2005 - Harness Tracks of America, Inc.

HARNESS TRACKS OF AMERICAExecutive NewsletterA daily fax and e-mail report on racing and gaming developments in North America and beyondStanley F. Bergstein, Editor January 27, 2005SLOT HOPES DIM IN INDIANA ANOTHER FED TRIAL BEGINSChances for slots at Hoosier Park and Indiana While the Racing Services trial droned on, anotherfederal trial was getting underway in Provi-Downs dimmed yesterday, when the chairmanof the House Public Policy Committee said he dence, Rhode Island, where Dan Bucci, formerwon’t allow a vote on the issue unless the proponentsand opponents get together on a compro-CEO of Lincoln’s owner, Wembly Plc, are facingCEO of Lincoln Park, and Nigel Potter, formermise, which seems unlikely. The chairman, RobertAlderman, said, “This is not my issue. I cer-Lisi spent yesterday interviewing jurors, and infederal bribery charges. U.S. district judge Marytainly don’t live or die on this issue. I will drop it federal court, trials begin immediately after juryin the trash can before I let it become political, I selection, which is expected to be completed thiscan tell you that right now.” Alderman also said week. Bucci, Potter and Lincoln Park are underthat if he takes the bill off the table, it will not be federal indictment for allegedly attempting to payrevived this session. The issue at the moment a bribe of millions of dollars to an attorney whosehas evolved into one between the Democratic cousin and law partner was speaker of the Housemayor of Indianapolis, Bart Peterson, and the of Representatives in Rhode Island at the time,new Republican governor, Mitch Daniels, over a supposedly to stop a Narragansett Indian bid fornew stadium for the Indianapolis Colts. Peterson a casino and to add slots at Lincoln Park.apparently has abandoned his quest for a casinoin downtown Indianapolis, realizing there is no DOES THIS SURPRISE YOU?chance of getting that accomplished, but he still The governor of West Virginia, looking to privatizethe state’s workers’ compensation program,hopes to raise $46 million a year for 30 years,which is what he says is needed. In another Indianadevelopment, three of the seven members be the state’s race tracks. He is proposing to gethas decided a good place to help finance it wouldof the state gaming commission resigned in responseto governor Daniels’ call for them to do splitting the slots’ contribution to purses betweenat least $20 million of the needed $230 million byso. So far, 17 members of various state boards purses and the state, with the state’s share cappedhave turned in their resignations, although at $20 million. The tracks received $91.9 millionDaniels is not expected to accept all of them. in purse subsidies from slots in the 2004 fiscalyear that ended June 30.MORE DIAZ-BALA TESTIMONYThe romance clearly is over between RaymundoDiaz Jr. and his former boss and buddy, Susan Bala.Yesterday, as the Racing Services trial continuedin Fargo,ND, Diaz testified that he had shared concernswith Bala about state taxes not being paid amonth before the outfit was raided, and that shehad told him she would take care of the matter.The accountant who prepared Bala’s income taxreturns said that as betting increased so did Bala’ssalary, leaping from $120,716 in 2001 to $683,624in 2002, then dropping back to $122,815 in2003, after the golden goose was stricken.HAVE A DRINK, WITH SLOTSThe Oregon State Lottery Commission, urged bygovernor Ted Kulongoski, voted unanimouslyyesterday to allow slot machine-style games in asmany as 2,200 bars and restaurants across thestate. The establishments could have the electronicmachines online as early as July 1. Barsand restaurants have had video poker in Oregon,but to get the new slots they will have to agree toa reduction in their share, which produced $164million in profits on video poker last year.