Pelham Man Pleads Guilty to Stealing Pension
Danilo Pesce admitted to grand larceny after taking $141,968 in pension benefits belonging to a deceased retiree.
Updated on Nov. 4, 2026 in Financial Crime
Danilo Pesce, 60, of Pelham, pleaded guilty to fourth-degree grand larceny in Albany County Court on Monday. Pesce had served as caretaker for Jack Lee Morgan, who died in March 2020, and withdrew pension benefits after Morgan's death.
Why it matters
The case shows how pension payments can continue after a retiree dies when the retirement system is not notified, creating an opening for theft. Pesce's restitution payment of $147,000 to the New York State Teachers' Retirement System addresses the financial loss in this instance.
Pesce pleaded guilty to fourth-degree grand larceny in Albany County Court and has paid $147,000 in restitution to the New York State Teachers' Retirement System, including $6,000 in interest. The source does not report a sentencing date.
The players
Danilo Pesce
A 60-year-old Pelham man who served as Jack Lee Morgan's caretaker and pleaded guilty to grand larceny in this case.
New York State Teachers' Retirement System
The state pension fund that paid Jack Lee Morgan's retirement benefits and recovered restitution after the theft.
The details
Jack Lee Morgan, who retired from the Pelham school district in 1991, received a pension through the New York State Teachers' Retirement System. Morgan had no living beneficiary when he died in March 2020, and the retirement system was never notified, so it continued depositing $3,497 a month into his bank account. Pesce had been added to that account before Morgan's death and began regularly withdrawing money less than a month later, using it for maintenance and renovations at Morgan's home where he and his wife were living part time.
Timeline
March 2020: Jack Lee Morgan died.
Less than one month after March 2020: Pesce began regularly withdrawing money from Morgan's account.
November 2, 2026: Pesce pleaded guilty in Albany County Court.
Legal Context
Cases where pension payments continue after a retiree's death are prosecuted as larceny when a caretaker or relative withdraws the funds. This case follows that pattern, with restitution returned to the New York State Teachers' Retirement System.
Families and caretakers handling a deceased relative's accounts should notify pension systems and banks promptly to prevent unauthorized withdrawals. Pension funds that keep depositing benefits after a death may face losses that are only recovered through court action.
The takeaway
Reporting a retiree's death to the pension system as soon as it occurs is the simplest way to stop benefit payments and avoid a theft like this one. Anyone managing a deceased person's finances should confirm which payments are still arriving.
Further reading
Explore more on Financial Crime cases across the state.
