U.S. Court Grants Bail to Yoruba Monarch in $4.2 Million Fraud Case

A U.S. court has granted bail to Oba Joseph Olugbenga Oloyede, the Apetu of Ipetumodu, who is facing charges for defrauding the U.S. government of $4.2 million through a COVID-19 relief scheme.

Judge Boyko of the U.S. District Court for the Northern District of Ohio ordered that Oloyede be released on a $20,000 bail after his arrest for conspiracy and wire fraud.

As part of his bail conditions, the judge seized both his U.S. and Nigerian passports, which will be held until the conclusion of his trial, expected to take several months.

The 62 years old traditional ruler is accused of falsifying documents to obtain COVID-19 relief loans intended for struggling businesses during the pandemic. The loans, meant to cover debts, payroll, and other permissible expenses, were instead misused by the monarch, who allegedly squandered the funds on personal expenses.

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The FBI investigation revealed that Oloyede also assisted co-conspirators in perpetrating the fraud, charging them a percentage of the disbursed funds.

The monarch, who has strong ties to both Cleveland, where his family resides, and Ipetumodu, has been absent from his community, raising concerns among his subjects. His prolonged absence, especially during crucial traditional festivals and rituals, has sparked worry about the spiritual well-being of Ipetumodu.

FBI Special Agent Brett Zuck obtained an arrest warrant in May 2024 to apprehend Oloyede in Bedford Heights, with additional charges including conspiracy to commit wire fraud, wire fraud, and money laundering.

The FBI is also seeking the seizure of properties linked to the proceeds of the fraud.