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Vijay Mallya steps down as Force India F1 director, continues as team boss
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Posted By: Editor   |  31 May 2018   |  7:18 pm GMT  |  40 comments

Vijay Mallya has stepped down as a director of the Force India team – handing the role to his son – but will remain as the team principal.

He will hand over his role on the board to his son Siddarth, who has worked in the family business as well as holding a director role in the Royal Challengers Bangalore cricket team.

Outside of Formula One, Mallya’s other businesses are experiencing financial difficulties and he is facing charges in his home country of India.

Mallya said that he wanted to focus more attention on his ongoing legal issues, and does not want these issues to affect the team.

“My son Siddarth has been appointed instead of me on the board of Force India,” Mallya Sr told Autosport. “That’s it. And I continue as team principal.

“There was no compulsion anywhere to resign, it’s just that I decided that my son should replace me.

“I have my own legal issues to take care of, so it’s better that the company remains unaffected. It’s better that my son replaces me.”

Whilst he denied that his Force India team are close to being sold, he added that serious offers for the team would be considered by the group of shareholders.

“Rumours keep going on and on and on, and people talk and talk and talk,” he said.

“That’s what the F1 paddock is all about. The finances of Force India, whether I’m selling or not selling, has been a matter of speculation on and off for many years.

“We don’t go around with a ‘for sale’ sign. The bottom line is that we are focusing on getting the best performance out of the car, and that is our priority. We’re focusing on getting more sponsors.

“There are three shareholders, remember, I’m not the only one.

“If somebody comes along with a serious offer, and puts cash on the table, we will jointly consider it.”

Mallya also took the opportunity to deny that Mercedes are looking to increase their involvement with the team and effectively turn Force India into a junior team.

“I have not had any discussions with Mercedes, they have not made any approach to us,” he said. “This hasn’t even featured in casual discussions.”

Mallya, who purchased the Spyker team along with Michel Mol back in 2007, has overseen the growth of the team from Silverstone, which ran as Jordan from 1991-2005.

The team have become one of the most consistent midfield runners, securing fourth place in the constructors’ championship in 2016 and 2017 and achieving six podiums, one pole position and a best race result of second place.

All images: Motorsport Images

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1

I don’t know what or how much trouble he is in, but, rich or poor, anybody that puts down their toys & walks out of the play room has a conscience, & should be supported in their efforts to make things right.

I hope Vijay can sort things, so that we can still enjoy ‘The little team that could.

2

What amazes me about Mallya is his ability to stay out of jail! His legal bills must be horrendous. If only part of the supposed/alleged charges are true then he does need to spend time at the Indian Govts pleasure. It must be super frustrating for the ex employees of Kingfisher, who were apparently dudded on their salaries for a very long time, to see Mallya living it up in his UK pile in flamboyant style. What i’d like to know is just how he manages to do it? There’s a great story in there somewhere.

3

Will he be giving up his mullet as well. New hair cut, new start.

Also James the ‘sort by’ tab has disappeared when I access the site on my phone.

4

So he’s still Team Principal? Why not Otmar or Bob?

When is the name change coming?

5

Putting another shout out to C63 if he’s out there. We need you back C63!

I believe his last post here was at the end of March. I hope everything’s ok, and that he’ll grace these pages with his presence once again.

6

@krb

All a bit strange with C63.

Hope he’s ok.

7
Tornillo Amarillo

one pole position and a best race result of second place.

Both Fisichella in 2009 Belgian GP.

Editor, any clue about being the drink company “Rich Energy” buying Force India?

8

By the end of 2020 the “Silverstone team” will have been not-Jordan for as long as it was Jordan. Seems weird…

9

Is Vijay his real name? Where I live veejay is the part of female anatomy that women use to manipulate men with.

10

Yes, “Vijay” is his first name. Where he is from, ‘Vijay’ ironically means, being victorious.

11

Wow, that is ironic.

12

Where I live women have several such parts… and they every single one non-stop!

13

Ha. I think its a nick name judging by the hair under his bottom lip.

14

female hand?

15

You allow yourself to be manipulated by the female hand, aveli? A bit lazy on the female’s part if you ask me.

16

Vijay Mallya has stepped down as a director of the Force India team – handing the role to his son.

“I have my own legal issues to take care of, so it’s better that the company remains unaffected. It’s better that my son replaces me.”

But then…

“There are three shareholders, remember, I’m not the only one.

“If somebody comes along with a serious offer, and puts cash on the table, we will jointly consider it”

So either Vijay is speaking as though he is still on the board out of habit, or his son has been appointed to keep up appearances, but will really just be Vijay’s mouthpiece.

Or am I reading too much into it?

17

You can be an owner (shareholder) without being a director.

18

definitely not reading too much. As a significant shareholder Vijay will still be considered as a ‘de facto’ director and should still show at Companies House as a ‘person of significant control’. Resigning as a director only means someone else signs the legal documents.

19

Board members and shareholders are not the same thing.

I suspect that he has legal reasons for not wanting to be a director at the present time, and has appointed his son to be his mouthpiece.

20

That hair cut on VJ is very “cultish”.

21

I wonder how much sanctuary from the law will cost him.

22
Garrett Bruce

Maybe he wants to look like a couple of drivers on the sharp end ?

23

Did you mean “Cult-ish”? As in, he’s got hair like Billy Duffy circa the Love album?

24

Kim Thayil out of Soundgarden

25

Well there’s fire in his eye’s and the Sirens are calling to his freedom,…… but I meant, he’s in some far out rich guy cult.

26

Are the three shareholders Vijay, Michiel Mol and Roy Subrata? Roy is in jail, Vijay is a fugitive and Michiel seems more interested in flying to mars than F1, and yet the team continues to turn out very tidy race cars, and have two quality drivers! An amazing achievement by all who work there, hardly a stable foundation is it?

27

Contrast what FI have achieved with the recent histories of the storied McLaren and Williams teams. Something works extremely well there, and its hard to say whether its in-spite of Vijay or because of him. But clearly under his ownership the team have punched above their weight.

One thing for sure – he is clearly passionate about the sport, but smart enough to be hands-off and let the team do its job, with just the right amount of involvement and visibility.

Plus he is a colourful character – one of the few remaining in the paddock, and if only for that reason, he will be missed when he does leave. What will that leave Joe Saward to b*tch about then…?

28

While Vijay Mallaya’s financial troubles are well documented, his involvement with Motorsport has often gone unnoticed because of his “playboy” image and limited motorsport in India.

However he has always been passionate about racing, even building and racing at the amateur level in the 1970s, and has worked to make racing more popular in India.

While it is difficult to compare him to the likes of Frank Williams, Ron Dennis, etal. it cannot be denied that he is the last of the ‘privateers’ who loves to race, and does his best to challenge with the resources at hand.

29

Admired the pompous twit till he screwed his employees out of money, and then ran away like a little git.

30

Handcuffs and Indian Tea.

Rendition/repatriation in an orange jump suit, and a whole lotta money to pay back the Indian Govt and Indian Banks.

The noose is tightening. With Brexit entering final year and British Govt looking for new trade in its old empire. V M will be on a one way ticket the

Calcutta Savoy aka Pallukaville aka Sing Sing aka doing Bird.

Best get that swallow tattoo on the neck VM. Some snout for currency and don’t drop the soap in the showers 😂

31

The ‘hanging judge’ has spoken! Seriously though the point about needing good relations with the run continent may well come onto play. India is a difficult country in which for foreign companies to do business and the UK government will not want further obstacles. VJ should have maybe got himself a Monaco passport as an insurance when he had the chance. It is not as though he did not see these difficulties coming!

32

sub continent. Wretched auto correct strikes again.

33

vj admires ecclestone so gets the best legal advice. he’ll keep walking.

34

There is a Star Wars joke in here somewhere I think, if someone can find it.

Something about Darth (funny enough) trying to stop FI from crossing over to the Dark Side…of the law.

35

In my opinion the guy got unlucky. Let the courts decide on this but F 1 is littered with shady dealers and rumours . Colin Chapman and Delorean or was Bernie part of the great train robbery? So I’ll miss Vijay as he gave us Force India but I will not judge him.

36

Yes. Please dont judge him for cutting tax from his employees salaries, yet not paying the same to the government leading those employees into run ins with the Income Tx department.

Please dont judge him for not paying peoples salaries, yet blowing millions on a birthday bash for himself. https://timesofindia.indiatimes.com/city/goa/Enrique-to-be-Mallyas-Hero-on-60th-birthday/articleshow/50193822.cms

Please dont judge him for absconding from a legal notice.

Please dont judge him for being responsible for a staffers wifes suicide. Please dont judge him for leaving so many employees high and dry. https://www.business-standard.com/article/beyond-business/1-500-lives-interrupted-kingfisher-airlines-employees-left-high-and-dry-114080801126_1.html

Its disgusting for me as an Indian, to see the name of my country be associated with Capt Pompous and Subrata Roy

37

In my opinion the guy got unlucky

Really? He bankrupted half the businesses he inherited( or more), and the data clearly shows ( submitted to UK Govt.), he owe around $1 Billion dollars to various banks, and living as a fugitive from justice with his passport revoked. “Unlucky” is a word reserved for a different case.

38

How will you miss Vijay? He isn’t changing anything about his day to day involvement in F1. All he has done is taken his name off the list of directors held at Companies House – he will still be listed as a ‘person of significant control’ on the Annual Return until his shareholding is reduced. This actually means that the law still considers him to be a ‘de facto’ director – this ‘resignation’ only means someone else will be signing legal papers on the companies behalf.

39

may be he doesn’t want to be held legally responsible for not upholding any future failure legal responsibilities at force india..

40

BOOM! Corporate governance smackdown!

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