Ky. panel hears fierce debate on whether to oulaw last-minute bets on horse races

Ky. panel weighs ban on bets after post time

LEXINGTON, Ky. — The sign on the racetrack video board reads “Zero Minutes to Post,” but horse bettors know that doesn’t mean wagering is cut off. That happens perhaps several minutes later, just before the horses break from the starting gate.

Racing officials in Kentucky are weighing whether to prohibit this widely accepted practice of betting after post time as a way to improve the integrity of horse gambling, or at least the perception that their sport is clean. A subcommittee of the Kentucky Horse Racing Commission reccommended Tuesday on that the body’s full membership vote to ban betting past post time.

The proposal sparked a lengthy debate at the commission’s monthly meeting over whether changing the rules would actually further cripple the cash-strapped racetracks.

“Let’s make sure we’re not doing something that shoots Kentucky racing in the foot,” said Kevin Flanery, president of Churchill Downs — the host track for the Kentucky Derby.

Commission chairman Robert Beck said there would be a public hearing on the topic in the next 30 days, followed by what figures to be one of the most divisive votes in years for the panel made up of trainers, breeders, veterinarians and others.

Flanery says Churchill tried to eliminate betting after post time during its fall meet in 2002 to disastrous results. Betting revenues dipped around 20 percent because many of the high rollers like to watch how the horses enter the gate before placing their final wagers, he said.

If Kentucky were to cut off bets at post time while other states allow them to be placed up to the second the race starts, Flanery said it could confuse bettors and cost Kentucky tracks and horsemen significant money.

Tom Ludt of Vinery Farm, who chaired the subgroup that recommended the change, said he understood the concerns about revenues but insisted it was a necessary change to improve the integrity of betting in the eyes of the public. Ultimately, he predicted, Kentucky would become a model for the change, and other states would follow.

“It’s a hot potato nobody wants to deal with,” Ludt said. “Behind closed doors, everybody says it’s a good idea, but publicly nobody wants to take a stand.”

The panel began considering the issue last year after prominent bettor Mike Maloney sought to prove that it was possible to cheat the wagering system and place a wager after the horses broke from the gate — a practice technically not allowed anywhere.

Maloney was able to place his small-dollar bet at Keeneland for a race simulcast from New Orleans after the horses left the gate but before the betting window at the Lexington track closed. He wasn’t trying to profit from the miscue and reported it immediately to racing officials.

He has since become a leading spokesman in the industry for ramping up betting security, pushing for a new electronic monitoring system and advocating the ban on betting past post time.

Maloney, who appeared at the meeting Tuesday, said he believes Kentucky tracks may ultimately help attract more bettors by producing a product perceived as more equitable.

“The main thing in bettors’ minds today are am I getting a fair shake?” he said. “Can I trust this betting system? We will have differentiated our product, and we will benefit from that.”