Russian GP bosses dismiss bankruptcy reports

Russian Grand Prix organisers have moved to clarify reports that the company promoting the Sochi event has filed for bankruptcy.

Reports in Russian media claimed "Formula Sochi", the company set up to promote the inaugural race last year, had been declared bankrupt on Monday.

Russia has a contract to host a Formula 1 race until 2020.

Russian GP organisers said on Tuesday the company promoting the event is now "Center Omega", and not Formula Sochi.

They said Center Omega began the promotion of the race in 2013 and organised the grand prix on its own.

In August of 2014, Formula Sochi was liquidated in accordance with the instruction of the head of administration of the Krasnodar Region, according to a statement released by the organisers.

"This decision was made for the purposes of the complex implementation of the Formula 1 project and minimisation of the total expenses for the Russian Grand Prix, since OJSC "Center Omega" has been in charge of the construction of Sochi Autodrom and has been the holder of the race staging contract, it also has had the personnel and the finances required," the statement added.

"The successful staging of the first Formula 1 World Championship round in Russian history, organised by the OJSC "Center Omega", which has received the FOM award as the best round of the season at the FIA General Assembly, and the effective commercial usage of the Sochi Autodrom have proven the efficiency of such decision.

"The preparations to the Russian GP are well under way."

This year's Russian GP is scheduled for October 11.

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About this article
Series Formula 1
Event Russian GP
Track Sochi Autodrom
Article type Breaking news