Russia GP plays down bankrupt promoter reports

Jun.3 (GMM) The Russian grand prix has hit back at reports that its promoter is bankrupt.

Early this week, a Russian court declared that the government-owned ‘Formula Sochi’ company is bankrupt, even though a contract to host the race through 2020 is still in place.

But race organisers have hit back, insisting that the actual promoter since 2013 is OJSC Center Omega.

In a statement, the liquidation of Formula Sochi was confirmed, but Omega said it was not only in charge of the construction of Sochi Autodrom but also “the race-staging contract”.

“It (Omega) also has had the personnel and the finances required,” Omega added.

“The preparations for the (2015) Russian GP are well under way,” the statement concluded.

Forbes’ F1 business journalist Christian Sylt says Russia pays an estimated $44 million per year to host the grand prix, with Bernie Ecclestone having negotiated directly with president Vladimir Putin.

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