The previous co-leader of a collapsed Georgia financial savings and mortgage, a lending agency that’s now the topic of state and federal Ponzi scheme investigations, has been granted an insurance coverage producer’s license within the state.
Edwin Brant Frost V, who beforehand labored at First Liberty Constructing & Mortgage together with his father, now could be a licensed insurance coverage agent in Newnan, Georgia, in response to the Nationwide Affiliation of Insurance coverage Commissioners’ license verification web site. Frost obtained the license in August for all times, accident and illness strains, and has been appointed with a number of life and well being insurers.
For months, information websites and court docket filings have indicated that the U.S. Securities and Alternate Fee and Georgia authorities have intensified their investigations after First Liberty imploded after the monetary agency allegedly defrauded some 300 traders of greater than $140 million. The operation was billed as a Christian, faith-based mortgage supplier.
The SEC filed swimsuit in federal court docket in Georgia in July, contending that the elder Frost, Brant Frost IV, had promised returns as excessive as 18%. However it was all a Ponzi scheme beginning in 2021, and Frost IV allegedly used hundreds of thousands of {dollars} for private acquire and for political donations, the SEC grievance argues.
The elder Frost has accepted accountability and has pledged to repay traders, in response to information reviews.
Frost V, the brand new insurance coverage agent, just isn’t named within the SEC grievance, however he has been subpoenaed by the Secretary of State’s workplace. He resigned from First Liberty in July and has declined to remark to information media, the Atlanta Journal Structure and different websites reported.
Picture: The now-closed workplace of First Liberty Constructing & Mortgage in Newnan. (AP Picture/Jeff Amy)
Learn Extra About First Liberty: Georgia Industrial Lender Proprietor Charged With $140M Ponzi Scheme
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