WASHINGTON, D.C. – Rep. Chris Smith (R-NJ), dean of the New Jersey Congressional Delegation,
co-sponsored the Foreign Investment Security Improvement Act, legislation that was introduced today by Homeland Security Chairman Peter King (R-NY) and Ranking Member Bennie Thompson (D-MS).  The bill ensures that Congress will have an oversight role in the investigation of Dubai Ports (DP) World’s acquisition of P&O Worldwide, a $6.8 billon deal to sell control over the Ports of New Jersey, New York, Philadelphia, Baltimore, Miami, and New Orleans.

Earlier this week, DP World agreed to a more thorough, 45-day investigation by the Committee on Foreign Investment in the United States (CFIUS).

“Selling operational control of our ports to a foreign state-owned company could have major implications on our national security,” said Smith.  “Based on what I’ve seen thus far, I am opposed to this deal.”

The Foreign Investment Security Act requires a 45-day investigation of the sale.  After the investigation is concluded, the bill would require – within 15 days – a report to Congress providing detailed findings of the investigation and the Presidential determination.  Congress would then have 30 days to reverse the sale through additional legislation.  The bill requires the investigation to include:

· A review of US Coast Guard assessments of foreign ports where DP World operates.

· Background checks of DP World officers and security personnel.

· An evaluation of the impact on port security by DP World’s control of US port operations.

· Consultation regarding the impact on national security of DP World operations at affected U.S. ports with: the U.S. Coast Guard; U.S. Customs and Border Protection; the Secretary of Homeland Security and State and local officials.

“National security and the safety of our citizens must trump all other considerations and the Foreign Investment Security Act will ensure that an in-depth investigation of this sale is conducted,” Smith said.  “If the 45-day investigation reveals that our national security is jeopardized in the slightest by this sale, I will do all in my power to reverse it.”