RACING Queensland will investigate whether action can be taken to recover in excess of $1.8 million in industry funds paid in 'sweetheart deals' to four loyal executives of the previous Board who resigned after the election.

A copy of the Auditor General's report on the 'golden handshakes,' which have angered stake-holders, have been provided to ASIC and the CMC. The new Board has revised indemnity arrangements to ensure that this situation never occurs again.

Below is a Racing Queensland Media Release on the matter:

ON July 10, 2012, the Auditor-General tabled in Parliament his audit report into aspects of Racing Queensland’s operations.

The Auditor-General’s report identified concerns about the governance and decision making processes that were undertaken by the then board of Racing Queensland in relation to a decision in August 2011, to vary the terms of the employment contracts of four Racing Queensland executives.

Under the variations to the employment contracts, the four Racing Queensland executives were entitled to receive substantial separation payments, if the executives resigned due to a change of State Government.

The resignation of the four former executives on March 26, 2012 cost Racing Queensland $1.858 million in separation payments.

In response to concerns identified in the report, Racing Queensland has provided copies of the Auditor-General’s report to both ASIC and the CMC as the appropriate regulatory oversight agencies.

In addition, as part of its overall approach to improving governance standards within Racing Queensland, the current board has reviewed and where appropriate, revised the indemnity arrangements that were put in place by the previous board.

Racing Queensland will continue to investigate whether there is any action that it should take itself as a result of the findings of the Auditor-General’s report, including action to recover the substantial separation payments made to the executives following their resignations on March 26, 2012.

RACING QUEENSLAND MEDIA RELEASE