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2002 - Harness Tracks of America, Inc.

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HARNESS TRACKS OF AMERICA<br />

Executive Newsletter<br />

A daily fax and e-mail report on racing and gaming developments in North <strong>America</strong> and beyond<br />

Stanley F. Bergstein, Editor<br />

JUDGE APPOINTED IN INDIANA<br />

The Indiana Racing Commission appointed an<br />

administrative law judge to hear evidence in an<br />

investigation involving the state’s second parimutuel<br />

racetrack. Joe Gorajec, the commission’s<br />

executive director, issued reports on June 27 accusing<br />

<strong>of</strong>ficials <strong>of</strong> Indianapolis Downs with failing<br />

to disclose details about Larry Mohr, a paid lobbyist<br />

and consultant. The reports alleged Mohr<br />

made several phone calls to commission member<br />

Janet Bozzelli and met with her and Nicholas Stein,<br />

also a commissioner at the time, during a threeday<br />

period in May 2001 when the panel was considering<br />

Indianapolis Downs’ application. Gorajec<br />

has recommended that the track under construction<br />

southeast <strong>of</strong> Indianapolis in Shelby County<br />

be fined $1.2 million. Indianapolis Downs <strong>of</strong>ficials<br />

have maintained they met disclosure requirements<br />

and want the fine and the allegations behind it dismissed.<br />

If administrative law judge Bernard Pylitt<br />

accepts the case, he will hear evidence and make<br />

a recommendation to the commission on whether<br />

actions should be taken. Indianapolis Downs wants<br />

someone else appointed to hear the case because<br />

Pylitt played a part in the investigation as an administrative<br />

law judge. The track is also seeking<br />

sanctions against Gorajec and wants him disqualified<br />

from any proceedings involving the track. It<br />

has filed affidavits from two former commission<br />

members who said the investigation was flawed,<br />

in part because Gorajec was prejudiced against<br />

the track. The commission postponed consideration<br />

<strong>of</strong> the allegations against Gorajec until the law<br />

judge makes a recommendation on the other matters.<br />

Commission Chairman Richard Darko said<br />

he could not give a timeline for having the disciplinary<br />

matters resolved, but said it was important<br />

other regulatory proceedings continue. A commission<br />

attorney defended Gorajec’s actions<br />

as “fair and even-handed.”<br />

July 22, <strong>2002</strong><br />

ISLE OF CAPRI TO SELL CASINO<br />

Isle <strong>of</strong> Capri Casinos, the Biloxi, Miss., riverboat<br />

casino operator and parent company <strong>of</strong> HTA member<br />

Pompano Park, has announced it will sell the<br />

Lady Luck casino in downtown Las Vegas to AMX<br />

Nevada for an undisclosed price. In a statement,<br />

Isle <strong>of</strong> Capri Chairman Bernard Goldstein said the<br />

Lady Luck Las Vegas never really fit into the<br />

company’s core business model. “This sale, if consummated,<br />

will allow the Isle <strong>of</strong> Capri Casinos to<br />

return its focus to what we know best, operating<br />

regional casinos outside <strong>of</strong> Las Vegas and Atlantic<br />

City.” Terms <strong>of</strong> the deal were not disclosed.<br />

N.J. NEXT FOR MAGNA???<br />

The Bergen Record reports that the Meadowlands<br />

Racetrack and Monmouth Park, the New Jersey<br />

Sports and Exposition Authority’s two racetracks,<br />

may be the next steps in a current buying spree by<br />

Frank Stronach’s Magna Entertainment<br />

Corporation. George Z<strong>of</strong>finger, president <strong>of</strong> the<br />

Sports Authority, told the Record’s John Brennan,<br />

“If Magna would like to enter into discussions with<br />

regard to the racetracks, we would have an open<br />

ear at the appropriate time. Right now is not yet<br />

the appropriate time, because we are in the process<br />

<strong>of</strong> looking at the overall development <strong>of</strong> the<br />

Meadowlands.”<br />

SAUDI PRINCE DEAD AT 43<br />

Prince Ahmed bin Salman bin Abdulaziz, owner <strong>of</strong><br />

<strong>2002</strong> Kentucky Derby winner War Emblem and<br />

the powerful Thoroughbred Corp. racing stable<br />

died Monday <strong>of</strong> an apparent heart attack at age<br />

43. According to the Associated Press, Ahmed, a<br />

nephew <strong>of</strong> King Fahd <strong>of</strong> Saudi Arabia and chairman<br />

<strong>of</strong> a Saudi publishing empire, died in the capital<br />

<strong>of</strong> Riyadh. Last year, Ahmed’s elder brother,<br />

Prince Fahd, died <strong>of</strong> a heart attack at age 46.

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