Osun King Arrested in US by FBI for Alleged $4.2M Fraud

According to the FBI, Oba Joseph Oloyede, the Apetu of Ipetumodu in Osun State’s Ife North Council Area, has been detained for allegedly defrauding the US government of $4.2 million in COVID-19 fraud.
The US government reportedly accused the Apetu of Ipetumodu of fabricating documents in order to obtain loans for COVID-19-affected enterprises.
Sahara Reporters reports that the monarch, who is also a citizen of the United States, is presently fighting a 13-count fraud accusation in the Northern District of Ohio U.S. District Court.

Oba Oloyede was taken into custody on May 4, 2024, following the issuance of a warrant for his arrest, according to US court records that the platform referenced.
He allegedly obtained the financing through his six registered companies, according to the FBI. The loan applicants had to provide wage statements, tax returns, and other financial evidence attesting to their eligibility.

Investigations allegedly revealed that Oba Oloyede violated federal law by allegedly falsifying these documents and misusing the money for personal needs, according to the newspaper.

For four of his six businesses—available tax services, available tutors, available financial, and available transportation—Mr. Oloyede obtained more than $100,000 in loans in June 2020 alone, according to FBI data. He was given a $500,000 loan for JO&A on October 7, 2021, and another $500,000 loan for Available Transportation two days later,” the statement stated.

According to reports from additional investigations, the monarch charged co-conspirators a portion of the loan amount upon disbursement, allegedly helping them carry out similar fraud schemes.

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The report said, “Oloyede helped co-conspirators and confederate borrowers submit and cause to be submitted PPP and EIDL loan applications that contained false information.”

A grand jury in the U.S. District Court for the Northern District of Ohio indicted Oba Oloyede and Edward Oluwasanmi on April 3, 2024, for conspiracy, wire fraud, and money laundering, the article further stated.

The two were accused by the prosecution of fraudulently obtaining more than $4.2 million in SBA-guaranteed relief funding between April 2020 and February 2022.

In addition to filing fictitious applications for co-conspirators, the Oba allegedly earned $1.3 million and $1.7 million for his own companies.

According to Sahara Reporters, “the FBI, Internal Revenue Service Criminal Investigation, and the U.S. Department of Transportation’s Office of Inspector General (DOT-OIG) are conducting the investigation as part of the Pandemic Response Accountability Committee (PRAC) Fraud Task Force.”