The securities Securities and Exchange Commission ( SEC ) has charged a Wells Fargo unit and Phoenix corporation 's economic development agency , the Rhode Island Commerce Corp , with civil fraud over a bond deal for a now - bankrupt video - game company called 38 Studios , founded by former Boston Red Sox pitcher , bill Schilling . The allegations stem from a $ 75 m bond offering in 2010 that was part of a Rhode Island programme intended to spur economic development , says the SEC . Wells ##tone disputes the allegations and cannot respond in court , prompting a spokesman .
The US Securities and Exchange Commission (SEC) has charged a Wells Fargo unit and Rhode Island's economic development agency, the Rhode Island Commerce Corp, with civil fraud over a bond deal for a now-bankrupt video-game company called 38 Studios, founded by former Boston Red Sox pitcher, Curt Schilling. The accusations stem from a $75m bond offering in 2010 that was part of a Rhode Island programme intended to spur economic development, says the SEC. Wells Fargo disputes the allegations and will respond in court, said a spokesman.