$6.7M returned to victims in massive Georgia Ponzi scheme case

Georgia Secretary of State Brad Raffensperger announced Wednesday that his office has made an agreement with Bankers Life to return money to some of the victims of the alleged $140 million Ponzi scheme involving First Liberty Building and Loan.

Bankers Life Advisory Services and Bankers Life Securities agreed to make some investors whole by returning nearly $6.7 million.

“I want to sincerely thank Bankers Life for acting with integrity. They as a company chose to do the right thing and help the Georgians who lost everything in this alleged Ponzi scheme orchestrated by First Liberty,” Raffensperger said in a news release.

Timothy Nathaniel Darnell allegedly used his position as a financial adviser to get more than 40 people to invest in the scheme.

Around one-third of the investments made by people who came forward to the Secretary of State’s Office will be made whole. That’s 46 people in total.

“While Timothy Nathaniel Darnell acted independently without Bankers Life’s knowledge or authorization, our clients come first – and that’s why we agreed to make a monetary contribution to this fund,” said Cheryl Heilman, president of Bankers Life Advisory Services and Bankers Life Securities, in a news release.

Raffensperger appointed veteran securities fraud attorney, Jason Doss, to lead the investigation of First Liberty Building & Loan. Three emergency orders, including a maximum of $500,000 in civil penalties, have been issued to Brant Frost V, Randy Hough and Darnell.

Raffensperger, who is running for governor on the Republican ticket, said he hopes that they can continue to find retribution for the victims.