Washington – Citing broad gaps in U.S. intelligence, the Coast Guard cautioned the Bush administration weeks ago that it could not determine whether a United Arab Emirates-based company seeking a stake in some U.S. port operations might support terrorist operations.
The disclosure came during a hearing Monday on Dubai- owned DP World’s plans to take over significant operations at six leading U.S. ports.
The Bush administration said the Coast Guard’s concerns were raised during its review of the deal, which it approved Jan. 17, and that those questions were resolved.
The port operations now are handled by London-based Peninsular & Oriental Steam Navigation Co.
“There are many intelligence gaps, concerning the potential for DPW or P&O assets to support terrorist operations, that precludes an overall threat assessment” of the companies’ potential merger, the Coast Guard intelligence assessment said.
“The breadth of the intelligence gaps also infer potential unknown threats against a large number of potential vulnerabilities,” the assessment said.
The Coast Guard said the concerns reflected in the document ultimately were addressed. In a statement, the Coast Guard said other U.S. intelligence agencies were able to provide answers to the questions it raised.
The report raised questions about the security of the companies’ operations, the backgrounds of people working for the companies and whether other foreign countries influenced operations that affect security.
Sen. Susan Collins, R-Maine, chairwoman of the Senate Homeland Security Committee, released an unclassified version of the document Monday.
The Bush administration agreed Sunday to DP World’s request for a second review of the potential security risks related to the deal. Congressional leaders who brokered the arrangement for a second review hoped it would defuse a bipartisan political uproar over port security.
A bipartisan group of senators introduced a bill Monday that would delay the deal and give Congress an opportunity to block the takeover. The group did not plan to push for a vote yet.
“We’re in a position now of watchful waiting,” said Sen. Charles Schumer, D-N.Y.
