The unfortunate saga continues and things aren't getting any better. Just worse.

According to The Providence Journal , 38 Studios management knew their funds would dry up even before moving the company from Massachusetts to Rhode Island.

Rhode Island Economic Development Corp. lawyer Max Wistow claims there is "crushing evidence" that shows that founder and former Red Sox ace Curt Schilling and other 38 Studios executives purposely hid that information. Now, the state of RI is saying the currently bankrupt developer relied on "speculative financial projections" for the sake of daily operation. Rhode Island has sued Schilling and other high-placed 38 Studios officials over the $75 million loan the state paid out to the Kingdoms of Amalur developer.

The state keeps saying everyone in question knew the company was in trouble, or at least that they should've known, and they failed to inform the EDC Board. That complaint includes 17 counts of alleged wrongdoing; the state is claiming fraud, unjust enrichment, civil conspiracy, breach of implied covenant of good faith, negligence, legal malpractice, and breach of fiduciary duty. …yeah, it's just a mess.