Trainer Robert Smerdon says $11,000 'may have been a loan' to Damien Oliver Racing Victoria is probing trainer Robert Smerdon's role in the Damien Oliver betting scandal. TRAINER Robert Smerdon told a hearing yesterday that he thought $11,000 he handed to millionaire jockey Damien Oliver in October 2010 might have been for a loan rather than ill-gotten gains from a bet. Smerdon told the Racing Appeals & Disclipinary Board it wasn't in his nature to question the delivery, but wondered if Oliver had borrowed the money from punter Mark Hunter. "I thought it might have been a loan, but that's absolutely speculating," Smerdon said. Dr Cliff Pannam, QC, for Racing Victoria stewards, responded by saying he found it difficult to believe a man of Oliver's wealth would be likely to borrow $11,000 from a punter. Smerdon said he did not question either Oliver or Hunter over the money - which Smerdon handed to Oliver at Smerdon's home, as a go-between - because he "respected the privacy" of both Oliver and Hunter. Hunter later admitted the $11,000 was money Oliver won by backing Miss Octopussy in a race at Moonee Valley in October 2010. Oliver, who rode the second favourite in the race, has since been disqualified for 10 months for placing the bet. Hunter, a friend of Smerdon's for about 20 years, asked Smerdon to hand the cash winnings to Oliver, also a friend of the trainer. Dr Pannam said public pereception of Smerdon's role in the Oliver affair would appear "red hot." "That's the answer any ordinary member of the public would think," Dr Pannam said. That all wasn't well in the state of Denmark in terms of racing. It just looks wrong. Dr Pannam also queried Smerdon over whether he would have queired the delivery had it been a significantly larger amount, even a suitcase full of money. Smerdon responded he was unsure how he would have acted in such circuymstances. Dr Pannam argued that by accepting his role of courier, and by not questioning the nature of the exchange, Smerdon was entitled to be found guilty of behaviour prejudicial to the image of racing and had undermined public confidence in racing. Counsel for Smerdon argued there was insufficient evidence to prove Smerdon did anything bar act as conjuit between two mates. Smerdon said that while Hunter was a long time mate and owner of about 20 horses in his stable over many years, he was unaware Hunter was a large scale punter who bet on behalf of himself and others. Smerdon said Hunter had placed a handful of bets on his (Smerdon's) behalf, always of no more than a few hundred dollars. Judge Brian Forrest said it was "intriguing" that Smerdon had been drawn into the exchange, that Hunter hadn't merely handed Oliver his winnings. eThe RAD board has adjourned its decision to a date to be fixed.