Getnick & Getnick, the law firm appointed by the state of New York to monitor the NYRA, is looking into whether NYRA "misused some of the millions of dollars held in trust for telephone bettors" by using it to "pay bills and other expenses," according to sources cited by James Odato of the Albany TIMES UNION. NYRA Senior VP William Nader said the phone accounts are "fully funded right now," but when asked if NYRA ever used money held for bettors, said, "In the past, it might have." Sources said that Getnick & Getnick is also questioning NYRA's potential misuse of about $14M of horse owners' funds "that were held in purse accounts and combined with NYRA's finances." Additionally, the firm is examining former NYRA COO Terence Meyocks' expenses (Albany TIMES UNION, 6/8). Getnick & Getnick submitted its first report Monday to Federal Court Judge Arthur Spatt, and BLOODHORSE's Tom Precious wrote no "serious irregularities [were] detailed in the 22-page report." But the firm also submitted a secret 44-page report on the same day Magna Entertainment Corp. (MEC) officials, including President James McAlpine, met with New York officials to "continue to position itself as the entity best equipped to run racing in New York." Precious noted McAlpine "pitched a willingness to work with NYRA," but MEC reps told sources that if NYRA's franchise to operate Aqueduct, Belmont Park and Saratoga "ends, which it is slated to do in 2007, MEC is more than qualified to run the facilities." One lawmaker: "They want to take over" (BLOODHORSE, 6/8).
