Two Cambridge men have been charged in an ongoing fraud investigation that began over the summer.

In August, the Waterloo Regional Police Service was told that an employee of a financial institution was making unauthorized transactions.

During the investigation, police discovered that two men defrauded financial institutions, educational institutions and the Government of Canada out of more than $500,000.

On Tuesday, police, armed with warrants, searched two houses in Cambridge and seized several mobile phones and cash. Two men were arrested.

A 26-year-old man and a 27-year-old man, both from Cambridge, were charged with two counts of fraud over $5,000 and possession of property obtained by crime over $5,000.

The 26-year-old was also charged with two counts of personalization.