Racing in Chicago faces permanent shutdown as Hawthorne’s license suspended
Hawthorne president Tim Carey failed to show at an Illinois Racing Board meeting this week investigating the track’s financial problems.
by Neil Milbert
Confronted with the greatest crisis in Illinois racing history, the Illinois Racing Board (IRB) on Jan. 28 heard testimony from leaders of the Illinois Harness Horsemen’s Association (IHHA), the Illinois Thoroughbred Racing Association (ITHA), and Hawthorne Race Course’s assistant general manager.
Two days earlier, the IRB announced that it had suspended the organizational license of Hawthorne’s harness racing branch “for failure to provide documentation demonstrating its financial integrity and proof that they can meet the minimum standards outlined in the Horse Racing Act and rules.”
Hawthorne has yet to race in 2026 — the Jan. 3-Feb. 15 Saturday and Sunday harness programs that were scheduled to be a continuation of the meeting that began on Nov. 7 were canceled, first because the Chicago metropolitan area’s only track had failed to submit the required surety bonds for this year of racing and then because of an epidemic of bouncing checks dating back to December.
The thoroughbreds are scheduled to take over the track for a March 25-Nov. 1 meeting after which the standardbreds are scheduled to return for a Nov. 6-Dec. 27 meeting.
But both of those meetings are shrouded with uncertainty as a consequence of the unresolved financial crisis.
“There’s a very good chance that the last horse race [in the Chicago metropolitan area] has been raced,” said ITHA executive director Dave McCaffrey, expressing the worst-case scenario.
IRB executive director Domenic DiCera, in announcing the suspension, said: “On Jan. 15, the IRB requested bank statements that reflect the operating fund, and any fund related to racing operations at Suburban Downs. Unfortunately, their financial difficulties, including failure to provide financial documents showing their ability to operate assigned 2026 race dates, have led us to suspend their license.
“The board will consider reinstating the licenses of Suburban Downs, Inc. should they cure the violations and provide documentation, demonstrating they meet the minimum standards, including but not limited to its financial integrity under the Act and rules.”
The first item on the published Jan. 28 agenda called for Tim Carey, president and general manager of the family-owned track, to provide an update but he was a no-show and assistant general manager John Walsh acted as a substitute.
“The horsemen who depend on Hawthorne for their livelihood and have not been paid deserve to hear directly from the person who is responsible,” said IHHA president Jeff Davis, expressing his displeasure. “I think that is disrespectful not only to the horsemen but also the Racing Board.
“Ten of 14 scheduled winter harness dates have been lost. Horsemen have not had access to their earnings since before Christmas. Funds from the Department of Agriculture remain inaccessible.
“I want to emphasize that the Board’s decision to suspend Suburban Downs’ racing license was not an easy decision but it was the right one.
“We also learned this morning that Churchill Downs [Inc.] obtained a judgement in December based on unpaid simulcast fees. That judgement appeared three days before the $1.1 million in purses for the Night of Champions were to be available. We were not notified.”
IHHA executive director Tony Somone elaborated on the consequences of the bounced checks in the daily lives of his organization’s constituents:
“This is how we pay our bills, not only the feed man and the veterinarian but how we pay our mortgages and our car payments. This is how horse racing works. It’s very important to understand that this money is our paycheck. We don’t work for Hawthorne; we are not employees of Hawthorne. We’re simply trying to get access to our own money. They kind of act as a custodian of our money.
“What makes this even more egregious that they’re bouncing these checks is that so much of this money is not even money that is coming from betting dollars – $267,000 came from the Department of Agriculture for our Night of Champions [a $1.1 million program for Illinois-breds that is the biggest night in Illinois racing]. That money was received by Hawthorne.
“We also made stakes payments of $500, $1,000, $1,500, and so on to get eligible. That’s almost $700,000 in Hawthorne’s pockets back in March and April.
“When we speak with Tim [Carey] it’s not very fruitful. It’s ‘yes’ and ‘no’ answers.”
Compounding Hawthorne’s financial woes in addition to the simulcast bill is a $5 million lien from contractors for unpaid 2020 teardown work in the grandstand and clubhouse for the proposed casino addition made possible by a massive gambling expansion bill in 2019.
Despite repeated assurances from Carey every year that Hawthorne was on the brink of receiving racino financing nothing has been done.
“We’ve lost an estimated $36 million in [racino] revenue and the state has lost about $150 million,” Davis testified. “And now after six years of promises Hawthorne can’t clear a $400 check to a trainer.”
Walsh began his testimony by saying, “I want to assure all the horsemen that Hawthorne, its employees, and the Carey family are disgusted by this unexpected turn of events [that produced the bank crisis]. I don’t know the inner workings of the bank. It’s shocking to us.
“Getting a racino up and running is a long and tedious process. We’re working with a new partner, someone nearby. Right now, Tim is somewhere downtown working with professionals on getting this resolved. Whatever is going to happen is going to happen in the next two or three months. We have a few options on loss of opportunities for horsemen. We’ll work everything out once we get everything fixed.”
