Overview
- Frost, 68, was charged and arraigned Thursday on a single federal wire fraud count tied to First Liberty Building & Loan.
- He pleaded not guilty after waiving indictment and was released on bail, and the U.S. attorney said he is likely to plead guilty in early May.
- Prosecutors say he ran a Ponzi scheme that raised at least $140 million from about 300 investors by using new money to pay earlier investors.
- Charging documents say he diverted more than $5 million for personal and political spending, including $2 million in credit card bills, $230,000 for a Maine rental, $570,000 in donations, and luxury jewelry.
- Parallel recovery efforts continue, with a court receiver reporting $5.16 million in cash as of March 23 and Georgia regulators announcing $6.7 million from Bankers Life affiliates to repay 46 investors.