Homeland Security objected to ports deal

? The Homeland Security Department objected at first to a United Arab Emirates company’s taking over significant operations at six U.S. ports. It was the lone protest among members of the government committee that eventually approved the deal without dissent.

The department’s early objections were settled later in the government’s review of the $6.8 billion deal after Dubai-owned DP World agreed to a series of security restrictions.

On Saturday, congressional leaders, the company and Bush administration officials reached for a compromise intended to derail plans by Republicans and Democrats for legislation next week that would force a new investigation of security issues relating to the deal. Talks were to continue through the weekend.

Under one proposal being discussed, DP World would seek new approval of the deal from the Committee on Foreign Investment in the United States, given the company’s surprise decision Thursday to indefinitely postpone its takeover of U.S. port operations. Other proposals included a new, intensive 45-day review of the deal by the government – something the White House had refused to consider as recently as Friday.

Despite persistent criticism from Republicans and Democrats, the president has defended his administration’s approval of the ports deal and threatened to veto any measures in Congress that would block it. The company’s voluntary delay in taking over most operations at the six U.S. ports did little to quell a political furor or appease skeptical members of Congress that the deal does not pose any increased risks to the U.S. from terrorism. Republican House and Senate leaders are to meet Tuesday to discuss how to proceed.

The company declined Saturday to discuss any potential compromise that may be in the works.

A DP World executive said the company would agree to tougher security restrictions to win congressional support only if the same restrictions applied to all U.S. port operators. The company earlier had struck a more conciliatory stance, saying it would do whatever Bush asked to salvage the agreement.