(WGN-AM)- A Libertyville real estate developer has been indicted on federal charges of swindling investors of more than $8 million.
Forrest David Laidley, 65, was charged with mail fraud, wire fraud and bank fraud in connection with allegedly selling limited partnership interests and short-term high-interest promissory notes to investors and financial institutions, according to the U.S. attorney's office. Some of the charges involved a Ponzi scheme in which old investors were paid off with money from newer investors.
Laidley owned and operated Forrest Properties Inc. of Lincolnshire, which was engaged in shopping center and other real estate development in the northern suburbs, authorities said.
According to the indictment, Laidley never had an ownership interest in some of the properties in which he sold investments.
Some of the promissory notes promised returns of 40 percent as times when Laidley already was in default on earlier notes, according to the indictment.
One of the projects involved in the alleged fraud was The Glen Gateway Shopping Center, which was to have been built on a portion of the former Glenview Naval Air Station. The indictment said Laidley sold the property before the project was completed without telling his investors.
(The Chicago Tribune contributed to this story)
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Libertyville Man Charged With Fraud
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