AUSTIN, TX - Texas Attorney General Ken Paxton has filed a lawsuit against the East Plano Islamic Center (EPIC), Community Capital Partners (CCP), and several leaders associated with the groups, accusing them of running an illegal land-development operation tied to a project known as “EPIC City.”
State officials allege that CCP, which was created by EPIC to purchase and develop more than 400 acres of land in Hunt and Collin counties, violated Texas securities law while raising money for the project. According to the lawsuit, CCP engaged in fraudulent practices while soliciting investments and misled contributors about how their funds would be used.
Some promotional materials for EPIC City suggested the development would cater specifically to Muslims and described the area as the “epicenter of Islam in North America,” the Attorney General’s Office said. Investigators also claim that, despite assurances to investors, a significant portion of collected funds was diverted for personal benefit by individuals tied to the project.
The state further alleges that CCP sold securities to investors without ensuring that they met the legal requirements to qualify as “accredited investors.” Officials say at least 10 percent of purchasers were not properly verified, a violation of state and federal regulations.
Paxton issued a strong statement Friday, saying his office intends to stop the project entirely.
“The leaders behind EPIC City have engaged in a radical plot to destroy hundreds of acres of beautiful Texas land and line their own pockets,” Paxton said. “I will relentlessly bring the full force of the law against anyone who thinks they can ignore the rules and hurt Texans.”
The Attorney General opened an investigation into EPIC City earlier this year and requested a referral from the Texas State Securities Board last October after uncovering what his office described as clear violations of securities regulations. The TSSB has since referred the case, allowing Paxton’s office to move forward with formal legal action.
The lawsuit seeks to halt the development project and prevent the individuals involved from creating similar ventures in the future.
No additional details were released, and the investigation remains ongoing.
