Sport Betting Industry Looks To Protect Itself
Sport wagering market looks to protect itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is big company.
Sport England estimates the value of costs on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
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Which figure is likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research company Sport & Markt approximates the total international gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.
But when the integrity of occasions are struck the gaming industry suffers, and earnings are put under danger if customers can not bet with confidence.
And there can have been few higher-profile sport sports betting stories than those affecting cricket and snooker this year.
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High-profile
As Sport & Markt's Gareth Moore observes: "Everyone speak about the sports betting gambling market now.
"Not only is it a substantial market in world organization, it is one that is now on the front pages of papers."
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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 likewise challenge the corruption charges installed 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 allegations, however was prohibited last week for 6 months for failing to report the unlawful method 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 greatest online sporting exchanges.
"If the sport is perceived as sincere, straight and fair that benefits sports betting firms because individuals will invest cash wagering with confidence," he says.
"If you take the Pakistan allegations, although unassociated to the UK regulated sports betting industry ... it is not actually 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 careful 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, the focus needs to be on sportsmen and sportswomen.
As Simon Taylor of the Professional Players' Federation mentions: "The only people who can fix a match are the rivals or the referee."
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His organisation represents males and females 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 simply have deterrents, sanctions and disciplinary procedures, however that the method to deal with around players is also through education.
Mr Taylor states guidelines require 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 everyone'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 advice at the Football Association, agrees.
"Prevention is better than cure, and we likewise make a point of telling gamers 'you are going to be caught'."
"It is necessary that sport is directly, and is seen to be straight," he adds.
"If it loses that then people do not wish to bet, that is not in gaming firms' interests, and it is not in our interests."
He stated that when a great credibility was lost, the damage to a sport was "incalculable".
FA rules mean players are not permitted to wager on a competition in which they are involved.
Mr Johnson says gamers have to be seen not to be cashing in on any inside knowledge, which he says might cause "brand name damage" to football and its competitions.
So, even a 2nd Division player knocked out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup last the following spring.
"We have to overcome to players the reputational risk to the video game," he states. "Once confidence has been damaged it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" method, then possibly Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was set up under the Gambling Act 2005 to control industrial gaming in Great Britain.
An ex-chief constable of West Midlands cops, Mr Tofiluk has obligation for policing all sports betting in the UK apart from spread wagering, which is the remit of the FSA.
"The frustrating 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 result of a sporting event.
"Such cheating has the possible to weaken the stability of a sport, and it also harms the commercial interests of sports betting bodies and sports betting."
The commission has established an in-house Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have experienced a substantial insight into world of corrupt sports betting," he states.
"We will alert sports betting of our concerns, to help avoid or curtail [unlawful] activity"
In May 2010, the commission also introduced a personal telephone hotline for those with details 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 cheating in relation to greyhound racing.
However, Mr Tofiluk says there are still 8 continuous examinations, which much helpful information has also been passed to sports betting authorities.
He said that where an investigation by a sport governing body was quicker, and more cost reliable, then the commission would think about stopping a criminal examination "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 experienced about sports betting and sporting people, and about wagering operations and the motion of money.
"They look for the vulnerabilities of these to help in their business."
Related web links
World sports betting Law Report
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ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission