Sport Betting Industry Wants To Protect Itself

Sport sports betting market looks to protect itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big service.

Sport England approximates the value of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

Which figure is most likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research firm Sport & Markt estimates the general worldwide gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gambling.

But when the integrity of occasions are struck the gaming industry suffers, and revenues are put under threat if clients can not wager with confidence.

And there can have been few higher-profile sport wagering stories than those affecting cricket and snooker this year.

High-profile

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As Sport & Markt's Gareth Moore observes: "Everyone discuss the sports betting market now.

"Not only is it a significant market in world service, it is one that is now on the front pages of newspapers."

Four Pakistan cricketers have been questioned by authorities over spot-fixing allegations connecting to a test versus England at Lord's last month.

Three of these players have actually stated they will likewise challenge the corruption charges mounted versus the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for stopping working to report the unlawful approach to him to toss frames.

There are likewise 2 other continuing investigations - unrelated to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, one of the UK's most significant online sporting exchanges.

"If the sport is perceived as sincere, straight and reasonable that is excellent for wagering companies because people will spend money sports betting with confidence," he states.

"If you take the Pakistan accusations, although unrelated to the UK controlled wagering market ... it is not truly a positive story for sports betting in the UK.

"That is due to the fact that the perception is that 'cricket is now something we may have to be mindful about'."

'Education'

So what can be done to prevent future scandals?

According to professionals at a World sports betting Law Report conference into sports betting, the focus has to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players' Federation points out: "The only individuals who can fix a match are the competitors or the referee."

His organisation represents guys and women in 15 sports betting in the UK, being an umbrella organisation for all gamer organisations, such as the Professional Footballers' Association.

He thinks that it is not enough to merely have deterrents, sanctions and disciplinary procedures, however that the way to deal with prospective problems around gamers is likewise through education.

Mr Taylor states rules require to be discussed plainly to gamers with clear examples, and by individuals they appreciate.

"Through informing gamers about sports betting wagering you reinforce integrity and that remains in everyone's interest," he includes.

"If players are harder to corrupt then sport will be more difficult to corrupt."

'Brand damage'

Matt Johnson, head of regulatory legal advice at the Football Association, agrees.

"Prevention is better than cure, and we also make a point of telling players 'you are going to be captured'."

"It is crucial that sport is straight, and is seen to be directly," he includes.

"If it loses that then individuals don't desire to wager, that is not in gaming firms' interests, and it is not in our interests."

He stated that as soon as an excellent track record was lost, the damage to a sport was "enormous".

FA guidelines mean players are not enabled to wager on a competitors in which they are included.

Mr Johnson states gamers need to be seen not to be capitalizing any inside knowledge, which he says might cause "brand damage" to football and its competitions.

So, even a Second Division player knocked out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup final the following spring.

"We have to get over to gamers the reputational threat to the game," he says. "Once confidence has been harmed it is difficult to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" approach, then maybe Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to control commercial sports betting in Great Britain.

An ex-chief constable of West Midlands police, Mr Tofiluk has obligation for policing all sports betting in the UK apart from spread sports betting, which is the remit of the FSA.

"The frustrating bulk of sports betting occurring through UK operators is legal and reasonable," he says.

"But for some there is the temptation to ... corruptly disrupt the result of a sporting occasion.

"Such cheating has the prospective to undermine the integrity of a sport, and it also damages the business interests of sports betting bodies and sports betting."

The commission has developed an in-house Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, wagering companies and policing authorities.

"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he says.

"We will signal sports betting of our concerns, to help prevent or curtail [illegal] activity"

In May 2010, the commission likewise presented a private telephone hotline for those with information or suspicions.

'Vulnerabilities'

But in a two-and-a-half year duration there has been just one criminal prosecution, a 24-year-old male who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still 8 continuous examinations, and that much useful information has also been passed to sports betting authorities.

He stated that where an investigation by a sport governing body was quicker, and more cost reliable, then the commission would consider stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says a lot of those aiming to cheat the sports betting industry were experienced about sports betting and sporting individuals, and about sports betting operations and the motion of money.

"They look for the vulnerabilities of these to help in their business."