GistNexus – April 27, 2025.
In a scandalous case that has shaken Nigeria and the United States, Oba Joseph Olugbenga Oloyede, the Apetu of Ipetumodu in Osun State, and Pastor Edward Oluwasanmi, an American pastor, have pleaded guilty to masterminding a multi-million-dollar COVID-19 relief scam.
The two individuals, arrested in early April 2024, pleaded guilty to charges of defrauding the United States government of $4.2 million meant for struggling businesses amidst the COVID-19 pandemic. In accordance with several court documents, Oloyede and Oluwasanmi both stood accused of 13 counts, such as conspiracy to commit wire fraud, money laundering, conspiracy to defraud the government, and engaging in monetary transactions with criminally derived property.
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Court records indicate that between April 2020 and February 2022, the defendants had submitted fraudulent applications under the US government’s Paycheck Protection Programme (PPP) and Economic Injury Disaster Loans (EIDL), designed to give emergency funds to small businesses hard hit by the pandemic. Rather than spending the funds on legitimate purposes, however, the pair spent millions on their own expenditures and investments, violating US federal laws.
The scandal has not only discredited the images of the two men but also brought shame to their community, as Ipetumodu indigenes were left with deep disappointment and worry over what the monarch’s actions have led to.
How the Fraud Was Orchestrated: A Web of Companies and False Documents
Investigations of the bogus schemes indicated a premeditated and organized plot with the deployment of false tax reports, fabricated wage statements, and false claims of business. Oloyede and Oluwasanmi employed their multiple businesses to channel the illegally derived funds.
Oba Oloyede, accounting and information technology professional from Medina, Ohio before his consecration in July 2019, operated companies like Available Tax Services Incorporated, Available Financial Corporation, and Available Transportation Company. These were the entities which had been employed to create fraudulent claims and take large pieces of the relief monies.
On the other hand, Pastor Oluwasanmi employed his business fronts—Dayspring Transportation Limited, Dayspring Holding Incorporated, and Dayspring Property Incorporated—to get millions of dollars in the name of financing nonexistent or over-sold business activities.
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According to court documents, a minimum of $3.76 million was stolen in these schemes. Oluwasanmi invested some of the proceeds of the stolen cash in purchasing a commercial property at 422 South Green Road, South Euclid, Ohio, and placed staggering amounts into Dayspring brokerage accounts.
On April 10, 2025, Oluwasanmi, represented by his attorney Henry Hilow, pleaded guilty to Counts 1, 11, and 12 of the indictment in the US District Court in Ohio. Similarly, Oba Oloyede entered his plea of guilty on April 21, with the plea hearing formalities conducted on April 24.
The two men are already awaiting sentencing, to be heard on July 2, 2025, when they face stiff prison terms for their roles in the well-advanced fraud scheme.
Ipetumodu in Turmoil: Community Anger and Leadership Crisis
The reports of Oba Oloyede’s court troubles have caused deep upset in Ipetumodu, a traditional town in Osun State.
Installed as a king in 2019, Oloyede’s frequent journeys to the United States for so-called “royal and personal engagements” had already raised alarm among natives. His long absence from key cultural celebrations and traditional festivities, as well as the surprise demolition of the town’s palace with a promise to construct a new, modern one, had raised rumors and suspicions long before his arrest was revealed.
Conventional chiefs, natives, and traditional leaders have also been dismayed and disappointed. The majority have requested that the Osun State government carry out a proper investigation into the king’s activities, particularly concerning his failed promise to provide a new palace and the failure to play his role as a traditional king.
In a sit-down with GistNexus, an outraged traditional elder lamented:
We have been kept in the dark for far too long. We want to know what actually happened and see something done about it.”
Moreover, there are growing vociferous calls for the state to move in to fill the leadership gap in Ipetumodu, as fears grow that the town’s image and customary system of authority would be permanently damaged if the matter is not addressed.
Broader Implications: Damage to Nigeria’s Global Image
Outside of Ipetumodu, the scandal also has implications for Nigeria’s image on the global front.
The arrest and pleas of guilty by Oba Oloyede and Pastor Oluwasanmi occur while money watchdogs globally are increasing vigilance regarding the misappropriation of COVID-19 relief money globally. Unfortunately, their crime adds to the long list of Nigerian elites being charged with financial crimes abroad, reinforcing odious stereotypes numerous Nigerians have grappled to shake off.
Domestic and international commentators, including members of institutions like UNICEF and the World Health Organization (WHO)—both of which have strongly invested in development projects within Osun State—have expressed worry over the possible repercussions. There is worry that potential future foreign partnerships and donations may be jeopardized due to loss of confidence caused by scandals of such magnitude.
A political commentator who spoke with GistNexus on anonymity stated:
> “These types of cases make it harder for genuine Nigerian institutions and organizations to receive aid, partnerships, and foreign investment. It is a stain on our collective conscience.”
As the world becomes increasingly connected, what people do, particularly those in roles of great honor, necessarily have ripple effects that cross borders.
The Road Ahead: Waiting for Sentencing and Community Healing
With July 2, 2025, looming large, the monarch and pastor both stand to face sentencing that could have them doing some serious years behind bars in the United States.
Legal experts have pointed out that, given the gravity of the charges and the quantum of money involved, heavy prison terms are on the cards. Furthermore, the authorities may seek orders for restitution to recover some of the lost funds, but recovery of the full amount is by no means certain.
Meanwhile, people in Ipetumodu are faced with the painful ordeal of repairing the reputation and confidence of their community. Many of its residents have called for reforms in the vetting and nomination process of traditional rulers to prevent such shame in the future.
As the situation unfolds, GistNexus will continue to provide updates on the sentencing outcomes and any actions taken by the Osun State government concerning Oba Oloyede’s throne. For now, the once-revered monarch and the trusted pastor remain stark examples of how positions of influence can be abused, and how the pursuit of personal gain can lead to public disgrace.
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Contributed by GistNexus Team and Edited by Mr. Chibueze Onwuka