KROA, KTA should accept BTC’s generous offer
Despite critical financial position, Bangalore Turf Club has offered an additional amount of Rs. 1.25 crores as stakes, incentives and other expenses in addition to the stakes already published in the prospectus with a view to augment additional resources for race horse owners.. The BTC has also decided to extend BTF (Basic Training Fee) credit as before for owners of horses racing in Bangalore and Mysore. Racing is held at Mysore under BTC Rules of Racing. The BTC has asked for setting off the contingency fund lying with the club against any default by race horse owners.
The KROA is more or less reconciled to providing the letter meeting this condition of BTC. However the hitch may be with regard to horses based in Mysore. KTA President B Puttanna said that while it is alright to set off the fund against any default of Bangalore based owners, the same should not be applied to horses owned and raced at Mysore.
BTC is asking for Rs 2 crores as the money to cover the risk and this money is not contributed by owners but by the club itself which has been contributing Rs 50 lakhs per year for the last four years for the contingency fund The money thus accumulated is to the tune of Rs 2 crores and BTC wants this money to be offset for default by race horse owners. All these years, BTF for Mysore based horses was also provided by BTC and if the club was to withdraw this facility, racing in Mysore will be deeply affected. The income for BTC at this stage depends on off course betting conducted on Mysore racing and the move by KROA and KTA to stop BTF from BTC for Mysore based horses might collapse the structure. In fact, KROA and KTA represent the interest of owners and trainers of both centers and it would be wrong if they were to treat Mysore as a separate entity for their short sighted policies.
The Mysore mini seasons which are held on either side of the main season have saved all turf clubs from critical financial position as the revenue generated from conducting off course betting on about 25 days of additional racing has contributed significantly to the coffers of all the turf clubs in the country. All these years, BTC used to give a grant of Rs 11 lakhs per race day to Mysore but following the critical situation faced by the club, they have withdrawn the facility. Instead they are paying a Royalty of 23 per cent which means that Mysore Race Club stands to lose about Rs 5 lakhs per race day. If the BTF burden were to be passed on to Mysore Race Club, the club would collapse under the financial strain. Under these circumstances, KROA and KTA should not raise an additional problem at a time when racing itself is facing threat of survival.
The KROA office-bears reportedly burnt midnight oil and were in the forefront of the club going to the High Court to demand that the race course belonged to the club as a matter of right due to the supposed grant received by it in the last century. However, BTC lost the case and they have been asked to vacate by September 22. As such, the onus is all the more on KROA to ensure that racing is not interrupted. The BTC has to approach the Supreme Court with a Special Leave Petition and if racing is disrupted in this fashion, BTC may well lose the case all over again even before they start!
The BTC Managing Committee took a unanimous decision on Monday to pave the way for racing to start this weekend despite reservations that some members harbored only because they wanted to get on with the business and not ride their ego. The BTC has offered Rs 1 crore as additional stake money and incentives and Rs 25 lakhs as grant to KROA and KTA to meet other expenses. Though this is considered not a sound financial decision, the offer of BTC should resolve the burning issues and make way for racing to start.
The KROA and KTA are already under pressure to resume racing but were hanging by a thin rope. And if they ignore the reasonable offer of BTC, it will be bad for racing. One can then say without any fear of contradiction that their interest is not in ensuring racing but to sabotage it.
The KROA is more or less reconciled to providing the letter meeting this condition of BTC. However the hitch may be with regard to horses based in Mysore. KTA President B Puttanna said that while it is alright to set off the fund against any default of Bangalore based owners, the same should not be applied to horses owned and raced at Mysore.
BTC is asking for Rs 2 crores as the money to cover the risk and this money is not contributed by owners but by the club itself which has been contributing Rs 50 lakhs per year for the last four years for the contingency fund The money thus accumulated is to the tune of Rs 2 crores and BTC wants this money to be offset for default by race horse owners. All these years, BTF for Mysore based horses was also provided by BTC and if the club was to withdraw this facility, racing in Mysore will be deeply affected. The income for BTC at this stage depends on off course betting conducted on Mysore racing and the move by KROA and KTA to stop BTF from BTC for Mysore based horses might collapse the structure. In fact, KROA and KTA represent the interest of owners and trainers of both centers and it would be wrong if they were to treat Mysore as a separate entity for their short sighted policies.
The Mysore mini seasons which are held on either side of the main season have saved all turf clubs from critical financial position as the revenue generated from conducting off course betting on about 25 days of additional racing has contributed significantly to the coffers of all the turf clubs in the country. All these years, BTC used to give a grant of Rs 11 lakhs per race day to Mysore but following the critical situation faced by the club, they have withdrawn the facility. Instead they are paying a Royalty of 23 per cent which means that Mysore Race Club stands to lose about Rs 5 lakhs per race day. If the BTF burden were to be passed on to Mysore Race Club, the club would collapse under the financial strain. Under these circumstances, KROA and KTA should not raise an additional problem at a time when racing itself is facing threat of survival.
The KROA office-bears reportedly burnt midnight oil and were in the forefront of the club going to the High Court to demand that the race course belonged to the club as a matter of right due to the supposed grant received by it in the last century. However, BTC lost the case and they have been asked to vacate by September 22. As such, the onus is all the more on KROA to ensure that racing is not interrupted. The BTC has to approach the Supreme Court with a Special Leave Petition and if racing is disrupted in this fashion, BTC may well lose the case all over again even before they start!
The BTC Managing Committee took a unanimous decision on Monday to pave the way for racing to start this weekend despite reservations that some members harbored only because they wanted to get on with the business and not ride their ego. The BTC has offered Rs 1 crore as additional stake money and incentives and Rs 25 lakhs as grant to KROA and KTA to meet other expenses. Though this is considered not a sound financial decision, the offer of BTC should resolve the burning issues and make way for racing to start.
The KROA and KTA are already under pressure to resume racing but were hanging by a thin rope. And if they ignore the reasonable offer of BTC, it will be bad for racing. One can then say without any fear of contradiction that their interest is not in ensuring racing but to sabotage it.
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