Streaming platforms investigated for payola, a Biden-era gun rule blocked, SB 4 upheld, a chemical plant sued, Austin ISD put on notice, Texas’s congressional map defended at the U.S. Supreme Court, trucking schools investigated, a Houston birth tourism operation sued, and nearly 30 North Texas businesses hit with H-1B fraud demands — here is what came out of the Texas Attorney General’s office this week.
Paxton Investigates Spotify, Apple Music, and Major Streaming Platforms Over Alleged Payola Schemes
Attorney General Paxton launched a formal investigation on April 22 into five of the largest music streaming platforms — Spotify, Apple Music, Pandora, Amazon Music, and YouTube Music — over alleged payola schemes in which the platforms may be accepting undisclosed payments to artificially boost certain songs, artists, or content.
Payola — the practice of receiving compensation in exchange for preferential promotion without disclosure — was used by radio stations in the early 20th century and was eventually prohibited by federal law. As digital streaming has replaced radio as the dominant force in music distribution, concerns have grown that similar schemes may be occurring through editorial playlist placement, algorithmic recommendations, and song suggestions.
As part of the investigation, Paxton has issued Civil Investigative Demands to each company. The OAG will examine whether these platforms entered into undisclosed financial arrangements with record labels, promoters, or third parties to boost visibility or playlist placement in violation of Texas law.
“Music artists deserve to compete on a level playing field, not one distorted by bribes, and listeners deserve transparency in what they are being recommended,” said Paxton. “I will ensure that if any big streaming service is accepting bribes to push certain content and deceive users, they will be held accountable to restore fairness and integrity in the music industry.”
Biden-Era ATF Gun Sale Rule Blocked — Paxton Secures Major Second Amendment Victory
On April 24, Paxton secured a landmark legal victory for gun owners after the Trump Administration moved to dismiss its appeal of a preliminary injunction that had blocked a Biden-era ATF rule targeting private firearm sales.
The rule, issued by the Bureau of Alcohol, Tobacco, Firearms and Explosives under the Biden Administration, broadly expanded the definition of who qualifies as a firearms “dealer” — a move Paxton argued threatened to subject hundreds of thousands of law-abiding gun owners to presumptions of criminal liability for engaging in constitutionally protected private, non-commercial transactions.
In May 2024, Paxton led a multistate coalition in suing the ATF over the regulation, obtaining a temporary restraining order and then a full injunction that prevented enforcement in all states party to the lawsuit. The injunction noted that the ATF rule likely violated federal law by requiring firearms owners to prove innocence rather than requiring the government to prove guilt.
With the Trump Administration’s dismissal of the appeal, the injunction remains in place and gun owners in the coalition states remain protected.
“The Second Amendment is a cornerstone of American freedom, and I will never allow it to be undermined by unlawful federal overreach,” said Paxton. “This Biden-era rule was a blatant attempt to violate our Constitution and criminalize law-abiding Americans for engaging in lawful private firearm sales.”
Fifth Circuit Upholds SB 4 — Texas’s Immigration Enforcement Law Survives Full Court Review
Also on April 24, Paxton secured another major victory for Texas by defending Senate Bill 4 before the full U.S. Court of Appeals for the Fifth Circuit sitting en banc.
SB 4 is a Texas law that creates state-level crimes mirroring federal immigration offenses — specifically unlawful entry and reentry — and empowers state law enforcement officers to arrest individuals who have violated those laws. After SB 4 passed, Texas was sued to block its enforcement. A federal district court issued a preliminary injunction, which was affirmed by a three-judge Fifth Circuit panel. Paxton then secured an en banc hearing before the full court.
The full Fifth Circuit has now ruled in favor of Texas, held that the plaintiffs lacked standing to challenge the law, and removed the injunction — clearing the way for SB 4 to take effect.
“Texas’s right to arrest illegals, protect our citizens, and enforce immigration law is fundamental,” said Paxton. “This is a major victory for public safety and law and order.”
Paxton Sues Freeport Chemical Plant Over Dozens of Illegal Hazardous Emissions
On April 27, Paxton filed a lawsuit against Blue Cube Operations LLC, a chemical manufacturing company operating a facility in Freeport, Texas, for releasing tens of thousands of pounds of hazardous chemicals through at least 11 separate unauthorized emissions events between 2022 and 2025.
Investigations by the Texas Commission on Environmental Quality identified more than 70,000 pounds of unauthorized chemical releases from Blue Cube’s operations. One incident — a major chlorine gas release in May 2025 — emitted more than 8,000 pounds of chlorine, caused injuries, and forced surrounding communities to shelter in place.
Paxton is seeking civil penalties and court-ordered corrective measures including operational improvements, independent auditing, and comprehensive compliance measures.
“I will not allow any company to harm Texans’ health with dangerous chemicals,” said Paxton. “Blue Cube’s repeated failures exposed Texas families to hazardous substances and forced entire communities to shelter in place. We will hold them accountable and work to prevent this kind of threat to public health in the future.”
Paxton Demands Austin ISD Comply With Texas Women’s Privacy Act
Also on April 27, Paxton sent a second demand letter to Austin ISD following a new complaint alleging that a male student entered and used a girls’ restroom at the AISD Performing Arts Center on or about April 2.
The OAG first contacted Austin ISD in March 2026 following a citizen complaint that a biological male was using girls’ restrooms and locker rooms in violation of Texas law. The district responded by asserting compliance but failed to provide documentation of its policies. Paxton’s latest letter demands updated policy documentation to verify consistent enforcement across the district.
“It is appalling that woke Austin ISD officials won’t do what is required by law to protect girls’ privacy and safety,” said Paxton. “I will continue to hold Austin ISD accountable and ensure that any violations of the Texas Women’s Privacy Act are fully investigated and prosecuted to the fullest extent.”
Texans can report suspected violations of the Texas Women’s Privacy Act through the OAG tip line at texasattorneygeneral.gov.
U.S. Supreme Court Upholds Texas’s Congressional Map for 2026 Midterms
Also on April 27, the U.S. Supreme Court granted summary reversal of a lower court decision that had blocked Texas’s congressional district map — clearing the way for the map to remain in effect for the 2026 midterm elections.
After a federal district court enjoined the use of Texas’s congressional map, Paxton appealed and secured an emergency stay. The Supreme Court then completely reversed the lower court’s decision, allowing the map signed into law in August to stand.
“Radical left-wing groups attempted to sabotage Texas’s lawful redistricting efforts, but the Supreme Court’s ruling is a clear rejection of these meritless attacks and a victory for the rule of law,” said Paxton. “Texas’s congressional map is lawful, constitutional, and reflects the will of our citizens, and I will continue to aggressively defend its use ahead of the 2026 midterm elections.”
Paxton Investigates Trucking Schools for Certifying Unqualified and Non-English Speaking CDL Drivers
On April 28, Paxton opened an investigation into five trucking schools across Texas for allegedly providing inadequate commercial driver training — including to non-English speakers — in violation of state and federal law.
Federal regulations require CDL holders to read and speak English sufficiently to converse with the public, understand highway signs and signals, respond to official inquiries, and make entries on reports and records. Texas and federal law also mandate that CDL training providers ensure students are adequately prepared to safely operate commercial motor vehicles.
Paxton issued Civil Investigative Demands to the following companies: EP Texas Trucking School, with locations in Odessa and El Paso; Trucker Certified LLC, with locations in Pampa, Amarillo, Plainview, and Borger; Fast Track CDL LLC in Garland; CDLCALL.COM LLC in San Antonio; and Lindenwood Education System — operating as Ancora — in Arlington.
Preliminary findings suggest EP Trucking tells prospective students that English proficiency is not necessary and advertises its services in Spanish. Several entities under investigation have also allegedly falsely claimed to be certified schools. Some programs advertise accelerated training timelines as short as 20 days — well below the industry norm of three to seven weeks.
“Putting non-English speakers behind the wheel of 18-wheelers in America can pose serious threats to public safety,” said Paxton. “My office is thoroughly investigating these trucking schools, and I am taking this matter very seriously. I will fight to ensure that Texans are safe and that only qualified, English-speaking truckers are operating commercial vehicles on our roads.”
Paxton Sues Houston-Area Birth Tourism Operation for Facilitating Illegal Chinese National Entries
On April 29, Paxton filed a lawsuit against De’Ai Postpartum Care Center, a Houston-area operation that has allegedly spent nearly two decades facilitating the entry of Chinese nationals into Texas for the sole purpose of giving birth and obtaining birthright citizenship.
The Center, which markets its services primarily through Chinese social media platforms and websites, boasts responsibility for more than 1,000 American-born babies. According to the OAG, the Center coaches clients on how to conceal the true purpose of their travel when applying for visas, facilitates up to 20 births per day across at least four properties, and was aware that U.S. visas are prohibited for birth tourism purposes.
Investigated locations include 211 Birch Hill Dr, Sugar Land; 9201 Clarewood Dr Unit 5, Houston; 1903 Granite Field Ln, Richmond; and 7506 Summer Night Ln, Rosenberg.
Paxton is seeking injunctive relief to shut down the operation, civil penalties, and attorneys’ fees. The lawsuit targets alleged deceptive trade practices, tampering with governmental records, unlawful harboring and concealment, and other violations of Texas law.
“America is for Americans, not foreigners trying to cheat the system to claim citizenship,” said Paxton. “Birthright citizenship is a scam that threatens national security, and I will do everything in my power to stop unlawful birth tourism schemes like this one.”
Paxton Issues Demands to Nearly 30 North Texas Businesses in H-1B Visa Fraud Investigation
On April 30, Paxton announced the issuance of Civil Investigative Demands to nearly 30 North Texas businesses as part of an ongoing investigation into suspected fraud and abuse of the H-1B visa program.
The latest round of CIDs targets Tekpro IT LLC, Fame PBX LLC, 1st Ranking Technologies LLC, Qubitz Tech Systems LLC, Blooming Clouds LLC, Virat Solutions Inc., Oak Technologies Inc., Techpath Inc., and Techquency LLC, among others. Several of these entities are suspected of operating so-called “ghost offices” — falsely representing active business operations in order to sponsor foreign workers through the H-1B program.
The OAG has demanded documents identifying all employees, records detailing products or services provided, financial statements, and communications related to company operations.
“I will not allow the H-1B program to be abused by bad actors seeking to use it as a loophole for allowing foreign nationals to invade Texas,” said Paxton. “My office will continue working to uncover and put an end to fraud within the H-1B program.”
For more information on actions from the Texas Office of the Attorney General, visit texasattorneygeneral.gov or contact [email protected].
