Remember Kerry letter to Snow? Chris Dodd sends letter reSnow to Bush.

[blm]

I'm sensing that they know something specific and it may be why Snow is now claiming he hadn't heard about the deal.


Kerry's letter:

The Honorable John Snow
Chair
Committee on Foreign Investment in the United States
Office of International Investment
Department of Treasury
1500 Pennsylvania Avenue, N.W. Room 4201 NY
Washington, DC 20220
Dear Mr. Secretary:

I write to you in your capacity as Chairman of the Committee on Foreign Investment in the United States (CFIUS) regarding the review and approval of the sale of Peninsular and Oriental Steamship Navigation Company to Dubai Ports World (DP). As you know, this sale would give DP, a company owned by the government of the United Arab Emirates, significant operational control over six major US ports.

Specifically, given the national security implications of this sale, I am concerned about the process by which this transaction was approved by CFIUS. First, it appears that CFIUS approved the sale as expeditiously as possible, without even using the additional 45 day investigation process that was clearly warranted under the circumstances.

Further, several media reports have cited ties between Administration officials and DP that raise questions about the basis for the approval of this sale by CFIUS. As you know, the CSX rail corporation, where you previously served as Chief Executive Officer, sold its port operations to DP in 2004. Moreover, the President's nominee for Administrator of the Maritime Administration, David Sanborn, was DP's Head of Operations for Latin America while this transaction was being reviewed by CFIUS. In light of these connections, Congress needs to learn more about the relationship between CFIUS members and DP, and whether Administration officials could have unduly influenced CFIUS's approval process.

Therefore, in the interest of full disclosure and the transparency appropriate under these circumstances, I request that you provide to the relevant committees in Congress all documentation and information relating to contacts between Administration officials, CFIUS members and staff, and DP, including any lobbyists or registered foreign agents working on behalf of DP.

Given the national security implications surrounding this transaction, it is essential that lawmakers have access to this information so that Congress can conduct meaningful oversight.
Sincerely,
John F. Kerry


Dodd letter:

The President
The White House

Washington, DC 20500

Dear President Bush:

I write to express my concerns regarding Treasury Secretary John Snow's involvement in the Committee on Foreign Investment in the United States' (CFIUS) approval of the acquisition of Peninsular and Oriental Steamship Navigation Co.'s (P&O) U.S. port operations by DP World. As you know, DP World is owned and controlled by the Government of Dubai in the United Arab Emirates (UAE).

Prior to joining the Treasury Department in February 2003, Secretary Snow spent approximately twenty years working at the CSX Corporation, including as Chairman and CEO. According to press reports, Secretary Snow received $72.2 million in compensation from CSX in 2003 (including $33.2 million from a special retirement pension), and he has a stake in a CSX deferred compensation plan worth between $5 million and $25 million. In December 2004, after Secretary Snow's departure from CSX, that company's port business was purchased by DP World in a deal worth more than $1 billion. It is unclear whether Secretary Snow was involved in any discussions related to that sale before his resignation from CSX in 2003.

There may have been no actual conflict in Secretary Snow's involvement in the CFIUS process related to the review of DP World's proposed acquisition of P&O's U.S. port operations. However, given the highly sensitive nature of this matter it would have been better had Secretary Snow not been the Chair, or served in any capacity, of the CFIUS review in this case.

The security of some of our Nation's most important ports is at stake. I know you agree that an effective and unbiased CFIUS process is a vital component of protecting the national security of these ports. In order for the process to be effective, however, it must be transparent and free from not only any conflict, but also the appearance of any conflict. Secretary Snow's involvement in the CFIUS review has clouded the recently concluded review process.

I believe that the additional information that has come to light with respect to Secretary Snow and the DP World acquisition of certain CSX port business makes it all the more compelling that an additional, more extensive review of the P&O-DP World deal be conducted to ensure that all of the potential national security implications of this transaction have been fully analyzed. Furthermore, I believe that Secretary Snow should not serve in any capacity as part of CFIUS during its review of this matter. Given that our nation's security is at risk, I believe that this is the prudent way to proceed. I hope you do as well.

Sincerely,

Christopher J. Dodd

United States Senator

[Jane Austin]

1. What are the dates of those letters?

I'm having trouble following the chronology of this.

[blm]

2. Kerry's letter went to Snow Tuesday and Dodd sent his yesterday to Bush

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[Jane Austin]

3. Thanks. n/t

[blm]

4. Kicking for those who haven't seen these yet.

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[ThoughtCriminal]

5. Snow denies knowing about the deal - but

If called to testify, will the Republicans will insist that he not be placed under oath? That seems to be SOP these days.

He might make a good scapegoat.