Attorney General Ken Paxton said he's opened an investigation into a proposed development meant to accommodate the North Texas Muslim community, claiming potential violations of the state’s consumer protection laws.
The East Plano Islamic Center, one of the largest mosques in the area, is planning the development in Josephine, Texas, roughly 40 miles northeast of Dallas. Paxton issued a Civil Investigative Demand into the corporate entity involved with the project, Community Capital Partners.
"Under my watch, there will be zero tolerance for any person or entity that breaks Texas law,” said Paxton. “My office has an open and ongoing investigation into EPIC City, which has raised a number of concerns, and this CID will help ensure that any potential violation of state law is uncovered.”
It’s not clear what provisions the proposed development is accused of violating.
It comes after Gov. Greg Abbott announced on X “a dozen state agencies are looking into” the East Plano Islamic Center’s proposed 402-acre development, which he alleged had “serious legal issues.” The governor did not provide evidence of his claim.
Abbott also referred to "foreign adversaries” in his tweet, but did not elaborate.
KERA News reached out to his office for clarity on both claims.
The proposed EPIC compound in Collin Co. has serious legal issues.
— Greg Abbott (@GregAbbott_TX) March 25, 2025
A dozen state agencies are investigating it, the Attorney General will look into it, and legislators are considering laws to restrict it, as well as laws to prevent foreign adversaries from buying land in Texas.
The project, referred to as "EPIC City," includes a new mosque, more than 1,000 single and multi-family homes, a K-12 faith-based school, senior housing, an outreach center, commercial developments, sports facilities, and a community college.
Imran Chaudhary, President of Community Capital Partners said in a statement to KERA News the company will work with Paxton as the investigation is ongoing.
“We understand that there has been a lot of rumor-milling and misinformation circulated by many who are uniformed," Chaudhary said. "We look forward to working with the Attorney General to ensure that we are in legal compliance every step of the way and educating the broader community about our project.“
State Rep. Jeff Leach, R-Plano, also sent a letter to Paxton asking to look into the project, worried it may include “elements of Sharia Law” and would be a violation of state law.
Leach speculated the project could violate House Bill 45, a law passed in 2017 that prohibits the use of any foreign law in the state’s courts.
Online backlash
The Islamic center posted a video last month highlighting the proposed development which spread across social media, immediately getting bombarded with negative comments online from users including Abbott.
Abbott accused the project in February of promoting “Sharia cities” – referring to a body of religious laws forming part of the Islamic traditions, which itself has been the target of conservative legislators across the country.
The governor and other commenters called it the start of a "no-go zone," implying without evidence non-Muslim people wouldn’t be allowed to enter.
To be clear, Sharia law is not allowed in Texas.
— Greg Abbott (@GregAbbott_TX) February 24, 2025
Nor are Sharia cities.
Nor are “no go zones“ which this project seems to imply.
Bottom line. The project as proposed in the video is not allowed in Texas. https://t.co/5Sw5VdXD31
East Plano Islamic Center responded Abbott on X, saying its vision is to build a diverse community open to all ethnic and religious backgrounds.
“It should go without saying that our community, like any other in this great state, will follow all local, state and federal laws,” the post read. “We would love for you to see the site and learn about our project over some Hutchins BBQ.”
‘Exemplifying the American Dream’
In an interview last year, Yasir Qadhi, a resident scholar at the Plano mosque and one of the people involved in the project planning, said the idea for EPIC City came as the Muslim population continues to grow in the region.
“We need more space, and there are people coming from across the country,” Qadhi said. “Dallas is now known to be a hub of people of our faith, coming not just to the city, but specifically to our mosque.”
Qadhi emphasized this project is not exclusive to the Muslim community – anyone is welcome.
“It’s an open community,” Qadhi said. “Anybody can come in. We're welcoming people of all backgrounds and diversity and we're offering them facilities that we think would be very, very useful.”
The EPIC City developments are in unincorporated areas of Josephine, a nearly two-square-mile city between Collin and Hunt counties growing rapidly in recent years. In 2023, the population grew by nearly 5,000 people – a 234% increase in the course of three years.
Those numbers could increase even more with the help of EPIC City – the first 450 plots sold out within days of its announcements on the mosque’s website, Qadhi said.
“The demand to move to our community is so high from across the country that we envision that demand would remain even if we created another parallel community,” he said.
Qadhi also said there’s no external funding for any of the planned construction. Instead, people are purchasing shares to own a plot of land for future homes. In those purchases, there’s a charge to help fund the construction of other buildings, like the mosque and school, he said
Qadhi said they want to showcase the best of being Muslim Americans.
“We are a very family-centered and community-centered faith,” Qadhi said. “We strongly feel that by coming together and by living our faith in this great land, we are exemplifying the American dream. And we are going to contribute back not only to ourselves and our families, but to the greater public around us. And that's what it means to be to be a part of this society.”
Penelope Rivera is KERA's breaking news reporter. Got a tip? Email Penelope Rivera at privera@kera.org.
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