Yomi Olayeye, a 40-year-old Nigerian man, was arrested for allegedly defrauding U.S. unemployment programs of $10 million. Charged with conspiracy, wire fraud, and identity theft, he is accused of using stolen personal information to apply for pandemic assistance benefits across several states.
Yomi Olayeye, a 40-year-old Nigerian national, was taken into custody on August 13, 2024, after arriving at John F. Kennedy International Airport in New York. He faces multiple charges, including conspiracy, wire fraud, and identity theft, as part of an investigation into a scheme that allegedly defrauded the U.S. government of around $10 million in pandemic-related unemployment benefits.
According to the U.S. Attorney’s Office for the District of Massachusetts, Olayeye’s arrest stems from his involvement in a conspiracy aimed at fraudulently obtaining COVID-19 unemployment assistance. The charges reveal that he, along with co-conspirators, exploited several pandemic assistance programs, including the Pandemic Unemployment Assistance (PUA), Federal Pandemic Unemployment Compensation (FPUC), and traditional unemployment insurance.
The alleged fraud took place between March and July 2020, during which Olayeye and others reportedly used stolen personal information to submit false claims for unemployment benefits across various states, including Massachusetts, Hawaii, and Indiana. The group is accused of receiving over $1.5 million in payments that they were not entitled to.
Investigators noted that Olayeye and his associates acquired personally identifiable information (PII) from illicit online sources, allowing them to impersonate legitimate applicants affected by the pandemic. The fraudsters allegedly created U.S. bank accounts and used prepaid debit cards to access the funds obtained through these fraudulent claims.
If convicted, Olayeye faces severe penalties, potentially including up to 20 years in prison for the wire fraud charges, along with additional sentences for identity theft.
The Justice Department has established a COVID-19 Fraud Enforcement Task Force to enhance efforts in addressing pandemic-related fraud and safeguard taxpayer funds.
