Sport sports betting industry looks to protect itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
sports betting on sport is big business.
Sport England approximates the worth of spending on sport-related sports betting 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 study company Sport & Markt estimates the overall global gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.
But when the stability of occasions are struck the gaming industry suffers, and revenues are put under threat if clients can not bet with confidence.
And there can have been couple of 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 only is it a significant market in world organization, it is one that is now on the front pages of papers."
Four Pakistan cricketers have actually been questioned by authorities over spot-fixing claims associating with a test versus England at Lord's last month.
Three of these gamers have stated 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 claims, however was prohibited last week for six months for stopping working to report the illegal approach 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 biggest online sporting exchanges.
"If the sport is perceived as truthful, straight and fair that benefits sports betting companies due to the fact that people will spend money wagering with self-confidence," he says.
"If you take the Pakistan claims, although unassociated to the UK controlled wagering industry ... it is not really a positive story for sports betting in the UK.
"That is because the understanding is that 'cricket is now something we might have to beware about'."
'Education'
So what can be done to prevent future scandals?
According to professionals at a World sports betting Law Report conference into sports betting, the focus has to be on sportsmen and sportswomen.
As Simon Taylor of the Professional Players' Federation explains: "The only individuals who can repair a match are the competitors or the referee."
His organisation represents guys and ladies in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers' Association.
He believes that it is insufficient to simply have deterrents, sanctions and disciplinary procedures, however that the method to tackle possible problems around players is likewise through education.
Mr Taylor says guidelines require to be explained clearly to players with clear examples, and by people they appreciate.
"Through educating players about sports betting you reinforce integrity which is 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 regulative legal recommendations at the Football Association, agrees.
"Prevention is much better than treatment, and we also make a point of telling players 'you are going to be captured'."
"It is essential that sport is directly, and is seen to be directly," he adds.
"If it loses that then people don't wish to bet, that is not in sports betting firms' interests, and it is not in our interests."
He stated that when an excellent reputation was lost, the damage to a sport was "incalculable".
FA rules suggest gamers are not enabled to bet on a competitors in which they are included.
Mr Johnson says players need to be seen not to be capitalizing any inside understanding, which he states might cause "brand damage" to football and its competitions.
So, even a 2nd Division player knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup final the following spring.
"We need to get over to players the reputational risk to the game," he says. "Once self-confidence has actually been harmed it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" method, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".
The Gambling Commission was set up under the Gambling Act 2005 to control commercial gaming in Great Britain.
An ex-chief constable of West Midlands police, Mr Tofiluk has obligation for policing all sports betting in the UK apart from spread sports betting, which is the remit of the FSA.
"The overwhelming majority of sports betting taking place through UK operators is legal and fair," he states.
"But for some there is the temptation to ... corruptly interfere with the result of a sporting occasion.
"Such unfaithful has the potential to undermine the stability of a sport, and it likewise hurts the industrial interests of sports betting bodies and sports betting."
The commission has actually developed an in-house Sports Betting Intelligence Unit to get and distribute 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," he states.
"We will signal sports betting of our issues, to assist avoid or reduce [illegal] activity"
In May 2010, the commission also introduced a personal 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 guy who was warned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk says there are still eight continuous investigations, and that much beneficial information has actually also been passed to sports betting authorities.
He said that where an examination by a sport governing body was quicker, and more cost effective, then the commission would think about discontinuing a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a number of those aiming to cheat the sports betting market were well-informed about sports betting and sporting people, and about wagering operations and the movement of money.
"They seek 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
