Court hears of Racing Victoria’s secret deal to cut Racing NSW out of Australian racing

The chairman of Racing Victoria told his CEO it was time to start “firing some real bullets” in its battle with Racing NSW, the Supreme Court has been told.

Racing NSW chief executive Peter V’landys, left and Racing Victoria board member Greg Nichols, right. Pictures: Supplied

The chairman of Racing Victoria told his CEO it was time to “stop playing by the rules” and start “firing some real bullets” in its battle with Racing NSW, the Supreme Court heard today.

Documents tendered to the court in Racing NSW’s anti competitive behaviour case against Racing Victoria allegedly outline details of the plan to oust NSW from a national racing body.

But even as covert conversations were being held between Racing Victoria and the other states its officials were telling a different story about what was going on to Racing NSW chiefs, the court heard.

Racing NSW lawyer Oliver Jones said both Racing NSW chairman Russell Balding and chief executive Peter V’landys directly asked if the states were colluding behind NSW’s back.

Those concerns were dismissed by Racing Victoria board member Greg Nichols as “laughable”, Mr Jones told the court.

Racing Victoria chairman Brian Kruger.

Chairman of Racing NSW, Russell Balding.

But he said documents showed that at the time of Mr Nichols’ denials Racing Victoria was discussing a Plan A to force Racing NSW to join a new racing body with no power of veto over decisions and a Plan B to form a new national body excluding Racing NSW altogether.

He said Racing NSW was a “disrupter” of the existing pattern of races that saw prime Group One races run on days where they did not compete with Group One races in other states. As a result Victoria was blocking The Everest, Australia’s richest race, from getting Group One status.

Think About It wins the 2023 The Everest

“Racing Victoria would only support The Everest being a Group One race subject to it being on a date that does not disrupt the pattern,” he said.

Racing NSW then moved the Group One Spring Champion Stakes to an earlier date putting it into competition with Group One races in other states.

That prompted a letter to Racing NSW from then Racing Australia chair John Messara warning that moving the race meant it may not comply with the Asian pattern racing.

“He is saying to Racing NSW the Spring Champion Stakes may be stripped of its Group One status because the date has changed,” he said.

In an email after the letter was sent then Racing Victoria chairman Brian Kruger wrote to his then chief executive Giles Thompson to say that it was time “to stop playing by the rules and start firing some real bullets”.

GET ‘MORE CREATIVE AND AGGRESSIVE’

It said Mr Nichols has “already initiated a process to have Spring Champion lose its G1 status” and that the team needed to get “more creative (and aggressive).”

“We need more of that type of thinking and fast, including the Plan B initiatives and well thought through media attack on RNSW and their key players,” Mr Kruger wrote.

The court also heard documents showed Racing Victoria had hired crisis management firm Cato and Clive to co-ordinate a “shock and awe” media attack.

The lawyers were making representations on the adequacy of documents tendered to the court on discovery.

Racing Victoria lawyer Tim Maxwell said there had been many disputes between the two parties and that “there is no justification” for Racing NSW’s request for more documents to be produced.

He said the inference from the suggestion that the racing boards were colluding was that they were doing something “illegal” whereas none of the parties thought they were doing anything illegal.

“They thought they were moving to resolve the impasse” between the two parties that had been running for “a very long time,” Mr Maxwell said.

Mr Maxwell said that in that context Mr Nichols had described allegations of collusion as “laughable” was because it was “laughable” in the face of constant threats of legal action from Racing NSW.

Justice Kelly Lees said she would consider the applications with the aim of “wrapping this show up”. She asked if there was any urgency from either party. “I assume no one is inviting each other for Christmas dinner,” she said. “I will do my best to get to it before the end of term.”