Account Betting Getting Closer in New Jersey
The New Jersey Racing Commission expects to consider a "participation agreement" for distribution of revenue from account and off-track wagering at an Aug. 18 meeting at which the stakeholders are expected to apply for a license to begin account betting. The stakeholders are: the New Jersey Sports and Exposition Authority, which operates Meadowlands and Monmouth Park; Pennwood Racing, which owns Freehold Raceway; and Greenwood Racing, which owns Atlantic City Race Course. The NJSEA will handle the account wagering application for all the parties.
The New Jersey Account Wagering Operating Board was formed at a meeting on July 16. Dennis Dowd, vice president of off-track wagering and account wagering for the NJSEA and a member of the board, said the stakeholders would apply for a license in hopes of having computer-based account wagering with video streaming ready by mid October. Voice and touch applications would be added later, followed by a system whereby live operators would take calls.
SimulTech Awaiting Potential Investors
New York-based Stevenson and Associates wants to create an offshore wagering hub and it's lining up potential investors. The hub, called "SimulTech," will be designed to enable bettors in foreign countries to place wagers on U.S. racing. "They've sent out private placement offerings to about 10 possible investors," said Laura D'Angelo, an attorney for Stevenson and Associates. "They are in various stages of discussing investment (in SimulTech) with individuals and companies. They have a minimum amount of capital they'd like to hit."
D'Angelo said they haven't yet picked a location for the hub. The goal is to develop simulcast revenue from the Caribbean, Central America, South American and South Pacific regions. The National Horsemen's Benevolent and Protective Association has signed off on the concept and is working in concert with SimulTech on the project.
Scandal at Plainridge
Gary Piontkowski, the head of Plainridge Racecourse in Massachusetts, could face criminal charges and professional sanctions after the release of a damning police report indicating that he took illegal phone and credit card bets from a wealthy New York broker at the track. The cash payments were filtered through the track's money room and the report was forwarded to the state racing commission and the attorney general. According to the Boston Herald, the report alleges that Piontkowski allowed high rollers to phone in bets in violation of state racing laws. The report centers on the betting habits of commodities broker and horse owner Sanford Goldfarb, who was allowed to phone in bets on his credit card and paid with checks to Plainridge. Track officials originally claimed the checks were for "unspecified services," but the investigation revealed they were betting debts. Beyond the phone bets, Goldfarb was also allegedly allowed to bet on credit, a practice that's still illegal. According to the report, in some cases cash was removed from the money room and wagered at pari-mutuel windows on Goldfarb's behalf. One source told the Herald that Goldfarb bet as much as $100,000 in a day.
Racefax No More
Citing a lack of response from the U.K. Jockey Club, Clive Reams has shut down Racefax, a service that monitored races in Britain for suspicious betting movements. Reams, who said the Jockey Club is "disillusioned with racing," dropped the service after listing over 350 suspicious races with irregular betting activity during a 20-month span.
"I did a two-month free trial for the BHB, which was well received. At the end of the two months, I expected the Jockey Club to come in, which they didn't," Reams told the Racing Post. "They took on three ex-police people as investigative personnel, and I sent them details of 353 races I thought they should look at. The Jockey Club has presented the position that the problem is small and they are in control. Neither is true."
Reams will instead focus his efforts on creating a football betting exchange.
attheraces Battle Not Over
Officials with the BHB and the Racecourse Association have joined forces to challenge the Office of Fair Trading's ruling on the now defunct attheraces deal. The RCA submitted a claim to the Competition Appeals Tribunal in June, and the BHB followed suit last week. The claims were responses to the OFT's April 5 ruling that the parties had breached the Competition Act 1998 by acting together in their negotiations with attheraces. BHB chief executive Greg Nichols said on Sunday that its claim was based on protecting the sport's ability to sell its rights collectively. Since the OFT published its attheraces ruling, it has agreed that the BHB can sell its data rights centrally to the bookmakers.
Magna Gets DISH Network
Magna Entertainment Corp. announced that its HorseRacing TV television network has reached a carriage agreement with EchoStar Communications Corporation's DISH Network. The deal expands HorseRacing TV's distribution in the United States by 10 million viewers. Those who subscribe to the system's "Top 60" programming package will get the channel at no cost; others can get the channel as a special add-on to their programming. HRTV features television coverage of 13 racetracks owned, operated or managed by MEC. The network also has access to live coverage from more than 60 other racetracks in North America. Wagering, where not expressly prohibited by law, is conducted via the phone or Internet through XpressBet, MEC's national account wagering system.
Irish Stewards Looking at Betting Exchanges
Racing stewards in Ireland met last week to discuss a report from the Turf Club and its chief executive Denis Egan on what steps can be taken to address betting exchanges. The stewards agreed to meet again on Sept. 5 in the hopes of having a strategy in place. Egan recommended that the group reach a memorandum of understanding with Betfair and other exchanges to help keep race fixing to a minimum.
"There are a few big issues that still have to be discussed, including a memorandum and what staff we will need," Egan said. "All this will be agreed at the Sept. 5 meeting, and after that we will be in a position to go ahead."
The stewards feel there is insufficient betting on Irish racing to necessitate a memorandum of understanding, although Betfair handles a reasonable turnover on most Irish races. The Turf Club said all along that it might take a different approach once Irish racing returned to digital television, which happened last month.
Football and Racing Mix for Charity Event
None other than Manchester United boss Sir Alex Ferguson helped bring together the starts of racing and Premiership football teams in an effort to raise money for charity in July. The event saw leading jockeys racing in each team's strip. Points were allocated in all the races and compiled into a league table, with one being declared the winner at the end of the day. Premiership players past and present, as well as other celebrities, were on hand to cheer on their teams' horses. Stars from Eastenders, The Bill and Coronation Street were present alongside the football legends. The event raised more than £100,000 for children's charities throughout the United Kingdom.