By Patrick Bartley
Anyone who derives an income from wagering or racing will be banned from holding a position on Racing Victoria's board under a proposed shake-up of the industry's governance.
A raft of tough new changes is being mooted as the racing industry prepares for the appointment of a new board to oversee the industry.
Changes mooted: Trainer Peter Moody was at the centre of the cobalt investigation.Credit: Martin King
Conflict of interest rules will be tightened to exclude any person whose primary income comes from racing or who holds an Australian Business Number related to racing.
The proposed reforms are outlined in a leaked summary of a meeting between Racing Minister Martin Pakula's office and Racing Victoria Limited's acting chief executive Giles Thompson and senior executive Mark Close. All board positions will be spilled and a new chief executive appointed in the overhaul.
Proposed major changes to the Victorian racing integrity unit will now remain on hold until the reforms are introduced, the meeting summary said.
Board members will serve four-year terms with a maximum of 12 years.
Under the proposed reforms, the minister will select Racing Victoria's chairman and deputy chairman. The creation of a new board was largely caused by a lengthy inquiry into the leaking of sensitive information to trainer Peter Moody by RVL board member David Moodie.
Moodie subsequently stood down following the damning findings contained in integrity commissioner Sal Perna's report.
Pakula said the government had been consulting with industry stakeholders for weeks and "will continue to do so". He declined to comment further "while that process is ongoing".
After 30 witnesses were interviewed, Perna found Moodie had passed on information that could have aborted a long-running investigation.
Just two days after the release of the Perna report and Moodie voluntarily standing down, Pakula announced he would make drastic changes to the make-up of the board.
Opposition racing spokesman Tim Bull said a number of racing people had become "disappointed" that Pakula was not adopting an arm's length approach to the appointment of the new board.
"I have had discussions with industry representatives who are very concerned with what is being proposed," he said.
The looming shake-up comes as Racing Victoria launches an inquiry into the Moodie leaking affair.
The probe is being conducted by law firm Allens. Racing Victoria lacks the powers of Perna, who was able to subpoena witnesses reluctant to give evidence. Racing Victoria currently has an acting chairman and chief executive.
With Benjamin Preiss