Providence, R.I. – Former Red Sox star pitcher Curt Schilling, whose 38 Studios video game company in Providence is on the brink of collapse, in February used 3,200 gold coins, worth about $5 million, as collateral for a loan from Bank Rhode Island in Providence, the Boston Globe reported.
Financial documents reviewed by the newspaper do not specify the size of the bank loan or how the funds would be used.
The only debtor listed on the forms is Schilling, not 38 Studios, according to the report.
In an interview with the Providence Journal this week, Schilling said his investment in 38 Studios totaled $50 million, including $12 million in loans that he personally guaranteed. 38 Studios, which recently released its first game, laid off about 400 workers on May 24 after the company was unable to make payroll or receive additional aid from the state of Rhode Island, which has provided $49 million in loan guarantees.
This article was also published in New England Tech Wire.
Boston.com – Curt Schilling put up $5m in gold as collateral for loan
Forbes – Schilling’s Gold Coins, Tax Credits and Dr. Lehman
Associated Press – Curt Schilling put up $5 million in gold as loan collateral