German development studio Westka Interactive has gone under, with the remaining 44 employees at the company being laid off as of yesterday, Monday September 30th.
The company was forced to file for insolvency at the end of July after funding for the studio's largest game in development, The Y-Project, could not be secured despite a letter of intent from a major publisher.
Although restructuring measures were attempted and an agreement was signed with another publisher, it proved impossible to ensure sustained funding of the company, forcing the studio to shut its doors this week.
German TV production company Brainpool TV AG has owned a 60 per cent majority stake in the developer since September 2000.
