By Formula Geek
FIA president under pressure after f1 Chiefs warn FIA President. F1 Team Principals have criticized Mohammed Ben Sulayem for his conduct. They said it was “inappropriate,” after Ben tweeted his thoughts about F1 value. On Monday, Ben Sulayem tweeted his views about a $20 billion valuation of F1 being “excessive”. He was responding to news reports by Bloomberg that a Saudi Arabian investment fund had made an offer to purchase F1 from Liberty Media in the past.
Ben Sulayem emphasized that “any prospective purchaser should exercise caution, think about the best interest of the sport, and present a practical, viable plan – not just a large sum of money.” He also stressed that it was the responsibility of the FIA “to evaluate the potential consequences for event organizers in terms of higher fees and other business expenses, and the effect it could have on fans.
Ben Sulayem has been alleged to have been interfering in a letter written by F1 legal head Sacha Woodward Hill. Along with, Chief legal Renee Wilm and administrative officer of Liberty Media Corporation. Which holds commercial rights of F1.
F1 President in hot waters (F1 teams warn FIA)
According to Sky News, the letter states that Ben Sulayem has ‘exceeded his authority.
It also mentions that due to the 100-year agreement between F1 and the FIA, F1 has “the sole authority to utilize the commercial rights in the FIA Formula One World Championship.
Additionally, the letter claims that the FIA has given clear promises that it will not take any actions that would harm the ownership, management, and/or use of those rights.”
We consider those comments, made from the FIA president’s official account, interfere with those rights in an unacceptable manner.”
Potential legal action against FIA in future
The letter also clearly states that the implication in Ben Sulayem’s tweets were mistaken. Furthermore, Hill and Wilm explain that any person or organization giving an opinion on value of publicly-traded company could cause significant harm to the shareholders and investors of that company. This also faces potential severe regulatory repercussions. These comments by FIA might harm the value of Liberty Media Corporation.
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