F-1 Power Struggle
Ecclestone attempting to gain control of Formula One away from troubled Max Mosley and the FIA.
BLOOMINGTON, Minn. — A power struggle for the overall control of Formula One has been waging behind the scenes.
Embattled FIA president Max Mosley says that the commercial rights holders [CRH] of F1 – Bernie Ecclestone and the CVC company – are trying to wrest control of the sport from the FIA.
Mosley made the revelation in a letter that was sent to the member clubs of the FIA and given to the media.
“During my period as FIA President the economics of Formula One have changed beyond all recognition,” Mosley wrote. “We are now dealing with a sport involving billions of dollars and interests that would like nothing better than to remove the FIA from the championship entirely.”
Mosley wrote the letter to the clubs to explain why he should remain FIA president in the wake of the sex scandal in which he was involved. Representatives of the clubs will meet on June 3 for a vote of confidence on Mosley.
In 2001 the FIA leased the commercial rights of F1 to Bernie Ecclestone’s companies for the next 100 years for a paltry $310 million. The CRH now wants to renegotiate the deal to reduce its tax liability.
“These we can probably concede,” Mosley said. “But the CRH has also now asked for control over the Formula One regulations and the right to sell the business to anyone – in effect to take over Formula One completely. I do not believe the FIA should agree to this.
“To do so would be to abandon core elements of the FIA’s patrimony including, for example, our ability to protect the traditional grands prix.
“We would also be weaker financially but, even more importantly, we would put at risk the viability of the FIA as the regulatory authority of international motor sport.”
Mosley insists that the sport and the commercial interests should be kept separate.
“The teams and the CRH should be consulted and listened to at all stages,” he said, “but it must be the FIA, not the CRH or the teams, which decides the regulations. My refusal to concede on this has led to a difficult situation and compounds the problem with the CRH over the 100 year agreement.”
Mosley asked that he be allowed to remain president until his term expires in October 2009.
“A new president would then take over with no knowledge of the background and, worse, might perhaps have been elected with the support of the very people with whom we are negotiating,” he wrote.
If he remains president, Mosley says that the FIA’s two deputy presidents will handle all public appearances.
“This will give me the time I need to progress the current negotiations to the point where proposals safeguarding the fundamental interests of the FIA can be submitted to the WMSC [World Motor Sport Council] and the General Assembly,” he said.
“It will also give me time to pursue the legal proceedings I have started against those who have caused so much unnecessary trouble and embarrassment. Above all, it will allow a smooth and orderly transition to a new presidency satisfactory to the membership as a whole.”
Mosley will make his first public appearance at a F1 race this year at the Monaco Grand Prix this weekend. While he will attend various meetings, deputy president Marco Piccinini will represent the FIA at all official functions.