§ 423. County, town and agricultural fairs and quarter horse race meetings not licensed to conduct pari-mutuel betting. Pari-mutuel betting on quarter horse races at any county, town, agricultural or other fair held within the state, shall not be authorized and no lottery, pool-selling, bookmaking or any other kind of gambling upon the result of races, heats or contests of speed of quarter horses allowed at such fair or at any quarter horse race meeting conducted in the state, except such as may be licensed to operate pari-mutuel betting pursuant to the provisions of sections two hundred twenty-two through seven hundred five of this chapter which said form of betting as herein provided shall alone be legalized and allowed.

Every corporation, society or association conducting quarter horse racing without license for pari-mutuel betting shall cause to be posted conspicuously upon the grounds whereon such races or racing is held, printed notices or placards in legible type to the effect that all disorderly conduct, pool-selling, bookmaking or any other kind of gambling upon the result of heats or races or contests of speed of quarter horses is prohibited.

In the event that the officers or directors of any corporation, association or society conducting a quarter horse race meeting without pari-mutuel betting, including the officers and directors of county, town and agricultural fairs shall comply with the foregoing provisions contained in this section regarding the posting of notices then no director or officer thereof shall be personally liable for the imposition of any fine or to prosecution, or in any manner held liable for any violation, by a person other than himself, of the provisions of law relative to bookmaking or other gambling unless knowingly permitted by him, nor shall the maintaining of a racetrack or the holding or conducting of quarter horse races thereon be construed or held to be a violation of any of the provisions of any general or special law, penal or otherwise.