Osun Monarch, Apetu of Ipetumodu, Jailed in U.S. for $4.2m COVID-19 Fraud

The Apetu of Ipetumodu in Osun State, Oba Joseph Olugbenga Oloyede, has been sentenced to 56 months in prison by a U.S. District Court after pleading guilty to multiple charges of fraud and tax violations.

According to U.S. authorities, the monarch, together with an accomplice, orchestrated a scheme between 2020 and 2022 to defraud the government by submitting 38 fraudulent applications for COVID-19 relief loans through the Small Business Administration’s Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL).

The fraudulent claims led to the diversion of about $4.2 million meant to support struggling businesses during the pandemic.

In addition to his prison sentence, the court ordered the monarch to pay over $4.4 million in restitution. He also forfeited his Medina, Ohio, residence which was purchased with the illicit proceeds, alongside nearly $100,000 recovered during investigations. After completing his prison term, Oba Oloyede will serve three years of supervised release.

The case highlights how funds intended for economic recovery during the pandemic were misappropriated, with U.S. officials vowing to continue pursuing those who exploit such emergency relief programs for personal gain.