Pelham Neighbor Admits To Theft Of Dead Teacher Pension

PELHAM, NY —A Pelham man has pleaded guilty to spending the pension checks of a dead neighbor.

New York Attorney General Letitia James said he stole nearly $142,000 in teacher pension benefits paid after his neighbor's death. Danilo Pesce, 60, of Pelham, pleaded guilty to grand larceny in Albany County Court.

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Jack Lee Morgan was a New York State Teachers' Retirement System pensioner who retired from the Pelham school district in 1991. Morgan died in March 2020, and at the time of his death, he had no living beneficiary for his pension, so NYSTRS payments should have stopped, according to the attorney general's office. The agency was never notified of Morgan's death and continued making monthly payments of $3,497 to Morgan's bank account.

An investigation by the Office of the Attorney General found that Pesce had been acting as Morgan's caretaker before Morgan died. In that role, Pesce was added to Morgan's bank account and to the deed for Morgan's home in Pelham, according to the attorney general's office. The investigation found that beginning March 17, 2020, less than a month after Morgan's death, Pesce regularly withdrew money from the bank account, which the attorney general's office said he controlled.

In total, Pesce stole $141,968 in pension benefits, according to the attorney general's office. The office said he spent the money on maintenance and renovation of Morgan's home, where Pesce and his wife were living part-time.

"Danilo Pesce took advantage of the retirement system that thousands of hard-working New York teachers rely on," James said. "This heartless theft should serve as a reminder that my office will not tolerate anyone who breaks the law to steal from their neighbors. We will continue to hold anyone accountable who attempts to take advantage of our retirement systems and steal from the New Yorkers who depend on it."

Pesce was arrested on July 30, 2026. He paid $147,000 in restitution to the New York State Teachers Retirement Fund, including $6,000 in interest, according to the attorney general's office.

James thanked the New York State Police's Financial Crimes Unit for assisting in the investigation.

Pesce's guilty plea closes the case with repayment ordered to the retirement fund, according to the attorney general.