PS3 News: 38 Studios Drama Continues, SEC Now Investigating Loan - PS3 News

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38 Studios Drama Continues, SEC Now Investigating Loan

Given the situation, one had to assume that such unfortunate drama would stick around for a good long while.

The 38 Studios fallout continues: According to a new WPRI report, the U.S. Securities and Exchange Commission is now investigating the $75 million loan the state of Rhode Island gave to the Kingdoms of Amalur: Reckoning developer. The loan, backed by taxpayers, has been the subject of much controversy since Curt Schilling's company hit the skids.

The SEC and EDC have not commented further on the investigation, but EDC spokesperson Melissa Czerwein told WPRI that lawyers have been retained to deal with the SEC inquiry. Currently, they won't "discuss ongoing matters related to 38 Studios" due to a certain "level of confidentiality as requested by the SEC." Rhode Island Governor Lincoln Chafee said the State has a "moral obligation" to pay back the loan, so the taxpayers are doing just that.

As you might expect, there are a whole lot of annoyed parties involved, and this won't go away quietly or easily.

Tags: 38 studios, sec, securities and exchange commission, kingdoms of amalur reckoning

9/11/2013 9:02:32 PM John Shepard

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Legacy Comment System (8 posts)

Wednesday, September 11, 2013 @ 9:38:04 PM

With all the negative news surrounding this company, it really feels like they're kicking a dead horse. But then again if i was out 75 million i'd want my money back too.

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Wednesday, September 11, 2013 @ 10:05:44 PM

Shocking I know, but you have to pay your bills even when things don't turn out the way you had hoped.

If I was EA I would ride this madness by announcing Kingdoms 2 and putting a crack team on it.

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Thursday, September 12, 2013 @ 2:01:52 AM

They should make Kingdoms of Amular multiplayer. I had so much fun with this game.

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Thursday, September 12, 2013 @ 4:56:13 AM

man this is drama not the sort u'd expect from a games studio but wat the hey it happened. it needs to be sorted out.

happy gaming =)

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PSN French
Thursday, September 12, 2013 @ 6:08:07 AM

Why is government investing in business to begin with? I pray for my country, we are full of idiots who think government's role should not be regulated.

If my company put out 75 million for this company (even though I don't have that overhead), nobody would bat an eye at my life being destroyed from my bad decision. Who cares? Money bad invested, move on.

Lastly, this would have gone away quietly if it wasn't idiot politicians spending tax dollars.

Last edited by PSN French on 9/12/2013 6:11:48 AM

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SirLoin of Beef
Thursday, September 12, 2013 @ 11:56:54 AM

They did it to get 38 Studios to move to the state, if I remember correctly.

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Thursday, September 12, 2013 @ 4:28:38 PM

Here's to hoping that Curt Schilling will be stamping out license plates in the very near future, and for a very long time.

He deserves it for abandoning ship instead of going down with it like he should have when his investment went bad.

Instead of owning up to his mistakes and helping his employees out, he just left the entire group of people at 38 Studios high and dry without a job, and stuck with two mortgages to pay off from having to move to Rhode Island to work there.

What did Curt get stuck with?

Nothing, as far as I have been able to tell, except winding up with a cushy job at ESPN.

What a low-life jackass.

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Thursday, September 12, 2013 @ 4:46:24 PM

He got in broke and in debt, that should be enough.

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