A Nigerian-born building development inspector, Banjo Popoola, has been indicted by a U.S. grand jury for defrauding the federal government of $4.7 million through construction contracts awarded to his wife and sister, funds that were allegedly used to finance a luxury wedding in Hawaii, casino trips, and high-end automobiles.
According to the indictment filed on March 11, Mr. Popoola, who worked in St. Louis, Missouri, was responsible for identifying dilapidated private properties, overseeing their renovation, and certifying completed projects for payment.
Prosecutors said he exploited the position to funnel contracts to two companies he controlled indirectly: Premier Finish Contractors LLC, run by his wife, and Farst Construction LLC, operated by his sister in Texas despite having little construction experience.
Between February 2021 and August 2024, Mr. Popoola is accused of diverting more than $4.7 million in government funds, personally pocketing over $1.6 million.
Some of the payments were cashed directly from company cheques because he held the debit cards.
The indictment alleged that he used multiple fake addresses, including one belonging to his ex-wife, and certified projects that were never completed as finished to secure payments under St. Louis building programs.
“One or more of the rehabilitation and stabilisation projects under both the Stable Communities STL and the Prop NS programmes, Farst failed to perform the work as contracted, but Popoola falsely certified to the City’s Comptroller that the work had been performed completely and properly,” the indictment states.
Under the Stable Communities STL programme, Premier, his wife’s company, received 10 contracts worth over $1.5 million, while Farst, his sister’s company, was awarded 13 contracts totaling about $1.8 million.
The NS programme saw eight contracts worth $339,500 go to Farst, and 23 contracts valued at $1,035,100 to Premier.
Prosecutors said Mr. Popoola’s actions violated U.S. law, as he had declared in annual St. Louis Employee Secondary Employment Questionnaires for 2022 and 2023 that he had no interest in the contracts.
The Justice Department further stated that his certifications were knowingly false and that he orchestrated the contracts to benefit the companies he indirectly controlled.
Investigators traced the misappropriated funds to mortgage payments, airline tickets, luxury car purchases including a Lexus, casino gambling, and the extravagant Hawaiian wedding.
Mr. Popoola now faces three counts of wire fraud and the U.S. Department of Justice is seeking the forfeiture of at least $1.6 million.
