Friday, January 03, 2014

New Mexico Racing Commission sued

Raton’s long-stalled La Mesa Racetrack and Casino is suing the New Mexico Racing Commission in U.S. District Court, seeking millions in damages that Canadian owner Michael Moldenhauer claims are the result of losing his state racing and gaming licenses. The suit, filed here Monday claims the five-member, governor-appointed Racing Commission violated Moldenahuer’s constitutional rights to due process and equal protection by “wrongful conduct” that led to the loss of the licenses. “My client has invested millions of dollars in this project, and the Racing Commission’s conduct caused very substantial damages to my client,” attorney Sam Bregman said Thursday. “We will be seeking compensation for those damages. We believe that after a jury hears all the facts they will award seven or eight figures in this matter.” Besides the Racing Commission, the suit names as defendants one current Racing Commission member – Ray Willis of Roswell – and four former commissioners: Marty Cope of Hobbs, Arnold Rael of Rio Rancho, Larry Delgado of Santa Fe and Thomas “Eddie” Fowler of Ruidoso. The suit also claims Cope, a former commission chairwoman, intentionally sabotaged Moldenhauer’s efforts on behalf of an unnamed “personal friend” who wanted the racing license to “pursue the racino project in Raton.” Bregman declined to identify that individual. At least four groups have expressed interest in applying for the state’s sixth racino license should the Racing Commission reopen the application process that has been stalled for nearly four years. State revenue-sharing compacts with tribal casinos limits the number of racinos in the state to six until the year 2037. The state currently has five racinos...more

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