RI Hires Firm To Investigate Liability Of Schilling’s Video Game Company
PROVIDENCE, R.I. (CBS/AP) – Rhode Island Gov. Lincoln Chafee has announced the hiring of a law firm to investigate whether there is any third-party liability after the collapse of former Red Sox pitcher Curt Schilling‘s video gaming company.
The Providence law firm Wistow and Barylick is expected to review documents related to the state’s $75 million loan guarantee to Schilling’s 38 Studios and work with auditors reviewing its finances.
“We are going to start going over all of documents that exist that are in any way relative, related, or pertinent to the bond issue and what happened to the proceeds after it. We are going to interview people who are willing to talk to us,” said special counsel Max Wistow.
Chafee says he wants to determine whether the state could recover money from other groups or individuals involved in the deal.
Officials admit they may not be able to recover anything, but they say they must first gather the facts, and see where they can go from there.
38 Studios declared bankruptcy on June 7.
(TM and © Copyright 2012 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2012 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)