Sport Betting Industry Wants To Protect Itself
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Sport wagering industry wants 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 huge service.
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 even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research firm Sport & Markt estimates the total worldwide sports betting market will be worth 263 (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.
But when the integrity of events are struck the betting industry suffers, and revenues are put under danger if consumers can not wager with 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 market now.
"Not just is it a considerable market in world business, it is one that is now on the front pages of papers."
Four Pakistan cricketers have actually been questioned by police over spot-fixing claims associating with a test versus England at Lord's last month.
Three of these players have actually stated they will also 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, but was banned recently for 6 months for stopping working to report the unlawful method to him to throw frames.
There are also two other continuing examinations - not related 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 honest, straight and fair that benefits betting companies since people will spend money sports betting with confidence," he says.
"If you take the Pakistan claims, although unassociated to the UK regulated wagering market ... it is not actually 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 need to beware 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 gambling, 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 believes that it is not enough to simply have deterrents, sanctions and disciplinary treatments, however that the way to deal with possible problems around players is likewise through education.
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Mr Taylor states rules require to be discussed clearly to players with clear examples, and by people they appreciate.
"Through informing gamers about sports betting you reinforce stability which remains in everybody's interest," he adds.
"If gamers are harder to corrupt then sport will be more difficult to corrupt."
'Brand damage'
Matt Johnson, head of regulatory legal advice at the Football Association, agrees.
"Prevention is much better than remedy, and we also make a point of telling players 'you are going to be captured'."
"It is crucial that sport is directly, and is seen to be directly," he adds.
"If it loses that then people don't want to wager, that is not in gaming firms' interests, and it is not in our interests."
He stated that once a great track record was lost, the damage to a sport was "incalculable".
FA rules suggest gamers are not permitted to bank on a competition in which they are included.
Mr Johnson states gamers need to be seen not to be capitalizing any inside knowledge, which he says could 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 bank on a Manchester United v Chelsea cup last the following spring.
"We have to overcome to gamers the reputational risk to the video game," he states. "Once self-confidence has actually been damaged it is hard to get it back - mud sticks."
'Overwhelmingly legal'
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If this represents the "carrot" approach, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".
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The Gambling Commission was set up under the Gambling Act 2005 to manage commercial gambling in Great Britain.
An ex-chief constable of West Midlands authorities, Mr Tofiluk has responsibility for policing all betting in the UK apart from spread sports betting, which is the remit of the FSA.
"The frustrating bulk of sports betting occurring through UK operators is legal and fair," he says.
"But for some there is the temptation to ... corruptly disrupt the outcome of a sporting event.
"Such unfaithful has the prospective to undermine the stability of a sport, and it also harms the industrial interests of sports betting bodies and sports betting."
The commission has established an internal Sports Betting Intelligence Unit to get and share information to sporting authorities, betting companies and policing authorities.
"Since 2007 we have experienced a considerable insight into world of corrupt sports betting," he states.
"We will alert sports betting of our issues, to help avoid or cut [unlawful] 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 been simply one prosecution, a 24-year-old man who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous investigations, which much useful details has likewise been passed to sports betting authorities.
He said that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about terminating a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states numerous of those seeking to cheat the sports betting wagering market were well-informed about sports betting and sporting people, and about sports betting operations and the motion of money.
"They seek 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
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BLP
Gambling Commission
