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Ithaca woman charged with defrauding state pension plan out of nearly $70K

ITHACA, N.Y. — An Ithaca woman is accused of stealing almost $70,000 in state pension payments meant for her deceased husband, according to an announcement from New York State Comptroller Thomas P. DiNapoli, Tompkins County District Attorney Matthew Van Houten, and the New York State Police.

Sharon Collins, 73, of Ithaca was arraigned in Lansing Town Court on Thursday, Jan. 30 on charges of fourth-degree grand larceny following an investigation.

Collins’ husband retired in 2014 after working as a facilities manager for New York State Colleges at Cornell. He received monthly pension payments and chose a single life allowance option, which provided the maximum monthly pension payment but meant payments would stop at the time of his death. DiNapoli alleges that after Mr. Collins died in 2020, his widow failed to notify the New York State and Local Retirement System (NYSLRS) of his death.

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The investigation revealed that from August 2020 to June 2022, a total of 23 pension payments adding up to $69,481.63 were made into the couple’s joint bank account. When NYSLRS became aware of the husband’s death, it stopped all pension payments and sought to reclaim the funds immediately. When Sharon Collins became aware of those efforts, she allegedly withdrew the balance of $26,408.61 from the bank account.

“Sharon Collins allegedly took advantage of her husband’s death to try to cheat the pension system,” DiNapoli said in the announcement. “She will be held accountable, and my office will continue to partner with law enforcement to protect the pension fund.”

 

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