Lawmakers Deride Assurances on Arab Port Firm

By  <http://projects.washingtonpost.com/staff/email/Will+Lester/> Will
Lester

Associated Press
Monday, February 20, 2006; Page A07 

U.S. terms for approving an Arab company's takeover of operations at six
major American ports are insufficient to guard against terrorist
infiltration, the chairman of the House Homeland Security Committee said
yesterday.

"I'm aware of the conditions, and they relate entirely to how the company
carries out its procedures, but it doesn't go to who they hire, or how they
hire people," said Rep. Peter T. King (R-N.Y.).

"They're better than nothing, but to me they don't address the underlying
conditions, which is how are they going to guard against things like
infiltration by al Qaeda or someone else, how are they going to guard
against corruption?" King said.

King spoke in response to Homeland Security Secretary Michael Chertoff's
comments yesterday about conditions of the sale. King said he learned about
the government's terms for approving the sale from meetings with senior Bush
administration officials.

Chertoff defended the security review of Dubai Ports World of the United
Arab Emirates, the company given permission to take over the port
operations. Chertoff said the government typically builds in "certain
conditions or requirements that the company has to agree to to make sure we
address the national security concerns." But Chertoff declined to discuss
specifics, saying that information is classified.

"We make sure there are assurances in place, in general, sufficient to
satisfy us that the deal is appropriate from a national security
standpoint," Chertoff said on ABC's "This Week."

London-based Peninsular and Oriental Steam Navigation Co. was bought last
week by DP World, a state-owned business. Peninsular and Oriental runs major
commercial operations in New York, New Jersey, Baltimore, New Orleans, Miami
and Philadelphia.

A Miami company, Continental Stevedoring & Terminals Inc., has sued in
Florida, challenging the deal. A subsidiary of Eller & Company Inc.,
Continental says it will become an "involuntary partner" with Dubai's
government under the sale.

Lawmakers from both parties are questioning the sale as a possible risk to
national security.

"It's unbelievably tone deaf politically at this point in our history," Sen.
Lindsey O. Graham (R-S.C.) said on "Fox News Sunday."

Sen. Barbara Boxer (D-Calif.), on CBS's "Face the Nation," said, "It is
ridiculous to say you're taking secret steps to make sure that it's okay for
a nation that had ties to 9/11, [to] take over part of our port operations
in many of our largest ports. This has to stop."

At least one Senate oversight hearing is planned for later this month.

Sen. Robert Menendez (D-N.J.), who is working on legislation to prohibit
companies owned or controlled by foreign governments from running port
operations in the United States, said Chertoff's comments showed him that
the administration "just does not get it."

Sen. Charles E. Schumer (D-N.Y.) joined some relatives of Sept. 11 victims
at a news conference to urge President Bush to personally intervene. The
president "should override the agreement and conduct a special investigation
into the matter," Schumer said.

 



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