NEWS
Oregon Racing Commission reviewing Betfair
Posted: Friday, February 13, 2009 7:05 PM
by Frank Angst
The Oregon Racing Commission has begun a standard review of Betfair after the London, England-based betting exchange purchased Television Games Network.
TVG operates an advance deposit wagering platform and a horse racing television channel. Enjoying wide reach, TVG handles more money than any other ADW operating through Oregon.
Because Oregon serves as the betting hub for TVG—and several other prominent ADW outlets—it will review the January 27 ownership change. Betfair purchased TVG from Macrovision Solutions Corp. for $50-million.
The Oregon Racing Commission is in the process of reviewing Betfair’s board of directors and officers. The commission’s executive director, Randy Evers, said the approximately 45-day review process already has begun.
Betfair executives are scheduled to attend the commission’s next scheduled meeting on February 19.
“That will largely just be a chance for the commission to meet and greet the Betfair representatives,” Evers said.
Because of the large amount of money TVG handles, Evers said it is important for the commission to complete a thorough review. In the first three months of 2008, TVG handled more than $380-million in wagers. Evers said the foreign ownership does not present any particular problem, noting other ADW companies currently operating in the state list some foreign owners.
In England and other countries, Betfair offers exchange wagering which allows bettors on its site to offer and accept bets. At this point, any review of Betfair will focus on its capability to run an ADW site. The company currently is not pursuing exchange betting in the United States.
Betfair has been at the center of several scandals. Jockey Kieren Fallon missed 17 months of riding during a race-fixing trial that ended in December 2007 without a conviction. Opponents of exchange-wagering pointed out that allowing bettors to essentially bet horses to lose creates more opportunity for race-fixing. Betfair said it provided key documents in the case that proved to be a key piece of evidence and assisted police.
In July 2007, the Washington Post reported three British residents used stolen credit cards to launder money through 12 Internet gambling sites to fund terrorist actions. Betfair was listed in the story but the company said that while attempts were made to access Betfair’s site, they were unsuccessful. The company said this information was shared with the police.
Frank Angst is senior writer for Thoroughbred Times
