38 Studios defaults on RI again; Chafee wants a forensic audit
May 25th, 2012 at 7:41 pm by Ted Nesi under Nesi's Notes
By Ted Nesi
PROVIDENCE, R.I. (WPRI) – 38 Studios defaulted on its agreement with Rhode Island for a second time this week when it laid off its entire work force without notifying the state government, Governor Chafee said Friday.
• Related: Ted Nesi talks 38 Studios on public radio’s “Marketplace” (May 25)
Tags: 38 studios
Nesi's Notes covers politics and the economy in and around Rhode Island for WPRI.com. (Twitter: 
It is over for Rhode Island economically. The issue is what are the consequences of the EDC towards how Rhode Island and it people are percieved by the business community. As more and more of these reports come out Rhode Island is being perceived as the third world. I don’t know if the majority of Rhode Islanders know that this fiasco, is known all over the world in the business community. I have complained for a very long time Rhode Island is the third world of the United States and the people are buffoons. No ethical business people will even consider setting any type of business operations in Rhode Island. Who would hire such inept people, or with so little insight and lack of ethics?
What Rhode Island needs is a turnover in the General ASSembly and the State Senate. I also know this will not happen, the people of Rhode Island are addicted to government money. Go back to the above question is the problem, no ethics, inept people, poor judgment and limited insight. Since the above won’t happen lets see if the elected officals of Rhode Island can grasp the concept, when taxes and regulations are antibusiness, high quality businesses don’t want to set up operations in your jurisdiction. What elected officals need to do because the new fiscal year is cur spending, that means when all these over generous public sector employee contracts expire, make these contract realistic no more giving away the store, that also includes the education budget. Start by allocating a set dollar amount of the education to every child and allow parents to choose what schools their kids go to, then start reducing the amount of public school teachers. Reduce the abuse and fraud of the social services, fire social workers, stop being the parasite magnet for every welfare case in the country. Elminate all stupid filing fees for business, for example every business in Rhode Island are extorted $500 just to operate a business in Rhode Island. Elminate the car tax another extortion. There are so many other regulations that have to be removed. Zoning boards and zoning laws are another form of extortion.
While you are at it Mr Chafee, could you also investigate how a poorly conceived East Bay Energy Consortium got $500K in grant money from the EDC that the EBEC then burned through paying lawyers and PR people.
$500K later, we are no closer to understanding how this taxpayer funded boondoggle will actually generate revenue for taxpayers. What we do understand is how well connected ex Studio 38 bond attorneys and PR people will derive revenue, but not how the taxpayers of RI will derive revenue.