Mr Downy is the chief executive of the Australian Wagering Council, formed in October last year to represent the seven corporate bookmakers. Mr Waterhouse has a seat on the board of the AWC.

Mr Downy declined to comment on whether he advised the bookmaker on refusing to front the Gambling Reform committee's inquiry into sports betting. ''We represent all our members,'' he told Fairfax Media.

The relationship may have frayed this week after fellow corporate bookies turned on Mr Waterhouse and the council decided to back a ban on the spruiking of live odds.

Mr Waterhouse's appearance at the committee would have been another media circus after the More Joyous inquiry and potentially added to his public relations headaches.

As speculation grew that the government will intervene to quell public anger over live odds, a meeting between the Wagering Council, Tabcorp and the TV industry scheduled for Friday was abandoned.