Jon M. Hallford, a funeral home operator from Colorado Springs, has been sentenced to 20 years in federal prison for conspiracy to commit wire fraud. The United States Attorney’s Office for the District of Colorado announced that Hallford must also pay over $1 million in restitution.
Hallford and his wife owned Return to Nature Funeral Home in Colorado Springs and Penrose. Over four years, Hallford mishandled at least 190 bodies and defrauded the Small Business Administration (SBA) through fraudulent COVID-19 loan applications.
According to court documents, between September 2019 and October 2023, Hallford collected more than $130,000 from families for funeral services that were never provided. Bodies were left to decay within the facility while Hallford took measures to conceal his actions by blocking windows and doors and providing false explanations for odors.
The plea agreement revealed that Hallford falsified death certificates by listing cremation or burial as the method of disposition. In many cases, he misrepresented identities to third-party crematories or did not cremate or bury remains at all. On some occasions, urns given to families contained dry concrete mix instead of ashes.
Between March 2020 and March 2022, Jon and Carie Hallford submitted false information on SBA loan applications under the Economic Injury Disaster Loan program designed for businesses affected by COVID-19. They received three disbursements totaling $882,300.
United States Attorney Peter McNeilly stated: “Jon Hallford’s criminal fraud was a vehicle to exploit grieving families so he could give himself a lavish life with luxury cars and expensive vacations.” FBI Denver Special Agent Mark Michalek commented on the lack of regard shown by Hallford towards grieving families. Rebecca Spiess from the Colorado Bureau of Investigation highlighted the disturbing nature of these crimes.
Jonathan Huang from SBA’s Office of Inspector General emphasized their commitment against exploitation during crises: “Exploiting SBA programs during a time of crisis is disgraceful.”
Judge Nina Y. Wang delivered the sentence after an investigation led by multiple agencies including the FBI Denver Field Office and SBA’s Office of Inspector General among others.
