New York Franchise Oversight Board member Steve Newman during an August 16 meeting accused the New York Racing Association (NYRA) of overstating its revenues in a report to the state.
Newman said the NYRA improperly includes revenues from the Aqueduct Racetrack casino and in fact lost some $4.3 million through the first six months of the year on its racing operations.
Genting Group operates the video lottery terminals at Aqueduct and shares a portion of the revenues with the NYRA.
NYRA COO Chris Kay said the second half of the year typically drives the association’s profits due to the upcoming annual meet at Saratoga Race Course.
Newman said the NYRA should show separate revenues for racing and gaming operations, rather than combining them.
The state took over operations of the NYRA in 2012 during what was to be a three-year restructuring.
The state, though, has not relinquished control and recently extended state oversight of the NYRA through next year.
New York Comptroller Thomas DiNapoli recently said the NYRA lost $109 million on racetrack operations over the past five years. DiNapoli said the NYRA used gaming revenues to hide the losses.
NYRA ‘s Kay disagrees though, and said the NYRA is doing nothing to cover up financial realities.
