Prosecutor: Grand Jury to Hear Paxton Case in July

_{Editor's note: This story has been updated with comment from a Paxton spokesman.}

A Collin County grand jury will hear a case against Attorney General Ken Paxton next month, according to a special prosecutor investigating whether Paxton has violated state securities law. 

The development is the latest escalation in the legal saga surrounding the attorney general, who admitted last year that he solicited investment clients for a friend and business partner without properly registering with the state. While some believe the statute of limitations on the inquiry is up this month, prosecutors have suggested their probe has broadened and they could have more time to pursue the case.

Houston attorneys Kent Schaffer and Brian Wice have been looking into Paxton since they were tapped in April to replace Collin County District Attorney Greg Willis, a Paxton friend who had stepped aside and asked the Texas Rangers to get involved. Willis had been given the opportunity to probe Paxton after Travis County prosecutors declined to pursue charges against the attorney general. 

In May, a Collin County judge granted the prosecutors' request to expand the scope of their inquiry, which initially centered on Paxton's failure to register with the state. At the time, Schaffer suggested the investigation was broadened to encompass "things that would have a five-year statute of limitations, instead of three years."

Paxton has all the while maintained the issue has been settled.

"At least three other entities have thoroughly reviewed these matters and each chose not to proceed," Paxton spokesman Anthony Holm said in a statement Thursday. "We will continue defending the rule of law and remain focused on protecting Texans against Washington’s overreach."

Schaffer first told the Houston Chronicle on Thursday that the case was heading to the grand jury next month.