The richest race club in the Indian racing industry, the Bangalore Turf Club (BTC), is staring at bankruptcy.

With a turnover of Rs 2,000 crore, the BTC offered the highest stakes in the sport and was the most sought-after club. But with the government shutting down operations from September 1 and not providing it with the licence to conduct off-course betting and racing, the finances of the club are fast running out, confirmed BTC chairman Harimohan Naidu.

He said if the licence issue is not sorted before the winter season scheduled to start next month, the club will face serious financial issues, which will hit the investors in the game hard.

It is no secret that the deputy CEO of the club Shiva Prasad in the effort to cut costs had instructed all the departments heads to identify dead-wood and inefficient personnel to terminate their services. The administrative staff reported the knee-jerk reaction to the chairman, who it is learnt has asked the deputy CEO to hold his
horses and not press the panic button.

The trainers and horse owners revealed that the club must quickly pull the plug and diffuse the 'membership bomb'.

A senior trainer pointed out that the club has held the payment bills of all suppliers of oats, barn, bedding and Lucerne to BTC, which the club offers the trainers at subsidised rates. The moment the suppliers stop supplies, more than 1,000 horses at the club will be without feed.

Karnataka Trainers Association (KTA) president S Dominic said: "With no money coming in, BTC was managing with cash reserves but now it is facing a definite cash crunch," said Dominic, adding that most small owners at this centre are looking to shift to neighbouring states. "They are finding it hard to maintain horses. It costs Rs,22,500 a month excluding the medical bills and the small owners just cannot afford it."

On Wednesday, daily wage workers held a protest rally outside the premises of the club asking the BTC to break the dead-lock on the licence issue with the government. Renuka, tote operator who earn Rs 300 -500 a day said, "It is increasingly becoming tough to survive without a job. But, no one, be it BTC or the government is bothered about us."

In the issue of licences, the decision makers of BTC have run out of ideas on how to bell the cat. Chief Minister Siddaramaiah is adamant. He simply wants the club to give 50 memberships to the government nominees before giving it the licence. The club members are reluctant. They understand that the club needs the support of the government, but fear is that this could become a continuous process, with every new government in the state staking their claim.

A couple of meetings including the all-important one with all the former chairmen and senior members of the club on Monday failed to arrive at a decision on how to avert the crisis.

A few senior members disclosed that the opinion was divided with a section of the members wanting the club to concede to the government's demand, while the other section suggesting that the club should explore the option of taking the matter to the courts.

A few suggested that the government's demand can be conceded to in a phased manner.

Courtesy Bangalore Mirror Bureau