gambling shop which owes more than $100,000 in betting taxes, a licensing panel heard yesterday.

The Attorney General's chambers is opposing an application by Top Turf Off Track Betting on Reid Street for renewal of its betting licence.

At issue is whether the company advertised and solicited funds from clients overseas through a rented post office box and ran another betting operation from a home in Warwick. There are also allegations Top Turf conducted business in Antigua and Trinidad.

Furthermore, two of the company's directors have criminal records, one of them Richard Rizzo, left the island on February 16, six days after Government inspected the business. He has not returned. Rizzo was jailed in the United States for one year and a day in 1977 for unlawfully promoting gambling and possessing gambling receipts.

His business partner at Top Turf, Daniel Pisani, was convicted in 1980 for unlawful imprisonment and sent to jail for three years. He was released in 1981.

The Crown alleges the company owes $108,455 in betting duties to the Bermuda Government.

Moreover they claim the company's local affairs are not being properly managed.

Consequently it was unclear who owned the company since there were no formal meetings since September 1991.

Accountant Gregory Haycock, who inspected the records on behalf of the Ministry of Finance during January 1, 1994 and February 10, 1995, told the Betting Licence Commission that the company's records were in an "untidy and incomplete state'' when he visited the premises on February 10, 1995.

He explained that most of the business was in the form of cash receipts although some people would make bets and claim the winnings at a later date.

Haycock said that the company was unable to pay its debts and the minute book did not record any meetings since September 27, 1991.

He said there were no annual financial statements as required by the Companies Act.

Among other disparities Haycock pointed to $7,000 paid out as rent to secure Reid House although there was only a table and chairs at the premises when he visited.

Haycock said Rizzo, the company's manager, never disclosed this to him during an interview and he also denied knowing anything about a Warwick mail box used to accept money and letters from overseas betters.

Edward DeMello and Pisani were Top Turf's directors in the mid 1970s but DeMello resigned and transferred his 735 shares to Vincent Belboda in October 1994.

Government trying to close down betting shop Belboda then became the general manager.

Top Turf lawyer Mr. Edward Bailey asked Haycock how he could accept Rizzo's word that he was the manager when his name was not on any official documents stating this fact.

Haycock said he just accepted Rizzo's word when he arrived at the Reid Street business to conduct his inspection.

Mr. Bailey said DeMello had sold Top Turf for one dollar because Dana Martin had ran up a debt of between $125-150,000 and there was an overdraft at the Bank of Butterfield to cover it.

Haycock said he understood the buyer would take over the company with an obligation to the Bank of Butterfield, although he found no signed agreement to support this.

The trial continues this morning in Magistrates' Court. Mr. Philip Storr appears for the Crown.