The SEC accuses First Liberty Building & Loan of Georgia and its owner in a $140 million Ponzi scheme.

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The Securities and Exchange Commission of the United States (SEC) has filed a civil lawsuit and requested an emergency asset freeze against First Liberty Building & Loan, LLC and founder Edwin Brant Frost IV. The SEC alleges that the company orchestrated a Ponzi scheme, defrauding approximately 300 investors of at least $140 million over more than a decade.

From 2014 to 2025, First Liberty and Frost promised high yields of up to 18% through debt securities, but in reality, most of the loans did not perform as promised. Frost is accused of misappropriating investor funds for personal purposes, including credit card payments and political donations. The SEC is seeking emergency and permanent relief, emphasizing the need to protect retail investors.

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