Nigerian Man Jailed in U.S. for $2.5m Fraud, Alaska Benefit Scam Involving Stolen Identities

A Nigerian man, Adepoju Salako, has been sentenced in the United States to 18 months in prison after being convicted for his role in a wire fraud scheme involving Alaska’s Permanent Fund Dividend (PFD) program. The case, which authorities say spanned multiple fraudulent applications and identity theft, also ties into separate financial crimes for which he is already serving a significantly longer sentence.

Fraud Scheme Targeted Alaska Residents’ Benefits

According to court documents and a statement released by the U.S. Department of Justice, Salako, a 33-year-old resident of Philadelphia, Pennsylvania, orchestrated a scheme in early 2022 aimed at defrauding the Alaska Department of Revenue’s Permanent Fund Dividend program.

The PFD program distributes annual payments to eligible Alaska residents, funded by the state’s oil revenues. Eligibility is strictly based on residency requirements, meaning applicants must have lived in Alaska and meet specific legal criteria.

Investigators found that between January and February 2022, Salako unlawfully obtained personal identifying information belonging to legitimate Alaskan residents. Using these stolen identities, he submitted multiple fraudulent applications in an attempt to claim dividend payments.

Multiple Fake Applications and Digital Manipulation

Prosecutors revealed that Salako submitted seven separate PFD applications using the stolen identities. To further conceal the fraud, he allegedly created and controlled multiple new email accounts, assigning a unique account to each victim whose information he had compromised.

These steps, according to investigators, were intended to make the applications appear legitimate and bypass verification systems used by the Alaska Department of Revenue.

Authorities emphasized that Salako had no legitimate connection to Alaska, had never been a resident of the state, and had not even traveled there prior to his later appearance for sentencing.

Guilty Plea and Court Proceedings

Salako eventually pleaded guilty to seven counts of wire fraud. His sentencing was announced on Tuesday, following review of federal court documents detailing his activities and admissions.

The U.S. Department of Justice confirmed the conviction in a public statement released on Friday, outlining how the fraudulent scheme was executed and the extent of the identity misuse involved.

Wire fraud in the United States carries severe penalties, particularly when it involves interstate communications and government benefit programs, both of which were factors in this case.

Connection to Larger Financial Crimes Case

The court also noted that Salako’s sentence in the Alaska PFD fraud case will run concurrently with penalties from a separate conviction in the District of Colorado involving COVID-19 relief fraud and international money laundering.

In that related case, he was previously sentenced to six and a half years in prison and ordered to pay approximately $2.5 million in restitution to victims affected by his broader fraudulent activities.

This means the prison term for the PFD-related offense will not extend his total time in custody beyond the longer sentence already imposed, but it formally accounts for his role in the Alaska fraud scheme.

Authorities Warn on Identity Theft and Benefit Fraud

Federal investigators have repeatedly warned about the increasing use of stolen identities to exploit government benefit programs, particularly during and after the COVID-19 pandemic when emergency relief systems were expanded.

The Salako case adds to a growing number of prosecutions involving international and interstate fraud networks targeting public assistance systems in the United States.

Officials stressed that enhanced verification systems and cross-agency cooperation have become critical tools in detecting and preventing similar schemes.

Conclusion

Adepoju Salako’s sentencing marks another step in a broader crackdown on identity theft and government benefit fraud schemes in the United States. While his 18-month sentence for the Alaska PFD fraud will run alongside a longer six-and-a-half-year sentence, the case underscores the legal consequences of exploiting public assistance programs through stolen identities and digital deception.