Vendee Globe is financial & legal jeopardy

by Scuttlebutt Europe on 3 May 2003 The fate of the next Vendée Globe race is in doubt, after organiser Philippe Jeantot was charged with tax evasion by the bankruptcy court in Les Sables
D'Olonne. The limited liability company Sail-COM, whose manager is Jeantot, was placed in bankruptcy on December 4, 2002. Based in Grosbreuil (in the
Vendee), Sail-COM organises the Vendée Globe and has all rights to the race.

The company was assessed a tax bill of 250,000 Euros by the commercial court of La Roche-sur-Yon, which it has been unable to pay.

Jeantot was held in the police station at Les Sables D'Olonne where he was questioned by authorities about his withdrawal from company tax accounts a reported 3 million euros in VAT and other taxes.

He was released, but Judge Christelle Haquet has ordered him to appear on May 7 before the bankruptcy court 'in order to extend liquidation to his personal inheritance'.

Investigations are currently underway to determine if the Vendée Globe is a legally protected concept, particularly with regards to patent rights. If it
is confirmed that the name of the competition, its concept, and all other rights belong to Sail-COM, then the disappearance of that company could
involve, in fact, the disappearance of the race.

As for the general council of the Vendée, a principal partner in the race, the big question is the future of the race. Laurent Pineau, director of
communications for the council stated that things are not simple, particularly with regards to legal issues, and that the council will need
more time to assess and react to these fast moving developments.

The president of the general council, Philippe de Villiers, affirmed that the race would take place as envisaged, with a start in November 2004, and
that if the race were to be sold in the framework of the bankruptcy of Sail-COM, 'the communities, in particular the general council of the Vendee,
would purchase it.'

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