Sport wagering market seeks to protect itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
Betting on sport is substantial service.
Sport England estimates the worth of costs on sport-related betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
Which figure is most likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research company Sport & Markt approximates the general worldwide sports betting market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.
But when the integrity of occasions are struck the betting industry suffers, and revenues are put under hazard if customers can not bet 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 talks 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 papers."
Four Pakistan cricketers have been questioned by police over spot-fixing claims connecting to 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 champ John Higgins was cleared of match-fixing claims, but was prohibited last week for 6 months for failing to report the illegal technique to him to toss frames.
There are likewise 2 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 reasonable that is excellent for wagering firms due to the fact that people will invest money sports betting with confidence," he states.
"If you take the Pakistan accusations, although unassociated to the UK regulated wagering industry ... it is not really a positive story for sports betting in the UK.
"That is due to the fact that the perception is that 'cricket is now something we may need 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 needs to be on sportsmen and sportswomen.
As Simon Taylor of the Professional Players' Federation mentions: "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 player organisations, such as the Professional Footballers' Association.
He thinks that it is not sufficient to simply have deterrents, sanctions and disciplinary treatments, however that the method to deal with potential issues around gamers is also through education.
Mr Taylor states rules require to be explained plainly to gamers with clear examples, and by individuals they respect.
"Through informing gamers about sports betting you enhance 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 advice at the Football Association, concurs.
"Prevention is much better than treatment, and we likewise make a point of informing players 'you are going to be captured'."
"It is essential that sport is directly, and is seen to be straight," he includes.
"If it loses that then people do not wish to wager, that is not in sports betting firms' interests, and it is not in our interests."
He said that when a great reputation was lost, the damage to a sport was "incalculable".
FA rules indicate gamers are not enabled to bank on a competition in which they are involved.
Mr Johnson says gamers need to be seen not to be capitalizing any inside understanding, which he states might cause "brand name damage" to football and its competitors.
So, even a 2nd Division gamer knocked out of the FA Cup in the fall can not wager on a Manchester United v Chelsea cup last the following spring.
"We need to get over to players the reputational threat to the video game," he says. "Once confidence has been damaged it is difficult to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" approach, then perhaps Nick Tofiluk, director of guideline at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to regulate commercial gambling 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 sports betting, which is the remit of the FSA.
"The frustrating majority of sports betting happening through UK operators is legal and fair," he says.
"But for some there is the temptation to ... corruptly hinder the outcome of a sporting event.
"Such cheating has the potential to weaken the integrity of a sport, and it also hurts the business interests of sports betting bodies and sports betting."
The commission has developed an internal Sports Betting Intelligence Unit to get and distribute details to sporting authorities, sports betting companies and policing authorities.
"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he states.
"We will alert sports betting of our issues, to assist avoid or cut [prohibited] activity"
In May 2010, the commission likewise introduced a private telephone hotline for those with info or suspicions.
'Vulnerabilities'
But in a two-and-a-half year duration there has actually been just one criminal prosecution, a 24-year-old guy who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk says there are still eight ongoing investigations, which much useful details has actually likewise been passed to sports betting authorities.
He stated that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about terminating a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states much of those aiming to cheat the sports betting industry were educated about sports betting and sporting individuals, and about sports betting operations and the motion of cash.
"They look for the vulnerabilities of these to assist in their enterprises."
Related internet links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission
