The SEC Accuses GOP-Linked Georgia Lender of $140M Ponzi Scheme
The SEC Accuses GOP-Linked Georgia Lender of $140M Ponzi Scheme
On Thursday, the Securities and Exchange Commission (SEC) filed a complaint against First Liberty Building & Loan, a Georgia-based lender. The complaint alleges that the founder of the company, Tim Durham, has been running a Ponzi scheme, defrauding investors of over $140 million. The SEC is seeking to seize the company and its assets in order to repay the victims of this fraudulent operation.
The Rise and Fall of First Liberty Building & Loan
Founded in 2004, First Liberty Building & Loan was initially a successful lender, offering loans for real estate development projects. However, as the company grew and expanded its operations, it started to attract the attention of federal regulators. In 2010, the SEC launched an investigation into the company's business practices and found evidence of fraudulent activities.
