Anthony Bonomo

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Final thoughts from the Spa

Posted by noonante on September 15, 2015
Posted in: Horse Racing, Political/Social commentary, Politics, Saratoga thoughts. Tagged: , , , , , , . Leave a comment

The Saratoga experience is a unique one.  It’s only been a week since the meet ended, but it seems like a distant memory.  Yet, the first time I walk through the gates next year, it will be as though I never left.  Here are some final observations:

  • By most measures, a hugely successful meet.  The wagering handle was up significantly from last year, the weather was glorious, and there were many excellent races.  There were full fields and challenging cards.  The number of Pick 6 carryovers is a testament to the competitive nature of most days.  One troubling indicator, however, was the attendance over the last half of the meet.  While NYRA touted total attendance of more than a million, they could only arrive at that number by counting the thousands of season pass holders that did not show up on a given day.  They falsely inflated last year’s attendance in the same way, adding the number of unused season passes to each day’s turnstile count.  In 2014, there were a total of about 6,400 season passes sold;  this year there were about 8,400.  So when the NYRA announced attendance  –  again, not the actual attendance  –  was lower on most days than last year’s figure for the last 20 days, that should cause alarms to go off.  It may be for the rest of us, but probably not for those in the executive suite who believe their own nonsense.
  • Highlight of the meet:  For me, it wasn’t any race, but an experience.  I left my house an hour before American Pharoah’s scheduled gallop over the track, figuring I could park in my usual spot near the Nelson Avenue backstretch gate.  After going two blocks and seeing the streets packed with parked cars and throngs heading in the track’s direction, I gave that plan up, parking farther away than if I left the car in the driveway.  The reported attendance in the grandstand was about 15,000.  On the backstretch there were thousands more.  There were lines ten deep at the backstretch snack bar  –  longer lines than I saw at clubhouse betting windows on Travers day.  All this to watch a horse jog, then gallop, two times around the track.  While we sometimes forget what got us hooked on this game, it is obviously the horse.
  • Say what?  Perhaps the most interesting thing I heard on the backstretch several times was the idea that Anthony Bonomo would  –  or should  –  resume chairing the NYRA Reorganization Board.

Bonomo was the last Chair “recommended” by Governor Cuomo following the departure of David Skorton to head the Smithsonian.  Shortly after his election by the Board, Bonomo was apparently implicated in the federal indictment of former Senate leader Dean Skelos and his son Adam, and then decided to suspend his participation in Board activities.  I say “apparently” because Bonomo is neither charged with a crime, nor is he even mentioned by name in the indictment.

Even though he is not named, numerous reports have identified Bonomo, who is the head of a medical            malpractice insurer, as the entity identified in the indictment as having given Adam Skelos a no-show job in order to secure favorable legislative treatment benefitting the insurance company.  To my knowledge, Bonomo has never denied being the individual identified in the indictment, and he did leave his position in charge of a major governmental body that oversees racing at New York’s three big tracks.

Setting aside whether he would be a good pick as Chair, there are two significant problems with his returning if, indeed, he is the figure identified in the indictment.

The first is that even though he is neither charged in the indictment nor named in it, his alleged involvement is troubling.  One of the offenses with which the senior Skelos is charged is “soliciting a bribe” from the malpractice insurer.  The indictment alleges that a bribe was made by the insurer  – giving the son a no-show job in the hope of favorable legislative action.  The necessary corollary of that allegation, of course, is that the malpractice insurer bribed a prominent political figure.

The insurer not being charged with a crime seems to be consistent with the approach taken by United States Attorney Preet Bharara in both this case and the indictments against Skelos’ counterpart in the Assembly, now-former Speaker Sheldon Silver.  He is apparently not charging significant  –  and possibly culpable  –  figures in the hope of landing the big fish.  In the Skelos case, the Complaint providing the probable cause to arrest Dean and Adam Skelos alleges there are two “Cooperating Witnesses” who have entered non-prosecution agreements with the government in exchange for their continuing cooperation.  Obviously, one would need a non-prosecution agreement if there is potential criminal liability.  These witnesses are related to other allegations against the Skelos’ and not to those pertaining to the malpractice insurer.  The second indictment fleshed out the allegations relating to the malpractice insurer.  The level of detail strongly suggests that there are cooperating witnesses from the insurer, even though they are not identified as such.

I once again emphasize that Anthony Bonomo has neither been charged with a crime nor even identified in the Skelos indictment.  But if the resolution of that case concludes that he was indeed providing benefits in exchange for anticipated favors, it seems unlikely the Governor would allow him to resume as Chair.  It is perhaps the height of irony that Bonomo began serving on the NYRA Reorganization Board  –  created by the Governor purportedly to restore public trust  –  at the same time the indictment alleges that Adam Skelos began his no-show job with the malpractice insurer.

The other troubling aspect of Bonomo’s appointment are the reports that he was a substantial contributor to one Andrew Cuomo.  I realize there is nothing wrong with this in the sense of “legally wrong,” but is this the perception that an Administration that has touted its reform of racing  –  leaving aside whether there is any merit to that claim  –  wishes to pursue?

NYRA Chairman steps down – what is next?

Posted by noonante on June 4, 2015
Posted in: Horse Racing, Political/Social commentary, Politics. Tagged: , , , , . 3 Comments

Anthony Bonomo, Governor Cuomo’s selection for Chairman of the Reorganization Board of the New York Racing Association, has now been forced to step aside, less than two months into his tenure.  It follows his being linked to the indictment last Thursday of Senator Dean Skelos and his son Adam.  Bonomo was neither charged in the indictment nor identified by name.  It is now fairly clear, however, that it was his company, a medical malpractice insurer, that allegedly provided over $100,000 in salary and benefits to Adam Skelos in a no-show job scheme.  The indictment alleges the payments were made while the insurer had matters pending in the state legislature.

To put this matter in context, when the United States Attorney released a criminal complaint to show probable cause for arresting Senator Skelos and his son a month ago, it characterized the provision of a different no-show job for Adam Skelos as bribery.  I will emphasize again that neither Bonomo nor the company he heads has been identified or charged.

The allegations appear to be the closest connection to actual corruption against an official of the Cuomo Administration, and from someone who was a major contributor to the Governor’s political operation.  It may be the height of irony that rooting out corruption in the prior NYRA was an ostensible reason for Cuomo’s seizing control of the group three years ago.  While there was never any actual corruption by the prior officials, the Cuomo appointees took every opportunity to highlight their restoration of integrity to an entity that, in reality, did not lack it.

This remarkable development does, however, present an opportunity for New York to embark on a path to truly restore NYRA to the leadership role it once occupied in the thoroughbred industry.  Bonomo’s leave of absence from the Reorganization Board means that a body established by law to have 17 voting members is now down to 13, following the failure of the Governor, the Assembly leadership and the old NYRA to replace three prior members who had resigned.  It is a chance to appoint recognized industry leaders, thereby putting the “new” NYRA on a path to fulfill their sole responsibility under the law  –  restoring the New York Racing Association to private control.

The law written by Cuomo officials that took over NYRA required the newly constituted Reorganization Board to present a plan by last April to return government-control of racing back to private hands by October 18, 2015.  Even though this was the only obligation of the new Board under the law, they did not accomplish it.  So, this year’s budget extended both deadlines for an additional year.

I think there is a legitimate question as to whether this group has any intention of relinquishing control.  Prior Board Chairman David Skorton let it slip that the next group to run New York racing would be “hopefully us.”  Anthony Bonomo, in an interview with Bob Ehalt published in Thoroughbred Racing Commentary said in reference to the extension:  “I don’t think it mattered.  A lot is made of that, but at the end of the day we have to focus on racing, not who is controlling it.”

Bonomo’s alleged involvement in the Skelos indictments has nothing to do with his chairmanship of the NYRA Board.  What it does do, however, is further the public perception that New York’s  government is a fetid swamp of big-moneyed interests calling the shots in Albany.  The initial proposal emanating from NYRA on re-privatization called for the current government-controlled board to pick the next one.  That doesn’t return racing to private control;  it perpetuates the state’s control.  There clearly are better options, and now is a time to step back and do the right thing.

The current NYRA leadership may not appreciate the low esteem in which they are held by racing fans, horsemen and horsewomen.  It stems from the enormous damage they have done to their credibility coupled with a lack of expertise when it comes to the sport they now run.  If new Board members are going to again be drawn from a list of campaign contributors, that perception will not be altered.  Adding even three respected and independent voices to the Board would go a long way to rehabilitate public trust.

NYRA Chairman reportedly linked to Skelos in indictment

Posted by noonante on May 29, 2015
Posted in: Horse Racing, Political/Social commentary, Politics. Tagged: , , , , , . Leave a comment

According to a report at Capital, Anthony Bonomo, Chair of the New York Racing Association Reorganization Board, heads the unidentified medical malpractice insurer that provided a no-show job to the son of Dean Skelos.  The allegation concerning the insurer was not part of the complaint that led to the arrests of both Dean and Adam Skelos earlier this month, but was raised publicly for the first time in an indictment against the two men brought Thursday by U.S. Attorney Preet Bharara.

For those not following the latest major scandal to hit Albany’s state house, Dean Skelos, now the former leader of the state Senate, allegedly extorted a major real estate developer to provide money to his son Dean in the form of no-show jobs in exchange for favorable treatment on legislation important to the developer.  Two pieces of such legislation are due to expire, and are now part of the discussions in the effort to close out the legislative session in June.  They are a major tax break known as “421-a” and proposed changes to the rent protection law for tenants.

Until the indictments, the allegations against Skelos concerned his extorting the real estate developer and an environmental technology company with connections to the developer.  The indictment, however, also alleges that Dean Skelos also secured for Adam:

“Over $100,000 in payments and health benefits from a medical malpractice insurer who provided ADAM SKELOS with a no-show job while actively lobbying DEAN SKELOS on legislative matters.”

Reporter Laura Nahmias states that “multiple sources” informed Capital that the unnamed firm is likely Physicians Reciprocal Insurers, whose CEO is Anthony Bonomo.  Neither P.R.I. nor Bonomo returned calls from Capital.

Nahmias goes on to describe Bonomo, members of his family and P.R.I. as one of the largest 25 political contributors in the state, having donated $877,000 in just the 2014 election cycle.  The largest beneficiary of their largesse was Governor Cuomo.  Cuomo selected Bonomo to chair the NYRA reorganization Board in April.

There is no allegation in the indictment of wrongdoing by the “medical malpractice insurer,” let alone Bonomo.  The complaint leading to the arrests of both Skelos was replete with detail, including quotes from intercepted telephone conversations.  The indictment repeats many of those details.  Curiously, there are no such details concerning the “medical malpractice insurer” except for the above quotation.