ATC names Steve McMahon chief executive as NSW industry rift continues

The Australian Turf Club has appointed Steve McMahon as its chief executive in a move it says will focus on rebuilding industry alignment amid ongoing tensions with Racing NSW.

McMahon will assume full-time occupancy of the role after spending the past seven months as the club’s interim boss.

His appointment comes as the club continues to navigate a complex period marked by financial uncertainty and ongoing legal disputes with Racing NSW.

“It’s a privilege to be appointed CEO of the Australian Turf Club,” McMahon said in a statement.

“These seven months have given me clarity and focus on financial performance while delivering long-term value for ATC members, owners, and the broader racing industry.”

Since McMahon’s elevation to the top position after replacing Matt Galanos, who departed in September, the ATC has been embroiled in legal disputes sparked by the regulator’s decision to place the club in the hands of an administrator.

Citing concern over governance procedures, Racing NSW issued the ATC with a show-cause notice following the resignations of board members Ben Bayout and Natalie Hewson.

Racing NSW sacked the board and appointed an administrator in December, claiming the remaining ATC directors had ceased to be effective as a governing body while holding doubts about the club’s solvency.

But a Supreme Court hearing in March found that Racing NSW had exceeded its powers.

The court ruled that Racing NSW did not have authority under the Thoroughbred Racing Act to designate Morgan Kelly as administrator on December 15 in the case brought by the ATC.

A day after that decision, the ATC announced veteran business executive Bernie Brookes had joined its board, filling a casual vacancy position left by Bayot’s departure.

Those court battles have underscored broader tensions about the future direction of racing in NSW and the balance of power between key industry bodies that is the subject of a NSW government-ordered review led by former state health minister Brad Hazzard.

Without singling out Racing NSW, McMahon says that it is his intention to work in concert across the racing industry as a key platform of his leadership approach.

“Alignment across the industry is critical. Working collaboratively will support sustainable growth for racing,” he said.

“Strengthening relationships with owners, racing participants, government and commercial partners are all a focus to support long-term growth of the ATC.”

McMahon said his interim tenure had provided insight into the organisation’s position and future opportunities, with a focus on execution and long-term performance.

ATC chairman Tim Hale said McMahon’s understanding of racing made him a logical candidate.

“The board is pleased to confirm the appointment following a strong period of leadership by Steve,” Hale said.

“There is clear momentum across the club and we are confident in the focus on financial strength, industry alignment and enhancing the Member experience.

Hale said McMahon’s experience across multiple facets of the racing industry set him apart.

“Steve brings a unique depth of performance across the industry with a great passion for racing.”

“He understands racing and the industry from every angle, including government, participants, administration and operations.

“Steve has earned strong respect within racing and the club’s leadership team and staff, which positions him well to lead the ATC into the future.”

While Racing NSW is set to appeal the Supreme Court decision, a truce has been momentarily called between the two parties, with the ATC agreeing to have Kelly serve as an expert consultant on its hospitality operations following allegations of theft from the high-profile catering business.

In return, Racing NSW will make discretionary top-up payments to the club’s TAB distribution to ease its financial plight.

At this stage, the Supreme Court appeal is schedueld to be heard on May 28 and 29, with a directions hearing in early May.

McMahon promised the club would focus on strengthening its monetary foundations.

“The club will take a disciplined approach to improving operating performance, strengthening the balance sheet and building financial resilience,” he said.

“Financial strength underpins everything we do. Building resilience and maintaining appropriate reserves will ensure we invest in the ATC and racing with confidence.”

He said improving the experience for members, owners and racegoers would also be a priority.

“Members, owners and racegoers remain at the centre of the club’s strategy, with a focus on lifting the quality and consistency of the racing and event experience.

“Our aim is to deliver world-class racing and event experiences that engage existing audiences with importantly attracting new raceday customers.”

McMahon, alongside former chairman Peter McGauran, was one of the major proponents for the sale of Rosehill before members voted down the proposal almost 12 months ago.

A former NSW Trainers Association chief executive, McMahon also held a government position as chief of staff to the minister for gaming, racing and major events.

He has spent more than a decade at the ATC, previously serving in various senior leadership roles.

His experience dealing with the upper levels of bureaucracy was considered crucial during the unsolicited proposal to the NSW government for the sale of Rosehill.