Lawmaker wants answers about 38 Studios deal
CRANSTON, R.I. —
A state lawmaker on Friday called for an investigation into the failed 38 Studios video game company.
The Rhode Island General Assembly voted to make an initial $2.5 million bond payment to bond holders.
With the promise of a pot of gold at the end of the video game rainbow, former Gov. Don Carcieri, House Speaker Gordon Fox and others appear to have sold the General Assembly a bogus deal.
38 Studios, owned by former baseball great Curt Schilling went under, and Rhode Island was left with a $110 million bill.
To this day, no one still knows exactly how Schilling got Rhode Island to guarantee a $75 million bond issue.
"There absolutely should be an investigation," state Rep. Joe Trillo said during a taping of "10 News Conference."
But the Warwick Republican added, "There won't be one as long as we're relying on doing it internally."
Trillo said the only way to get an independent investigation is to default on paying off the bonds, forcing the insurance companies for the bonds to pay and then go after the state to find out how the 38 Studios deal went down.
"If we don't let that happen and let the insurance companies come after the state, I don't think we're ever going to get to the bottom, and I want to know the bottom because I've been lied to on the House floor," Trillo said.
Trillo said in his opinion, Fox misled lawmakers when he asked them to vote for an economic development bill that was actually a bill to only help Schilling and his 38 Studios company.