Senator Menendez: Security Legislation Spurred By Dubai Ports World Fiasco Passes With Menendez Provision Intact

By admin - Posted on July 12th, 2007

Bill to strengthen the vetting system for foreign purchases of companies in U.S. on its way to president's desk

July 11, 2007 -- WASHINGTON – Congress today gave final approval to legislation first proposed last year in the wake of the Dubai government’s purchase of commercial operations of six major U.S. ports (including the Port of New York/New Jersey). U.S. Senator Robert Menendez (D-NJ), one of the foremost critics of Dubai Ports World’s purchase, applauded the passage of the legislation, which includes a provision he authored to notify Senators of investigations into foreign acquisitions in their home states.

“When six of our biggest ports were to be sold to Dubai without any red flags being raised, it was like an alarm bell to strengthen the vetting system,” said Menendez. “This reform is a necessary component to our national security, and it will help ensure that Americans don’t wake up one day to find without any warning that the port in their backyard is controlled by a foreign government – as almost happened in New Jersey last year.”

On the language he successfully included in the bill, Menendez said, “It’s common sense to notify Senators when there’s a deal under investigation in their home state. It’s common sense to let those who have their constituents’ best interests at heart know when there are potential concerns.”

The Foreign Investment and National Security Act of 2007 makes changes to the process by which the Committee on Foreign Investment in the United States (CFIUS) vets acquisitions of businesses operating in the U.S. It requires higher-level sign off for approval of deals, increases scrutiny of deals involving foreign governments, involves the Director of National Intelligence in the process and increases Congressional notification of CFIUS investigations.

Source: Senator Robert Menendez

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