House managers called their 11th witness in the impeachment trial: Kendall Garrison, chief executive officer of Amplify Credit Union. His testimony focused on three properties owned by Nate Paul that faced foreclosure because Paul had stopped repaying his loans. Garrison testified the outstanding loans totaled around $11.5 million.
Amplify had posted to sell the properties at auction on Aug. 4.
On Aug. 3, Paul sent Amplify employees an email with a link to an attorney general opinion prohibiting foreclosure during the pandemic, which Garrison said his office dubbed the “midnight” opinion. The opinion, which was published in record time, stated that foreclosure sales could not continue due to COVID-19 restrictions.
“It was surprising to see a ruling issued on a Sunday morning that essentially prohibited foreclosures in the state of Texas,” Garrison said. The bank withdrew the foreclosure sales, but eventually sold them in September.
“Who benefitted from the foreclosure letter?” asked Erin Epley, a lawyer for the House.
“Nate Paul and the World Class Entities,” Garrison said.
During cross examination, Paxton’s lawyers pushed back against that claim and tried to cast doubt on Garrison’s testimony by pointing out Amplify did not lose any money in the eventual foreclosure sales.
