Sport wagering industry seeks to safeguard itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
sports betting on sport is big business.
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 even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research study firm Sport & Markt estimates the overall global sports betting 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 hit the gambling industry suffers, and incomes are put under hazard 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.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone talks 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."
Four Pakistan cricketers have actually been questioned by cops over spot-fixing accusations 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.
Meanwhile, three-times snooker world champion John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for failing to report the unlawful technique to him to throw frames.
There are likewise two other continuing investigations - unrelated to Mr Higgins - into snooker.
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'Honest'
David O'Reilly is legal counsel for Betfair, one of the UK's biggest online sporting exchanges.
"If the sport is viewed as honest, straight and fair that is great for sports betting companies because individuals will spend money sports betting with self-confidence," he says.
"If you take the Pakistan accusations, although unassociated to the UK managed sports betting market ... it is not truly a positive story for wagering in the UK.
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"That is since 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 points out: "The only people who can fix a match are the competitors or the referee."
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 inadequate to simply have deterrents, sanctions and disciplinary procedures, however that the method to tackle potential problems around players is likewise through education.
Mr Taylor says guidelines need to be described plainly to players with clear examples, and by people they appreciate.
"Through educating players about sports betting wagering you strengthen stability which is in everybody's interest," he includes.
"If players are harder to corrupt then sport will be more difficult to corrupt."
'Brand damage'
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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'."
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"It is vital that sport is straight, and is seen to be straight," he adds.
"If it loses that then individuals do not wish to wager, that is not in gambling companies' interests, and it is not in our interests."
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He said that once an excellent credibility was lost, the damage to a sport was "incalculable".
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FA rules indicate gamers are not permitted to bank on a competition in which they are included.
Mr Johnson says players have actually to be seen not to be cashing in on any inside knowledge, 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 bet on a Manchester United v Chelsea cup final the following spring.
"We need to overcome to players the reputational risk to the game," he states. "Once self-confidence has actually been harmed it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" approach, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to control commercial gambling in Great Britain.
An ex-chief constable of West Midlands police, 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 bulk of sports betting wagering occurring through UK operators is legal and reasonable," he says.
"But for some there is the temptation to ... corruptly disrupt the result of a sporting occasion.
"Such cheating has the prospective to the integrity of a sport, and it also hurts the business interests of sports betting bodies and sports betting wagering."
The commission has actually developed an in-house Sports Betting Intelligence Unit to receive and share details to sporting authorities, wagering firms and policing authorities.
"Since 2007 we have experienced a considerable insight into world of corrupt sports betting," he states.
"We will alert sports betting of our issues, to help avoid or reduce [prohibited] activity"
In May 2010, the commission likewise introduced a private telephone hotline for those with info or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been just one criminal prosecution, a 24-year-old man who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still eight ongoing examinations, and that much beneficial information has actually also been passed to sports betting authorities.
He stated that where an examination by a sport governing body was quicker, and more expense efficient, then the commission would think about ceasing 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 market were educated about sports betting and sporting people, and about wagering operations and the motion of money.
"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
The FA
Betfair
Sport & Markt
BLP
Gambling Commission
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Sport Betting Industry Looks To Protect Itself
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