Racing: NZRB pokie licence

Photo / Richard Robinson

The New Zealand Racing Board is turning pokie machine operator, so it can have greater control of gaming in its TABs.

The board's application for a Class 4 gaming operator's licence was approved by the Department of Internal Affairs yesterday.

The racing industry has struck plenty of problems in the past couple of years over the distribution of pokie profits. Some large grants by gaming trusts to racing clubs have come under the department's scrutiny and last year the then Racing Minister John Carter said proceeds should not be used for racing clubs' prizemoney.

All existing gaming machines at about 30 TAB venues will progressively be covered by the new licence, NZRB interim chief executive Bill Colgan said.

The licence would enable NZRB to have greater control and oversight of gaming undertaken on TAB premises.

"This is in keeping with our legal obligation under the Racing Act 2003 to maximise returns for the long-term good of New Zealand racing," he said.

"This licence will significantly enhance clarity around the process for the distribution of grants for authorised purposes."

Racing prizemoney qualifies as an authorised purpose.

By law, NZRB is legally entitled to distribute 100 per cent of the net proceeds from its gaming machines to authorised racing purposes. However, it has decided that up to 20 per cent should be distributed to amateur sports.

The licence will cover about 300 existing pokie machines in TAB agencies and branches. The number of machines is dictated by local authorities. The board said yesterday it didn't have plans to increase the number of venues with gaming machines.NZPA