CNN "The Situation Room" - Transcript: Netanyahu's Speech to Congress; The Iran Deal

Interview

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BLITZER: All right, we will see what happens. Dana, thank you. Let's get more insight right now. Joining us, a key member of

the House of Representatives, Democrat, Democratic Congressman Adam Smith. He's the ranking Democrat on the House Armed Services Committee.

Congressman, thanks very much for joining us.

We know about 50 of your Democratic colleagues decided to boycott the speech. You didn't attend. Tell us why you decided not to listen to the prime minister.

REP. ADAM SMITH (D), WASHINGTON: Well, I listened to him.

I decided not to attend because I had hip surgery not long ago, and I have got back problems. And sitting for an extended period of time is not good for me. But I sat in a very comfortable chair in my office and watched the speech. So I did, did watch the speech. I just didn't go for health reasons, basically.

BLITZER: So you didn't want to make a statement, like your colleagues who decided to boycott? You went -- you didn't go for other reasons.

SMITH: Yes.

BLITZER: What is your reaction? What did you think of the speech?

SMITH: Well, first of all, I think the most important thing is the strong relationship between America and Israel.

And both the speaker's just unfathomable decision to invite Mr. Netanyahu here without telling the president, as clearly a partisan move, the efforts to boycott, all that gets in the way of the fact that we have a very strong relationship between America and Israel that we need to fight to protect.

I think the prime minister, Mr. Netanyahu, is wrong about several of the key aspects and what is being negotiated. But we will know that once the deal gets there, I mean if the deal gets there. As President Obama has pointed out, Iran's hard-liners are very reluctant to cut any deal with us. And it's quite likely that Iran will walk away from the table.

So I think the prime minister prejudged what is in the agreement. And we all need to wait and see, and then we can decide whether or not it's a good agreement.

BLITZER: What specifically -- where do you specifically disagree with the prime minister?

SMITH: Well, specifically, when he says that all sanctions will be lifted from Iran, well, it's not true.

We have sanctions on Iran for a variety of reasons, nuclear program one of them, but also as a state sponsor of terror, also because of a variety of other actions that they have taken. Those sanctions are not going to be lifted.

We are not in any way offering to lift all sanctions on Iran now or 10 years from now. So to say that, well, gosh, if we do this, we lift all sanctions, we lose our leverage, that is just flat wrong.

Second, I don't think anyone has decided that after 10 years everything is fine. We don't know what the timeline is for this agreement, but we will continue after that timeline expires to insist on inspectors. So, I think there are some key facts that he's just not -- he's not correct on at this point.

And, like I said, let's wait and see what the agreement is. And if it's a bad agreement, I will be first in line to reject it. But prejudging it does not seem fair.

BLITZER: And let's see if there is an agreement at all, because you're right. Even if there's an agreement that is negotiated there, the ayatollah may decide he doesn't like it and that ends it right there.

Congressman, stand by. We have much more to discuss. We're going to continue the breaking news coverage right after this.

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BLITZER: We're back with Democratic Congressman Adam Smith.

We're talking about the breaking news, President Obama firing back at the Israeli prime minister after he, Prime Minister Netanyahu, blasted the administration's efforts to strike a nuclear deal with Iran.

Based on everything you know, Congressman -- you're the ranking member of the Armed Services Committee -- can the U.S. really trust Iran to implement this kind of a deal?

SMITH: Well, look, we cannot trust Iran. That's obvious, and that's clear.

There has to be inspectors. There has to be, in the words of Ronald Reagan, trust, but verify. Unless there are verifiable inspectors in Iran that can check and make sure that they are complying with the agreement, absolutely, there's no way we should trust Iran on this.

But the other interesting thing is, so what's plan B? So, we walk away from negotiations. And I actually -- I agree with Prime Minister Netanyahu. The best choice would be for Iran to discontinue their nuclear program. And if they want to have peaceful nuclear power, have their uranium enriched by some other country and shipped to them. That would be the best choice.

Iran refuses to do that. So then the question is, do we simply walk away from the negotiations? And if we walk away from the negotiations, what do our partners do? What does Russia and China and Europe do? Do they stick to the sanctions regime with Iran, or does it begin to unravel, and what does Iran do?

If Iran knows there's no way out from under the sanctions, isn't that an incentive to just go ahead and build the bomb, if they have got nothing to lose? So, I think this is a difficult situation. And if we can get an agreement that limits Iran's nuclear program to the point where we can be confident they will not develop a weapon, it may not be perfect, but I think that is certainly something we should pursue.

And, again, we will see what the actual text of the agreement is. But that goal, I think, is worth pursuing.

BLITZER: If there is an agreement. That's a key if, as we all know.

SMITH: Yes.

BLITZER: Nancy Pelosi, the Democratic leader in the House, she issued a very tough statement, saying the Netanyahu speech, in her words, was an insult to the intelligence of the United States. She said she was saddened by the condescension towards the U.S. by the speech.

You agree with her?

SMITH: Well, I wouldn't use those exact words.

But, again, we have a very strong relationship between Israel and the United States. And Netanyahu basically said we're negotiating like a bunch of idiots. And, yes, that's a tough blow to take to maintain that relationship.

But, understand, this is an existential threat to Israel. Prime Minister Netanyahu has every reason to be deeply concerned and express those concerns. Again, I disagree with them. And I don't believe that the United States would negotiate a bad deal and accept a bad deal. And we're prejudging it all.

Let's see what the deal is and determine whether or not it makes sense. But I will again say that the hope that somehow Iran walks away completely from their nuclear development program on even a peaceful enrichment for energy purposes, Iran has said that's a nonstarter.

If we insist on that, the negotiations break down, our partners walk away, and, like I said, arguably, the sanctions regime breaks down, because it's very dependent upon Russia and China and Europe sticking with us. If they start doing business with Iran, then that undercuts the sanctions regime.

BLITZER: All right, Adam Smith is the ranking member of the Armed Services Committee.

Congressman, thanks very much for joining us.

SMITH: Thanks, Wolf. I appreciate the chance. BLITZER: Thank you.

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