Sport Betting Industry Wants To Protect Itself

Sport wagering industry aims to safeguard itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

Betting on sport is big service.

Sport England approximates the value of spending on sport-related betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

And that figure is likely to have grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research firm Sport & Markt estimates the overall worldwide gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.

But when the integrity of occasions are hit the gaming market suffers, and incomes are put under risk if clients can not bet with confidence.

And there can have been few higher-profile sport 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 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 actually been questioned by police over spot-fixing claims relating to a test against England at Lord’s last month.

Three of these players have said 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 champ John Higgins was cleared of match-fixing accusations, but was prohibited recently for 6 months for failing to report the illegal approach to him to throw frames.

There are also two other continuing investigations – not related to Mr Higgins – into snooker.

‘Honest’

David O’Reilly is legal counsel for Betfair, among the UK’s greatest online sporting exchanges.

«If the sport is viewed as truthful, straight and reasonable that benefits sports betting companies because individuals will spend cash wagering with confidence,» he says.

«If you take the Pakistan claims, although unassociated to the UK managed wagering industry … it is not actually a positive story for wagering in the UK.

«That is because the perception is that ‘cricket is now something we might need 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 sportspersons and sportswomen.

As Simon Taylor of the Professional Players’ Federation points out: «The only people who can repair a match are the rivals 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 merely have deterrents, sanctions and treatments, but that the method to deal with potential concerns around gamers is also through education.

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

«Through educating players about sports betting you strengthen stability and that remains in everyone’s interest,» he includes.

«If players 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 treatment, and we likewise make a point of telling gamers ‘you are going to be caught’.»

«It is vital that sport is directly, and is seen to be straight,» he adds.

«If it loses that then people do not wish to wager, that is not in sports betting companies’ interests, and it is not in our interests.»

He stated that once an excellent reputation was lost, the damage to a sport was «incalculable».

FA guidelines suggest players are not allowed to bet on a competitors in which they are included.

Mr Johnson says players have to be seen not to be capitalizing any inside understanding, which he says could cause «brand damage» to football and its competitors.

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

«We need to overcome to gamers the reputational threat 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» approach, then possibly Nick Tofiluk, director of guideline at the Gambling Commission, represents the «stick».

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

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

«The overwhelming bulk of sports betting wagering occurring through UK operators is legal and fair,» he states.

«But for some there is the temptation to … corruptly disrupt the result of a sporting occasion.

«Such unfaithful has the possible to weaken the integrity of a sport, and it likewise hurts the business interests of sports betting bodies and sports betting wagering.»

The commission has actually developed an internal Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, sports betting firms and policing authorities.

«Since 2007 we have experienced a substantial insight into world of corrupt sports betting,» he states.

«We will inform sports betting of our concerns, to assist prevent or curtail [prohibited] activity»

In May 2010, the commission likewise introduced 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 man who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 ongoing investigations, and that much useful details has likewise 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 ceasing a criminal investigation «in favour of letting sports betting governing bodies take the lead».

Meanwhile, he says many of those wanting to cheat the sports betting wagering market were knowledgeable about sports betting and sporting people, 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