Desperate situations lead to desperate measures and this is what Maryland horse tracks, the owner of Pimlico Race Course and Laurel Park has had to resort to. Incidentally, these 2 race courses were up for auction and would have gone under the hammer also after the Magna Entertainment Company went in for Chapter 11 bankruptcy filing. But a new development seeks to ensure that the 2 race courses would go toe MI Development which is the parent company of Magna Entertainment. MID has decided to increase payment from $79 million to $89 million for Maryland Jockey Club’s many creditors. Other creditors of the company will also be paid between $23 million to $25 million.

This is one move that will prevent auction of the company such that other companies that had wanted to bid will not be able do this. This was the proverbial last minute deal that was truck to prevent the inevitable auction of the two race courses. It is said that MID is quite well funded and will have no problems in meeting the cash needs of these companies. Magna Entertainment is badly strapped for cash which had forced it to put up the race courses for auction in the first place.

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