ATLANTA - The Georgia Secretary of State’s office has formally opened an investigation into a company linked to the alleged First Liberty Ponzi scheme.
Company tied to First Liberty Ponzi scheme
What we know:
The state's Securities Division announced on Wednesday it is investigating Global Onboard Partners, LLC and its principal, Kirk Adams. Adams and his company were identified by investigators as borrowers and guarantors of First Liberty, a firm already at the center of a major financial scandal.
According to documents filed by the court-appointed receiver for First Liberty, Global Onboard Partners borrowed approximately $350,000 from the firm in December 2020.
State officials said that during the same period they received the loan, Adams and Global Onboard Partners solicited other investments by promising returns. However, those investments were not registered as securities, and neither the company nor Adams is licensed to sell securities under the Georgia Uniform Securities Act of 2008.
‘They have suffered a total loss’
What they're saying:
The Secretary of State's office reported that preliminary interviews with consumers suggest these investments have failed to perform as promised, leading some to fear "they have suffered a total loss."
"The team is investigating whether there is any overlap between the investors in Global Onboard Partners, LLC and First Liberty as well as whether Global Onboard Partners, LLC and First Liberty are related schemes," the agency stated. Investigators are also reviewing other First Liberty borrowers to determine if they were "legitimate borrowers or part of the First Liberty Ponzi scheme."
Global Onboard Partners probe
What's next:
Authorities have already taken the following steps:
- Identified and began contacting approximately 40 investors in Global Onboard Partners.
- Sent preservation letters to several First Liberty borrowers, warning them not to destroy documents or communications.
- Issued subpoenas seeking information on loans and connections to First Liberty founder Edwin Brant Frost IV.
Reporting fraud
What you can do:
State officials say they remains concerned that Global Onboard Partners "may be a fraudulent investment scheme that is still ongoing." Any individuals who invested in Global Onboard Partners or other entities tied to First Liberty are urged to contact the Securities Division at 470-312-2640 or file a complaint online.
First Liberty Building & Loan probe
The backstory:
Last summer, a federal investigation into a Newnan-based financial firm was launched, sending shockwaves through Georgia’s political and financial sectors. According to federal documents, the probe revealed a $140 million Ponzi scheme that left hundreds of investors in financial ruin and triggered a wave of political fallout.
The Securities and Exchange Commission alleges that First Liberty Building & Loan, led by Edwin Brant Frost IV, defrauded approximately 300 investors by promising safe, high-yield returns through bridge loans to small businesses. Instead, investigators say the firm operated as a classic Ponzi scheme, using new investor money to pay off older ones while funneling millions to the Frost family and various political causes.
The controversy has hit the Georgia Republican Party particularly hard. Brant Frost V, the founder’s son and a prominent GOP figure, resigned from his leadership positions as scrutiny intensified over more than $570,000 in political contributions linked to the firm in the probe.
As a court-appointed receiver attempts to untangle the firm's finances, they have described the company’s records as being in total disarray, complicating efforts to recover funds for victims, many of whom are retirees who lost their life savings.
First Liberty Building and Loan in Newnan, Georgia. (FOX 5)
How the scandal unfolded
Timeline:
June 2025 - First Liberty notifies its investors that it is halting all loan activities and will no longer pay out interest or principal, citing financial difficulties.
July 10, 2025 - The SEC officially files a civil complaint against First Liberty Building & Loan and its founder, Edwin Brant Frost IV. The agency alleges the firm orchestrated a $140 million Ponzi scheme and misled investors about the risks and use of their funds.
July 11, 2025 - The SEC moves to freeze the firm’s assets. Details emerge that $5 million in investor funds were diverted for the personal use of the Frost family, while over half a million dollars went toward political contributions.
July 14, 2025 - The Georgia Secretary of State announces a state-level investigation into the firm and urges political campaigns to return any money received from First Liberty or the Frost family to ensure the funds can be returned to victims.
July 16, 2025 - Internal pressure grows within the Georgia GOP. Republican National Committeewoman Amy Kremer publicly calls for the removal of Frost family members from their roles within the state party.
July 23, 2025 - The court-appointed receiver overseeing First Liberty’s assets reports that the firm’s financial records are in "shambles." The lack of organization makes it difficult for investigators to track the flow of money and determine how much can be recovered for the 300 defrauded investors.
July 25, 2025 - U.S. Rep. David Scott criticizes the SEC for its oversight, questioning how a scheme of this magnitude could operate for years without detection by federal regulators.
July 30, 2025 - The Georgia Government Transparency and Campaign Finance Commission files a formal ethics complaint against the Georgia Republican Assembly PAC regarding its links to the scheme’s funds.
August 1, 2025 - Brant Frost V resigns from the Georgia Republican State Committee and announces plans to step down as the Coweta County Republican Party chairman. GOP officials state the resignations are voluntary and intended to allow Frost to focus on his family.
The Source: The details in this article come from the Georgia Secretary of State's Office. Previous FOX 5 Atlanta reporting was also used.