The Horse Racing Owners Association filed a criminal complaint against Pablo Julio López for withholding more than USD 2.5m from the Provincial Gaming Fund. They claim that the future of the industry is at stake.
Argentina.- The Horse Racing Owners Association filed a criminal complaint against the Minister of Economy of the province of Buenos Aires, Pablo Julio López, for the alleged misappropriation of more than AR $2.600m (USD 2.5m) from the Provincial Gaming Fund (FO.PRO.JUE). This fund, which is regulated by Law 13.253, should have been distributed to the provincial racetracks and the turf industry, but according to the complaint, the Provincial Treasury has not transferred the corresponding resources for the months of September, October, November, and December of 2024.
The lawyer Mariano Fragueiro Frías, who filed the complaint, points out that the Ministry of Economy, led by López, has withheld these funds, which the Provincial Institute of Lotteries and Casinos (IPLyC) notified as available to be transferred. The owed amounts, totaling AR$2,622,590,300, should have been allocated to racetracks such as those in San Isidro, La Plata, Dolores, Azul, and Tandil, and are mostly used for horse racing prizes, which are essential for the livelihood of owners, trainers, jockeys, and other workers in the sector.
The breakdown of the owed amounts, according to the complaint, is as follows:
The complainants asserted that the lack of transfer of these funds severely affects the viability of the horse racing activity in the province and puts thousands of jobs at risk. The lawyer Fragueiro Frías emphasized that without these resources, the turf industry faces an irreversible crisis.
Article 3 of Law 13.063 establishes that 14 percent of the gross profits generated by slot machines must be allocated to the FO.PRO.JUE. In turn, the so-called "Turf Law" stipulates that between 9 percent and 15 percent of this fund must be specifically allocated to the horse racing sector.
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The purpose of this allocation is to mitigate the impact of gambling on the turf, a historic industry that is going through a severe crisis since the proliferation of slot machines. The retained funds are usually distributed in 70 percent for horse racing prizes, which ensures the sustenance of the sector.
