Russian company Uralkali has filed a lawsuit in the High Court in London – The Russians believe the FRP Advisory LLP force India bankruptcy trustees ‘colluded’ in favour of Lawrence Stroll.
Force India were rescued by Canadian self-made millionaire Lawrence Stroll has rescued Force India, along with a group of investors including Canadian businessman Andre Desmarais, Jonathan Dudman of Monaco Sports and Management, entrepreneur John McCaw, financial expert Michael de Picciotto, fashion entrepreneur John Idol and Stroll’s business partner Silas Chou.
However, it is not known how the new Force India owners divided ownership of the racing team.
The team were forced into administration by creditors lead by Mercedes (engine supplier) and Sergio Perez, one of the drivers.
With Perez wishing to secure his salary, the step into insolvency proceeded under creditor protection and thus the team were forcibly sold. The creditors were guaranteed moneys by the insolvency administrators and a London court ordered FRP Advisory LLP to provide receivership.
It seems now that it is FRP Advisory LLP who are now facing a possible lawsuit action.
The Russian company Uralkali has sent representatives to the High Court in London because they believe that FRP favoured the Stroll consortium over their offer which they claim was a far better offer.
— Racing Point Force India F1 (@ForceIndiaF1) September 28, 2018
Due to some obscurities in the deal by Stroll, they allege that there may’ve been collusion between FRP, Stroll and his business partners involved with the sale.
In a statement, FRP responded:
“We have now seen the content of the complaint and are convinced that it will soon be rejected.
“We have fulfilled our obligations as insolvency administrator to the best of our knowledge and belief, and the bidding process has been fair and transparent.
“We finally came to a very successful conclusion. In the foreground was the rescue of the racing team.
“All interested parties had the opportunity to submit offers to ensure this rescue – and not just want to buy assets. Racing Point was the only party that focused on the survival of the racing team. “