Judge factors in ex-Idaho congressional candidate’s mental health at fraud sentencing

Photo by Jared Allen

A federal judge on Wednesday sentenced a former Idaho congressional candidate to more than two years in prison for wire fraud, but admitted to struggling with how to factor in mental health concerns raised by the defendant’s legal team.

“This case rocked me to my core,” Chief U.S. District Judge David Nye said in court. “I have found myself swinging like a pendulum between a severe sentence and a light sentence.”

Nicholas Jones, 36, founder of the Good Burger franchise and U.S. Rep. Russ Fulcher’s opponent in the 2020 Republican primary election for a House seat, pleaded guilty to wire fraud after using COVID-19 funds for personal use and to falsifying records to conceal over $20,000 in in-kind contributions, the Idaho Statesman previously reported.

After factoring in the defendant’s medical history, lack of criminal history, family background and sentencing recommendations, Nye sentenced Jones to 30 months in prison on two fraud counts, to be served concurrently. It was three months less than what the prosecution sought.

Jones, who could have been sentenced to up to 40 years, also was fined $100,000 — the judge said he would waive interest on the fine — and ordered to pay $90,564 in restitution.

Jones received $753,600 in federal COVID-19 relief funds for three small businesses, according to a news release from the Justice Department. The funds were earmarked for business-related expenses only, but Jones used a large portion of the money for personal expenses such as car payments, life insurance and political advertisements, the Idaho Statesman has reported.

Jones’ attorney, Mikela “Mike” French, asked for a lesser sentence on the basis of his mental and emotional condition. She said Jones had post-traumatic stress disorder and undiagnosed bipolar disorder, and medications he was taking were exacerbating his symptoms, including having hallucinations.

“His mental illness was so overarching, it was so endemic to his life and to everything that was going on,” French said.

Prosecutor Rosaleen O’Gara argued that, by law, the defense needed to show that Jones committed the crimes while suffering from a reduced mental capacity. She said his behavior did not indicate that and instead showed intent to seek out financial gain.

“The government has not contested that the defendant has challenges relating to his mental health, but the defendant has not shown that those challenges resulted in significantly reduced capacity,” O’Gara said.

Jones applied to the Paycheck Protection Program, which helped businesses keep employees during the pandemic, and Economic Injury Disaster Loans, which helped pay businesses’ operating expenses, according to a plea agreement obtained by the Idaho Statesman.

Jones started and owned several Good Burger restaurants, a few of which have now closed. Nye said Fantastic Games, a game store with locations in downtown Boise and at The Village at Meridian, is Jones’ only remaining operating business.

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