Tuesday, 15 September 2020

The Melbourne Cup 1930

 


 

“He’s a great horse, in fact he is the best horse Australia has ever seen and I doubt if they will ever see a better one. If they could breed them with wings and get Kingsford-Smith to ride them and I’ll doubt if they’ll beat him them.” ­Jim Pike 1930[1]

 

The nights Phar Lap spent at St. Albans, Tommy Woodcock hardly had a wink of sleep with a very diligent Guy Raymond on night patrol. With a long military background, Raymond took the protection of Phar Lap very seriously. Never really known for his easy going ways, Raymond marched up and down the hard floor, footsteps echoing through the stables like a drill sergeant on high alert all night. Phar Lap ran a few times at nearby Geelong racecourse with apprentice Bob Parker travelling three furlongs in 33 seconds the morning of the Cup in the early hours. While at St. Albans, he was also being ridden by Guy Raymond’s son Michael.[2] Amazingly, just as Tommy Woodcock rode Phar Lap around Albury without anyone noticing, no one appears to have cottoned on at Geelong. 

 

In what would have been one of the greatest ironic snafus in racing history, the morning they were to bring Phar Lap to Flemington for the running of the Cup, saw a huge downpour. It supposedly dampened the engine of the motor float and for hours, with a full police escort waiting around, no one could start the motor. Time ticked away with every frantic effort. Before panic started to take hold, finally the motor kicked over. They raced up Geelong Road with police motorbikes clearing the way. Lachlan Mackinnon, who probably wanted to start the race at midday if he had his way, delayed the start of the Cup until after 3pm. Phar Lap eventually roared late into Flemington with an arrival befitting a movie diva. While this is the accepted story, Bob Parker tells another where they simply drove around the back streets of Flemington killing time until they arrived fashionably late. On the course, Phar Lap, with more protection than a Russian oligarch, was led quickly to the mounting yard accompanied by two detectives and ten uniformed police.

 

Horses paraded around the birdcage waiting for Phar Lap to join them. The crowd began looking at their watches and asking where he was when at the last moment the champion was led out to the enclosure to thunderous applause. For the other trainers, this is what it must feel like sharing a red carpet with George Clooney. Once in the Flemington mounting yard, there was little time for Harry Telford to prepare their horse. The gales, which swept over Melbourne the night before carrying a huge cloud of red dust followed by the cold sweep of rain that morning, had eased by the time of the race.[3]  The sun started poking through while Telford and Jim Pike frantically prepared Phar Lap with the assistance of Woodcock, Parker and Stan Boyden. The only calm member of this group appeared to be Phar Lap, who relished, as usual, being the centre of attention. People crowded around the mounting yard in a desperate bid to catch a glimpse of the most famous horse in Australia. From the gangly pimpled covered thing first lowered onto the docks, which so horrified David Davis, now stood this magnificent glowing red chestnut, touching 17 hands. Phar Lap was the most commanding of creatures. Telford lent into his jockey as he legged him up into the saddle. There would be no nonsense of the year before of travelling at the pace of the field. Nothing of, “…if they walk you walk…” This year, if the field walked, Phar Lap would win by the length of the Flemington straight. 

 

Phar Lap’s 1930 starting price of 11/8 on is still far and away the shortest price ever offered by bookies, or tote, on a Melbourne Cup horse.[4] This is despite still having to lump nine stone twelve pounds around the two mile course (138 pounds or 62.59 kilos for 3218 metres or 3.21 kilometres). Being about as certain as one could be of winning, like any sportsman before a big event, Jim Pike still had butterflies. Up to this point of his extraordinary career, despite his brilliance throughout all those years, Pike never rode home a Melbourne Cup winner until Phar Lap. And to do so, and avoid interference, he would need to lead from virtually start to finish.  Other than the thousands of punters throughout Australia who had their pennies and shilling on the favourite, and those in this doubles scam waiting on Phar Lap to deliver his coup de grace to some soon to be impecunious bookies, was Sam Whitehead from Greta in country Victoria, east of Benalla. He was particularly anxious. Having been the lucky one to draw Phar Lap in the Tattersall’s Sweep, Whitehead had already refused a combined effort from a group of bookies to purchase his ticket for £8,000. Whitehead waited patiently for the start, trying not to think how a Phar Lap victory could provide his family with a £20,000 payday.[5]   

 

Many punters descended upon Flemington up to five hours before the race. Scrambling to gain some vantage point in the anticipation of seeing history about to be made. The Depression was clearly having an effect, reducing attendance by over 20,000 from the year before. Vice regal parties even arrived earlier than usual, including Lord Somers and his wife, one of Australia’s most active race going Governor-Generals, Sir Alexander Hore-Ruthven and his wife, Governor of South Australia, Earl Beauchamp, former Governor of NSW, who remembered seeing Merriwee win in 1899 and Sir William Irvine and his wife, the Lieutenant-Governor. There at Flemington were the Australian cricket team mingling with famous footballers of the day, Melbourne and Sydney socialites and the who’s who of the commercial world. The only thing the VRC could not control was Melbourne’s intractable weather, letting loose a quick pelting shower followed by what felt like an Artic blizzard whipping in off the polar caps. It was not only the crowd culled by the Depression, so too had the Melbourne Cup field atrophied by the spectre of Phar Lap. Horses made their way slowly on to the course and around to the legendary VRC starter Rupert Greene about to start his 16th and most famous Cup.[6] 

 

Lining up, Jim Pike’s only concern was accidently riding onto another horse’s heels or they ride onto his. He was determined to be clear of the field most of the way, so if any horse were to crash, Phar Lap would be nowhere near the accident. He would be carefully avoiding those scenarios at all cost. Other horses shuffled nervously around him waiting for Greene while Phar Lap stood relaxed and seemingly unconcerned. Pike kept talking to him, patting him until suddenly it was show time. The barrier shot up.  Passing the stand for the first time, Phar Lap cruised to the outside with First Acre, Australian Cup winning mare Nadean, Adelaide Cup winner Temptation, 1930 VRC Derby winner Balloon King, Shadow King and 5-1 second favourite the AJC Derby winner, Tregilla. Even though the pace was slower than Pike may have preferred, Phar Lap comfortably loped along outside with the field. Temptation moved out three lengths on the field at the mile and Pike kept Phar Lap under control and resisted the urge to fly out after the gelding. By the six furlong post the small field was starting to separate with Temptation still a half-length in the lead with Muratti, Phar Lap and VRC chairman Lachlan Mackinnon’s prized Carradale joining them. Even at this stage most people recognised that Phar Lap was cruising as those horses with him on the turn started to falter. As soon as Phar Lap hit the straight, there was no more to be said as Pike pushed his champion into top gear to an increasing roar from the crowd. They shot straight as an arrow down Flemington’s long straight to the easiest of victories with New Zealand bred Western Australian St. Leger winner Second Wind followed by perennial placegetter Shadow King. Phar Lap’s win was one of the most popular as Telford accepted his Melbourne Cup from Governor General Lord Somers. Telford later told the press,

 

“There is not much to tell. I was always confident of winning. The preparation was uneventful until the cowardly attempt to maim the champion last Saturday. I cannot say enough about the way Pike handled him.”[7]

 

Even on the day it was reported the Amounis-Phar Lap double would be probably costing the bookies upwards of £150,000.[8] Unfortunately for many bookmaker fraternity that combined figure would turn out to be much, much higher. The Depression was starting to bite and along with falling race attendances so too were the money being wagered through licenced bookies. For £100,000 to be taken out of the Melbourne ring and another £100,000 out of Sydney there was plenty of separate bets making up that figure. Reports started pouring in almost the moment Phar Lap roared past the post that the bookies were going to find this day particularly bleak. No real mention was made of the SP market.

 

“One Melbourne man laid the double for £40,000 and the biggest single liability was £5,000, which was taken by a sportsman in Melbourne. The same fielder laid the double 400 times. Sydney punter will take £80,000 from bookmakers on the Amounis-Phar Lap double. Many weeks ago, this backer fancied Amounis and Phar Lap for the two cups and organised through agents the execution of the commission in all states. The odds were approximately 40-1”[9]

 

There were enormous sums taken from the bookies in Brisbane, Adelaide and Hobart. The reality of this plunder, by the time the Caulfield Cup started, jockeys, strappers and many, many ordinary punters had also invested into this double.  According to some estimates many years later, as many as 100,000 small punters had invested into this double by the time the Caulfield Cup started.[10] What was not known was just how many of these small punters turned out to be commissioned agents for Connolly and Co. There were of course some hefty bets being laid. Sydney professional punter Maude Vandenberg picked up £10,000 with her usual straight bet on Amounis in the Caulfield Cup but also picked up £20,000[11] in this well planned double.[12] When it came out under cross examination during Ernie Vandenberg’s 1934 taxation trial, the size of these humongous bets being waged by the Vandenbergs on Amounis during this period, Justice Halse Rogers stated, from the viewpoint of mere mortals, “I should suffer from heart failure, I think, if I had such bets…”[13] 

 

Connolly, Wren and Sol Green would have been very pleased to see some bookmakers and old adversaries being taken to the cleaners. Because both Maude Vandenberg and Eric Connolly were close friends of Sydney bookie Gentleman Jim Hackett, by the time the dust had settled, he was one of only a handful of bookies who remained relatively unscathed. That is not to say he avoided an expensive afternoon all together. But was not hit like bookie Tom McLaughlin writing out more than 500 cheques. Manny Lyons was still signing cheques six weeks after the Cup was run while Bob Jenson stood outside Victoria Club with a queue of happy punters half way down Queen Street waiting patiently to be paid out.[14] Without even taking into consideration all the other bookies around Australia, just Bob Jansen paid out £40,000 from the Cup result.[15] It was a nightmare for the established bookies who couldn’t just hightail it into the ether. While some may have had deep pockets, it took many of them years to recover from the experience. Some never recovered. Considering on Melbourne Cup Day there were over 400 bookies operating at just Flemington and there were special race meeting being held simultaneously in every major city and large regional town throughout Australia. There were hundreds of bookies paying out on this one race, and this double.

 

 “Bookmakers paid dearly after most of Amounis’ wins. When he and Phar Lap took the Caulfield-Melbourne Cup double in 1930 bookmakers all over Australia went broke. They still remember it as one of the most calamitous results for bookmakers in the history of Australian racing.”[16]

 

It will never be truly known how much was paid out or indeed could be paid out as some bookies went belly up and others simply vanished. While it was a black day for licenced bookmakers, there were also hundreds of SP bookies around Australia faring just as badly if not worse. It ripped an enormous hole out of the SP market from Townsville to Perth. And as an SP bookmaker, it was an extremely dangerous manoeuvrer to try and just disappear because there was every chance your next transaction would be done at the bottom of an abandoned mineshaft. One of Sydney’s leading bookmakers, the very flamboyant “Coogee Bunyip”, Andy Kerr, was sent stony broke by the scheme and never recovered, along with many other impoverished bookies having to hand back their licence. However in Kerr’s case, he brought much of the calamity down upon himself by offering 10-1 on the Amounis-Phar Lap double along with up to £10 credit as a start-up.  Having taken Rufe Naylor to the cleaners the year before, Connolly saw yet another opportunity emerge, this time at Kerr’s expense. Eric Connolly in cahoots with Maude Vandenberg snapped up many of the £1 bets with Kerr on this double on credit at 10-1. Many of these were placed through of all people (my enemy’s enemy is my friend) Rufe Naylor laying their multiple commissions.[17] It turned out to be a financial torpedo from which Kerr never recovered.

 

A reason so many bookies were cleaned out is that in more prosperous times there would always be a huge number of punters simply throwing around good money on frivolous betting and long shots. This does not happen when there is a Depression. Every penny counts as the money tends to go onto the favourites and very few others. Therefore the bookies had even less cash floating around. The other significant problem compounding this plunge, bookies usually lay off their bets with other bookies. A saver. Like an insurance company reinsuring their risk through another underwriter. Sol Green was a master at being able to do this profitably and it is said that some days he would make just as much money from his laying off of bets as he would from his punters. With this double, because every bookie and SP were in the same boat, there was nobody you could lay off your bets with. It was like bailing water out of your lifeboat while another is bailing water into yours.  It was, and still remains, one of the bleakest days in the history of Australian bookmakers. Yet as the full ramifications of this double came to light, strangely there was not a peep out of the VRC who had no intention of looking in to it. I would suggest if the TAB’s, internet gambling sites, bookies and SP’s collectively lost $100,000,000 or more in a Cups double today with two fit favourites being conveniently withdrawn at the last moment, it would just about be grounds for a Royal Commission never mind it being limited to a VRC inquiry.  

 

 

 

 



[1] Movietone

[2] Jennifer Mackay

[3] The Daily News 4 November 1930, page 1

[4] The Sun, 8 November 1944, page 10

[5] The Daily News 4 November 1930, page 1

[6] Wool merchant Rupert Greene started the Melbourne Cup from 1914 to 1944. He died in 1949 Courier Mail 9 September 1944, page 4

[7] The Daily News 4 November 1930, page 1

[8] The Daily News (Perth, WA: 1882 - 1950), Tuesday 4 November 1930, page 1

[9] The Register. 6 November 1930, page 4

[10] Sporting Life, November 1947, page 10

[11] Referee, 22 October 1930, page 4

[12] In court for possible tax evasion Eddie and Maude Vandenberg explained they had made £17,000 in four years (1926 – 1930) and much of that had been backing Amounis. The Tax department were after £4,000 of that – Truth, 24 September 1933, page 23. It was stated in the Referee the couple had picked up £50,000 in the same period.

[13] Daily Examiner 16 September 1933, page 5

[14] Sporting Life, November 1947, page 10

[15] Daily Standard, 19 June 1935, page 10

[16] Lillye, Bert “Backstage of Racing”

[17] “The Coogee Bunyip” by Tom Ellis – This Sporting Life

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