Gough proceeds with injunction against AIRO over HRI board dispute

The representative of the Association of Irish Racehorse Owners (AIRO) on the board of Horse Racing Ireland (HRI) is proceeding with his legal action against AIRO, claiming the association has failed to provide adequate assurance that it will not proceed with the appointment of his nominated successor to the HRI board.

On February 14, James Gough, who was appointed to the HRI board in 2015 following a postal ballot of the AIRO membership, sought an injunction to prevent the election of Caren Walsh as his successor on the basis she was nominated by the 12-member AIRO council after what he claims was an undemocratic process.

Gough also initiated litigation proceedings for costs and damages against AIRO, but the process was delayed when AIRO agreed to postpone a meeting scheduled for last Tuesday until the case returned to the High Court for mention on March 1. Walsh’s election was due to be ratified at the meeting.

Gough also wrote to the minister for agriculture Michael Creed requesting him to intervene in the dispute, as he maintains the minister has it within his remit to do so.

The minister subsequently responded and has invited both parties to file submissions by Monday as to how they propose the election process should be undertaken. It is expected both sides will furnish the minister with their recommendations, and AIRO is also due to file a replying affidavit to the High Court before March 1.

However, AIRO has not satisfied Gough’s legal team that it will not proceed with Walsh’s election beyond its commitment not to do so before the case returns for mention. Consequently, Gough has proceeded with his bid to get an injunction to force the issue and lodged papers to that effect in the High Court on Friday.

The basis of his objection is that, after his election by a postal ballot of AIRO’s 1,500-plus membership that was undertaken by Ernst & Young in 2012, AIRO’s constitution was changed following a motion that was tabled at its 2014 AGM to allow only the 12 members of the council nominate or second a candidate for the HRI board.

Gough wanted to go before the membership for re-election but was prevented from doing so when none of his 11 fellow council members would second his nomination. A spokesperson for AIRO did not want to comment while the case is ongoing.

However, Gough told the Racing Post on Friday: “AIRO agreed to stop the process until March 1, but in their paperwork they haven’t gone beyond that. That’s why we are going ahead. They are prevaricating, when the crucial point is will they desist until the minister decides? That’s not something they have provided a satisfactory response on and that’s what the injunction is seeking.”

He added: “It’s frustrating because this is all running up costs for the membership, who have been disenfranchised by the undemocratic nature of the nomination process. AIRO have set up a two-tier system. Council members now have superior powers. They have disbarred the membership from having any effective say in who represents them on the HRI board.

"It's not about me, it's about anyone having a fair opportunity to be nominated and stand for election.”

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