Georgia Secretary of State Brad Raffensperger has launched a state investigation into First Liberty Building and Loan, a company accused of operating a $140 million Ponzi scheme that allegedly funneled hundreds of thousands of investor dollars into political campaigns for Republican candidates. The announcement on Monday follows a lawsuit filed in mid-July by the U.S. Securities and Exchange Commission (SEC) against the company and its founder, Edwin Brant Frost IV.

Raffensperger’s office is urging individuals who invested in First Liberty Building and Loan to come forward and file formal complaints. “If you engaged with First Liberty and have not yet submitted a formal complaint with the Securities Division, you are encouraged to do so using the appropriate channels on the Secretary of State’s website,” the state agency stated. “Individuals who contact the office will be treated confidentially.”

The move highlights the state’s proactive efforts to address the widespread alleged fraud. The Secretary of State’s Securities Division is responsible for regulating Georgia’s securities industry and investment products.

The SEC lawsuit alleges that Frost and First Liberty Building and Loan raised at least $140 million from approximately 300 investors. According to the lawsuit, Frost used investor funds not only to pay himself and his family at least $5 million but also for more than $570,000 in political contributions.

Raffensperger has publicly called on politicians and political entities to return any campaign contributions received from First Liberty or the Frost family, who have been active in state Republican politics.

In response, the Georgia Republican Party announced last week that it had already repaid nearly $37,000 in such contributions to the court-appointed receiver for First Liberty.

To aid the ongoing “fact-finding” process, Raffensperger’s agency is actively trying to reach First Liberty investors. In addition to encouraging formal complaints, the office is asking investors to complete an online survey. The survey form reiterates the pledge of confidentiality, stating, “Your responses will be kept confidential.”