St. Louis, Missouri — Nigerian-born engineer and former City of St. Louis building inspector, Adebanjo “Banjo” Popoola, has pleaded guilty in the United States to diverting approximately $1.64 million in public funds intended for the rehabilitation of rundown buildings into accounts controlled by himself and members of his family.
The guilty plea was entered before a federal court in Missouri, where Popoola admitted to three counts of wire fraud in connection with a scheme that exploited two publicly funded building rehabilitation programmes.
According to the U.S. Attorney’s Office for the Eastern District of Missouri, Popoola used his position as a city building inspector to influence the awarding of contracts under the Stable Communities STL programme, funded through the American Rescue Plan Act (ARPA), and the Prop NS programme, financed through City of St. Louis bond funds.
Investigators said Popoola secretly directed contracts to companies established by his relatives, including one created by his sister and another formed by his future wife. Prosecutors alleged that although the companies received substantial payments from the city, much of the contracted rehabilitation work was either incomplete or never carried out.
Court documents revealed that Popoola approved payment requests by falsely certifying that projects had been completed according to city standards. Authorities further alleged that he concealed his financial interest in the companies by filing false ethics disclosure forms.
Federal prosecutors said approximately $1.64 million was ultimately diverted to Popoola, his wife and his sister. The stolen funds were reportedly used to pay mortgages, purchase and repair vehicles, finance travel, cover gambling expenses, pay for entertainment and fund a luxury wedding in Hawaii.
As part of his plea agreement, Popoola admitted to the fraudulent conduct and now awaits sentencing. He is scheduled to be sentenced on October 6, 2026.
Each count of wire fraud carries a maximum penalty of 20 years’ imprisonment, in addition to possible fines and an order to pay restitution. The final sentence will be determined by the federal court after considering the applicable sentencing guidelines and other statutory factors.
The case was investigated by federal law enforcement authorities, who described the scheme as a significant breach of public trust involving funds intended to improve deteriorating neighbourhoods and provide safer housing for residents.
