Feb 23, 2006- Kaptur Calls for Special Congressional Hearings and Treasury Inspector General

TOLEDO,OHIO -Congresswoman Marcy Kaptur (OH-9), a strong opponent of the outsourcing of U.S. port operations toforeign owned firms, today called for investigations by both the HouseGovernment Reform Committee and the Treasury Inspector General into the BushAdministration's approval of the management of U.S.ports by Dubai Ports World. Kaptur also asked the Treasury InspectorGeneral to review any conflict of interest regarding the participation ofTreasury Secretary John Snow who chairs the Committee on Foreign Investments,the group which approved the recent contract with Dubai Ports World.

In a lettersent today to House Government Reform Committee Chairman Tom Davis and RankingMember Henry Waxman, Kaptur urged the committee to conduct a series of hearingsto explore these matters to determine whether appropriate processes werefollowed, conflicts of interest explored, and whether or not American companieswere solicited in this process.

"The Treasuryagreement raises serious ethical questions regarding those directly responsiblefor this decision," wrote Kaptur. "In particular, given that Dubai PortsWorld acquired CSX World Terminals in 2004 for $1.15 billion, a company ofwhich Secretary of the Treasury John Snow was Chairman prior to coming to theAdministration, should raise questions about both the acquisition of the CSXport operations and the recent awarding of the contract." Now, as chairof the U.S. Treasury Committee on Foreign Investment in the U.S.,Secretary Snow and the Treasury Department had lead authority in approving the Dubaitransaction.

Secretary Snowholds a deferred compensation package and a special retirement pension from hisdays as CEO of CSX Corporation. In 2004, CSX World Terminals was acquiredby Dubai Ports World, the successful bidder on this contract

"Given thatSecretary Snow had previously disclosed a deferred compensation package withCSX valued at between $5 and $25 million and $33.2 million from a specialretirement pension, one would expect that any financial benefit from the saleof CSX World Terminals to Dubai Ports World, including any stock holdings,would have been revealed, especially if there might be any residual fromsubsequent actions such as these," Kaptur stated in her request of the TreasuryInspector General. The Congresswoman added, "the President'sassertion that he had polled his Cabinet Secretary's on the Dubai deal, causesconcern for me that at least one, Secretary Snow, should have removed himselffrom the decision given his business connection to CSX and Dubai."

Kapturwent on to say that UnitedArab Emirates doesn't share America'spolitical values, pointing out that the country is an undemocratic nation thatcannot assure infiltrators will not breach security. "On 9-11, twomembers of the hijack team that simultaneously downed the twin towers in NewYork City and killed hundredsof Americans at the Pentagon were from the Emirates," said Kaptur. "Asthe 9-11 Commission reported, those same terrorists laundered much of the moneyfor their operation through UAE controlled banks."