Likely Story, Merced Media Partners, Palmstar Media Capital and Hyde Park International announced the casting news Thursday.
Nicole Holofcener penned the screenplay, based on Laura Lippman's 2004 novel.
"The story follows two 11-year-old girls who are convicted of murdering a baby and are incarcerated until they turn 18," a synopsis said. "Upon their release, children start to go missing; as the police turn their attention to the duo, the mystery surrounding the original murder comes back to light."
Fanning and Macdonald will play the accused killers, while Lane will play the mother of one of the girls, a woman who has long known her daughter is a gifted liar. Banks will play the lead police officer, who finds herself emotionally involved in the case, the synopsis said.