The optics on this are terrible…
New York City business ‘Digital Gadgets.’ led by entrepreneur Charlie Tebele, donated $300,000 to Democrat Governor Kathy Hochul’s campaign. Tebele was given $637 million dollars to provide at-home COVID tests to New York’s Department of Health, which is controlled by Hochul.
According to Times Union, “Tebele is the longtime owner of Digital Gadgets LLC, a New Jersey-based wholesaler of hoverboards and other electronic devices that sells its wares to companies like the home shopping network QVC. When the COVID-19 pandemic struck in 2020, the company pivoted to supplying medical equipment and began landing major government contracts in New York. Though Digital Gadgets has not always delivered as promised, it has continued to reap major government payments…”
‘Major government payments’ like the COVID contract —which was never kicked out for competitive bidding. In fact, there may not be a contract at all. But the Department of Health made 239 payments to Tebele, according to Comptroller Tom DiNapoli’s OpenBookNY website.
“The website…provides no record of a formal contract being signed between Digital Gadgets and the Department of Health. Jennifer Freeman, a spokeswoman for DiNapoli’s office, said that no such contract existed: The Department of Health entered into ‘purchase orders’ instead with the company, she said,” according to Times Union.
“These purchase orders did not come to (DiNapoli’s office) for review and approval,” Freeman said.
Hochul has renewed her state-of-emergency executive order on COVID every month since November The SOE grants her oversight on certain state financial matters —and suspends competitive bidding for contracts as well as the review and approval process conducted by Comptroller DiNapoli’s office, which oversees state government spending.
Hochul senior advisor Bryan Lesswing defended the administration’s decision, saying Tebele and Digital Gadgets delivered much-needed COVID tests on time.
“Digital Gadgets successfully delivered all the tests the state needed within the requested timeline,” Lesswing said. “Given the circumstances and the urgency of the situation, the state determined that the price was fair and it was in the state’s best interest to move forward with the procurement,” Lesswing added.
The Hochul/Tebele connection goes deeper…
According to Times Union, “In May, Hochul’s campaign hired a young member of the Tebele family to join its fundraising staff, retaining James Tebele as a paid campaign fundraising ‘finance associate’ for about $3,700 a month. Since November, James Tebele had been a paid intern on the Hochul campaign; according to his LinkedIn profile, he is an undergraduate at New York University expected to graduate next June.”
Give $300K, get $637M —that’s quite a return.
