Former official says 38 Studios forced into bankruptcy

| October 4, 2013
Former official says 38 Studios forced into bankruptcy

According to the former head of Rhode Island’s Economic Development Corporation, Keith Stokes, 38 Studios was forced into bankruptcy at the hands of Lincoln Chafee, who is the Rhode Island governor Lincoln Chafee.

Court filings obtained by the Boston Globe, Keith claimed that Chafee impeded the game studios efforts to restructure its debt, or raise additional capital to keep the company going in late 2011 and early 2012. Files also claim that he refused to meet with 38 studios executives in 2011.

The studio behind Kingdoms of Amalur went bankrupt last year, and has left Rhode Island with an estimated $75 million loan to pay back.

A 38 Studios liquidation auction will take place next month, and will feature several intellectual property assets in the Amalur fantasy universe. These include the massively multiplayer game Project Copernicus, sequel rights to Kingdoms of Amalur: Reckoning, merchandise rights and revenue streams associated with the Xbox 360, PlayStation 3, and PC versions of Kingdoms of Amalur: Reckoning.


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