Judge Grants Texas AG Ken Paxton’s Request to Pause ‘Whistleblower’ Lawsuit

The attorney general has filed a lawsuit against his former employees who sued him for wrongful firings.

Texas Attorney General Ken Paxton speaks in Washington on Jan. 6, 2021. Jacquelyn Martin/AP Photo

A lawsuit against Texas Attorney General Ken Paxton has been placed on pause after a judge granted an emergency temporary restraining order on Tuesday.

Mr. Paxton’s legal team filed a lawsuit in Burnet County against his former employees who were at the center of his impeachment earlier this year.

District Judge Evan Stubbs ruled that the “whistleblowers” must stop discovery or other actions in the case against Mr. Paxton until the next hearing, which is scheduled for Nov. 14, according to documents obtained by The Epoch Times.

Mr. Paxton has accused the former employees of violating a tentative settlement reached in February by asking the Texas Supreme Court to reinstate their case against him.

“Texas law is clear that settlement agreements should be enforced,” Mr. Paxton told the Texas Tribune in a statement. “If plaintiffs are allowed to disregard their statements with the State, the important work of my office, and litigation for state agencies across Texas, would be significantly impaired.

Mr. Paxton’s office did not immediately respond to The Epoch Times’ request for comment.

Judge Stubbs was not involved in the original case, which was filed in Travis County. Burnet County is a rural county in Central Texas, about 30 miles northwest of Austin.

In late September, the Texas Supreme Court ruled that the lawsuit against Mr. Paxton could move forward. The state’s top court ruling came less than two weeks after the attorney general was cleared on all articles of impeachment and reinstated to office.

The plaintiffs include Mr. Paxton’s former policy director, James Brickman; former head of law enforcement, David Maxwell; former head of criminal justice, Mark Penley; and former deputy general for legal counsel, Ryan Vassar.

Following Mr. Paxton’s acquittal, all four vowed to continue the fight against their former boss.

“This lawsuit is Ken Paxton’s latest cowardly attempt to avoid testifying under oath,” attorneys Tom Nesbitt and TJ Turner told the Texas Tribune in a statement, adding that the attorney general would “do anything to avoid accountability.”

Mr. Nesbit and Mr. Turner did not respond to The Epoch Times’ request for comment.

The plaintiffs accused their former boss of wrongful firings after they reported him to the FBI in 2020, accusing him of abuse of power in office.

In February, the parties reached a tentative $3.3 million settlement. Mr. Paxton then asked the House to fund the payout, which it denied.

According to the House investigating committee, it was the payout request that sparked the investigation into Mr. Paxton, which led to 20 articles of impeachment against him.

Impeachment Background

The former employees were not placed under oath when they testified to the House committee and accused their former boss of abusing his power to help Austin real estate developer Nate Paul, who was under federal investigation.

The House conducted a monthslong secret investigation without allowing Mr. Paxton or his lawyers an opportunity to respond to the allegations. In late May, just days after the committee made public the investigation, the House quickly impeached the attorney general and suspended him from duty.

Mr. Paxton’s office had opened an investigation into the FBI’s raid of Mr. Paul’s home and office. The investigation led to the attorney general’s former employees reporting him to the FBI for abuses of power, initiating a separate investigation of Mr. Paxton. No charges were brought against the state’s top lawyer.

However, in June, Mr. Paul, 36, was indicted on eight counts of making false statements to mortgage lenders to obtain $172 million in loans.

More Trouble for Nate Paul

On Wednesday, Nov. 8, Mr. Paul was charged with four new counts of wire fraud, according to the U.S. Attorney for the Western District of Texas. He is accused of lying to his business partners who invested in his company, World Class Holdings, Inc.

Mr. Paul allegedly conspired to obtain money from his limited partners claiming the funds would be solely used to benefit the partnership. The previous indictment claims the real estate investor allowed unrestricted use of the limited partnership funds, according to the DOJ.

“Adding to the initial eight counts of false statements to lenders, Paul is charged with one count of conspiracy to commit wire fraud and three counts of wire fraud,” according to the press release.

The latest charges carry penalties of up to 20 years in prison with fines of $250,000 per count for the new charges. Each of the previous eight counts carries a maximum penalty of up to 30 years and a $1 million fine.

The investigation into Mr. Paul’s business dealings is ongoing.