GamesIndustry.biz reports that independent UK studio Free Radical Design, best known for the TimeSplitters franchise and Haze, has closed according to multiple sources.
Sources claim that staff, including senior executives have already left the company, with staff also said to have turned up for work today to find the doors locked and instructions to meet at a nearby hotel for a final company meeting.
GamesIndustry also notes that it's believed an unnamed project for LucasArts, thought to be Star Wars Battlefront III, has been moved on to Rebellion, the developer of Star Wars Battlefront: Renegade Squadron.
The future of TimeSplitters 4 is now uncertain.
Last month Free Radical director Steve Ellis played down rumours that the studio was in trouble, telling GamesIndustry: "We certainly won't be laying off any staff today. Or, for that matter, any time in 2008."