All rights and copyright reserved to the Caterham F1 Team, Sam Bloxham and LAT Photography ©
Yesterday afternoon saw ex Caterham ownerTony Fernandes claiming that the Caterham Formula 1 team’s new ownesr are entirely responsible for their current problems.
Breaking his silence over the situation after strongly-worded criticisms from the new owners Fernandes claims that conditions that had to be fulfilled for him to transfer his shares in the team have not been met. That is why he has retained ownership of the team, to the frustration of Engavest.
In a statement issued on his behalf on Thursday, Fernandes said that Engavest had to pay “all existing and future creditors” if the shareholding was to change – something he says had not happened.
Fernandes’ statement to the media is as follows:-
‘In June 2014, I decided, together with my co-shareholders, to sell my stake in the Caterham F1 team. We agreed in good faith to sell the shares to a Swiss company named ‘Engavest’ on the basis that Engavest undertook to pay all of the existing and future creditors, including the staff.
‘The continued payment of staff and creditors was so important to me that I ensured that the shares would not be transferred to the new buyers unless they complied with this condition.
‘Sadly, Engavest has failed to comply with any of the conditions in the agreement and Caterham Sports Ltd (the UK operating company of the F1 team) has had to be put into administration by the bank, with large sums owing to numerous creditors.
‘Our agreement with Engavest was very clear: there was no legal obligation to transfer the shares to them unless certain conditions – which included paying creditors – were met.
‘Those conditions have not been met. Our lawyers have asked Engavest several times to comply with these conditions but they have failed to engage.
‘If you agree to buy a business, you must pay its bills. They have breached that promise and now, sadly, it is others such as the employees and the fans of the Caterham F1 team that will suffer if the team ceases to race. I sincerely hope that this will not be the case and that a solution can be found.’
Meanwhile in a statement to the media, Graham Macdonald, who is Caterham Group CEO, has questioned the ultimate ambitions of Caterham’s new buyer. Macdonald states the following:-
‘It appears to me that they never had any intention of paying these liabilities. I go on to question how anyone who was interested in the long term future of the business would appoint one of their cleaners – Constantin Cojocar – as the sole director and shareholder of the UK operating company?
‘We continue to see claims and counter claims from the F1 team which are totally unfounded.
‘Not only have they failed to pay the creditors (and have even left our shareholders to pay some of the creditors on their behalf), but they have failed to pay us anything for use of our factory and site, or anything for the use of our brand name.
‘In short the new owners have paid us nothing and, now the administrators have been appointed, they want to walk away from their liabilities.’
It would seem that there is more to the situation than we know at present. The situation is extremely complex and difficult and this will affect everyone who is associated with or works for the team at present. My thoughts are with the staff who for Caterham who have despite the issues surrounding at present have continued to work as hard as ever on their Formula One operation.
It is ultimately clear is that these ownership issues surrounding the Caterham F1 Team need to be resolved using the correct legal channels as fast as possible in order to make sure they remain racing in Formula One now and in the near future.
