Federal government slammed over sale of Darwin Port to a Chinese-owned company

THE Federal Government is facing fresh claims it failed to properly assess the Chinese-owned company leasing the Darwin Port before signing off on the deal.

Secretary of the Department of Defence Dennis Richardson speaks during a Senate Inquiry at Parliament House in Canberra, Tuesday, Dec. 15, 2015. (AAP Image/Lukas Coch) NO ARCHIVING

THE Federal Government failed to properly assess the Chinese-owned company leasing the Darwin Port before signing off on the deal, the head of the Australian Strategic Policy Institute claims.

Under questioning by Senator Nick Xenaphon during a parliamentary hearing into the port’s lease, ASPI executive director Peter Jennings said he did not believe proper due-diligence was done.

Mr Jennings said he believed only a “minimal” assessment of the company was carried out.

‘Minimal’ assessment claim ... Peter Jennings, the executive director of the Australian Strategic Policy Institute. Picture: You Tube

Prime Minister Malcolm Turnbull was chided by US President Barack Obama went they met in Manila last month for not consulting him over the deal.

Mr Turnbull responded by telling the President the proposed lease wasn’t a secret and suggested he subscribe to the NT News.

The NT government has leased the port to the Chinese-owned company Landbridge for 99 years for $506 million.

Mr Jennings said the NT Government had acted in good faith by relying on the Federal Government’s assessment of the proposal.

He said the leasing of ports was a “perfectly reasonably strategy” as long as potential national security concerns were thoroughly investigated.

Defending the deal ... Secretary of the Department of Defence Dennis Richardson at today’s Senate Inquiry. Picture: AAP Image/Lukas Coch

Defence Department secretary Dennis Richardson said the authority had carefully considered the deal.

Mr Richardson told the committee the “deed of license” between Landbridge and the NT Government was the most extensive of any port in the country because of the strategic importance of the port.

He said the Defence Department and other authorities spent months assessing the proposal.

The hearing continues.

Originally published as Federal government slammed over sale of Darwin Port to a Chinese-owned company