The Chief Executive of Aussie Horseracing Upset With Government Actions

The New South Wales horseracing industry is reported to have reacted strongly to the latest news regarding online gambling group Betfair’s discussions with the New South Wales state government for the attainment of an operating license that would allow it to take bets online for horseracing.

Peter V'Landys, who is New South Wales’s Racing chief executive, has been harshly critical of the general reports of the state Premier's office, saying they are planning to grant Betfair, the betting exchange, a license to operate in accordance with what is being widely reported in the Australian press.

V'Landys is reported as complaining that the racing industry had not been consulted as regards the financial effects if Betfair were to be allowed to operate in New South Wales which could be costly to the horserace betting industry, an industry that is already suffering from the effects of a horse 'flu crisis, and could end up costing it millions of dollars in lost revenues.

V'Landys has stated that the concerns of the industry is that they have not been included in the decision to grant Betfair a license to operate online in New South Wales. He says that Betfair’s introduction into the market could mean the lose tens of millions in revenue. His main point is that other forms of wagering are not able to fairly compete with Betfair.

The present plan has Betfair paying 24 cents for every $100 bet. This can be compared with the figure of $1 that is presently paid by bookmakers or the larger figure of $4.50 being paid by the totalisator. This means that to compete, the present turnover would have to increase from the current $4.5 billion per year to around $80 billion. Something that is generally felt to be totally unrealistic.

V'Landys says that up until the present time he has not heard from anyone associated with the New South Wales government regarding this issue and that he only know what he has read in the paper with regard to the plans of the state government toward granting Betfair a license.

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