A group of Ontario standardbred horse breeders has filed a Statement of Claim against the Ontario Lottery and Gaming Corporation (OLG) and the province for $65 million.
It comes after a failure to reach a compensation agreement with the provincial agency.
The claim states that the announcement of the termination of the Slots at Racetracks Program in 2012 was made without prior notice, consultation or offer of compensation.
The horse racing industry shared 20 per cent of the revenue generated by the program and was devastated when it ended.
While arrangements have been made to compensate racetrack owners for their losses to the tune of $80.6 million, breeders say the same has not happened for them.
Breeders say they ensured a steady supply of standardbred horses for the racetracks in exchange for a share of the slots program revenue.
The suit also claims the OLG and the province assured breeders the program was long term and changes would only be made on reasonable notice and with proper consultation.
In addition, the breeders say compensation for losses if the program was terminated would also be provided.
Breeders say long-term plans were made based on assurances from the OLG, but that the OLG and the province made false claims.
They claim that despite the knowledge they would be terminating the program, breeders were provided with a five-year financial projection of slots revenue in a 2012 plan.
In addition, the cancellation of the slots program came in the middle of breeding season.
In an email response to inquiries from CTV News, Tony Bitonti, media relations manager with OLG, says:
"OLG has not yet been served with the Notice of Action. OLG will respond to the allegations after the claim has been served and we have the opportunity to review the allegations in detail.
"It's important to note, the Standardbred horsebreeders are part of the horse racing industry which received $3.4 billion over 10 years from the Slots at Racetrack Program."
Meanwhile Essex MPP Taras Natyshak, the NDP horse racing critic, released a statement saying "The Liberal government put the livelihoods of thousands of hard-working Ontarians in jeopardy when it cancelled the slots-at-racetrack partnership. Today's action...is a sadly predictable outcome."
He goes on to say "Instead of working with the horse racing industry...the Liberal government chose a callous and short-sighted approach that negatively impacted the economy in rural Ontario and hurt horse people around the province."
