US-Based Nigerian Engineer Pleads Guilty To Diverting $1.64 Million To Family Accounts

Lucky Obukohwo, Reporting

USA– A Nigerian engineer based in the United States of America, Adebanjo Popoola, has pleaded guilty to diverting approximately $1.64 million in public funds earmarked for the rehabilitation of dilapidated buildings in St. Louis into bank accounts controlled by himself, his wife, and his sister.

Popoola, 57, a former building inspector with the City of St. Louis, admitted to three counts of wire fraud before the U.S. District Court in St. Louis.

According to prosecutors, he exploited his position while overseeing the Stable Communities STL and Prop NS rehabilitation programmes by steering contracts to two companies owned by his wife and sister, enabling the diversion of millions of dollars in public funds.

According to court documents, his sister, a Texas resident who had never visited St. Louis, registered Farst Construction LLC in 2022, while his future wife established Premier Finish Contractors LLC in 2021.

Between 2023 and 2024, the two companies received more than $3.8 million in city contracts, accounting for 42 per cent of the $7.19 million disbursed under the Stable Communities STL programme.

Investigators found that several projects were either incomplete or not carried out as required, despite Popoola certifying that the work had been properly executed.

After subcontractors were paid, prosecutors said Popoola, his wife and sister shared about $1.64 million, which he admitted spending on mortgage payments, vehicle purchases and repairs, travel, his September 2023 Hawaii wedding, casino gambling, dining and other personal expenses.

Popoola also admitted that in 2022 and 2023, he falsely declared that he had no personal interest in any City of St. Louis contract or business transaction.

His wife and sister made similar false certifications, stating that no city official or employee involved in administering the project had any direct or indirect private interest in the contracts.

Popoola is scheduled to be sentenced on October 6. Each count of wire fraud carries a maximum penalty of 20 years in prison, a fine of up to $250,000, or both. He will also be required to repay the misappropriated funds.

The investigation was conducted by the Federal Bureau of Investigation (FBI) with assistance from the City of St. Louis Comptroller’s Office.