Mr McGauran's most recent position was as the chief executive officer of Thoroughbred Breeders Australia and although he flagged his intention to leave, he committed to staying on while the Federal Court case involving former bookmaker Bruce McHugh and Thoroughbred breeders was heard.

The case, in which Mr McHugh is challenging Australian Stud Book rules that state a Thoroughbred must be the product of natural conception, is in its final stages.

As a former agriculture minister, Mr McGauran played a key role in the Federal Government's $234 million income support package for racing participants in response to the equine influenza outbreak in 2007.

"Peter brings enormous experience and ability and will be a major asset to the NSW racing industry," Racing NSW chief executive Peter V'landys said.

“It is rare to have someone of Peter’s calibre become available. Peter brings enormous experience and ability and will be a major asset to the NSW racing industry,” Mr V’landys added.