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Newnan man pleads guilty in $140 million Ponzi scheme

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Published  May 12, 2026 11:12pm EDT
Newnan
FOX 5 Atlanta
article

This sketch depicts Edwin Brant Frost IV, who is accused of running a Ponzi scheme, with his attorneys in front of a federal judge in Atlanta on April 23, 2026. (Sketch by Lauren Lacy)

The Brief

    • A Newnan man admitted in federal court Tuesday to orchestrating a $140 million Ponzi scheme that defrauded hundreds of investors over four years.  
    • Edwin Brant Frost IV used money from new investors to pay older ones while spending over $5 million on jewelry, a watch and a vacation home. 
    • The 68-year-old faces sentencing in August after his company's collapse triggered a major political scandal involving Georgia Republican campaign contributions. 

NEWNAN, Ga. - Edwin Brant Frost IV, 68, of Newnan, pleaded guilty to felony wire fraud Tuesday in a Newnan federal court after investigators uncovered a multi-million-dollar Ponzi scheme. 

Federal wire fraud guilty plea

What we know:

Edwin Brant Frost IV served as the president of First Liberty Building & Loan LLC, where he convinced at least 300 people to invest $140 million between 2021 and July 2025. He told these investors their money would fund short-term loans for small businesses with promised returns of 10% to 18%. 

Federal investigators found that Frost used money from new investors to pay back older ones rather than generating legitimate profits. The government claims he pocketed millions for himself to fund an extravagant lifestyle. 

Missing investment funds

What we don't know:

While a court-appointed receiver is working to recover assets, the exact amount of money that can be returned to the hundreds of victims remains unclear. Authorities have not specified the total current value of First Liberty’s remaining liquid assets.

First Liberty Building and Loan history

The backstory:

The collapse of the Griffin-based firm and its affiliate, Global Onboard Partners, created a bridge between the fraudulent investment firm and the state’s political elite. Brian Frost, the son of Edwin Frost, resigned from the Georgia Republican Executive Committee as scrutiny grew regarding his family’s business dealings. 

The Securities and Exchange Commission (SEC) alleges the firm raised roughly $140 million by claiming money was backed by real estate. The scandal prompted Georgia Secretary of State Brad Raffensperger to call on political candidates to return any campaign funds linked to the scheme. 

First Liberty Building and Loan in Newnan, Georgia. (FOX 5)

Personal expenses and credit card bills

By the numbers:

Frost allegedly used more than $5 million of investor funds for personal items, including: 

  • $2 million: Personal credit card bills. 
  • $570,000: Political contributions. 
  • $230,000: Rent for a vacation home in Maine. 
  • $140,000: Jewelry. 
  • $20,800: A Patek Philippe watch. 

Georgia Republican Party involvement

Big picture view:

This case remains one of the largest financial scandals in recent Georgia history, forcing a reckoning within the state's political landscape. Ethics complaints have been filed against various Georgia Republican PACs for accepting funds once the fraudulent nature of the source became public. 

August sentencing hearing

What's next:

Frost is expected to be sentenced by U.S. District Judge May on Aug. 14. He remains in federal custody pending that hearing. 

The Source: The information in this story was gathered from the U.S. Attorney’s Office in Atlanta and court proceedings. Previous FOX 5 Atlanta reporting was also used.

NewnanNewsCrime and Public Safety