Sport Betting Industry Aims To Protect Itself

Sport sports betting market seeks to safeguard itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is huge organization.

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

And that figure is most likely to have grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

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

But when the integrity of events are struck the gaming industry suffers, and profits are put under threat if clients can not bet with self-confidence.

And there can have been few higher-profile sport sports betting stories than those impacting 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 business, 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 versus England at Lord’s last month.

Three of these players have said they will also challenge the corruption charges mounted versus the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing claims, but was prohibited last week for six months for failing to report the unlawful approach to him to toss frames.

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 most significant online sporting exchanges.

„If the sport is viewed as truthful, straight and fair that benefits sports betting firms because people will invest cash wagering with confidence,” he states.

„If you take the Pakistan accusations, although unrelated to the UK controlled sports betting market … it is not really a positive story for wagering in the UK.

„That is due to the fact that 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 experts 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 points out: „The only individuals who can repair a match are the rivals or the referee.”

His organisation represents guys and women 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 to simply have deterrents, sanctions and disciplinary procedures, however that the method to deal with possible problems around players is also through education.

Mr Taylor states guidelines require to be explained clearly to gamers with clear examples, and by individuals they appreciate.

„Through educating players about sports betting you strengthen integrity which is in everyone’s interest,” he includes.

„If gamers 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 cure, and we also make a point of informing 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 do not wish to wager, that is not in gaming companies’ interests, and it is not in our interests.”

He said that as soon as a great track record was lost, the damage to a sport was „incalculable”.

FA guidelines imply gamers are not enabled to bet 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 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 bet on a Manchester United v Chelsea cup last the following spring.

„We need to get over to players the reputational threat to the video game,” he says. „Once self-confidence has actually been damaged it is hard to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the „carrot” technique, 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 regulate business sports 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 wagering, which is the remit of the FSA.

„The overwhelming bulk of sports betting happening through UK operators is legal and fair,” he states.

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

„Such unfaithful has the prospective to undermine the stability of a sport, and it also harms the commercial interests of sports betting bodies and sports betting.”

The commission has actually developed an internal Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, sports betting companies and policing authorities.

„Since 2007 we have experienced a significant insight into world of corrupt sports betting,” he says.

„We will notify sports betting of our issues, to assist prevent or cut [prohibited] activity”

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

‘Vulnerabilities’

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

However, Mr Tofiluk states there are still 8 ongoing investigations, and that much helpful details has actually also been passed to sports betting authorities.

He said that where an investigation by a sport governing body was quicker, and more cost effective, then the commission would consider stopping a criminal examination „in favour of letting sports betting governing bodies take the lead”.

Meanwhile, he states numerous of those aiming to cheat the sports betting wagering industry were well-informed about sports betting and sporting individuals, and about betting operations and the motion of cash.

„They look for out 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