Thursday, April 9, 2009

Paragallo: Time to pay the piper

The malnourished, neglected horses found on Ernie Paragallo’s upstate New York farm are in the care of the ASPCA and it appears only a matter of time before charges are brought against what is one of New York’s most visible racing figures.

Paragallo has long skated around the rules. Though Paraneck Stable is officially owned by his daughters, there is no doubt that Paragallo is the owner, decision maker and sole proprietor. For the record, he is the authorized agent for his daughters. His owner’s license was revoked in 2005 for financial irresponsibility. It is likely that he will lose the license he now holds.

Paraneck maintains an interest in Unbridled’s Song, among the nation’s elite stallions, Artax, who stands in New York, and has long maintained a large racing operation in New York, benefitting from the state’s breeder incentive program while laughing at regulators. Now, having provided the sport from which he has benefitted enormously with a black eye precisely at the time of year in which more attention is focused on racing than at any other, he is at the center of a heartbreaking story of inhumanity, cruelty and callousness.

If he is found to be responsible for the deplorable condition of the horses on his farm – and it is likely that some of his employees will share the blame -- Paragallo should suffer every possible consequence.

The outcry from every segment of the sport against him is loud and gaining momentum. The evidence is graphic. The good news is that the horses are again being fed. -- PM

Wednesday, April 8, 2009

Paragallo farm impounded

The New York State Police in Catskill today executed a search warrant at Center Brook Horse Farm, town of Coxsackie, Greene County, in an investigation assisted by the New York State Racing and Wagering Board into reports of neglected horses on the property.

A contingent of troopers and Greene County Sheriff’s Department deputies were joined by volunteer veterinarians with the American Society for the Prevention of Cruelty to Animals, along with Columbia-Greene Humane Society officials. The veterinarians reported that all 177 horses located on the property showed varying stages of malnourishment. They also determined the animals had inadequate shelter and lacked proper veterinarian care and vaccinations.

State Police commenced the investigation on April 4 after a complaint was received of numerous horses being malnourished. Based on information investigators obtained during the inquiry, a search warrant was signed by Town of Coxsackie Justice Thomas Fori.

A Racing and Wagering Board investigator accompanied the law enforcement personnel who entered the farm today. The RWB is conducting a separate but related inquiry into the fitness of a thoroughbred authorized agent licensee who is associated with the farm, Ernest Paragallo, to keep the license he now holds.

As a result of today’s investigation, all of the horses were seized and will remain on the farm, under the supervision and care of the ASPCA, according to State Police Senior Investigator Scott Youngblood.

In a related development, Racing and Wagering Board Chairman John D. Sabini has successfully convinced the New York State Breeding and Development fund to freeze any and all financial awards to Mr. Paragallo, Center Brook Farm and Paraneck Stable, pending the outcome of the RWB’s ongoing review of Mr. Paragallo’s status as a thoroughbred licensee.

“I’m very gratified by the swift action of the State Police, the ASPCA and the Humane Society today because I know all New Yorkers – not just fans of thoroughbred racing – have zero tolerance for the neglect of horses,” Chairman Sabini said.

The State Police investigation is continuing.--SRWB

Maryland moves to sieze racetracks

Earlier today in the General Assembly in Annapolis, House Bill 1578 was introduced attempting to confiscate Pimlico Race Course, Laurel Park, the Bowie Training Center and the Preakness Stakes from the Maryland Jockey Club (MJC).

“We share the Governor’s interest in preserving the historic Maryland Jockey Club and the Preakness,” said MJC president and chief operating officer Tom Chuckas. ”But we question the government’s right to confiscate private property which will only lead to more confusion and litigation while these matters are in bankruptcy. The Chapter 11 process should be allowed to proceed.”

MJC (Pimlico, Laurel Park and the Bowie Training Center) is a subsidiary of Magna Entertainment Corp. (MEC). MEC filed for bankruptcy protection on March 5, 2009 in the United States Bankruptcy Court.

“We are disappointed by the introduction of the legislation and the threat to our assets,” said Greg Rayburn, the Interim Chief Executive Officer of MEC. “We acknowledge that these are challenging times for the Maryland horse racing industry and are engaging in discussions with the Governor and the legislature to try and find an amicable solution.”

On other matters, the Maryland Court of Appeals has granted Laurel Racing’s Petition for Certiorari and, thus, has taken up the appeal filed by Laurel Racing Assoc. regarding the Anne Arundel County slots gaming license. Oral arguments will be heard on June 9, 2009.

“The constitutional and statutory construction issues raised by Laurel Racing are significant and directly affect fair bidding procedures and the future of MJC’s racing operations,” said Alan M. Rifkin, attorney for the Maryland Jockey Club. “The central issue on appeal is whether the requirement of a nonrefundable multi-million dollar initial license fee in order to bid on a State contract is constitutional. We look forward to the appellate review.” --MJC