PROVIDENCE, R.I. (AP) - Wells Fargo Securities is seeking to halt a lawsuit filed by the Rhode Island Commerce Corp. accusing it of withholding crucial information in the state’s $75 million deal with 38 Studios, the failed video game company started by former Red Sox pitcher Curt Schilling.
The Providence Journal reports (https://bit.ly/1NQ4HZo) Wells Fargo is arguing the case should be stayed pending a federal lawsuit accusing both the Commerce Corp. and Wells Fargo with defrauding investors in the deal.
Wells Fargo says allowing the federal case to proceed alone will prevent overlapping and contradictory legal conclusions on complex issues in different courts. Max Wistow, the lawyer for Commerce Corp., says they’ll oppose the motion.
The U.S. Securities and Exchange Commission filed a civil complaint in March against the Commerce Corp. and Wells Fargo.
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