Osun Monarch Sentenced to 56 Months in Prison for $4.2m COVID-19 Relief Fund Fraud*

Osun Monarch, Oba Joseph Oloyede,

Osun Monarch Sentenced to 56 Months in Prison for $4.2m COVID-19 Relief Fund Fraud

The Apetu of Ipetumodu in Osun State, Oba Joseph Oloyede, has been sentenced to 56 months in prison by a United States court for his involvement in a $4.2 million COVID-19 relief fund fraud. Oloyede, a dual citizen of Nigeria and the United States, was also ordered to serve three years of supervised release and pay $4,408,543.38 in restitution.

*Details of the Fraud*

Oloyede and his co-conspirator, Edward Oluwasanmi, a Nigerian pastor, submitted falsified applications for loans made available through the U.S. Small Business Association under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. They used their businesses to submit loan applications with false information, obtaining approximately $1.2 million in SBA funds for Oluwasanmi's entities and $1.7 million for Oloyede's entities.

*Investigation and Prosecution*

The case was jointly investigated by the Department of Transportation Office of Inspector General, the FBI Cleveland Division, and IRS-Criminal Investigations. Oloyede pleaded guilty to six counts bordering on conspiracy to commit wire fraud, engaging in monetary transactions with criminally derived property, and making false tax returns.

*Osun State Government's Response*

The Osun State Government has stated that it will obtain the Certified True Copy of the judgment before making any decision regarding the monarch's fate. Commissioner for Local Government and Chieftaincy Matters, Mr. Dosu Babatunde, emphasized that the government cannot rely on social media reports and will study the judgment before taking further action.

*Aftermath*

The monarch's sentencing has sparked discussions in Ipetumodu, with chiefs in the town holding a meeting to deliberate on Oloyede's fate. However, the community's most senior chief, Sunday Adedeji, assured that there is no crisis in the town and that they do not envisage any.

*Sentence and Restitution*

As part of his sentence, Oloyede will forfeit his Medina home, purchased with proceeds of the scheme, and an additional $96,006.89 traced to fraud. His co-conspirator, Oluwasanmi, was sentenced to 27 months in prison and ordered to pay over $1.2 million in restitution.