Criticism Mounting on Dubai Connection to U.S. Ports’ Management
resident Bush said Tuesday that a proposed deal allowing a United Arab Emirates company to take over six major U.S. ports should go forward and that he would veto any congressional effort to stop it, the Associated Press reported.
Senate Majority Leader Bill Frist (R-Tenn.) on Tuesday called for the administration to block the deal, upping the ante on a fight that several congressmen, governors and mayors are waging with the White House, AP said.
On Monday, New York Gov. George Pataki and Maryland Gov. Robert Ehrlich, both Republicans, voiced doubts about the acquisition of a London-based company that has been running six U.S. ports by Dubai Ports World, a state-owned business in the UAE, AP reported.
Critics of the deal have cited possible security concerns involving the UAE because of some of the 9/11 hijackers used the UAE as an operational and financial base, AP said.
Bush administration officials including Homeland Security Secretary Michael Chertoff and Attorney General Alberto Gonzalez defended the government’s due diligence in approving the transaction, AP said.
The British company, Peninsular and Oriental Steam Navigation Co., runs major commercial operations at ports in Baltimore, Miami, New Jersey, New Orleans, New York and Philadelphia.
Dubai's royal family sent a delegation to meet with U.S. officials Tuesday to allay concerns about the emirate's purchase of the port via P&O, Bloomberg reported.
P&O late last year agreed to a $5.7 billion takeover bid by Dubai Ports World, which was completed last week. (Click here for previous coverage.)
