An FBI spokesperson says that for the time being the agency is not commenting on the case. But already the investigation has provided a window into yet another layer of corruption that took place amid the national housing boom and its subsequent hangover—a period that saw a surge in real estate malfeasance of every imaginable variety, including false loan applications, predatory lending schemes, illegal property flipping, equity skimming, and “air loans” (loans for property that doesn’t exist). According to FBI data, the number of suspicious activity reports related to real estate fraud filed by financial institutions jumped to 67,190 in 2009 from 6,936 in 2003.

The King of All Vegas Real Estate Scams - Businessweek

Our place, in terms of being considered one of or the most corrupt state in terms of politics, is pretty secure. It’s almost like we’ve kind of relegated New Jersey to second place, and Louisiana’s kind of like on injured reserve or something.

ex-IL Gov. Jim Edgar (R), the last elected governor not to face criminal charges. Edgar spoke to the AP in Champaign, IL.

- Hotline