Scandal-plagued Deputy Mayor for Public Safety Phil Banks has resigned after weeks of pressure and federal probes that also involved his friend, Mayor Eric Adams. Federal agents raided Banks’ home in Queens, seizing his devices and intensifying calls for his resignation. Banks’ resistance broke down, leading to his resignation on Sunday night, the latest in a series of high-profile departures from Adams’ administration following the mayor’s federal indictment.
The resignation of Banks follows the departure of Adams’ friend Tim Pearson, a retired NYPD inspector who served as a top aide to the mayor and oversaw migrant security contracts, amid federal scrutiny. Adams himself is facing five criminal counts in a bombshell federal indictment. The investigation into Banks focused on allegations that he steered city contracts towards companies represented by his brother Terence’s consulting firm, which secured millions of dollars worth of deals with the city. Companies linked to Terence Banks that received public contracts include app-maker Saferwatch, IT companies Derive Technologies and SVAM International, and grocery store delivery app Mercato.
Banks’ history in Adams’ administration has been controversial, as he was viewed as a shadow police commissioner with significant power. He often bypassed the first NYPD top cop appointed by Adams, Keechant Sewell, who eventually resigned. Banks’ tenure in the NYPD was also marked by scandal, as he abruptly resigned in 2014 amidst federal scrutiny in a bribery scandal involving Jona Rechnitz and Jeremy Reichberg. Banks was named an unindicted co-conspirator in the scandal and had $300,000 in questionable transactions in his accounts. Despite this scandal, Adams appointed Banks as deputy mayor for public safety in 2022, a position that had not been filled by a mayor for three decades.
Banks’ appointment raised eyebrows as City Hall officials did not immediately request a waiver to hire him, despite needing it to receive his $252,000 salary while also collecting a substantial pension from his time as a police officer. Adams defended Banks’ hire and others in his administration against accusations of cronyism, stating that he was selecting the “best people for the job.” Banks’ tenure was marked by tense interactions with reporters, questions about his rent-a-cop company landing an MTA contract, and his ties to Pearson, whose troubled past raised concerns. The resignation of Banks and the ongoing federal scrutiny reflect the challenges faced by Adams and his administration as they navigate multiple scandals and investigations.
