By Liz Farmer
Daily Record Business Writer
Ontario-based Magna Entertainment Corp. on Tuesday notified the six parties who were to bid on the properties, which include Pimlico Race Course and Laurel Park, that Thursday’s auction was canceled.
Magna parent MI Developments will pay $89 million to settle a lawsuit filed by Magna’s unsecured creditors committee. That money will be used to pay general unsecured claims against Magna.
MID also will pay about $13 million to cover secured claims of PNC Bank, about $6 million for holders of unsecured claims against the Maryland Jockey Club and $5 million to the former owners of Laurel Park and Pimlico.