New York State Comptroller Thomas P. DiNapoli and the New York State Police announced that former New York State Department of Education employee, Shannon Brady, 52, of Albany, was arrested for allegedly falsely claiming to the New York State and Local Retirement System (NYSLRS) that she never received a $4,055 loan check to get a replacement check in the same amount. Both checks were then cashed separately. This arrest was the result of a joint investigation conducted by the Office of the State Comptroller and the New York State Police.

“Shannon Brady tried to scam the New York State and Local Retirement System by lying that she had never received a loan check,” said State Comptroller DiNapoli. “Thanks to my partnership with the New York State Police, we uncovered this fraud, and she will now be held accountable for her actions. My office will continue to protect the pension system from fraud.”

Brady was working as a state employee when, on October 14, 2021, she submitted a request to NYSLRS for a loan against her pension in the amount of $4,055. After she received the check, Brady signed it over to an unrelated third-party purportedly to satisfy a debt.

Brady then called NYSLRS and falsely claimed that the first check had never arrived and requested a replacement. A stop payment was placed on the first loan check and Brady was sent a new one, which she cashed. In the meantime, the third party had deposited the original check. Once the stop payment was placed on it, however, the bank recovered the $4,055 from the third-party’s account.

Brady is scheduled to appear back in court on May 24.

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 [email protected], or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 8th Floor, 110 State St., Albany, NY 12236.