Sydney’s lone metropolitan racing club, the Australian Turf Club, has been placed into administration.
Racing New South Wales announced on Monday morning that it had taken the extreme step after not being satisfied during a Show Cause process that the ATC Board would be able to improve the club’s ‘serious’ financial position.
Racing NSW has appointed an administrator who will report to a yet-to-be-formed committee, replacing the ATC Board, while the day-to-day operations of the club will continue to be managed by the ATC’s executive team.
Racing NSW expects there will be no impact on the conduct of race meetings or events at ATC venues.
“Racing NSW today announced the appointment of an Administrator to conduct the affairs of the Australian Turf Club (ATC),” the Racing NSW statement began.
“This decision follows an extensive and exhaustive Show Cause process, together with multiple formal joint meetings between the Boards of Racing NSW and the ATC. These steps were undertaken to ensure the ATC was afforded every reasonable, and indeed ample, opportunity to address the serious concerns raised.
“Throughout the Show Cause process, the ATC Board was repeatedly invited to provide detailed submissions, present its proposed strategy to improve the Club’s financial performance, its future solvency and respond comprehensively to concerns regarding corporate governance.
“Specifically, the ATC Board was unable to demonstrate it could develop and implement a strategy to improve the commercial performance of the club, or rectify the serious financial issues. Further, the corporate governance concerns had not been appropriately addressed.
“Racing NSW has appointed a professional administrator who will report to a committee to be established. This committee will be constituted of the necessary expertise and may include a mix appointed from current ATC Board members, ATC members using a best practice skills matrix and other suitable persons.
“This committee and administrator will replace the functions of the Board of the ATC. The day-to-day operations will continue to be managed by the ATC’s executive team and there will be no impact on the conduct of race meetings or events at ATC venues.
“This administration period will provide an opportunity for the ATC to improve its financial performance, address the serious financial issues and develop a robust and best practice long term strategy for the club, using the best possible skills and expertise.”
The ATC will host three meetings this week with Warwick Farm’s Wednesday meeting followed by a Canterbury Friday night meeting and a 10-race card at Randwick on Saturday.
