Sport wagering industry seeks to safeguard itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
sports betting on sport is substantial business.
Sport England estimates the worth of costs on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
Which figure is most likely to have actually grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research company Sport & Markt approximates the general worldwide gaming 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 gaming market suffers, and incomes are put under danger if consumers can not wager with self-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 substantial market in world business, 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 said they will also 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 accusations, but was prohibited recently for six months for failing to report the prohibited technique to him to toss frames.
There are likewise 2 other continuing investigations - not related 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 viewed as honest, straight and fair that benefits sports betting companies since people will invest money sports betting with self-confidence," he states.
"If you take the Pakistan accusations, although unassociated to the UK controlled sports betting industry ... it is not actually a positive story for sports betting in the UK.
"That is since the perception is that 'cricket is now something we might 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 gambling, the focus has 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 competitors or the referee."
His organisation represents men and women 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 merely have deterrents, sanctions and disciplinary treatments, but that the method to take on potential issues around players is also through education.
Mr Taylor states rules require to be described plainly to players with clear examples, and by individuals they appreciate.
"Through educating players about sports betting wagering you strengthen integrity and that is in everybody'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 regulative legal advice at the Football Association, agrees.
"Prevention is much better than treatment, and we also make a point of telling gamers 'you are going to be caught'."
"It is imperative that sport is directly, and is seen to be straight," he includes.
"If it loses that then individuals do not wish to bet, that is not in gambling firms' interests, and it is not in our interests."
He stated that as soon as a great credibility was lost, the damage to a sport was "enormous".
FA guidelines suggest players are not permitted to bet on a competitors in which they are included.
Mr Johnson states players have to be seen not to be capitalizing any inside understanding, which he says might 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 bet on a Manchester United v Chelsea cup final the following spring.
"We have to overcome to players the reputational danger to the video game," he says. "Once confidence has actually been harmed it is tough to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" method, then maybe Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to control business sports betting in Great Britain.
An ex-chief constable of West Midlands cops, Mr Tofiluk has responsibility for policing all wagering in the UK apart from spread wagering, which is the remit of the FSA.
"The overwhelming majority of sports betting happening through UK operators is legal and reasonable," he states.
"But for some there is the temptation to ... corruptly disrupt the result of a sporting event.
"Such cheating 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 established an internal Sports Betting Intelligence Unit to get and share info to sporting authorities, sports betting companies and policing authorities.
"Since 2007 we have actually experienced a substantial insight into world of corrupt sports betting wagering," he says.
"We will notify sports betting of our concerns, to help avoid or reduce [unlawful] activity"
In May 2010, the commission also presented a confidential telephone hotline for those with details or suspicions.
'Vulnerabilities'
But in a two-and-a-half year duration there has actually been just one prosecution, a 24-year-old man who was warned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous examinations, and that much helpful info has likewise been passed to sports betting authorities.
He stated that where an investigation by a sport governing body was quicker, and more expense effective, then the commission would consider stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a lot of those seeking to cheat the sports betting industry were experienced about sports betting and sporting people, and about wagering operations and the motion of cash.
"They look for out the vulnerabilities of these to assist 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