Texas AG Sues EPIC City Developers Over Land Scheme
- Texas Attorney General Ken Paxton is suing EPIC City, a real estate development project in Plano, Texas, alleging fraud.
- * Misleading Investors: The lawsuit claims EPIC City misrepresented itself to investors, initially promoting itself as a general development but later heavily marketing itself to Muslim buyers as...
- * The texas Securities Commissioner referred the case to Paxton's office after identifying "flagrant" violations.
Here’s a summary of the Fox News article:
Texas Attorney General Ken Paxton is suing EPIC City, a real estate development project in Plano, Texas, alleging fraud.
Key Allegations:
* Misleading Investors: The lawsuit claims EPIC City misrepresented itself to investors, initially promoting itself as a general development but later heavily marketing itself to Muslim buyers as an “epicenter of Islam in North America.”
* Financial Mismanagement: Over $1 million in investor funds were allegedly used for general operating expenses, exceeding what was disclosed.
* CEO Compensation: CEO Imran Chaudhary allegedly promised to work without a salary but later received $360,000 annually through a separate company, a fact not revealed to investors.
* Unregistered Securities: EPIC entities are accused of selling securities without proper registration or exemptions.
background:
* The texas Securities Commissioner referred the case to Paxton’s office after identifying “flagrant” violations.
* Paxton began investigating in March and sought the referral in October after uncovering further concerns.
The article also briefly mentions a separate ruling where a federal judge deemed a Texas law requiring the display of the Ten Commandments in classrooms unconstitutional.