The Broke and the Beautiful: Soundelux Edition

This week on The Broke and the Beautiful, Soundelux entered bankruptcy protection, and four 38 Studios executives want to keep some documents out of public view. Also, Girls Gone Wild founder Joe Francis got arrested.

What do “Game of Thrones,” “Muppets Most Wanted” and “It’s Always Sunny in Philadelphia” have in common? Postproduction sound company Todd-Soundelux LLC, which filed for bankruptcy protection this week. According to Bankruptcy Beat, the company, which works on on movies and TV shows, is looking for immediate access to money it needs to stay afloat.

Court papers filed by Chairman David F. Alfonso say that if the company doesn’t get money soon, it could “deprive the debtor of its ability to successfully reorganize its financial affairs.” The company filed for Chapter 11 protection after closing two of its three facilities. As of its bankruptcy filing, Soundelux has assets and debts each between $1 million and $10 million.

A couple of weeks ago, two Rhode Island legislators investigating 38 Studios received threatening letters. Now, four top executives of the defunct videogame company are looking to keep more than a half-million documents sealed. The Providence Journal reported that founder Curt Schilling—along with the company’s ex-chief executive, ex-chief financial officer and board director—say officials for the state of Rhode Island haven’t been open about the documents they have.

Lawyers for the executives noted some of the documents, which they say could include normally private communications, could be used by the state to win a lawsuit looking to claw back money on a defaulted $75 million loan guarantee. Jeoffrey Burtch, the trustee overseeing 38 Studios’ bankruptcy case, balked at those assertions, saying the executives’ case has “fatal flaws” and doesn’t identify specific papers that are subject to attorney-client privilege.

Joe Francis might be gearing up to be a father to twin girls, but that doesn’t mean he’s staying out of trouble. According to the Los Angeles Times, the Girls Gone Wild founder took a turn in the slammer last weekend. Police, who are investigating whether Mr. Francis violated a restraining order when entering the Girls Gone Wild offices, said he was arrested for misdemeanor assault after being involved in “pushing and shoving.”

Write to Melanie Cohen at [email protected]. Follow her on Twitter at @MelanieLisa.