N.Y. Racing, Pari-Mutuel Wagering and Breeding Law § 407

§ 407. Licenses for quarter horse race meetings. 1. Any association or\ncorporation desiring to conduct quarter horse race meetings at which\npari-mutuel betting shall be permitted may apply annually to the state\nracing and wagering board for a license so to do. If, in the judgment of\nsuch board the public interest, convenience or necessity will be served\nthereby and a proper case for the issuance of such license is shown\nconsistent with the purposes of sections two hundred twenty-two through\nseven hundred five of this chapter and the best interests of racing\ngenerally, it may grant such license for a time ending not later than\nthe thirty-first day of December next, specifying dates and hours during\nwhich and the place where the licensee may operate.\n 2. Every such license shall be issued upon condition:\n a. That every quarter horse race meeting at which pari-mutuel betting\nis conducted shall be subject to the supervision of and to the\nreasonable rules and regulations from time to time prescribed by the\nstate racing and wagering board, and\n b. That pari-mutuel betting conducted thereunder shall also be subject\nto the supervision of and to the reasonable regulations from time to\ntime prescribed by the state tax commission. Any such license may also\nbe issued upon any other condition that the state racing and wagering\nboard shall determine to be necessary or desirable to insure that the\npublic interest, convenience or necessity is served.\n 3. Applications for licenses shall be in such form as may be\nprescribed by the board and shall contain such information or other\nmaterial or evidence as the board may require. Each application for\nrenewal of a license shall be deemed to be an application for a new\nlicense. The fee for such licenses shall be one hundred dollars for each\nracing day payable in installments in advance of each week's racing\nwhich sums shall be paid into the general fund of the state treasury by\nthe board. The term "racing week" shall include those days as defined\nby the rules and regulations of the state racing and wagering board.\n 4. In considering an application for a license under this section the\nstate racing and wagering board may give consideration to the number of\nlicenses already granted and to the location of the tracks previously\nlicensed. No such license shall be granted to any track located within\nthe corporate limits of a city of the first class. No such license shall\nbe granted to any quarter horse racetrack located within fifty miles of\nany existing harness, thoroughbred or quarter horse track except with\nthe consent of the licensee located within such fifty mile area,\nprovided, however, that in the counties of Suffolk, Niagara and Albany\nsuch license shall be granted to any quarter horse racetrack located\nmore than thirty-five miles from any existing harness, thoroughbred or\nquarter horse track, except with the consent of the licensee located\nwithin such thirty-five mile area.\n 5. The board may refuse to grant a license to an association or\ncorporation if it shall determine that:\n a. any officer, director, member or stockholder of such association or\ncorporation applying for a license, or of any association or corporation\nwhich owns stock or shares in the profits or participates in the\nmanagement, of the affairs of such applicant, or which leases to such\napplicant the track where it shall operate:\n (i) has been convicted of a crime involving moral turpitude;\n (ii) has engaged in bookmaking or other forms of illegal gambling;\n (iii) has been found guilty of any fraud or misrepresentation in\nconnection with racing or breeding;\n (iv) has been guilty of any violation or attempt to violate any law,\nrule or regulation of any racing jurisdiction for which suspension from\nracing might be imposed in such jurisdiction;\n (v) has violated any rule, regulation or order of the board; or\n b. the experience, character or general fitness of any officer,\ndirector or stockholder of any of the aforesaid associations or\ncorporations is such that the participation of such person in quarter\nhorse racing or related activities would be inconsistent with the public\ninterest, convenience or necessity or with the best interests of racing\ngenerally; but if the board determines that the interest of any\nstockholder referred to in this paragraph or in paragraph a of this\nsubdivision is insufficient in the opinion of the board to affect\nadversely the conduct of pari-mutuel quarter horse racing by such\nassociation or corporation in accordance with the provisions of this\narticle, the board may disregard such interest in determining whether or\nnot to grant a license to such association or corporation; or\n c. the applicant is not the owner of the track at which it will\nconduct pari-mutuel quarter horse racing pursuant to the license applied\nfor, or that any person, firm, association or corporation other than the\napplicant shares, or will share, in the profits of the applicant, other\nthan by dividends as a stockholder, or participates or will participate\nin the management of the affairs of the applicant.\n 6. The board shall also have power to refuse to grant a license:\n a. to any association or corporation, the charter or certificate of\nincorporation of which shall fail to contain a provision requiring any\nstockholder, upon written demand of the association or corporation, to\nsell his stock to the association or corporation at a price to be fixed\nin the manner provided in article five of the business corporation law,\nprovided such demand be made pursuant to written direction of the board;\nand from and after the date of the making of such demand, prohibiting\nthe transfer of such certificate of stock, except to the association or\ncorporation; or\n b. to any association or corporation which, having been a licensee,\nhas failed in the opinion of the board to properly maintain its track\nand plant in good condition or has failed to make adequate provision for\nrehabilitation and capital improvements to its track and plant.\n 7. Pending final determination of any question under this section, the\nboard may issue a temporary license upon such terms and conditions as it\nmay deem necessary, desirable or proper to effectuate the provisions of\nsections two hundred twenty-two through seven hundred five of this\nchapter.\n 8. Notwithstanding any other provision of this article, the state\nracing and wagering board may grant a license to any authorized quarter\nhorse racing association or corporation to hold and conduct one\nadditional quarter horse race meeting of not more than one racing week's\nduration, with pari-mutuel betting, on any quarter mile track within\nthis state.\n 9. The board shall have power to direct that every certificate of\nstock of any association or corporation licensed under the provisions of\nsections two hundred twenty-two through seven hundred five of this\nchapter shall bear a legend plainly and prominently imprinted upon the\nface of the certificate reading: "This certificate of stock is\ntransferable only subject to the provisions of section four hundred\nthree of the racing, pari-mutuel wagering and breeding law".\n