Appeals Panel Makes Decision on Kaulig Racing Penalties

Getty Justin Haley practices at Circuit of the Americas.

The appeals panel has made its decision regarding the L2-Level penalties issued to Kaulig Racing for illegal modifications of a single-source part. The result is a slight change to the original penalties issued by NASCAR.

According to a press release, the appeals panel — Mr. Hunter Nickell, Mr. Shawna Robinson, and Mr. Steve York — determined that the No. 31 team of Kaulig Racing violated the rules set forth in the original penalty notice. The panel determined that they broke Sections 14.5.4.2.A of the Rule Book by making unapproved adjustments to the single-source part (hood louvers).

NEWS: The National Motorsports Appeals Panel rules to uphold the L2 penalty issued to the No. 31 of Kaulig Racing.

The $100,00 fine and four-race crew chief suspension stand. The team’s Driver and Owner points have been amended to a loss of 75 points. pic.twitter.com/WudjgKKJHm

— NASCAR (@NASCAR) April 5, 2023

The only change from the original penalty report is the number of points lost. The panel reduced the 100 owner points and 100 driver points to only 75 owner points and 75 driver points.

The panel upheld the original $100,000 fine and four-race suspension issued to crew chief Trent Owens. Kaulig Racing also lost 10 owner playoff points and 10 driver playoff points.

This Decision Was Significantly Different Than a Previous Appeal

Kaulig Racing is the second team to appeal L2-Level penalties issued after NASCAR officials confiscated hood louvers. It is the only one to receive a penalty that will significantly affect the outcome of the season.

Officials confiscated eight hood louvers from Hendrick Motorsports — two from each team — after practice at Phoenix Raceway on March 10. They also confiscated one hood louver from Kaulig Racing. On March 15, NASCAR then announced it had issued L2-Level penalties to all four Hendrick Motorsports teams and the No. 31 team of Kaulig Racing.

Hendrick Motorsports was the first team to appeal the penalty. It met with a panel featuring Mr. Bill Lester, Mr. Dixon Johnston, and Mr. Kelly Housby. This panel determined that HMS had violated the rules, and it upheld the fines and suspensions issued to the respective crew chiefs.

However, the panel made the decision to amend the original penalty. It rescinded all of the points penalties issued to Hendrick Motorsports, which only created strife in the industry.

This Decision Only Creates Further Issues

When the appeals panel made the decision to uphold the fines but give back the points to Hendrick Motorsports, there was an uproar in the garage. For example, there were nine crew chiefs and three competition directors that spoke to “The Athletic” writer Jordan Bianchi under the condition of anonymity.

These industry members expressed disappointment while asking “How can you be half pregnant?” They also indicated that the garage would become the wild west if teams believed that they could get away with illegal modifications and only have to pay a fine.

The conversation also shifted to the Kaulig Racing appeals. There were discussions taking place in which some in the industry predicted that the appeals panel would give the No. 31 team its points back while upholding the fine and the suspension. Anything else could potentially be viewed as favoritism to Hendrick Motorsports.

Unless the appeals panel discloses details, I know no other way to rationalize this than to say brand privilege is a thing. The Hendrick brand must invoke an instinctual human response, action, feeling, influence, respect, something… that the Kaulig brand does not. https://t.co/SRkpj8xUjT

— Mike Davis (@MikeDavis88) April 5, 2023

The appeals panel, which featured different members, did not make the expected decision. Instead, it only created a messier situation. Now there are even more conversations taking place about “brand favoritism” and “double standards.”

One reason why these conversations are taking place is that there isn’t any transparency in the process. No one knows what evidence was presented or how the two separate panels came to their decisions about Hendrick Motorsports and Kaulig Racing.

Maybe the No. 31 team made different “adjustments” to the one hood louver than the Hendrick Motorsports teams made to the eight. Maybe Hendrick Motorsports had different evidence when presenting its case. Without transparency, there is no clear answer. There are only contentious comments.