Caterham set to miss next two races as crisis deepens

Although a final decision about its plans has not yet been taken, the administrators revealed on Friday that it had been given dispensation by F1 supremo Bernie Ecclestone to miss the events in Austin and Interlagos so it could work on securing its future.

After the previous management team led by Engavest and its representative Colin Kolles decided to step aside on Friday, administrators Smith & Williamson took over control of the outfit.

In a statement issued on Friday afternoon, it said that the move - which has included a deal to take over shareholding of the team - should boost the team's chances of finding a buyer that can keep it going.

The statement said that administrator Finbarr O'Connell had spoken to F1 supremo Bernie Ecclestone to seek his support in moving things forward, and had been told it could miss the next two events.

The statement said: "In a telephone conversation today between Finbarr O'Connell and Bernie Ecclestone, Mr Ecclestone agreed to support the administrators in their wish to sell the Formula 1 team to a party with the financial strength to sustain it into the future.

"Mr Ecclestone also agreed to give dispensation to Caterham F1 such that it could if necessary miss the US and Brazilian Grands Prix but hoped that a new owner would be in a position to race the team at the Abu Dhabi Grand Prix."

Smith & Williamson claims that there are a number of parties interested in buying the team and it was hopeful a deal could be concluded in the next few weeks.

O'Connell said: "We believe this arrangement gives us a much better chance of being able to reach a better conclusion for the racing team and its creditors.

"While this is a great step forward in making the whole team and assets more attractive, there is no need for the staff of 1MRT to return to the Oxford site in Leafield until a sale of the Formula 1 team occurs.

"This is a difficult situation which is not of our making. We regret any personal impact on 1MRT's employees. As administrators for CSL, we are seeking to maximise the outcome for its creditors and other stakeholders."