JULY 3, 2002
Meanwhile in the High Court...
THE question over the ownership of Arrows has been confused in recent weeks with Tom Walkinshaw saying that he has found new investors but being unwilling to say who they are. This has led to suggestions (unfair perhaps) that there was no new backing. The answer seems to be somewhere between the two with the word on the street being that a consortium made up of Red Bull boss Dietrich Mateschitz and a number of Brazilian businessmen (supporters of Enrique Bernoldi) have been trying to acquire the team but that previous owners Morgan Grenfell Development Capital Syndications Ltd. (and other related companies) have been trying to stop that transaction taking place - because it is not clear what will happen to the various creditors if the deal goes ahead.
The word in legal corridors is that the case will decide whether or not the team will be seen at the British Grand Prix this weekend. The hearing began at 2pm Tuesday and went through the entire afternoon before being adjourned to recommence Wednesday morning. Morgan Grenfell and its associated companies wants Arrows (and its various related firms) to pay $20m before the sale is accepted.
Walkinshaw is understood to have made it clear that if he does not win the case the team is going out of business.
Creditors will no doubt be hoping that Walkinshaw does win as there will be a chance that they will be paid something as Mateschitz is known not to be short of a bob or two.
We understand that whatever happens in the Morgan Grenfell case there is likely to be another case at the end of the week when Jos Verstappen and his management go after Arrows again.
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