After agreeing recently to settle a whistleblowers’ lawsuit against him that will likely cost Texas taxpayers $3.3 million, ethically compromised Texas Attorney General Ken Paxton Friday, Feb. 10, tried to falsely spin it as a win — for taxpayers.
“I have chosen this path to save taxpayer dollars and ensure my third term as Attorney General is unburdened by unnecessary distractions,” Paxton said in a statement.
Even for a public official as shameless as Paxton, this absurdist political spin is breathtaking. That fact is that Paxton’s firing of eight whistleblowers who credibly accused him of bribery and abuse of office is almost certain to cost Texas taxpayers millions, just as it has cost the attorney general’s office reputational damage that can only be repaired when Paxton, re-elected to a third four-year term in November, is no longer in office.
Settlement agreement raises questions about use of tax dollars
The mediated tentative settlement agreement obtained by the American-Statesman recently requires a $3.3 million payment to four of the whistleblowers and an apology from Paxton to the plaintiffs, but not an admission of wrongdoing. The agreement raises serious questions about the propriety of asking Texas taxpayers to pay the settlement on Paxton’s behalf. The agreement says the settlement is contingent on “necessary approvals for funding,” which means the Texas Legislature may have to consider a funding request.
It’s certainly convenient for Paxton to ask lawmakers and Texas taxpayers to clean up the mess he made while professing that he’s doing it “to save taxpayer dollars,” but lawmakers must not let him off the hook easily, and should investigate whether the settlement is an appropriate use of tax money.
Paxton has argued that Texas law allows for the expenditure of taxes dollars to defend against multiple lawsuits filed against him during his tenure as attorney general. But Andrew Cates, who wrote a book called “Texas Ethics Laws,” told our board that doesn’t make it right, especially when the issue is a multi-million dollar settlement stemming from the firing of whistleblowers.
“This is one of those just because you can doesn’t mean you should situations,” Cates told our board, pointing to a Texas statute that allows for using campaign donations to pay the legal bills of a candidate or office-holder. “I personally believe it would be more proper for him to take it out of his campaign account.”
The whistleblower saga began in 2020 when eight executives in the state attorney general’s office — all appointed to their positions by Paxton — either resigned or were fired after telling federal investigators in 2020 that they were concerned Paxton was misusing the powers of his office to help Austin investor Nate Paul, whose home and businesses were searched by federal agents in 2019. They accused Paxton of illegally using his office to help Paul in exchange for benefits that included a $25,000 political donation, remodeling Paxton’s Austin home and providing Paxton’s alleged mistress with a job. Overriding a decision by his agency’s Charitable Trust Division, Paxton also directed his office to intervene in a lawsuit by The Mitte Foundation against Paul, the whistleblowers’ lawsuit says.
Paxton’s legal bills are adding up
The allegations against Paxton are sadly unsurprising when considering his tenure in public office. He remains under a seven-year-old federal indictment for securities fraud and the State Bar of Texas has sued to sanction him for his shameful role in trying to overturn the 2020 presidential election. Nor should Texans be surprised that their attorney general is once again asking for a handout to help defend him in court. The Dallas Morning News reported in August that Paxton had racked up more than a half-million dollars in legal fees stemming from the whistleblower and state bar lawsuits. Instead of relying solely on state attorneys, Paxton hired outside counsel, including one lawyer who charged $540 per hour paid by taxpayers.
After years of questionable behavior that has been rewarded with election to a third term as Texas attorney general, we’d be naïve to expect Paxton to become a paragon of virtue at this late stage of his career. But we do hope that the embarrassment of a forced apology and a $3 million-plus legal settlement to pay off the whistleblowers he fired will prompt Paxton to reflect on his job description and quit playing politics.
Austin American-Statesman
