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Sport sports betting industry aims to protect 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 substantial company.


Sport England approximates the worth of spending 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 even more, with an ₤ 1bn bet on the World Cup alone in the UK this summer season.


Meanwhile, German research firm Sport & Markt approximates the total worldwide sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.


But when the stability of events are struck the sports betting market suffers, and profits are put under risk if customers can not wager with self-confidence.


And there can have been couple of 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 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 been questioned by authorities over spot-fixing allegations relating to a test against England at Lord's last month.


Three of these gamers have actually stated 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 champion John Higgins was cleared of match-fixing accusations, however was prohibited last week for 6 months for failing to report the prohibited approach to him to throw frames.


There are likewise 2 other continuing examinations - not associated 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 perceived as truthful, straight and fair that is excellent for sports betting firms due to the fact that people will spend money sports betting with confidence," he says.


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


"That is due to the fact that the understanding is that 'cricket is now something we may have to take care about'."


'Education'


So what can be done to avoid future scandals?


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


As Simon Taylor of the Professional Players' Federation points out: "The only people who can fix 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 gamer organisations, such as the Professional Footballers' Association.


He thinks that it is insufficient to simply have deterrents, sanctions and disciplinary procedures, however that the method to take on potential problems around gamers is likewise through education.


Mr Taylor says guidelines require to be described clearly to gamers with clear examples, and by people they respect.


"Through educating gamers about sports betting wagering you reinforce integrity which remains in everybody's interest," he adds.


"If players are more difficult to corrupt then sport will be harder to corrupt."


'Brand damage'


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


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


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


"If it loses that then people don't desire to wager, that is not in gaming companies' interests, and it is not in our interests."


He said that as soon as a good reputation was lost, the damage to a sport was "enormous".


FA guidelines indicate players are not allowed to bet on a competition in which they are involved.


Mr Johnson says gamers need to be seen not to be capitalizing any inside understanding, which he says might cause "brand name damage" to football and its competitions.


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


"We have to get over to gamers the reputational risk to the game," he states. "Once confidence has actually been harmed it is tough to get it back - mud sticks."


'Overwhelmingly legal'


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


The Gambling Commission was established under the Gambling Act 2005 to manage industrial gaming in Great Britain.


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


"The frustrating bulk of sports betting occurring through UK operators is legal and reasonable," he states.


"But for some there is the temptation to ... corruptly hinder the result of a sporting occasion.


"Such unfaithful has the prospective to undermine the stability of a sport, and it likewise harms the industrial interests of sports betting bodies and sports betting wagering."


The commission has developed an internal Sports Betting Intelligence Unit to get and share details to sporting authorities, sports betting firms and policing authorities.


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


"We will alert sports betting of our concerns, 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 just one criminal prosecution, a 24-year-old man who was cautioned for unfaithful in relation to greyhound racing.


However, Mr Tofiluk states there are still eight continuous examinations, and that much helpful info has actually likewise been passed to sports betting authorities.


He stated 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 says a number of those seeking to cheat the sports betting wagering market were well-informed about sports betting and sporting individuals, and about wagering operations and the movement of cash.


"They seek out the vulnerabilities of these to help 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
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