The New York Racing Association received approval on Monday to move forward with a bankruptcy reorganization plan that will allow it to run the state's horse tracks for another 25 years.
U.S. Bankruptcy Judge James Peck in Manhattan signed off on the plan, ruling the association had met all the statutory requirements needed.
The association filed for bankruptcy in October 2006 after a series of probes faulted its managers for not monitoring how some clerks handled cash bets.
The non-profit association, which for decades has run the state's three racetracks -- Aqueduct, Saratoga and Belmont Park -- overhauled its management.
The group's bankruptcy plan had been delayed as it negotiated with state lawmakers over a franchise agreement, a settlement agreement and lease terms for its racetracks.
In February, former New York Gov. Eliot Spitzer sealed a pact with the association that allowed the state to choose a company to add slot machines to the its Aqueduct Racetrack. In return, the association gave up claims that it owned the tracks and facilities it has run for decades.
(Reporting by Emily Chasan; editing by Kim Coghill)
