Games development is a costly business to be a part of. It's a lesson that Curt Schilling, former MLB pitcher, had to learn the hard way.
When Kingdoms of Amalur: Reckoning finally launched in February last year, the bubble popped. Despite generally positive reviews, the game failed to gain traction in sales. Schilling was unable to repay the debts that 38 Studios (Amalur's developer) owed, and the studio eventually went under. Rhode Island seized up 38 Studio's assets, hoping to earn back some of the money lost.
Unfortunately, it doesn't look like Amalur is getting them too far down that route. The state has only received about $713,000 in sales from the game, a far shot from the millions it was owed. The only other funds that it has managed to raise has been from selling $430,000 in 38 Studio's remaining assets, which included office furniture.