The Apetu of Ipetumodu in Osun State, Oba Joseph Oloyede, has been sentenced to over four years in prison in the United States for his role in a multi-million-dollar COVID-19 loan fraud scheme.

Oloyede, 62, who is both a U.S. and Nigerian citizen living in Ohio, was found guilty of creating and leading a fraudulent network that stole more than $4.2 million from federal relief programs meant to support small businesses during the pandemic.

On August 26, 2025, U.S. District Judge Christopher Boyko handed him a sentence of 56 months (4 years, 8 months) in prison. He will also serve three years of supervised release after completing his jail term and has been ordered to repay $4.4 million in restitution.

As part of the judgment, Oloyede forfeited his luxury home in Medina, Ohio, along with nearly $100,000 in seized funds. Investigations revealed he used the fraud proceeds to buy land, build a house, and purchase a luxury car.

Court records show that between April 2020 and February 2022, Oloyede and his associate, Edward Oluwasanmi, submitted dozens of fake applications for loans under the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program.

 These schemes, launched under the U.S. CARES Act, were intended to help businesses survive the economic hardship of the pandemic.

Together, the duo secured loans using false business information, with Oloyede alone responsible for 38 fraudulent applications. He also filed fake applications on behalf of his tax clients, taking a 15–20% cut from their loan payouts, without declaring the income to tax authorities.

His co-defendant, Oluwasanmi, was earlier sentenced to 27 months in prison in 2024 for his role in the conspiracy and was ordered to forfeit over $1.2 million in fraud proceeds, including properties and financial assets.

The case was investigated by the FBI, the IRS Criminal Investigations Unit, and the U.S. Department of Transportation’s Inspector General, under the Pandemic Response Accountability Committee Fraud Task Force.

Oloyede’s sentencing has drawn attention in both the U.S. and Nigeria, given his position as a traditional monarch in Ipetumodu, Osun State.