Enterprise

Larry Ellison's America's Cup Racing Team Just Confessed To Breaking The Rules

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Larry Ellison and airplane
Oracle CEO Larry Ellison  AP

Three of Larry Ellison's racing sailboats placed a five-pound weight in the wrong spot, a rule violation that has caused them to give back two previous seasons of championship trophies, reports the San Francisco's Chronicle's Tom Fitzgerald.

Oracle Team USA made the confession on Friday that it did break the rules. The company is voluntarily giving up its championships, it said.

The overall weight of each boat was correct, but the rules governing weights are fanatically detailed. Where teams place weights is as important as how much overall weight they add to a boat because the placement of the weights can affect how a boat handles, reports FitzGerald.

Just to give you an idea, we're talking about the misplacement of 5 pounds on a boat that weighs about 12,500 pounds.

The boats involved were the previous racing sailboats, known as AC45s, a class of 45-foot yachts. The current boats are the AC72. AC45s are now only used for training, according to a statement by the Oracle team. But until this year, they were the boats being used in the America's Cup World Series regattas.

The Oracle teams says that it's not a bunch of cheaters and that it didn't deliberately put the 5-pound weights in the wrong spot. Team employees moved the weight over a year ago "without the knowledge of management or the skippers," the statement says.

Still, it's another black eye to Ellison's team in a racing season marred with setbacks. The Oracle team was also fined three practice days earlier this year over a spying violation in New Zealand. A sailor for the Artemis team, Andrew "Bart" Simpson, died in the San Francisco Bay this summer after a practice session with Oracle. Last fall, during a practice season, Ellison's team wrecked one of the boats, too.

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Julie Bort was Business Insider's Editor at Large for the Tech team. She loves investigating stories and shedding light on the tech industry's most amazing people.Here's a small sample of some of Julie's work.Former Pinterest employees describe a traumatic workplace where managers humiliate employees until they cry, Black people feel alienated, and the toxic culture 'eats away at your soul'Sex, tequila, and a tiger: Employees inside Adam Neumann's WeWork talk about the nonstop party to attain a $100 billion dream and the messy reality that tanked itInsiders say WeWork's IT is a patchwork of cheap devices and Band-Aid fixes that will take millions to fixWeWork's toxic phone booths were created in-house by its Powered by We business70-hour weeks and 'WTF' emails: 42 employees reveal the frenzy of working at Tesla under the 'cult' of Elon MuskElon Musk works so many hours at Tesla, employees are constantly finding him asleep under tables and desksHow this woman went from a Pizza Hut employee to a founder of a $4 billion startupAn Oracle insider explains how some salespeople gamed the system to sell more cloudTHE TAKEDOWN OF TRAVIS KALANICK: The untold story of Uber's infighting, backstabbing, and multimillion-dollar exit packagesMicrosoft is in talks to buy GitHub, a startup at the center of the software world last valued at $2 billionThe alarming inside story of a failed Google acquisition, and an employee who was hospitalizedInside Facebook's plan to eat another $350 billion IT marketHow a registered sex offender wound up living in an Airbnb hosting unsuspecting guestsA controversial ex-banker is the person who really runs Twitter — and he's gambling the company's future on one risky betSecret passages and skipped meals: Oracle's CEO gave us a rare peek at what it really takes to run a $37 billion companyHP told some employees to choose between becoming contractors with no benefits or being fired without severance'I felt like we were being extorted': Customer says Oracle tried to strong-arm him into a cloud saleHow the queen of Silicon Valley is helping Google go after Amazon's most profitable businessAirbnb host: A guest is squatting in my condo and I can't get him to leaveLIES, BOOZE, AND BILLIONS: How one of the fastest-growing startups in Silicon Valley history raised $580 million then spiraled out of controlGitHub is undergoing a full-blown overhaul as execs and employees depart — and we have the full inside storyWhen she's not writing for Business Insider, Julie can usually be found on the trails, on my mountain bike, or on my skis, if you know where to look.