Security Firm Tied to Deputy Mayor Banks Awarded No-Bid City Contracts
A security firm previously owned by Deputy Mayor Philip Banks III has been granted no-bid contracts by the Adams administration to provide security services at the city’s expanding network of migrant shelters. Overwatch Services, a company that secured a $150-million contract with the city’s Housing Authority, was placed on a list of pre-qualified minority- and women-owned businesses eligible for contracts of up to $1.5 million. These contracts, which include providing guards at city facilities and shelters housing asylum-seekers, bypass the typical competitive bidding process.
Connections and Controversies
Michael Garner, the city’s chief diversity officer, has played a significant role in the city’s Minority- and Women-Owned Business Enterprise (MWBE) program, particularly in the hiring of security firms for the overwhelmed shelter system. Garner’s ties to Mayor Adams and Deputy Mayor Banks run deep, with a history of collaboration through philanthropic organizations and shared professional experiences.
In recent months, federal authorities seized the cell phones of several high-ranking Adams’ aides, including Deputy Mayor Banks, First Deputy Mayor Sheena Wright, schools Chancellor David Banks, and senior aide Timothy Pearson. Despite these actions, none of the aides have been implicated in any wrongdoing. This event marks the latest in a series of contract-related controversies involving key members of the Adams’ administration.
Philip Banks III and City Safe Partners
Following his resignation from the NYPD in 2014 amid allegations of involvement in a corruption investigation, Philip Banks III acquired Overwatch Services, eventually renaming it City Safe Partners. Although Banks claimed to have divested from the company in 2018, state records indicated his continued ownership through mid-2020. This discrepancy raises questions about the timing of Banks’ involvement with the firm and his connections to the Adams’ administration.
The firm’s former partner, Soyini Chan-Shue, and another associate, Winnie Greco, have also drawn scrutiny for their roles in Overwatch Services. Chan-Shue was a former NYPD sergeant, while Greco was listed as the company’s “Chinese American Security Liaison.” Both individuals have been linked to fundraising efforts for Adams’ mayoral campaign, further complicating the web of relationships surrounding the company.
Controversy and Lobbying Efforts
The involvement of Overwatch Services in the city’s security contracts has sparked concerns about transparency and fair competition in the bidding process. Lobbying efforts by firms like Nature’s Finest Security, LLC, have aimed to secure contracts under the MWBE program overseen by Michael Garner. These efforts have involved communication with city officials and navigating the complex bidding procedures to increase their chances of securing contracts.
As the city grapples with the influx of asylum seekers and the strain on the shelter system, the demand for security services has surged. The administration’s push to engage minority- and women-owned businesses in the contracting process has led to a relaxation of competitive bidding requirements for smaller contracts. While this initiative aims to promote diversity and inclusion, it has raised concerns about favoritism and potential conflicts of interest in the awarding of contracts.
Overall, the connections between Deputy Mayor Banks, Overwatch Services, and the Adams administration have raised questions about accountability and transparency in the city’s contracting processes. As investigations continue and new revelations emerge, the public remains vigilant in monitoring the actions of city officials and their ties to private entities receiving lucrative government contracts.
