Fugitive Richard Matt shot, killed

This is a rush transcript from "The Five," June 26, 2015. This copy may not be in its final form and may be updated.

KIMBERLY GUILFOYLE, CO-HOST: This is a Fox News alert. I'm Kimberly Guilfoyle. There is breaking news on the hunt for two fugitives who escaped from a New York prison three weeks ago. A law enforcement source had confirmed to Fox News that one of the killers at large, Richard Matt, has been shot and killed. Let's go to Gregg Jarrett live at the Fox News Desk.

GREGG JARRETT, FOX NEWS: Kimberly, you're right. This apparently happened near Lake Titus, New York, way north in New York close to the Canadian border, and authorities have been searching that area. It's close to Owls Head over the last several days. Richard Matt turned 49 yesterday, was serving 25 years to life for kidnapping and torturing his former boss then using a hacksaw to cut him into piece. Well, Richard Matt is now dead apparently in a shootout with law enforcement who were tracking him down and getting very, very close.

There are reports -- and we haven't been able to confirm them -- that the duo were still together and tried to hijack -- carjack, I should say, a camper. And apparently, there was some sort of a confrontation there -- it's unclear precisely what happened -- that may have led to the death of Richard Matt. But David Sweat is still on the run. He broke out of a northern New Jersey prison along with Matt three weeks ago.

Investigators say they cut through the steel wall of the back of their cells and made their way down a catwalk. They broke through a brick wall, cut their way into and out of a steam pipe and then they escaped literally through a manhole outside the facility outside onto the street. And the nearby guard towers were reportedly unmanned so nobody really saw them. Sweat was serving a life sentence without parole in the killing of a sheriff's deputy. But the latest we have is that David Sweat it's still on the run.

Again, a source telling Fox News that escaped prisoner, Richard Matt, has been shot and killed. Apparently, these guys were traveling successfully at night over the course of the last three weeks, which is really quite amazing, because hundreds and hundreds of law enforcement were working during the daytime and at night. At night, they were using thermal imaging devices from helicopters in the air so that they could look down and see any bodies, the heat from bodies emanating below. But apparently, it is so thick with foliage and trees, wooded area there, which is very treacherous and swampy, they managed to traverse without being seen at night.

Allegedly, they were living in various cabins, one or more cabins during some of this time. Last week, you may recall law enforcement found DNA evidence inside one cabin, including prison-issued undershorts that connected them to that cabin. And then yesterday, we learned yet another cabin had been used by these two escaped convicts. The law enforcement found evidence inside that cabin, and then in a nearby field, they also found evidence. So they were -- law enforcement was hot on their trail and and they appear to have closed in on at least one of them. Richard Matt has been shot and killed, but David Sweat, who is very dangerous, is still at large this hour. Kimberly, back to you.

GUILFOYLE: All right, Gregg, thanks. I'm going to bring in the rest of the team here. Take it around the table. Geraldo, you have a question.

GERALDO RIVERA, CO-HOST: My first observation, Gregg, is that for all the competence of the escape itself, getting the tools to cut through the wall, to cut through the pipe, to make it through the pipe, getting their blueprints to find out where the manhole emptied out and so forth, for all of the 100 percent competence, we see now that life is not like the movies. These guys had no plan. Why didn't they carjack some vehicle immediately when they emerged from that hole and gotten some distance? I mean, they're right in the neighborhood. It was just a question of time before they were captured. Is there any indication that they had any help on the outside, Gregg?

JARRETT: No. So far we don't know that. Of course, they had what they thought was planned help from one of the prison guards, the woman whose picture just passed through our screen who has already been arrested and charged with a variety of offenses. They thought she was going to be waiting for them near by the manhole and was going to drive them away to safety, and probably a long ways away from the upstate New York area, the Adirondacks. But these guys, as clever and cunning as they were, apparently didn't have a backup plan in case she didn't show up, and she didn't show up. She ended up having second thoughts and checked herself into a hospital with a panic or anxiety attack. And of course, law enforcement caught onto their plan. But these guys apparently decided she's not there, what are we going to do, and so they departed on foot

And you know, Geraldo, you've probably been up there in the Adirondacks. I mean, it is so difficult to get through that wooded area. And in June, it's awful. The black flies are out. They're as big as a Buick. They attack in swarms. Mosquitoes at night are awful. People avoid the Adirondacks in June. They start going up in July and August when it's really, really nice. So it's been, I mean, it's been really hard for these guys in that region. And they're only roughly 20 to 30 miles from the Canadian border. And yet they couldn't get there. I mean, they might as well have been 500 miles because it's that difficult to move through that territory.

GUILFOYLE: All right, Bolling?

ERIC BOLLING, CO-HOST: So, Gregg, is there any indications -- do we have any idea of how this encounter went down? In other words, he's dead. Richard Matt was shot and killed. Was he armed? Do we know if he was armed? Is David Sweat armed?

JARRETT: You know, we don't know that, but law enforcement is presuming that they are. There may be some evidence that before law enforcement learned of the attempted camper carjacking that there may have been shots fired. But whether that came from Richard Matt and David Sweat or from somebody else, that's a little unclear. There's a report that on that camper there were bullet holes. But we don't know the circumstances of that. But you can bet that law enforcement is counting on the fact that these two vicious killers, one of whom dismembered his former boss -- I mean, these guys are about as heinous as they come. So you've got to presume they're armed and dangerous.

GUILFOYLE: All right, Dana?

DANA PERINO, CO-HOST: I have a question, Gregg, about the other guy. So sweat. Are they sure that he's alive because could it possibly be that these two were traveling together? We knew they were together. Are they sure both of them were in the structure yesterday or was it possibly just one of them?

JARRETT: Well, we don't know the details of whose DNA, if not both of them was in the cabin last week. Now, as to yesterday's cabin, no, we don't know whether the evidence connects both or just one. There has been no body discovered of David Sweat. So they presumed he is still at large. Richard Matt, they have secured his body after a shootout. He is dead. That has been confirmed by official sources.

So they're operating on the assumption that David Sweat is still alive. He's still out there. He's still on the run. And he still poses a serious threat to anybody up there. And you know, we're getting toward the July 4th holiday weekend where everybody heads up there to all of these cabins that are so frequented and beloved up there by generations of people in New York. It's a way to get away from the heat and humidity of the city and get up there and you sort of get a much cooler breeze coming off the many lakes up there.

My family and I always go up there as well every summer. We're still planning to do it this summer. So people are just now going up there, which complicated things. For law enforcement as you've got to worry about all of the residents and visitors up there, it makes it harder when you've got to set up road blocks and go through cars and so forth. So you know, it's been really tough up there. But right now they believe David Sweat is still out there alive and a threat.


GREG GUTFELD, CO-HOST: Gregg, this is Greg. I'm looking forward to an invitation to your cabin in a few months.

JARRETT: We don't own it. We borrow it.

GUTFELD: Oh, OK. Well, I do a lot of borrowing of cabins myself.

JARRETT: Bring your fly swatter.

GUTFELD: Yes. Richard matt is an accomplished -- was an accomplished artist and actually used his artwork to make transactions amongst the prison officials or employees. Does this mean now that he's dead that his artwork will immediately go up in price from mere dimes and nickels to perhaps millions?

JARRETT: Well, I think that's the least of concerns of everybody. But hey, if it does, law enforcement which has done a wonderful job needs to be reimbursed for this hunt.

GUTFELD: There you go.

JARRETT: You know I did see, you know, Greg, some -- have you seen his artwork? He's not bad for an amateur.

GUTFELD: It's better than mine.

JARRETT: Yeah. Well.

GUTFELD: I have a painting from John Wayne Gacy.

JARRETT: I can just imagine.

GUTFELD: I'm not joking.


GUILFOYLE: OK. Art and leisure, travel mag, that will be another segment. But Fox's Rick Leventhal just made his way to Malone, New York where Matt was killed, and he joins us live now. Rick, what's the latest?

RICK LEVENTHAL, FOX NEWS: Kimberly, we're at a roadblock about 3 miles from the intersection that's closest to this last-known location of these two escaped prisoners where we believe one of them, Richard Matt, had been shot and killed. That confirmed to me by a law enforcement source. So again, we're on Route 30. About 3 miles that way is Route 41 and near that intersection is where we're told Richard Matt was shot and killed by law enforcement who have been pursuing him and David Sweat for the last 21 days. This is obviously a major development for the 1100 law enforcement officers and agents who have been pursuing these two for the last three weeks now.

I'm just getting some information from my producer here that there is now we can confirm a pursuit for David Sweat, the second inmate. So, we know that one of them, Richard Matt, has been shot and killed. We can confirm that law enforcement is now on a foot pursuit of David Sweat somewhere in this area of Malone, which is roughly a few miles from the first location in Owls Head that first cabin where they found evidence of these two escaped prisoners and about 20 miles - 25 miles west of where these two men escaped from the prison in Dannemora.

GUILFOYLE: OK. So, at this point, what do you think -- what's your best working theory? Do you think they were together during this altercation? What do you think went down?

LEVENTHAL: Well, Kimberly, I think what happened was in the first couple of days after they broke out of the - of the Clinton Correctional Facility, they made their way west to Owls Head and laid low in one or more of those hunting cabins or hundreds if not thousands of them dotting the Adirondacks here. I believe that they were laying low, waiting for opportunities to move, but as we know now, they only made about 20 miles in the 2-1/2 weeks before they were first spotted.

And since that spotting, since someone went to that cabin to check on it, and they saw someone run out the back door, and they found evidence inside that cabin, DNA evidence linked to both of these two men. They knew they were still together at that point. This is last Saturday. I believe that they probably found another place nearby to lay low. And in fact, today, the New York State Police told us that they found evidence of both of these men in a cabin yesterday in Malone, which is just a few miles from that other cabin. And then in a field this morning, very close to where that other cabin was.

So they were in a couple of cabins, and then they were apparently on foot trying to make some distance. But then this shooting took place again in the town of Malone. So, they didn't make it very far. And apparently were still together. And authorities have shot and killed one of them. And they are apparently hot on the heels of the other.

GUILFOYLE: OK. So in hot pursuit, Geraldo?

RIVERA: So, is it an eyes on situation? Have they spotted Sweat? Do you know, Rick? Or is it that they assume that he's someplace in that bush?

LEVENTHAL: Geraldo, I'm getting this secondhand through a source and I don't know whether they have eyes on him. But if they say - if we can confirm that there is a foot pursuit of this man, then I would believe that they have seen him, they've spotted him, and -- and they're chasing him.


BOLLING: Hey, Lev (ph) -- Gregg Jarrett mentioned that a heat sense - heat sensing helicopter. Is that how they located at least Matt and maybe Sweat as well?

LEVENTHAL Well, you know, the first - the first confirmed location that they were in in Owls Head, that happened because someone went to check on their hunting cabin and they saw something amiss and they yelled out and someone went running out the back door and then they went in and they found items left behind by these two convict, including apparently a bloody sock, some prison-issued underwear and other evidence they were able to positively link through DNA of both men.

The second location - a second cabin that they found evidence that these two men had left behind in Malone, they were led to that cabin because someone reported a burglary at that cabin. And they went to check on the break-in and, again, went in and found evidence that these two men had left behind. Did a quick DNA test and - and determined that they had been there and then found these other items in the field.

We're not sure what led them to that location, but they do have heat- seeking technology, they do have numerous helicopters. They've been using it during this search. But that's been complicated by the weather. You know, when it rains heavy, it's hard to use that - that -- that equipment. And -- and certainly, if they're hiding underneath trees and - and the heavy leaves that are covered with water, again, that the heat-seeking technology may not work that well. And then during the day when it's hot outside, it also is not as effective. It's much more effective at night.

PERINO: All right. Dana Perino. Rick, you might not have heard yet but it sounds to me Matt was armed in some way, and do we have any indication how he would have obtained that weapon?

LEVENTHAL: Well, as we know now from state police when they went to that first hunting cabin, the men who owned that cabin were many of them corrections officers. And they said that there were so many people that used that cabin and would leave weapons in that cabin that they had no idea. They couldn't account for the weapons that were in there. They didn't know what - what had been there and what might be missing. And we've heard from other people in this area that they, too, have left weapons inside their hunting cabins in these mountains.

So, it's possible they got weapons out of the first cabin and it's also possible they got weapons out of other cabins that they were able to break into in this area. So, that's why police seemed very certain that one or both of these men were armed and possibly carrying multiple weapons. And we have heard some reports of shots being exchanged or certainly someone reporting shots being fired at them. And just before Matt was caught and killed.

So, we don't know whether they were actually now getting desperate and trying to - to perhaps carjack someone or shoot at someone and steal a vehicle. But what we do know is that Richard Matt has been shot and killed. And authorities have told us that they believe these men are armed. We don't know if they recovered a weapon from him, but we do know they're in pursuit of David Sweat.

GUILFOYLE: All right. Rick, thank you. So, standby because we're going to be coming back to you shortly, but now, we go to the host of "On the Record" Greta van Susteren joins us. So, Greta, quite a turn of events that now we're hearing that they are in hot pursuit or foot pursuit of the other remaining suspect, the escapee, one deceased and one still in play.

GRETA VAN SUSTEREN, FOX NEWS: Well, those are fantastic news, that's the best news we could have except for the fact that they've gotten both of them. I mean, look these two had the most elaborate plan to break out of that prison which (ph) is most sophisticated breakout that you can imagine like a Hollywood movie and yet then their escape plan once that they emerged from that manhole was almost nothing. It looked like they were just simply wandering.

They didn't split up which is rather unsophisticated if you're trying not to get caught. The fact that they stuck together is - is fascinating rather than not trying to split up and escape alone. But look, you know, right now the situation is very fluid, very dangerous on -- in hot pursuit. But this - but if he's armed, you know, these police officers who are trying to find him, all law enforcement, they're at huge risk. We know that they had a shotgun. It doesn't take a lot to aim with a shotgun and trying to find anybody in that brush is very difficult.

But tonight that we've got to tip our hats to all those men and women out there trying to find him. I don't know if we can say quite so much for the security inside that prison from which they escaped.

GUILFOYLE: All right, Greta. We're going to ask you to stay with us because lots more on this breaking news developing story. We'll have Greta resume discussions with us after the break. And again, escapee, Richard Matt has been shot and killed by law enforcement. Stay with us.


GUILFOYLE: This is a Fox News Alert. And a manhunt underway, foot pursuit for the remaining suspect that is alive, David Sweat. And one Richard Matt killed in a shootout with law enforcement. Let's bring back in Greta van Susteren who joins us on the program.

So, Greta, right now, the information we're getting is that there is an active foot pursuit which means to me that they have had a visual on that suspect, perhaps, some kind of altercation, some kind of incident that led them to believe that he is still there in the area. One deceased and now chasing after the other guy who potentially is armed and obviously we know dangerous.

VAN SUSTEREN: Kimberly, I can't imagine he'll get away now. I mean, they - if you think about all those - all the law enforcement out there and a confirmed sighting and the fact that they killed Matt shows that there is a confirmation that it's Sweat or most likely, I should say. So, they're going to get him. The question really is, when are they going to get him? Is it going to be in the next minute, two minutes, an hour, three hours, tomorrow? When are they going to get him?

But, you know, he can't move that fast. You know, they're going - they're going to catch him. Will he - will he be - will be -- surrender himself or will this be a shootout? You know, that's the other question. And -- and if he - if there is a shootout, then there's always the risk to law enforcement. But as we know, if - if he wants to take on the police, you know, have at it. Because they will take him down. Because this is a very dangerous man. This is a cop killer.

The other man who died today, the other killer, he killed an elderly man. He decapitated him or dismembered him first before even doing that, he drove him around in his trunk for a couple of days. He couldn't get much crueller than - than Matt except for this guy, Sweat. Sweat killed a cop and then rod over him in his car. I mean, these are the two ugliest, most violent people we can think of. And the fact that they were even in the area of a prison called the honor block is a little breathtaking to think about.

Nonetheless, they got out. And there's been this manhunt for almost three weeks. And the fact, they stayed in the area that's even unusual. Stayed in the area, didn't have a sophisticated plan post getting on to that manhole and stuck together

GUILFOYLE: I know it is really remarkable. It's unusual. One of the things that I'm thinking about coming into play and bringing in now Greg Gutfeld is the rugged terrain, the dense brush there. But now the suspect at large will have the advantage of nightfall coming in which could make it a little bit more difficult, a little tricky to be able to detect him. So he might be able to get an advantage with the cover of darkness. Greg?

GUTFELD: Well, I was just wondering what the area is like, what Malone is like. Is it densely populated? Are there a lot of people who live there? Or is it just like sparse cabins? Are people in danger of this guy showing up?


VAN SUSTEREN: Yeah, of course, they're dangerous that. I mean, because (ph) - I mean, from all the description that we have Griff Jenkins and Ted Williams up there, so it's incredible the area and a lot of it is unmapped and, you know, this hunting cabins are, you know, spotted, you know, they're all over the area. And - and that's been the problem because they've had to search all these hunting cabins and that's where they get - hunting cabins and that's where they got the guns.

GUILFOYLE: Yea. Bolling? Yes.

BOLLING: So, Greta, can you put your legal hat on for a second. Now that someone is dead as a result of all this - this escape, the prison official that helped assist these two escape. Will she be charged with more now that someone's dead?

VAN SUSTEREN: I don't think she'll be charged with more. She's sure to be charged with a lot more and even Gene Palmer, the other correctional - the correctional officer, who was also been charged -- incidentally, he was at - he was put on administrative, leave with pay. It's now as of this morning without pay because he's been charged. But the fact that Matt is dead and didn't kill a police officer or law enforcement officer as he was taken down, certainly is good news for both those two.

They're both, you know, they're both in deep trouble. Of course, Joyce Mitchell is sitting in a slammer. So, to that extent, they are quote "lucky." I don't know if I'd consider this myself lucky if I helped someone escape from prison, though.

GUILFOYLE: Yeah because Greta, he's talking about felony murder. Because there's someone who was killed in the pursuit of these two escapees for committing felonies


RIVERA (?): Aren't those considered.

GUILFOYLE: . well, but not for his own death. For example.

RIVERA: But she could have been charged much more seriously.

GUILFOYLE: Maybe she will.

RIVERA: They charged her very leniently in my opinion.

VAN SUSTEREN: But Geraldo, they know why they did that, they just wanted to charge with enough to hold her.


VAN SUSTEREN: I mean, let me - you just - you just hit them with one or two charges so you know.

RIVERA: Or Greta, is it.

VAN SUSTEREN: . they can't get out.

RIVERA: . is it because she rolled and - and thwarted the escape and that this was the inevitable conclusion of what would happen with this, the escape, because she -- well did not provide the getaway car? I think that they.



RIVERA: . they treated her as a very friendly person.

VAN SUSTEREN: I don't know if I -- I think the problem is they're in full- scale panic trying to find these two. I don't think they've really had a chance law enforcement even the D.A. the sure (ph) and think - think what's the proper resolution for her. They just wanted her out of circulation. So, you know, hit her with a couple of charges so that she's not going any place. So, she can sit in jail. Try to talk to her and see if she has any intelligence and in terms of where these two might have fled that they say that they're really interested in Colorado or wherever. You know, they're trying to get information from her. But I don't think they've truly focused on what's going to happen to her.

GUILFOYLE: Yeah. Dana?

PERINO: Greta, based on your experience, and -- why do you think the two of them stayed together?

VAN SUSTEREN: Oh, you know, Dana, the thing is when I just practiced law here, we saw - we never could get over it. There was a prison outside D.C. about 20 miles from here called Lorton, and every time they escaped from Lorton, you'd think they would keep going and head out to California and see Kimberly? No.


VAN SUSTEREN: Instead - yeah, instead they come right back to their neighborhood and the marshals would pick them up right in their, you know, right in their neighborhood.


VAN SUSTEREN: It's the most - I mean, it's so - yeah, you know, these people, they don't think like we do. I mean, I would want to keep running or do something to get out of there. But, you know, it's stunning - it's stunning they stuck together. It's stunning that they would have such a sophisticated plan that took a long time to get out of that prison. And remember that -- that note they left have a nice day. I mean, there's something going on there with them. But then - then once they get out, once they - once they lift that manhole cover, it was like they had no idea what they were doing.

GUILFOYLE: Yea, it wasn't well executed on - on the breakout after that. But I guess their plan was foiled because she had a panic attack, turned and decided not to come pick them up. Geraldo, you have.


RIVERA: Angelina Jolie will probably play here in the movie.

GUILFOYLE: I don't think so.

RIVERA: And her husband will be some other drop-dead gorgeous person instead of, you know, the person that we see before us. Who apparently was very active sexually. Hundred times with - with sweat in the - in the closet of the - of the prison tailor.

GUTFELD: Considered actively?

RIVERA: Well, 100 times with that guy. When did she do it? And then other fellow, the well-endowed one, and I noticed - I noticed in many of the tabloids are talking about how they - they got Richard Matt, the well- endowed. You know what, it's interesting to me. Greta mentioned dismemberment. I don't know if that's an appropriate segue.


GUTFELD (?): No.

RIVERA: Remember today, this dominates our news because we have a fugitive on the loose and we have hundreds of law enforcement closing in. But they dismembered another person, decapitated a person in France today in a terror attack that was one of three major terror attacks that happened this day alone. So, while we are justly obsessing over this one fellow on foot on the loose in Upstate New York, you should know that the president of the United States, you know, for all his celebrating supreme court victories and so forth, is now going to be confronted with the fact that we are at war with ISIS.

Now, I want them to catch David Sweat and I want them to catch him before nightfall. I - I think that he may last another day or so out in the bush. But he's almost an irrelevancy. And he'll be - he'll be captured, Greta.

VAN SUSTEREN: But, you know, Geraldo, it might be a good time for us to sort of reevaluate what's going on in some of these prisons that we've sort of looked away from for a long time. And we think of the prison in Baltimore, a number of correctional officers, the women in a couple of years ago women were pregnant. I mean - I mean, there's something.

RIVERA: Four by the same guy.

VAN SUSTEREN: I mean, this - I mean, like look, you know, prisons, you know, are places that where very dangerous people live. And even some not so dangerous people are imprisoned as well who maybe shouldn't be there. But the idea of what's going on in the Clinton Correctional Facility, it's not named after Bill Clinton by the way but Clinton County. Whatever is going on there just is not good. I mean, that this - what we're seeing, the fact that they can get a hacksaw in and doesn't go through a security is beyond me.

GUILFOYLE: It's almost out of a movie but it's real life. Because right now at this hour there is a manhunt under way in Upstate New York for an armed and dangerous killer, David Sweat. Matt deceased. Stay with us. More after the break.


GUILFOYLE: This is a FOX News alert. And a manhunt is under way at this hour as nightfall approaches. One of the suspects in the prison break still at large and active foot pursuit for David Sweat. Richard Matt, deceased, shot by law enforcement.

We go now to FOX News desk where Gregg Jarrett is standing by with the very latest.

GREGG JARRETT, FOX NEWS CORRESPONDENT: Yes, FOX News is now able to confirm that law enforcement -- and we're talking about a lot of them, hundreds of them -- are in hot pursuit of David Sweat, the only survivor of this duo in that brazen escape from a maximum security prison.

But this just crossed the New York Times web site. They're saying they have a report of a second episode of gunfire as law enforcement is pursuing David Sweat, the other inmate. This according to two people connected with the case. It's unclear Mr. Sweat's fate at this point. That's a quote from the New York Times web site.

So if there was one shootout resulting in the death of Richard Matt several hours ago, now there is a report of a second exchange of gunfire, episode of gunfire directed at David Sweat, who is on foot, we presume, and still at large.

Right now Sweat's best friend and his biggest enemy is the same thing: the rugged terrain up there. That heavily wooded area that is so very treacherous. Best friend because he can hide. But biggest enemy because it's difficult to move and to get away from those in hot pursuit.

So you've got roughly, you know, 1,000 law enforcement in pursuit of this guy, including what is essentially a picket line that law enforcement has put together at the Canadian border to the north, because they feared they'd escape across that border. So they seem to have all of the angles covered.

But look at that videotape. You could see just how thicket the forest is up there. So he could be anywhere. And obviously, law enforcement would like to get him before nightfall.

But even then, helicopters will converge on the area. They have thermal imaging devices. They have night scopes. Those thermal imaging devices can detect a human body, the heat from it that emanates moving along the ground. Of course, the cover of trees makes it tough. But generally, you can get some heat. You have to be able to distinguish it from animals, deer, bears, so on and so forth. But it gives you a pretty good idea if you're in hot pursuit of David Sweat just where he might be -- Kimberly.

GUILFOYLE: Well, it sounds like they've closed in on him, like you said, with that second round of gunfire going. I think his minutes might be limited.

But let's bring it over to Rick Leventhal, who joins us from Malone, New York with the very latest.

Rick, you're hearing those reports that we just got from the news desk. New York Times reporting that there has been a second burst of gunfire in the hot pursuit of the remaining suspect at large, David Sweat.

RICK LEVENTHAL, FOX NEWS CORRESPONDENT: Well, it wouldn't surprise me, Kimberly. And we can now confirm that, according to a source, Customs and Border Patrol was the agency that shot and killed escaped convict Richard Matt, and that they are among the agencies pursuing David Sweat.

We have seen numerous vehicles driving by, including customs vehicles at high-speed, lights flashing, sirens on, down that road. About one to two miles, we're told, in that direction is the area where Richard Matt was gunned down.

Now, the state police put out news releases a short time ago, minutes ago, that at approximately 3:45 p.m. today, a member of law enforcement spotted a man in a wooded area in the town of Malone, which is where we are. A member of law enforcement shot and killed a man believed to be Clinton Correctional Facility escapee Richard Matt. A positive identification is still pending. Law enforcement are still searching for escapee David Sweat. That was as of a few minutes ago, according to the New York State Police.

We have confirmed that Matt was the convict that they, in fact, shot and killed. And we have been led to believe that both of these men may, in fact, be armed with weapons that they stole from one or more hunting cabins in the woods.

So we believe that that pursuit was ongoing. We don't know whether or not it has ended yet, Kimberly. But certainly, we have seen the response of all these 1,100 law enforcement authorities who are in this region using helicopters, canine teams, on foot and in vehicles, swarming the scene when they get a report that there may, in fact, be a sighting. And up until now, most of the 2,400 reports turned out to be not true.

But in the last couple of days, these things have panned out. And now, of course, we have one dead and one possibly in custody or soon-to-be in custody.

GUILFOYLE: Well, they have a tactical advantage now, because it seems they've been able to, at least, you know, scope out the area where he is, set up, I'm sure, perhaps a perimeter. They certainly have a lot of resources at their hands in terms of the numbers of officers, thermal imaging like we discussed like the military uses, once nightfall and dusk comes upon them.

And then also the use of dogs. Because there was items of clothing left behind that they were able to positively identify and connect to these two escapees, the dogs can scent on that and then, of course, in fact, they can get a positive hit in the field which can narrow in this pursuit.

And of course, Geraldo as well, shots fired. So perhaps we might be getting a report or seeing some of ambulances, anything like that coming would suggest that somebody might have been hit or injured like the suspect.

RIVERA: The fact that it was Customs and Border Patrol I find interesting. Because it brings to mind -- do you remember the movie "The Untouchables" with Kevin Costner? Remember the Mounties -- the Mounties blocked the bootleggers?

Canada has not been idle during these three weeks. Everyone's been talking about Canada as if, if they reach Canada, they'd be in Valhalla. The opposite is true. The Canadian Royal Police are very tough. Since 9/11, that border has a lot of motion detection devices. It's got very enhanced security. And it was, I'm sure, buttressed meaningfully as a result of this escape. They would not have had an easy time either getting into Canada or remaining there.

And it just strikes me again as the desperation of these two, the fact that they were so directionless. They were going they knew not where once they got out of that hole.

GUTFELD: Maybe he's looking for a one-armed man.

GUILFOYLE: All right. We're going to take a quick break. We'll have lots more on this developing manhunt. Additional shots fired. Richard Matt deceased, David Sweat still at large. Stay with us.


GUILFOYLE: This is a FOX News alert. An intense manhunt under way for David Sweat, believed to be armed and dangerous. Richard Matt killed earlier in an altercation with law enforcement.

Let's take it to Greta Van Susteren, host of "On the Record," who joins us.

Greta, I want to ask you about the interview you had with the brother of Richard Matt.

GRETA VAN SUSTEREN, HOST, "ON THE RECORD": Yes, he must be taking a deep sigh of relief tonight, because the brother has told us on multiple occasions and phone calls and on the air that he was actually terrified of his brother. He thought his brother was coming to kill him, because he testified against his brother, which sent his brother to prison for 25 years to life in that 1997 dismemberment of an elderly man.

So he was terrified that his brother was coming for him. Because he said his brother said he was going to kill him if he ever got out. Well, he did get out. And so -- so this brother's been sitting there sweating bullets, thinking that his brother, now dead, would be coming for him. And of course, you know, now the news that he can take a deep breath.

GUILFOYLE: Yes, certainly. Hopefully, you can follow up. Maybe you can talk to him tonight on your program.

I'm going to take it around the table. We have some more questions for you -- Eric.

BOLLING: So Greta, can we just talk about dumb criminals again? Can you believe -- it's just shocking that they could be so smart to devise this plan to break out of their cells -- adjoining cells, get into a pipe, cut through the pipe, get out, plan this whole thing, and then these two guys are dumb enough to -- not only stay in the area but stay together.

I mean, you see two guys that look like these guys together, it's way more likely it's them than if these two guys were separate. They could blend in separately. But two of them, boy. Just dumb, dumb criminals.

GUILFOYLE: Greta's nice. It's called felony stupid.

VAN SUSTEREN: But you know what? I don't think we should stop there with these two. I mean, you know, we're not exactly -- I mean, think of Joyce Mitchell. She's supposedly happily married. She's sleeping with one of them in, I don't know, a prison closet? And bringing them tools and helping them escape?

And then you've got of court Gene Palmer, when his lawyer says that he didn't know he was smuggling in a hacksaw in some roast -- or in some ground beef, but I mean, that's not exactly bright.

How about a prison system that has hot plates for killers in an honor area and especially one in the honor area, which is Mr. Matt, who had previously escaped from prison. So I mean, it's like there are a lot of people here qualifying for that contest to see, you know, who's dumber in terms of who's done the worst things.

But fundamental all this thing is that these two we're looking at the screen right now, they're killers. And one of them's on the loose.

GUILFOYLE: Yes. All right, Dana.

PERINO: Greta, I have a question about the reward money. So Governor Cuomo announced that there would be $100,000 reward for information leading to their arrest. There was the sighting by the person who owned the hunting cabin that leads to an additional pursuit. Does award money for somebody like that, does that go to her?

VAN SUSTEREN: Well, I think if she gets a lawyer she'll at least make a claim for it. She may not get all of it, but they may settle with her for some amount. But look, she did lead them -- she was instrumental in finding them. So you know, I think she's probably entitled to something.

And you know, I don't know what it is. But I don't know how it will shake out, Dana. But if she's the reason this guy is dead, he's no longer a danger to the rest of us, I'm fine with her getting a little reward.

RIVERA: I vote for the person who was the carjack victim today who called 911, which led directly to this final confrontation and the ultimate shooting.

VAN SUSTEREN: They can split it.

GUILFOYLE: All right. Greg, you have a quick question?

GUTFELD: I have a question about how this all started, which is basically human weakness. It all began with a relationship between a prisoner and a corrections officer.

Isn't there some kind of way -- I would assume that prison systems would have short rotations. Where corrections officers do not spend a lot of time with people who have so much time on their hands that they can develop relationships and manipulate, it would seem to me you would move people around so it doesn't happen.

VAN SUSTEREN: Gene Palmer -- it's a good point, Greg. Gene Palmer was on that "A" block, the honor block, for eight years. And the two men, Sweat, were -- they had cells adjoining for a long period of time so they could become very chummy with each other and cook up this plan. So yes. On the other hand, I should say this. You want to give some privileges to people inside of prison as a way to keep them satisfied in life so that they're not taking shanks and hitting correctional officers and other inmates.

So I mean, it's a little bit of a balancing act. But once you see a breakout like this and you hear what was going on there, it's sort of hard not to be, you know, aghast with horror.

GUILFOYLE: I think that Clinton Correctional Facility and others across the country are going to take a hard look at this. Because this should have never been allowed to happen at all. And it was quite elaborate, the scheme. But nonetheless, both of those men have failed. One is deceased. One on the run. Hot pursuit upstate New York. Stay with us.


GUILFOYLE: This is a FOX News alert. And a manhunt under way for the one remaining suspect at large, David Sweat. The other man, Richard Matt, deceased in a shootout with police.

Let's take it right to the FOX News desk, where Gregg Jarrett is standing by with the latest breaking news developments.

JARRETT: Yes, and Kimberly, just as Rick Leventhal was reporting, we have been able to confirm now through a federal law enforcement source that Richard Matt was shot by a Customs and Border Patrol agent with the Department of Homeland Security. It happened at around 3:45.

Now Kimberly, you're a lawyer. And you know that, if you're chasing an escaped prisoner, even if it's a murderer, you cannot just gun him down.


JARRETT: That murderer, Richard Matt, would have to pose a threat, a lethal threat of serious bodily injury or death in order for a law enforcement official to deploy his weapon.

And so we're sort of putting two and two together here that Matt was armed in some form of fashion, either with a gun or some other weapon, and posed a serious threat, which allowed law enforcement from the CBD to pull out their weapon and shoot him dead.

Now, we're also learning that David Sweat is still at large, and they are after him. The New York Times, as we mentioned before, is reporting that there has been another shooting episode regarding David Sweat, but he is still at large. We haven't been able to confirm that, as well.

If there was a shooting incident with him, then he would also have to be armed in some form of fashion.

So that's the latest information. The situation, we are told from law enforcement, is fluid. But law enforcement is out there en masse with different agencies, trying to find David Sweat, armed and dangerous.

GUILFOYLE: All right. Geraldo, you have a quick comment.

RIVERA: Richard Matt went down shooting, we are assuming. When you think about it, both these guys what did they have to lose? If they didn't a law enforcement official outside after their escape, they're already doing life in prison.


RIVERA: So what would the...

JARRETT: Well, because they want to live. I mean, maybe even life behind bars...

RIVERA: No effective punishment. That's why the escape was cost free for these guys.

GUILFOYLE: Right. Well, one has lost his life at this hour. Richard Matt now deceased in a shootout with law enforcement, specifically homeland security. David Sweat on the run in upstate New York as nightfall approaches. Stay with us.


GUILFOYLE: This is a FOX News alert. An intense manhunt under way in upstate New York. One prisoner deceased, Richard Matt. David Sweat still at large. And law enforcement engaging in a pursuit of this individual. Additional round of shots has been fired. Let's get final thoughts from the group Geraldo.

RIVERA: My final thought I'm glad we have been spared the tedious trial of Richard Matt. It would have been a sure conviction. We would have gone through the whole process. And they would have added a life sentence on top of his life sentence. So I'm glad it ended in this kind of frontier justice. I hope that on David Sweat, as well. Forgive me for sounding harsh.


GUTFELD: Yes. I mean, this is the way it should end. And I hope it ends this way without any law enforcement getting hurt. You know, that's all I'm saying.

GUILFOYLE: Enough lives have been damaged by these two individuals -- Eric.

BOLLING: Just the thought that I think David Sweat is probably going to be in the same boat within a relatively short period of time.


PERINO: All right. As you may have heard, Bob Beckel will not be rejoining us at this table. Bob is moving on and "The Five" continues. We will see you back here on Monday. "Special Report" is up next.

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