my opinion is that Due Diligence was maybe not carried out due to personal relationship or friendship
There is just no way this is a valid assessment. Calders are an investment company, they are not about to be taken in by tall tales of "I had a dream of being a pilot of a spaceship since I was 8 years old" and what not. All investment carries risk, sure, but you bet your bottom dollar the contract will stipulate what happens if a saleable asset, SQ42, is not released within X amount of time after said investment, followed by further conditions the more time passes without a release.
Worst case scenario for the Calders is no release happens and they are forced to asset strip and sell off all assets and IP. Physical assets they do not have, IP is the art and models that have already been created. This, contrary to some belief, is actually valuable and a lot of companies are valuated highly based on nothing more than IP. Someone will want to buy all those meticulously created models, maybe FDev can get a good deal on them.
how much to finish it, what state is the game actually in to be released, how much work and time is needed to even get to this stage at all?
Calders will also most certainly have insisted on seeing what they have of SQ42 so far, no roadmap to roadmap manure the customers swallow, and will have seen some cutscenes, some mocap, a level or two, whatever.
It's really not that much work to take that and make a semi-interactive cutscene heavy movie-game in the Wing Commander/Metal Gear style, much like that cutscene video with Gary Oldman or whatever that thing was. The engine is literally built for doing this. They do not have to use the franken engine from SC, nor do they need broken network code, iCache, meshing, or whatever other manure they come up with.
The direction from new management is definitely, IMO, finish SQ42. Add nothing. No features, no extra work, no gameplay loops, no trading, no space exploration, no NPC AI. Barely there minimal space ship combat between cutscenes so can sell as space combat game. Finish cutscenes, tell story in game engine. Sell. And it will sell, there are many cheap clones of games made in similar fashion than sell enough to recoup costs.
Why are you guys so obsessively angry at the guy, get a grip.
You are imagining things that are not real. At best, it's a mildly interesting business case study. Not even an unusual one, just one that happens to be publicly funded.
That is what will attract the journalists in the end. Psychologists might be interested in what motivates customers to continue pumping cash into the fire, and people that see emotion where there is none, however.