From The Texas Newsroom:
Nate Paul, the businessman at the center of Ken Paxton’s impeachment, was charged Friday with eight counts of making false statements to mortgage lending institutions and other financial institutions.
The charges were read by U.S. Magistrate Judge Dustin Howell a day after Paul was arrested in Travis County.
Paul appeared in the courtroom around 10:55 a.m. wearing a light blue shirt and blue jeans, and in handcuffs.
He’s accused of making false statements to financial institutions in New York, California, Connecticut, and Ireland. According to the indictment, he lied about his liabilities and cash.
For instance, on March 2017, Paul “knowingly made a false statement and report for the purpose of influencing the action” of a credit union.
Paul allegedly reported having $31.6 million in cash, when in that account he knew he had less than $500,000.
In another instance, on December 2017, he reported owing $3,422,056 in “Total liabilities.”
“In fact, however, as Paul knew, he owed on November 30, 2017, directly or indirectly, at least $28,620,000 in addition to the liabilities he disclosed,” the indictment said.
» MORE: See the full indictment here [PDF]
This is the conclusion of a federal investigation that has been ongoing for years.
Paul will be allowed to travel in Texas unrestricted, but will have to provide notice if traveling out of state.
His attorneys said he has surrendered his passport. He is prohibited from traveling abroad.
Paul is a key figure in Ken Paxton’s impeachment.
Most of the 20 articles of impeachment against the suspended Republican attorney general are relates to his relationship with Paul, a political donor.
According to Texas House investigators, Paxton used his office to intervene in a federal investigation against Paul and even asked his staff to change a COVID-19 legal opinion to benefit Paul.
In a statement, Tony Buzbee, Paxton’s attorney, denied Paul’s indictment is connected to his client.
“The charges against Paul evidently have nothing to do with Attorney General Ken Paxton,” Buzbee said. “That should speak volumes as to how weak this impeachment effort is.”
