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How Does FIA Spend the Money Given by F1 Teams and Drivers Through Penalties?

Anirban Aly Mandal
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Motorsport FIA Formula 1, Grand Prix of Italy 2024 emspor, v l FIA Crest Logo

In the wake of the FIA’s decision to penalize drivers for using swear words, the Grand Prix Driver’s Association (GPDA) has come on record to call out the governing body of international motorsport. The association wrote an open letter to FIA President, Mohammed Ben Sulayem — asking for more transparency and respect for the drivers.

The main bone of contention for the drivers is that they want to be treated as adults. But with the rising penalties and monetary fines, the GPDA has set the cat amongst the pigeons with a burning question — where does this money go?

According to Auto Motor und Sport, the GPDA wrote, “The GPDA has repeatedly pointed out that fines are not appropriate in our sport. For three years now, we have already called on the FIA president to tell us how the fines are booked and where they end up.”

The matter of fines is discussed in Article 12 of the International Sporting Code (ISC). According to the ISC, Stewards have the discretion of imposing fines that cannot exceed 1 million euros for the FIA F1 World Championship. The article further goes on to highlight that these fines shall be paid directly to the FIA.

That said, the ISC is completely silent on how these fines are utilized by the governing body. Is this pure revenue for the FIA? Or is this money that is earmarked for developing the sport and safety standards? It is not clear, and that’s what the drivers are not happy about.

Is the FIA really being unreasonable with F1 drivers?

As explained above, the GPDA is not in favor of the fines anyway. But what has really riled them up is the unilateral and arbitrary way that these fines are drawn up. Firstly, the Stewards have complete discretion in terms of the factum and quantum of fines.

Secondly, there is no accountability or transparency in terms of where this money goes and how it is handled. Moreover, fines have become an even more contentious topic in the paddock since the latest amendment to the ISC.

Before this amendment, the maximum fine that could be imposed was a sum of 250,000 euros. This was drastically changed overnight to the one million euro figure prevalent in Article 12.6 today.

Post Edited By:Aishwary Gaonkar

About the author

Anirban Aly Mandal

Anirban Aly Mandal

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Anirban Aly Mandal is an F1 writer at The SportsRush, with over 1000 articles under his belt, Anirban's love for F1 started when he discovered a copy of F1 2014 on his computer. With over half a decade's worth of time spent religiously following the sport, he’s dived deep into the world of motorsports. However, Anirban's expertise goes beyond just writing - he has also written several academic papers focused on the domain of motorsports and the law. His passion for the sport is so immense that he aspires to work as a legal advisor in the most prestigious racing series in the world someday. When it comes to Formula 1, Anirban finds great pleasure in re-watching classic races and idolizes the likes of Ayrton Senna, Nigel Mansell, and Sebastian Vettel. His top picks include Brazil '91, Silverstone '92, and Germany '19. Outside of the sport, Anirban is an avid sim racer, often found racing on titles like Assetto Corsa, F1 22, and Automobilista. Apart from his interests in gaming, Anirban has a keen interest in philosophy, literature and music.

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