U.S. court sentences Nigerian to six years for $5 million COVID-19 fraud.

A United States District Court has sentenced 34-year-old Nigerian Adepoju Babatunde Salako to six and a half years in prison for his involvement in a $5 million COVID-19 relief fraud scheme.

According to a statement on the U.S. Department of Justice website, Salako, a resident of Philadelphia, Pennsylvania, received a 78-month federal prison term after pleading guilty to conspiracy to commit wire fraud and conspiracy to commit money laundering.

As part of his plea agreement, Salako also admitted guilt to seven additional counts of wire fraud in the District of Alaska. The court ordered him to pay $2,581,002.50 in restitution to victims of the scheme.

The statement said that Salako participated in the scheme throughout most of 2021, exploiting economic relief programs introduced during the COVID-19 pandemic. The fraud targeted the Paycheck Protection Program, the Economic Injury Disaster Loan program, and 30 state unemployment programs, resulting in losses exceeding $5 million.
Salako and two accomplices used stolen identities to obtain fraudulent loans and unemployment benefits. His role involved receiving funds from victims and government agencies and laundering the proceeds, primarily to China and Nigeria, for a fee of about 25 percent.
United States Attorney for the District of Colorado, Peter McNeilly, condemned the scheme, stating that Salako and his co-conspirators exploited innocent people and stole millions from American taxpayers. He emphasised that the government is committed to prosecuting fraudsters and ensuring they face severe consequences.
Matthew Modafferi, Special Agent in Charge of the United States Postal Service Office of Inspector General, Northeast Area Field Office, warned that the sentence serves as a strong warning to anyone who abuses public resources for criminal activity.
The case highlights the federal government’s ongoing efforts to hold accountable individuals who exploit pandemic relief programs for personal gain.