"Staff at Free Radical Design, which is based in Bostocks Lane, Sandiacre, turned up to work this morning to find the locks had been changed.
A note stuck on the door told them to attend a meeting at the nearby Novotel at midday.
Cameron Gunn, of Resolve Partners, the administrators that have been called in to deal with the firm, said: "The company was placed in to administration yesterday afternoon.
"We will be spending the next three or four days assessing the financial position of the company but it's business as usual, although we have asked that almost all of the employees apart from a skeleton crew remain at home."
"All employees have been paid up until the end of December and we hope to make another announcement before Christmas or very soon thereafter, but we must stress at this stage that it's business as usual."'
It has been rumored that Free Radical was working on Star Wars: Battlefront III but GamesIndustry.biz reports that Star Wars Battlefront: Renegade Squadron (PSP) developer, Rebellion will be taking over. More as we hear it, though our thoughts go our to anyone who might be finding themselves out of work due to these developments. It's never easy no matter the time of year.
Click here for a round up of Battlefront III rumors with our friends at EUC!