Sport wagering industry looks to protect itself
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16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big business.
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Sport England estimates the value of costs on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

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

Meanwhile, German research study firm Sport & Markt estimates the overall international sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.
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But when the integrity of occasions are hit the betting industry suffers, and incomes are put under hazard if clients can not bet with self-confidence.

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

High-profile

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

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

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

Three of these gamers have actually stated they will also 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 banned last week for six months for stopping working to report the unlawful method to him to throw frames.

There are likewise two other continuing examinations - unrelated to Mr Higgins - into snooker.

'Honest'

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

"If the sport is perceived as sincere, straight and reasonable that benefits betting firms due to the fact that individuals will invest money wagering with confidence," he states.

"If you take the Pakistan allegations, although unrelated to the UK regulated betting market ... it is not actually a positive story for betting in the UK.

"That is since the perception is that 'cricket is now something we may have to take care about'."

'Education'

So what can be done to avoid future scandals?

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

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

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

He believes that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, but that the way to deal with potential problems around gamers is also through education.

Mr Taylor states rules need to be discussed clearly to players with clear examples, and by people they respect.

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

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

'Brand damage'

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

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

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

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

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

FA rules suggest gamers are not enabled to wager on a competitors in which they are involved.

Mr Johnson says gamers have to be seen not to be capitalizing any inside knowledge, which he says might cause "brand name damage" to and its competitors.

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

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

'Overwhelmingly legal'

If this represents the "carrot" technique, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to regulate business gaming in Great Britain.
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An ex-chief constable of West Midlands authorities, Mr Tofiluk has duty for policing all betting in the UK apart from spread sports betting, which is the remit of the FSA.

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

"But for some there is the temptation to ... corruptly hinder the outcome of a sporting occasion.

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

The commission has actually established an internal Sports Betting Intelligence Unit to receive and disseminate info to sporting authorities, wagering companies and policing authorities.

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

"We will alert sports betting of our concerns, to assist avoid or cut [prohibited] activity"

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

'Vulnerabilities'

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

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

He stated that where an examination by a sport governing body was quicker, and more expense efficient, then the commission would consider discontinuing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
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Meanwhile, he states a lot of those wanting to cheat the sports betting wagering industry were knowledgeable about sports betting and sporting people, and about sports betting operations and the motion of cash.

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

Related web links

World sports betting Law Report
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ICC
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Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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