Georgia Ethics Committee Files Complaint Against PAC
On Wednesday, the Georgia Ethics Committee lodged a complaint against a political action committee (PAC) linked to the Fast Liberty Building and Loan, which is allegedly a Ponzi scheme orchestrated by Georgia Republican Edwin Blunt Frost IV.
George Emady, the executive director of the Georgia Ethics Committee, noted that this marks the first formal charges against the Georgia Republican Congressional PAC. “Our investigation is ongoing, and there may be more charges in the future,” he added, emphasizing a commitment to address violations of Georgia law that impacted the elections in 2022 and 2024.
The Fast Liberty Building and Loan has been under scrutiny from the Federal Security and Exchange Commission (SEC) since 2021, accused of utilizing funds from new investors to pay older ones. The SEC took action on July 10, with the Alabama Securities Commission also looking into the matter.
The Ponzi scheme claims to have “stopped all operations” and is reportedly “cooperating with federal authorities.” According to a report from the Atlanta Journal Constitution, Frost often targeted conservative audiences with his sales pitches. Even while First Liberty Business & Loan was still active, Frost and the company were said to have made significant contributions to conservative candidates, including several prominent Alabama Republicans like state auditor Andrew Sorrell.
In late July, Alabama Secretary of State Wes Allen urged individuals who received contributions tied to the alleged investment fraud to return them to court-appointed beneficiaries. Alongside Sorrell, other notable state politicians, such as Barry Moore and Mo Brooks, also received donations from the Frost family, with some referring to Sorrell as a victim of Frost’s “Ponzi schemes like Madoff.”
The Georgia Republican Congressional PAC, led by Blunt Frost V, the son of Blunt Frost IV, has been accused of not registering as an independent committee prior to accepting contributions or making expenditures aimed at influencing election outcomes. The complaint specifically mentions that the PAC failed to report 36 expenditures exceeding $220,000.
These unreported expenses reportedly funded ads attacking Georgia representative Dale Washburn for his support of tuition fees for “special immigrants,” as well as campaigns related to school board initiatives under the banner “Fighting Fake News: Protecting Children.”
Public records indicate that the PAC has garnered contributions from numerous individuals since its registration in 2022, but the Frost family alone contributed tens of thousands of dollars. Blunt Frost V had previously organized the PAC in 2017. The president of the Georgia Republican Congress, from which the PAC derived its name, noted that “about 10 years ago, the Gras Committee granted a license to Blunt Frost V to use the name.”
The president also stated that the Frost family managed the PAC and that it is in the process of being dissolved following Frost’s resignation from the Georgia Republican Congress. According to expenses submitted to the Georgia Ethics Committee and recorded in the Georgia Campaign Finance System, the PAC does not seem to be financially supporting Alabama-based businesses.
