Nigerian Man Pleads Guilty to $10 Million U.S. COVID-19 Fraud Scheme

A Nigerian national, Yomi Jones Olayeye, has pleaded guilty in the United States to participating in a multi-million-dollar COVID-19 unemployment benefits fraud. Olayeye, a Lagos-based fraudster, now faces up to 20 years in prison for wire fraud and conspiracy after his involvement in a scheme that sought to defraud U.S. pandemic relief programs of over $10 million.

Court records reveal that Olayeye was unaware of the charges against him when he entered the United States in August 2024. He was arrested immediately upon arrival at New York's JFK International Airport.

The fraudulent operation targeted federal and state unemployment aid programs established to support individuals affected by the COVID-19 pandemic, including Pandemic Unemployment Assistance (PUA) and Federal Pandemic Unemployment Compensation (FPUC).

Olayeye and his co-conspirators reportedly obtained stolen personal information online, which they used to file fake unemployment claims in multiple states. The illicit funds were funneled through U.S. bank accounts, prepaid cards, and money transfer apps, eventually making their way to Nigeria. Some of the proceeds were also converted into cryptocurrency.

While the syndicate applied for benefits totaling around $10 million, only about $1.5 million was successfully stolen. The fraud spanned states such as Massachusetts, Hawaii, Michigan, and Ohio, among others.

Olayeye is scheduled to be sentenced in August. In addition to prison time, he faces supervised release, financial penalties, forfeiture, and restitution.