Sport Betting Industry Wants To Protect Itself
Sport wagering market looks to safeguard itself
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16 September 2010
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By Bill Wilson
Business reporter, BBC News
Betting on sport is huge company.
Sport England approximates 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 further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research study firm Sport & Markt estimates the general international sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.
But when the stability of events are struck the gaming industry suffers, and earnings are put under hazard if clients can not bet with self-confidence.
And there can have been few higher-profile sport wagering stories than those impacting cricket and snooker this year.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone talks about the sports betting gambling market now.
"Not only is it a significant market in world service, it is one that is now on the front pages of papers."
Four Pakistan cricketers have actually been questioned by authorities over spot-fixing allegations associating with a test versus 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 accusations, but was banned recently for six months for stopping working to report the unlawful approach to him to throw frames.
There are likewise two other continuing examinations - unrelated to Mr Higgins - into snooker.
'Honest'
David O'Reilly is legal counsel for Betfair, among the UK's biggest online sporting exchanges.
"If the sport is perceived as honest, straight and fair that benefits wagering companies due to the fact that individuals will spend cash wagering with confidence," he states.
"If you take the Pakistan allegations, although unrelated to the UK managed sports betting industry ... it is not actually a favorable story for wagering in the UK.
"That is since the understanding is that 'cricket is now something we may have to be careful about'."
'Education'
So what can be done to avoid future scandals?
According to specialists 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 explains: "The only people who can repair a match are the competitors or the referee."
His organisation represents guys and women in 15 sports betting in the UK, being an for all player organisations, such as the Professional Footballers' Association.
He believes that it is insufficient to merely have deterrents, sanctions and disciplinary procedures, however that the way to deal with possible concerns around gamers is likewise through education.
Mr Taylor says rules need to be described plainly to gamers with clear examples, and by individuals they respect.
"Through informing players about sports betting you strengthen stability which is in everybody's interest," he includes.
"If players are more difficult to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulatory legal recommendations at the Football Association, concurs.
"Prevention is better than remedy, and we also make a point of telling players 'you are going to be caught'."
"It is imperative that sport is straight, and is seen to be directly," he adds.
"If it loses that then individuals don't wish to bet, that is not in gambling firms' interests, and it is not in our interests."
He stated that when a great track record was lost, the damage to a sport was "incalculable".
FA rules suggest players are not permitted to bank on a competition in which they are involved.
Mr Johnson says players need to be seen not to be cashing in on any inside knowledge, which he states might cause "brand damage" to football and its competitors.
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 gamers the reputational threat to the game," he states. "Once self-confidence has been harmed it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" approach, then maybe Nick Tofiluk, director of guideline 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 authorities, Mr Tofiluk has responsibility 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 happening through UK operators is legal and reasonable," he states.
"But for some there is the temptation to ... corruptly interfere with the outcome of a sporting event.
"Such cheating has the possible to weaken the integrity of a sport, and it likewise hurts the industrial interests of sports betting bodies and sports betting."
The commission has developed an internal Sports Betting Intelligence Unit to get and share details to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he states.
"We will signal sports betting of our concerns, to help prevent or curtail [illegal] activity"
In May 2010, the commission also presented a personal telephone hotline for those with information or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has been just one criminal prosecution, a 24-year-old male who was warned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk says there are still eight ongoing investigations, and that much beneficial details 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 efficient, then the commission would consider terminating a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a number of those aiming to cheat the sports betting market were knowledgeable about sports betting and sporting individuals, and about sports betting operations and the movement of money.
"They look for out the vulnerabilities of these to help in their business."
Related internet links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
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Gambling Commission
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