Holt: Premier “up to his eyeballs” in scheme
Western Australia Racing and Gaming Minister Colin Holt has sparked controversy by accusing state officials of trying to expand gambling to boost the price of the betting agency TAB.
Premier Colin Barnett, Holt’s primary target, denied the allegations, saying neither he nor the government are considering the idea, according to ABC News. However, the news outlet revealed that Barnett attended a “high-level meeting” in March with Deputy Director General Richard May as well as to discuss “product expansion opportunities for the TAB,” which is set to go private and has been valued as low as $250 million and as high as $1 billion.
Shadow Treasurer Ben Wyatt said he was shocked to learn about the covert meeting. “What is crystal clear is that Mr. Barnett, despite his denials, is up to his eyeballs in the discussions around increasing gaming machines,” he said. “It’s classic Colin Barnett: we’ll do one thing behind closed doors and then when exposed say another thing in front of the media to the people of Western Australia.”
Wyatt demanded that Barnett disclose the full scope of the meeting, including “what commitments he’s given, what involvement he’s had, what undertakings the government has given in respect to the sale of the TAB regarding expanding gaming machines beyond Crown Casino.”
Barnett declined to answer questions on the matter, but issued a statement saying, “The issue of Keno and trackside were raised by the racing industry in discussions. They are allowed to have their point of view, but the state government will not go down that path.”
According to a report published in May by the Sydney Morning Herald, the privatization plan had stalled as the government and racing industry officials squabbled for control of the sales process. The Racing Representative Group has asked for minimum funding commitments for each of the clubs it represents, but Barnett and Treasurer Mike Nahan “appeared to have hardened their stance over the racing group’s role in the sell-off which, if it proceeds, is likely to attract bids from both Tabcorp and Tatts Group.” Tabcorp owns the former government TABs in New South Wales and Victoria. Tatts owns the TABs in Queensland, the Northern Territory, South Australia and Tasmania.
“Going forward we will get a consensus for sale and the sale will be a very easy one,” Nahan said in May. “There are only two purchasers in this.”
Racing and Wagering Western Australia currently owns the TAB. RWWA contributed $165 million in funding to the state’s racing and sports industries in 2014-15.
