BREAKING: Nigerian Monarch, Pastor Face Prison Time In US For $4.2 Million COVID-19 Relief Fund Scam
The Apetu of Ipetumodu in Osun State, Oba Joseph Oloyede, and a Nigerian pastor, Edward Oluwasanmi, are facing possible prison sentences in the United States after pleading guilty to charges of COVID-19 relief fraud.
Oloyede, who is a US-based accountant and information systems expert, was appointed the new Apetu in July 2019.
The duo were arrested in early 2024 for their roles in a scheme to fraudulently obtain $4.2 million in COVID-19 relief funds.
The two men were charged with 13 counts of conspiracy to commit wire fraud, conspiracy to defraud, money laundering, and engaging in monetary transactions in criminally derived property.
They were arraigned before Justice Christopher Boyko of the US District Court of Ohio.
According to Punch, residents of Ipetumodu were at a loss over the disappearance of a community member after they returned from a trip abroad.
There was anxiety in the community after the 62-year-old was absent from several important festivals that required his presence.
After investigating, it was confirmed that the US authorities were holding the monarch.
According to court documents, Oloyede and Oluwasanmi submitted falsified applications for Paycheck Protection Programme and Economic Injury Disaster Loans under the US Coronavirus Aid, Relief and Economic Security Act between April 2020 and February 2022, using fake tax and wage documents to secure funds meant to support struggling businesses during the pandemic.
The Act was designed to provide emergency financial assistance to Americans affected by the economic impacts of the COVID-19 pandemic by issuing loans to small businesses and nonprofit entities experiencing revenue loss due to the pandemic.
The Act also authorised the US Small Business Administration to issue advances or grants of up to $10,000 to small businesses.
Oba Oloyede, who was based in Medina, Ohio, before his enthronement, was accused of using some of his companies, including Available Tax Services Incorporated, Available Financial Corporation, and Available Transportation Company, to defraud the government through the COVID-19 relief fund.
Oluwasanmi was also accused of using his companies: Dayspring Transportation Limited, Dayspring Holding Incorporated, and Dayspring Property Incorporated to obtain millions of dollars, which he later diverted for his expenses, in breach of US federal laws.
According to court documents, Oba Oloyede and Oluwasanmi, among other things, fraudulently obtained a sum of $3.76 million from the US Paycheck Protection Programme and Economic Injury Disaster Loans scheme.
After about a year in court, the duo pleaded guilty to some of the charges and may face prison sentences.
On April 10, Oluwasanmi, through his counsel, Henry Hilow, pleaded guilty to counts one, 11, and 12 of the indictment.
In the said counts, Oluwasanmi was accused of using some of the proceeds of the fraud to purchase a commercial property on 422 South Green Road, South Euclid, Ohio, through wire transfer, and transferring money into the Dayspring transportation brokerage account.
“Guilty plea entered to counts 1, 11 and 12 of the indictment. Plea agreement executed. Sentencing set for July 2, 2025, at 10am in Courtroom 9A. Defendant’s bond to continue with same conditions as previously ordered,” the document read.
On Monday, April 21, Oba Oloyede submitted his guilty plea before the court.
The court fixed Thursday, April 24, for the hearing of his pleas.
Oba Oloyede’s prolonged absence from his community has sparked reactions from community leaders and chiefs, particularly after he reportedly demolished the town’s palace, promising to build a befitting one upon his return from a trip before his arrest.
