According to motoring websites, the KL City 400 Supercar Extravaganza, to be organised by City Motorsports Sdn Bhd, is set to take place from August 12 to August 14 in the city centre.

However, a source has told FMT that a dispute between GT Global shareholders might see a spanner thrown into the works. He said one of the shareholders had filed an application for a court injunction to stop City Motorsports from holding any street race in the city.

It is understood that Kuala Lumpur City Hall (DBKL) last January terminated an agreement it had with GT Global that gave the company the right to hold the race for five years.

The source said the same shareholder had also filed suits alleging conspiracy, fraud, breach of fiduciary duties, breach of contract, procurement of a breach and/or unlawful interference. These suits are directed against individuals tied to either last year’s race or this year’s race or both.

It is understood that legal action has also been initiated against DBKL, the Federal Territories Minister and the Kuala Lumpur Mayor for breach of contract, procurement of a breach and/or unlawful interference.

The source said several police reports had been made, including one over the alleged misappropriation of RM3.5 million of a RM30 million grant for last year’s race. The RM30 million was said to have been approved by the government.

Earlier this month, FMT reported that DBKL said it would not give its approval for any street car race in the city if the organisers of the event could not come up with the funds for it. The statement was made amid reports that the KL City 400 Supercar Extravaganza had already been scheduled. A website for the event is already up.

Also this month, racing website Speedcafe.com quoted KL City 400 Chief Operating Officer Faizal Moulana as saying that last year’s race was “heavily underwritten” by the government and that this year’s event would be the responsibility of a “public-private” partnership. It remains unclear what that entails.

Last year’s race attracted much controversy, with many businesses and members of the public complaining about the traffic congestion caused by road closures. There were also safety concerns as some sidewalks and facilities were blocked by traffic barriers to facilitate the race, forcing pedestrians to walk on the streets.