38 Studios founder Curt Schilling is facing a fraud lawsuit over $75 million in loans from the State of Rhode Island. In an attempt to cool the issue, Schilling has filed for the presiding judge to throw out the case.
Massively reports that Schilling has called the fraud claims “implausible”, and is taking the State of Rhode Island to task by filing papers to Superior Court Judge Michael Silverstein.
The documents are the first step to having the case – which covers claims of fraud, racketeering and conspiracy – thrown out entirely.
After 38 Studios filed for bankruptcy in June, the state’s Economic Development Corporation then sued Schilling in November, over claims he withheld information regarding the company’s income, and profit needed to complete its project Kingdoms of Amalur: Reckoning.
In short, the claim is that Schilling hid the true status of the company’s financial standing when it applied for loans from the State.
Earlier this year Schilling began selling off his personal goods to alleviate the significant debt.
What do you think? Is Schilling right, or should the debt stand?