$140 Million Commercial Bridge Loan Ponzi Scheme: Edwin Brant Frost IV exposed

First Liberty Building & Loan office

The faithful gathered at conservative conferences, trusted friends vouching for golden investment opportunities, and a family dynasty that seemed too good to be true. It was.

The phone calls started coming in late June 2025. Panicked investors, many of them devout conservatives who had trusted their life savings to a family name synonymous with Georgia Republican politics, discovered their bridge to financial security had collapsed into a $140 million chasm of deception.

At the center of it all was Edwin Brant Frost IV, a man who had spent nearly four decades building credibility in Georgia's Republican circles, only to allegedly use that trust to orchestrate one of the state's largest financial frauds in recent memory.

The Architect of Deception

Frost wasn't just any businessman peddling investment schemes. Since 1988, when he coordinated televangelist Pat Robertson's Republican presidential campaign in Georgia, Frost had been a fixture in conservative politics. His influence extended far beyond his own ambitions – he had built a political dynasty.

His son, Brant Frost V, serves as chairman of the Coweta County Republican Party and held the position of second vice-chair of the state Republican Party. His daughter, Katie Frost, chairs the Republican committee for Georgia's 3rd Congressional District. The family didn't just participate in politics; they were the infrastructure.

This wasn't some fly-by-night operation. First Liberty Building & Loan, based in suburban Newnan, southwest of Atlanta, had been operating since 2014, presenting itself as a legitimate bridge lending company that helped businesses secure quick capital while waiting for traditional Small Business Administration loans.

The Golden Promise That Glittered Too Bright

The pitch was seductive in its simplicity: First Liberty would use investor funds to make short-term, high-interest loans to businesses at rates up to 18%. In return, investors would receive returns between 8% and 16% – far above what traditional investments offered.

The warning signs were there for those who knew where to look:

• Unusually high returns: Promising 8-16% returns in a low-interest environment

• Exclusive access: Marketing heavily to religious and conservative networks

• Family guarantees: Leveraging the Frost name and political connections

• Aggressive expansion: Moving beyond "family and friends" to mass marketing

According to SEC investigators, Frost told investors that very few loans had defaulted and that borrowers would reliably repay through SBA or commercial loans. The reality was starkly different.

When the Bridge Collapsed

The SEC's investigation revealed a classic Ponzi scheme structure. While some investor funds initially went to legitimate bridge loans, most of these loans ultimately defaulted and stopped making interest payments. By at least 2021, First Liberty was operating as a pure Ponzi scheme, using new investor money to pay returns to existing investors.

The numbers tell a devastating story:

• 300 investors defrauded of at least $140 million

• Average investment: Nearly $500,000 per investor

• Company cash on hand: Only $2.67 million as of May 30, 2025

• Frost's personal take: $17 million for himself, family, and affiliated companies

A Life of Luxury Built on Lies

While investors believed their money was safely generating returns through business loans, Frost was allegedly funding a lifestyle of extraordinary excess:

• $2.4 million in credit card payments

• $573,000 in political donations to Republicans

• $335,000 to a rare coin dealer

• $320,000 to rent a vacation home in Kennebunkport, Maine (the Bush family's summer retreat)

• $230,000 on family vacations

• $160,000 on jewelry

• $20,800 on a single Patek Philippe watch

Patek Philippe watch

The audacity continued even as investigators closed in. On May 15, 2025, when SEC officials first met with Frost, he allegedly made "misrepresentations" to investigators. Yet he continued soliciting new investors, sending a June 16 email asking for investments between $100,000 and $500,000, claiming the company was developing AI software for banks and credit unions.

First Liberty shut down just 11 days later on June 27.

The Political Earthquake

The collapse of First Liberty sent shockwaves through Georgia's Republican establishment. The firm had aggressively marketed to GOP-friendly audiences, appearing on conservative radio shows and leveraging political connections built over decades.

The Georgia Republican Assembly and its PAC, closely tied to the Frost family, had made major contributions to prominent conservative candidates, including Rep. Noelle Kahaian, Senator Colton Moore, and Rep. Charlice Byrd. The PAC was quietly terminated on June 29, just days after First Liberty's collapse.

Frost V had made appearances on Charlie Kirk's podcast, and the company advertised on "The Erick Erickson Show," demonstrating how deeply embedded the family was in conservative media networks.

The Apology That Came Too Late

On July 11, 2025, as U.S. District Judge Michael Brown froze Frost's assets and appointed a receiver, the man who had built his reputation on trust and conservative values issued a statement through his lawyers:

"I would like to apologize personally to those I have harmed, but I am under restrictions which prevent me from doing so. I take full responsibility for my actions and am resolved to spend the rest of my life trying to repay as much as I can to the many people I misled and let down."

The judge's order banned Frost from the securities business and required him to pay back ill-gotten gains with interest and fines. Financial consultant S. Gregory Hays was appointed as receiver to take control of assets and attempt to recover funds for investors.

The Devastating Math

With only $2.67 million in cash remaining against $140 million in investor losses, the recovery prospects appear grim. The average investor loss of nearly $500,000 represents life savings, retirement funds, and dreams destroyed by a man they trusted implicitly.

Many investors were not wealthy speculators but ordinary people who believed they were making conservative investments with a trusted family name. The targeting of religious and conservative networks makes the betrayal particularly painful for victims who shared not just financial trust but ideological bonds with the Frost family.

What Comes Next

Federal prosecutors have not yet announced whether they will pursue criminal charges, though such cases often involve both SEC civil actions and federal criminal prosecutions. The business is also under investigation by the Georgia Secretary of State for possible securities law violations.

The receiver faces the daunting task of unraveling years of financial deception while trying to maximize recovery for victims. Meanwhile, Georgia's Republican establishment must grapple with how a family so central to their political infrastructure could orchestrate such a massive fraud.

As Justin C. Jeffries, Associate Director of Enforcement for the SEC's Atlanta Regional Office, noted: "The promise of a high rate of return on an investment is a red flag that should make all potential investors think twice or maybe even three times before investing their money."

For the 300 investors who trusted the Frost name, that warning came too late. Their bridge to financial security had collapsed, leaving behind only the wreckage of broken trust and empty promises.