MOTORSPORT: Perspective on F1's 'Spygate'

SpecialFriday motorsport reportSeptember 14, 2007

What exactly is the crime? And is it worth US$100 million?
The Federation Internationale de l'Automobile's World Motor Sport Council has fined McLaren US$100 million in Formula 1's "Spygate" case -- a story that tops, unfortunately for V8 Supercar racing, Mark Skaife's appendix operation, Jamie Whincup's virus and Brad Jones' bad back ahead of the Sandown 500.

The FIA has stripped McLaren overnight of all world championship points it has scored this season -- and any it may earn in the remaining four grands prix (Belgium this weekend, followed by Japan, China and Brazil).

However, McLaren's drivers -- championship leader Lewis Hamilton and dual world champion Fernando Alonso -- keep all the points they have or may yet score.

Yet no McLaren representative -- including drivers, it seems -- will be allowed to appear on the podium at any of the remaining GPs.

FIA president Max Mosley was asked after the WMSC hearing in Paris whether justice had been done and replied, "Yes."

Ferrari says it is "satisfied that the truth has now emerged."

Yet nothing is yet known about why such severe penalties have been imposed.

It is still not clear yet what has convinced the FIA, or its WMSC, that McLaren has done that is so wrong -- that is, how it benefited from one of its employees having Ferrari information, or how many other McLaren people had that information and what they did with it -- to warrant such penalties.

Grandprix.com raises the question of whether the punishment really fits the crime. Whatever that "crime" is.

The FIA has indicated it will publish details which should be available to us in Australia by Saturday morning (September 15).

We hear that there were 1000 pages of evidence, that the WMSC took half an hour -- after six hours of hearing -- to reach its verdict, and another hour to determine the penalties.

Whatever the documents show, they won't settle the matter. Perhaps only inflame it.

McLaren is certain to appeal. It has no alternative.

McLaren is a business probably worth, in total, more than US$1 billion, employing 1000 people, spending US$1 million a day to field two cars at 17, 18 or 19 GPs a year -- and with lots of important business relationships with other prominent businesses.

The appeal is expected to be heard between the Japanese and Chinese GPs.

Companies associated with McLaren -- like major sponsor Vodafone and engine partner Mercedes-Benz -- may also take action, although presumably not until after McLaren's appeal.

The root of this case is a 780-page dossier of Ferrari files that found its way into the hands of McLaren's chief designer, Mike Coughlan.

Coughlan has been suspended from McLaren for some weeks, while his friend Nigel Stepney, the long-serving Ferrari mechanic and manager blamed for (but still denying) leaking the information to Coughlan, is no longer an employee of the Italian company and is indeed facing prosecution in Italy.

It was already clear that McLaren personnel may face legal action in Italy and in Britain. That aside, what has happened, particularly in the past 12 to 18 hours, is extraordinary.

All the issues apart, it will be seen as two things: FIA president Max Mosley wreaking vengeance on McLaren chief Ron Dennis, for what precise reason other than long-running animosity is not clear; and as the FIA favoring Ferrari.

Also, as we have mentioned previously, many in the F1 paddock -- most particularly Ron Dennis and his sympathisers, such as Williams team chief Sir Frank Williams -- will be ruing that Australian Paul Stoddart, former owner of the former Minardi F1 team, failed in his campaign to drive Mosley out of the sport a couple of years back.

Stoddart, now running Team Minardi USA in the Champ Car series, is interviewed today on pitpass.com and says, "I cannot believe that one man can wreak so much havoc on the sport … Max is a power junkie."

Stoddart also jokes that FIA stands for Ferrari International Assistance.

"The FIA has consistently helped Ferrari, all the way down the line," Stoddart says. "The only difference is that lately it's been so blatant even a blind man can see it.

"And the reality is that it's damaging the sport."

Perhaps it is helpful to set out, firstly, what the FIA announced overnight.

So here is the FIA statement:

"Furthermore, the team will pay a fine equal to US$100 million, less the FOM (Formula One Management) income lost as a result of the points deduction.

"However, due to the exceptional circumstances in which the FIA gave the team's drivers an immunity in return for providing evidence, there is no penalty in regard to drivers' points.**

"The WMSC will receive a full technical report on the 2008 McLaren car and will take a decision at its December 2007 meeting as to what sanction, if any, will be imposed on the team for the 2008 season.

And now the official McLaren statement, very poorly worded we must say, after the hearing:

"The most important thing is that we will be going motor racing this weekend, the rest of the season and every season.

"This means that our drivers can continue to compete for the world championship.

"However, having been at the hearing today I (Ron Dennis) do not accept that we deserved to be penalised in this way.

"Today's evidence given to the FIA by our drivers, engineers and staff clearly demonstrated that we did not use any leaked information to gain a competitive advantage.

"Much has been made in the press and at the hearing today of emails and text messages to and from our drivers.

"The WMSC received statements from Fernando Alonso, Lewis Hamilton and (test driver) Pedro de la Rosa stating categorically that no Ferrari information had been used by McLaren and that they had not passed any confidential data to the team.

"The entire (McLaren) engineering team, in excess of 140 people, provided statements to the FIA affirming that they had never received or used the Ferrari information.

"We have never denied that the information from Ferrari was in the personal possession of one of our employees at his home.

"The issue is: was this information used by McLaren?

"This is not the case and has not been proven today.

"We are also continually asked if McLaren didn't use the information, what was the reason for Stepney and Coughlan collecting all this data about Ferrari?

"We can only speculate, as neither Coughlan nor Stepney gave evidence at today's hearing, but we do know that they were both seeking employment with other teams, as already confirmed by both Honda and Toyota.

"There will be no issue for the 2008 season as we have not at any stage used any intellectual property of any other team.

"We have got the best drivers and the best car and we intend to win the world championship."

Until the FIA discloses whatever documents it is going to release overnight there is probably not a lot more worthwhile to say about this whole saga.

Except that we have seen estimates that the financial penalty on McLaren, if it is ultimately imposed, could amount to -- because of the FOM/prizemoney implications -- to between US$50 million and US$150 million.

And, finally for today, that if this "conviction" of McLaren sticks, Fernando Alonso may have the "out" to escape the team he apparently so feels has favored youngster Hamilton over him and either return to Renault next season or go elsewhere.

As we have mentioned previously, going back to Renault will require a major sponsor, most likely Telefonica, footing the bill.

Toyota is reportedly contemplating paying the US$40 million a year that may be necessary to entice the Spaniard to drive for it.

And we would not discount Honda from the equation.

We find it very interesting that Alonso stayed well clear of the Paris hearing last night, while Hamilton was there in his best suit.

Yet it was Alonso and de la Rosa who were supposed to have communicated by email about the Ferrari information, not Hamilton.

Alonso was already at Spa last night ahead of the Belgian GP and insisted that his focus was solely racing.

Might Hamilton's appearance in Paris be a sign that he is being distracted by the politics of F1 more than his cagey, more experienced teammate?

We've headed today's column "Perspective on F1's 'Spygate'". We suspect a few further editions will be required in coming weeks.

To comment on this article click here