Secretary of State Wes Allen Urges Return of Political Contributions Linked to Georgia Fraud Scheme

July 21, 2025 - MONTGOMERY, AL - Alabama Secretary of State Wes Allen has issued a public directive regarding ongoing legal proceedings involving an alleged investment fraud scheme centered in Georgia. The scheme, currently under scrutiny by the U.S. Securities and Exchange Commission (SEC), has led to a federal lawsuit against Edwin Brant Frost IV, First Liberty Building & Loan LLC, and its affiliates.

Overview of the Alleged Fraud

The case at hand involves claims by the SEC that Edwin Brant Frost IV and First Liberty Building & Loan LLC, along with related affiliates, orchestrated an investment fraud scheme. According to the SEC's lawsuit, the defendants are accused of soliciting investments under false pretenses, misrepresenting the nature and security of the investments being offered. Investors, many of whom are from various states, were allegedly misled about how their funds would be used and about the financial health and legitimacy of First Liberty and related entities.

Reports from court filings indicate that the funds raised through these schemes were not directed toward legitimate business projects as promised, but may have been diverted for unauthorized or personal uses. The SEC has moved to freeze the assets of the named parties and has sought the appointment of a receiver to manage and recover remaining assets in order to compensate misled investors.

Immediate Action Required for Political Contributions

Secretary Allen specifically calls upon all Alabama political entities that may have received campaign contributions connected to the alleged fraud to take swift and transparent action. He directs these entities to return such contributions immediately to the court-appointed receiver overseeing the case. This measure is intended to ensure that any funds tied to the fraudulent activity are collected and redirected toward restitution for victims.

Commitment to Integrity in Campaign Finance

Allen expressed his strong stance against financial misconduct, especially when it intersects with campaign finance in Alabama. He emphasized the importance of preserving the integrity of political processes and highlighted the grave nature of financial fraud that impacts political contributions.

Cooperation with Law Enforcement

Secretary Allen urges all Alabamians with any involvement or information regarding the matter to fully cooperate with law enforcement agencies, including the SEC and the Alabama Securities Commission. His goal is to support ongoing investigations and to aid efforts to ensure that victims of the alleged fraud are compensated and made whole.

Conclusion

The statement from Secretary Allen underscores the seriousness with which Alabama officials are treating the allegations. By advocating for transparency, accountability, and cooperation with authorities, he seeks to mitigate the impact of the alleged fraud and uphold public trust in Alabama's political and financial systems.