The U.S. Department of Justice (DOJ) has officially closed its civil rights investigation into the East Plano Islamic Center (EPIC) City, a proposed Muslim-centric residential development that has drawn months of scrutiny and political controversy in Texas.
In a letter obtained by The Dallas Morning News from development partner Community Capital Partners (CCP), the DOJ stated it would no longer pursue the inquiry after CCP affirmed that the planned community would be open to all and that it would revise marketing materials to emphasize inclusivity in accordance with the Fair Housing Act.
“CCP has affirmed that all will be welcome in any future development,” the letter reads, adding that the group will take steps “to reinforce that message consistent with [its] obligations under the Fair Housing Act.” Based on that assurance, the DOJ wrote, “the Department is closing its investigation at this time.”
The investigation, which began in May, followed a request from Sen. John Cornyn (R-TX), who urged federal authorities to determine whether the development’s backers were complying with U.S. laws, particularly with regard to concerns he raised about possible adherence to Sharia law.
The DOJ did not file any lawsuits or bring charges against the developers. The letter closing the case, signed by Assistant Attorney General for Civil Rights Harmeet Dhillon, was dated June 13.
Political Firestorm Around a Local Development
Though no legal violations were found by the DOJ, EPIC City remains at the center of a fierce political battle in Texas, where state leaders have voiced strong opposition to the project.
Spanning more than 400 acres in Josephine, a rural community northeast of Dallas, EPIC City is planned as a large-scale residential and cultural development, including a mosque, over 1,000 homes, private schools, and infrastructure funded through an approved Municipal Utility District (MUD). While developers say the community is intended to be welcoming and inclusive, its Islamic identity has prompted vocal criticism and governmental scrutiny.
Texas Governor Greg Abbott has repeatedly condemned the project, claiming in March that “the proposed community will never see the light of day.” He also announced state-level investigations and said construction had been halted.
Attorney General Ken Paxton echoed the concerns, stating in a March letter that his office had “an open and ongoing investigation” into the project, citing “a number of concerns” about how the development operates and is funded.
Rep. Jeff Leach (R-Plano), a key critic of the project, helped craft and pass House Bill 4211, which Abbott signed into law. The new legislation prohibits discrimination in ownership of residential communities and targets so-called “managing entities” that might restrict property rights in ways that violate Texas housing laws.
“Texans are rightfully concerned about developments like EPIC City—foreign-backed, ideologically driven, and structured to bypass our laws and values,” Leach said following the bill’s passage.
Legal Team Pushes Back
Dan Cogdell, a prominent attorney representing EPIC City and a past defender of Paxton in his impeachment trial, has vigorously defended the development. In an April press conference, Cogdell accused state leaders of spreading misinformation for political gain.
“It’s nonsense,” Cogdell said. “I am ashamed of the falsehoods that Abbott’s office has been putting out. This is hate speech, plain and simple.”
EPIC City’s developers have consistently denied any intent to discriminate or restrict ownership based on religion or background. They argue the project is meant to foster community among like-minded residents while remaining fully compliant with state and federal housing laws.
Unanswered Questions and Unfinished Business
While the DOJ’s decision to close its investigation marks a legal victory for EPIC City’s backers, the future of the development remains uncertain. Governor Abbott has not lifted the construction freeze he announced earlier this year, and Paxton’s office has not clarified the status of its ongoing probe.
