Georgia secretary of state asks politicians to return money from alleged Ponzi scheme

The general reaction to the meltdown of a financial institution connected to Republican politics in Georgia continued Monday as Secretary of State Brad Raffensperger called on campaign finance recipients to return any contributions from First Liberty Building and Loan or the family that controlled it Now is the time for every elected official candidate or political action committee who received financial endorsement from this entity at present under review to stand up and help the casualties Raffensperger declared Ill-gotten gains do not belong in the State Capitol The federal Securities and Exchange Commission sued the institution last week alleging it had operated as a Ponzi scheme bilking investors The complaint in U S District Court for the Northern District of Georgia announced Edwin Brant Frost IV owner and president of First Liberty used investor funds to make more than in political donations The company raised at least million from about investors telling them that their money would go toward short-term high-interest small business loans the lawsuit reported Frost who is also a named defendant misrepresented the success of the loan project to his investors the suit revealed noting that he also used their money to pay himself and his family at least million Frost s son Brant Frost V is chairman of the Coweta County Republican Party We take claims of financial fraud seriously especially when it puts hardworking Georgians at menace Raffensperger commented urging anyone who lost money in a transaction with First Liberty to contact his office promptly If you believe you ve been misled or victimized by First Liberty we need to hear from you The post Georgia secretary of state asks politicians to return money from alleged Ponzi scheme appeared first on Rough Draft Atlanta