A Shady Deal: Big Money and Big Promises in NYC Politics

Frank Garcia, a well-known Hispanic business leader, found himself in a peculiar situation. He was approached by Irfan Verjee, a CEO of a renewable energy firm, with a surprising offer. Verjee wanted Garcia to raise a significant amount of money in just three days. In return, Garcia would get a job as a commissioner and a spot on the transition team for Zohran Mamdani, who was running for mayor of New York City. Garcia was not impressed. He met Verjee at a restaurant in Rockefeller Center. The conversation quickly turned heated. Verjee first offered Garcia a job as the city’s next commissioner of small business services. Garcia turned it down. He didn’t want the job or any other position in Mamdani’s administration. Instead, he wanted to be part of the transition team. He wanted to help shape policies for small businesses. Verjee then asked Garcia how much money he could raise. Garcia reminded Verjee that it’s illegal for nonprofits to fundraise for political campaigns. He also mentioned that he was planning to step down as chairman to run a super PAC that would raise money to boost minority businesses. Verjee insisted that he needed the money within three days. He promised Garcia a seat at the table to help decide future policy in a Mamdani administration. Garcia was shocked. He couldn’t believe what he was hearing. He asked Verjee to clarify three times. Verjee didn’t specify the amount, but Garcia understood it to be between $500, 000 and $1 million. Garcia was so angry that he wrote a letter to Mamdani. He outlined his shock over the incident and what he called the “pay-to-play offer” Verjee made. Garcia also demanded a private meeting with the future mayor. He decided to go public with his allegations after Mamdani failed to respond. Campaign finance laws bar a candidate’s campaign from coordinating with super PACs or other outside groups supporting that candidate. However, leaders of such fundraising machines can be part of transition teams if their favored candidate wins. Yasser Salem, the head of OneNYC, a super PAC that supported Mamdani’s mayoral run, was appointed to the mayor-elect’s transition committee. Verjee, on the other hand, was not appointed to any of the transition committees. He was never affiliated with Mamdani’s campaign, just the super PAC. Monica Klein, a spokesperson for Mamdani’s transition team, denied any affiliation with Verjee. She said that anyone making such a claim stands in direct opposition to their commitment to transparency and ending corruption in government. OneNYC wasn’t the only super PAC that supported Mamdani’s mayoral run.