Nation
Nigerian, 33, arrested in U.S. over multimillion-dollar fraud targeting veterans’ health org
A 33-year-old Nigerian national, Edikan Adiakpan, has been arrested in the United States for allegedly orchestrating a multimillion-dollar fraud and money laundering scheme that targeted businesses and nonprofit organisations across eight states, including a California-based group focused on medical research for U.S. military veterans.
The arrest was announced Thursday in a statement published on the official website of the U.S. Department of Justice (DOJ). The U.S. Attorney for the Eastern District of Texas, Nicholas J. Ganjei, confirmed that Adiakpan was taken into custody and is scheduled to appear before Magistrate Judge Peter Bray in Houston, Texas, for an initial hearing.
Adiakpan was indicted by a federal grand jury on June 11, 2025, on three felony counts, including:
Conspiracy to commit wire fraud
Conspiracy to commit money laundering
Operating an unlicensed money transmitting business
Scheme Targeted U.S. Veterans’ Health Research Group
According to the indictment and DOJ statement, the fraud occurred in 2021 and involved a sophisticated Business Email Compromise (BEC) scheme. Adiakpan and his alleged co-conspirators reportedly sent spoofed emails to multiple organisations, impersonating legitimate vendors. Unsuspecting victims were tricked into transferring funds into fraudulently controlled bank accounts instead of paying actual suppliers.
One of the key victims was a California-based nonprofit medical research organisation dedicated to developing treatments for U.S. military veterans — a group often regarded with high esteem in the U.S. for their service. The organisation reportedly lost significant funds intended for medical innovations and support for former servicemen and women.
The DOJ said the fraudsters moved the stolen funds through multiple bank accounts under their control in rapid succession — a common laundering tactic — before converting the money into cashier’s checks. Adiakpan allegedly personally cashed the checks, keeping a percentage of the proceeds as a “fee.”
Previous Arrests, Ongoing Investigations
Authorities also revealed that another Nigerian national, 26-year-old Ayobami Omoniyi, has already been charged in connection with the same fraud operation. Omoniyi pleaded guilty earlier and is awaiting sentencing before U.S. District Judge Andrew S. Hanen.
The investigation into the fraud ring was led by the Federal Bureau of Investigation (FBI) in Houston and its Bryan Resident Agency, in collaboration with the Internal Revenue Service’s (IRS) Criminal Investigation Division.
Assistant U.S. Attorneys Belinda Beek and Christine Lu are prosecuting the case.
Potential Sentencing and Penalties
If convicted, Adiakpan could face:
Up to 20 years in federal prison for the wire fraud and money laundering conspiracy charges
Up to 5 years for operating an unlicensed money transmission business
Fines of up to $250,000 for each count
He also faces possible asset forfeiture if any traceable proceeds from the alleged crimes are recovered.
Broader Trend of Transnational Fraud
The case highlights growing concerns in U.S. law enforcement circles over the involvement of international cybercrime syndicates, particularly from West Africa, in elaborate financial frauds that target government agencies, nonprofits, hospitals, schools, and private businesses.
Business Email Compromise scams — sometimes described as “digital impersonation” — have cost U.S. organisations billions of dollars over the last decade, according to FBI reports.
The DOJ reiterated its commitment to pursuing cross-border financial crimes and urged the public, especially businesses and nonprofits, to adopt stronger cybersecurity practices, including email verification procedures, multi-factor authentication, and real-time bank transaction alerts.
As of press time, Adiakpan has not entered a plea. His legal representation, if any, has not been made public.
