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The charges he brought against her were made by her Republican opponent two years before the indictment. Her chief of staff (or some such title) pled guilty and went to jail. After a short time in jail, he claimed he was innocent, and was just taking the rap for her.
So Earle investigated Hutchison, then AFTER the election, so he wouldn't affect the outcome of the election, he raided her offices and siezed boxloads of evidence. There was no doubt that she was guilty of campaign fraud, obstruction, conspiracy, and lots more stuff. But when he went to jail, the judge refused to decide on whether the evidence would be allowed--basically implying it wouldn't. So Earle very dramatically refused to bring the case to court, and the charges were thrown out.
Kay Bailey was not only guilty, but clearly conscious of the fact that she was guilty, and clearly conscious as she was breaking the law that she breaking it. The conservative courts in Texas let her go.
BTW, all that's from memory, so I may have some details wrong, but that's the gist of it.
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