walking dead
ATA

The offices of Starbreeze, the developers behind poorly-received shooter “Overkill’s The Walking Dead,” were raided Wednesday in Stockholm by the Swedish Economic Crime Authority which is investigating the company for insider trading, according to Dagens Industri.

Swedish Economic Crime Authority spokesperson Niklas Ahlgren confirmed to Varietythat the group is investigating Starbreeze for possible insider trading and conducted a raid on the business Wednesday.

The raid occurred Wednesday morning, with authorities arresting one on suspicion of insider trading and seizing a number of items including a computer. DI reports that the Wednesday office raid was one of several conducted by the group as part of the insider trading investigation into Starbreeze.

According to the publication, the outgoing finance manager and outgoing CEO both sold their entire stake in the company in November. Since those sales, the stock price for the company dropped about 80 percent as the company struggles with the lackluster response to “Overkill’s The Walking Dead.”

The raid occurs just days after Starbreeze filed for reconstruction due to a “shortage of liquidity.”

Starbreeze Publishing, Starbreeze Production, Starbreeze Studios, Enterspace, and Enterspace International are the company’s Swedish subsidiaries which also filed for reconstruction with the Stockholm District Court in a move that was “deemed to be a necessary step to give the Company the time needed to negotiate a long-term financial solution and implement changes in the organization and operations.”

Along with the reconstruction, the departure of two key individuals was announced. Bo Andersson, CEO, will resign from his position and the Board of Directors. Kristofer Arwin also resigned from the Board, both departures are effective immediately. Other changes to management or the Board will not occur as a part of the reconstruction, according to the news release.

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