Sport sports betting industry wants to safeguard itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
Betting on sport is huge company.
Sport England approximates the value of costs on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
And that figure is likely to have actually grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.
Meanwhile, German research company Sport & Markt estimates the overall international gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.
But when the stability of occasions are struck the sports betting market suffers, and earnings are put under threat if customers 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 market now.
"Not just is it a considerable market in world company, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by police over spot-fixing allegations associating with a test versus England at Lord's last month.
Three of these gamers have actually said 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 allegations, but was banned last week for six months for stopping working to report the unlawful technique to him to throw frames.
There are also two 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 fair that is great for wagering companies because people will invest cash sports betting with self-confidence," he says.
"If you take the Pakistan allegations, although unassociated to the UK regulated wagering industry ... it is not actually a positive story for wagering in the UK.
"That is since the perception is that 'cricket is now something we might need 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 mentions: "The only individuals 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 player organisations, such as the Professional Footballers' Association.
He thinks that it is insufficient to simply have deterrents, sanctions and disciplinary treatments, but that the way to tackle prospective problems around players is likewise through education.
Mr Taylor states guidelines require to be described clearly to gamers with clear examples, and by people they appreciate.
"Through informing gamers about sports betting you reinforce stability which remains 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 regulatory legal guidance at the Football Association, agrees.
"Prevention is much better than remedy, and we also make a point of informing players 'you are going to be caught'."
"It is important that sport is straight, and is seen to be straight," he includes.
"If it loses that then individuals don't wish to bet, that is not in sports betting companies' interests, and it is not in our interests."
He stated that when a great credibility was lost, the damage to a sport was "incalculable".
FA rules mean gamers are not enabled to wager on a competitors in which they are included.
Mr Johnson states players need to be seen not to be capitalizing any inside knowledge, which he says could cause "brand name damage" to football and its competitors.
So, even a Second Division player knocked out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup last the following spring.
"We need to overcome to players the reputational threat to the video game," he states. "Once confidence has actually been harmed it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then maybe Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to regulate industrial sports betting in Great Britain.
An ex-chief constable of West Midlands police, Mr Tofiluk has duty for policing all wagering in the UK apart from spread wagering, which is the remit of the FSA.
"The overwhelming majority of sports betting wagering happening 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 unfaithful has the prospective to undermine the stability of a sport, and it likewise harms the business interests of sports betting bodies and sports betting wagering."
The commission has developed an in-house Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, betting companies and policing authorities.
"Since 2007 we have experienced a significant insight into world of corrupt sports betting wagering," he states.
"We will signal sports betting of our concerns, to assist avoid or reduce [illegal] activity"
In May 2010, the commission likewise presented a confidential telephone hotline for those with details or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been simply one prosecution, a 24-year-old male who was warned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous investigations, and that much helpful details has also been passed to sports betting authorities.
He said that where an investigation by a sport governing body was quicker, and more expense effective, then the commission would think about discontinuing a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says a lot of those aiming to cheat the sports betting market were experienced about sports betting and sporting people, and about wagering operations and the motion of money.
"They look for 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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