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REPORT TO NEW YORK LEGISLATURE. State Racing Commission Presents Able Arguments in Favor of Percy-Gray Law. The annual report of the State Racing Commission was made to liotb branches of the legislature yesterday. It gives the five fmt cent, tax paid by the racing associations under the law for the year 1907 as 46,42!*. 10. This a mount was made up as follows: Coney Island Jockey Club 4,001.36 Brooklyn Jockey Club 41 .312.23 Brighton Bench Racing Association 40,623.73 Westchester Racing Association 32.S99.36 Queens County Jockey Club 20.111.73 Metropolitan Jockey Club 19.461. 7." Saratoga Racing Association 17.S76.93 Kmpire City Trotting Club 12, 43.".. 48 Buffalo Racing Association 7.426.."i2 Inited Hunts Association 280.07 Total 46,429.16 In part the Icpovt says: "It was not until the present law was enacted in 1895 that racing bc-anie a sport so well established, aud so well safeguarded, that it rose to the iuiportain-e of au industry aud gave occupation directly to thousands of people, ami Indirectly supported the industry of thousands more. It would be impossible to enumerate in a short letter the various interests — from the railroads to the farmer and laboring man — that in one way or another are affected by racing. A great amount of capital, relying upon the law as at present constituted, has been Invested in the building and operation of race courses, and In the purchase, maintenance and breeding of high-class horses. "The present racing law in this state does not stand alone in the history of such legislation. It closely follows the restrictive racing acts which have been so long and so successfully In operation in England and France and other Euro|K»an countries. Nor is the criticism, so prevalent in these days of restless legislation, that some of Its provisions are unconstitutional, justifiable. On the contrary, the fact is that the Court of Appeals has three times held this statute to be constitutional. ; "Since the passage of this statute iu 1895. and under its orderly and successful operation, horse lacing iu this state has thriven in every way. and has become a great industry — an Industry worthy of preservation and protection; and we think that the millions of dollars of capital invested in reliance upon the statute should not be jeopardized by changes which may only reflect a passing sentiment of a portion of our population not acquainted with the real situation. "So long as there is racing there will lie betting: and by the present law the legislature has provided a penalty, which has been held to be constitutional, for the reason that the legislature is the sole judge of what the tenalty should be. The penalty is not unusual. On the contrary it is in conformity with previous legislation on the subject, which has always made a forfeiture of the stake the penalty for a wager. "It must also occur to any one who takes into consideration the characteristics and the cosmopolitan nature of our population, that more than likely the passage of the proposed amendments would fail to abolish the practice at which they aim. "The present racing law was passed after an elaltorate examination, and after many years of confusion. It has been satisfactory in its workings for twelve years, and it is difficult to appreciate the argument that the capital of so many peo pie. as well as their recreation, should be lost to them through over-zealous legislation, which seeks to accomplish that which no other land aud no other law has ever done hitherto. "To state our views in terse form, we submit: "First. The racing statute of 1890 has, in our opinion, justified the promises of its promoters, aud its administration has remedied many abuses and has brought atiotit great improvement in the character of racing in this slate. "Second. In our opinion the enactment of the projiosed amendments would be a serious damage to racing, and would probably terminate racing within a short time. "Third. The contention that the same penalty must be provided for betting at a race course on a race there taking place as provided for maintaining poolr«K ms is not sound. There are a score of statutes iu this state making a different penalty for the same act when done in different places. Such distinction in penalty has been repeatedly sustained by the courts, and is reasonable aud proper. "Fourth. The present statute, in our opinion, is a reasonable and proper statute of regulation in respect of a problem of more or less difficulty, and we believe it to be wiser legislation than would be I statute of absolute prohibition, under all the circumstances. "The commission, therefore, believes that the law as it stands effectually and properly carries out the purposes for which it was enacted and recommends that no further legislation in the premises is necessary or desirable at this time."