Parents Call for Hough’s Resignation After School Board Statement on Ponzi Scheme

Parents in Fayette County are questioning whether Board of Education member Randy Hough should remain in office after a state investigation tied him to the First Liberty Building and Loan Ponzi scheme. The Georgia Secretary of State fined Hough $500,000 and referred the case for criminal prosecution.

During a Board of Education work session Monday afternoon, Chair Scott Hollowell released a brief statement on behalf of the board addressing the situation.

The full statement reads:

“I have been authorized by the Board to make the following statement.

First, we want to express our deep sympathy for the victims of the First Liberty Loan and Building scandal. Our hearts go out to those who have had their lives devastated.

We have seen the allegations regarding Mr. Hough. The Board has no more information than what is publicly available.

I want to point out that no Board member has individual authority over the school system’s finances or any other matter. The Board only has authority when the majority of the Board votes on an issue.

Furthermore, the Fayette County School System has no connection to First Liberty. This is a private matter for Mr. Hough. Given that, and that is a pending legal matter, The Board will have no further comment on this issue.

Thank you.

Scott Hollowell
Chair, Fayette County Board of Education”

Despite the board’s position, some parents say the issue goes beyond the school system’s direct involvement.

One Fayetteville parent who called The Citizen before the statement was released said she believes the situation reflects on the leadership of the school board. The parent asked to remain anonymous and is identified here as “Regina.” She has a child in kindergarten in Fayette County schools and another who will enter pre-K this fall.

“It’s upsetting that leaders in our community are participating in scams that hurt Fayette County families,” Regina said. “Whether or not it’s a private matter or a school matter, it matters who’s in an authoritative seat.”

“If they can do that in their ‘private life,’ what are they doing with their positions on the school board?” Regina said. “Our kids’ education and futures are on the line, and we need people who set an example of good citizenship.”

Regina said she believes Hough should step down from the board.

“I’d like for Randy Hough to resign on his own and just step down and realize that he is not the best person to be leading on the Fayette County Board of Education,” she said.

She also said parents should continue speaking up about the issue.

“It’s not a private matter when you are a public figure in a public office,” Regina said. “Parents need to call for his resignation.”

Another parent, identified here as “Ed,” also said he believes the situation undermines public trust in leadership.

Ed, a Peachtree City parent with children in both elementary and middle school and a former registered investment advisor, said he believes the penalties connected to the case should be significant enough to deter future misconduct.

“I believe the penalties should be severe to stop other people from doing this,” Ed said. “The slap on the wrist is not sufficient for knowingly defrauding people of their hard-earned money.”

Referring to a case cited in the Secretary of State’s complaint of a special education teacher who lost half of her retirement through investments sold by Hough with First Liberty, Ed said, “I can’t imagine taking a teacher who’s worked for so long for kids in the community and destroying their retirement.”

Ed also said he believes Hough should step down from the school board.

“I would think that Mr. Hough would need to resign immediately to distance the County School Board from any possible decisions that he can make dealing with finances — or any decision, really,” Ed said.

He said actions by public officials can affect confidence in the institutions they serve.

“When you’re a person in authority and a trust figure and you do that, you undermine the entire system,” Ed said.

For now, the Fayette County Board of Education says it considers the First Liberty matter a private legal issue for Hough and has indicated it will not comment further while the case remains pending.

Under Georgia law, local school boards generally cannot remove one of their own members. An elected board member could resign voluntarily or face a voter recall process. Removal could also occur if a criminal conviction creates a legal vacancy in the office.