Sport wagering industry aims to secure itself

16 September 2010

By Bill Wilson

Business reporter, BBC News
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sports betting on sport is substantial company.

Sport England estimates the value of spending 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 estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research study firm Sport & Markt estimates the general international gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.

But when the stability of occasions are struck the sports betting industry suffers, and incomes are put under danger if customers 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 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 actually been questioned by police over spot-fixing allegations associating with a test against England at Lord's last month.

Three of these players have actually stated they will also challenge the corruption charges installed 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 claims, however was banned recently for six months for stopping working to report the illegal method to him to throw frames.

There are also 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 greatest online sporting exchanges.
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"If the sport is viewed as honest, straight and reasonable that is great for sports betting firms since individuals will spend money wagering with confidence," he states.

"If you take the Pakistan allegations, although unassociated to the UK controlled wagering industry ... it is not actually a positive story for wagering in the UK.

"That is due to the fact that the perception is that 'cricket is now something we may have to take care about'."
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'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 sportsmen and sportswomen.

As Simon Taylor of the Professional Players' Federation points out: "The only individuals who can fix a match are the rivals 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 insufficient to simply have deterrents, sanctions and disciplinary procedures, but that the way to tackle prospective problems around players is likewise through education.

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

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

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

'Brand damage'

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

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

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

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

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

FA guidelines mean gamers are not enabled to bet on a competition in which they are involved.

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

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

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

legal'

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

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

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

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

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

"Such cheating has the prospective to undermine the integrity of a sport, and it also harms the commercial interests of sports betting bodies and sports betting wagering."
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The commission has developed 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 notify sports betting of our concerns, to help prevent or curtail [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 actually been simply one prosecution, a 24-year-old male who was cautioned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still eight ongoing examinations, which much helpful 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 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 seeking to cheat the sports betting market were well-informed about sports betting and sporting individuals, and about wagering operations and the movement of cash.

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

Related internet links

World sports betting Law Report
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ICC

Professional Players Federation
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Professional Footballers' Association
bit.ly
The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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