LOS ANGELES >> An army of federal and local law enforcement agents stormed Los Angeles’ fashion district Wednesday, arresting nine suspects, seizing $65 million and searching businesses that federal prosecutors allege have been laundering money for criminals including drug dealers and Mexican drug cartel kidnappers.

About 1,000 officials executed dozens of search and arrest warrants at the culmination of three separate investigations into the fashion district businesses, according to U.S. Department of Justice spokesman Thom Mrozek.

Nine people were arrested during the raid and five others were still being sought, Mrozek said in a written statement. The defendants were previously indicted by federal grand juries, though the indictments were sealed until Wednesday’s operation.

In one of the cases, three business partners are accused of laundering $140,000 in ransom money paid by the family of a U.S. citizen who was being held captive and tortured by the Sinaloa drug cartel, Mrozek said.

In another of the cases, Four people are accused of laundering bulk cash payments supplied by an undercover agent posing as a money courier, “despite the fact that, on one occasion, the bulk currency appeared to be splattered with blood,” Mrozek said.

The third indictment alleges that a Temple City family used their fashion district business to launder profits for both a drug trafficker and an undercover agent posing as a drug trafficker, Mrozek said.

“Los Angeles has become the epicenter of narco-dollar money laundering with couriers regularly bringing duffel bags and suitcases full of cash to many businesses,” said U.S. Attorney Robert Dugdale, who heads the Criminal Division of the DOJ’s Central District of California. “ Because Los Angeles is at the forefront of this money laundering activity, law enforcement in Los Angeles is now at the forefront of combatting the issue.”

Investigators also announced they have seized more than $65 million, both in cash and from bank accounts located throughout the world, believed linked to the money laundering operations, Mrozek said. Prosecutors have filed forfeiture actions seeking to permanently seize the funds.

Pamela Emmanuel of Beverly Hills said she regularly shops in the fashion district for her own online clothing retail business due to the “fashion-forward” items available there.

Emmanuel said she was “shocked” to learn of the widespread money laundering allegations. “That’s close to home. I had no idea.”

In the first indictment, three defendants linked to clothing wholesaler QT Fashion Inc., which operated under the names QT Maternity and Andres Fashion, are charged with laundering $140,000 in ransom money on behalf of the Sinaloa drug cartel, which had kidnapped a U.S. citizen in October 2012, according to the indictment.

“The Sinaloa drug cartel ordered the kidnapping of the victim after authorities in the United States seized more than 100 kilograms of cocaine that he was responsible for distributing,” Mrozek said.

For more than a month, “The victim was held at ranch Culiacan, Sinaloa, where he was beaten, shot, electrocuted and waterboarded,” Mrozek said.

Working with Sinaloa-based business Maria Ferre S.A. de C.V., the defendants allegedly took bulk cash payments from the cartel and funneled them through 17 other fashion district businesses

Andrew Hong Hack Park, 56, of La Canada Flintridge, Sang Jun Park, 36, of La Crescenta and Jose Isabel Gomez Arreola, 49, of Los Angeles were arrested during Wednesday morning’s raids in connection with the investigation into QT Fashion, authorities said.

Two men and a women from Culiacan, Sinaloa, who are linked to Maria Ferre remained at-large Wednesday, Mrozek said.

Each defendant could face up to 30 years in federal prison.

“Today’s arrests and searches should send a message to international drug cartels that the FBI and our partners will won’t tolerate the exploitation of American businesses for the purpose of illicit financial transactions and that fund hostage-taking and the distribution of narcotics,” said Bill Lewis, Assistant Director in Charge of the FBI’s Los Angeles Division.

The owner of a neighboring business, who declined to give his name, said the proprietors of QT Maternity kept to themselves.

“They have people go there and shop, but nothing suspicious,” he said. He added that the allegations were especially surprising giving the nature of the business as a store selling maternity clothes.

The second indictment unsealed Wednesday accuses a Temple City man, his son and his daughter of laundering more than $75,000 for drug traffickers and undercover agents posing as drug traffickers through their businesses, Yili Underwear and Gayima Underwear.

Xilin Chen, 55, of Temple City was arrested Wednesday during the raid, officials said. His son Chuang Feng Chen, 24, of Temple City was arrested in New Jersey, and his sister, Aixia Chen, remained at-large and was being sought as a fugitive.

Xilin Chen could face up to 100 years in federal prison, while Aixia Chen faces up to 80 years behind bars, and Chuang Chen could receive a maximum sentence of 40 years in prison.

The third indictment targeted four suspects who operate textile importer and wholesaler Pacific Eurotex Corp.

Hersel Neman, 55, of Beverly Hills; his brother Morad Neman, 54, of Los Angeles; their brother-in-law Mehran Khalil, 45, of Beverly Hills; and Alma Villalobos, 32, of Arleta were all arrested on charges of money laundering Wednesday, officials said.

The defendants continued laundering money — more than $370,000 in all — for an undercover agent posing as a money courier even after being advised by federal officials that bulk cash payments frequently came from illegal activities, Mrozek said.

Business returned to normal at the fashion district by Wednesday afternoon, though federal agents continued to stand guard over a stack of white boxes piled up in front of Pacific Eurotex.

All eight of the defendants who were in custody in Los Angeles pleaded not guilty Wednesday in federal court in Los Angeles with the exception of Xilin Chen, who was expected to be arraigned next week, Mrozek said.

— Staff Writer Jason Henry contributed to this report