By Ayo Kehinde
A Nigerian national resident in Atlanta, Ebuka Iwuagwu, has been arrested by the United States Federal Bureau of Investigation (FBI) for alleged fraud involving COVID-19 relief funds and a coordinated romance scam.
Iwuagwu, 39, was taken into custody on Monday, following an eight-count indictment for money laundering and conspiracy filed at the U.S. District Court for the Northern District of Ohio, Eastern Division.
The indictment, dated April 2, 2025, detailed his alleged role in a scheme that defrauded both individuals and the U.S. government of millions of naira worth of funds.
According to court documents, the accused reportedly ran a romance fraud operation between March and May 2020, during which he and unnamed conspirators tricked victims into wiring substantial sums to various accounts under his control.
The first victim, based in Strongsville, Ohio, transferred $37,500 to Iwuagwu, while another in California sent $20,800 to an account operated under a business name—Woodslayer Companies LLC—where Iwuagwu was the sole signatory.
Two more victims transferred $21,565 and $65,500 respectively to an account registered under a fictitious name allegedly linked to him.
Further investigations revealed that Iwuagwu also benefitted from COVID-19 unemployment relief funds through fraudulent claims.
He allegedly created bogus employee identities to obtain about $52,000 from the Washington Security Employment Department at the height of the pandemic.
“The conspirators, through a Pandemic Unemployment Fraud scheme, caused the Washington Security Employment Department to transfer approximately $51,948 in unemployment benefits intended for persons other than the defendant”, the indictment reads.
The FBI claims Iwuagwu laundered the proceeds through various channels to obscure their origins, including transferring $18,000 between April 3 and April 8, 2020, into his personal account.
Although he was first arrested by local police in January 2024, the federal charges related to COVID-19 fraud elevated the case, prompting the FBI to intensify efforts to track the illicit funds and dismantle the alleged network.
