And you thought offshore bet shops might not pay... - Horse Racing Forum - PaceAdvantage.Com

highnote · 02-25-2007, 03:56 AM

http://www.drf.com/news/article/82704.html

Quote:

Bet shop sues NYRA for funds
By MATT HEGARTY
Lien Games, the North Dakota gambling supplier and rebate-shop operator, has filed a lawsuit against the New York Racing Association claiming that NYRA's debt to the company should be paid immediately.

NYRA filed bankruptcy late last year, and Lien Games is listed under its unsecured creditors for a debt of $1.6 million. Lien claims in its lawsuit, filed on Feb. 8 in U.S. Bankruptcy Court in the Southern District of New York, that the debt should be repaid immediately because the money was already distributed by Lien to winning bettors and did not constitute one of NYRA's debts because the money was part of a parimutuel pool.

I agree with Lien Games. If the money owed them by NYRA was part of the pools, then why did NYRA keep the money? NYRA should have taken their cut and sent Lien Games their cut. But to keep Lien Games cut seems just plain wrong -- bankruptcy or not.

Maybe there is more to the story. ????

fouroneone · 02-25-2007, 10:05 AM

I think if NYRA knows the money was "dirty" or came from an illegal source they should have every right to keep it or forward it to the proper authorities.

Thess · 02-25-2007, 10:15 AM

http://www.thoroughbredtimes.com/nat...t-dispute.aspx

Quote:

Off-track outlet sues NYRA over settlement payout dispute

By Frank Angst

In a lawsuit filed in New York, a North Dakota off-track betting outlet accuses the New York Racing Association of failing to pay off winning bets by illegally including owed pari-mutuel payouts in its bankruptcy creditor list.

Lien Games Racing said NYRA violated New York law by not protecting pari-mutuel funds it owed the Fargo, North Dakota, company. Lien Games is suing NYRA for $1,634,303.97 for money owed on winning wagers on NYRA races placed at the outlet.

The Thoroughbred Times did a much better job with the article about the Lien Games lawsuit. The Daily Racing Form has a conflict of interest because they are also owed money by NYRA and also in bankruptcy court. Their lawyer has opposed Lien Games getting paid, even though the money is owed from the parimutual pools.

highnote · 02-25-2007, 11:13 AM

Quote:

Originally Posted by fouroneone

I think if NYRA knows the money was "dirty" or came from an illegal source they should have every right to keep it or forward it to the proper authorities.

Do you think Lien games is an illegal source of money or are you just saying in general NYRA has the right to do as you stated above?

I have always read on this board that NYRA didn't take bets from rebate shops. Why does NYRA take bets from this rebate shop and not others?

And if they take bets from this rebate shop, why don't they pay them what they are owed?

NYRA also owes TVG over $4,000,000!

What happened to all the money?

How did the most valuable racing property in the country fall so far?

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Here's a statement from a Day at the Track press release:

Quote:

About Day at the Track:
With offices in Novato, CA and Denver, CO; Day At The Track provides online wagering solutions for the thoroughbred, harness and greyhound racing industry. Licensed through the State of Idaho, Day At The Track also works with all U.S. and International Race Commissions and Horseman Organizations.

rrbauer · 02-25-2007, 11:35 AM

This is a case where a quasi-government agency is getting away with murder. But, of course, that's what they're used to. Screwing over horseplayers has just led to screwing over private corporations. Where's the bond they posted to guarantee that they would make payments of all money held in a fiduciary capacity? Oh! They didn't post a bond because they had the mighty state of NY behind them.

Yeah, right.

Thess · 02-25-2007, 11:42 AM

Quote:

Originally Posted by fouroneone

I think if NYRA knows the money was "dirty" or came from an illegal source they should have every right to keep it or forward it to the proper authorities.

Lien Games under went an investigation by the TRPB (thoroughbred racing protective bureau) at a considerable cost to them. None of the offshore betting shops have consented to this process.

Keeneland pointed this out, in a story in the Daily Racing Form.
http://www.drf.com/drfNewsArticle.do...8&subs=0&arc=1

Quote:

One rebate shop getting track's signal

By MATT HEGARTY
LEXINGTON, Ky. - Keeneland is continuing to block its signal to most offshore rebate outlets, a spokesman for Keeneland, Jim Williams, said on Thursday, although one domestic rebate site has been allowed back into the track's pools.

The site, Lien Games in North Dakota, has been allowed to take bets on Keeneland races because, Williams said, it "fulfilled the due diligence and provided the information we requested" through the Thoroughbred Racing Protective Bureau, a racetrack-owned investigative agency.

highnote · 02-25-2007, 11:45 AM

Quote:

Originally Posted by Thess

Lien Games under went an investigation by the TRPB (thoroughbred racing protective bureau) at a considerable cost to them. None of the offshore betting shops have consented to this process.

Maybe Lien games should have investigated NYRA?

Indulto · 02-25-2007, 04:14 PM

Quote:

Originally Posted by swetyejohn

Maybe Lien games should have investigated NYRA?

Lean times for Lien Games. I guess they were forward-looking in naming their company. What are they doing for their customers who still want to bet the bias at AQU?

trigger · 02-25-2007, 06:11 PM

If I'm not mistaken, Lien is a "private" OTB with the only two bettors being the owners.

PaceAdvantage · 02-25-2007, 08:25 PM

Quote:

Originally Posted by rrbauer

Screwing over horseplayers has just led to screwing over private corporations.

NYRA screws over horseplayers? Yeah, with their fight for lower takeout and their proactive approach to policing their pari-mutuel pools, I totally understand where you have the opinion that they screw over horseplayers.

Not.

PaceAdvantage · 02-25-2007, 08:26 PM

Quote:

Originally Posted by swetyejohn

I have always read on this board that NYRA didn't take bets from rebate shops. Why does NYRA take bets from this rebate shop and not others?

Off-shore rebate shops.

Thess · 02-25-2007, 09:32 PM

Quote:

Originally Posted by PaceAdvantage

NYRA screws over horseplayers? Yeah, with their fight for lower takeout and their proactive approach to policing their pari-mutuel pools, I totally understand where you have the opinion that they screw over horseplayers.

Not.

While I applaud the actions NYRA has taken in regards to what you listed. The fact remains, they didn't pay off all the winning bettors in their parimutual pool.

Premier Turf Club · 02-25-2007, 11:25 PM

Quote:

Originally Posted by PaceAdvantage

Off-shore rebate shops.

When we were kicking around possible sites for our venture, one of the first ones we thought about was St. Kitts. Our conversation with executives at NYRA quickly made us change our minds. They told us something to the effect of "even if we were OK with an off-shore site based upon our investigation of the principals, the NYSRWB would NEVER go for it. We couldn't even present you because they'd laugh us out of the room."

We quickly decided Fargo was a nice place for a 2nd home.

Hosshead · 02-26-2007, 09:07 AM

Quote:

Originally Posted by PaceAdvantage

NYRA screws over horseplayers? Yeah, with their fight for lower takeout and their proactive approach to policing their pari-mutuel pools, I totally understand where you have the opinion that they screw over horseplayers.

Not.

Don't forget nickel breakage.

PaceAdvantage · 02-26-2007, 10:50 AM

Quote:

Originally Posted by Thess

While I applaud the actions NYRA has taken in regards to what you listed. The fact remains, they didn't pay off all the winning bettors in their parimutual pool.

Actually, all the winning bettors DID get paid by Lien, according to the article you posted. Lien is having trouble collecting from NYRA, but the bettors got their money.