Sport wagering industry wants to safeguard itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is substantial 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 approximated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research company Sport & Markt estimates the total worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.
But when the integrity of occasions are struck the sports betting industry suffers, and revenues are put under risk if consumers can not wager with confidence.
And there can have been few higher-profile sport wagering 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 organization, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by police over spot-fixing allegations relating to a test versus England at Lord's last month.
Three of these players have actually said they will also challenge the corruption charges mounted versus 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, however was banned recently for 6 months for stopping working to report the illegal method to him to throw frames.
There are also two other continuing examinations - unrelated 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 sincere, straight and fair that is excellent for sports betting firms since individuals will spend money wagering with self-confidence," he says.
"If you take the Pakistan allegations, although unrelated to the UK regulated wagering industry ... it is not really a positive story for wagering in the UK.
"That is because the understanding is that 'cricket is now something we might 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, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation explains: "The only people 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 gamer organisations, such as the Professional Footballers' Association.
He believes that it is not sufficient to simply have deterrents, sanctions and disciplinary procedures, however that the way to tackle possible problems around players is likewise through education.
Mr Taylor states rules require to be described plainly to players with clear examples, and by individuals they respect.
"Through informing gamers about sports betting wagering you enhance stability which remains in everyone's interest," he includes.
"If gamers are more difficult to corrupt then sport will be more difficult to corrupt."
'Brand damage'
Matt Johnson, head of regulative legal guidance at the Football Association, agrees.
"Prevention is much better than cure, and we also make a point of telling gamers 'you are going to be caught'."
"It is crucial that sport is straight, and is seen to be directly," he adds.
"If it loses that then people don't desire to bet, that is not in gaming companies' interests, and it is not in our interests."
He stated that as soon as a great reputation was lost, the damage to a sport was "incalculable".
FA rules suggest gamers are not allowed to bank on a competitors in which they are involved.
Mr Johnson says gamers need to be seen not to be cashing in on any inside understanding, which he states might trigger "brand name damage" to football and its competitors.
So, even a 2nd Division player knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup last the following spring.
"We have to overcome to players the reputational risk to the video game," he says. "Once self-confidence has actually been damaged it is difficult to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" method, then possibly 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 gambling in Great Britain.
An ex-chief constable of West Midlands police, 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 taking location through UK operators is legal and fair," he states.
"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 hurts the business interests of sports betting bodies and sports betting."
The commission has actually established an in-house Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, sports betting companies and policing authorities.
"Since 2007 we have 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 [illegal] activity"
In May 2010, the commission also presented a confidential telephone hotline for those with information or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been simply one criminal prosecution, a 24-year-old male who was warned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk says there are still eight continuous investigations, and that much helpful information 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 think about stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a lot of those aiming to cheat the sports betting wagering market were educated about sports betting and sporting people, and about wagering operations and the movement of cash.
"They look for out the vulnerabilities of these to assist 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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