Sport Betting Industry Wants To Protect Itself

Sport sports betting industry looks to protect itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big organization.

Sport England estimates 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 further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research firm Sport & Markt approximates the total 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 stability of occasions are struck the gaming market suffers, and revenues are put under risk if clients can not wager with confidence.

And there can have been few higher-profile sport wagering 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 just is it a significant 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 versus England at Lord’s last month.

Three of these players have actually stated they will likewise 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 claims, but was prohibited last week for six months for failing to report the illegal method to him to toss frames.

There are likewise 2 other continuing investigations – not associated 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 good for sports betting companies because people will invest cash wagering with confidence,” he says.

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

“That is because the understanding is that ‘cricket is now something we might have to beware about’.”

‘Education’

So what can be done to avoid future scandals?

According to specialists 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 mentions: “The only people who can repair a match are the rivals or the referee.”

His organisation represents males and ladies in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers’ Association.

He thinks that it is not adequate to merely have deterrents, sanctions and disciplinary procedures, but that the way to take on potential issues around players is also through education.

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

“Through educating gamers about sports betting wagering you strengthen stability and that is in everyone’s interest,” he adds.

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

‘Brand damage’

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

“Prevention is much better than treatment, and we likewise make a point of telling gamers ‘you are going to be captured’.”

“It is necessary that sport is directly, and is seen to be straight,” he includes.

“If it loses that then people do not wish to bet, that is not in gambling firms’ interests, and it is not in our interests.”

He said that once a great track record was lost, the damage to a sport was “incalculable”.

FA guidelines indicate players are not permitted to bet on a competitors in which they are included.

Mr Johnson says gamers need to be seen not to be cashing in on any inside understanding, 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 wager on a Manchester United v Chelsea cup final the following spring.

“We have to overcome 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” technique, then maybe Nick Tofiluk, director of guideline at the Gambling Commission, represents the “stick”.

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

An ex-chief constable of West Midlands police, Mr Tofiluk has responsibility for policing all wagering 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 outcome of a sporting event.

“Such cheating has the prospective to undermine the integrity of a sport, and it likewise harms the business interests of sports betting bodies and sports betting.”

The commission has actually established an in-house Sports Betting Intelligence Unit to receive and disseminate details to sporting authorities, sports betting firms and policing authorities.

“Since 2007 we have experienced a substantial insight into world of corrupt sports betting wagering,” he states.

“We will of our concerns, to assist prevent or curtail [unlawful] 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 period there has been just 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 ongoing examinations, and that much helpful info has also been passed to sports betting authorities.

He stated that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about stopping a criminal investigation “in favour of letting sports betting governing bodies take the lead”.

Meanwhile, he says many of those seeking to cheat the sports betting industry were knowledgeable about sports betting and sporting people, and about wagering operations and the movement of money.

“They look for out the vulnerabilities of these to help in their enterprises.”

Related web links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers’ Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission