ALTOONA (AP) --- The chairman of the nonprofit company that runs Prairie Meadows Racetrack and Casino has resigned in the wake of an investigation into whether he placed illegal bets with a bookie, his lawyer said Friday.
Jim Rasmussen, chairman of Racing Association of Central Iowa since 1995, decided to resign because it was "in the best interests of Prairie Meadows and the community," said his lawyer, Maggi Moss.
"This decision as made over a week ago. It was voluntary. It was strictly his volition to resign and had absolutely nothing to do with any initial negotiations or settlements," Moss said.
Rasmussen was facing a hearing next week before the Iowa Racing and Gaming Commission, which last month found probable cause that Rasmussen had illegally placed bets. The state considers such conduct to be detrimental to legal gambling operations.
Rasmussen had been meeting with state regulators toward a possible settlement, The Des Moines Register reported Friday in a copyright story.
The newspaper said Rasmussen, through his attorney, had acknowledged that he placed football bets and covered thousands of dollars in gambling losses for his two adult sons, Kurt and Jeff. The Rasmussens are part of an investigation into a gambling ring allegedly run by Robert Derryberry of Norwalk.
Moss said Rasmussen stopped betting in early 2001, about a year after he was diagnosed with inoperable lung cancer. But last January, Rasmussen ordered his company controller to wire two checks to Derryberry when his sons confided that they had gambling debts they couldn't cover, Moss said.
At the time, Moss said, Rasmussen didn't immediately realize that his recreational betting -- and that of his sons -- might call into question the integrity of legal gambling at Prairie Meadows, where Rasmussen's horses have consistently placed among the track's biggest winners.
Rasmussen's dual roles at the track as participant and overseer of horse racing have been questioned by critics since he became RACI chairman
Moss insisted that Rasmussen's betting on sports did not cross into operations at the racetrack.
"I do not want it portrayed that he does not think it was wrong or stupid," Moss told The Register. "He doesn't defend it. There's nothing to defend. He said he did it, and he knows it was stupid. The bottom line is, Jim Rasmussen made a mistake, and he has no desire to hurt horse racing at Prairie Meadows Racetrack and Casino."
The Rasmussens have not been charged in a crime but are listed among the 55 witnesses who may be called to testify against Derryberry.
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Jim Rasmussen, chairman of Racing Association of Central Iowa since 1995, decided to resign because it was "in the best interests of Prairie Meadows and the community," said his lawyer, Maggi Moss.
"This decision as made over a week ago. It was voluntary. It was strictly his volition to resign and had absolutely nothing to do with any initial negotiations or settlements," Moss said.
Rasmussen was facing a hearing next week before the Iowa Racing and Gaming Commission, which last month found probable cause that Rasmussen had illegally placed bets. The state considers such conduct to be detrimental to legal gambling operations.
Rasmussen had been meeting with state regulators toward a possible settlement, The Des Moines Register reported Friday in a copyright story.
The newspaper said Rasmussen, through his attorney, had acknowledged that he placed football bets and covered thousands of dollars in gambling losses for his two adult sons, Kurt and Jeff. The Rasmussens are part of an investigation into a gambling ring allegedly run by Robert Derryberry of Norwalk.
Moss said Rasmussen stopped betting in early 2001, about a year after he was diagnosed with inoperable lung cancer. But last January, Rasmussen ordered his company controller to wire two checks to Derryberry when his sons confided that they had gambling debts they couldn't cover, Moss said.
At the time, Moss said, Rasmussen didn't immediately realize that his recreational betting -- and that of his sons -- might call into question the integrity of legal gambling at Prairie Meadows, where Rasmussen's horses have consistently placed among the track's biggest winners.
Rasmussen's dual roles at the track as participant and overseer of horse racing have been questioned by critics since he became RACI chairman
Moss insisted that Rasmussen's betting on sports did not cross into operations at the racetrack.
"I do not want it portrayed that he does not think it was wrong or stupid," Moss told The Register. "He doesn't defend it. There's nothing to defend. He said he did it, and he knows it was stupid. The bottom line is, Jim Rasmussen made a mistake, and he has no desire to hurt horse racing at Prairie Meadows Racetrack and Casino."
The Rasmussens have not been charged in a crime but are listed among the 55 witnesses who may be called to testify against Derryberry.
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