Oba Joseph Olugbenga Oloyede, the traditional ruler of Ipetumodu in Osun State, Nigeria, has been ordered by a U.S. federal court to surrender millions of dollars in assets to the American government after admitting to involvement in a multimillion-dollar COVID-19 relief fraud scheme.
The case, which has drawn widespread attention, revolves around fraudulent claims made to the U.S. Small Business Administration (SBA) for pandemic relief funds intended to support struggling businesses. Oloyede, alongside his accomplice Edward Oluwasanmi, was accused of orchestrating the elaborate scheme, securing approximately $4.2 million through falsified applications.
Court Ruling and Asset Seizure
On May 5, 2025, Judge Christopher Boyko of the U.S. District Court for the Northern District of Ohio issued a Preliminary Order of Forfeiture, mandating the seizure of several high-value assets linked to Oloyede. As part of his plea agreement, he conceded ownership of properties and financial assets acquired using the fraudulent funds.
Among the forfeited assets is a luxurious residential property in Medina County, Ohio, registered under his wife’s name, Sherri Oloyede. Additionally, a substantial sum of $96,006.89 held in a JP Morgan Chase account under the entity “Joseph Oloyede and Associates Ltd.” was confiscated by federal authorities.
While the Medina County property was officially listed under his wife’s ownership, the couple voluntarily waived their right to contest its forfeiture, acknowledging its connection to the fraudulent activities.
Legal Consequences and Future Implications
Oloyede pleaded guilty to multiple charges, including wire fraud conspiracy, money laundering, and defrauding a federal relief program. His admission of guilt has positioned him for a significant prison sentence under U.S. federal sentencing guidelines, marking a dramatic fall from grace for the Nigerian monarch.
Beyond the legal ramifications, the case has sparked concerns about the future of his reign in Ipetumodu, with discussions emerging over whether traditional authorities in Nigeria will take action in light of his criminal conviction. His status as a ruler now hangs in uncertainty, as the Nigerian chieftaincy system may demand accountability for his actions.
Broader Impact of Fraudulent Relief Claims
The fraudulent appropriation of COVID-19 relief funds has been a major issue in the United States, with authorities continuously working to recover stolen taxpayer money. Oloyede’s case is one among many involving individuals who exploited the emergency relief program meant to support struggling businesses during the pandemic.
As investigations continue, U.S. prosecutors are pushing for stricter enforcement to deter similar fraudulent schemes, ensuring those involved in financial crimes face severe consequences.
With sentencing pending, Oloyede awaits the final decision that will determine both his fate in the U.S. legal system and the future of his traditional role in Nigeria.
