PROVIDENCE, R.I. – Rhode Island's economic development agency says it has settled a lawsuit brought against it by the U.S. Securities and Exchange Commission over the state's failed $75 million deal with former Boston Red Sox pitcher Curt Schilling's videogame company.
The Rhode Island Commerce Corporation said Wednesday it agreed to pay $50,000 and not violate the law it was accused of violating.
The lawsuit accused the agency and Wells Fargo of making misleading statements about bonds used to fund the deal. The agency hasn't admitted or denied the allegations. A Wells Fargo spokesman hasn't responded to a phone call seeking comment.
If approved in U.S. District Court the settlement would mark the end of the state's pending litigation related to 38 Studios.
Schilling's company moved from Massachusetts in 2010 in exchange for a $75 million loan guarantee, then went bankrupt.