October 14, 2011 5:00PM

http://beaconnews.suntimes.com/news/8215472-418/stolen-goods-lead-to-accusations-of-money-laundering-theft.html

An Elgin man has been charged with felony money laundering and theft following a nine-month undercover investigation into the purchase of stolen goods.

Police said they recovered $20,000 in cash and more than $48,000 worth of stolen property during the undercover operation dubbed “Operation Buy Back.”

On Thursday, Schaumburg police took William McCormick, 49, 1100 block of Country Club Road, Elgin, into custody after he met with two undercover officers to purchase $15,000 worth of purportedly stolen merchandise including electronics, vacuum cleaners and home security systems, police said.

Police said McCormick admitted he knew the items were stolen and that the cash he was using to make Thursday’s purchases came from the sale of other stolen merchandise.

Schaumburg Police Chief Brian Howerton and Kane County State’s Attorney Joseph McMahon announced the charges Friday. At a Friday morning bond hearing in Kane County, McCormick’s bail was set at $300,000.

He faces between three and seven years in prison, or probation, and up to $25,000 in fines.

Collaborative effort

Police said the investigation was part of a collaboration between many law enforcement officials.

While the Schaumburg Police Department was the lead agency, the operation also involved the state’s attorney’s offices in Kane and Cook counties; police departments in Elgin, Arlington Heights, South Barrington and Campton Hills; Kane County sheriff’s office; and U.S. Immigration and Customs Enforcement. Assistance was also obtained from corporate loss prevention investigators from Target, Home Depot, Sam’s Club, Sears, and Bed Bath and Beyond.

Searches find cash, stolen merchandise

Following McCormick’s arrest around 1 p.m. Thursday, officers executed search warrants at his residence, as well as at a storage facility in Elgin.

Searches also were conducted at four other locations in Kane, McHenry and Cook counties. The investigation remains ongoing, police said, but so far detectives have recovered $22,000 in cash and more than $48,000 worth of stolen merchandise.

Detectives said they are also working to seize a vehicle owned by McCormick that was used during purchase and sales of stolen goods.

Police said the investigation was initiated early this year after a Schaumburg police detective, in the course of another investigation, obtained information that McCormick was buying stolen property.

Although some of the transactions between McCormick and the undercover officer took place in Cook County, the final event took place in Kane County, which is why the case is being prosecuted there, authorities said.

His next court date is set for 9 a.m. Oct. 27 in Courtroom 123 at the Kane County Judicial Center.