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Home Court filings USA v. Thomas et al USA v. Thomas et al — Charles Hill IV filings, N.D. Ga., Atlanta Sentencing Memorandum as to Charles Hill, IV filed by USA — USA v. Thomas et al. (Dkt. 405, N.D. Ga.)

Court filing

Sentencing Memorandum as to Charles Hill, IV filed by USA — USA v. Thomas et al. (Dkt. 405, N.D. Ga.)

Filed December 30, 2021 in USA v. Thomas et al.; one of 34 filings from this case.

Record facts

CourtU.S. District Court for the Northern District of Georgia
Filed2021-12-30

U.S. District Court for the Northern District of Georgia · No. 1:20-cr-00296-JPB-CMS · Doc. 405 · 2021-12-30 · Docket on CourtListener

Full text

IN THE UNITED STATES DISTRICT COURT 
FOR THE NORTHERN DISTRICT OF GEORGIA 
ATLANTA DIVISION 
 
UNITED STATES OF AMERICA 
v. 
CHARLES HILL IV 
 
Criminal Action No. 
1:20-CR-296-16-JPB 
 
United States’ Sentencing Memorandum 
The United States of America, by Kurt R. Erskine, United States Attorney, 
Tal C. Chaiken and Nathan P. Kitchens, Assistant United States Attorneys for the 
Northern District of Georgia, and Siji Moore, Trial Attorney for the Department of 
Justice, respectfully files this Sentencing Memorandum in advance of Defendant 
Charles Hill IV’s sentencing, which is set for January 12, 2022.  Defendant pleaded 
guilty to conspiracy to commit wire fraud in violation of Title 18, United States 
Code, Section 1349.   
As set forth below, the United States respectfully submits that a sentence of 
5 years’ probation, with a condition that 27 months be served on home 
confinement, is sufficient, but not greater than necessary, to comply with the 
purposes set forth in Title 18, United States Code, Section 3553(a).  This sentence 
would require a downward variance from Defendant’s Guidelines range of 27 to 
33 months’ incarceration.  The United States recommends this downward variance 
– pursuant to which Defendant would serve home confinement for the same 
length of time as the low-end of his Guidelines range – because of Defendant’s 
very rare and incurable autoimmune disease, which makes a custodial setting 
Case 1:20-cr-00296-JPB-CMS     Document 405     Filed 12/30/21     Page 1 of 7

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inappropriate for Defendant but does not lessen the seriousness of his conduct or 
the need to provide adequate deterrence.     
A Downward Variance is Appropriate Under the Section 3553(a) Factors 
Because of Defendant’s Unique Medical Condition 
1. 
The Nature and Circumstances of the Offense. 
Defendant’s offense was serious, motivated by personal greed during an 
unprecedented global crisis.  In early 2020, the COVID-19 pandemic sent stock 
markets crashing and unemployment rates skyrocketing, while nationwide 
lockdowns ground the economy to a halt.  Many American businesses – and in 
particular, small businesses – struggled to stay afloat as consumer demand 
plummeted, creating daunting uncertainty for the businesses, their employees, 
and the families who rely on them.  Against that backdrop, Congress passed the 
Paycheck Protection Program (the “PPP”) as one of the mechanisms for providing 
relief to small businesses and their employees.  To obtain a loan, a business had to 
certify that the loan would be used to pay for payroll, lease or mortgage interest, 
or utilities, and the loan was forgivable if the business spent a certain percentage 
of the loan on payroll costs.   
Because Congress’s intent was to “provide relief to America’s small 
businesses 
expeditiously,” 
the 
PPP 
streamlined 
the 
Small 
Business 
Administration’s typical lending requirements.  Business Loan Program 
Temporary Changes; Paycheck Protection Program, 85 Fed. Reg. 20811-01 (Apr. 
15, 2020).  For example, the PPP “allow[ed] lenders to rely on certifications of the 
borrower in order to determine eligibility of the borrower and use of loan proceeds 
and to rely on specified documents provided by the borrower to determine 
qualifying loan amount and eligibility for loan forgiveness.”  Id.  These procedures 
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were designed to quickly get much-needed funds to small businesses so they could 
keep their workers employed during an economic and public health crisis that 
threatened the viability of many small businesses and their ability to keep their 
employees on the payroll. 
Defendant sought to take advantage of the PPP’s streamlined procedures to 
line his own pockets.  Defendant was not a small business owner worried about 
his employees and the mouths they were responsible for feeding.  Rather, he saw 
in the PPP an opportunity to get free money to use for personal expenses.  And 
though CDC Small Business Finance (“CDC SBF”) funded the loans, the funds that 
were stolen were taxpayer funds administered by the Small Business 
Administration.  Furthermore, because the PPP had a limited amount of funds, 
Defendant’s actions deprived legitimate business owners who desperately needed 
funds.   
2. 
The Defendant’s History and Characteristics. 
The United States understands based on information provided by one of 
Defendant’s medical providers that Defendant suffers from a very rare and 
incurable autoimmune disease.1  According to Defendant’s provider, any period 
of incarceration in a prison would pose significant risk of permanent damage to 
Defendant’s health.  Based on the medical opinions explained by Defendant’s 
 
1 Because this Sentencing Memorandum is being publicly filed, the United 
States is not providing additional details regarding Defendant’s medical 
condition.  However, the United States expects that, at sentencing, Defendant’s 
counsel will be able to provide additional information to the Court regarding 
Defendant’s medical condition.   
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provider, the United States agrees that incarceration in a custodial setting is not 
appropriate. 
However, while Defendant’s condition bears on the appropriate location for 
service of his sentence, it has no bearing on the appropriate length of his sentence 
based on the other Section 3553(a) factors.  For that reason, the United States 
recommends a period of home confinement that equals the low end of Defendant’s 
Guidelines range.     
3. 
The Need for Adequate Deterrence. 
The Eleventh Circuit has identified general deterrence as “an important goal 
of sentencing in a white-collar crime prosecution.”  United States v. Kuhlman, 711 
F.3d 1321, 1328 (11th Cir. 2013); United States v. McQueen, 727 F.3d 1144, 1158 (11th 
Cir. 2013) (recognizing that general deterrence is one of the “‘key purposes of 
sentencing’”) (citation omitted).  And deterrence is especially important in the 
context of crimes, like Defendant’s crime in this case, that “may easily go 
undetected and unpunished.”  See McQueen, 727 F.3d at 1158-59 (reversing the 
district court’s lenient sentence because it “sap[ped] the goal of general 
deterrence”); see also United States v. Engle, 592 F.3d 495, 502 (4th Cir. 2010) 
(explaining that because tax evasion offenses are infrequently prosecuted, 
“[w]ithout a real possibility of imprisonment, there would be little incentive for a 
wavering would-be evader to choose the straight-and-narrow over the wayward 
path). 
While Defendant’s medical condition renders custodial imprisonment 
inappropriate, the recommended sentence of 5 years’ probation with 27 months of 
home confinement is necessary to afford adequate deterrence and to reflect the 
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seriousness of the offense, promote respect for the law, and provide just 
punishment for the offense.  18 U.S.C. § 3553(a)(2).       
4. 
Unwarranted Sentencing Disparities. 
While several of Defendant’s co-defendants have received sentences at the 
low end of their adjusted Guidelines range, Defendant is not similarly situated to 
these already-sentenced co-defendants because of his unique medical condition.  
For that reason, the recommended sentence would not create unwarranted 
sentencing disparities.     
Conclusion 
 
 
For these reasons, the United States respectfully requests that the Court 
grant a downward variance and impose a sentence of 5 years’ probation, with 27 
months to be served on home confinement.   
 
 
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Dated: December 30, 2021.  
 
 
 
Respectfully submitted, 
 
KURT R. ERSKINE 
United States Attorney 
 
 
TAL C. CHAIKEN 
Assistant United States Attorney 
Georgia Bar No. 273949 
 
NATHAN P. KITCHENS 
Assistant United States Attorney 
Georgia Bar No. 263930 
 
600 U.S. Courthouse 
75 Ted Turner Drive SW 
Atlanta, GA 30303 
404-581-6000; Fax: 404-581-6181 
 
SIJI MOORE 
  Trial Attorney, Fraud Section 
  U.S. Department of Justice 
 
1400 New York Avenue, N.W. 
Washington, DC 20005 
202-834-2793 
 
 
 
Case 1:20-cr-00296-JPB-CMS     Document 405     Filed 12/30/21     Page 6 of 7

 
 
Certificate of Service 
The United States Attorney’s Office served this document today by filing it 
using the Court’s CM/ECF system, which automatically notifies the parties 
and counsel of record. 
Akil K. Secret 
December 30, 2021 
 
/s/ TAL C. CHAIKEN 
 
 
TAL C. CHAIKEN 
 
Assistant United States Attorney 
 
 
Case 1:20-cr-00296-JPB-CMS     Document 405     Filed 12/30/21     Page 7 of 7

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