The New York State Racing and Wagering Board revoked Ernie Paragallo's owner's license on Friday, citing financial irresponsibility related to an outstanding debt.

The board affirmed a recommendation made by designated hearing officer Russell Baller Jr. that Paragallo's license be revoked based on two state rules. Baller recommended that Paragallo only be allowed to reapply for a license when he can prove that he has satisfied his debt.

"The one item that they were referring to in the hearing was for $18,000 and change that was payable to the University of Pennsylvania," board representative Stacy Clifford said. "It originated from some complaints that we received from the Ocala Breeders' Sales [Co.] where he owed in excess of $500,000, but that was satisfied. That was the original complaint that the Racing and Wagering Board received, which prompted us to look into other outstanding judgments."

Paragallo, who announced plans last July to downsize his racing and breeding operation due to unspecified health problems, could not immediately be reached for comment.—Jeff Lowe