Regulators subpoena Frost son after new lending firm emerges
State regulators have subpoenaed Brant Frost V — the son of the founder of First Liberty Building & Loan — after he launched a new lending firm amid a sweeping federal fraud investigation into his family’s financial firm.
Secretary of State Brad Raffensperger’s securities division issued a subpoena Thursday seeking compensation agreements, business records and bank statements tied to Frost’s new firm, Heartland Capital, according to a senior official familiar with the probe who requested anonymity to discuss the legal matter.
Frost V did not immediately respond to messages seeking comment.
Records show he submitted paperwork to the Secretary of State’s office on July 3 to incorporate Heartland Capital as both a mortgage and non-mortgage loan broker less than a week after First Liberty shuttered.
In a June 27 notice, the Newnan-based firm announced it was shutting down and “cooperating with federal authorities as part of an effort to accomplish an orderly windup of the business.”
Inside the collapse First Liberty Building & Loan
Georgia lender First Liberty Building & Loan is accused of defrauding investors and running a $140 million Ponzi scheme. The Newnan business advertised itself as a patriotic, Christian organization and made large donations to conservative political campaigns.
Politics: Georgia alleges First Liberty-linked PAC illegally influenced elections
Influence: How an alleged Georgia Ponzi scheme fueled far-right causes
Political donations: Who received donations from First Liberty, the Frosts and their companies?
Avoiding scrutiny: First Liberty’s alleged Ponzi scheme took root in Georgia’s regulatory gaps
Nationwide: First Liberty family’s contributions flowed to at least 38 states
Allegations: SEC accuses GOP-linked Georgia lender of $140M Ponzi scheme
The founder: Who is First Liberty founder Brant Frost IV?
Reaction: ‘I’m in shock’: Investors reeling after collapse
Sales pitch: First Liberty sold faith and MAGA loyalty. How conservative media helped
Video: How a faith-based Georgia bank allegedly ran a $140 million Ponzi scheme for years
The investigator: To find First Liberty’s missing money, he’s starting with computers, files
Fallout: As First Liberty empire crumbles, new lawsuit seeks class action status
Top Georgia Republican calls on pols to return First Liberty contributions
The Securities and Exchange Commission has accused Frost’s father, Brant Frost IV, of orchestrating a $140 million Ponzi scheme that targeted hundreds of conservative investors — leveraging political connections, MAGA influencers and faith-based appeals to promote high-dollar investment products.
Raffensperger declined an interview request to discuss the probe.
Frost IV, who founded the company in 1993, is the only executive named in the SEC complaint. He has publicly apologized and urged investors to allow a court-appointed receiver to “do his best to repair the damage I created.”
“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,” he said.
Records and interviews show Frost V, a former Georgia GOP vice chair, also played a prominent role in the firm, including recruiting potential investors on conservative talk radio.
About the Author
Greg Bluestein is the Atlanta Journal Constitution's chief political reporter. He is also an author, TV analyst and co-host of the Politically Georgia podcast.
