Oversight Project Releases Report on EPIC City, Texas and the Islamification of the U.S.

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Oversight Project Releases Report on EPIC City, Texas and the Islamification of the U.S.

FOR IMMEDIATE RELEASE

April 30, 2026

Washington, D.C.– Today, the Oversight Project released a report on its investigation into EPIC City, a proposed Muslim-only Sharia compliant community outside of Josephine, Texas. The East Plano Islamic Center is a nonprofit mosque that created multiple for profit entities that exist solely to serve the interest of the nonprofit. The Oversight Project’s investigation and analysis found that these practices could likely serve as grounds for the revocation of the mosque’s nonprofit status. 

The Meadow is a proposed 400-plus-acre development spearheaded by EPIC that will include residential housing, a mega-Mosque, schools, and commercial businesses. The sale of lots for building houses are donated to EPIC “to further the objectives of the Masjid.” 

Our investigation found that the EPIC City developers raised $40 million in capital by exclusively marketing and likely the exclusive sale of plots of land in the community to Muslims. We found the Texas Workforce Commission, the state entity charged with enforcing fair housing laws, received a detailed complaint alleging serious violations of federal and state law associated with the development. We also found that the Workforce Commission’s investigation failed to adequately investigate the complaint and the settlement agreement to close the investigation failed to hold EPIC City accountable for multiple alleged violations of law.

Texas Attorney General Ken Paxton has filed two lawsuits on the project. A recent ruling by a Collin County judge in Texas has all but halted construction of the project until at least November. The Oversight Project applauds Attorney General Paxton’s legal victories to at least delay and potentially stop the project. 

Oversight Project General Counsel Kyle Brosnan gave this statement:

“America has seen the significant damage that Sharia compliant enclaves have brought to American communities. EPIC City should have been stopped in its tracks more than a year ago. Our report identifies significant issues with the state’s investigation and found additional likely violations of state and federal law with the project. We appreciate the work of Attorney General Paxton and Congressman Self to halt this project and call on the IRS to initiate an investigation into potential violations of EPIC’s nonprofit status.” 

Rep. Keith Self (R-TX-03) gave this statement:

“The Oversight Project’s bombshell report indicates that the East Plano Islamic Center (EPIC) is violating federal tax law, civil rights law, securities law, and housing law. If true, EPIC should have their 501(c)(3) tax-exempt status revoked,” said Congressman Keith Self. “In addition to the ongoing Housing and Urban Development (HUD) investigation, I am calling on the Internal Revenue Service (IRS) and Department of Justice (DOJ) to launch additional probes into EPIC and its affiliates for violating federal law. The rule of law must be upheld.”

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Key Findings from the report: 

  • Exclusive Marketing and Apparent Sale of Plots to Muslims: The Oversight Project posed as a potential investor interested in purchasing a share of property in EPIC City.  Marketing materials received through that outreach show EPIC City and CCP sold nearly 500 lots in EPIC City, generating approximately $40 million in capital.  Other records show that during the relevant time period, EPIC exclusively marketed the development to Muslims.  Thus, it is highly plausible that EPIC raised $40 million in capital by selling plots of land exclusively to MuslimThe TWC Failed to Thoroughly Investigate Serious Allegations About Unlawful Activity by EPIC City Developers: The TWC investigation failed to address the most significant allegations contained in the Complaint it received on EPIC City.  The TWC received responses to subpoenas that could not possibly be true.  It is unclear whether TWC conducted any follow-up to those responses.       
  • The Settlement Agreement Between the TWC and EPIC City Developers is Deeply Flawed: The settlement agreement includes no admission of any wrongdoing by EPIC City developers and forecloses the TWC’s ability to bring any further actions on this matter in the future.  It put a far-left law firm in charge of conducting trainings and performing other tasks outlined in the agreement.  The settlement imposes only forward-looking reporting and other requirements on the EPIC City developers.  This is after it raised $40 million in capital by marketing the property exclusively to Muslims.  
  • Oversight Project Legal Analysis Identifies Likely Violations of EPIC’s 501(c)(3) Tax Exempt Status: Assuming the allegations about the structure and relationship between EPIC and the for-profit ERP and CCP are true, the mosque is in apparent violation of the requirements for its federal income tax-exemption under section 501(c)(3) of the Internal Revenue Code. 
  • Legal Measures by the Texas Attorney General’s Office Have Successfully Delayed the Progression of Construction: Texas Attorney General Ken Paxton has filed two lawsuits aimed at stopping the project.  The first lawsuit alleges violations of Texas securities laws over how the developer sold shares in EPIC City.  The second lawsuit sought to halt construction of the community because the builders allegedly violated Texas environmental laws.  On March 19 and March 30, 2026, Attorney General Paxton secured key legal victories that could potentially spell the end for EPIC City.

Federal Investigations are Continuing: The Federal Department of Housing and Urban Development (“HUD”) has announced that it has launched an investigation into EPIC City for potential violations of the Fair Housing Act.

Read the exclusive story from the Daily Signal: https://www.dailysignal.com/2026/04/30/rep-keith-self-urges-federal-probes-into-texas-muslim-development-after-watchdog-report/

One Pager: https://static.itsyourgov.org/OP_EPIC_City_Investigation_One_Pager.pdf

One Pager on Tax Exemption Status: https://static.itsyourgov.org/OnePager_EPIC_501(c)(3)Status.pdf

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