Official faces allegations

Monday, April 21, 2003 | 9:46 a.m.

ALTOONA, Iowa -- State gambling regulators have released a list of allegations a horse racing official faces in connection with an illegal bookmaking operation.

The Iowa Racing and Gaming Commission said Friday it found probable cause that Jim Rasmussen, a top Prairie Meadows Racetrack and Casino official, has been involved in money laundering and placing illegal bets of more than $5,000.

Rasmussen, who is not charged with a crime, is the chairman of the Racing Association of Central Iowa, the nonprofit group that holds the license for Prairie Meadows Racetrack and Casino.

The commission said Rasmussen has engaged in conduct "establishing that he is not of good repute or moral character."

Rasmussen is among 55 witnesses called by Warren County prosecutors to tell what they know about a case involving Robert Derryberry of Norwalk, who has been accused in connection with a multimillion-dollar illegal gambling ring.

Des Moines lawyer Maggi Moss is representing Rasmussen. She said none of the allegations have been proven.

"They're unproven and we're going to respond to them, which we have a right to do," Moss said Friday. "They're allegations that may not have any effect or correlation with racing."

Rasmussen's sons, Kurt and Jeff Rasmussen, also have been listed as witnesses.

Moss said earlier last week the investigation will ultimately show her client was covering the gambling debts of his two sons.