A banker who was previously the head of Formula One's holding company SLEC has been arrested in Germany

Prosecutors have revealed that Gerhard Gribkowsky was taken into custody on charges of corruption and tax fraud tied into the deal that saw the sale of F1 shares by the bank BayernLB to CVC Capital.

The investigation is centred on 'two consultancy contracts totalling $50 million' which were paid to Gribkowsky through two accounts in Austria for his part in brokering the deal, with prosecutors arguing that he had led the bank into the sale without evaluating the true value of the company.

BayernLB has only taken control of shares in F1 after the media empire led by Leo Kirch went bankrupt, with Kirch having previously secured a loan with the bank in order to purchase shares in F1.

As well as investigations into bribery and breach of trust, Gribkowsky is alleged to have failed to pay taxes on the additional income.

 

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