Muslims pray at a mosque during Friday prayers, in Plano, Texas. (Ronaldo Schemidt/AFP via Getty Images)
The state claims the group broadly solicited investors through meetings, social media and online promotions, which is activity not allowed under the exemptions they claimed.
Investigators also allege the developers failed to take reasonable steps to verify purchasers were accredited investors, with documentation missing or inadequate for a number of buyers.
The petition says the project was advertised as being "in the heart of Josephine, Texas," even after the city told developers in February 2025 that the land was not within its limits or utility district. Marketing materials allegedly continued to make the claim.
FEDERAL JUDGE ALLOWS TEXAS AG TO CHALLENGE HARRIS COUNTY BAIL REFORMS: ‘UNLEASHING CRIMINALS’
Land for sale near the East Plano Islamic Center and mosque, in Plano, Texas. (Ronaldo Schemidt/AFP via Getty Images)
Paxton is asking the court to halt all fundraising tied to the project, freeze assets, appoint a receiver, correct public statements and impose civil penalties of up to $20,000 per violation. The suit also seeks the return of investor funds.
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EPIC City, since rebranded as "The Meadow," was marketed as a master-planned development spanning Hunt and Collin counties. Court filings show hundreds of investors purchased units.
Fox News Digital has requested comment from EPIC, CCP and Paxton’s office.
The full lawsuit can be read here.
Jasmine Baehr is a Breaking News Writer for Fox News Digital, where she covers politics, the military, faith and culture.
https://www.foxnews.com/politics/texas-ag-paxton-sues-epic-city-developers-after-probe-finds-alleged-fraud-misleading-muslim-only-marketing