A former building inspector with the City of St. Louis, Adebanjo Popoola has pleaded guilty to diverting about $1.64 million meant for repairing dilapidated buildings to himself and his relatives.
Popoola, 57, admitted to three counts of wire fraud in the U.S. District Court in St. Louis on Tuesday.
According to court documents as reported by the US Attorney Office, Popoola oversaw key aspects of two city-funded rehabilitation programmes, Stable Communities STL and Prop NS, while serving as a building division inspector.
Stable Communities STL was funded through the federal American Rescue Plan Act and targeted privately owned properties, while Prop NS focused on residential properties owned by the City of St. Louis’ Land Reutilization Authority (LRA) using city-issued general obligation bonds.
As part of his duties, Popoola identified properties for rehabilitation, developed project scopes, reviewed and awarded bids, inspected completed work and certified projects for payment to contractors.
Prosecutors said Popoola admitted orchestrating a scheme in which his sister, a Texas resident who had never visited St. Louis, registered Farst Construction LLC in Missouri in October 2022. His future wife also established Premier Finish Contractors LLC in February 2021.
Between June 2023 and November 2024, Popoola caused Farst Construction to receive about $1.4 million in Stable Communities STL contracts and another $339,500 in Prop NS contracts.
He also directed approximately $1.3 million in Stable Communities STL contracts and about $853,100 in Prop NS contracts to Premier Finish Contractors between October 2023 and May 2024.
Authorities said that of the $7.19 million disbursed under the Stable Communities STL programme, Farst received $1.79 million while Premier received $1.53 million—amounting to 42 per cent of all funds distributed.
Investigators found that several projects paid to the companies were either not completed or not carried out as required, despite Popoola certifying that the work had been properly executed.
After subcontractors were paid, Popoola, his wife and his sister shared approximately $1.64 million in public funds, according to prosecutors.
Court documents showed the money was deposited into joint bank accounts held by Popoola and his wife, as well as accounts he shared with his sister.
Popoola admitted spending the diverted funds on residential mortgage payments, vehicle purchases and repairs, travel expenses, his September 2023 Hawaii wedding, casino gambling, dining and other entertainment expenses.
He also admitted concealing his links to the companies by falsely declaring on City Employee Secondary Employment Questionnaires in 222 and 2023 that he had no personal interest in any city contract or business.
His sister and wife also falsely certified on contract documents that: “No officer, employee, or member of the governing body of the City of St. Louis, Missouri who exercises any functions or responsibilities in connection with the carrying out of the Project to which this Contract pertains shall have any private interest, direct or indirect, in this contract.”
Popoola is scheduled to be sentenced on October 6.
Each wire fraud charge carries a maximum penalty of 20 years in prison, a fine of up to $250,000, or both. He will also be required to repay the stolen funds.
The case was investigated by the FBI with substantial assistance from the City of St. Louis Comptroller’s Office, while Assistant U.S. Attorney Hal Goldsmith is prosecuting the case.
