Kevin P. Davidson, U.S. Attorney | U.S. Attorney for the Middle District of Alabama
A woman from LaGrange, Georgia, has been sentenced for her involvement in a scheme to steal funds from federal employees’ Thrift Savings Plan (TSP) retirement accounts. Acting United States Attorney Kevin Davidson announced that Tekia Sade Peay, 31, received a sentence of 51 months in prison and three years of supervised release after pleading guilty to conspiracy, wire fraud, money laundering, and aggravated identity theft. There is no parole in the federal system.
“This scheme targeted the retirement savings of hardworking employees, including accounts belonging to elderly and deceased individuals,” said Acting United States Attorney Davidson. “Exploiting the identity of someone who has passed away is not a victimless crime. Families should be focused on grieving for their loved one, not discovering that their loved one’s identity has been stolen and their retirement savings depleted. These sentences reflect the seriousness of this conduct and our commitment to protecting employees and their families from financial exploitation.”
Special Agent in Charge Jason J. Scalzo of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG), Electronic Crimes Unit commented: “The sentencing in this case holds the defendant accountable for orchestrating an account takeover scheme that targeted elderly and deceased Thrift Savings Plan annuitants. The FDIC OIG will continue to investigate and bring to justice those who target our Nation’s most vulnerable, and threaten to undermine the integrity of our Nation’s financial system.”
Daniel Wierzbicki, Special Agent in Charge of the FBI Washington Field Office’s Counterintelligence and Cyber Division added: “This sentencing demonstrates the FBI’s commitment to holding accountable those who use their positions of trust to steal other people’s hard-earned money to line their own pockets. We work with our partner agencies every day to identify and bring to justice those who fraudulently access government systems.”
Court records show that in August 2023, the FBI was alerted about fraudulent transactions involving TSP accounts conducted by Peay while she worked at a company providing recordkeeping services for TSP. Investigators found that Peay used her knowledge of call center procedures to gain unauthorized access to victims’ online TSP accounts by using personal identifying information without consent.
Peay established online access for these accounts—including those belonging to elderly or deceased individuals—and then made unauthorized changes before requesting disbursements. The stolen funds were deposited into bank accounts under her control.
During the scheme, Peay attempted to take $76,544.03 but succeeded in obtaining $21,508.32 from TSP account holders. The court ordered her to pay restitution equal to this amount back to her former employer—the company had previously reimbursed affected account holders.
The investigation was conducted by the FDIC OIG Electronic Crimes Unit and the FBI Washington Field Office. Assistant United States Attorneys Michelle R. Turner and Megan A. Kirkpatrick prosecuted the case.
