I suspect you are not setting a cookie to authenticate forms, so the redirect does not work. Ideally, in your login method, you will verify the username and password using some sort of logic, and when you are satisfied that the user is legitimate, you should set the forms authentication cookie and then redirect the user
FormsAuthentication.SetAuthCookie(username, true); return Redirect(returnurl);
If you do not set up an authentication cookie, the redirect will not work, as the request will still be considered as an unauthenticated request, and the user will be sent back to the login page. You can find more information about forms here.
http://msdn.microsoft.com/en-us/library/xdt4thhy%28v=vs.71%29.aspx
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