Osun State to Secure Official U.S. Court Ruling on Monarch’s COVID-19 Relief Fraud Conviction
The Osun State Government has announced plans to acquire the Certified True Copy of a U.S. court verdict that sentenced Oba Joseph Oloyede, the Apetumodu of Ipetumodu, for his involvement in a large-scale COVID-19 relief fund fraud. The monarch, aged 62 and holding dual Nigerian-American citizenship, was handed a 56-month prison sentence on August 26 by U.S. District Judge Christopher A. Boyko.
Details of the Conviction and Sentencing
In addition to incarceration, Oba Oloyede was mandated to undergo three years of supervised release and repay $4,408,543.38 in restitution. The U.S. Attorney’s Office for the Northern District of Ohio revealed that the monarch forfeited his Medina, Ohio residence, which was purchased with illicit funds from the fraudulent scheme, along with an extra $96,006.89 connected to the crime.
Oloyede was found guilty of orchestrating a conspiracy that manipulated emergency loan programs designed to aid small businesses during the COVID-19 pandemic. Specifically, the fraudulent activities targeted the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) initiatives under the CARES Act, resulting in losses exceeding $4.2 million to the U.S. government.
Osun Government’s Response and Next Steps
Speaking on Wednesday, Dosu Babatunde, Osun State Commissioner for Local Government and Chieftaincy Affairs, emphasized the need for official documentation before any governmental action is taken. “While reports of the monarch’s conviction and imprisonment may be accurate, we have yet to receive any formal records. We cannot base decisions on social media posts or unverified news,” he stated.
Babatunde confirmed that the government will formally request the Certified True Copy of the U.S. court judgment. “Once we have thoroughly reviewed the official document, we will determine the appropriate course of action regarding the monarch’s position,” he added.
Community Reaction in Ipetumodu
Despite the gravity of the situation, Ipetumodu residents maintained a calm atmosphere on Wednesday, though the topic was quietly discussed among locals. Traditional chiefs convened at the palace to deliberate on the implications for the monarch’s stool.
Sunday Adedeji, the town’s most senior chief, expressed hope for peace: “May divine providence prevent any unrest in our community. We trust that order will prevail, and no crisis is anticipated.”
Background on the Fraud Scheme
According to court records, between April 2020 and February 2022, Oba Oloyede, who also worked as a tax preparer and owned multiple businesses and a nonprofit organization, collaborated with Edward Oluwasanmi, 62, from Willoughby, Ohio, to submit fraudulent applications for COVID-19 relief loans.
Oloyede pleaded guilty to six charges, including conspiracy to commit wire fraud, conducting financial transactions involving criminal proceeds, and filing false tax returns. This case highlights ongoing challenges in safeguarding emergency relief funds from exploitation.
Broader Context: Fraud in Pandemic Relief Efforts
Fraudulent claims against COVID-19 relief programs have been a significant issue globally. For instance, the U.S. Department of Justice reported that over $80 billion in pandemic-related funds were lost to fraud schemes nationwide as of early 2024. This case serves as a reminder of the importance of stringent oversight and accountability in disbursing emergency aid.
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