Society Gist Editor
Ude Emmanuel
A U.S. federal court has sentenced a Nigerian national to 11 years in prison for orchestrating a $1.3 million COVID-19 relief fraud scheme, in one of the most brazen cases of pandemic-era financial abuse uncovered by American authorities.
According to court documents, the convict, identified asAbiola Quadri on confirmation, submitted fraudulent applications for loans intended to assist small businesses affected by the economic fallout of the COVID-19 pandemic. These applications were made under the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program, both rolled out by the U.S. government in 2020 to support struggling businesses.
Prosecutors revealed that the convict used falsified tax documents, fake employee records, and phony company information to secure the loans from multiple financial institutions. The funds were not used for business recovery or staff payroll, as required under U.S. law, but instead diverted into lavish personal projects.
In a shocking twist, investigators found that the stolen funds were used to build a luxury nightclub, shopping mall, and a resort-style hotel in Nigeria. Authorities described the investments as part of an elaborate effort to launder and legitimize the stolen money while enjoying the proceeds of fraud.
“This was a calculated and cynical exploitation of a global crisis,” said U.S. District Attorney [Name], adding that the convict not only stole from American taxpayers but also undermined the integrity of a relief program designed to save lives and livelihoods.
The convict, who had been residing in the United States on a visa, was arrested following a joint investigation by the Federal Bureau of Investigation (FBI) and the Small Business Administration Office of Inspector General (SBA-OIG). His assets in the U.S. have since been frozen, while U.S. authorities are working with Nigerian counterparts to trace and recover overseas investments tied to the fraud.
In addition to the 11-year prison term, the court ordered full restitution and a three-year supervised release following his sentence.
This case adds to the growing list of pandemic-related fraud convictions as U.S. authorities ramp up efforts to hold accountable those who exploited emergency relief programs for personal gain.
The U.S. Department of Justice reaffirmed its commitment to pursuing cross-border financial crimes and warned that similar offenders — regardless of nationality — would be aggressively prosecuted.
“He also paid for the construction of a 120-room resort hotel in Nigeria, the Oyins International, that includes a nightclub, a mall, and additional high-end amenities.
He Build a nightclub, shopping mall and resort hotel.
