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ATLANTA — Edwin Brant Frost V, a former chairman of the Coweta County Republican Party and son of the founder of the now-defunct First Liberty Building & Loan, has been hit with a $500,000 civil penalty and barred from securities activities in Georgia amid allegations of investment fraud.
The Georgia Secretary of State's Securities Division issued an emergency cease-and-desist order on February 17, 2026, accusing Frost V of violating the Georgia Uniform Securities Act of 2008. The order also refers the investigative file to the Coweta County District Attorney for possible criminal prosecution and to the Georgia Office of the Commissioner of Insurance and Safety Fire, where Frost V holds an active insurance agent license.
According to the order, Frost V engaged in unregistered activity as a broker-dealer agent and investment adviser representative while soliciting investments for First Liberty. He allegedly failed to disclose material risks to investors, made unsuitable recommendations, and personally profited through bonuses, commissions, and monthly payments from the firm—receiving $47,000 in bonuses, $88,000 in commissions, and $4,000 per month as of November 2023—while directing investors into loan agreements in which he had a stake, reported WABE.
"First Liberty misappropriated investors’ funds by failing to use investor funds as it represented to investors," the order stated, issued by an assistant commissioner under Secretary of State Brad Raffensperger.
Frost V's attorney, Christopher J. Huber, denied the allegations in a statement, asserting that his client was not given an opportunity to respond before the order was issued and publicized."
The Secretary of State did not provide him an opportunity to address his baseless accusations before rushing to judgment and to the press," Huber said.
Neither the Coweta County District Attorney's office nor the insurance commissioner's office immediately responded to requests for comment.
The action escalates the state's probe into First Liberty Building & Loan, a Newnan-based firm accused of operating a Ponzi scheme. In July 2025, the U.S. Securities and Exchange Commission filed a civil lawsuit alleging that the company and its founder, Edwin Brant Frost IV, raised at least $140 million from approximately 300 investors—many of them conservative and evangelical—by promising high returns on short-term bridge loans. Instead, authorities claim new investor funds were used to pay earlier ones, with millions diverted to the Frost family and more than $570,000 funneled to political contributions.
Raffensperger, who is seeking the Republican nomination for governor in 2026, previously urged recipients of those political donations—including some GOP candidates—to return the funds linked to the Frost family and First Liberty.
The Coweta County DA referral marks a significant step toward potential criminal charges against Frost V, though no formal charges have been filed as of yet. Raffensperger described the order as "just the first of many" expected in the ongoing investigation.
Frost V previously resigned his leadership role in the Coweta County Republican Party amid the unfolding scandal. The case continues to draw attention due to the Frost family's longstanding ties to Georgia Republican politics.
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