Sport wagering industry seeks to secure itself

16 September 2010

By Bill Wilson

Business press reporter, BBC News

on sport is big service.

Sport England approximates the value of costs on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

Which figure is most 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 general international gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.

But when the stability of events are struck the gambling market suffers, and revenues are put under threat if clients 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.

High-profile

As Sport & Markt's Gareth Moore observes: "Everyone discuss the sports betting gambling market now.

"Not just is it a substantial 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 connecting to a test against England at Lord's last month.

Three of these gamers have said they will likewise 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 accusations, however was banned recently for six months for stopping working to report the illegal method to him to toss frames.

There are also 2 other continuing examinations - 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 viewed as truthful, straight and fair that benefits sports betting firms due to the fact that individuals will invest money betting with self-confidence," he says.

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

"That is since the understanding is that 'cricket is now something we might 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 has 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."

His organisation represents males and females 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 insufficient to merely have deterrents, sanctions and disciplinary procedures, but that the way to deal with potential problems around players is likewise through education.

Mr Taylor states guidelines require to be discussed plainly to players with clear examples, and by people they appreciate.

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

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

'Brand damage'

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

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

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

"If it loses that then individuals 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 "enormous".

FA guidelines suggest players are not enabled to bet on a competitors in which they are involved.

Mr Johnson states players have to be seen not to be cashing in on any inside understanding, which he states could cause "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 bank on a Manchester United v Chelsea cup final the following spring.

"We need to get over to players the reputational danger to the game," he says. "Once self-confidence has actually 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 established under the Gambling Act 2005 to regulate industrial sports betting in Great Britain.

An ex-chief constable of West Midlands authorities, 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 hinder the result of a sporting occasion.
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"Such unfaithful has the prospective to undermine the stability of a sport, and it likewise harms the business interests of sports betting bodies and sports betting wagering."

The commission has developed an in-house Sports Betting Intelligence Unit to get and distribute details to sporting authorities, betting firms and policing authorities.

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

"We will alert sports betting of our concerns, to assist prevent or curtail [prohibited] activity"

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

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

However, Mr Tofiluk says there are still eight ongoing examinations, which much beneficial information has actually likewise been passed to sports betting authorities.
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He stated that where an investigation by a sport governing body was quicker, and more cost reliable, then the commission would consider terminating a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says much of those aiming to cheat the sports betting industry were experienced about sports betting and sporting individuals, and about wagering operations and the motion of cash.
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"They look for the vulnerabilities of these to assist in their business."

Related web links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association
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The FA

Betfair

Sport & Markt

BLP
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Gambling Commission

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