Osun Monarch jailed in US: Oba Joseph Oloyede sentenced to 56 months for $4.2m COVID-19 relief fraud, ordered to repay $4.4m and forfeit assets.
Oba Joseph Oloyede, the Apetu of Ipetumodu in Osun State, has been sentenced to prison in the United States for his involvement in a multi-million-dollar COVID-19 relief fund fraud.
A U.S. District Court in Ohio, presided over by Justice Christopher Boyko, on Tuesday handed the monarch a 56-month prison sentence.
In addition, he was ordered to serve three years of supervised release after imprisonment, pay restitution of $4,408,543, and forfeit assets, including $96,006 in cash earlier seized by investigators and his residence in Medina.
The conviction stems from a scheme in which Oba Oloyede and his long-time associate, Nigerian-born pastor Edward Oluwasanmi, conspired to defraud the U.S. government of pandemic relief funds.
The duo had been arrested in April 2024 after U.S. investigators traced fraudulent transactions worth $4.2 million to them.
According to prosecutors, the scheme ran between April 2020 and February 2022, exploiting the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) initiatives set up to cushion businesses during the COVID-19 pandemic.
Court filings revealed that the pair submitted numerous loan applications using falsified documents, including fabricated wage statements, tax returns, and business records.
In July 2025, Pastor Oluwasanmi was earlier sentenced to 27 months imprisonment for his role in the fraud.
He was convicted of conspiracy to commit wire fraud and money laundering after admitting to colluding with the monarch in siphoning federal relief funds.
US Jails Nigerian Pastor as Monarch Awaits Sentence in $4.2M COVID Fraud
Oba Oloyede, who is also a professional accountant, was said to have used his expertise to operate six registered companies that facilitated the fraudulent claims.
Investigators disclosed that in June 2020, four of his firms—Available Tax Services, Available Tutors, Available Financial, and Available Transportation—received loans exceeding $100,000.
Later, in October 2021, two other companies, JO&A and Available Transportation, secured loans of $500,000 each.
Beyond his own operations, Oloyede reportedly assisted other conspirators in filing fraudulent applications, collecting commissions from the loan proceeds.
This expanded his role from personal enrichment to aiding a network of fraudsters.
The monarch’s case gained wide attention in Nigeria after he was declared missing in March 2024.
Weeks later, reports emerged that he was in FBI custody, following a warrant of arrest issued on May 4, 2024, that linked him to the fraudulent scheme.
A 13-count charge sheet filed against Oloyede and Oluwasanmi detailed accusations of conspiracy, wire fraud, and money laundering.
A federal grand jury in Ohio indicted them on April 3, 2024, marking the beginning of their legal troubles that has now ended in prison sentences.
The U.S. Attorney’s Office for the Northern District of Ohio, in a statement, condemned the fraud as a betrayal of public trust.
It emphasized that such financial crimes not only divert resources meant for struggling businesses but also undermine the integrity of emergency support programs.
“This sentencing should serve as a clear warning that those who exploit government aid programs for selfish gain will be brought to justice, regardless of their status or position in society,” the office said.
Oba Joseph Oloyede’s sentencing has sent shockwaves through Nigeria, particularly in Osun State, where he once held influence as the Apetu of Ipetumodu.
His involvement in financial crime abroad has sparked debates on leadership, integrity, and accountability among traditional rulers in the country.
His imprisonment not only tarnishes his personal reputation but also raises broader questions about the conduct of influential Nigerians in diaspora communities.