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Arab Co., White House Had Secret Agreement
AP ^ | 2/22/06

Posted on 02/22/2006 6:19:30 PM PST by iPod Shuffle

Arab Co., White House Had Secret Agreement

Feb 22 9:03 PM US/Eastern

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By TED BRIDIS

Associated Press Writer

WASHINGTON

1d08c5bfc6d0@news.ap.org The Bush administration secretly required a company in the United Arab Emirates to cooperate with future U.S. investigations before approving its takeover of operations at six American ports, according to documents obtained by The Associated Press. It chose not to impose other, routine restrictions.

As part of the $6.8 billion purchase, state-owned Dubai Ports World agreed to reveal records on demand about "foreign operational direction" of its business at U.S. ports, the documents said. Those records broadly include details about the design, maintenance or operation of ports and equipment.

The administration did not require Dubai Ports to keep copies of business records on U.S. soil, where they would be subject to court orders. It also did not require the company to designate an American citizen to accommodate U.S. government requests. Outside legal experts said such obligations are routinely attached to U.S. approvals of foreign sales in other industries.

"They're not lax but they're not draconian," said James Lewis, a former U.S. official who worked on such agreements. If officials had predicted the firestorm of criticism over the deal, Lewis said, "they might have made them sound harder."

The conditions involving the sale of London-based Peninsular and Oriental Steam Navigation Co. were detailed in U.S. documents marked "confidential." Such records are regularly guarded as trade secrets, and it is highly unusual for them to be made public.

The concessions _ described previously by the Homeland Security Department as unprecedented among maritime companies _ reflect the close relationship between the United States and the United Arab Emirates.

The revelations about the negotiated conditions came as the White House acknowledged President Bush was unaware of the pending sale until the deal had already been approved by his administration.

Bush on Tuesday brushed aside objections by leaders in the Senate and House. He pledged to veto any bill Congress might approve to block the agreement, but some lawmakers said they still were determined to capsize it.

Dubai Port's top American executive, chief operating officer Edward H. Bilkey, said the company will do whatever the Bush administration asks to enhance shipping security and ensure the sale goes through. Bilkey said Wednesday he will work in Washington to persuade skeptical lawmakers they should endorse the deal; Senate oversight hearings already are scheduled.

"We're disappointed," Bikley told the AP in an interview. "We're going to do our best to persuade them that they jumped the gun. The UAE is a very solid friend, as President Bush has said."

Under the deal, the government asked Dubai Ports to operate American seaports with existing U.S. managers "to the extent possible." It promised to take "all reasonable steps" to assist the Homeland Security Department, and it pledged to continue participating in security programs to stop smuggling and detect illegal shipments of nuclear materials.

The administration required Dubai Ports to designate an executive to handle requests from the U.S. government, but it did not specify this person's citizenship.

It said Dubai Ports must retain paperwork "in the normal course of business" but did not specify a time period or require corporate records to be housed in the United States. Outside experts familiar with such agreements said such provisions are routine in other cases.


TOPICS: Breaking News; News/Current Events
KEYWORDS: bush; nationalsecurity; ports; uae
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To: notigar

Franks KNOWS these people! He has worked with them for a long time! That was his area of responsibility, I think he knows more about it than any of us do.


501 posted on 02/23/2006 8:21:24 AM PST by Echo Talon
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To: CobaltBlue

I wasn't aware a Cabinet position was low level. My mistake.


502 posted on 02/23/2006 8:21:49 AM PST by Coop (FR = a lotta talk, but little action)
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To: Dionysius

Oh. Ok. Everybody is just lying. Dubai is actually a country full of boy scouts helping little old ladies across the street.

Of course, those little old ladies happen to be carrying weapons grade plutonium, but what the heck.


503 posted on 02/23/2006 8:22:14 AM PST by atlaw
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To: Coop

"to the extent possible"


504 posted on 02/23/2006 8:22:14 AM PST by notigar
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To: Coop
As a government contractor. Subject to all U.S. laws, rules, and contractual obligations.

Except, of course, for those routine ones we aren't going to bother them with.

505 posted on 02/23/2006 8:23:24 AM PST by atlaw
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To: notigar

Why did you post that phrase by itself? Could it be that including it in context wouldn't have helped whatever it is you're attempting to argue?


506 posted on 02/23/2006 8:23:26 AM PST by Coop (FR = a lotta talk, but little action)
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To: Coop

The members of the Cabinet weren't even aware of the deal until CIFIUS munchkins said it was OK.

They want to close ranks and be loyal to each other, well, that's the way things are done in government.


507 posted on 02/23/2006 8:24:51 AM PST by CobaltBlue (Extremism in the defense of liberty is no vice. Moderation in the pursuit of justice is no virtue.)
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To: CobaltBlue

LOL! I suggest you do a little more research, my hysterical friend. Perhaps you could start by seeing who chairs the CFIUS.


508 posted on 02/23/2006 8:25:27 AM PST by Coop (FR = a lotta talk, but little action)
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To: Coop
Okay, break's over. Resume the hysteria.

Now Coop, you know that this isn't any fun without the hysteria. : )

509 posted on 02/23/2006 8:26:22 AM PST by atlaw
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To: Coop

"The company promised to take "all reasonable steps" to assist the Homeland Security Department."

You tell me, is that standard language?


510 posted on 02/23/2006 8:26:42 AM PST by notigar
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To: Coop

Rumsfeld is on record as saying he wasn't aware of the deal until it was approved.

Same with Bush.


511 posted on 02/23/2006 8:27:09 AM PST by CobaltBlue (Extremism in the defense of liberty is no vice. Moderation in the pursuit of justice is no virtue.)
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To: notigar

Are you telling me you're quoting contractual language? ('cause you're not - it's the author's writing)


512 posted on 02/23/2006 8:27:58 AM PST by Coop (FR = a lotta talk, but little action)
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To: CobaltBlue
Rumsfeld is on record as saying he wasn't aware of the deal until it was approved. Same with Bush.

Yeah, I know. I've actually read more than just blogs and posts to bone up on the facts here. Why don't you try doing the same? Go look up who chairs the CFIUS.

513 posted on 02/23/2006 8:29:05 AM PST by Coop (FR = a lotta talk, but little action)
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To: Coop

I think I will wait for the Congressional investigations before I accept anybody's word at face value.

From "slam dunk" to "Brownie, you're doing a heck of a job!" my level of trust in the government is at a low level.

Resume cheerleading.


514 posted on 02/23/2006 8:31:50 AM PST by CobaltBlue (Extremism in the defense of liberty is no vice. Moderation in the pursuit of justice is no virtue.)
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To: Coop

If the part in quotes: "reasonable steps", isn't in the contract, what is?


515 posted on 02/23/2006 8:32:28 AM PST by notigar
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To: CobaltBlue
I think I will wait for the Congressional investigations before I accept anybody's word at face value.

In other words, no, I am not going to do a basic inquiry via search engine because everyone here including me knows I'm just blowing a lot of smoke.

The Secretary of the Treasury chairs the CFIUS.

516 posted on 02/23/2006 8:34:22 AM PST by Coop (FR = a lotta talk, but little action)
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To: HisKingdomWillAbolishSinDeath

Much ado about nothing. But it is an election year and it is time to scare people into voting for them.


And all the dims and gop are using this for their own self gain. I hope it comes back to BITE them in the BUTT.


517 posted on 02/23/2006 8:34:55 AM PST by JFC (W, I am with YA)
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To: CobaltBlue

I'm hoping that if Rumsfeld had known about the deal his committee looked at, he would've nixed it.


518 posted on 02/23/2006 8:37:19 AM PST by notigar
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To: notigar
Oh, I'm sure that part is. But the surrounding words making up the sentence and context are not. As far as what's in the agreement, we don't know.

The conditions involving the sale of London-based Peninsular and Oriental Steam Navigation Co. were detailed in U.S. documents marked "confidential." Such records are regularly guarded as trade secrets, and it is highly unusual for them to be made public.

Again, I don't know the context, but generally I find it quite reasonable for a company to have a clause saying "all reasonable steps" when discussing assisting a government entity in performing its duty.

519 posted on 02/23/2006 8:38:23 AM PST by Coop (FR = a lotta talk, but little action)
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To: Coop

I just listened to the Undersecretary of the Treasury on C-SPAN. He oversees policy.

So, despite the fact that the Undersecretary is in charge of policy and delegates day-to-day operations, you're saying that the actual Secretary is hands-on for every investigation?

I don't think you know very much about how government actually works. And google won't help you with that.


520 posted on 02/23/2006 8:45:24 AM PST by CobaltBlue (Extremism in the defense of liberty is no vice. Moderation in the pursuit of justice is no virtue.)
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