State Police and Attorney General Peter Kilmartin will pursue no criminal charges after a years-long investigation into 38 Studios, the company that won a $75 million public subsidy to move to Rhode Island, then went bankrupt, leaving taxpayers on the hook.

In announcing results of the investigation, State  Police Col. Steven O’Donnell said a bad business deal doesn’t necessarily provide grounds for a criminal indictment.

While the deal to award a $75 million taxpayer-backed loan to the video game developer run by retired Red Sox pitching star Curt Schilling was less than transparent, O’Donnell said the state’s poor economy contributed to the company’s collapse.

In the end, there was no probable cause to pursue criminal charges, O’Donnell said.

State Attorney General Peter Kilmartin acknowledged that Rhode Islanders are frustrated over 38 Studios, but said the lack of criminal charges would not impact a civil case the state has been pursuing.  “We didn’t have even have enough evidence or probable cause to make a recommendation to the grand jury at this stage,” he said.

The state is suing several parties involved in the deal, including executives from 38 Studios and several banks, alleging that they misled state officials who approved the loan. The state has recovered more than $10 million so far.