MONTGOMERY, Ala. – Today, Acting United States Attorney Kevin Davidson announced the sentencing of a LaGrange, Georgia woman for her role in a scheme to steal funds from federal employees’ Thrift Savings Plan (TSP) retirement accounts.
On February 11, 2026, a federal judge sentenced 31-year-old Tekia Sade Peay to 51 months in prison followed by three years of supervised release. Peay previously pleaded 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.”
“The sentencing in this case holds the defendant accountable for orchestrating an account takeover scheme that targeted elderly and deceased Thrift Savings Plan annuitants,” said Special Agent in Charge Jason J. Scalzo, of the Federal Deposit Insurance Corporation Office of Inspector General (FDIC OIG), Electronic Crimes Unit. “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.”
“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,” said Daniel Wierzbicki, Special Agent in Charge of the FBI Washington Field Office’s Counterintelligence and Cyber Division. “We work with our partner agencies every day to identify and bring to justice those who fraudulently access government systems.”
According to court records, in August 2023, the FBI received information regarding fraudulent TSP transactions conducted by an individual identified as Tekia Peay, who was employed by a company that provided recordkeeping services for the TSP.
An investigation revealed that Tekia Peay exploited her knowledge of TSP call center procedures to gain unauthorized access to victims’ online TSP accounts. Using account holders’ personal identifying information, Tekia Peay established online access to accounts without the owner’s knowledge or consent, including accounts belonging to elderly and deceased individuals.
After establishing and verifying online access using the victims’ personal identifying information, Tekia and a co-conspirator made unauthorized changes to the accounts and requested disbursements. The fraudulently obtained funds were deposited into bank accounts controlled by Peay.
Throughout the course of the scheme, Peay attempted to steal a total of $76,544.03 from TSP account holders but ultimately succeeded in obtaining $21,508.32. In addition to her term of imprisonment, the court ordered Peay to pay $21,508.32 in restitution to the recordkeeping company that formerly employed her, as the company had previously reimbursed the TSP account holders for their losses.
The Federal Deposit Insurance Corporation Office of Inspector General’s Electronic Crimes Unit and the FBI Washington Field Office investigated this case. Assistant United States Attorneys Michelle R. Turner and Megan A. Kirkpatrick prosecuted the case.
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