Even if Sports Minister David Lamont restore the link with the Victorian TAB, a lot of damage has been done.
The table shows some dividend figures on a small meeting during the week after the link was cut. They are erratic and punters would feel cheated. Big punters have gone elsewhere.
In the Federal Court, evidence presented by ACTTAB’s Bruce Packard showed that ACTTAB expects to lose $14.2 million a year in turnover because of the drift of big punters.
This is calculated on the basis of experience after the link with the superpool was established several years ago.
Some early turnover figures indicate it is a conservative estimate _ probably because money is more mobile these days.
Let us assume a loss of $15 million a year. At present the $100 million turnover of ACTTAB is roughly split at 85 per cent back to the punter, 5 per cent to overheads, 5 per cent to the ACT Government about 4 per cent to the racing industry. (The other one per cent is rounding.)
Overheads cannot fall, nor can the return to the punter. Assuming a proportionate distribution, the table shows how the losses will fall.
It means a loss of $1.2 million a year to government revenue, $795,000 to the race clubs and $105,000 to the race course development fund.
In weekly terms it is $23,000 to the government, $15,300 to the race clubs and $2000 to the race course.
Even if the link is restored, a lot of work will have to be done to get back lost clients. Damages or a settlement will have to be paid to Vitab. Legal fees are likely to be high. Staff morale at ACTTAB affected. Enormous lost of time, money and energy in the bureaucracy.
In short and unquantifiable fiasco. David Lamont has a big task ahead.