38 Studios declares bankruptcy, state and fed authorities investigate
- Posted June 7th, 2012 at 16:32 EDT by Adam Dolge
- 2 Comments
The $75 million tax-payer backed loan to 38 Studios and the $8.5 million from Bank Rhode Island are a part of the investigation by state police, attorney general’s office, the FBI, and the U.S. Attorney’s office. 38 Studios has declared Chapter 7 bankruptcy and the investigation into the studio behind Kingdoms of Amalur: Reckoning is now being investigated by state and federal authorities into its handling of finances, according to a report in the Providence Journal.
In a statement about Curt Schilling’s game company, 38 studios told The Journal: “This action comes after several weeks when the company has reviewed, considered and received the recommendations and advice with respect to potential avenues for relief that are currently available. After ongoing negotiations with the State of Rhode Island and potential investors and other interested parties, the Company has been unable to find a solution to the current stalemate."
What do you think about the problems at 38 Studios and the tax payer loan?
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DrinkDayNnight
- 6:10pm EDT - June 7th, 2012
- 1
Mistake 1: 38 studios putting all of their eggs into one, previously name-unestablished RGP.Mistake 2: Rhode Island loaning a start-up video game company its seed capital.
Stupidity leads to sorrow.Who cares, companies like this come and go. Too many good games coming out to give as $hit. -
TheTenth666
- 10:13am EDT - June 8th, 2012
- 2
Kingdoms of Amalur was a game I really loved, hope the guys there find a good way out of it and do more good games (and don't end in prison)
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