Lawyers for Attorney General Ken Paxton on Wednesday asked a state appeals court to reconsider its recent ruling that upheld the criminal charges against him.
The motion did not address the two most serious charges alleging that Paxton committed fraud when he solicited investors in Servergy Inc. without disclosing that he was being paid by the McKinney tech company. The Dallas-based 5th Court of Appeals rejected Paxton’s request to dismiss the first-degree felony charges in a June 1 ruling.
Instead, Wednesday’s filing argued that judges on the appeals court incorrectly applied the law when they also rejected Paxton’s bid to dismiss a third charge — failure to register as an investment adviser representative with the State Securities Board, a third-degree felony.
Paxton’s legal team argued that the court incorrectly held that defendants violate the law merely by giving advice without being registered. Advisers also have to be aware that they have a duty to register, an essential detail the court mistakenly dismissed as irrelevant, the defense lawyers said.
“Guilty knowledge must be proven,” Paxton’s lawyers told the court. “Accordingly, Paxton respectfully requests that the court rehear this case and correct that error.”
See here for the background. The motion to rehear is here. To my layman’s eye, it looks like hair-splitting, but I admit that such technicalities make the world go round, so who knows. Any lawyers want to comment on this?