Austin developer Nate Paul, at center of Ken Paxton scandal, jailed on federal charges
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- Nate Paul
- Ken PaxtonAmerican politician
Nate Paul, the Austin real estate developer at the center of a federal investigation into Texas Attorney General Ken Paxton, is being held at the Travis County jail and facing federal criminal charges.
According to jail records, Paul, 36, was booked at 4:25 p.m. Thursday. The arresting agency is listed as the FBI. The charges he faces were not immediately known.
Paul and his World Class company have been under investigation since 2019, a year before federal investigators opened an investigation into Paxton in connection with his relationship with Paul. The basis for the initial Paul investigation is unclear. The Paxton investigation was triggered by a complaint from former lawyers in the attorney general’s office who alleged Paxton misused his office to intervene in legal matters involving Paul.
The Paxton-Paul connection was a partial basis for a Texas House investigation that led to Paxton’s impeachment on May 27. Paxton, suspended from office without pay, now awaits a trial in the Senate, where Paul has the potential to be a witness.
Paul has been entangled in numerous bankruptcy proceedings and legal battles with his debtholders in recent years, and he has lost a number of high-profile properties — including the 3M campus in far Northwest Austin — as a result.
Earlier this year, a Travis County judge found Paul in contempt of court and ordered him to serve 10 days. Judge Jan Soifer fined him $181,760 for violating court orders, including making illegal transfers from bank accounts — allegations that Paul denies. However, two appeals courts temporarily stayed the ruling and Paul avoided going to jail.
This is a developing story; check back for details.
This article originally appeared on Austin American-Statesman: Nate Paul, at center of Ken Paxton scandal, jailed on federal charges