INVESTOR ALERT: LKLSG and Doss Firm, LLC Investigating Potential Lawsuit Relating to Alleged $140 Million Ponzi Scheme by Edwin Brant Frost IV and his company First Liberty Building & Loan, LLC.
ATLANTA, July 17, 2025 /PRNewswire/ -- In a recently filed civil enforcement action, the U.S. Securities and Exchange Commission ("SEC") alleges that First Liberty Building & Loan, LLC ("First Liberty") and its founder Edwin Brant Frost IV orchestrated a $140 million Ponzi scheme that defrauded approximately 300 investors nationwide.
According to the SEC's complaint, from 2014 through June 2025, Frost and First Liberty, based out of Newnan, Georgia, solicited investments through the sale of loan participation agreements and promissory notes that offered annual returns of up to 18%. Early investors were primarily friends and family, but beginning in 2024, First Liberty broadened its investor outreach by heavily advertising on conservative talk radio, podcasts, and religious platforms, marketing itself as part of the so-called "patriot economy."
Investors were told that their funds would be used to issue short-term, high-interest bridge loans to small businesses, to be repaid through Small Business Administration ("SBA") or other commercial loans. However, the SEC alleges that Frost misappropriated millions of dollars in investor funds for personal use, including political contributions to Republican candidates and organizations. According to the complaint, the loans ultimately did not perform as represented. Most of the loans defaulted, and by 2021, Frost allegedly began using new investor funds to pay returns to earlier investors. The SEC contends that approximately 80% of investor payments came from new contributions, not actual loan proceeds.
The law firms of Levine Kellogg Lehman Schneider + Grossman LLP ("LKLSG") in Miami and The Doss Firm, LLC ("Doss Law Firm") in Atlanta are investigating potential legal action designed to help victims. If you invested in First Liberty's bridge loans, please contact attorney Jason Doss at the contact information above. LKLSG and Doss Law Firm represent clients nationwide.
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About The Doss Firm, LLC and Levine Kellogg Lehman Schneider + Grossman LLP
The Doss Firm, LLC is an Atlanta-based law firm that provides legal representation in financial fraud litigation, securities arbitration, and complex litigation.
LKLSG is a Miami-based commercial law firm providing focused, efficient, and hands-on representation in high-stakes legal proceedings including complex commercial litigation, class actions, bankruptcy and receiverships, lender/borrower litigation and workouts and labor and employment litigation.
CONTACT:
Jason Kellogg, Esq.,
Jason Doss, Esq.
Email: jasondoss@dossfirm.com
P: (770) 578-1314
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