Providence-based Citizens Bank is suing 38 Studios co-founder and former Major League Baseball pitcher Curt Schilling to the tune of $2.4 million in an attempt to recoup some or all of the loan it made to the now-bankrupt company.
News of the lawsuit emerges just one day after several subpoenas were issued in the attempt to track the money trail from the state’s $75 million load to the company and another loan of $8.5 million from Bank Rhode Island.
According to records, Schilling and 38 Studios secured a $2 million letter of credit from the bank and opened up a $350,000 corporate credit card account, to which $373,596 have been applied. The bank later allegedly received the following assurance:
“Schilling absolutely and unconditionally guaranteed to the bank the payment and performance of all indebtedness, obligations and liabilities of 38 Studios to the bank, then existing or thereafter arising.”
There’s no response from 38 Studios spokespeople or Curt Schilling directly, but it seems more and more likely that the final post-mortem on 38 Studios will be written in a courtroom, not a virtual world.