Coast Guard was unable to analyze port risks

Paragraph 'speaks for itself'?
Stewart Baker, an assistant secretary for the Homeland Security Department, told lawmakers that the report was an internal Coast Guard document that the interagency panel that reviews foreign investment deals did not see. However, Baker said, he was aware of the Coast Guard concerns.

“I think it’s a little unfair to judge this report by one paragraph that happens not to be classified,” Baker said. “This paragraph is not really representative of the entire report.”

“I think the paragraph speaks for itself,” Collins responded before adjourning the public hearing for a closed session to explore the issue further.

Also Monday, a bipartisan group of senators introduced a bill 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. “If we feel the need, we will get a vote.”

Other Democrats introduced legislation to ban companies owned by foreign governments from controlling operations at U.S. ports. At the White House, governors from across the country met privately with Bush, and several participants said the ports issue was brought up.

The Justice Department said the Bush administration’s decision to investigate potential security risks in the DP World deal renders irrelevant the state of New Jersey’s federal lawsuit aimed at blocking the company from assuming operations at the Port Newark container terminal.

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