EPDS Racing troubles prompt trainer Menzies to take more control of syndicates

Trainer Rebecca Menzies has put plans in place to manage certain syndicates internally after being affected by the apparent financial issues surrounding EPDS Racing.

The Sedgefield trainer and EPDS enjoyed a fruitful partnership, particularly with Celtic Artisan winning eight races, but the relationship turned sour with the group's managing director John Powell understood to have encountered money problems.

Celtic Artisan was transferred to the trainer's own Premier Racing Partnerships in April and the stable is looking to control the management of similar syndicates in the future.

"My company and the team here worked closely with EPDS for several years and we each grew as a result of our mutual success," Menzies said.

"It's regrettable the racing management at EPDS didn't communicate with us to the extent they ought to have done. When difficulties arise, we as a team work closely with our partners as long as they talk to us. Sadly in the case of EPDS, this wasn't achieved to a satisfactory standard."

She added: "We encourage contact from all the enthusiastic syndicate members who shouldn't lose out as a result of these events, and as a company we'll see any future syndication of our horses operated directly from within our company as a positive, safe and great way for genuine enthusiasts to get involved with us at Howe Hills.

"With the backing and support of the trainer and the team, the owners can be secure in the knowledge their investment is safe and their enjoyment and all the benefits of syndicated ownership will be delivered in excess of their expectations."

John Powell: EPDS managing director is believed to have financial problems

Trainers and syndicate members affected by EPDS Racing's apparent failure to settle outstanding payments are in dialogue with the BHA and National Trainers Federation over the matter, with some thought to be considering legal action.

The company's financial issues appear to be long-standing as it has emerged that Louisa Carberry, who trained Tectona for the syndicate in France, felt forced to sell the mare in a Clairefontaine claimer last August to recoup unpaid bills.

"My dealings with John Powell were fine until we had payment problems. I managed to get the majority of it sorted by selling the horse, although I don't know what the members got out of it," Carberry said.

"It's really sad because syndicates are really important to the racing industry and I don't want people thinking all syndicates are run like this because they're not.

"It would be a shame if people were put off and perhaps things should be regulated a bit more and people better protected."

The problems facing EPDS follow on from the collapse of Layezy Racing Owners Club – who Menzies also trained for – earlier this year after the club's founder Mike Stanley filed for bankruptcy.

Jon Hughes, spokesman for the Racehorse Syndicates Association, said: "This sort of occurrence should not happen. The issue is what protection is there – or should there be – in the event of a syndicate going under.

"In Australia, for example, licensing is tighter and syndicators are asked to put money into escrow accounts, so there is a backstop for investors should something go wrong."

The Racing Post contacted Powell for comment but received no reply.

If you are interested in this, you should read:

Syndicate on brink of collapse over outstanding payments

Horses owned by Layezy Racing barred from competing due to bankruptcy order

Three trainers with horses from Layezy group report fees have been paid in full

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