The federal government is monitoring two top aides to Mayor Eric Adams for allegedly influencing city contracts and accepting bribes, according to information obtained by The Washington Post, a damning new lead in a wide-ranging investigation into corruption and patronage, law enforcement sources said.
Federal authorities are investigating whether Deputy Mayor for Public Safety Phil Banks, a close aide to Adams, played a role in steering city contracts to a company reportedly headed by the brother of one of Adams' “consultants,” the people said.
Companies said to be affiliated with Terence Banks have collectively signed millions of dollars worth of deals with New York, according to online records, including app maker SaferWatch, tech companies such as Delive Technologies and SVAM International, and grocery delivery app Mercato.
Investigators are also looking into Tim Pearson, a former NYPD inspector and aide to Adams, about any city contracts he may have had access to and whether he was involved in bribery, the people said.
Both men appear to have become embroiled in a federal investigation that last week also targeted senior city officials and Adams' associates, including Police Commissioner Edward Cavan, Deputy Mayor for Public Safety Phil Banks, Superintendent of Schools David Banks and First Deputy Mayor Sheena Wright.
Law enforcement sources said agents went to their homes with warrants and seized electronic devices.
Federal authorities have issued subpoenas for Pearson and Banks' cellphones, as well as those of several others, law enforcement sources said.
Just a few months ago, Chief Business Diversity Officer Michael Garner bragged in an internal meeting that Pearson, who is responsible for doling out lucrative city contracts for immigrant safety, had awarded 20 such contracts in just one week.
“The mayor wanted to make sure the money wasn't going to the usual contractors so he appointed Tim Pearson to be responsible for ensuring the award of security contracts,” Garner recalled, citing a source with knowledge of the matter.
The comments came just days after Pearson was named in a lawsuit in April that accused him of constantly searching for his share of immigration contracts and announcing them by asking “Where's my share?”
According to the complaint, Pearson, who is involved in three other lawsuits, including a sexual harassment suit, is accused of trying to use his influence to make money from the low-profile new office that oversees city agencies.
“Do you know how these contracts work?” an Adams supporter reportedly asked several employees at the force in October 2022. “People are doing very well on these contracts. I have to get my share. Where are my leftovers?”
Pearson, Phil Banks and Terrence Banks did not respond to requests for comment. Their lawyers either declined to comment or did not return calls from The Washington Post.
