Craig Pollock’s ’Pure’ company has paused its operations, the German website motorsport-total and journalists Dieter Rencken and Stefan Ziegler have revealed.
Pollock, formerly the founder of Brackley based BAR and Jacques Villeneuve’s manager, announced last year he intended to supply ’Propulsion Universelle et Recuperation d’Energie’ (Pure)-branded engines to formula one customers for the 2014 V6 regulations.
The company set up camp at Toyota’s Cologne headquarters earlier this year.
But the project, which also involves former Ferrari and FIA engine boss Gilles Simon, has hit a financial roadblock, the German-language report said.
A key investor pulled out a month ago, and now Pure will have to move out of Cologne, where it utilised office space, a workshop and engine test stands.
Simon informed Pure’s partners and suppliers of the unfortunate development by email, explaining a financing problem.
Motorsport-total.com said Pollock confirmed the news.
"The situation is very simple," he is quoted as saying. "The investor is from the United States."
He went on to explain that Pure needs financing to come from Europe in order to satisfy Swiss tax rules.
"Until now we’ve been manufacturing parts and assembling engines in Cologne, but as of today, all of this has stopped," said Pollock.
He said he is expecting new European-based finance to be in place by "the end of the month".