Nigerian Arrested For Stealing $10 Million in US Unemployment Benefits

A Nigerian man, Yomi Olayeye, has been arrested and charged with conspiracy, wire fraud, and identity theft for his alleged role in a $10 million pandemic unemployment assistance fraud scheme in the United States.

According to the United States Attorney’s Office for the District of Massachusetts, Olayeye and his co-conspirators defrauded three pandemic assistance programs administered by the Massachusetts Department of Unemployment Assistance and other states’ unemployment insurance agencies.

The schemes involved using stolen personal information to apply for unemployment benefits in multiple states, including Massachusetts, Hawaii, and Indiana. In total, Olayeye and his co-conspirators allegedly applied for at least $10 million in fraudulent benefits and received more than $1.5 million in assistance to which they were not entitled.

Olayeye, 40, of Lagos, Nigeria, is charged with one count of wire fraud conspiracy, one count of wire fraud, and one count of aggravated identity theft. He faces up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, forfeiture, and restitution if convicted.

The United States Department of Justice established the COVID-19 Fraud Enforcement Task Force in May 2021 to combat and prevent pandemic-related fraud.

“The charges of wire fraud and wire fraud conspiracy provide for a sentence of up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, forfeiture, and restitution,” the statement read.

“The charge of aggravated identity theft calls for a mandatory minimum sentence of two years in prison to be added to any sentence imposed on the wire fraud charge. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.”