Colorado funeral home operator sentenced to 18 years for fraud and mishandling bodies

Peter McNeilly, United States Attorney for the District of Colorado
Peter McNeilly, United States Attorney for the District of Colorado
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Carie Hallford, 49, of Colorado Springs was sentenced on Mar. 16 to 18 years in federal prison, three years of supervised release, and ordered to pay over $1 million in restitution after pleading guilty to conspiracy to commit wire fraud.

Hallford owned and operated Return to Nature Funeral Home in Colorado Springs and Penrose with her then husband, Jon Hallford. The case drew attention due to the mishandling of at least 190 bodies over four years and fraudulent applications for COVID-19 relief funds. Jon Hallford received a 20-year sentence in June 2025 for his role in the scheme.

According to the plea agreement, from September 2019 through October 2023, Carie and Jon Hallford failed to cremate or bury at least 190 bodies despite collecting more than $130,000 from families for funeral services that were never provided. They also submitted false death certificates stating that remains had been cremated or buried when they had not. From March 2020 to March 2022, the couple conspired to defraud the Small Business Administration by submitting false loan applications under the Economic Injury Disaster Loan program, receiving $882,300 intended for businesses affected by the pandemic.

Federal and state officials discovered decomposing human remains at the Penrose location during an October 2023 search. The hazardous conditions led authorities to condemn and demolish the building as a toxic waste site.

United States Attorney for the District of Colorado Peter McNeilly said, “It takes an exceptionally sick person to even think of a fraud scheme like Jon and Carie Hallford’s, let alone carry it out. Their disregard for fundamental human dignity is almost beyond belief. I hope the victims take some solace in the serious sentences handed down to both Hallfords. This case doesn’t right the wrongs the victims have suffered, but it does stand as an unequivocal condemnation of the Hallfords’ horrific criminal conduct.”

FBI Denver Special Agent in Charge Amanda Koldjeski said, “The defendant defrauded grieving families she agreed to serve while deceiving the federal government in order to obtain benefits meant to assist businesses during the pandemic. She denied families well deserved dignity and showed blatant disregard for government rules. She lied and exploited families and systems to enrich her lifestyle with absolutely zero regard for the great harm she caused to so many.”



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