Apparently according to one source there was a law suit against the parent company, that they lost.
From the blog -
"This wasn’t because the magazine was in any financial trouble, or was being run poorly but because this lawsuit against the parent company resulted in a summary judgment. It was a big judgment and it looks like TheGlobe simply blew up when the financial house of cards that it had built up came crashing around it. Some complicated business stuff went down and the end came."