Terror in the Skies: Janet Napolitano Says U.S. Must Re-Examine Terror-Watch and No-Fly Lists

Abdulmutallab being held in a federal prison

Department of Homeland Security Secretary Janet Napolitano flip-flopped today on the government's performance in the Christmas Day Northwest Airlines alleged terror attack, saying changes need to be made to the passenger screening system.

Just a day earlier, she told ABC News that the "system has worked really very, very smoothly over the course of the past several days."

Within hours of Napolitano reversing herself, President Obama said he ordered a review of procedures and bolstering of security measures.

In addition, Al Qaeda of the Arabian Penninsula issued a statement claiming responsibility for the attempted airliner attack. It said the botched bombing was in retaliation for U.S. attacks on its training sites in Yemen. Al Qaeda of the Arabian Peninsula is based in Saudi Arabia and Yemen.

VIDEO: Misunderstanding prompted a huge government response to terror scare.

Today, on "Good Morning America," Napolitano said, "Clearly, there's some work that needs to be done to link up what we call the tie, the generic base in which his name had been entered, to those who already have visas."

"We want to go backward now and review our list processes," Napolitano continued. "They clearly need to be adjusted. We need to look at this individual specially, and the screening technology that was deployed."

The terror suspect who tried to blow up a U.S.-bound flight on Christmas Day is being held in a federal prison near Detroit as airports remain on high alert and the U.S. government tries to determine if the man is was one in a series of possible attackers.

VIDEO: Secretary of Homeland Security Janet Napolitano weighs in on the incident.

The incident was a signal that the U.S. government needs to review the process by which individuals such as Umar Farouk Abdulmutallab, 23, are placed on security lists, Napolitano said.

"One of the things that we are doing is going backward. What were the facts that led up to this event, how did this individual get on the plane, why wasn't he flagged at a higher screening level, how did he get an explosive substance onto the plane," Napolitano said on "GMA" today.

Abdulmutallab, a Nigerian national, was on the U.S. government's terrorist watch list but not on its no-fly list, which would have prevented him from boarding Northwest Flight 253 from Amsterdam to Detroit.

VIDEO: Abdulmutallab, A Bankers Son Turned Muslim Radical

In May 2009, a report by the Justice Department Inspector General found problems with how the FBI was managing the terrorism watch list, noting, "We found that the FBI failed to nominate many subjects in the terrorism investigations that we sampled, did not nominate many others in a timely fashion and did not update or remove watch list records as required. Specifically, in 32 of the 216 (15 percent) terrorism investigations we reviewed, 35 subjects of these investigations were not nominated to the consolidated terrorist watch list, contrary to FBI policy."

Abdulmutallab was also placed on the United Kingdom's watch list after he was refused a student visa 14 months ago.

British Home Secretary Alan Johnson said today he did not believe Abdulmutallab had been acting alone, and that police and security services in Britain were examining whether he was radicalized while studying at University College London between 2005 and 2008.

President Obama has ordered a full review of the incident and of the U.S. terror-watch list. He will make remarks today on the incident and measures taken in response, including the reviews that he has ordered.

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