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Sport sports betting industry wants to safeguard itself
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16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is huge organization.

Sport England approximates the value 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 summer season.

Meanwhile, German research study firm Sport & Markt estimates the overall international sports betting market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.

But when the integrity of are hit the sports betting industry suffers, and incomes are put under risk if clients can not bet with self-confidence.

And there can have been couple of higher-profile sport sports betting stories than those affecting cricket and snooker this year.

High-profile

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

"Not only is it a significant market in world company, it is one that is now on the front pages of papers."

Four Pakistan cricketers have been questioned by authorities over spot-fixing allegations associating with a test against England at Lord's last month.

Three of these gamers have said they will also challenge the corruption charges installed against the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing allegations, however was prohibited recently for 6 months for failing to report the illegal technique to him to throw frames.
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There are likewise 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 viewed as truthful, straight and reasonable that is excellent for sports betting companies due to the fact that individuals will invest cash wagering with confidence," he says.

"If you take the Pakistan accusations, although unassociated to the UK controlled sports betting industry ... it is not really a positive story for sports betting in the UK.

"That is since the understanding is that 'cricket is now something we may need to beware about'."

'Education'

So what can be done to prevent future scandals?

According to professionals at a World sports betting Law Report conference into sports betting gambling, the focus needs to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players' Federation mentions: "The only people who can repair 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 insufficient to merely have deterrents, sanctions and disciplinary procedures, however that the way to tackle prospective concerns around players is also through education.

Mr Taylor states rules need to be described clearly to gamers with clear examples, and by people they respect.

"Through informing gamers about sports betting wagering you strengthen integrity and that remains in everyone's interest," he adds.

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

'Brand damage'

Matt Johnson, head of regulatory legal advice at the Football Association, concurs.

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

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

"If it loses that then individuals don't desire to wager, that is not in gaming companies' interests, and it is not in our interests."

He stated that as soon as an excellent track record was lost, the damage to a sport was "enormous".

FA rules imply players are not enabled to bank on a competition in which they are included.

Mr Johnson says players have to be seen not to be capitalizing any inside understanding, which he states could trigger "brand name damage" to football and its competitors.

So, even a 2nd Division player knocked out of the FA Cup in the fall can not wager on a Manchester United v Chelsea cup final the following spring.

"We have to get over to players the reputational risk to the game," he says. "Once self-confidence has been damaged it is hard to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" approach, 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 control commercial 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 bulk of sports betting happening through UK operators is legal and reasonable," he states.

"But for some there is the temptation to ... corruptly hinder the result of a sporting event.

"Such unfaithful has the potential to undermine the stability of a sport, and it likewise harms the commercial interests of sports betting bodies and sports betting wagering."

The commission has 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 actually experienced a substantial insight into world of corrupt sports betting wagering," he says.

"We will notify sports betting of our concerns, to assist prevent 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 been simply one prosecution, a 24-year-old man who was warned for cheating in relation to greyhound racing.

However, Mr Tofiluk states there are still eight ongoing investigations, which much beneficial info has actually also been passed to sports betting authorities.

He stated that where an investigation by a sport governing body was quicker, and more cost efficient, then the commission would consider terminating a criminal investigation "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he states many of those seeking to cheat the sports betting market were educated about sports betting and sporting individuals, and about sports betting operations and the motion of cash.

"They look for 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
bit.ly
BLP

Gambling Commission
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