Oba Joseph Oloyede: US Court Sends Nigerian Monarch to 4 Years in Prison Over $4.2m COVID-19 Fraud
- Nigerian traditional ruler, Apetu of Ipetumodu in Osun state, Oba Joseph Oloyede, has been sentenced to six and a half years imprisonment in the United States
- Oba Oloyede was said to have created and led a scheme that defrauded over $4.2 million from the federal loan and grant programmes
- The US court filed three-count charges against the traditional ruler, according to the office of the US Attorney in the Northern District of Ohio
The Apetu of Ipetumodu in Osun state, Oba Joseph Oloyede, a dual Nigerian-American citizen, has been sentenced to four years imprisonment in the United States.
Oba Oloyede reportedly created and led a scheme that wired over $4.2 million from the federal loan and grant programmes, which were meant to support small businesses confronting economic challenges they suffered because of the COVID-19 pandemic.
Source: Twitter
US attorney speaks on sentencing Nigerian monarch
The office of the US Attorney, Northern District of Ohio, explained that the 62-year-old traditional ruler holds both Nigerian and US citizenship. He was said to be residing in Medina, Ohio.
He was sentenced to 56 months (four and a half years) in prison by the U.S. District Judge Christopher A. Boyko on Tuesday, August 26. He pleaded guilty to the allegations after he was first charged in April.
The three charges brought against the traditional ruler are:
- One count of Conspiracy to Commit Wire Fraud
- Three counts of Engaging in Monetary Transactions in Criminally Derived Property
- Two counts of Making and Subscribing a False Tax Return
Another US judgment on a Nigerian monarch
The traditional ruler was also sentenced to three years of supervised release after imprisonment and would pay a restitution of $4,408,543.38. Oba Oloyede will also forfeit his Medina home on Foote Road, which was said to have been acquired with the scheme proceeds, as well as $96,006.89, another fraud proceeds that were seized by the investigator.
According to the court document, from around April 2020 to February 2022, Oba Oloyede and his 62-year-old accomplice, Edward Oluwasanmi, of Willoughby, conspired and submitted fraudulent applications to get loans that were made available through the U.S. Small Business Association (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
These also included the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program, which were meant for small businesses that were affected by the financial hardship with loans and grants as a result of the pandemic.
Joseph Oloyede was detained by the FBI and charged with conspiracy, wire fraud, and money laundering for his role in a fraudulent COVID-19 relief scheme.
Source: Twitter
What Nigeria must do to curb corruption - Analyst
Reacting, Ajidahun Dipo-Daniels, a policy analyst and youth development advocate, described the monarch's conviction as a wake-up call for the country to take accountability more seriously.
He told Legit.ng:
“The conviction of a Nigerian traditional ruler abroad for fraud is a sobering reminder that corruption erodes public trust, particularly when committed by cultural leaders who should model integrity.”
He stressed that “Nigeria must respond by strengthening its institutions, through whistleblower protection laws, empowered anti-corruption agencies, and special courts to deliver swift justice in financial crime cases.”
According to him, “institutional transparency is key: open data on government spending, digital procurement systems, and independent audit offices can ensure accountability at every level of governance.”
Dipo-Daniels also emphasised the importance of cultural change, noting that “integrity education in schools, workplaces, and communities can help young people internalize honesty as a core value.”
“Society should equally celebrate role models who embody service and integrity, so that youths see ethical leadership as both attainable and aspirational,” he added.
He further called for practical youth-focused initiatives, saying:
“By scaling up integrity clubs, mentorship programs, and civic engagement platforms, we can provide young Nigerians with practical spaces to learn, practice, and lead with transparency.”
Concluding, he maintained:
“If Nigeria marries strong accountability systems with youth-centered reforms, our young people can grow up in a climate where transparency is expected, ethical leadership is celebrated, and corruption finds no safe space.”
Osun monarch, pastor admit to $4.2m fraud
Legit.ng earlier reported that the Apetu of Ipetumodu, Oba Joseph Oloyede, and Pastor Edward Oluwasanmi pleaded guilty in the US to COVID-19 relief fraud involving $4.2 million.
Both men were charged with conspiracy to commit wire fraud, money laundering, and related offences after falsifying applications for pandemic-related financial aid.
Oba Oloyede’s long absence from Ipetumodu, following his arrest in the U.S., has caused concern among residents and calls for the state government's intervention.
Editorial assistant Ololade Olatimehin provided exclusive commentary from a policy expert for this report.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
