund to pay for a new lawyer. shep? >> shepard: that ethics committee, molly, took one step or an important step in this adjudication process today. tell us about it? >> the four democrats and four republicans agreed to the facts of the case as presented by investigators. that is step one. now they will determine if those agreed upon facts mean that rangel broke house ethics rules. they met in closed door session today and will resume tomorrow morning. if rangel is found guilty on any of the 13 counts, the full ethics committee would meet to recommend a punishment. shep? >> shepard: and in another ethics violation accusation; is that right? >> there is a report today from the "new york post" owned by the parent company of fox news channel, that rangel may be in violation of house rules again

for using money from political action committee to pay for some his legal fees a source close to rangel though tells fox that's not true. shep? >> shepard: molly on capitol hill tonight. lisa murkowski is back on capitol hill for lame duck session as she may be closing in on historic re-election victory. she had to run as a write-in candidate because she lost the republican primary to the tea party favorite joe miller. the write-ins one. they -- won. they hope to finish counting ballots this week. she has the strongest win since this man strom thurman in 1954. paperwork problems forced a handful of lenders to suspend foreclosures. lawmakers will ask leaders of those banks what went wrong. senate banking committee has scheduled hearing tomorrow.

bank executives scheduled to testify along a man leading a nationwide investigation into these problems. rich edson from the fox business network joins us live from d.c. now. rich, this has become a major issue. >> it has. investigators are still looking into the full extent of this. it could turn into a real legal mess. some analysts say the foreclosure scandal could end up costing banks billions. the national realtor's group has already blamed foreclosure problems for slower home sales. one senator is charging sloppy bureaucratic mismanagement and fraud. bank ebbsives and regulators will go through another hearing on capitol hill thursday when a house panel examines the scandal. shep? >> shepard: hitch -- rich head son. sales went up. double the increase. the largest jump since the month of march. it was due in part to a surge in car sales. if you take those out of the

equation, otherwise overall retail sales increased just .04%. stocks were up most of the day on that news and others but pulled back later on as the value of the dollar went well up, at least against the euro. and that put a dent in overseas providence. at the closing bell, stocks were close to even. the dow at 9. nasdaq down 4. s&p down 1. the web site that revolutionized the way millions of us communicate trying to do the same thing again. a brand new venture from facebook next. if you would like to learn more about it log on to our web site find it under features and faces section at foxnews.com. [ male announcer ] you can dream of completely transforming how new york city manages i.t. or, like bmc software, you can dream it and do it.

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>> shepard: there is word of trouble tonight at the first civilian trial of a guantanamo bay detainee. lawyers for ahmed ghailani are

requesting a mistrial now after one of the jurors on the case asked the judge to replace her. it seems she sent a note indicating she was at odds with everybody else on the panel and felt she was being attacked because of it. but the judge had none of it. ghailani faces charges in connection with the bombings of two u.s. embassies in africa back in 199. prosecutors say he helped an al qaeda cell buy a truck and components for the explosives. more than 200 people, including 12 americans died in those attacks. david lee miller is live outside the federal courthouse here in new york city tonight. david lee, what more do we know about this note that seemed to cause so much of a disruption in court today? >> well, shepard, the juror in this note told the judge that her conclusion was not going to change and that she also asked the judge for him to assign an alternate to replace her. the judge simply said no, that was not going to happen. and as for the mistrial, defense attorneys said the jury was hopelessly dead lock dollars. the judge disagreed.

he essentially said this trial, which has gone on now for about a month has only had about two and a half days in deliberations. the judge did though say that tomorrow he is going to ask the jury to behave more civilly towards one another. shepard? >> shepard: what more do we know about this particular juror? >> not a great deal. you have to remember that the jury here, their identities are being kept secret. we do know she signed the note using a jury i.d. number. defense attorneys have told us she is 53 years old. she lives in the bronx. she is separated from her husband who works as a court interpreter but most sick -- significantly on the jury questionnaire before she was assigned to the jury she was asked the question you have or a friend or family member ever been accused of a crime. she said that someone accused to her had been wrongly accused and now, shepard, she is turning into a major headache for the prosecution. shep? >> shepard: sure sounds like it. david lee miller on a noisy

night in manhattan tonight. thanks. a hearing whether the accused fort hood shooter will stand trial is over now. the decision up to the military post commander major nidal hasan is charged with ciddle 13 people at last year's shooting rampage. wounded soldiers testified at major hasan's hearing last month. many recall hearing a man in an army military uniform alan allah iraq bar. god is great. the defense didn't call a single wednesday. major hasan has not made a statement. investigators searching for a driver suspected of triggering a deadly highway crash over the weekend. the car slammed into motorcyclists on a highway 80 miles east of san diego. that wreck killed five people. police initially arrested one man suspected of drunk driving.

now cops have released that man, saying another driver caused the crash and then left the scene. the president of the motorcycle club claims that the second vehicle passed the bikes at more than 100 miles per hour. police say they will check surveillance video to see whether the car crossed the mexican border. facebook already handles more than 4 billion messages every day. now it's taking on email, instant messaging and text messages as well. brand new from the social networking site which is announcing a service that puts it in direct competition with google. some tech blogs are dubbing it a new service, a possible g-mail killer. of the facebook ceo mark suckerberg says that's not the case because he doesn't think email has a role in the future of messaging systems. how long until folks can start using new services. >> it is going to be unveiled next few months on invitation only basis. if you are affected, you will

get email that pops up when you log into facebook. keep in mind, this is going to be a long standing project, a very profound project for facebook because it believes you shouldn't have to go to your mobile phone to send to mf. different service to im chat or different service like yahoo or gee -- g mail. it believes when you log into facebook you should get to do all things. >> shepard: now facebook the third most valuable online property of them all. i guess just still behind google and nothing else? >> pretty amazing for a company that doesn't make anything or sell anything. not a publicly traded company. we can buy shares in google and other companies but the company just overtook ebay in terms of valuability in terms of market. now $39 billion. google still takes the top spot has a value of 193 billion. it's gotten a long ways to go to catch one google but it's got its sights set on google, that's for sure.

>> shepard: sure seems like it. good to see you. one of the most notable holes in the itunes catalog. largest retail dealer doesn't sell any songs from the beatles that could soon change according to the reporting of the "wall street journal." that paper, of course, owned by this network's parent company reporting that decades long feud between apple and the beatle could say soon come to answered. they first exchanged lawsuits back in 197 over their logos. the beatles claimed apple violated the band's trademark. apple won the right to keep logo at least for now. it appears a partisanship could be in the works. no word yet on when you might be able to start downloading the beatles. qantas airlines has suffered yet another problem with one of its jumbo jets. this time the problem was inside the jet. happened on a boeing 747 heading from australia to argentina. the jet was two hours out from sydney when the crew reported a problem. >> there was a faulty part within a election panel in the

cockpit. there was some occurrences of smoke in the cockpit. >> shepard: the jet eventually landed. nobody was hurt. qantas reports it looks to them like electrical short caused that smoke. just the late nest a string of trouble for qantas. recently another 747 had engine catch fire minutes after takeoff. less than two weeks ago engine ripped itself apart on the a-380 the world's biggest jet. inspectors found some engines were leaking oil. aviation official tells the associated press the engine maker rolls royce is going to swap out problem engines with new ones. so do you think illegal immigrants should get the same tuition break as residents at public universities. it's a controversial question and today a court made a big ruling. the question is was it the right move? we'll report the facts. you decide. plus, a fire rips through an apartment building and kills dozens of people where it happened and how it started is

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>> shepard: the state supreme court in california rolled today some illegal immigrants are indeed eligible for tuition breaks at state colleges and universities there. the same discount that citizens get. at the center of this case a 2001 law that allows any student who attended high school in california for three years, regardless of immigration status, to get a tuition break. but the group of american students sued claiming that that provision violated federal immigration law. and was essentially unfair to legal residents who live outside california. but the court ruled the law benefits anybody, regardless of where that person lives. the decision is now gaining nationwide attention because several states have similar laws on the books. 1200 national guard troops on duty in california, arizona, and new mexico, plus texas part of

president obama's plan to decrease the number of illegal immigrants and drugs entering the united states. the troops are serving as extra eyes and ears they tell us for border patrol agents there. drug violence in mexico has killed more than 30,000 people, it's reported, in just four years. and it's all over the right to control the estimated 40 billion-dollar business of importing drugs into the united states. casey stegall with the news live tonight from nogales, mexico. is the security working. >> troops have been on the border four weeks. it's going to take a little bit of time before we have progress report. the good news is we have a benchmark to look at that shows a military presence along the southwest border is a successful deterrent because in 2006, remember, president bush ordered the national guard to the border. and during the two-year duration of that mission, arrests across the board went down by more than

20% and the same outcome is desired with admission as well. shep. >> shepard: but a lot of people still want more there, casey. >> yeah, now that they are here, a lot of people are talking. folks that live in these border towns where the violence is spilling over and select members of law enforcement who say that they don't want to sound ungrateful. the deployment is certainly a step in the right direction, but argue that 1200 soldiers spread out over a nearly 2,000-mile long border we share with our southern neighbor just simply won't cut it, especially when you consider that president bush's operation jump start that i just talked about dealt with 6,000 contingency of soldiers compared to the 1200 we're experiencing now. shep? >> shepard: casey stegall on the border tonight in nogales, arizona. casey, thank you. swamp gas, authorities say that's what caused an explosion that killed seven people. our top story as we go around the world in 80 seconds. mexico: the blast killed five

canadian tourists and two mexican workers at the popular luxury resort near cancun. nine others injured. including two americans. the explosion blew out windows and ceiling panels and reportedly threw paving stones and chunks of metal as far as 50 yards. investigators say gas from a nearby swamp built up beneath the hotel and somehow ignited. china. a fire killing more than 40 people at a high rise apartment building in shanghai. you're looking at amateur video of the scene. according to state-run television, one witness claims some construction supplies caught fire then it spread. belgium, emergency evacuations in the southwest province after flooding killed two people. the national weather service reports the area saw month's worth of rain in two days. the high water filling basements and streets in many cities and towns. saudi arabia. they are calling it the mecca metro. a new elevated light rail to

shuttle muslims between holy sites for the annual pilgrimage. the gathering draws an estimated 2.5 million worshipers each year. there is now a permanent tent city in the area where hundreds of thousands of pilgrims spend the night on the way to the major sites. and that's a wrap on this fox trip around the world in 80 seconds. >> shepard: it's official. nancy pelosi has a challenger. first on fox tonight, a fellow democrat now confirms he will, indeed, run against the current house speaker to become the top democrat in the lower chamber. so what does that mean on a grander scale? the latest live from capitol hill. that's next.

the ram 5 year 100,000 mile warranty covs you everywhere. ram. [ but aleve can last 12 hours. tylenol 8 hour lasts 8 hours. and aleve was proven to work better on pain than tylenol 8 hour. so why am i still thinking about this? how are you? good, how are you? [ male announcer ] aleve. proven better on pain. >> shepard: the interwebs are abuzz tonight that president clinton is making a cameo in the hang ii movie. he is on the set in thailand and he will be playing himself. the president's people aren't

saying much of anything on this. back in 2005, you may remember, senator mccain had a cameo in wedding crashers. updating our top story tonight north carolina heath shuler tells fox news he will indeed challenge nancy pelosi for the leadership of the minority in the next congress. he says he wants to fulfill his campaign promise to run against her if no other viable candidate steps forward. pelosi, of course, was at the helm when the g.o.p. gained at least 60 seats in the midterm elections. with us is senior producer for the house of representatives chad pergram. does he have a chance or is this about promises made or promises kept? >> shuler says this is a difficult race to win but he says he has to do this if the democrats can be a big tent party. he says he can count pretty well here, can he add and subtract the votes. that basically means he doesn't have the votes in that case, nancy pelosi is expected to win this overwhelmingly. but, shep, this really reveals the fishers in the democrat

party. fewer moderate and conservative democrats next year. heath shuler is one of them. most of them are liberals and most of them back nancy pelosi. >> shepard: the thinking some of these moderates could side with republicans on issues? >> i don't think we are seeing that necessarily, shep. it's interesting that some of the outgoing moderates like walt minnick one of the most conservatives in the house voted against cap and trade and health care he was still excoreiated for being associated with nancy pelosi. he says the democratic party would be better off if they picked a new leader. >> ed pergram our producer at the house of representatives on capitol hill. chad, thank you very much. >> any time. >> shepard: and on this day in 1867, inventor edward callahan unveiled the first stock ticker in norntion and soon revolutionized the new york stock exchange. before that ticker exchange workers sent stock prices via messenger. now buyers and traders could sell close to realtime and it was