No Formal Action Against Arrows Yet, Says FIA

No formal action will be taken against the troubled Arrows Formula One team at present despite its "continuing failure" to race at Grands Prix, motor sport's ruling body said today.

The FIA said it had no hard evidence that Arrows' absence was due to insolvency and it would wait until the situation was clearer before considering any action.

Arrows missed the Hungarian and Belgian races and are set to miss this weekend's Italian Grand Prix. A number of creditors are seeking payment from Arrows, including engine supplier Cosworth, and a deal to sell the team is being negotiated.

The FIA statement said: "The FIA has noted the continuing failure of Arrows to participate in recent Formula One events.

"If this failure were due to insolvency, Arrows would lose its rights under the Concorde Agreement. However, at present the FIA has no hard evidence that Arrows' absence is due to insolvency rather than to some other cause.

"In the circumstances, the FIA intends to wait until various negotiations and proceedings relating to Arrows have been concluded before considering any formal action."