Two Nigerians have been named in a sweeping United States fraud case that prosecutors say exploited stolen identities to siphon millions of dollars from the U.S. tax system, drawing renewed attention to the global reach of financial crimes linked to individuals of Nigerian origin.
Indictments unsealed in the Northern District of Georgia and the Western District of Texas charged Akinade Adedeji Raheem, a Georgia-based Nigerian, and Abayomi Quadri Eletu, described as a resident of both the United Kingdom and Nigeria, with multiple offences, including conspiracy to commit mail and wire fraud, money laundering, and aggravated identity theft.
Announcing the charges, U.S. Attorney Theodore S. Hertzberg said the case stems from what authorities describe as a sophisticated, years-long scheme targeting the Internal Revenue Service (IRS).
According to prosecutors, “Akinade Adedeji Raheem and Abayomi Quadri Eletu conspired together and with others to claim fraudulent tax refunds using the stolen identities of accountants and taxpayers.”
Investigators allege that the duo and their collaborators filed more than 300 false tax returns, seeking over $100 million in refunds from the IRS.
Court filings indicate that between 2018 and 2023, the suspects and their co-conspirators “obtained identifying information for tax professionals and taxpayers, including their names, addresses, and Social Security numbers,” by creating fraudulent online accounts with the IRS. Authorities said the group then manipulated official records to divert correspondence away from legitimate taxpayers.
“As part of the scheme, they changed the addresses of taxpayers to an address controlled by the co-conspirators, so the IRS would correspond with the co-conspirators instead of the taxpayers,” prosecutors stated.
They also allegedly submitted “change of address” requests to the U.S. Postal Service to redirect victims’ mail.
Using the stolen identities, the suspects allegedly filed fraudulent returns and instructed the IRS to split refunds across multiple prepaid debit cards. To evade detection, they are accused of posing as legitimate taxpayers to confirm identities when verification letters were sent.
Prosecutors further alleged that Eletu “directed Raheem and others to obtain prepaid debit cards to receive the anticipated fraudulent tax refunds.”
Once funds were received, the group reportedly laundered money by purchasing money orders in amounts designed to avoid reporting thresholds.
Authorities said the proceeds were used to acquire goods, including used vehicles from auction sites, some of which were shipped to Nigeria, as well as designer clothing and other items.
Raheem, 43, and Eletu, 42, each face one count of conspiracy to commit wire and mail fraud and one count of conspiracy to commit money laundering.
Eletu faces additional counts, including five counts of mail fraud, three counts of wire fraud, seven counts of access device fraud and 21 counts of aggravated identity theft. Raheem is also charged with 14 counts of access device fraud and 14 counts of aggravated identity theft.
If convicted, they face up to 20 years in prison for conspiracy to commit mail and wire fraud, another 20 years for money laundering, and up to 10 years for access device fraud, alongside a mandatory two-year sentence for aggravated identity theft.
However, authorities emphasised that “an indictment is merely an allegation” and that all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
The case is being investigated by IRS Criminal Investigation and the Treasury Inspector General for Tax Administration, with support from the Justice Department’s Office of International Affairs and cooperation from the United Kingdom.
Prosecutors from the Northern District of Georgia, the Criminal Division’s Tax Section, and the Western District of Texas are handling the case.
