Top Nigerian Monarch Arrested by FBI Over $4.2 Million COVID-19 Fraud
Oloyede is also alleged to have submitted falsified PPP and EIDL loan applications in the names of other co-conspirators and confederate borrowers and their businesses, obtaining approximately $1.3 through those applications, for a total of at least $4.2 million obtained through the fraud.
A Nigerian traditional ruler, Oba Joseph Oloyede, the Apetu of Ipetumodu in the Southwest region, has been found in FBI custody months after being declared missing in March 2024. He is facing serious allegations of defrauding the U.S. government of $4.2 million in COVID-19 relief funds.
Oloyede, also a U.S. citizen, is currently battling a 13-count fraud indictment in the U.S. District Court for the Northern District of Ohio. Court documents reveal that he was arrested on May 4, 2024, after a warrant was issued for his apprehension.
Fraudulent Scheme Uncovered
The FBI accuses the monarch of orchestrating a sophisticated fraud scheme through six registered companies, securing loans intended to support struggling businesses during the pandemic. These loans were obtained under the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program.
Investigators found that Oloyede allegedly falsified tax records, wage statements, and other financial documents to access the funds illegally. Instead of using them for business recovery, he is accused of diverting the money for personal expenses in violation of federal law.
In June 2020 alone, he reportedly secured over $100,000 in loans for four of his companies—Available Tax Services, Available Tutors, Available Financial, and Available Transportation. Later, on October 7, 2021, he obtained a $500,000 loan for JO&A and another $500,000 for Available Transportation just two days later.
Network of Co-Conspirators
Authorities say Oloyede did not act alone. Further investigations suggest that he assisted co-conspirators in executing similar fraud schemes, charging them a percentage of the loan amount upon disbursement.
According to the indictment, he facilitated fraudulent applications for others, securing approximately $1.3 million for co-conspirators and bringing the total amount fraudulently obtained to at least $4.2 million.
On April 3, 2024, a grand jury indicted Oloyede and his associate, Edward Oluwasanmi, for conspiracy, wire fraud, and money laundering. Prosecutors allege that from April 2020 to February 2022, the duo fraudulently obtained relief funds guaranteed by the U.S. Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
The investigation is being conducted by the FBI, Internal Revenue Service Criminal Investigation (IRS-CI), and the U.S. Department of Transportation’s Office of Inspector General (DOT-OIG), under the Pandemic Response Accountability Committee (PRAC) Fraud Task Force.
Implications for the Royal Throne
Crowned in 2019, Oba Oloyede frequently traveled between Nigeria and the U.S. to attend to both his royal and personal affairs. However, his prolonged absence left the royal stool of Ipetumodu vacant for nearly a year, raising concerns among the town’s indigenes.
The traditional ruler notably missed three major cultural festivals, including the annual Odun Egungun and Odun Edi, prompting local authorities and elders to question his whereabouts. His arrest by the FBI has now provided a shocking answer to the lingering mystery.
Legal Battle Ahead
Federal prosecutors allege that Oloyede and Oluwasanmi defrauded the U.S. government by submitting falsified loan applications containing inaccurate business information, fake tax filings, and forged wage documents. The indictment claims they pocketed millions under false pretenses while many genuine small businesses struggled to stay afloat during the pandemic.
The indictment further details that Oloyede personally obtained $1.7 million for his businesses and facilitated an additional $1.3 million in fraudulent loans for other co-conspirators.
If convicted, the Nigerian monarch could face significant jail time, fines, and asset forfeitures. His case is being closely followed by both U.S. and Nigerian authorities, given the implications for his traditional role and the legal consequences of his alleged crimes.
As investigations continue, authorities emphasize the importance of accountability in pandemic-related relief programs, warning that fraudulent activities will not go unpunished.
