Nigerian Sentenced in Business Email Compromise Scheme that Scammed Universities of Millions
A federal jury has sentenced Oludayo Kolawole John Adeagbo to seven years in prison after convicting him of defrauding businesses and universities of millions of dollars in an email compromise scheme.
Oludayo Kolawole John Adeagbo, 45, was sentenced on Oct. 1 to seven years in prison for conspiring in a scheme to steal over $5 million, according to a DOJ press release. With multiple co-conspirators, Adeagbo, who also goes by John Edwards and John Dayo, stole over $3 million from Texas-based entities and $1.9 million from Appalachian State University in Boone, North Carolina.
The case opened in August 2022 when Adeagbo and two other Nigerian citizens, Donald Ikenna Echeazu, 42, and Olabanji Egbinola, 44, were extradited from the United Kingdom, where they lived as residents, on charges of conspiracy, wire fraud and money laundering. These crimes occurred in North Carolina, Texas and Virginia, according to a 2022 DOJ press release.
Business Email Compromise Scheme
On April 8, 2024, Adeagbo pled guilty in two cases against him in North Carolina and Texas for participating in a business email compromise scheme, which is also called a “cyber-enabled financial fraud” scheme, according to a DOJ press release about the plea. The scam targeted businesses and employees that made frequent financial transactions or wire transfers.
A business email compromise scheme can be initiated by scammers creating fake accounts pretending to be companies that a business regularly does business with, according to the FBI site on the topic. In most cases, the scammers email you with a spoofed email that is one letter off from the original (jake.landon@info.com vs. jake.landonn@info.com).
Criminals can use these spoofed emails to gather more sensitive information from employees or businesses. They can also equip the email with malware in an attachment or link and infiltrate company networks, passwords, bank account information or other sensitive information.
Defrauding Appalachian State University Out of Nearly $2 Million
Starting approximately Aug. 30, 2022, Adeagbo gathered information on multi-million dollar construction projects and what entities were awarded which contracts, the indictment says. Adeagbo gained access to the names, emails and phone numbers of the employees at Appalachian State and Rodgers Builders, a construction company, who were involved with the contracts. He then relayed this information to his co-conspirators.
On Dec. 2, 2016, Adeagbo and his co-conspirators sent an email from accounts@rodgersbuildersinc.com to an employee at Appalachian State with information on a “new” JP Morgan direct deposit form where they should send all future funds, according to the indictment. The actual email suffix from Rogers Builders, however, was @rodgersbuilders.com, without the “inc.,” and the company had not changed its direct deposit information.
On Dec. 8, 2016, the university processed a $1,959,925.02 payment to the direct deposit from the fraudulent Rogers Builders email, prosecutors say. A co-conspirator, Lee, then opened multiple business bank accounts, split the money into different amounts and sent checks and wires to each one.
Adeagbo and his co-conspirators pulled the same tricks in Texas, targeting local government entities and universities, pretending to be construction companies, according to the most recent DOJ release. The scammers received over $3 million from the scheme and $5 million overall.
Adeagbo has been ordered to pay $942,655.03 in restitution and will serve seven years behind bars for his crimes, according to his press release.
More From This Author
Business Owner Pollutes Environment for Personal Gain
Report Jessika Saunders | Dec 6, 2024
Final Executive Sentenced in Proposed Nuclear Plant Disaster
Report Jessika Saunders | Dec 5, 2024
Dirty Rotten Lawyer: Attorney Steals Bequeathments Intended for Charity
Report Jessika Saunders | Dec 3, 2024
Weekly Muck
Join the mission and subscribe to our newsletter. In exchange, we promise to fight for justice.
Weekly
Muck
Join the mission and subscribe to our newsletter. In exchange, we promise to fight for justice.
