Hollypark Rift: Hubbard’s Background Is Questioned

The current operators of Hollywood Park, embroiled in a bitter power struggle for control of the race track, have questioned the background of R.D. Hubbard in a letter to the California Horse Racing Board.

Hubbard, the owner of race tracks in New Mexico and Kansas, has initiated a proxy fight to remove the current board of directors, including Chief Executive Officer Marje Everett.

In a letter to the CHRB, Hollywood Park attorney Robert Forgnone quoted a 1988 New Mexico State Racing Commission investigator’s report that said: “In his (Hubbard’s) attempts to obtain racing licenses in Kansas, he reportedly gave $10,000 to the current Kansas Attorney General (Robert Stephan) to settle a sexual assault case.”

The New Mexico report, however, was badly worded, and Hubbard was not involved in any sexual assault case. In fact, it was Stephan who was sued, and it was for sexual harassment, not sexual assault, after firing an employee.

Tom Golder, executive director of the New Mexico State Racing Commission, said a partial investigation was conducted, and nothing was found. The investigation was limited because of budget problems. Golder also said the reference to sexual assault was wrong and has caused much confusion.

Alvin Segel, an attorney for Hubbard, responded by letter to the CHRB saying: “Mr. Hubbard has been a close friend of Mr. Stephan for over 20 years, significantly prior to his becoming attorney general. In 1985, Mr. Stephan was involved in a civil sexual harassment case. His attorney, without disclosing this information to Mr. Stephan, asked various friends of Mr. Stephan to contribute money to help settle the case. Mr. Hubbard contributed $10,000 to settle this effort.”

Segel said that it “was purely the act of one friend helping another.”

Hubbard was granted racing licenses in both New Mexico and Kansas.