Current through Register Vol. 54, No. 25, June 22, 2024
Section 183.25 - Financial obligations(a) No permits may be issued under the provisions of the Commission to a person, firm or corporation engaged in the conducting of harness racing on a commerical basis solely with a view to profit unless and until the person, firm or corporation has filed with the Commission:(1) An accurate financial statement, prepared and certified by a certified public accountant in accordance with sound accounting practice, showing the net worth of the applicant for the permit to be of the amount that the applicant can reasonably be expected to be able to meet certain financial obligation hereinafter referred to, owed to aggrieved parties, and incurred in the actual conduction of the racing meeting the granting of racing dates for which is being applied.(2) A statement as to how soon after salaries, wages and purses which may become owing by the applicant shall become due and payable.(b) If, upon examination of such financial statement, the Commission in its discretion should entertain reasonable doubt as to the financial ability of the applicant to meet and discharge all such financial obligations, after taking into consideration the duration of the racing meetings for which dates are sought, the periods of time elapsing between the dates such financial obligations become owing and the dates upon which they become due and payable, the size of the track and plant of the applicant, the probable amounts of such financial obligations, and the probable volume of pari-mutuel or certificate wagering, then, in such event, the Commission may require the filing of a surety bond with the Commission as set forth in this section. In no event shall a person, firm, or corporation having a net worth of less than $100,000 be issued such a permit unless the applicant therefor has filed a surety bond with the Commission as set forth in this section.(c) In the event that the Commission shall determine, in connection with any application for a permit, that a surety bond as set forth in this section shall be filed with the Commission, such bond shall be in favor of the Harness Racing Commission as obligee, for the use and benefit of all aggrieved parties, shall have sureties to the satisfaction of the Commission, shall be an amount not to exceed $1 million, and shall be conditioned upon payment by the permit holder of all financial obligations. Provided, however, that no bond shall be required under the provisions of this rule in the case of an applicant who has filed with a nationally recognized association of horsemen a bond for substantially equivalent coverage to that herein provided for, the obligee in which is such association for the use and benefit of substantially the same categories of persons.