Marshall Gramm Agrees to Voluntary Suspension as Horse Racing Fraud, Insider Information Cases Continue
Owner, handicapper returns prize money from betting contests and continues to "work in good faith" with HISA.
Marshall Gramm, the horse racing owner and handicapper accused by the Horseracing Integrity and Safety Authority of fraud and improperly obtaining data on horses he did not own, agreed to a temporary suspension while the cases move forward.
Gramm and his attorney signed the four-page document on Sunday, one day before HISA’s deadline for his response to the charges it announced a week ago.
The authority maintains a database of racehorses that contains information about their health. Only a horse’s primary owner and HISA-approved veterinarians and state racing regulators may access that information.
During six weeks this spring, HISA alleges Gramm accessed records of horses he did not own. This occurred as he participated in several handicapping contests and purchased horses through claiming races. In addition, customized past performance charts for some horses that contained the confidential information made their way on to social media platforms.
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Hearings Still Scheduled, For Now
Under the voluntary suspension, from which the Tennessee college professor can withdraw at any time, Gramm agreed to divest his interests in horses he owns, transferring them to another designated owner. Until that happens, none of Gramm’s horses can compete in a sanctioned race or official timed workout.
Gramm also cannot claim any horses, nor can he go to a track.
In a statement provided to Gambling Insider on Monday, Gramm said he continues to “work in good faith” with the agency established by a federal law to nationalize standards and rules for the sport.
Prior to the agreement, I returned (handicapping) contest earnings,” he said. “I am also working to return the purse money and horses at issue and am awaiting instructions to ensure those steps are completed properly.”
As of Monday, HISA’s portal shows the status of the two charges as “accepted sanction.” Hearings for the fraud charge and the impermissible access are still scheduled for Sept. 14 and 16, respectively.
Those panels will consider sanctions against Gramm that the nine-member HISA board would approve. The time he serves under the provisional suspension would count toward any suspension the agency issues.
If Gramm reaches a final agreement with HISA prior to the hearings, the authority would consider the matter closed.
Gramm Seeks ‘Refocus’ on Horse Racing
Gramm, in a statement last week after the charges were announced, said he and HISA were in discussions about a settlement on the cases. However, those ended after the authority refused to let him publicly explain his actions.
In his new statement, Gramm reiterated that he would work with HISA while maintaining his right to defend himself.
“I hope we can resolve the remaining issues fairly and put this matter behind us so that everyone can refocus on the sport we care about,” he added.
SEE ALSO: Horse Racing at a Crossroads with Computer-Assisted Wagering
Jockey Club, NTRA Also Take Action Against Gramm
After HISA announced the charges, The Jockey Club, a prominent racing organization that maintains the sport’s breeding registry and supports other initiatives in the sport, announced last week it would revoke Gramm’s membership from the invitation-only group.
He became a Jockey Club member two years ago, and the organization said it would not wait for HISA’s final ruling before proceeding with its plans.
Also on Monday, the National Thoroughbred Racing Association announced Gramm withdrew from next year’s handicapping championship, a $5.5 million contest scheduled for March 5-7 in Las Vegas. The winner receives a $1 million grand prize.
The NTRA also suspended Gramm from further National Horseplayers Championship events pending the outcome of the HISA investigation.
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