Pelham man pays back stolen pension

Danilo Pesce admitted on Monday that he stole nearly $142,000 from the pension account of his late neighbor, Jack Lee Morgan. The 60-year-old resident of Pelham pleaded guilty to fourth-degree grand larceny in Albany County Court.

Morgan was a retired teacher from the Pelham Union Free School District who began receiving pension payments in 1991. He died in 2020 without naming a living beneficiary. Because the New York State Teachers' Retirement System was not notified of his death, the agency continued depositing $3,497 into his bank account every month.

Prosecutors said Pesce had acted as Morgan's caretaker before the retirement. He was listed on Morgan's bank account and the deed to the Pelham home. Pesce began withdrawing funds on March 17, 2020, less than one month after Morgan's passing. Investigators found that he used the money to maintain and renovate the house, where he and his wife lived part-time.

The retirement system continued issuing payments until April 2024. Officials stopped the deposits only after learning that Morgan had died. Pesce was arrested on July 30 and initially charged with second-degree grand larceny. He later entered a not guilty plea at his arraignment.

As part of the resolution, Pesce paid $147,000 in restitution to the New York State Teachers' Retirement Fund. This amount includes the $141,968 in stolen benefits plus $6,000 in interest. New York Attorney General Letitia James announced the guilty plea and the restitution payment.

Judge Andra Ackerman accepted the plea on Monday. No sentencing date has been set yet.