Community Capital Partners, the developer behind the controversial Muslim-oriented housing project formerly known as EPIC City, has submitted routine planning documents to Collin County for “The Meadow” despite Attorney General Ken Paxton filing a securities fraud lawsuit against the developer and affiliated East Plano Islamic Center last month. The move signals the project’s intent to proceed with the 402-acre development roughly 40 miles northeast of Dallas, even as legal battles intensify over allegations of fraudulent fundraising practices.
Developer Doubles Down Amid Legal Storm
The plans submitted to county officials focus on technical requirements, including infrastructure, drainage, utilities, and safety plans, according to a recent press release from Community Capital Partners. The proposed development in unincorporated Collin and Hunt counties near Josephine would include more than 1,000 single and multi-family homes, a new mosque, a K-12 faith-based school, senior housing, an outreach center, commercial developments, sports facilities, and a community college.
Paxton filed his lawsuit in December 2025 against Community Capital Partners and the East Plano Islamic Center, accusing them of engaging in fraudulent practices while soliciting funds and failing to legally verify investors’ status as “accredited investors,” according to KERA News. The Texas Tribune reported that Paxton accused the entities of failing to register as securities dealers and committing securities fraud by misrepresenting the development’s location and its leaders’ compensation.
“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. I will relentlessly bring the full force of the law against anyone who thinks they can ignore the rules and hurt Texans.” — Attorney General Ken Paxton, December 2025
Securities Board Findings Undercut Paxton’s Claims
The lawsuit’s foundation appears shakier following a determination by the Texas State Securities Board that contradicted some of Paxton’s central allegations. A Texas State Securities Board investigation found that the developer’s and the mosque’s actions didn’t constitute securities fraud under state law, according to a press release from the board in December 2025.
The Securities Board issued its clarifying press release after a Fox News article falsely claimed Securities Commissioner Travis Iles said the board referred the matter to the Attorney General’s Office after finding “flagrant violations”. According to KERA News, the board stated these claims were false and that the reporter who wrote the article didn’t respond when asked who provided the quote.
Despite the Securities Board’s findings, Paxton moved forward with his own lawsuit based on securities-related violations. Community Capital Partners stated in its press release: “Despite this, the Attorney General proceeded with a securities-related lawsuit asserting violations that the Securities Board had already determined were not supported under Texas securities law”.
A Project Under Political Microscope
The proposed development has faced four separate state investigations since its announcement in November 2024, including claims it could be discriminating against non-Muslims in violation of the Texas Fair Housing Act, potential financial harm to investors, potential breaches of Texas consumer protection laws, and operating illegal funeral services, according to KERA News.
However, two major investigations have already concluded in the project’s favor. The federal Department of Justice probe closed in June 2025, and the Texas Workforce Commission resolved all fair housing allegations in September 2025. CBS News Texas reported that criminal defense attorney Dan Cogdell, representing both EPIC and the development organizers, called the investigations “politically motivated”.
Governor Greg Abbott directed the Texas Rangers in March 2025 to open a criminal investigation into the East Plano Islamic Center and affiliated entities for potential criminal activities. Abbott stated: “Texas is a law-and-order state, and those scheming to evade law enforcement scrutiny must know justice is awaiting them”.
Paxton’s Own Securities Fraud History Raises Questions
The irony of Paxton prosecuting securities fraud hasn’t been lost on observers, given his own legal history with similar charges. Paxton faced his own allegations of securities fraud and other illegal activities that led to his impeachment in 2023, though he was not removed from office, according to KERA News.
He was accused of encouraging people to invest more than $600,000 in the technology company Servergy Inc. without disclosing that he was receiving a commission and misrepresenting himself as an investor. Paxton was also charged with failing to register with state securities regulators for soliciting clients for investment firm Mowery Capital Management in return for fees.
In 2024, the federal case ended with prosecutors dropping the charges so long as Paxton paid nearly $300,000 in restitution, according to KERA News. Politico reported that under the 18-month pre-trial agreement, Paxton also had to complete 100 hours of community service and 15 hours of legal ethics education.
Community Rebranding and Moving Forward
The project was officially renamed “The Meadow” in November 2025, a shift project spokeswoman Erin Ragsdale told Texas Scorecard, accurately describes the property in its current state. Collin County Judge Chris Hill updated residents that the developers appear to be getting ready to submit their plans to the county for review, noting that no plat has yet been filed with Collin County.
The development is managed through Community Capital Partners, led by Imran Chaudhary, a former president of the East Plano Islamic Center’s board of directors. To reserve lots in the main development, investors must purchase an $80,000 share in Community Capital Partners, which will later be credited toward a home lot purchase.
Yasir Qadhi, resident scholar at the East Plano Islamic Center, has described the community as a “Muslim neighborhood” that would remain “well integrated” within the broader community.
What Lies Ahead for The Meadow
As the legal battle continues, the development’s future remains uncertain, but its backers appear undeterred. The submission of planning documents signals Community Capital Partners’ determination to proceed despite mounting political and legal opposition. County officials expect a plat application to be filed soon, and reports indicate the developer intends to apply with the Texas Commission on Environmental Quality to form a municipal utility district for the project.
The case will test whether political pressure can halt a development that has cleared multiple investigations, or whether the project will ultimately succeed in creating what supporters envision as an inclusive, Muslim-friendly community in North Texas. With Paxton’s own securities fraud past now resolved and the Securities Board’s findings contradicting key allegations in his lawsuit, the Attorney General’s legal strategy faces significant hurdles in the months ahead.