Dapo Abiodun, Ogun Governor’s Ally Arrested In New York For A $650 Million Unemployment Payment Fraud
May 18th, 2021
A Senior Special Assistant (SSA) to Governor Dapo Abiodun of Ogun State, Abidemi Rufai has been arrested in Washington USA over a $650 million unemployment fraud. He was picked up at New York’s John F. Kennedy International Airport by Federal Agents as he attempted to leave the country.
SON learnt that Abidemi Rufai appeared in Federal Court last Saturday on charges that he used the identities of more than 100 Washington residents to steal more than $350,000 in unemployment benefits from the Washington State Employment Security Department during the COVID-19 pandemic last year.
Wire fraud is punishable by up to thirty years in prison when it relates to benefits paid in connection with a presidentially-declared disaster or emergency, such as the COVID-19 pandemic.
“This is the first, but will not be the last, significant arrest in our ongoing investigation of ESD fraud,” said Tessa Gorman, acting U.S. Attorney for the Western District of Washington, in a statement Monday.
According to the Seattle Times, Rufai is scheduled for a detention hearing Wednesday.
His arrest comes almost a year after officials announced they were temporarily suspending unemployment benefits payments after discovering that criminals had used stolen Social Security numbers and other personal information to file bogus claims for federal and state unemployment benefits.
Within days, officials disclosed that “hundreds of millions of dollars” had likely been stolen in a fraud scheme that law enforcement officials and cybercrime experts said was partly based in Nigeria.
“Since the first fraud reports to our office in April 2020, we have worked diligently with a federal law enforcement team to track down the criminals who stole funds designated for pandemic relief,” said Acting U.S. Attorney Gorman.
“This is the first, but will not be the last, significant arrest in our ongoing investigation of ESD fraud,” Gorman said further.
The criminal complaint alleged that Rufai used the stolen identities of more than 100 Washington residents to file fraudulent claims with ESD for pandemic-related unemployment benefits. Rufai also filed fraudulent unemployment claims with Hawaii, Wyoming, Massachusetts, Montana, New York, and Pennsylvania.
Rufai used variations of a single e-mail address in a manner intended to evade automatic detection by fraud systems. By using this practice, Rufai made it appear that each claim was connected with a different email account.
Rufai caused the fraud proceeds to be paid out to online payment accounts such as ‘Green Dot’ accounts, or wired to bank accounts controlled by “money mules.” Some of the proceeds were then mailed to the Jamaica, New York address of Rufai’s relative. Law enforcement determined more than $288,000 was deposited into an American bank account controlled by Rufai between March and August 2020.
“Greed is a powerful motivator. Unfortunately, the greed alleged to this defendant affects all taxpayers,” said Donald Voiret, Special Agent in Charge FBI Seattle.
“The FBI and our partners will not stand idly by while individuals attempt to defraud programs meant to assist American workers and families suffering the consequences of the Covid-19 pandemic,” he said.
The cases are being prosecuted by Assistant United States Attorneys Seth Wilkinson, Cindy Chang, and Benjamin Diggs of the Western District of Washington, and Trial Attorney Jane Lee of DOJ’s Cyber Crime and Intellectual Property Section (CCIPS)
Rufai by his action has brought to ridicule the golden name of Ogun State and will spend 30 years behind bars if found guilty of the charges
Interesting
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