Details related to 2012’s 38 Studios controversial shutdown were released this past week on Thursday. These documents, numbered in the thousands, explain the events that lead up to, during and after the 75 million dollar deal that ultimately ended the company.
Back in 2010, 38 Studios, owned by ex-pro baseball player, Curt Schilling, was offered a substantial loan of 75 million dollars by the Rhode Island Economic Development Corporation to move operations to the tiny state in hopes of creating jobs for their citizens. The developer promised 450 jobs by the end of 2012.
Unfortunately, after the release of the highly praised Kingdoms of Amalur: Reckoning in February of 2012, 38 Studios defaulted on the loan, unable to keep up with the payments, and the company was shut down while Curt Schilling was sued by the Rhode Island government as a result.
The documents released on Thursday revealed many troubling facts, including the involvement of Gordon Fox, a former house speaker who is currently serving time in prison for unrelated charges, who met with Schilling at least one year before the actual deal occurred, and a lawyer named Michael Corso who made two million dollars off of the deal for his “help” with bringing in the finance. One of his main “helpful” contributions was getting the requirement for 38 Studios’ shareholders to show guarantee that the company was in a position to repay the loan dropped. 38 Studios was allegedly months from bankruptcy when the deal happened.
While the entire story has yet to unfold, it’s shaping up to be one of the darkest deals in gaming history.