Earlier in the day, I read this piece of TPM Fave Will Sommer, which explained that Hugh Hewitt, an antagonist of Josh, launched his listeners to give their money to what could be generously described as a false bank which promised a completely credible annual return of 13%. It was a way to get out of the “awakened” banking system and build a “patriotic economy” and do many other nice things. It was all the work of a right darling by the name of Brant Frost IV. Apparently, the false bank, First Liberty Building & Loan (no FDIC insurance), was a key element of the Georgia Gop ecosystem.
In any case, as it explained, things had taken an unexpected turn – at least for buyers of “Liberty Notes” – when the company’s website suddenly disappeared and was replaced by an opinion which announced that the owners cooperate with the federal authorities to close the business. (It does not seem promising!) Now, a few moments ago, I obtained an alert on this article in the constitution of the Atlanta newspaper which reports that the SEC was invoiced First Liberty to manage a ponzi program of $ 140 million.
AJC …
The complaint alleges that the founder of First Liberty, Brant Frost IV, diverted investors’ funds, making payments to himself and parents of more than $ 5 million and used other funds for the operations of several affiliated companies, which were also appointed defendant in the trial. The SEC said that Frost used investor money to make more than $ 2.4 million in credit card payments, an additional $ 335,000 to a rare room dealer, $ 230,000 on a family vacation in a rental house in Maine and $ 20,800 for a Patek Philippe watch.
Frost would also have used investor money to make more than $ 570,000 in political donations, according to the SEC.
