Nigerian Monarch Jailed in U.S. for $4.2m COVID-19 Relief Fund Fraud
Story Written by Myra Chinonso August 27,2025
A Nigerian monarch, Joseph Oloyede, the Apetu of Ipetumodu in Osun State, has been sentenced to 56 months in prison in the United States for wire fraud and tax offences tied to a scheme that defrauded federal COVID-19 relief programmes of over $4.2 million.
How the Fraud Was Carried Out
The U.S. District Court in Ohio found Oloyede, 62, guilty of conspiring with Edward Oluwasanmi, 62, to file fraudulent applications for loans under the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) initiative. Both programmes were created under the CARES Act to help small businesses affected by the pandemic.
From April 2020 to February 2022, Oloyede and his co-conspirator submitted 38 fraudulent applications, securing a total of $4,213,378 in loans and grants. Investigators revealed that Oloyede diverted part of the funds into land purchases, a luxury home, and a high-end vehicle, while also pocketing kickbacks of 15–20% from fraudulent applications he submitted for clients.
Sentence and Restitution
Presiding Judge Christopher A. Boyko ordered Oloyede to:
- Serve 56 months in federal prison.
- Pay $4.4 million in restitution.
- Forfeit his Medina, Ohio, home purchased with illicit funds.
- Surrender $96,006.89 in seized fraud proceeds.
- Remain under three years of supervised release after his prison term.
Oloyede, who also holds U.S. citizenship, operated as a tax preparer and owned five businesses and one nonprofit, which he used to front the loan applications.
Co-Conspirator’s Role
His co-defendant, Edward Oluwasanmi of Willoughby, Ohio, was earlier sentenced in 2024 to 27 months in prison, restitution of over $1.2 million, and forfeiture of properties acquired with fraud proceeds.
U.S. Crackdown on COVID-19 Fraud
The U.S. Attorney’s Office stressed that the conviction was part of a wider crackdown, as watchdogs estimate over $836 million in fraudulent claims linked to COVID-19 relief funds.
