It looks like the financial problems of game developer Cheyenne Mountain Entertainment have finally caught up with it. The team behind the upcoming MMO Stargate Worlds and the just released third person multiplayer shooter Stargate Resistance have now filed for Chapter 11 bankruptcy. That means the company can now restructure its various debts with the hope of coming out of bankruptcy (with court approval). Cheyenne Mountain has also announced on its site that they have distanced themselves from now now former CEO Gary Whiting "alleging various wrong doing against the Company"

So what does this mean for future updates to Stargate Resistance? According to an official statement posted on the game's message boards, "....our entire staff is in-house working on upgrades and expansions for Stargate Resistance, and we continue to be motivated and excited by the response we've received from our customers." In the meantime the statement seems to reflect a hope that this is just a bump in the road rather than the end of it, saying. "This will all be sorted out in the legal and proper manner, and all of us on the development side of things hope it's done as quickly as possible."

[Via Massively]