An Osun monarch, Oba Joseph Oloyede, has been sentenced to 56 months in U.S. prison for a $4.2m COVID-19 relief fraud involving fake loan applications and tax evasion.
The Apetu of Ipetumodu in Osun State, Oba Joseph Olugbenga Oloyede, has been sentenced to 56 months in a U.S. federal prison for orchestrating a multimillion-dollar COVID-19 relief fraud.
Oloyede, 62, who holds both U.S. and Nigerian citizenship and resides in Medina, Ohio, received the sentence on August 26 from U.S. District Judge Christopher A. Boyko.
The U.S. Attorney’s Office for the Northern District of Ohio announced that the monarch must also serve three years of supervised release and repay $4,408,543.38 in restitution. In addition, his Medina home, purchased with fraudulent proceeds, and an extra $96,006.89 were forfeited to authorities.
Investigators revealed that between April 2020 and February 2022, Oloyede and his associate, Edward Oluwasanmi, conspired to file false applications for federal loans under the U.S. Small Business Administration’s (SBA) CARES Act programme.
Both men used their businesses to secure loans with falsified information, obtaining over $1.7 million for Oloyede’s companies and $1.2 million for Oluwasanmi’s.
Prosecutors further disclosed that Oloyede prepared fraudulent loan applications for some of his clients in exchange for a 15–20% fee, which he failed to report to tax authorities.
According to court documents, the funds were used for personal gain, including acquiring land, building a home, and purchasing a luxury vehicle. In total, 38 fraudulent loan applications worth $4,213,378 were approved through the scheme.
Co-Conspirator Also Sentenced
Oluwasanmi, 62, from Willoughby, Ohio, was sentenced in July to 27 months in prison and ordered to repay more than $1.2 million, forfeit a commercial property, and surrender over $600,000 in illicit funds.
Joint Investigation and Prosecution
The case was investigated by the Department of Transportation Office of the Inspector General, FBI Cleveland Division, and IRS-Criminal Investigations under the Pandemic Response Accountability Committee Fraud Task Force. Assistant U.S. Attorneys Edward D. Brydle and James L. Morford led the prosecution.
