Motor racing-U.S. House judiciary chairman probes F1's Andretti rejection

Liberty Media

07/05/2024 23:52

WASHINGTON, May 7 (Reuters) - The chairman of the U.S.
House of Representatives Judiciary Committee has launched an
investigation into Formula One's rejection of Andretti
Cadillac's bid to become the sport's 11th team, NBC News
reported on Tuesday.
    NBC published a letter from Republican Jim Jordan to F1
chief executive Stefano Domenicali and Liberty Media president
and CEO Greg Maffei in which possible 'anticompetitive conduct'
was mentioned.
    Liberty Media-owned Formula One ruled out the bid in
January, doubting it would be competitive or add value, but kept
a door open for 2028 when partner General Motors could provide
an engine.
    Andretti Global is led by 1991 CART champion Michael
Andretti, son of 1978 F1 world champion and 1969 Indianapolis
500 winner Mario Andretti.
    The FIA governing body approved the application in October
2023 and sent it on for assessment to Formula One Management,
whose rejection left the regulator at odds with the commercial
rights holder.
    Jordan's letter said "excuses put forward for denying
Andretti Cadillac's entry appear to be pretextual, arbitrary and
unrelated to Andretti Cadillac's suitability to compete in
Formula One."  
    "Delaying Andretti Cadillac’s entry into Formula One for
even one year will harm American consumers to benefit failing
Formula One teams," Jordan wrote in his letter.
    "Limiting the number of teams in Formula One will increase
the price of sponsoring or buying into an existing Formula One
team. 
    "As the Committee examines this matter and considers
potential legislation around the structure and competition of
sports leagues, we write to request a staff-level briefing on
the decision to deny Andretti Cadillac’s application to join
Formula One."
    Jordan called for the briefing to be held as soon as
possible and no later than May 21, when Formula One will be
preparing to race around the glamorous harbourside streets of
Monaco.
    There was no immediate reply from Formula One to a Reuters
request for comment.
    Mario Andretti, 84, told Sky Sports television at the Miami
Grand Prix last Sunday that the preparations to enter Formula
One were continuing at pace.
    "We’re working every day on it. We’re ready to meet whatever
challenge there is, just tell us what and we’re in," he said.
    "We‘re preparing in every possible way and our intention is
to be on the grid in 2026."
    Andretti Global opened a new facility at Silverstone, home
of the British Grand Prix, in April to house the design
department and race team.      

 (Reporting by Alan Baldwin in London, editing by Toby Davis)
 ((alan.baldwin@thomsonreuters.com; +442075427933;))