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E seems more clear!

A. who have no high school diploma but who have families with a record of crime (Sentence coordination issue - required “and whose”)
B. without a high school diploma and families having a criminal record (Parallel construction issue )
C. without a high school diploma whose families have a record of crime ( Sentence construction)
D. whose families have criminal records and lacking high school diplomas ( lacking high school diploma is modifying the families)
E. lacking high school diplomas and also having families having criminal records (parallel – hold it)

Answer: E



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