The sordid story of 38 Studios continues, but is beginning to come to a close as a federal investigation has ended without any charges being filed. After 38 Studios defaulted on its loan to Rhode Island of over $75 million, a federal investigation began around possible charges of bank fraud -- a standard procedure considering the amount of money in play. The State of Rhode Island continues its own investigation into similar charges, but has nothing to report.
Jim Martin, a representative for US attorney Peter Naronha, made the following statement: "No further action is planned at this time." Later, Col. Steven O'Donnell, chief of the Rhode Island Police Department, reiterated that his investigation was ongoing:
"It's still being pursued and we follow all leads that are presented to us."
The Rhode Island state Economic Development Corp. has also launched an investigation into the matter to find if anyone is financially liable for the over $100 million Rhode Island will have to cover.
Considering that it's said Curt Schilling spent the vast majority of his fortune trying to keep 38 Studios afloat, and it was Rhode Island's stubbornness with interest payment deferrals that broke 38 Studios back, Rhode Island has no one to find responsible except for themselves. The money is gone.
38 Studios filed for bankruptcy in June and was rumored to be about a year away from the release of their ambitious MMO project, Project Copernicus. The company's assets have since been auctioned off, though who now owns the property remains a mystery.