According to a statement from the U.S. Attorney’s Office for the District of Massachusetts, Olayeye and several co-conspirators are accused of executing a complex scheme targeting three pandemic assistance programs managed by the Massachusetts Department of Unemployment Assistance: Traditional Unemployment Insurance (UI), Pandemic Unemployment Assistance (PUA), and Federal Pandemic Unemployment Compensation (FPUC).
Between March and July 2020, Olayeye and his associates allegedly exploited personally identifiable information (PII) purchased from criminal internet forums to fraudulently apply for unemployment benefits. The U.S. Attorney’s Office noted that they falsely claimed to be eligible state residents impacted by the COVID-19 pandemic.
The suspects reportedly opened U.S. bank accounts and prepaid debit cards to receive funds generated from these fraudulent applications. They also recruited individuals based in the U.S. to handle and transfer the illicit proceeds via cash transfer apps, which were then used to buy Bitcoin through online marketplaces.
Olayeye and his co-conspirators are believed to have received over $1.5 million in fraudulent assistance payments. If convicted, Olayeye could face up to 20 years in prison for wire fraud, along with an additional two years for aggravated identity theft. He made his initial court appearance in New York on August 14 and is scheduled to appear in federal court in Boston today.