At the season finale in Wohlen (Switzerland), Gennadij Moiseev loses to Jaroslav Falta despite massive support from his teammates, but he is nevertheless crowned world champion due to opaque machinations behind closed doors. It is the first world championship title for KTM.

Falta wins the Grand Prix in Gallarate (Italy) and also the first race of his home Grand Prix in Holice (CSSR). In the season finale in Wohlen (Switzerland), there was an ultimate showdown between Falta and Moiseev. The Russian led by 5 points, but Falta took the lead in the first race, while Moiseev fell back with chassis problems on his KTM. When Falta tried to lap him, he attempted to push him off the track and hold him up, allowing Harry Everts (Puch) and Håkan Andersson (Yamaha) in 2nd and 3rd place to close in on the lead. Falta had to pass the Russian and a collision ensued. He crashed and had to settle for third place before the decisive second race. Falta was under pressure ahead of the big showdown and a huge crowd in Wohlen. He had to win this last race to become world champion. He kept his nerve and took the lead, while Moiseev once again struggled with technical problems and dropped out completely in the seventh lap. When Falta caught up with the lapped Russians Victor Popenko and Evgeny Rybalchenko, who, unlike KTM rider Moiseev, were riding the inferior CZ like Falta, they obviously hindered the Czech. Rybalchenko took it to the extreme and knocked Falta off his motorcycle again. The leading Czech fell back to third place due to the crash. The two Russians were disqualified with a black flag for their unsportsmanlike behavior, while Falta mobilized all his strength and caught up with both Caston Rahier (Suzuki) and Harry Everts (Puch) before the finish line. He won the second race and with it the 1974 World Championship! Despite the obvious obstruction by the two Soviets, Falta achieved the impossible in the last race of the year. This would have made him the last world champion on a CZ to date. But history took a different turn. The Soviet Federation refused to accept defeat and lodged a protest against Falta's victory. Their reasoning: Falta allegedly started the second race early. At that time, the start was made via a closed starting ramp that sloped in the direction of travel. How the jury was able to make its decision in favor of the Soviets is still a matter of controversy today, as there was no evidence in the form of moving images or photos, either then or now. No valid reason was ever given as to why the jury in Wohlen ultimately agreed with the Soviet team's opinion. As a penalty, they moved Falta, who had been deliberately knocked off his bike twice in this race, back one minute. This dropped Falta to eighth place. Moiseev was crowned world champion at the green table.

In the shadow of Falta and Moissejew, young Harry Everts custom-built a motorcycle for Puch at enormous expense.