Sport wagering industry seeks to secure itself

16 September 2010

By Bill Wilson

Business press reporter, BBC News

sports betting on sport is substantial company.

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

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

Meanwhile, German research company Sport & Markt approximates the general worldwide sports betting market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.

But when the integrity of occasions are struck the gambling market suffers, and profits are put under threat if customers can not wager with 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 just is it a significant market in world company, it is one that is now on the front pages of papers."

Four Pakistan cricketers have been questioned by cops over spot-fixing claims relating to a test against England at Lord's last month.

Three of these gamers have actually said they will also 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 claims, however was banned last week for 6 months for stopping working to report the illegal method to him to throw frames.
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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 perceived as truthful, straight and fair that is great for wagering firms since individuals will spend money wagering with confidence," he states.

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

"That is due to the fact that the understanding is that 'cricket is now something we might need to be cautious 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, the focus has to be on sportsmen and sportswomen.
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As Simon Taylor of the Professional Players' Federation explains: "The only people who can fix 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 gamer organisations, such as the Professional Footballers' Association.

He believes that it is not enough to merely have deterrents, sanctions and disciplinary treatments, however that the method to take on potential problems around players is also through education.

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

"Through educating players about sports betting you strengthen integrity which is in everybody's interest," he adds.

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

'Brand damage'

Matt Johnson, head of regulative legal suggestions at the Football Association, concurs.

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

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

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

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

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

Mr Johnson says gamers need to be seen not to be capitalizing any inside understanding, which he states could cause "brand name damage" to football and its competitors.

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

"We need to get over to players the reputational risk to the game," he says. "Once self-confidence has 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 set up under the Gambling Act 2005 to control industrial gambling in Great Britain.

An ex-chief constable of West Midlands cops, Mr Tofiluk has obligation 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 wagering taking location through UK operators is legal and fair," he states.

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

"Such cheating has the possible to undermine the integrity of a sport, and it likewise hurts the business interests of sports betting bodies and sports betting."

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

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

"We will inform sports betting of our issues, to help prevent or cut [prohibited] activity"

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

'Vulnerabilities'

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

However, Mr Tofiluk states there are still eight ongoing examinations, and that much useful info has also been passed to sports betting authorities.

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

Meanwhile, he states numerous of those seeking to cheat the sports betting wagering industry were experienced about sports betting and sporting people, and about sports betting operations and the motion of cash.

"They seek out the vulnerabilities of these to assist in their enterprises."
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Related internet 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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