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Sport wagering industry aims to protect itself
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16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is substantial company.

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

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

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

But when the stability of events are struck the gaming market suffers, and profits are put under risk if consumers can not bet with self-confidence.

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

High-profile

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

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

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

Three of these players 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 champ John Higgins was cleared of match-fixing allegations, however was banned recently for six months for stopping working to report the unlawful approach to him to toss frames.

There are also 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 viewed as sincere, straight and fair that is excellent for wagering companies due to the fact that individuals will invest money wagering with self-confidence," he states.

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

"That is since the perception is that 'cricket is now something we may need to be cautious about'."

'Education'
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So what can be done to avoid future scandals?

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

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

His organisation represents guys and ladies 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 to merely have deterrents, sanctions and disciplinary treatments, but that the method to take on prospective concerns around gamers is likewise through education.

Mr Taylor says guidelines require to be explained clearly to gamers with clear examples, and by individuals they appreciate.

"Through informing gamers about sports betting wagering you enhance stability and that remains in everybody'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 regulative legal recommendations at the Football Association, agrees.

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

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

"If it loses that then individuals do not want to bet, that is not in gaming firms' interests, and it is not in our interests."

He said that once a great track record was lost, the damage to a sport was "enormous".

FA rules mean players are not permitted to wager on a competitors in which they are included.

Mr Johnson states players need to be seen not to be capitalizing any inside understanding, which he says could cause "brand damage" to football and its competitors.
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So, even a 2nd Division gamer knocked out of the FA Cup in the fall can not wager on a Manchester United v Chelsea cup final the following spring.

"We have to overcome to gamers the reputational danger to the game," he states. "Once confidence has actually been damaged it is hard to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" approach, then possibly Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".
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The Gambling Commission was set up under the Gambling Act 2005 to regulate business sports betting in Great Britain.

An ex-chief constable of West Midlands authorities, 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 occurring through UK operators is legal and reasonable," he says.

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

"Such cheating has the potential to weaken the integrity of a sport, and it likewise harms the industrial interests of sports betting bodies and sports betting wagering."

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

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

"We will signal sports betting of our issues, to assist avoid or reduce [unlawful] 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 actually been just one criminal prosecution, a 24-year-old male who was cautioned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still eight continuous examinations, which much beneficial information has actually likewise been passed to sports betting authorities.

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

Meanwhile, he states much of those seeking to cheat the sports betting wagering industry were well-informed about sports betting and sporting people, and about sports betting operations and the motion of money.

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

Related web links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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