A former pastor from Hamilton County, Illinois, has been sentenced to 21 months in federal prison for fraudulently obtaining nearly $200,000 in COVID-19 relief funds intended for his church. Terry L. Hall, 58, of McLeansboro, pleaded guilty to two counts of wire fraud and three counts of making false statements. In addition to his prison term, Hall will serve two years of supervised release and must repay $199,900 plus accrued interest to the Small Business Administration (SBA).
U.S. Attorney Steven D. Weinhoeft commented on the case: “The vast majority of pastors across southern Illinois answered the pandemic with selfless service. Terry Hall chose a different path: he requested federal relief on behalf of his congregation, then used nearly $200,000 for purely personal expenses. Conduct that far from the calling of ministry demands accountability, and accountability arrived in the form of a 21-month federal prison sentence.”
The Coronavirus Aid, Relief and Economic Security (CARES) Act was passed in March 2020 to provide emergency financial assistance during the pandemic. The SBA administered programs like the Economic Injury Disaster Loan (EIDL), which offered low-interest funding to small businesses and nonprofits for payroll and other essential costs.
According to court documents, Hall applied for EIDL funds on behalf of his church but directed two disbursements totaling about $199,900 into his personal bank account in 2020. He created fraudulent documents and contacted elected officials to secure the loan while intimidating church members who questioned him. The money was used for personal expenses such as paying off his mortgage, constructing a pole barn, travel costs, clothing, gas, and food; none went toward helping the church manage pandemic-related hardships.
Special Agent in Charge Christopher J. S. Johnson of FBI Springfield stated: “FBI Springfield is committed to exposing those who abuse positions of trust in southern Illinois. Our communities deserve honesty, and we remain steadfast in holding accountable anyone who violates that trust.”
The FBI’s Springfield Field Office led the investigation into Hall’s actions with Assistant U.S. Attorney Kathleen Howard prosecuting the case.
