Man stole over $1.3 million through California COVID fraud scheme to build hotel, nightclub abroad

A man living in Southern California was sentenced to prison for defrauding the government of over $1.3 million through a scheme that targeted COVID-19 unemployment and disability benefits.

The man was identified as Abiola Femi Quadri, 43, of Pasadena, according to the U.S. Attorney’s Office. 

According to court documents, Quadri is a Nigerian citizen who acquired permanent residency in the U.S. through what he described as a “fake wedding” in messages sent to a woman who was not his wife.

While Quadri was living in the San Gabriel Valley from 2021 to 2024, he claimed COVID unemployment and disability insurance benefits by submitting more than 100 fraudulent applications using stolen identities. The applications were submitted in both California and Nevada, prosecutors said.

Through this scheme, he collected over $1.3 million. He used the stolen funds to pay for commercial developments in Nigeria, including the construction of a 120-room resort hotel called the Oyins International. The property also included a nightclub, a mall and additional high-end amenities, court documents said. 

On Quadri’s phone, investigators found photos of 17 counterfeit checks that totaled more than $3.3 million, along with messages about negotiating the checks. 

Some checks were also made payable to shell businesses held in the names of Quadri’s aliases, prosecutors said.

In September 2024, Quadri was arrested at Los Angeles International Airport, where he was planning to board a flight to Nigeria. 

In his California application, Quadri had fraudulently told federal officials that he provided daycare services to developmentally disabled children through an Altadena company called Rock of Peace. 

“When agents searched Quadri’s residence, they found the children’s misappropriated food-aid debit cards,” officials said.

On Jan. 2, he pleaded guilty to one count of conspiracy to commit bank fraud. On July 10, he was sentenced to 135 months in prison for the crimes. He was also ordered to pay $1,356,229 in restitution and a $35,000 fine.

The case was investigated by the U.S. Postal Inspection Service, Homeland Security Investigations and the California Employment Development Department Investigation Division.