In a press release issued on May 26, 2026, New York State Comptroller Thomas P. DiNapoli and Richmond County District Attorney Michael McMahon reported the arrest and sentencing of a Staten Island woman for the theft of her sister’s state pension death benefit. Lorna Gutierrez [Defendant] had fraudulently designated herself as her sister’s sole beneficiary while her sister was on her deathbed. When her sister died, Defendant received over $400,000 from the pension fund, which her sister had wished to be split between her husband and the defendant.
“Lorna Gutierrez tried to cut her brother-in-law out of his share of her sister’s death benefit just before she died,” DiNapoli said. “This callous action betrayed her sister’s wishes for both to have some financial stability at a time of personal loss. I thank D.A. McMahon for his partnership in protecting the state pension fund from attempts to defraud it and its members.”
“Manipulating her deceased sister's pension to personally enrich herself, this [Defendant's] conduct represented a serious breach of trust, undermined the decedent’s wishes, and caused both financial and emotional harm. From scammers and check-washers to identity thieves and gang members, those who commit financial crimes on Staten Island will be held accountable and I thank Economic Crimes Bureau Chief Gregg Brown for his diligent efforts to secure both restitution and justice in this case," McMahon said.
Gutierrez’s sister was a member of the New York State and Local Retirement system through her work as a nurse at the South Beach Psychiatric Center. She chose to leave her survivors a death benefit that amounted to $411,004 to be split amongst her parents, husband, and sister. At the time of her death, only her husband and Gutierrez were alive.
While her sister was in the hospital, approximately 11 days before her death Gutierrez used her sister’s credentials to create an online retirement account designating herself as the sole beneficiary. Gutierrez received the entire death benefit of $411,004, which she then invested.
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Since taking office in 2007, DiNapoli has committed to fighting public corruption and encourages the public to help fight fraud and abuse. New Yorkers can report allegations of fraud involving taxpayer money by calling the toll-free Fraud Hotline at 1-888-672-4555, by filing a complaint online at investigations@osc.ny.gov or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 8th Floor, 110 State St., Albany, NY 12236, or by filing a complaint online at investigations@osc.ny.gov.