John Allen, the former CEO of the Racing Industry Transition Authority (RITA) has decided the step down from his position due retirement. RITA is also known as TAB and is the only domestic racing and sports gambling operator in New Zealand. His decision however, may be influenced by ongoing changes in the industry.
Joe Allen talked about this decision:
“This is my decision. I have been here over four years and I only ever intended staying for five so the time is right. I think the time is right because some of the key projects we have been working on are now in place, like the FOB [fixed odds betting] and a lot of the legislation recommended by the Messara report is close to being finalized.”
Allen was criticized because new FOB platform launch didn’t generate as much income as expected, and his recent project didn’t benefit the industry much.
“We have had decreased turnover because of the disruption to punters when the new FOB platform came online but that is a one-off that won’t happen again and we had a tough period at the end of last year with margins, but they have since bounced back. But I also think the racing industry hasn’t been helped by delays in securing the money we could have had from Race Fields legislation and some of the other extra revenue we expect to come online.”
It seems that he decided to step down in the nick of time. TAB is being investigated lately because the amounts of money the high-ranking executives seem unbalanced. Also, the virtual monopoly that company holds in the market seems to be the problem.