Caterham F1 Team In Trouble

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The UK-based Caterham F1 team's future looks quite bleak following news that Caterham Sports Limited (CSL), the company that builds the cars for the F1 team, is refusing to release cars for transport to Austin, Texas for the forthcoming Formula One United States Grand Prix.

The reason being that CSL hasn't received any funding from the company's new owner, Engavest, a group of Swiss and Middle Eastern investors.

According to the Caterham F1 Team's website, the team's previous owner, a group of investors headed by Malaysian businessman Tony Fernandes, has not transferred shares in the team to Engavest, hence Engavest has not been bothered to pay the bills for a team it doesn't have title to.

Fernandes has claimed that Engavest hasn't paid for the shares yet. A post on Twitter was: "If you buy something you should pay for it. Quite simple."

Fernandes has tried to space himself away from the Caterham F1 Team while he continues to operate the Caterham car business. He had previously said in a statement that he has nothing to do with the F1 team.

Engavest has been in charge of the Caterham F1 Team since July. The company is now forced to look into all its options, which even includes withdrawal of its management team.

CSL has about 200 employees and owe £20 million (approximately $32 million), mostly to outside suppliers.

The Caterham F1 Team is tied with Sauber in the last place for the 2014 Constructors' Championship. Both teams have zero points.

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Story first published: Friday, October 24, 2014, 10:11 [IST]
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