2021 Cost Cap Breaches

[Leithen]

jsf said:

Auslander said:

New to F1 are you?

Very.

[Leithen]

mooseracer said:

Would be nice to hear some thoughts on the impact of the real punishment - the reduction in aero development time.
I'm assuming they will end up with 63%?

That is significant, surely?

Personally I'm much more in favour of this approach rather than fines - which are pretty meaningless to the bigger teams.

Ferrari have made the point that because the fine hasn't come out of the cost cap, RB are free to use the budget that would have been incurred by the lost aero time in other performance areas. Lessens the impact even further.

[Leithen]

jsf said:

Every decision these organisations make is thought through.

Why would any team say they did not use the 2020 season as a dry run?

There are no excuses for getting their submission so far out, if they were not certain they can ask the FIA for guidance, throughout the entire period of the relevent seasons process.

They knew they were over, they submitted an account well under, they were caught, they tried to deflect and confuse, they found that wasn't working so accepted the ABA which means they accept they are guilty, they now continue to deflect and confuse and attack others, it's despicable behaviour.

I used to have a lot of respect for Christian, he built a great team from a young age, he has lost sight of what a responsibility he has in sport.

Then again, i was brought up with a strong moral compass, which has cost me a few times, lifes easier if you dont have that in your makeup, plenty of successful people dont.

I wonder whether there is more happening behind the scenes than is known. He's very rattled for a team boss who has just won back to back titles (whatever the view on their validity).

With DM's passing, perhaps his position is less secure than it once was.

[Leithen]

Hill92 said:

I am a chartered accountant with an audit and now industry background. I've performed Agreed Upon Procedures engagements in other sports and industries (UEFA/FA, SRA, ABTA, HE, various grant bodies to name a few,) and been on the receiving end of FRC inspections, HMRC inspections and audits.

I've dealt with actual "Go to Jail, do not pass go, do not collect £200 (because you've already helped yourself to it you thieving bd!)" fraud but mostly it just comes down to error, be it unconscious bias in assumptions and thought processes, crap systems, lack of checks (one of the Red Bull points is listed as a clerical error which sounds like someone got a formula wrong in a spreadsheet) or just poor/out of date knowledge.

Everything described in the ABA sounds familiar to my professional experience. We expect perfection but reality isn't like that. Financial reporting fk ups may be less obvious because it usually happens behind closed doors (I've had management of audited entities scream at me because we won't accept their interpretation but eventually they make the necessary changes) and frankly no non-accountant is bored enough to care most of the time.

Perhaps the answer is for the FIA, funded by Liberty, to take a leaf out of HMRC’s book and move to RTI submissions. It is after all a repetitive business with a fixed number of participants who only change very infrequently.

The onus is then to clear any costs that are open to interpretation before or as they happen.

[Leithen]

JNW1 said:

Indeed - and the source was correct all along (and would have been proved as such if the FIA had done its job properly). Just a shame there's not a proper mechanism for the truth to come out (or if it does it will probably be so long after the event that nobody will remember or care).

The one thing that probably all sides in this debate will be able to agree on is the FIA isn't fit for purpose - just probably not in the way most on here think where this particular issue is concerned.

I think you need to consider that your source might have a dog in this fight.

[Leithen]

I think you need to ask your friend how they managed to make 13 breaches. He might try and explain them all away. Or he might, unlike his boss, admit to mistakes. Either way, he would hopefully accept that their credibility is shot.

[Leithen]

F1 journalism has always been difficult. It's a gated community. The gatekeepers control access which has for years led to numerous "why didn't they ask the obvious question" moments.

[Leithen]

Can those of us with a few more years under our belts than others, agree that Red Bull has managed to make the worst that Ferrari ever dreamed up angelic in comparison?

[Leithen]

Use https://archive.ph/

[Leithen]

Syed and Atherton are almost worth a Times sub. Well worth reading.

[Leithen]

We didn't intend to have 12 men on the pitch, it just happened. It was just an unfortunate misunderstanding and the twelfth player was clearly no where near the ball.

[Leithen]

They should have been able to wind back development costs in this year several months ago. With Ferrari shooting itself in both feet and Mercedes not at the party, once the mid year upgrades were produced they should have been able to run the rest of the year at tick over.

Maybe tell the staff to buy their own sandwiches at the local co-op too....

[Leithen]

Deesee said:

Development costs were not an issue in 21..

......

The food is contractual, it’s a perk, perks get taken away to hit cost cap (salary sacrifice cars/fuel cards/health insurances/good canteen food) people look for other roles with other teams.

All cost savings are cost savings.

Sandwiches was a joke.

[Leithen]

carl_w said:

MadCaptainJack said:

I think it's safe to say that Tyrell behaved dishonestly there. Therefore, the "cheat" label is appropriate.

I believe that Ken's justification is that it made up for the deficit in power that they had to the turbo powered teams. Note the difference in punishment: Tyrrell were excluded from the championship (all points deducted), excluded from the final three races and then fined for not turning up to the final three races.

Furthermore, Uncle Ken was greatly liked, before and after.

[Leithen]

EmailAddress said:

Dayum, this thread still chundering on.

Have we established if anyone has overspent for 2022 yet?

New thread required for that…