Democrats seek ports review

By Jeremy Pelofsky

WASHINGTON (Reuters) – Democrats on Saturday accused
President George W. Bush of being casual with national security
as they warned of risks from an Arab state-owned company
gaining control of terminals at six key U.S. ports.

New Jersey Gov. Jon Corzine, in the Democratic weekly radio
address, urged Bush to pose tough questions during a delay of
Dubai Ports World’s $6.8 billion acquisition of P&O, even as a
top White House official said there was no need to re-open the
government’s review.

“We cannot afford to let this administration be stubborn in
their mistakes and casual about our security,” Corzine said.
“Every homeland security expert identifies protecting our
nation’s ports as one of our greatest unmet security
challenges.”

DP World said this week it would proceed with the takeover
of the British P&O company — making it the world’s third
largest port operator — but not the management of the U.S.
port terminals while it discusses security concerns.

“But what we need is not a token delay, but a serious
review,” Corzine said. Already lawsuits have been filed to
block the deal, including by the state of New Jersey which is
concerned about its Port Newark terminal.

A DP World executive also said it was open to additional
safeguards for U.S. ports if asked.

Democrats and some members of Bush’s own Republican Party
have hammered the administration for approving the transaction,
citing evidence that two of the September 11 hijackers came
from the United Arab Emirates, of which Dubai is a part, and
that al Qaeda funding went via UAE banks.

The White House bristled at any suggestion that Bush was
lax on security. It noted the United States was in charge of
port security and the government review of the deal was
“rigorous and thorough.”

“This president’s highest priority is protecting the
homeland. He has done so and will continue to do so, and anyone
who suggests otherwise is at best ill-informed,” said White
House spokesman Ken Lisaius.

The Bush administration has acknowledged it should have
done more to inform Congress about the deal, but said security
commitments made by DP World resolved concerns about a foreign,
government-backed firm controlling U.S. ports.

The Committee on Foreign Investment in the United States,
an interagency panel led by the U.S. Treasury Department that
examines national security implications of foreign takeovers of
U.S. assets, approved the transaction last month.

Bush’s national security adviser, Stephen Hadley, said
there were no plans to re-open the review, adding: “It’s been
completed.”

Still, DP World’s Senior Vice President Michael Moore told
Reuters late Friday that the company would consider additional
security guarantees if requested. The company already made some
assurances such as participating in cargo inspection programs.

“We’re going to be very open. … There’s no reason for us,
you know, not to have an open mind,” he said.

Bush has seen security as a winning political issue for
Republicans, particularly ahead of the November mid-term
elections. But Democrats have seized on the ports issue to
raise doubts about his ability to keep America safe.

A Rasmussen Reports poll showed that Democrats in Congress
have edged ahead of Bush, 43 percent to 41 percent, when it
comes to who Americans trust more on national security issues.

Some lawmakers have vowed to pass legislation to block the
deal, but Bush has threatened to veto the measure and said the
UAE is a key partner in combating terrorism.

(Additional reporting by Caren Bohan and Caroline Drees.)