Former World Series star pitcher Curt Schilling for the Boston Red Sox and others has just had his video game company going belly-up, leaving the taxpayers of Rhode Island to foot the bill after luring the company there from Massachusetts in 2010. It's unclear how Schilling managed to get tiny Rhode Island to agree to this scheme, though a poor economy there and his own political connections may have had a lot to do with this mess. Many of the officials responsible for the decision in Rhode Island have since resigned. The FBI are now looking into possible criminal wrongdoing.

Newsclip by WHDH, Boston.

(Associated Press) PROVIDENCE, R.I. — The federal and state probes into former Red Sox pitcher Curt Schilling’s video gaming company, which filed for bankruptcy protection this week, extend to all the firm’s financial transactions, the head of the Rhode Island state police said Friday. Col. Steven O’Donnell said state police, the state attorney general, the U.S. attorney in Rhode Island and the FBI are conducting the investigation into 38 Studios. He didn’t elaborate. The U.S. attorney’s office confirmed the investigation but would not provide details. The Providence-based company, along with a sister operation in Baltimore, filed for bankruptcy Thursday in Delaware. The parent firm owes US$150.7-million and listed its assets at US$21.7-million, according to court filings. 38 Studios Baltimore owes more than US$121.4-million and has assets of more than US$335,000, the filings show. In both filings, the company lists its biggest liability as US$115.9-million in debt from bonds backed by the state, interest on the bonds and fees to Rhode Island.

Schilling, as majority owner of 38 Studios stands to lose everything he ever made in baseball, and is rightly getting excoriated in the New England media.