Vital F1 | Caterham on brink of turmoil
Vital Login
Social Login

Other Sites

Network Navigation

Vital Partners

'If It's F1, It's Vital'

Caterham on brink of turmoil

Caterham's Formula One team could be set to be thrown into turmoil following a threat from the current management of the team.

On Tuesday the Caterham F1 teams manufacturer Caterham Sports Limited was placed into Administration.

Administrator Finbarr O'Connell have stated that 200 jobs are affected and up to £20million was owed to external suppliers.

As it is separate entity to the F1 team which is operated by 1 Malaysia Racing Team [1MRT], there was apparently no immediate risk to the Formula One team, despite both businesses being based at Leafield.

But due to their close ties there are obviously going to be large ramifications.

Ever since Tony Fernandes sold the Formula One team to a Swiss-Middle Eastern consortium in July rumours of financial problems have struck the team.

The new owners of Caterham have now gone public on who they are, after previously remaining anonymous. But the only reason behind 'Engavest SA' going public was to make accusation towards former owner Tony Fernandes.

Engavest SA are now exploring 'all options' and threatening legal action against Fernandes amid their claim that a share transfer wasn't completed.

They have also threatened that they will pull the plug on their involvement in the team.

'On 29 June 2014, Caterham Enterprises Ltd, Caterham (UK) Ltd and Sheikh Mohamed Nasarudin (Seller) and their shareholders Tony Fernandes and Datuk Kamarudin Bin Meranun entered into a Sale and Purchase Agreement (SPA) with Engavest SA (Buyer) with regards to 1Malaysia Racing Team Sdn Bhd/Caterham F1 Team,' the Caterham F1 statement read on Sky Sports website.

'Since the date of the Agreement, the Seller has refused to comply with its legal obligations to transfer their shares to the Buyer. The Buyer has been left in the invidious position of funding the team without having legal title to the team it had bought. This is in total contradiction to the Sellerís press release of 3 October 2014 which stated that Mr Fernandes and his Caterham Group had no longer any connection with the Caterham F1 Team.

'The administrators of Caterham Sports Limited have been appointed on behalf of Export-Import Bank of Malaysia Berhad (Exim), a creditor of Mr Fernandes and the Caterham Group. The Buyer has no connection with Exim. Caterham Sports Ltd was a supplier company to the Caterham F1 Team. Very regrettably, the administrators' appointment has had devastating effects on the F1 Team's activities. Since their appointment, the administrators have released various press statements which have been severely detrimental to the management of the Caterham F1 team.

'After three months of operating the Caterham F1 Team in good faith, the Buyer is now forced to explore all its options including the withdrawal of its management team. Lawyers have been instructed by the Buyer to bring all necessary claims against all parties, including Mr Fernandes who, as an owner, will run the F1 operation.'

Join Vital F1

It's easy to join up and join in on, simply click the link and enjoy getting involved!

If you are already a member of Vital Football, your logins will automatically work on!

The Journalist

Writer: Red5 Mail feedback, articles or suggestions

Date:Thursday October 23 2014

Time: 10:00AM


Have Your Say

Log in...
with your social network     OR     with your Vital account

Recent Vital F1 Articles

2018 Australia GP - Qualifying (Saturday March 24 2018)

2018 Australia GP - FP3 (Saturday March 24 2018)

2018 Australia GP - FP2 (Saturday March 24 2018)

2018 Australia GP - FP1 (Saturday March 24 2018)

McLaren will be strong in Australia (Thursday March 22 2018)

Blog: Melbourne Preview (Wednesday March 21 2018)

Who will win in Australia 2018? (Tuesday March 20 2018)

Brawn wants F1 league table for tracks (Friday February 23 2018)

Mercedes uncertain on who will be a threat (Thursday February 22 2018)

Verstappen dreading Halo introduction (Wednesday February 21 2018)

Haas want to close the gap to Ferrari (Tuesday February 20 2018)

Williams defend inexperienced line-up (Monday February 19 2018)

Renault still looking to change the rules (Thursday February 15 2018)

London double-decker bus could sit on Halo (Wednesday February 14 2018)

Could Hamilton return to McLaren? (Tuesday February 13 2018)

Massa gave no guidance to Stroll (Tuesday February 13 2018)

Wehrlein returns to DTM (Monday February 12 2018)

Grid Girls to be replaced by Grid Kids (Monday February 12 2018)

Former champ calls for 26 car grids (Friday February 9 2018)

Alonso to compete at Le Mans (Tuesday February 6 2018)

Force India & Sauber withdraw EU complaint (Wednesday January 31 2018)

F1 set to jump on Verstappen bandwagon (Tuesday January 30 2018)

Lauda takes dig at Red Bull (Friday January 26 2018)

Cosworth keen on F1 return (Thursday January 25 2018)

Former champs back Hamilton (Wednesday January 24 2018)

All you need to know for F1 in 2018 (Tuesday January 23 2018)

Full Formula One line-up for 2018 set (Monday January 22 2018)

Could Red Bull be favourites for 2018? (Wednesday January 17 2018)

Force India sign F2 race winner (Friday January 12 2018)

Massa backing Williams in 2018 (Thursday January 11 2018)

F1 regulations unreasonable says Honda (Wednesday January 10 2018)

Pirelli receive Red Bull backing (Tuesday January 9 2018)

Aston Martin in demand (Monday January 8 2018)

Haas positive 2018 car will be better (Thursday January 4 2018)

Wehrlein set to bid goodbye to F1 (Wednesday January 3 2018)

Hamilton critical of French GP return (Tuesday January 2 2018)

Liberty get backing from Horner (Saturday December 30 2017)

F1 attendance figures on the rise (Wednesday December 27 2017)

Tost concentraing in Honda positives (Wednesday December 27 2017)

Merry Christmas from VitalF1 (Monday December 25 2017)

Todt to enjoy 12 years as FIA president (Sunday December 24 2017)

What's in a number? (Wednesday December 20 2017)

Grid penalty change for 2018 (Tuesday December 19 2017)

Hamilton and Vettel clash (Monday December 18 2017)

Ocon eyes Mercedes seat for 2019 (Friday December 15 2017)

Alonso targets race wins in 2018 (Thursday December 14 2017)

Hamilton and Alonso praise Pirelli (Monday December 11 2017)

All female racing series to support F1? (Wednesday December 6 2017)

Alfa Romeo name returns to F1 (Monday December 4 2017)

Hamilton poor form down to partying (Thursday November 30 2017)

More change in F1, but this one is positive (Wednesday November 29 2017)

Liberty Media alienating F1 fans? (Tuesday November 28 2017)

Blog: Abu Dhabi GP Report (Monday November 27 2017)

2017 Abu Dhabi GP - Race (Sunday November 26 2017)

Blog: Abu Dhabi Qualifying (Saturday November 25 2017)

2017 Abu Dhabi GP - Qualifying (Saturday November 25 2017)

2017 Abu Dhabi GP - FP3 (Saturday November 25 2017)

2017 Abu Dhabi GP - FP2 (Friday November 24 2017)

2017 Abu Dhabi GP - FP1 (Friday November 24 2017)

Expanded calendar for Formula 2 and GP3 (Friday November 24 2017)

Formula One going soft (Thursday November 23 2017)

Blog: Abu Dhabi Preview (Thursday November 23 2017)

Force India name change hits the buffers (Wednesday November 22 2017)

Who will win in Abu Dhabi? (Monday November 20 2017)

Blog: Brazilian GP Report (Tuesday November 14 2017)

2017 Brazil GP - Race (Monday November 13 2017)

Blog: Interlagos Qualifying (Sunday November 12 2017)

2017 Brazil GP - Qualifying (Saturday November 11 2017)

2017 Brazil GP - FP3 (Saturday November 11 2017)

Archived Vital F1 Articles

List All Vital F1 Articles
Have your say
Click here to suggest an article
Click here to suggest a poll

Vital Members League (view all)

1. DJ 1214
2. Red5 1130
3. The Fear 773
4. Villaininthemerde 612
5. johnkelv 601
6. Druss_the_Legend 596
7. Push The Button 518
8. col8 334
9. The Intimidator 222
10. VanGisbergen2013 185

Current Site Poll (view all polls)

Who is going to win in Australia?
Hamilton 34%
Bottas 0%
Vettel 41%
Raikkonen 6%
Verstappen 10%
Ricciardo 3%
Someone else 6%