Kathy Hochul is sworn in on August 24, 2021, as William Hochul holds the Bible, shortly after Andrew Cuomo’s resignation. (Credit: Getty images)
Twenty-four hours.
That’s how long it took between The Guardian reporting that a federal grand jury had been impaneled in Virginia to investigate New York Attorney General Letitia James and the NY Post revealing that Governor Kathy Hochul had secured a $10 million taxpayer-funded legal defense shield, and sources confirming the FBI had opened a formal criminal investigation into James.
For two decades, James built her career prosecuting financial fraud. She secured a $355 million judgment against Donald Trump for property misrepresentations. She declared “no one is above the law.”
But when these federal investigations escalated in May, the pattern was already clear: over the prior year, the Attorney General had begun channeling taxpayer funds to the firm employing the Governor’s husband. By the time Hochul approved a $10 million legal shield for James, those payments were ongoing—and would ultimately total $483,404.
The numbers tell the story:
Fourteen months—how long Davis Polk & Wardwell went without receiving a single payment from the Attorney General’s office, despite having a $325,000 contract.
Four months—how long after the Governor’s husband joined Davis Polk’s White Collar Defense unit before the first payment finally arrived: $231,644.
Sixteen months—how long payments flowed to the Governor’s husband’s firm before James needed federal protection.
Twelve days after the FBI investigation was confirmed, Hochul was standing before reporters, her voice rising: “Hell, yeah,” federal prosecutors were targeting Democrats.
This is the story of what the public records reveal about power protecting power in New York
Timeline: Key Events
| Date | Event | What the Records Show |
|---|---|---|
| Feb 1, 2023 | Davis Polk contract begins (Contract C106569, $325,000) | No payments flow for 14 months |
| Jan 2, 2024 | William Hochul joins Davis Polk ($949,946 in 2024) | Governor’s husband enters White Collar Defense unit |
| Jan 31, 2024 | Contract C106569 expires | No visible authority for continued payments |
| Mar 8, 2024 | Expired contract approved/filed | 37 days after expiration—unusual delay |
| Apr 30, 2024 | First AG payment to Davis Polk ($231,644) | Four months after William Hochul joined |
| Aug 23, 2024 | Contract amended (+$250,000, extends to Jan 2026) | Total value now $575,000 |
| Dec 17, 2024 | Our investigative reporting begins on James’s financial issues | Campaign spending, financial disclosures questioned |
| Mar 18, 2025 | Gilbert publishes HAMP ineligibility article | Brooklyn property mortgage fraud exposed |
| Mar 18, 2025 | Our investigation exposes handwritten mortgage modifications | Evidence of retroactive document changes to circumvent federal lending rules |
| Apr 1, 2025 | Virginia residency declaration exposed | James’s false “principal residence” claim revealed |
| Apr 14, 2025 | FHFA criminal referral to DOJ | Federal agency accuses James of falsifying documents |
| Apr 18, 2025 | James’s office calls allegations “baseless” on social media | Official AG accounts used for personal defense |
| May 8, 2025 | Guardian reports federal grand jury impaneled in Virginia | Investigation escalates to criminal proceedings |
| May 8, 2025 | NY Post reports FBI investigation in Northern District | Multipronged federal investigation confirmed |
| May 8, 2025 | Hochul’s budget passes with $10M legal defense fund | For employees facing federal “retaliation” |
| May 21, 2025 | Hochul: “Hell, yeah” investigations are political | Public defense of federal investigation target |
The Player Enters
On January 2, 2024, William Hochul Jr. walked into Davis Polk’s Manhattan offices for his first day of work. The Governor’s husband had left his position at Delaware North for a prestigious role in the firm’s White Collar Defense & Investigations unit.
His compensation: $949,946 during 2024
His specialty: defending clients against federal criminal investigations.
Twenty-nine days later, the Attorney General’s contract with Davis Polk expired.
The Paperwork Problem
What happened next raises questions about basic government accountability.
State contracting rules require prompt filing of agreements. But Contract C106569 sat unfiled for 401 days after it began—including 37 days after the contract had already expired. This delay is extraordinary—most government contracts are filed immediately or within days of execution.
When it finally surfaced on March 8, 2024, state records offered no explanation for the delay. According to State Comptroller definitions, this “Transaction Approved/Filed Date” represents “the date the transaction was approved by the Comptroller’s Office or the date that a State authority contract was filed with the Office of the State Comptroller.”
Public records show no amendment authorizing payments during the gap. No emergency extension. Just a contract approved/filed well after it had expired—a contract that had generated zero payments since its February 2023 inception.
What work, if any, Davis Polk performed during this period remains unclear from available records. What’s certain is that no payments were authorized or made. (Read more: White Collar Fraud, 6/17/2025) (Archive)