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Sport sports betting industry seeks to protect itself
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16 September 2010
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By Bill Wilson

Business reporter, BBC News

sports betting on sport is huge organization.

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

And that figure is likely to have actually grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer.

Meanwhile, German research study company Sport & Markt approximates the total international gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.

But when the stability of events are hit the gambling industry suffers, and incomes are put under risk if customers can not bet with self-confidence.

And there can have been couple of higher-profile sport sports betting stories than those affecting cricket and snooker this year.

High-profile

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

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

Four Pakistan cricketers have actually been questioned by authorities over spot-fixing allegations associating with a test against England at Lord's last month.

Three of these gamers have actually said they will likewise challenge the corruption charges mounted against the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champion John Higgins was cleared of match-fixing accusations, however was prohibited last week for 6 months for stopping working to report the unlawful technique to him to toss frames.

There are likewise two other continuing investigations - not associated to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, among the UK's biggest online sporting exchanges.

"If the sport is perceived as honest, straight and fair that is excellent for wagering firms because individuals will invest money sports betting with self-confidence," he states.

"If you take the Pakistan accusations, although unassociated to the UK regulated wagering ... it is not truly a positive story for wagering in the UK.

"That is because the understanding is that 'cricket is now something we might have to take care about'."

'Education'

So what can be done to prevent future scandals?

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

As Simon Taylor of the Professional Players' Federation mentions: "The only people who can repair a match are the competitors or the referee."

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

He thinks that it is not adequate to simply have deterrents, sanctions and disciplinary procedures, however that the method to take on possible concerns around players is also through education.

Mr Taylor states guidelines require to be explained plainly to players with clear examples, and by individuals they appreciate.

"Through informing gamers about sports betting you enhance integrity which remains in everyone's interest," he adds.

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

'Brand damage'

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

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

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

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

He said that as soon as a good credibility was lost, the damage to a sport was "enormous".

FA rules suggest gamers are not permitted to bank on a competition in which they are involved.

Mr Johnson says players need to be seen not to be cashing in on any inside understanding, which he states could trigger "brand damage" to football and its competitors.

So, even a 2nd Division player knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup final the following spring.

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

'Overwhelmingly legal'

If this represents the "carrot" technique, then possibly 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 gaming in Great Britain.

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

"The frustrating bulk of sports betting wagering happening through UK operators is legal and reasonable," he states.

"But for some there is the temptation to ... corruptly interfere with the result of a sporting event.

"Such cheating has the potential to undermine the integrity of a sport, and it also hurts the commercial interests of sports betting bodies and sports betting wagering."

The commission has established an internal Sports Betting Intelligence Unit to get and distribute details to sporting authorities, wagering firms and policing authorities.

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

"We will inform sports betting of our issues, to help avoid or reduce [unlawful] activity"

In May 2010, the commission also presented a personal telephone hotline for those with info or suspicions.

'Vulnerabilities'

But in a two-and-a-half year period there has actually been simply one prosecution, a 24-year-old guy who was warned for cheating in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 continuous investigations, and that much helpful info has likewise been passed to sports betting authorities.

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

Meanwhile, he says much of those wanting to cheat the sports betting market were knowledgeable about sports betting and sporting individuals, and about sports betting operations and the movement of cash.

"They seek out the vulnerabilities of these to assist in their business."

Related web links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP
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Gambling Commission

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