City inspectors nabbed on corruption charges

Fifteen developers, inspectors and others were arrested as federal prosecutors unsealed fresh charges Thursday in an investigation of payoffs to city officials, some through a "bagman" who was actually working undercover for the government.

"The picture painted by the criminal charges filed today shows sadly that the permit process in Chicago is governed by a separate set of rules for those who pay to corrupt the system," U.S. Attorney Patrick J. Fitzgerald said in a statement.

The bribes were paid in exchange for special treatment in building, zoning and related permit matters, prosecutors said in a statement.

Prosecutors said that in most cases, the bribes were paid through a so-called expediter whose job was to take permit applications and other construction matters to the city on behalf of homeowners and developers.

The expediter was pretending to be a bagman or bribe carrier but actually was working as a cooperating witness for federal investigators, prosecutors said. They said this person took part in meetings and recorded phone calls to collect evidence.

The name of the cooperating witness was not made public.

But prosecutors said the witness has implicated a total of 30 people.

Prosecutors said the witness has not yet been charged with a crime but knows that he or she will eventually be charged.

Government officials said they worked on the case with the city's inspector general, David Hoffman, a former federal prosecutor.

The well-regarded Hoffman's appointment and continued work as inspector general has been seen by some as an index of how serious city officials are about ending the corruption that has long plagued Chicago.

The charges were filed as part of an ongoing federal investigation dubbed Operation Crooked Code. A similar batch of charges were brought last year.