From the developing story:
Curt Schilling's 38 Studios laid off all of their employees today, a source familiar with the company tells Polygon.
The studio's financial turmoil first came to light earlier this month when they first missed and then later made a $1.125 million check to the state of Rhode Island.
Earlier this week Rhode Island governor Lincoln Chafee told reporters that they state's Economic Development Corporation had met with the studio to discuss payroll issues and layoffs.
edit: Sorry, I guess that would be "according to Polygon" if they ever get a website. ;)