AUSTIN (Nexstar) — Prosecutors reached a deal to resolve Attorney General Ken Paxton’s felony securities fraud charges at a hearing Tuesday morning in Houston. Paxton will avoid the trial set to begin on April 15, and charges will be dismissed pending his completion of certain requirements and payment of a six-figure restitution.
“For over a decade, my family and I have been dealing with the ongoing stress of these accusations and are relieved to finally have a resolution in this matter,” Paxton said in a statement Tuesday morning. “There will never be a conviction in this case nor am I guilty.”
Defense and prosecutors confirmed the agreement shortly after the hearing started in Harris County district Judge Andrea Beall’s courtroom.
According to the agreement, Paxton will be required to pay restitution, which prosecutors say will be around $271,000. He will also be required to complete 100 hours of community service in Collin County — where he resides — and must take 15 hours of legal ethics education classes.
“While I think the case could be made that justice was certainly delayed, I think the agreement we’ve reached today underscores that fact that justice was not denied,” prosecutor Brian Wice said to reporters after the agreement was announced.
Under the deal, Paxton has 18 months to complete the requirements of the agreement. If he does so, the charges against him will be dismissed. Prosecutors will be having regular Zoom calls to check-in to ensure the attorney general is fulfilling his obligations under the deal.
The accusations predate Paxton’s election to become Attorney General of Texas.
In 2015, a Collin County grand jury indicted the state’s top attorney for securities fraud, alleging Paxton deceived investors by promoting stocks in a McKinney technology company without disclosing he was being compensated for doing so. Paxton is also charged with failing to register with the state securities board.
Through disputes over venue, prosecutor pay, and legal technicalities, the case has avoided a trial for nine years. The reporting of a possible deal comes after Kent Shaffer, one of the two prosecutors, announced he would step away from the case.
Lt. Gov. Dan Patrick took to social media, calling the agreement evidence of a flawed case that he called “political harassment” against Paxton.
“The prosecution was wise to save themselves the embarrassment of a courtroom defeat,” Patrick posted.
Defense attorney Dan Cogdell said Paxton is happy with the agreement, but emphasized that he did not admit wrongdoing.
“There is no admission of guilt. There will never be an admission of guilt, because he’s not guilty,” Cogdell told reporters outside of the courtroom. “We’re glad to have this matter behind us. This case has been pending longer than the Beatles were together.”
Wice said Paxton’s 100 hours of community service will probably be served at a food pantry or soup kitchen in Collin County.
This is a developing story. Check back here for updates.
