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REPORTER: The sky is cloudy and it's windy here at the New York Cruise Terminal. Just a few hundred feet from the busy West Side Highway, the Norwegian Dawn is leaving for a 10-day cruise of the Caribbean.
AMB-1: ships horn blaring (stays under)
REPORTER: Joe Muscato watches the ship slowly back out of its berth. On his work breaks, the Long Island resident frequently walks over to watch the boats on the Hudson River. He's been following the controversy over the ports deal.
MUSCATO: "I think it would be a terrible mistake at this time to allow nations of that part of the world to have any kind of controlling interest here, especially when it's such a secure subject."
REPORTER: The cruise terminal and a terminal at Port Newark is operated by P&O Ports. That's the company that will soon be taken over by Dubai Ports World. The passenger terminal's owner is the City of New York. This morning on his weekly radio show on station WABC, Mayor Michael Bloomberg says he would prefer that ports be controlled by the U.S. government. But that's not always possible in today's economy.
BLOOMBERG: "It's a global world today. Having said that, we have to make sure that our ports are safe and secure, to the extent that they can be."
REPORTER: Bloomberg says Police Commissioner Raymond Kelly is involved in security discussions surrounding Dubai Ports World. Yesterday, the Port Authority of New York and New Jersey held what was supposed to be a regular monthly meeting. Reporters surrounded Chairman Anthony Coscia afterward and peppered him with questions.
AMB-2: press flak shouting "one at a time!"
REPORTER: Coscia said the Port Authority is filing a lawsuit to terminate P&O's 30-year contract to run a Port Newark terminal - which would, in turn, prevent Dubai Ports World from getting control. Coscia says the Bush Administration is not providing enough information about its review of the company.
COSCIA: "We're not sure how that decision could have been arrived at without our agency at least being consulted and several others who are directly impacted by how security is actually conducted on a daily basis at that facility."
REPORTER: Though supporters of the takeover say the companies that operate ports have little to do with port security, Coscia says the Port Authority relies on its private operators, which would include Dubai Ports World.
COSCIA: "The problem that we have here is we don't have a comprehensive port security system. // We have pieced together essentially a security system that involves everyone in the supply chain."
REPORTER: Only about 5 percent of cargo containers entering U.S. ports is inspected. The 9-11 Commission report stressed that major vulnerabilities still exist in cargo. Bill Lawrence, who often strolls along the walkway a few feet from the cruise terminal says the Dubai Ports World controversy may force politicians to address this larger issue.
LAWRENCE: "The stuff is not being checked as it's coming into the United States. So if that's raising the issue, if this is raising that issue then good, some good might come of this."
REPORTER: Dubai Ports World plans to complete its nearly 7-billion dollar acquisition of P&O on March 2nd. The firm's takeover of the U.S. ports operations is on hold pending Congressional and Executive review of the deal. Mary-Rose Abraham, Columbia Radio News.