Texas Attorney General Ken Paxton Ordered to Pay $6.6 Million to Whistleblowers for Unlawful Retaliation

AUSTIN, Texas — A Travis County District Court judge has ordered the Texas Attorney General’s Office to pay $6.6 million to four former employees who sued after being terminated. They alleged retaliation following their whistleblower complaints against Attorney General Ken Paxton.

In a decision issued on Friday, Judge Catherine Mauzy sided with the whistleblowers by confirming that Paxton’s office had violated the Texas Whistleblower Act. The lawsuit centered on accusations that Paxton had used his position to benefit a real estate developer, Nate Paul, in exchange for personal favors.

According to the judgment, the plaintiffs successfully demonstrated that their firing was a direct response by Paxton’s office to their attempts to expose alleged legal breaches by Paxton and the Attorney General’s Office (OAG). The court also noted that Paxton’s office did not contest the claims or amounts of damages cited in the lawsuit.

The whistleblowers, all former aides to Paxton, claimed they were discharged after they reported suspicions of bribery involving Paxton and Paul, with allegations including a personal relationship between Paxton and a woman employed by Paul.

The legal counsel for the whistleblowers underscored the gravity of the case in a statement, expressing dismay that the state’s top law enforcement officer admitted through his actions to violating the law.

Responding to the court’s decision, Paxton criticized the judgment as “ridiculous” and lacking a foundation in facts or law. He signaled his intention to challenge the ruling, reinforcing his longstanding denial of the allegations of bribery and misuse of office.

This legal setback aligns with a broader set of challenges for Paxton, who was the focus of a federal inquiry after eight of his staff members approached the FBI in 2020 with bribery claims. Although Paxton proposed a $3.3 million settlement to be shouldered by state funds, which he anticipated would end the federal scrutiny, the Texas House of Representatives vetoed this request. This rejection preceded their own investigation and subsequent impeachment of Paxton earlier this year, though he was later acquitted in the Senate.

Further complicating matters, the Texas Supreme Court recently overturned a lower-court decision that would have compelled Paxton to testify in the whistleblower case. Meanwhile, sources close to the matter revealed that the U.S. Justice Department had opted to drop its investigation into Paxton in the twilight weeks of the current administration, without filing charges.

Paxton, who has been in office since 2015 and is now in his third term, might be setting his sights on higher political ambitions. He is rumored to be considering a challenge against U.S. Senator John Cornyn in the upcoming Republican primary.

This article was written with reliance on public documents and statements from relevant parties involved in the case. Past and future developments can be reported, with any inaccuracies or requests for changes to be submitted via email to contact@publiclawlibrary.org.