Chancellor David Banks on Tuesday announced plans to step down from leading New York City’s vast public school system, weeks after federal investigators seized his phones as part of a sprawling probe that has rocked Mayor Eric Adams’ administration.
City Hall confirmed the news in a statement, which said Banks’ last day would be Dec. 31.
The FBI took Banks’ personal and work phones on Sept. 4 during a search of the home he shares with his partner, Deputy Mayor Sheena Wright. Authorities also raided the home of Deputy Mayor for Public Safety Phil Banks, who is David’s brother. The investigation reportedly revolved around David and Phil’s youngest brother, Terence Banks, a retired MTA supervisor who recently founded a government relations firm.
Federal prosecutors were investigating Terence Banks and his company in connection with a bribery scheme, according to the New York Times.
All the Banks brothers have denied wrongdoing.
David Banks said in a statement on Tuesday that he’d decided to retire, without further explanation.
During a Sept. 13 press conference, he said he was cooperating with authorities. “I have always lived my life with integrity. Every day of my life,” he said. “Anybody who knows me knows that … so we’ll all wait and see where these investigations go.”
Banks also said the investigation wasn’t a distraction, and reiterated his love for his family.
“I love my brothers. I love my family. As I’m sure you love your brothers and your sisters and your family,” he said. “Nobody wants to see any family member going through stuff – or having your name in the papers for all kinds of issues.”
His resignation represents the latest sign of the chaos engulfing the Adams administration amid a total of at least four federal investigations. In addition to the Banks probe, authorities are investigating a nightlife consulting business run by the former Police Commissioner Edward Caban’s twin brother. As part of that investigation, federal officials seized the commissioner’s phone. Caban resigned earlier this month, citing what he called a “distraction” for the NYPD.
Separately, federal prosecutors in Manhattan are investigating foreign money in Adams’ 2021 campaign.
Federal prosecutors in Brooklyn are investigating Winnie Greco, a prominent Adams adviser and fundraiser.
With Banks’ departure, two of Adams’ most important appointments — the schools chancellor and police commissioner — will have resigned after federal agents seized their phones. And on Monday, city Health Commissioner Ashwin Vasan said he would step down by early next year, noting he wanted to spend more time with his family.
“I am immensely grateful and proud of the work accomplished in New York City Public Schools under Chancellor David Banks,” Adams said in a statement on Tuesday.
Adams previously said he had identified Banks as his choice for chancellor years ago, long before he became mayor. Notably, Banks’ partner Wright has served as Adams’ first deputy mayor, and Adams’ partner Tracey Collins has served as an education department administrator under Banks.
But there were recent signs that Banks and Adams were not on the same page. Banks promised over the summer to soon announce a phone ban in all public schools. But at the start of the school year Adams walked that back, saying more time was necessary to work out the details.
Banks’ signature policy, transforming the way the city’s children are taught to read, is still in its infancy. Half of the city’s elementary schools rolled out new curricula this past year, and the other half are set to adopt it in September. Banks has called the overhaul “legacy” work.
Many national education leaders have praised the literacy initiative. But experts say it’s too early to tell whether the changes are working, periodic assessments haven’t shown much progress yet and some parents have criticized the new curricula as rigid and boring.
“Now more than ever, we need to focus on doing the work that our students, educators, and public schools need. Chancellor David Banks is an educator who sought to improve public education for all students,” Michael Mulgrew, president of the United Federation of Teachers, said in a statement on Tuesday. “We thank him for his partnership, passion, and collaboration and wish him well.”
Banks was also pursuing another major overhaul of how the city teaches math.
He has also had to respond to the rise of antisemitism and Islamophobia in schools. While some parents and educators have said his administration has failed to adequately protect students and teachers from discrimination and hate speech, many observers applauded how he handled his appearance before Congress on the subject in May.
“When antisemitism rears its head, I believe we must respond, and we have,” Banks said, while criticizing some members of Congress for staging political theater.
“I would call on Congress, quite frankly, to put the call out to action, to bring us together, to talk about how we solve for this,” he said.
Banks’ administration has also tussled with parents and city councilmembers over budget cuts to schools and early education programs.
Before becoming chancellor, he launched and led the Eagle Academy for Young Men, a network of schools which mostly serve boys of color.
“I grew up in our public schools and spent most of my adult life serving the students and families of our city, and I have every confidence that the work we’ve started will continue to thrive and benefit generations to come,” Banks said on Tuesday.
This story has been updated with comment from Michael Mulgrew, president of the United Federation of Teachers.