|NTRA Hires Guiliani Partners To Lead
The National Thoroughbred Racing Association
and a new coalition organized by the NTRA, the Wagering Integrity Alliance,
announced on Wednesday, November 20, that they have retained Giuliani
Partners to manage and oversee the horse racing industry’s review
of its electronic wagering systems. Additionally, the NTRA announced that
it is launching a “systematic examination” of certain wagers
over the past year with the goal of identifying whether there are areas
requiring additional security measures.
The review process will be supervised by Giuliani Partners and led by
former New York City Mayor Rudolph W. Giuliani. Giuliani Partners will
work closely with the Technology and Security Risk Services unit of Ernst
& Young, which the NTRA retained two weeks ago to begin an immediate
security assessment, and related testing, of computer wagering systems
related to horse racing.
“The addition of Giuliani Partners to the team will help in a variety
of ways. Most importantly, Rudolph Giuliani brings tough-minded independence
to our review of past wagers and our commitment to future improvements,”
said NTRA Commissioner Tim Smith.
Smith continued, “As a prosecutor, he demonstrated great skill
in combating white-collar crime. As Mayor, with equal distinction he rallied
diverse interests to lead the dramatic revival of New York City. As a
fan of our sport and the legal wagering that sustains it, he understands
the passion that his fellow fans have for the game. Horseracing is fortunate
to have the active help and wise counsel of Rudy Giuliani at this time.”
Mayor Giuliani said, “Thousands of fans wager everyday on horseracing
across the country. They deserve to know that their wagers are being handled
in a secure fashion in an honest system. The NTRA should be applauded
for its immediate response in rallying racing leaders to review the security
of electronic wagering systems and to maintain the confidence of its consumers.
I look forward to working with the leaders of the racing industry to develop
new safeguards for one of America’s most popular sports.”
Using information assembled by Equibase, the industry’s data provider,
the NTRA and its member tracks will examine pick 4, pick 6 and similar
wagers meeting certain criteria going back to the beginning of the year.
Initially, the focus will be on paperless transactions.
Participating tracks, including those affiliated with Churchill Downs,
Inc., Magna Entertainment Corp. and the New York Racing , will analyze,
among other things, any unusual circumstances in the make-up of the wagers
examined. Assisting in this process will be the Thoroughbred Racing Protective
Bureau and Ernst & Young. While higher-dollar payoffs will receive
more scrutiny than others, all will be subject to analysis by random audit.
Any specific questionable or suspicious cases will be referred by the
track involved to the appropriate state regulators. The main purpose of
the examination is to identify pertinent information that will assist
the NTRA Working Group, Giuliani Partners and Ernst & Young in planning
and recommending necessary or advisable steps to improve wagering systems
“This step is a logical expansion of the aggressive process being
undertaken by the Technology Working Group,” said Smith. “It
responds to the concerns of fans and may well provide additional information
helpful in strengthening security systems. We are determined to learn
everything necessary to assure the pari-mutuel system’s integrity
and protect our customers’ interests,” Smith concluded.
The NTRA Board approved, at its meeting yesterday, a contribution from
NTRA, Inc. of $1 million for the creation of the Wagering Integrity Alliance,
which will help fund the current assessments, design of future wagering
security improvements, public communications aimed at strengthening customer
confidence in pari-mutuel wagering and related matters. The Wagering Integrity
Alliance will include other organizations, businesses and individuals
committed to systems security improvements in connection with pari-mutuel
wagering on horse racing. The purpose of the Alliance is to offer all
industry stakeholders the opportunity to participate in the process of
improving wagering security.
“The formation of the Wagering Integrity Alliance shows that the
industry is united as never before to meet this challenge. With this kind
of continued support, we can make the necessary changes and emerge from
this situation stronger than ever,” said Smith.
The NTRA is a broad-based coalition of horseracing interests, including
the American Quarter Horse Association, charged with increasing popularity
of horseracing and improving economic conditions for industry participants.
The NTRA and Breeders’ Cup Limited also conduct the Breeders’
Cup World Thoroughbred Championships, Thoroughbred racing’s year-end
Championships consisting of eight races and $13 million in purses and
awards, the Breeders’ Cup Stakes Program and the Great State Challenge.
The NTRA has offices in Lexington, Ky., and New York City. NTRA press
releases appear on the NTRA Web site, ntra.com, and at the Web site for
the Breeders’ Cup World Thoroughbred Championships, breederscup.com.
Giuliani Partners LLC, is an alliance of former New York City Mayor Rudolph
W. Giuliani, a number of his senior executives, and Ernst & Young
LLP, a global leader in professional services. Giuliani Partners assists
chief executive officers in securing the future of their firms by protecting
their knowledge, financial and physical assets, their people and their
With Mr. Giuliani as chairman and CEO, the firm draws upon its experiences
and expertise in innovative financial management, public safety, emergency
preparedness and leadership during crises. This team includes New York
City's former Police Commissioner Bernard Kerik, former Fire Commissioner
Thomas Von Essen and former Director of the Office of Emergency Management
Richard Sheirer. Coupled with the broad-based expertise and global resources
of Ernst & Young in the areas of assurance, risk management, information
security and financial restructuring, Giuliani Partners provides clients
with a comprehensive set of solutions addressing critical concerns of
major corporations today.