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Lotus F1 Avoids Administration After Court Hearing As Takeover Talks Continue

Lotus "survived an attempt" by the taxman to force the "cash-strapped" team into administration on Monday night, but it will be back in the High Court again on the eve of the next race in Singapore, according to Daniel Johnson of the London TELEGRAPH. Lotus's case was heard in front of Justice Birss in court 11, in a claim brought by U.K. tax authority HMRC. The Enstone-based team is in talks with Renault over "a possible sale." F1 CEO Bernie Ecclestone has helped pay its wage bill, "but it is thought the delay over the sale to Renault" is because Ecclestone is "unwilling to award the French manufacturer historic status and additional prize money payments that come with it." Renault is "believed to have offered" £60M ($91.7M) for a 65% stake in Lotus. The company's board in Paris is "yet to be totally convinced of the merits of buying the team." Monday's hearing "could force Lotus into administration or it could be delayed with talks over a Renault deal still ongoing." Around 400 staff work at Lotus's Oxfordshire base. Lotus has been "running on a shoestring budget all season as the current owners, Genii Capital, lost interest in the business" (TELEGRAPH, 9/7).

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