The State of Texas has obtained a $66 million settlement with the owners of a home division not far from Cleveland, Texas, called Colony Ridge that the Attorney General has accused of using a deceptive lending scheme targeting Latinos that makes the development in fact an illegal immigrant community.
The AG's office contended that people were allowed to purchase the land but weren't even required to present an ID card for proof of citizenship.
Attorney General Ken Paxton said Tuesday that his office worked with the US Department of Justice in winning the settlement, money that will in part be allocated to law enforcement efforts.
“Under my watch, Texas will never be a sanctuary for illegals. Colony Ridge endangered American citizens by allowing illegal aliens to run rampant on its streets, in its schools, and in its community," he said.
Paxton's office argued that the developers sold land to illegal immigrants, which led to a series of subdivisions north of Houston that were crime infested and dangerous.
There were also allegations that the development was under the control of Central American drug cartels.
Settlement money for law enforcement is intended to be used to help rid the subdivisions of rampant crime.
In addition to paying tens of millions of dollars, the agreement effectively halts the development of a de facto illegal immigrant community.
"Now, it’s time for those responsible to pay a steep cost for their unlawful actions,” said Attorney General Paxton. “My office will continue to bring the full force of the law against anyone who threatens the safety of our state or creates a safe harbor for illegals.”
In a news release, the AG's office said, "addition to the tens of millions in payments, the settlement immediately freezes any new platting of residential lots for direct-to-consumer sales for a 36-month period. In addition, sales to individuals from certain designated countries such as China and Iran are prohibited. The settlement also requires heightened underwriting standards and institutes new identification requirements for future buyers to ensure Colony Ridge never again is a haven for illegals."