Osun Monarch, Joseph Oloyede Arrested By FBI Over Alleged $4.2m COVID-19 Fraud

The Apetu of Ipetumodu in Osun State, Joseph Oloyede has been arrested by the United States Federal Bureau of Investigation (FBI) after being charged with conspiracy, wire fraud, and money laundering.

Joseph Oloyede, who became the king in 2019, regularly traveled between Nigeria and the U.S. for royal duties and personal matters.

However, his long absences led to concerns in Ipetumodu, as he missed three key traditional festivals, including the Egungun Festival and Edi Celebration, leaving the throne vacant for nearly a year.

The U.S. Department of Transportation confirmed Oloyede’s arrest in a statement, revealing that the Osun monarch was indicted alongside Edward Oluwasanmi for their involvement in a fraud scheme.

According to the indictment, Oloyede and Oluwasanmi fraudulently obtained over $4.2 million in COVID-19 relief funds under the U.S. Small Business Administration’s (SBA) CARES Act.

“The indictment alleges that Oloyede and Oluwasanmi fraudulently obtained over $4.2 million in COVID-19 relief funds guaranteed by the U.S. Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, including Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDLs),” the statement reads.

“The indictment states that from April 2020 through February 2022, Oloyede and Oluwasanmi submitted PPP and EIDL applications containing false information for entities under their control. They also allegedly submitted falsified tax and wage documents to support these applications.

“Oloyede received $1.7 million, and Oluwasanmi received $1.2 million in SBA funds for their businesses.

“Additionally, Oloyede submitted falsified PPP and EIDL applications in the names of other co-conspirators and confederate borrowers and their businesses. Oloyede obtained approximately $1.3 million through those applications, totaling at least $4.2 million obtained through the fraud.”

“Further investigations suggest that the monarch, an accountant by profession, assisted co-conspirators in executing similar fraud schemes, charging them a percentage of the loan amount upon disbursement.

“Oloyede assisted co-conspirators and confederate borrowers who submitted and caused to be submitted PPP and EIDL loan applications containing false information,” the indictment stated.

The U.S. Attorney’s Office for the Northern District of Ohio disclosed that Oloyede and Oluwasanmi have been charged with conspiracy to commit wire fraud, wire fraud, and money laundering offenses.

“The investigation is being conducted by the FBI, Internal Revenue Service Criminal Investigation, and the U.S. Department of Transportation’s Office of Inspector General (DOT-OIG), under the Pandemic Response Accountability Committee (PRAC) Fraud Task Force,” the statement added.

Joseph Oloyede was arrested on May 4, 2024, after a warrant was issued for his arrest.

KanyiDaily recalls that the FBI recently announced the extradition of 37-year-old Abiola Kayode from Ghana to face charges related to an alleged $6 million cyber fraud scheme.