In a stunning fall from grace, Oba Joseph Olugbenga Oloyede—known as the Apetu of Ipetumodu—has been sentenced to 56 months (4 years, 8 months) in a federal U.S. prison. The Nigerian monarch was convicted for orchestrating a $4.2 million COVID-19 relief fraud, exploiting emergency aid meant for struggling American businesses during the height of the pandemic.

On August 26, 2025, before U.S. District Judge Christopher A. Boyko in the Northern District of Ohio, Oloyede received a prison term of 56 months, to be served concurrently across multiple counts of wire fraud and tax fraud. The judgment also included three years of supervised release, a mandatory $400 special assessment, asset forfeiture, and restitution totaling $4,408,543.38. He surrendered his Medina, Ohio, home and over $96,000 seized from his businesses.

How the Scheme Worked

Between April 2020 and February 2022, Oloyede and co-conspirator Edward Oluwasanmi submitted 38 fraudulent loan applications to U.S. Small Business Administration (SBA) relief programs under the CARES Act, including the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) scheme. Using falsified tax documents and payroll information, Oloyede obtained roughly $4.21 million, part of which was misused to purchase land, build a home, and acquire luxury vehicles. Shockingly, he also processed fraudulent applications in the names of his tax clients, pocketing 15–20% kickbacks without reporting income to the IRS. Legal Background and Guilty Plea

Oloyede, 60 at the time, was apprehended in May 2024 by the FBI in Cleveland after fleeing Nigeria. He pleaded guilty in April 2025 to wire and tax fraud charge. His attorney’s sentencing memo appealed for mercy, citing the COVID-19 pandemic’s psychological toll. The defense cited his clean track record as a banker, academic, and traditional ruler who pursued a Doctorate before ascending the throne in 2019.

Historical & Cultural Implications

Oba Oloyede’s downfall marks a rare case of a traditional Yoruba monarch prosecuted abroad, raising questions about accountability and leadership within Nigeria’s tribal institutions. A tax consultant turned monarch—with dual U.S.-Nigerian citizenship—his conviction and absence have left Ipetumodu in a leadership vacuum, with succession issues looming amid cultural traditions.

Expert Analysis: Why Pandemic Fraud Exploded

1. Rapid Relief Rollouts Allowed Exploitation
Pandemic relief programs—including PPP and EIDL—were deployed swiftly with relaxed vetting within the CARES Act. While necessary, these measures opened avenues for fraud, especially among those with financial expertise.

2. Global Reach of White-Collar Crime
Oloyede’s case highlights how sophisticated fraudsters can operate across borders, exploiting dual identities and financial networks. It underscores the need for improved international collaboration to track and prosecute such crimes.

Court Statement & DOJ Perspective

According to the U.S. Attorney’s Office for the Northern District of Ohio,

“From about April 2020 to February 2022, Oloyede and his co-conspirator … conspired to submit fraudulent applications … under the CARES Act.”
The agency condemned the exploitation of pandemic relief funds intended for legitimate businesses

Conclusion: A Cautionary Tale

Oba Oloyede’s conviction stands as both a legal victory in pandemic fraud enforcement and a cautionary tale of unchecked privilege misused. As cases like this rise, they highlight the urgent need for oversight, transparency, and integrity—whether in governance or traditional leadership.