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Hannity

Trump on Iran: 'They will know I am not playing games'

This is a rush transcript from "Hannity," August 12, 2015. This copy may not be in its final form and may be updated.

SEAN HANNITY, HOST: This is a "Fox News Alert." Hillary Clinton is turning over the private e-mail server that she used during her tenure as secretary of state to the Department of Justice. Now, this comes after a government watchdog for the intelligence community revealed yesterday that, in fact, four classified e-mails, including two that have been deemed top secret, were at one point stored on her server. By the way, this is only after reading 40 of the tens of thousands of e-mails.

Now with more is Mike Emanuel with the very latest -- Mike.

MIKE EMANUEL, FOX NEWS CORRESPONDENT: Well, Sean, sources familiar say the two top secret e-mails that went through Hillary Clinton's server contained special intelligence for monitoring foreign communications and information gathered from space, earning that high-level classification. The chairman of the House Select Committee on Benghazi Offered this reaction to our colleague Bill Hemmer today.

(BEGIN VIDEO CLIP)

REP. TREY GOWDY, R-S.C.: If she were interested in cooperation, she would not have done any of the things that she has done to date! This was not about cooperation. And Bill, frankly, it's not about convenience. It's about control. She wanted to control access to the public record, and she almost got away with it, but she didn't.

(END VIDEO CLIP)

EMANUEL: A State Department spokesman was asked if Clinton aides should have known better.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: You're asking me to, you know, step back in time and make judgments on, you know, who was sending what at that time and how they were assessing information. That's not, frankly, our job here.

(END VIDEO CLIP)

EMANUEL: Clinton campaign communications director Jennifer Palmieri put out a note to supporters on this e-mail issue saying, quote, "The bottom line, look, this kind of nonsense comes with the territory of running for president. We know it. Hillary knows it. And we expect it to continue from now until election day."

So clearly, there is concern about the potential political impact -- Sean.

HANNITY: Thanks, Mike.

Is Hillary in serious legal trouble? Any chance she can go to jail?  That debate coming up later tonight.

But first, after continued success in the early presidential polls, Donald Trump is now starting to lay out very specific policy proposals.  And we continue tonight with part two of my interview with the GOP front- runner.

(BEGIN VIDEOTAPE)

HANNITY: Give me an idea of what a Trump cabinet, a Trump White House would look like, maybe a VP choice, secretary of defense, secretary of state. Give me some ideas, names you like.

TRUMP: Look, I don't want to use names. I could say a Jack Welch, who'd be great. I could say, you know, Carl and Carl types. You have Henry Kravises. Warren Buffett said the nicest things about me the other day. I have great respect for Warren Buffett. But he said, Trump is here to stay. I was impressed, because I think he's supporting perhaps Hillary or something.

HANNITY: Sure.

TRUMP: But -- but you know, Warren Buffett is a -- a terrific guy, and -- and you know, and a very common sense person. I mean, Warren is a very common sense...

HANNITY: Makes a lot of money.

TRUMP: That's how he makes the money, with common sense and -- smart, but common sense.

You take some of these great minds that we have, nobody can beat us.  But we don't use those minds. We use the guy that gives, you know, $50,000 to a Bush or to a Hillary, and they become secretary of this, or they -- it's ridiculous. I would use the greatest minds. I know the best negotiators. I'm in New York. I know the good ones, the bad ones.

I always say, I know the ones that are no good that people think are good. I know people that you've never heard of that are better than all of them.  I would put people in charge of these massive economic machines.

HANNITY: And you'd listen to them.

TRUMP: I would.

HANNITY: They'd come into the Oval Office, and they'd say, Donald, you -- I know you want a flat tax. I know you want to save Social Security. I know you want to look out for the poor and reduce the debt, but the numbers don't add up, because those are all things you've talked about.

TRUMP: Look, our jobs are being taken by everybody. Think of it. We don't make good deals anymore. We have incompetent people, probably stupid, but incompetent people. They're making deals.

I look at Japan and I see Caroline Kennedy, who is a very nice person -- you know why I say she's nice? Because my daughter thinks she's nice, Ivanka. Anybody that Ivanka likes, I like.

But that doesn't mean I want her as our chief trade negotiator. She didn't -- she was shocked that she got the job. She was on "60 Minutes," and they said -- she said she went and she said I'd like to work for the administration. Would you like to be ambassador to Japan? She goes, Really? That was her response.

She's now in charge -- I mean, essentially, as the ambassador, she's really in charge because for some reason, that particular ambassadorship, very important having to do with trade. They're killing us! Japan is killing us!

And by the way, they have a great leader now, Abe. And Abe is cutting the hell out of their currency -- cutting, cutting, cutting. And they're back. Japan is back.

Look what happened today. Today, front page of The Wall Street Journal, China devalues its currency big league. You know why? Because they have no fear of us. They're killing us. When they do that, they are killing us.

Now they're going to take more jobs. They're going to take -- I mean, it's ridiculous!

HANNITY: We already owe them a boatload of money.

TRUMP: Here's the beauty. They take our jobs, they take our money, and we owe them $1.4 trillion. How do you figure that one? That's like a magic act.

HANNITY: That's scary. Let me go to specifics on the economy. You want to lower the tax. You want to implement a flat tax.

TRUMP: No, no.

HANNITY: You don't? I thought you liked the flat tax. I read it in a couple interviews.

TRUMP: The problem with the flat tax is it's sort of the same. I actually believe that people, as they make more and more money, can pay a higher percentage, OK?

HANNITY: How high?

TRUMP: To be honest.

HANNITY: What's the cap?

TRUMP: We will set the cap. I want to have a cap so we have a lot of business, a lot more activity. I want to get rid of all this deficit.  We'll make it -- we're losing $600 billion, $700 billion! We're going to be losing. And by the way, when ObamaCare kicks in, we're going to be losing a $1.3 trillion, $1.4 trillion a year. We can't do that. We're going to be a Greece on steroids!

Here's what I want to do. I want to simplify the tax cut. I want to cut taxes. But I want to simplify the tax code. I want to make it great for the middle class. The middle class is being killed.

I want to put H&R Block -- it's an ambition of mine to put H&R Block out of business. When a person has a simple tax return, they have a job, and they can't even figure out when they look at this complicated form -- they can't figure out what to pay.

And you know what? I have guys that are friends of mine, they make a fortune. They're hedge fund guys. They move around paper. Look, at least I build things. I put people to -- these guys move around paper. And half the time, it's luck more than talent, OK?

They pay peanuts, OK? I want to make it so the middle class -- I want to lower taxes, but I want to make it so the middle class benefits.

HANNITY: OK, do you believe in supply side economics inasmuch as you reduce taxes on everybody, including the wealthy, and that a rising tide lifts all boats? Are you -- do you...

TRUMP: I don't fully believe it, but there is something to it. I don't fully. You know, I've studied it...

HANNITY: But you don't want a flat tax. You've said that.

TRUMP: I don't like where everybody is paying the same.

HANNITY: Do you like a fair tax?

TRUMP: If I make a billion dollars and somebody else is making $100, and he's paying $10 and I'm paying -- to me, I don't know. I like somewhat of a graduation. What you have now is a system that's too complicated.  The easiest thing to do is make that system uncomplicated and make it really good -- make it really good.

And you know, as far as the IRS, people say, Let's get rid of the IRS.  Somebody's got to collect the money.

HANNITY: Well, a fair tax, a consumption tax is...

TRUMP: Look, we have a system now. It's -- it's morphed into something that's become -- you have to be a nuclear physicist from Iran...

HANNITY: It's crazy.

TRUMP: ... OK?

(CROSSTALK)

TRUMP: You have to be a nuclear physicist from Iran...

(CROSSTALK)

HANNITY: ... that guy

TRUMP: Yes, you could be him. He would -- he's not smart enough to figure it out.

HANNITY: The biggest accounting companies can't come to the same tax debt that somebody owes when you give them the same information.

TRUMP: I'm talking about -- the word is simplification. We can simplify. We can get rid of deductions, which is in some cases -- and lower the taxes.

HANNITY: How big a -- how big do you believe -- because I think energy -- we've got all this energy. We've got coal. We've got fracking, hydro-fracking. We've got natural gas. We've got all the oil, ANWR, everywhere.

Why do we import one barrel of oil when we can be exporting oil and be so energy-independent?

TRUMP: It's 100 percent. Look, the Keystone pipeline should be approved immediately -- not that I want it because we're bringing in oil from Canada. But you know what? It's a lot easier than Saudi Arabia and some of these other places. And Canada's been a great neighbor, et cetera, et cetera. But they should approve it.

Number one, it's jobs. Immediately, you're building it, it's jobs, it's good. It's not going to hurt anything in terms of environmentally.  It's hard to believe that that has not been approved. Let's get it approved. More oil coming in -- the more we can have where we don't have to go to foreign places, really foreign places to get the oil.

So there's a simple one that's going to create jobs. It's overall good. But we don't even need it in one sense because we have so much under our own land, we can do it, but we have to get rid of some of the restrictions. The restrictions...

HANNITY: That would help the economy dramatically, in my opinion.

TRUMP: Immediately.

HANNITY: All right, let me ask you this. You came out with an ISIS plan yesterday. You said boots on the ground. You said take their oil.  You said create a perimeter. Explain that, and then I want to know what else you want to do.

TRUMP: I'd like to go back into history a little bit. In 2004, Reuters wrote an article, in July of 2004. It was an article, "Trump says don't go into Iraq." I was totally against it. I am the most militaristic person that you have ever interviewed. I would make our military so strong and so powerful that nobody will ever mess with us.

You know, Putin two months ago, started saying, Well, we have nuclear weapons. You better not mess around.

HANNITY: He's coming to town. Would you meet with him?

TRUMP: I would meet with him. Frankly, I'd get along great with him.  You've got to get along with these people. Obama doesn't get along with anybody.

We have all enemies. That's why Hillary Clinton, like her or not, she was the worst secretary of state in the history of this country. Obama has been a disaster. Who does he get along with? He doesn't get along with anybody. It's hard to believe.

I didn't want to go in. In fact, people came from the Bush administration because I was getting a lot -- I was pretty vocal on the fact, Don't do it. I said, You're going to destabilize the Middle East.  And when you destabilize, that means -- you know, Iraq and Iran were the same. They'd go 10 feet this way -- for years, for decades, they would fight, they'd go -- they'd use the poison gas. It would be terrible.  They'd use something else. They'd go -- and then they'd go home and rest for another 10 years.

Now, all of a sudden, we knocked off one of them, and Iran is taking over the world. I mean, I said the other day -- I said -- a sad joke, frankly, but I said if Iran was a stock, buy it. You'll make 100 times your money in a very quick...

HANNITY: They're about to get $150 billion.

TRUMP: What we're giving them -- we're giving them $150 billion, plus tremendous other things that we're giving them. And you know the saddest part? Even if the deal isn't approved, we now agreed to give more money.

HANNITY: You actually said, They, meaning Iran, will do what I tell them to do.

TRUMP: They'll do what I tell them to do.

HANNITY: What does that mean?

TRUMP: OK, here's the story. We have to go in -- we have to stop, if we can, this deal from being made. But the deal is already a disaster.  You know, if we stop it, they already -- we would lose the money. We lose $150 billion, plus -- plus not just $150 billion, it's a $150 billion plus.

If the deal were dead, where Schumer goes against it -- now, I would bet that Schumer went against it with a wink to the president.

HANNITY: I'll bet.

TRUMP: They know they have the votes. Schumer's a guy from New York City, and a lot of pressure is putting -- being put on by Israel. I guarantee you that's a deal where he winks at them, they wink at him, I'm against it, but they have the vote. I guarantee.

(CROSSTALK)

TRUMP: That's the way it works. We have to go in. So I did not want to go in, but now it's totally messed up. Now you have ISIS -- and others, but you have ISIS cutting off Christians' heads and others. They cut off anybody's head. They're drowning them. They're cutting off their heads.  We have to go in with force. We have to take the oil because the oil is their source of wealth.

Now, other things -- money is coming out of Saudi Arabia. Money is coming from ...

HANNITY: How would you deal with that?

TRUMP: You have to stop the money at the banking sources. We have to stop the money at the banking sources.

HANNITY: You'd be hard on Saudi Arabia?

TRUMP: Well, look. Saudi Arabia makes a billion dollars a day.  Thank of it, a billion dollars a day. We protect them. We get nothing!  How stupid are we?

We protect Saudi Arabia -- if we didn't protect them -- because you know, when we had the war with Kuwait and Saudi Arabia was attacked, boom, they ran. We had our beautiful Marines standing there, bing, bing, bing, bing, we got them back.

But they ran. You never saw anything like it. They ran so fast.  When Saddam Hussein started sending people in there, you know, on the border, when he took over Kuwait, there's another example. We take over -- Saddam Hussein takes over Kuwait. The wealthy Kuwaitis go to Paris, and they take not -- not suites. They take whole buildings, hotels. They live like kings.

We then go into Kuwait, spend billions of dollars, lose lives, take over Kuwait, hand it back to them. Then about two months later, the Kuwaitis came to my office to see me.

I had a deal I wanted to do with them. They said, No, no, no. We do not invest in the United States. We do not like the United States for investment purposes.

HANNITY: We just liberated them.

TRUMP: We will not -- we just liberated them. They have this huge Kuwaiti fund. They said, We do not invest in the United States. We have great respect for you, Mr. Trump, but we want deals outside. We do not like the United States.

We just gave them back their country! I say, How stupid are we? Why didn't we say, We want 50 percent of your oil forever, or we're not letting you go back in? But nobody -- it's hard to believe.

HANNITY: Go back to ISIS.

TRUMP: It's hard to believe.

HANNITY: You talked about taking their oil, surrounding, a perimeter.

TRUMP: Correct.

HANNITY: OK. I like the idea of -- I think...

(CROSSTALK)

HANNITY: First thing we're going to do with the money we get from oil is give it to the families...

TRUMP: Correct!

HANNITY: ... of the military.

TRUMP: Correct! We lost thousands of people...

HANNITY: Five thousand.

TRUMP: ... you know, in Iraq. Well, and we have people walking around without an arm, without a leg, and worse than that.

HANNITY: Give them the money.

TRUMP: Give them millions! And by the way, that's peanuts compared to what you're talking about in terms of money.

HANNITY: All right, is that enough...

TRUMP: Give them a lot of money and keep a lot of money.

HANNITY: All right, you're going to surround the perimeter. You're going to take the oil. What else do you got to do to stop ISIS?

TRUMP: That will be the beginning of the end because that cuts off the money. That cuts off the head. When you take the oil and when you stop the banking sources -- you've got to do that, too. The problem is, we have people in the administration that aren't smart enough to understand what's going on. You have to stop the banking flow.

But when you do that and when you take the oil, that's the beginning of the end of ISIS. They don't have the money.

(END VIDEOTAPE)

HANNITY: And coming up, will Donald Trump stop using Twitter if he's elected president? He answers that question next.

Plus, more on Hillary Clinton handing over her private e-mail server to the Justice Department. Well, how much is this going to hurt her politically? Any chance she can go to jail, maybe face legal charges?  That and more as "Hannity" continues.

(COMMERCIAL BREAK)

(NEWSBREAK)

HANNITY: Welcome back to "Hannity." Now, in just a few minutes, we'll have a debate on Hillary Clinton turning over her private e-mail server to the Justice Department. Could she end up behind bars?

But first, here's more of my sit-down interview with the one and only Donald Trump from yesterday.

(BEGIN VIDEOTAPE)

HANNITY: Let me go back to Iran. You said, They will do what I tell them. How do you make them do what you say?

TRUMP: They will know I'm not playing games. And you know what? I hate to inherit a bad deal. And I know some of my compatriots said, We won't honor the deal. That's a little tough. I like to honor deals.

HANNITY: They have the money. They have the money.

TRUMP: Well, no, the problem is, by the time -- if I make it, by the time I get there, they will be very rich because Obama will have given them all of these many billions of dollars, et cetera, et cetera.

However, all contracts -- I study contracts. I'm a -- I'm a -- you know, in golf, I say I'm a plus-five at contracts, OK? I study contracts.  No matter how bad this contract is, I will make this contract be enforced to such an extent that they will not be able to do it. And then I will do things that you won't believe.

But -- but listen, it is so important that they not have nuclear weapons. The problem with this deal is they will have them, and all other surrounding countries are going to be forced to get them, too. You're going to have a nuclear holocaust.

HANNITY: I don't see a scenario under which the Israelis, probably joining with the Saudis, Egyptians, Jordanians, don't take out those sites before they get them.

TRUMP: Well...

HANNITY: And the United States -- I see that happening.

TRUMP: I mean, we're in trouble, but Israel would be in very big trouble if this deal is allowed to go forward. What I hate so much about the deal -- the 24 days is ridiculous.

HANNITY: Nuts. Yes.

TRUMP: But you know, before you get to the 24 days, there's a whole process -- I don't know if you know that...

HANNITY: Of course.

TRUMP: ... that can take much longer than 24 days. So we start the process, we go through a whole procedure. Then after weeks, we may get to the 24 days. The whole thing's ridiculous!

But you know what else bothers me so much? The money bothers me, like I would have never given them the money. We have four prisoners. Why didn't they say, before the negotiations start -- this should have happened two years ago. Did you ever see such a long negotiation?

HANNITY: It's crazy.

TRUMP: You know, we're not sending a rocket to the moon. But why didn't we say, Fellows, we want the prisoners.

HANNITY: $150 billion is the equivalent of $8 trillion USA dollars based on the size of their economy.

TRUMP: Yes. Yes. Yes.

HANNITY: Let me ask you a couple more things. You wrote "The Art of the Deal," best-selling book. Are you learning that the art of politics is different than the art of the deal?

TRUMP: Well, I mean, so far, I'm enjoying politics, and I guess I'm enjoying because, I mean, a poll just came in where I'm 32, at 32 percent.

HANNITY: You have five good polls post-debate.

TRUMP: Yes, no, I'm doing well. But it's a long process. It's a very long process. I don't want to get overly excited because you're going to have ups, you're going to have downs, you're going to have good days, you're going to have bad days. The end result is you have to win.

And I don't want to win for the sake of winning. I want to make the country great again. It's my whole theme, making America great again. And the word "again" is a very important word...

HANNITY: We were once great.

TRUMP: ... because right now, we're laughed at. We're scoffed at.  We don't do anything right. You see what's going on.

As an example, our military -- it's depleted. We send Humvees, the best in the world, 2,300 -- this -- I'm not talking about three or four. I thought they were talking about, like, 23 or 2. We send 2,300 Humvees, the finest in the world, armor-plated, everything, over to our allies.

HANNITY: ISIS has them.

TRUMP: One shot is fired, our allies run. ISIS now has 2,300. Do you know how many that is? I thought they were wrong. I thought I -- when I read it, I thought they maybe made -- it's a typographical, like, 23, so -- and by the way, we don't have the quality Humvees. So now they have better machinery than we. Our guys are driving around, they don't even have protection underneath. That's why they're losing their legs and their arms.

HANNITY: Scary.

TRUMP: We need smart people. We need a great military, a strong military. You know, they all say, I'll be the best on jobs. Everybody says that. You probably (INAUDIBLE) I will be so great on jobs. I think I'll be equally great on the military.

And the other thing we have to do, we have a moral obligation to take care of our vets. And by the way, unlike Jeb Bush, take care of our women.

HANNITY: And you wouldn't cut Social Security?

TRUMP: We have to take care of the women, with the women's issues.

HANNITY: 67 million Americans out of the labor force. You wouldn't - - you wouldn't raise the retirement age or...

TRUMP: No, I wouldn't.

HANNITY: ... means test Social Security.

TRUMP: These people made a deal. What I will do is, I'm going to take our money back from China. And China's going to like us.

You know, if you go into this building, if you go to a certain floor, the biggest bank in the world is there, by far. Like, Citibank is the -- as they say...

HANNITY: It's a Chinese bank.

TRUMP: Citibank is a small subsidiary, OK?. If you go to a certain floor of the biggest bank in the world -- from China. I say -- I just renewed their lease for another 10 years. I said, Do you guys want to be here? Oh, absolutely. We love you, Mr. Trump. We respect you.

Here, China takes advantage of us, they make a fortune, and they don't even like us. We will make China like us, and Russia and other places, and we'll also benefit economically.

HANNITY: A lot has been made over your Twitter account. If you won the presidency, would you still stay on Twitter? Would you be out there at 1:00 o'clock in the morning tweeting?

TRUMP: Well, probably a little bit less. But I'll tell you, it's pretty amazing.

HANNITY: You'd still do it?

TRUMP: I do get my point across.

HANNITY: You do.

TRUMP: You know, it's funny. For years, if somebody did bad stuff to me, I couldn't fight back. Now I have @realdonaldtrump, and I can sort of tweet some bad stuff about them...

HANNITY: Real quick.

TRUMP: ... and if people like it, it's all over the world.

HANNITY: Who are the people you listen to the most as it relates to politics? Who do you -- who -- who can come into your office and say, I don't like this?

TRUMP: You know, I listen to your show. I listen to other shows. I see some very smart guys on the shows. I like Bolton. I like a lot of the guys that you have and that, frankly, I see on other networks. I mean, I respect them, even if they're not necessarily...

HANNITY: So you listen to everybody?

TRUMP: Oh, I listen to everybody.

(CROSSTALK)

HANNITY: ... close to you that really -- that you count on the most?

TRUMP: Well, I have some very smart people in my organization, and my children are very smart. You know, and you know Ivanka, how smart, and she's got a great sensibility...

HANNITY: I know Eric. I know Donald, Jr.

TRUMP: I'll tell you what. Ivanka came to me the other day. It was very interesting. And you know, with this whole thing with Megyn Kelly, and it's really -- in theory, it's not a big deal...

HANNITY: Right.

TRUMP: ... but Ivanka said, Dad, you love women. You cherish women.  She said that. She used the word "cherish." She said, You respect women.  You have so many women working for you, probably more women executives than male executives. She said, Dad, you've got to let people know how much you adore women and how you'll take care of them.

And right after she said that, Jeb Bush came out with that horrible statement, where essentially, he's not going to take care of women's health issues. And I said, Wow, that's incredible. That's a really stupid statement to make.

But Ivanka is so much into that whole issue of women's health and women, and she's my guide on that whole subject. But she understands how I feel about it.

HANNITY: Mr. Trump, thank you.

TRUMP: Thank you very much.

HANNITY: Appreciate you being with us.

TRUMP: Great honor.

(END VIDEOTAPE)

HANNITY: Coming up, Geraldo Rivera and Charles Hurt. They react to my sit-down interview with Donald Trump.

Plus, the political world is reeling tonight after Hillary Clinton announced that she is handing over her private e-mail server to the Justice Department. So how much trouble is she really in? Could she end up in jail?

And this news comes as a new poll reveals that Bernie Sanders now has a strong lead over Hillary in New Hampshire. Not a good day for the Clinton campaign -- as we continue.

(COMMERCIAL BREAK)

HANNITY: Welcome back to "Hannity." 2016 Republican presidential candidate Donald Trump gave a lot of specifics during his sit-down interview with me. So will his ideas work? Can he go all the way?

Joining us now with reaction, someone who knows Donald Trump very well, FOX News senior correspondent Geraldo Rivera. From The Washington Times, Charles Hurt is with us.

Geraldo, you see the phenomenon. I got the latest polls out today, latest CNN poll. Trump, Iowa, 22 percent, Carson 14 percent, Walker 9. I mean, every single -- New Hampshire, two polls are out. They all show the same thing. How do you explain that?

GERALDO RIVERA, FOX NEWS CORRESPONDENT: Well, I love the guy. I think that what you're seeing, Sean, is a reaction to his charisma, to his energy. I think the Donald correctly characterizes a lot of other leading candidates, like Governor Bush and Secretary of State Clinton as being kind of lethargic and wimpy and whiny. He, on the other hand, has this bursting of energy and originality. I think that that is going a long way with people.

It will be interesting to see, though -- you mention that he's gone -- and your excellent interview shows that he's trying to now segue into specifics. How will people like his specific ideas?

To me, his most charming aspect is the fact that he is independently wealthy, that he can self-finance, that he knows that the political process has become perverted and polluted by special interests and lobbyists, and he will be the antidote to that. I think that's his strongest suit, Sean.

HANNITY: You know, Charles, in the interview, we got a lot of specifics tonight. We showed the ISIS specifics. Last night, it was immigration specifics, how we get Mexico to pay for the wall. He even talked about health care savings accounts. He never talked about that before.

Does that help him by getting deeper into the issues and giving more specific answers about how to solve the problems we face as a country?

CHARLES HURT, WASHINGTON TIMES: Yes, I think it absolutely helps.  And he -- but he obviously has to do much, much more of it because there are a lot of unanswered questions.

And you know, Sean, I get why a lot of people get frustrated with him because he has been so reluctant to get into specifics, until I feel like your last two interviews with him.

But you know, the thing -- the reason I think that people don't really care that much is that, you know, all the problems we face today -- we have not been -- this -- our country has not been as aimless and lost as it is today since, I think, Jimmy Carter. And even -- I think it's probably even worse today.

And so you have this guy who maybe he's light on the specifics, and he certainly has changed his position on a couple of key things. But one of my favorite lines from that interview was when he looks at you and he says, I am perhaps the most militaristic person that you have ever interviewed.  I'm going to make our military powerful again.

That's what people want to hear! They -- people are yearning for somebody who is going to take charge and go in a direction because I think people feel lost...

HANNITY: That's a good point.

(CROSSTALK)

HANNITY: ... talk politically. Oh, I'm sorry, Charles. I don't want to cut you off. Go ahead.

HURT: No, no, and I think it's true on both sides. It's not just the Republicans side. It's on the Democrats too, which explain the whole Bernie thing.

HANNITY: And that was my next question to Geraldo. Trump is defying conventional political gravity, Geraldo. But so too is a 73-year-old curmudgeon that has a seven-point lead in New Hampshire.

RIVERA: Socialist.

HANNITY: A socialist that we thought was inevitable.

RIVERA: It's hippie central up there. New Hampshire is next-door to Vermont. New Hampshire, live free and die and all the rest of that. I think Bernie Sanders is charming. I think that he has his own appeal, particularly to the young people.

To me, I equate it -- my son, Gabriel, my oldest of my five children, was a big Ron Paul supporter. I think that in some ways the appeal of Bernie Sanders is a lot like the appeal that Ron Paul had in the three runs he made for the White House. It's kind of the antiestablishment. It's the idealistic, the youthful, hopeful, optimistic, we're all in this together, share and share alike. So he does have that impact.

But I don't think, even if Bernie Sanders wins in New Hampshire, where is he going to go? In South Carolina he will be eaten alive. I think he has a much different track than Donald Trump does.

HANNITY: You don't know, Geraldo. Let me ask you, Charles, I'll give you the last word on this. I'm not so sure. I think Hillary Clinton -- and we're going to get into whether or not she could be possibly going to jail one day. She is in serious legal trouble.

RIVERA: Oh, that's in your dreams, Sean, in your dreams. That ain't happening, dude.

HANNITY: Tell that to David Petraeus.

RIVERA: David Petraeus knew he was giving secrets to someone without secret clearance. Hillary was talking to one of her aides.

HANNITY: Wait a minute. She set up the email account.

(CROSSTALK)

HANNITY: And she set up that email account, erased 32,000 --

RIVERA: It's not about her email. It's about her failure to understand Iraq. That's --

HURT: Let's also not forget that another reason she set up that email server outside of the purview of the State Department is because she was -- she was going to work for president Obama. And every day this stuff comes out. And it's embarrassing. The president claims to be the most transparent presidency in history, and all of this stuff comes out. And we all may laugh at that claim, but he takes it -- he -- he believes his own stuff. And so, at some point the president is going to get sick and tired of this and either DOJ goes in or he gets behind Biden. I think he gets behind Biden.

HANNITY: Guys, good to see you, and appreciate you both being with us.

RIVERA: Thanks, Sean.

HANNITY: Coming up, Hillary, is she in serious legal trouble after top secret emails were in fact discovered on her private server when she said they weren't? Any chance she could go to jail? We'll check in with former U.S. attorney Mike Mukasey. He's coming up. And we'll get legal reaction straight ahead.

(COMMERCIAL BREAK)

HANNITY: Welcome back to "Hannity." So Hillary Clinton to be in deep trouble tonight. Four classified emails were discovered to have been stored on the Democratic frontrunner's personal server. Two of them were deemed top secret. Following the discovery of this information Hillary Clinton has agreed to now turn over her personal server to the U.S. Justice Department. But over the past couple months Clinton was singing a much different tune. Watch this.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, FORMER SECRETARY OF STATE: First let me say that I am confident that I never sent nor received any information it was classified at the time it was sent and received.

I think there is so much confusion around this that I understand why reporters and the public are, you know, asking questions. But the facts are pretty clear. I did not send nor receive anything that was classified at the time.

The server contains personal communications from my husband and me.  And I believe I have met all of my responsibilities, and the server will remain private, and I think that the State Department will be able, over time, to release all of the records that were provided.

(END VIDEO CLIP)

HANNITY: Joining me now to react to the developing scandal, former attorney general Michael Mukasey is with us. Sir, welcome back. Good to see you.

MICHAEL MUKASEY, FORMER U.S. ATTORNEY GENERAL: Good to be with you.

HANNITY: What's interesting about this is the inspector generals that now have basically jump-started this FBI investigation because of what they -- they only gleaned 40 of the tens of thousands of emails, and four of them they deemed to have classified information, something she repeatedly said was not on her personal server. So --

MUKASEY: This is just a random sample.

HANNITY: Just a random sample. What does that tell you if they've got, what, 30,000 more emails to go through?

MUKASEY: What it tells me is there is a lot more classified information that was stored on that server without authorization, improperly. And that should not have been done. That's the kind of thing that, at a minimum, that's the kind of thing that General Petraeus was prosecuted for.

   I should add, by the way, that that the same material is on the thumb drive that David Kendall, her lawyer, has. And he is not authorized to have it either. So that ought to be turned over as well.

HANNITY: Now, remember, let's go back to what she just said. "Never sent, never received." That has now been proven false. But on top of that she also already erased at least 30,000 emails. She claimed it was about yoga and correspondence with her husband and planning the wedding, and the funeral of her mother. I can't imagine that 30,000 emails would fit into that category. And then, on top of that, she apparently destroyed the server, or at least erased the server. Do you think there is a chance that those emails could be recovered?

MUKASEY: There is always a chance. The FBI has absolutely unparalleled ability to search electronic instruments like that and to recover information if it can be recovered. Their skill at that is, I think, unequalled anyplace. So if anybody is going to get at it, they will. And it's a good thing that it's in the hands of the FBI.

   But beyond that, I think that David Kendall's -- the thumb drive that was turned over to David Kendall ought to be turned over immediately because the form in which she turned over the records to the State Department was on paper. That can't be searched. A thumb drive can be searched electronically so that if that's the form in which the information was stored originally, that ought to be turned over post haste.

HANNITY: Yes. All right, one of the things that we know that she violated the Records Act. There is not really a big penalty for the records act. But the American Center for Law and Justice did a review over what laws they think were broken. I want to run these by you based on your prior position, that the head of each federal agency. This, by the way is 44 USC 3101. It was passed in 1950. "The head of each federal agency shall make and preserve records containing adequate and proper documentation of the organizations and functions, policies, decisions, procedures, and essential transactions of the agency and design to furnish the information necessary to protect the legal and financial rights of the government and of persons directly affected by the agency's activities."  Let's do them one at a time. Do you believe, based on what we know now, that she violated that law?

MUKASEY: Quite obviously and quite directly.

HANNITY: OK. Now, by the way, that would mean punishable by what?

MUKASEY: Well, I don't know what the penalty is under Title 44. I know that there are statutes under Title 18 that carry penalties beginning with the misdemeanor statute I cited earlier, which is a penalty of up to a year, up to a statute called the obstruction of justice statute which she voted for when she was in Congress. This is a revision to the statute that says that if you destroy documents that are potentially relevant to a matter within the jurisdiction of an agency of the United States, like, for example, the Benghazi committee, that's a felony punishable by up to 20 years.

HANNITY: Wow. All right, now let's go to the second law the ACLJ points out she may have violated. "Whoever becomes possessed of documents or materials containing classified information of the United States knowingly removes such documents or materials without authority and with the intent to retain such documents or materials at an unauthorized location shall be fined under this title, or imprisoned, for not more than one year or both."

MUKASEY: Well, that's the misdemeanor statute I mentioned a moment ago. That's the one that General Petraeus was prosecuted under.

HANNITY: Let's go to the third law that we're talking about here.  And this would be 18 U.S. code 2071. And it states, "Whoever, obviously, having the custody of any such record, proceeding, map, book, document, paper or other thing willfully or unlawfully conceals, removes, mutilates, obliterates, falsifies or destroys the same shall be find under this title or imprisoned not more than three years or both, and shall forfeit his office and be disqualified from holding any office under the United States as used in this subsection. The term office does not include the office held by any person as a retired officer of the armed forces of the United States." I would think that would mean you can't be the president of the United States, sir.

MUKASEY: I would think it would mean precisely that, among other things.

HANNITY: Yes. What do you -- would you also add to that the possibility, if she knowingly destroyed documents? Let's for example say, John Kerry mentioned yesterday that he believed that it's very likely the Chinese or the Russians are monitoring his emails. Is it possible the Chinese, the Iranians, the Russians, Vladimir Putin, may have a copy of the original server? And if so does that not put her in a position where she could be compromised or blackmailed?

MUKASEY: Well, I don't know that they've got a copy of the original server. But I do know that everybody in Washington is aware that the emails and the communications -- the electronic communications generally of government officials are a prime target of foreign intelligence and of foreign countries.

Every time somebody walks into the situation room, whenever she walked into the Situation Room when she was secretary of state, she was required to put her -- her cellphone and any other electronic communication device that she had in a little cubby outside the room because you're not allowed to carry that stuff into the Situation Room for fear that it might be activated by somebody else. That's how sensitive they are to that kind of issue in Washington.

HANNITY: But if John Kerry, our current secretary of state, believes there is a high likelihood that his emails are being monitored, then it's not really a stretch to think that her email was monitored just before her.  Correct?

MUKASEY: Certainly not a stretch, particularly since she kept it on a server that was not secure.

HANNITY: All right, thank you, sir. Appreciate it.

And coming up, really bad day for Hillary. Bad poll numbers in New Hampshire. We'll tell you about them.

Plus, could Donald Trump in a head-to-head against Hillary in the 2016 general election, well, could in fact she win, or would he win? Peter Johnson Jr. is here with reaction straight ahead.

(COMMERCIAL BREAK)

HANNITY: Welcome back to "Hannity." So the server scandal is not the only bad news for the Clinton campaign today. Hillary's 2016 Democratic rival Senator Bernie Sanders is climbing big-time in the polls. A new Franklin Pierce University, "Boston Herald" poll of likely New Hampshire Democratic primary voters has Bernie Sanders, get this, seven points ahead of Hillary Clinton.

Here with analysis, FOX News legal analyst Peter Johnson Jr. and Democratic strategist Jessica Tarlov is with us. Peter, that's outside the margin of error.

PETER JOHNSON, JR., FOX NEWS LEGAL ANALYST: That's outside any possibility that anyone thought at any point before this. The Clinton folks, their head must be exploding at that. And demonstrates a deep dissatisfaction within the Democratic Party about what's gone on in terms of the Obama administration and what's going on in terms of the Clinton candidacy. So it spells a lot of trouble for the Clinton candidacy at this point. It can be regained, but it is a barometer that is something that we didn't predict at any time, and it has to be taken seriously.

HANNITY: Jessica, back in March she was winning, let me see, like 37 points, and 58 percent of the American electorate doesn't think she is honest and trustworthy. How does she recover from that?

JESSICA TARLOV, DEMOCRATIC POLLSTER AND STRATEGIST: I think that she starts being for honest and trustworthy. She needs to talk to the press more. She needs to get out there --

HANNITY: You're admitting she is not.

TARLOV: I admit that it doesn't look this way. And all of this that is going on with the emails, it certainly doesn't help her. That's something that people in New Hampshire care a lot about, people all across the country. She is in head-to-head matchups with the GOP rivals, they're getting closer and closer. Some of the time they're ahead, though she is still beating Donald Trump. But I would say she has her work cut out for her and this is certainly not going to be a coronation.

HANNITY: Peter, what did you think of Donald Trump? And if there was a matchup, Donald Trump versus Hillary Clinton, who do you think would win that matchup?

JOHNSON: The polling now shows that Hillary Clinton would win that matchup. But we're in an unpredictable time here in the United States.  When Bernie Sanders and Donald Trump are eclipsing their rivals, better known, better financed, actually, and are changing the dynamic of what we're thinking in the United States, it goes back to a deep dissatisfaction with what has occurred under Democratic control of the White House. And people are saying we need an absolute change. So whether it's on the left or whether it's on the right with Donald Trump, people are saying it's not going right. And so Donald Trump's nationalistic fervor has caught on as has Bernie Sanders' dissatisfaction with the status quo.

HANNITY: Jessica, if you're in Hillary Clinton's camp, how nervous are you tonight between the server and the polls? I would think they are in def-con five mode.

TARLOV: It's not a good night. But I don't think that they --

HANNITY: What?

TARLOV: I said it's not a good night, and I don't think that they've had a good night in quite some time. But speaking to Peter's point, which I completely agree with but would add that it's not just a dissatisfaction with the Democrats. This is about the political class in general. I mean, Bernie Sanders, he is an elected official, but he talks differently. He is a straight talker. He advocates for whatever he pleases. He doesn't care how much it costs. He'll pay for college, you know, whatever.

HANNITY: Maybe it's the year of the insurgency. Guys, thank you for being with us.

TARLOV: Thank you.

HANNITY: All right, guys, appreciate it. And speaking of Hillary Clinton and Donald Trump, that's part of our "Question of the Day." We need your help coming up next.

(COMMERCIAL BREAK)

HANNITY: Welcome back to "Hannity." And it's time for your input, our "Question of the Day." Could Donald Trump in a head-to-head match up against Hillary Clinton win the general election? Go to Facebook.com/SeanHannity, @SeanHannity on Twitter and let us know what you think.

Unfortunately that's all the time we have left for this evening. Set your DVR so you never miss an episode because we always miss you. Thanks for being with us. We'll see you back here tomorrow night.

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