With the state trial of Dr. Wayne Gertmenian, former manager of the Jockeys’ Guild, set to begin Oct. 16 in Los Angeles County Superior Court, the embattled organization is reportedly considering filing for bankruptcy protection.
Although newly appointed national manager Terry Meyocks would neither confirm nor deny that, sources close to the situation said a meeting of Guild senators was held Oct. 9, when a vote was held to determine whether the organization would declare bankruptcy.
“Like many other entities in North America, the Jockeys’ Guild has struggled with the high costs of insurance,” Meyocks said Oct. 10. “We are looking at all of our options to decide the best way (to go) in dealing with this and all other issues that address the needs of the membership with limited revenues.”
Meyocks was hired by the Guild Sept. 6 to replace national manager Dwight Manley, who, citing family obligations, resigned after a little more than a year on the job. Manley came onboard following the controversial ousting of Gertmenian, who left the Guild in “a substantial negative net worth position, including 200 bounced checks,” according to Guild-affiliated attorney Barry Broad.
A federal suit against Gertmenian, which was dismissed Aug. 13, claimed Gertmenian took more than $1 million from the Guild.
Official news of the Guild’s decision to declare bankruptcy is expected within the week.
Although bankruptcy may seem an extreme option, it is perceived the Guild would come out of such a condition in a stronger state, similar to the process experienced by the New York Racing Association, which filed for bankruptcy protection Nov. 2.