FBI says 25 indicted in mortgage fraud scheme

The FBI says 25 people have been charged in one of the biggest mortgage fraud schemes ever prosecuted in the Chicago area.

The agency says the suspects were named in three separate indictments returned earlier this week by a federal grand jury.

The charges include felony counts of mail fraud, wire fraud, money laundering and conspiracy. The investigation began in 2004 as a joint effort between the FBI and the Postal Inspection Service after the arrest of 47 known and suspected members of a Chicago-based street gang.

The indictments allege that more than 150 properties, half of which are in foreclosure, were involved in fraudulent transactions, with potential losses of more than $25 million.