Ted Cruz’s Top Aide Testified in Justice’s Paxton Bribery Probe

Federal prosecutors in Texas had drafted bribery and obstruction charges against state Attorney General Ken Paxton (R) before the US Justice Department took over the case in early 2023, according to a person familiar with the investigation.

Now almost two years later, the probe into Paxton’s alleged bribery and misuse of office has continued, including in a recent deposition of Aaron Reitz, Paxton’s former deputy for legal strategy and now Texas Sen. Ted Cruz’s chief of staff, another source said. Appearing before a grand jury on Aug. 6 in Austin, Reitz answered prosecutors’ questions about Paxton’s termination of whistleblower employees in 2020, a source said.

Reitz’s testimony shows that prosecutors are moving forward in interrogating Paxton aides after a federal appeals court ruled in June that they must testify because they aren’t entitled to attorney-client privilege.

Prosecutors haven’t announced any charges in the almost four-year-old probe.

Before the Justice Department took control last year, San Antonio-based prosecutors led the investigation for more than two years. The prosecutors were awaiting approval from the Justice Department to present the charges to a grand jury when the higher office took over, the source said, adding that the reason for the switch in teams is unclear.

Ashley Hoff, then-US Attorney for the Western District of Texas, declined to comment.

Reitz Subpoena

The decision to subpoena Reitz shows prosecutors are interested in allegations that Paxton, a three-term Republican, violated the federal Whistleblower Protection Act in firing employees who made a complaint against him to the FBI.

Reitz helped prepare an internal office report that examined allegations from the fired employees that Paxton engaged in bribery with a friend and concluded Paxton had done nothing wrong, according to an email used as evidence in Paxton’s impeachment trial last year. Reitz is quoted in a report used in the trial saying the aides were fired for “holding the agency hostage,” with poor work habits, not for the FBI complaint.

Reitz didn’t respond to multiple requests for comment, nor did the Justice Department. Cruz declined to comment on Monday, referring questions to a spokesman who did not return requests for comment.

The grand jury proceeding comes as Cruz, Reitz’s current boss, faces a competitive race for re-election against Democrat Colin Allred in November. And it comes as Republicans target the Department of Justice for the agency’s multiple indictments of former President Donald Trump, the GOP presidential nominee who counts Paxton among his top supporters.

Paxton’s lawyer, Dan Cogdell, declined to comment.

The San Antonio prosecutors previously leading the investigation also prepared a bribery charge against Nate Paul, an Austin businessman and Paxton political donor, a source said.

According to a lawsuit from some of the whistleblowers, Paul funded a Paxton home remodel and gave a job to a woman having an affair with Paxton. In exchange, Paxton allegdly used the attorney general’s office to interfere with a federal financial crimes investigation into Paul.

The businessman was later indicted for fraud and is set to stand trial in February; Paxton isn’t a defendant in that case.

Gerry Morris, Paul’s lawyer, didn’t respond to a request for comment Monday.