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NJ Woman Admits to Stealing Over $150K in Dead Mother’s Social Security Funds

Piscataway

By: Richard L. Smith 

A Middlesex County woman has admitted to illegally collecting her late mother’s Social Security benefits for more than eight years, federal officials announced.

According to information released by the U.S. Department of Justice, Deborah Bailey, 68, of Piscataway, appeared before U.S. District Judge Robert A. Kirsch in Trenton federal court and pleaded guilty to a charge of theft of public money. 

The plea stems from a long-running scheme in which Bailey collected retirement funds intended for her deceased mother.

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Federal prosecutors said the Social Security Administration had been issuing retirement payments to Bailey’s mother through direct deposit into a shared bank account. 

After her mother passed away in 2016, Bailey failed to report the death and continued withdrawing funds from the account through 2024.

Investigators determined that Bailey had unlawfully collected approximately $150,903 in benefits over the eight-year period. 

The theft was uncovered during a probe by the Social Security Administration.

The charge carries a potential sentence of up to 10 years in federal prison and a fine of up to $250,000. Bailey is scheduled to be sentenced on August 19, 2025.