- Nigerian pastor Edward Oluwasanmi arrested for fraud related to COVID-19 relief loans
- Oba Joseph Oloyede, a Nigerian monarch also faced charges for defrauding the US government
- Investigations revealed fraudulent loans were funnelled for personal use, violating federal laws
A Nigerian pastor, Edward Abiodun Oluwasanmi, was arrested by the Federal Bureau of Investigation (FBI) for his role in a conspiracy to defraud the US government of $4.2 million in COVID-19 relief funds.
Oluwasanmi, along with Osun monarch Oba Joseph Oloyede, allegedly submitted falsified documents to obtain loans meant for businesses struggling during the pandemic, which were then diverted for personal use, violating US federal laws.
FBI seizes $620k from Nigerian pastor in COVID-19 scam
Oluwasanmi used his three companies; Dayspring Property Incorporated, Dayspring Holdings, and Dayspring Transportation to secure fraudulent loans. He was indicted on 13 counts of fraud and arrested in Cleveland in April, before being released on a $20,000 bail.
Investigations revealed that he transferred $1 million in COVID-19 relief funds into a brokerage account associated with his company, Dayspring Transportation, in October 2021.
Additionally, he made a wire transfer of $221,880 in September 2020 to purchase commercial property in Ohio.
Prosecutors have seized approximately $620,000 from Oluwasanmi, with efforts underway to forfeit the sum and other assets acquired through the fraudulent scheme.
The FBI also seized funds from his accounts, including $599,250 from Dayspring Transportation’s account at Fidelity Investments and $20,000 from his account at Key Bank on April 5, 2024. His US and Nigerian passports were confiscated to ensure compliance with the trial proceedings.
Oluwasanmi faces immediate re-arrest if he fails to appear for trial.
FBI apprehends Oba Oloyede for alleged fraud
Meanwhile, Oba Joseph Oloyede, the Apetu of Ipetumodu, was also arrested in connection with the fraud scheme. Oloyede, a US citizen, was reported missing in March 2024 but was later found in FBI custody.
The Nigerian monarch, who faces a 13-count fraud indictment, was accused of masterminding the fraudulent scheme through six of his registered companies, securing loans intended for struggling businesses.
“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.
Oloyede, 4 other Southwestern monarchs involved in corruption-related allegations
Meanwhile, TheRadar earlier reported that several traditional rulers from the Southwest region of Nigeria had faced corruption-related allegations, including the recently indicted Apetu of Ipetumodu, Oba Joseph Olugbenga Oloyede.
The allegations ranged from wire fraud to money laundering and fraudulent real estate investment schemes.