Thursday, the defense attorney for suspended Attorney General Ken Paxton told Harris County Judge Andrea Beall that Federal investigators were speaking with witnesses in a separate investigation into Paxton. The impeached attorney general was in court for a hearing in an eight-year court saga over whether he defrauded investors in a McKinney technology company.
This summer the Federal Paxton investigation moved to the Department of Justice's public corruption unit in Washington D.C. A spokesperson for the Department of Justice declined to comment on the status of the case.
Paxton has denied any wrongdoing, has pleaded not guilty to the state criminal case, and has said allegations against him are politically motivated.
In June, Federal officials indicted Austin developer Nate Paul with eight counts of making false statements to financial institutions. Paul's relationship with Paxton is at the center of many of the Articles of Impeachment the Texas House sent to the Texas Senate when they suspended him from office. In a trial beginning Sept. 5, 30 Texas senators will decide whether to remove Paxton from office or not.
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Any federal charges would also take priority over the state case attorneys for Paxton and the special prosecutors against him say.
Paxton attorney Dan Cogdell said the Department of Justice is the "alpha" in the legal world so the state would "step aside."
“I believe they are still investigating witnesses. believe that case will go nowhere because I’m familiar with the facts, but they are still investigating," Cogdell said.
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Paxton already faces two first-degree felonies on whether he misled investors, a third-degree felony on whether he didn't register to be an investment advisor, 20 articles of impeachment for a variety of public corruption allegations, a federal investigation, and a challenge to his bar license for his role in supporting former President Donald Trump in his attempt to stay in power after he lost the 2020 election.
The state case has already been delayed since 2015 and could be delayed again or dismissed if the Feds decide to step in.
“I think that’s going to take center stage and that could ultimately relegate this to a second act," said special prosecutor Brian Wice.
