PROVIDENCE, R.I. (AP) — Rhode Island has shelled out the first appropriated funds for its failed 38 Studios investment, but the debate over whether to default on the rest will soon heat up in the General Assembly.

The state sent the bond trustee $2.4 million for an interest-only payment due Thursday. Lawmakers reluctantly approved the funds last session but need to decide whether to approve the next $12.5 million payment.

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