Kelly Questions Administration Officials on Dubai Ports Deal at House Hearing
Kelly Questions Administration Officials on Dubai Ports Deal at House Hearing
March 1, 2006
Congresswoman Continues Scrutinizing Terrorist Financing Risks Posed by Deal
WASHINGTON - During a Congressional hearing today, U.S. Representative Sue Kelly continued scrutinizing Administration officials over the controversial sale of six U.S. ports to a government-owned company in Dubai, which is part of the United Arab Emirates (UAE).
Kelly opposes the deal based on the UAE's continuing failure to stop terrorists from using their country as a financial center. Kelly has been leading House efforts to investigate terrorist financing issues and stop the financial activities of terrorists. She said that there is clear evidence that Dubai was a financial center for Al Qaeda activities leading up to the Sept. 11, 2001 terrorist attacks, and it continues to be a terrorist financing center for U.S. enemies.
"We are deeply concerned in New York about this situation, and the Administration needs to give us better answers about its implications on our national security," Kelly told Administration officials testifying at the hearing.
"Yesterday, President Bush advised Members of Congress to look at the facts. In reviewing this port deal, can you please characterize for us how you dealt with the many facts that show us that Dubai's territory and financial system has been a hornet's nest of activity for our enemies," Kelly asked when questioning those officials.
Among the facts that Kelly noted to Administration officials:
* Iran is currently using Dubai as a center from which to finance its acquisition of weapons of mass destruction (WMDs).
* An individual is currently under federal indictment for allegedly selling missile-related equipment to the Iranians using the Dubai branch of Bank Saderat, the Export Bank of Iran.
* International arms-trafficker and U.S.-designated terror financier Viktor Bout appears to continue operating freely in the UAE despite repeated U.S. requests for that government to stop him.
Kelly asked several questions related to terrorist financing and money laundering activities in Dubai, but Administration officials said they could not immediately answer any of them. "These are exactly the types of questions we need you to be able to answer if you want Congress to understand the reasoning behind this deal," Kelly said.
Kelly, who is chair of the House Financial Services Oversight & Investigations Subcommittee, first questioned a Treasury official about the Dubai Ports deal on Feb. 16, during a Congressional hearing she held about terrorist financing. She specifically cited concerns about money laundering and other financial activities in Dubai, and similarly got non-answers.
"This deal should not go forward," Kelly said after the hearing. "Dubai has not been cooperative with U.S. efforts to block terrorist funding networks, and there are clearly more questions than answers about whether terrorist financing risks were thoroughly vetted during the approval of this Dubai Ports deal."
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