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Sport sports betting industry aims to safeguard itself
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16 September 2010
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By Bill Wilson

Business press reporter, BBC News

Betting on sport is huge company.

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

Which figure is most likely to have actually grown even more, 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 global betting market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.

But when the integrity of occasions are hit the betting industry suffers, and earnings are put under risk if clients can not wager 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 & Moore observes: "Everyone discuss the sports betting market now.

"Not just is it a substantial market in world organization, it is one that is now on the front pages of newspapers."

Four Pakistan cricketers have actually been questioned by authorities over spot-fixing claims connecting to a test against England at Lord's last month.

Three of these players have actually stated 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 champion John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for failing to report the prohibited technique to him to toss frames.

There are also two other continuing examinations - unrelated to Mr Higgins - into snooker.

'Honest'
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David O'Reilly is legal counsel for Betfair, among the UK's greatest online sporting exchanges.

"If the sport is perceived as sincere, straight and reasonable that benefits sports betting firms because individuals will invest cash sports betting with confidence," he states.

"If you take the Pakistan accusations, although unassociated to the UK regulated sports betting industry ... it is not truly a favorable story for wagering in the UK.

"That is since the understanding is that 'cricket is now something we might have to take care 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, the focus has to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players' Federation points out: "The only individuals 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 believes that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, but that the method to take on possible concerns around gamers is also through education.

Mr Taylor says rules require to be explained clearly to players with clear examples, and by individuals they appreciate.

"Through informing players about sports betting wagering you strengthen stability and that remains in everyone's interest," he includes.
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"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 treatment, and we also make a point of informing gamers 'you are going to be captured'."

"It is vital that sport is straight, and is seen to be directly," he adds.

"If it loses that then people do not want to bet, that is not in sports betting firms' interests, and it is not in our interests."

He stated that when a good reputation was lost, the damage to a sport was "enormous".

FA rules suggest players are not enabled to bet on a competition in which they are involved.

Mr Johnson says players have actually to be seen not to be cashing in on any inside understanding, which he states might trigger "brand damage" to football and its competitions.

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

"We have to overcome to players the reputational threat to the game," he says. "Once confidence has actually been harmed it is difficult to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" method, then possibly Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to manage industrial betting in Great Britain.

An ex-chief constable of West Midlands cops, Mr Tofiluk has responsibility for policing all betting in the UK apart from spread sports betting, which is the remit of the FSA.

"The overwhelming majority of sports betting wagering occurring through UK operators is legal and fair," he states.

"But for some there is the temptation to ... corruptly disrupt the outcome of a sporting event.

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

The commission has actually developed an internal Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, wagering firms and policing authorities.

"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he states.

"We will notify sports betting of our concerns, to assist prevent or reduce [illegal] activity"

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

'Vulnerabilities'

But in a two-and-a-half year duration there has actually been just one prosecution, a 24-year-old male who was cautioned for cheating in relation to greyhound racing.

However, Mr Tofiluk says there are still 8 ongoing investigations, and that much beneficial information has also been passed to sports betting authorities.

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

Meanwhile, he states many of those wanting to cheat the sports betting wagering market were experienced about sports betting and sporting individuals, and about wagering operations and the motion of money.

"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

BLP

Gambling Commission