New York City comptroller Brad Lander disinvested city pension funds from Israel for political reasons, the mayor's office said last week, it was revealed on Sunday.
Lander withdrew tens of millions of dollars from investments in State of Israel Bonds, prompting First Deputy Mayor Randy Mastro to demand review of the decision-making process surrounding the effective withdrawal of New York City pensions funds from investment in State of Israel Bonds, claiming Lander's policies not only caused Israel harm but also harmed the city's pensioners because the bonds outperformed other bonds in which pension funds were invested.
“This divestment, occurring amid a global 'Boycott, Divestment, and Sanctions (BDS)' campaign against Israel, appears to be in furtherance of that BDS campaign, regardless of the adverse financial consequences for city pensioners. You have a fiduciary duty to the city's pensioners that is now called into question by your decision in this regard,” Mastro wrote to Lander in a letter seen by Ynet and also published in the New York Post.
Lander, who is Jewish, claimed his decision was based on limiting investment in foreign sovereign debt but, according to the letter from the mayor's office, "the only sovereign bonds in which the city has invested are Israel Bonds, so this policy appears to target only Israel Bond" and appeared to be part of a boycott campaign against Israel at a cost to New York city employees.
Get the Ynetnews app on your smartphone: Google Play: https://bit.ly/4eJ37pE | Apple App Store: https://bit.ly/3ZL7iNv
"Your public characterization of this shift as a mere 'decision not to reinvest' does not insulate it from scrutiny,” the letter read. "We request a review because the public record is incomplete as to the basis for and impact of your decision to withdrawal investment in Israel Bonds."
"It appears, based on available information, that the city's pension systems had held tens of millions of dollars in State of Israel Bonds across multiple decades, with a record of strong returns and minimal risk. Under your tenure, those holdings have declined sharply, from tens of millions of dollars across multiple pension funds, to now less than $1.2 million held only by the Police Pension Fund,” Mastro said in the letter.
The office of the City Commissioner for the Fight Against Antisemitism says Lander has crossed a red line. “Our office is committed to the city doing everything it can to fight antisemitism,” said Moshe Davis, head of the office. “This also includes the demand for elected officials to act responsibly. If the comptroller is acting in accordance with the BDS model, then that is antisemitism, period.”
Lander, who lost in the Democratic primaries for New York mayor, threw his support to progressive Zohran Mamdani, a vocal Israel critic who supports the BDS. Adams, who will be running as an independent candidate in the next elections in November, has been trying to block Mamdani's path to city hall by establishing a center-left block supported by Jewish voters and donations from the business sector.
Former New York Governor Andrew Cuomo, who is also running for mayor, is under pressure to quit the race so as not to split the anti-Mamdani vote.
"While we invest in Israel, Lander is divesting from it," Adams told Ynet. He said the public has a right to know why, and added that Israel is not only the only Jewish nation in the world, it is also a vital economic partner of New York City and the United States.
Lander's policies have been in contradiction of the practices of all city comptrollers since 1974, who have all renewed investments in Israel Bonds even when the city limited such investments.