State board disciplines Texas AG candidate Paxton

Rep. Ken Paxton, R-McKinney, addresses the opening session of the 82nd Texas Legislature, Tuesday, Jan. 11, 2011, in Austin, Texas. (AP Photo/Eric Gay)
Rep. Ken Paxton, R-McKinney, addresses the opening session of the 82nd Texas Legislature, Tuesday, Jan. 11, 2011, in Austin, Texas. (AP Photo/Eric Gay)

AUSTIN (AP) — State financial regulators have disciplined Republican Ken Paxton, who’s running for Texas attorney general, for soliciting investment clients without registering as required by law.

The Texas State Securities Board on Friday fined the state senator $1,000 and issued a formal reprimand. The board found that Paxton was paid for investment advising at times between 2004 and 2012 but did so without registering with the state.

Paxton spokesman Anthony Holm blamed the problem on an administrative oversight and said the fine has been paid.

The reprimand followed reporting by the Texas Tribune about Paxton’s disclosure lapses. Holm has said Paxton has since amended his financial statements.

Paxton is in a May 27 Republican runoff with state Rep. Dan Branch. The winner becomes the overwhelming favorite to replace Attorney General Greg Abbott.

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