Sport wagering industry seeks to secure itself

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16 September 2010

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By Bill Wilson

Business press reporter, BBC News

sports betting on sport is big business.

Sport England estimates the worth of costs on sport-related sports betting in from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

And that figure is most likely to have grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summertime.

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

But when the stability of occasions are hit the gaming market suffers, and revenues are put under risk if consumers can not wager with confidence.

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

High-profile

As Sport & Markt’s Gareth Moore observes: “Everyone speak about the sports betting market now.

“Not only is it a considerable 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 allegations associating with a test against England at Lord’s last month.

Three of these players have actually said they will likewise challenge the corruption charges mounted 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 6 months for failing to report the illegal approach to him to throw frames.

There are also two other continuing examinations – not associated to Mr Higgins – into snooker.

‘Honest’

David O’Reilly is legal counsel for Betfair, among the UK’s most significant online sporting exchanges.

“If the sport is perceived as sincere, straight and fair that benefits wagering firms due to the fact that individuals will spend cash sports betting with self-confidence,” he states.

“If you take the Pakistan allegations, although unassociated to the UK managed sports betting market … it is not really a positive story for betting in the UK.

“That is due to the fact that the understanding is that ‘cricket is now something we may have to be careful about’.”

‘Education’

So what can be done to prevent future scandals?

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

As Simon Taylor of the Professional Players’ Federation explains: “The only people who can fix a match are the competitors or the referee.”

His organisation represents guys and women 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 simply have deterrents, sanctions and disciplinary procedures, but that the method to tackle possible concerns around players is also through education.

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

“Through educating players about sports betting wagering you enhance integrity and that is in everyone’s interest,” he includes.

“If players are more difficult to corrupt then sport will be more difficult to corrupt.”

‘Brand damage’

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

“Prevention is better than treatment, and we likewise make a point of informing players ‘you are going to be caught’.”

“It is important that sport is directly, and is seen to be directly,” he adds.

“If it loses that then people don’t wish to bet, that is not in betting companies’ interests, and it is not in our interests.”

He stated that when a good reputation was lost, the damage to a sport was “incalculable”.

FA guidelines indicate players are not allowed to bank on a competitors in which they are included.

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

“We need to overcome to gamers the reputational danger to the game,” he says. “Once confidence has actually been damaged it is tough to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the “carrot” approach, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the “stick”.

The Gambling Commission was established under the Gambling Act 2005 to manage business gambling in Great Britain.

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

“The frustrating majority of sports betting wagering occurring through UK operators is legal and fair,” he says.

“But for some there is the temptation to … corruptly interfere with the result of a sporting occasion.

“Such unfaithful has the prospective to weaken the integrity of a sport, and it likewise damages the industrial interests of sports betting bodies and sports betting wagering.”

The commission has actually established an internal Sports Betting Intelligence Unit to get and share info to sporting authorities, betting firms and policing authorities.

“Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting,” he says.

“We will inform sports betting of our issues, to assist avoid or reduce [prohibited] activity”

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

‘Vulnerabilities’

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

However, Mr Tofiluk says there are still 8 continuous examinations, which much helpful 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 effective, then the commission would consider ceasing a criminal examination “in favour of letting sports betting governing bodies take the lead”.

Meanwhile, he says a lot of those seeking to cheat the sports betting industry were knowledgeable about sports betting and sporting people, and about betting operations and the movement of cash.

“They look for the vulnerabilities of these to assist 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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