The New Mexico Horsemen's Association (NMHA) has filed an ethics complaint against the New Mexico Racing Commission (NMRC) and the New Mexico Gaming Control Board, the latest salvo from horsemen in their fight against regulators over how purse money is to be distributed.
The complaint was filed with the New Mexico State Ethics Commission last Thursday.
The dispute goes back to at least December 2020, when the NMHA filed suit in the Second Judicial District Court in Bernalillo County to stop what it alleges was a longstanding practice by the commission of taking money that should have gone to purses and, instead, allowing tracks to use the money to pay for liability insurance for jockeys and exercise riders. The horsemen say that the transfer of purse money to racetrack expenses has cost the purse fund $8 million to date.
The NMHA also charges that the racing commission has retaliated by finding a way to cut off the revenue stream for the horsemen's group.
The NMHA says that it has been funded by voluntary contributions from member horse owners when they earn purse money. The horsemen charge that the commission voted to cut off the revenue stream, alleging that the commission decided that it was a matter of purse money being improperly funneled to the horsemen's group.
Gary Mitchell, the general counsel for the NMHA, called that “an effort to silence the state's traditional, and largest, advocate for horsemen, representing more than 4,000 Thoroughbred owners and trainers.”
“If you start doing away with the advocates that appear before the various state agencies and you exact this kind of retribution, it sets a dangerous precedent,” Mitchell said.
The ethics complaint accuses the New Mexico Racing Commission and the New Mexico Gaming Control Board of conspiring for the express purpose of undermining the horsemen's representative.
According to the NMHA, the New Mexico Gaming Control Board backed the commission, even though its own hearing officer ruled in favor of the horsemen on this matter.
According to the NMHA, in Aug. 2021, a District Court Judge ruled in favor of the horsemen and stayed the commission's action, meaning the contributions from purses to the horsemen's group should have resumed. Claiming that the commission has ignored the court order that would have allowed owners to resume making contributions, the horsemen's group is asking the courts to hold the racing commission and the gaming board in contempt of court.
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