Sport Betting Industry Aims To Protect Itself

Sport wagering market looks to safeguard itself
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16 September 2010


By Bill Wilson


Business press reporter, BBC News


sports betting on sport is substantial organization.


Sport England approximates the worth of spending on sport-related gaming 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 estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.


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


But when the stability of occasions are hit the gambling industry suffers, and profits are put under danger if customers can not bet with self-confidence.


And there can have been few higher-profile sport sports betting stories than those affecting cricket and 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 authorities over spot-fixing allegations relating to a test against England at Lord's last month.


Three of these gamers have stated they will likewise challenge the corruption charges mounted against the trio by the sport governing body the International Cricket Council.
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Meanwhile, three-times snooker world champion John Higgins was cleared of match-fixing accusations, however was prohibited recently for 6 months for stopping working to report the illegal technique to him to toss frames.


There are also two other continuing investigations - unrelated to Mr Higgins - into snooker.


'Honest'


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


"If the sport is perceived as honest, straight and reasonable that benefits wagering firms since individuals will spend cash wagering with confidence," he says.


"If you take the Pakistan accusations, although unassociated to the UK managed sports betting market ... it is not actually a favorable story for sports betting in the UK.


"That is because the understanding is that 'cricket is now something we may have to beware 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 needs to be on sportsmen and sportswomen.


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


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


He believes that it is insufficient to merely have deterrents, sanctions and disciplinary treatments, however that the way to tackle possible concerns around players is also through education.


Mr Taylor says guidelines need to be discussed plainly to players with clear examples, and by individuals they appreciate.


"Through informing gamers about sports betting you reinforce integrity which is in everybody's interest," he adds.


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


'Brand damage'


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


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


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


"If it loses that then people don't want to wager, that is not in sports betting companies' interests, and it is not in our interests."


He said that once a great reputation was lost, the damage to a sport was "incalculable".


FA guidelines mean players are not enabled to bank on a competition in which they are included.


Mr Johnson says players need to be seen not to be capitalizing any inside understanding, which he says might cause "brand damage" to football and its competitions.


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


"We need to get over to players the reputational threat to the video game," he says. "Once self-confidence has been damaged it is tough to get it back - mud sticks."


'Overwhelmingly legal'


If this represents the "carrot" method, then maybe 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 industrial gaming 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 wagering, which is the remit of the FSA.


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


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


"Such unfaithful has the possible to undermine the integrity of a sport, and it also harms the industrial interests of sports betting bodies and sports betting."


The commission has established an internal Sports Betting Intelligence Unit to receive and distribute info to sporting authorities, sports betting firms and policing authorities.


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


"We will notify sports betting of our concerns, to help prevent or cut [illegal] activity"


In May 2010, the commission likewise presented a private 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 man who was cautioned for cheating in relation to greyhound racing.


However, Mr Tofiluk says there are still 8 continuous investigations, and that much beneficial information has likewise 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 think about stopping a criminal investigation "in favour of letting sports betting governing bodies take the lead".


Meanwhile, he states much of those looking to cheat the sports betting industry were educated about sports betting and sporting people, and about wagering operations and the movement of money.


"They seek out the vulnerabilities of these to help 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