Oba Joseph Oloyede of Ipetumodu has been Sentenced to Over 4 Years in Prison After Pleading Guilty to Wire and Tax Fraud Charges
The Apetu of Ipetumodu, Oba Joseph Oloyede, has been sentenced to 56 months’ imprisonment in the United States for orchestrating and leading a fraudulent scheme that unlawfully obtained over $4.2 million from federal COVID‑19 relief loan and grant programmes intended to support small businesses affected by the pandemic.
Oloyede, 62, who holds dual citizenship of Nigeria and the United States and resides in Medina, Ohio, received the sentence from U.S. District Judge Christopher A. Boyko on 26 August, having earlier pleaded guilty in April to one count of conspiracy to commit wire fraud, three counts of engaging in monetary transactions in criminally derived property, and two counts of making and subscribing a false tax return.
In addition to the custodial term, the court ordered Oloyede to serve three years of supervised release, pay $4,408,543.38 in restitution, and forfeit assets acquired with illicit proceeds including his Medina home and $96,006.89 in seized fraud proceeds.
Court records indicate that between April 2020 and February 2022, Oloyede and his associate, Edward Oluwasanmi of Willoughby, Ohio, conspired to submit fraudulent applications for loans under the U.S. Small Business Administration’s Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) scheme, both created pursuant to the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Investigators established that Oloyede, a tax preparer and owner of five businesses and a nonprofit, collaborated with Oluwasanmi who owned three registered business entities, to submit falsified loan applications. Their efforts secured approximately $1.7 million for Oloyede’s entities and $1.2 million for Oluwasanmi’s companies.
Oloyede also filed fraudulent applications on behalf of clients and their businesses, charging a commission of 15‑20 percent of the loan sums as a kickback, which he failed to declare to the Internal Revenue Service. Evidence showed that he used some of the illicit funds to acquire land, build a residence, and purchase a luxury vehicle. In total, he was responsible for 38 fraudulent SBA loan approvals amounting to $4,213,378.
During sentencing submissions, it was disclosed that Oloyede is a naturalised U.S. citizen and the traditional ruler of Ipetumodu in Osun State, Nigeria. His co‑defendant Oluwasanmi, who was also his tax client, had earlier been convicted and sentenced in July 2024 to 27 months in prison, three years of supervised release, a $15,000 fine, and over $1.2 million in restitution.
As part of his sentence, Oluwasanmi forfeited significant assets linked to the fraud, including a commercial property purchased with criminal proceeds and over $600,000 in related funds. His punishment stemmed from his role in the conspiracy and the illicit benefits derived from the scheme.
The case was jointly investigated by the U.S. Department of Transportation’s Office of Inspector General (under the Pandemic Response Accountability Committee Fraud Task Force), the FBI’s Cleveland Division, and IRS Criminal Investigations. Prosecution was led by Assistant U.S. Attorneys Edward D. Brydle and James L. Morford for the Northern District of Ohio.
