Austin, Texas — Financial practices inside Texas Attorney General Ken Paxton’s office are under scrutiny following an audit into how taxpayer-funded hotel rooms were reassigned to donors and private individuals.
According to reporting from the Texas Tribune, the office initially booked a block of hotel rooms in Washington, D.C., for official travel tied to President Donald Trump’s inauguration and a Supreme Court case. When a winter storm disrupted travel plans, staff reassigned unused rooms to private citizens who agreed to pay out of pocket.
The arrangement included several individuals with political or financial ties to Paxton, including donors and international figures. Internal documents show the move reduced potential losses but did not follow proper administrative procedures. In some cases, individuals did not pay promptly, and the state temporarily covered the costs.
Deputy First Assistant Attorney General Ralph Molina said the intent was to minimize financial loss to the agency, though the process raised concerns during a routine audit initiated by the state comptroller’s office. The audit, which was briefly paused, later resumed.
Two senior officials, including the agency’s chief of staff and chief financial officer, resigned shortly after the issue resurfaced internally. Neither resignation cited the audit directly.
Paxton, who was impeached in 2023 and is currently in a GOP Senate runoff, has not publicly commented on the matter as the review continues.
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