2nd company having trouble with Rhode Island loan guarantee program that backed 38 Studios

Associated Press

A second company is having trouble after receiving millions of dollars under the same state loan guarantee program used by the now-bankrupt 38 Studios.

WPRI-TV (http://bit.ly/1woU6VS ) reports that the quasi-public agency that oversees the loan program, Commerce RI, alerted the governor's office last month that there was not enough money to pay back $2.25 million remaining on the $3.7 million loan received by North Kingstown-based The Corporate Marketplace in 2011.

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The same program was used to get a $75 million loan in 2010 by 38 Studios, the video game company of former Red Sox pitcher Curt Schilling. That company famously went bust, leaving taxpayers on the hook for tens of millions of dollars.

Corporate Marketplace CEO Chris Crawford told WPRI the company had trouble last spring after losing two major clients, but things are now betterand it remains profitable. He said he does not believe taxpayers will have to pay anything toward the loan.

Commerce RI spokeswoman Melissa Czerwein said it's working with the company and the bank to restructure the debt.

Joy Fox, a spokeswoman for Gov. Gina Raimondo, said it's too early to know whether taxpayers will have to pay anything on the loan.

The loan guarantee program has since been discontinued.