The widow of Sedgefield racecourse supremo Frank Scotto today lost the latest round of her legal battle to stave off a takeover bid by Northern Racing's Stan Clarke.
Hilary Scotto inherited her 22 per cent stake in the English racecourse on the death of her husband, who was chairman of Sedgefield for 19 years.
She is holding out against a £1 million plus takeover by Clarke, whose company owns Newcastle, Uttoxeter and Brighton racecourses.
Most of the rest of the shareholders want to sell to Clarke but, under the rules of the Sedgefield Steeplechase Co, anyone who intends to transfer shares must tell the board, which can then offer them to existing shareholders at an agreed price.
When Mrs Scotto refused to sell, other shareholders tried to call a meeting to delete the pre-emption rights.
Mrs Scotto went to the High Court last year and won injunctions stopping the meeting.
But Lord Hoffman, sitting as a High Court judge, ruled today that the other shareholders were not in breach of the pre-emptive rule by entering into sale agreements with Northern Racing, nor were they bound to inform the board of any intention to sell.
Mrs Scotto said after the hearing that she was disappointed with the ruling but she intended to fight on "to keep Sedgefield independent".
She was granted permission to take the case to the Court of Appeal.
