Former City of St. Louis building inspector Adebanjo Popoola has pleaded guilty to diverting about $1.64 million meant for fixing rundown buildings to himself and his relatives.
The 57-year-old admitted to three counts of wire fraud in the U.S. District Court in St. Louis on Tuesday.
Court records, as reported by the US Attorney Office, said Popoola managed key parts of two city-funded rehab programmes, Stable Communities STL and Prop NS, while working as a building division inspector.
Stable Communities STL was funded through the federal American Rescue Plan Act for privately owned properties. Prop NS focused on homes owned by the City of St. Louis’ Land Reutilization Authority using city-issued general obligation bonds.
His job included choosing properties for repair, preparing project plans, reviewing and awarding bids, inspecting completed work, and approving payments to contractors.
Prosecutors said Popoola arranged for his sister, who lives in Texas and had never visited St. Louis, to register Farst Construction LLC in Missouri in October 2022. His future wife also set up Premier Finish Contractors LLC in February 2021.
From June 2023 to November 2024, Farst Construction received about $1.4 million in Stable Communities STL contracts and $339,500 in Prop NS contracts. Between October 2023 and May 2024, Premier Finish Contractors received about $1.3 million in Stable Communities STL contracts and about $853,100 in Prop NS contracts.
Authorities said Farst received $1.79 million and Premier $1.53 million of the $7.19 million paid through Stable Communities STL, making up 42 per cent of the total funds.
Investigators found some projects were unfinished or not done as required, even though Popoola approved them for payment.
After subcontractors were paid, prosecutors said Popoola, his wife and his sister shared about $1.64 million. The money went into joint bank accounts held by Popoola and his wife, and accounts he shared with his sister.
Popoola admitted spending the money on mortgage payments, vehicles, travel, his September 2023 Hawaii wedding, casino gambling, dining and entertainment. He also admitted falsely stating 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: “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 will be sentenced on October 6. Each wire fraud count carries up to 20 years in prison, a fine of up to $250,000, or both. He must also repay the stolen funds. The FBI investigated the case with help from the City of St. Louis Comptroller’s Office. Assistant U.S. Attorney Hal Goldsmith is prosecuting it.
