Minister Corey Wingard’s bid to control racing industry revealed as a sting in the tail of $24 million rescue package
Be careful of the fine print — the racing industry has discovered the big sting in the tail of the Government’s $24 million rescue package.
A new crisis threatens to grip the racing industry following the uncovering of intimate details of the State Government’s $24 million stimulus package.
The payment would come with conditions – it would depend on changes to the process of selecting directors to racing’s peak administrative body, Thoroughbred Racing SA.
The Advertiser understands the Government is insisting on seizing back control of racing and will appoint a majority of members on a panel that will determine the composition of the TRSA board.
Furthermore, the TRSA board must be “endorsed” by Racing Minister Corey Wingard.
The issue has reignited decade-old wounds among racing administrators and threatens to tear the sport apart.
The future of long-term TRSA chair Frances Nelson, QC, is known to be in question with the leading legal representative a target for removal.
In a letter to Ms Nelson, seen by The Advertiser, TRSA joint shareholders, Country Racing SA and the South Australian Jockey Club, have asked if her board supports the Minister’s demands.
The letter states Mr Wingard is insisting on the changes as soon as possible and well before Treasurer Rob Lucas’s deadline for, “industry best practice principles” set down for June 2020.
Under the current model, CRSA, representing the state’s 24 country clubs and the South Australian Jockey Club, which conducts Adelaide metropolitan races, have one member each on the TRSA director’s selection panel.
But under the grant conditions, yet to be agreed, the Racing Minister will appoint three members of a five member panel with the SAJC and CRSA providing just one member each.
An industry insider told The Advertiser the prospect of the industry rejecting taxpayer money was “unthinkable” as many clubs “will go bust” without a cash injection.
“They are not happy about this level of government interference and want to hang on to their power but they have to agree to the changes,” they said.
In response to a series of questions from The Advertiser, Mr Wingard said the conditions on the grants to industry had been imposed to ensure “the best possible value for money”.
“We have agreed to invest in the racing industry with the prerequisite that it develops a sustainable business model.”