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Sport wagering market wants to safeguard itself

16 September 2010
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By Bill Wilson
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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.

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

But when the stability of events are hit the gaming industry suffers, and incomes are put under danger if clients can not bet with confidence.

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

High-profile

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

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

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

Three of these players have said they will likewise challenge the corruption charges mounted 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 claims, however was prohibited last week for six months for failing to report the unlawful approach to him to toss frames.

There are also two other continuing examinations - not related to Mr Higgins - into snooker.
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'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 honest, straight and fair that is good for sports betting firms because individuals will invest cash wagering with confidence," he states.

"If you take the Pakistan allegations, although unassociated to the UK controlled wagering market ... it is not truly a positive story for wagering in the UK.

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

As Simon Taylor of the Professional Players' Federation explains: "The only individuals 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 player organisations, such as the Professional Footballers' Association.

He thinks that it is inadequate to simply have deterrents, sanctions and disciplinary procedures, however that the way to take on potential problems around players is likewise through education.
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Mr Taylor states rules require to be explained plainly to players with clear examples, and by people they appreciate.

"Through informing players about sports betting wagering you enhance stability and that is in everybody's interest," he includes.

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

'Brand damage'

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

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

"It is essential that sport is straight, and is seen to be directly," he adds.
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"If it loses that then people do not desire to wager, that is not in gaming firms' interests, and it is not in our interests."

He said that once a good track record was lost, the damage to a sport was "enormous".

FA guidelines mean gamers are not allowed to wager on a competitors in which they are involved.

Mr Johnson states players have actually to be seen not to be capitalizing any inside understanding, which he states might cause "brand damage" to football and its competitors.

So, even a Second Division player knocked out of the FA Cup in the autumn can not bank on a Manchester United v Chelsea cup last the following spring.

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

'Overwhelmingly legal'

If this represents the "carrot" technique, then maybe Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".

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

An ex-chief constable of West Midlands cops, 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 bulk of sports betting wagering happening through UK operators is legal and reasonable," he says.

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

"Such cheating has the potential to undermine the integrity of a sport, and it also hurts the industrial interests of sports betting bodies and sports betting."

The commission has actually established an internal Sports Betting Intelligence Unit to get and distribute details to sporting authorities, wagering 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 concerns, to help avoid or reduce [prohibited] activity"

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

'Vulnerabilities'

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

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

He stated that where an examination by a sport governing body was quicker, and more cost effective, then the commission would consider stopping 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 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 business."

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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