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Sport sports betting industry wants 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 service.

Sport England estimates the worth of spending on sport-related sports betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

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

Meanwhile, German research study company Sport & Markt estimates the overall worldwide gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.
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But when the of events are hit the gambling industry suffers, and revenues are put under danger if customers can not wager with confidence.

And there can have been couple of higher-profile sport wagering 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 significant market in world business, it is one that is now on the front pages of newspapers."

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

Three of these players have actually said 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 champion John Higgins was cleared of match-fixing allegations, but was prohibited last week for 6 months for failing to report the unlawful method 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, one of the UK's most significant online sporting exchanges.

"If the sport is viewed as honest, straight and reasonable that is good for sports betting firms due to the fact that people will invest money sports betting with self-confidence," he states.

"If you take the Pakistan allegations, although unassociated to the UK controlled wagering market ... it is not really a favorable story for sports betting in the UK.

"That is because the understanding is that 'cricket is now something we may need 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 gambling, the focus needs to be on sportspersons and sportswomen.

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

His organisation represents males 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 inadequate to merely have deterrents, sanctions and disciplinary treatments, but that the method to deal with prospective problems around players is likewise through education.

Mr Taylor states rules need to be described clearly to gamers with clear examples, and by individuals they respect.

"Through informing players about sports betting you enhance integrity which is in everyone's interest," he includes.

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

'Brand damage'

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

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

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

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

He said that as soon as an excellent credibility was lost, the damage to a sport was "incalculable".

FA rules imply players are not permitted to bank on a competition in which they are involved.
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Mr Johnson states players need to be seen not to be cashing in on any inside knowledge, which he states could trigger "brand name damage" to football and its competitions.

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

"We need to overcome to players the reputational risk to the video game," he says. "Once confidence has actually been harmed 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".

The Gambling Commission was established under the Gambling Act 2005 to manage industrial sports betting in Great Britain.

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

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

"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 likewise harms the commercial interests of sports betting bodies and sports betting."

The commission has actually established an internal Sports Betting Intelligence Unit to receive and share information to sporting authorities, sports betting companies and policing authorities.

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

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

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

'Vulnerabilities'

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

However, Mr Tofiluk states there are still 8 ongoing investigations, and that much useful information has actually also been passed to sports betting authorities.

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

Meanwhile, he states a number of those wanting to cheat the sports betting industry were educated about sports betting and sporting individuals, and about sports betting operations and the movement of money.

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

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt
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BLP

Gambling Commission
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