The elaborate scheme, which spanned from April 2020 to February 2022, involved Oba Oloyede and his accomplice, Edward Oluwasanmi. They submitted fraudulent applications to two key programs established under the CARES Act: the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) scheme. These programs were designed to provide a financial lifeline to struggling businesses to help them keep their employees.
The fraudulent activities were extensive and highly lucrative. Investigators discovered that Oba Oloyede successfully obtained a staggering $4.2 million from 38 fraudulent applications. Instead of using the money for its intended purpose—to support businesses and their employees—he diverted the funds for his personal gain.
A significant portion of the stolen money was used to purchase luxury assets. The investigation revealed that the monarch spent the illicit proceeds on acquiring land, a private home, and a luxury vehicle, showcasing a pattern of using the stolen funds for personal enrichment rather than for legitimate business operations.
In addition to his prison sentence, a U.S. District Judge has ordered Oba Oloyede to pay a restitution fee of $4.4 million, which is intended to repay the full amount he and his accomplice defrauded. He has also been ordered to forfeit his home and nearly $100,000 in seized money, a move aimed at recovering the assets acquired with the stolen funds.
Upon his release from prison, the monarch will also have to serve an additional three years of supervised release, during which his activities will be monitored by authorities. This measure is intended to ensure he does not re-engage in criminal activities and to enforce the terms of his restitution.
The investigation was part of a larger, concerted effort by U.S. law enforcement to crack down on pandemic-related fraud. The case was a collaborative effort involving the FBI, IRS Criminal Investigations, and the Department of Transportation's Office of Inspector General, all working to identify and prosecute individuals who exploited the relief programs.
Oba Oloyede's accomplice, Edward Oluwasanmi, received a lighter sentence of 27 months in prison. He was also ordered to repay $1.2 million in restitution. The disparity in their sentences reflects their respective roles and the extent of their involvement in the fraudulent scheme.
The conviction of a traditional Nigerian monarch on foreign soil for financial crimes is a rare and notable event. It sends a strong message that individuals in positions of power or influence are not immune from justice, especially when they engage in international criminal activities. The case highlights the global reach of U.S. law enforcement and their commitment to prosecuting financial fraud wherever it occurs.
For Nigeria, the incident is a source of embarrassment and further tarnishes the image of some of its traditional institutions. It raises questions about the integrity of public figures and underscores the need for greater scrutiny and accountability, both domestically and internationally.
This case serves as a powerful reminder of the global nature of financial crime and the importance of international cooperation in combating it. The successful prosecution and conviction of Oba Oloyede demonstrate that those who attempt to exploit public crises for personal gain will be held accountable, regardless of their status.