Sport wagering industry wants to secure 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 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 approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research study company Sport & Markt approximates the total worldwide gaming market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.
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But when the stability of occasions are struck the gambling industry suffers, and profits are put under danger if clients can not bet with confidence.

And there can have been couple of higher-profile sport sports betting stories than those affecting cricket and snooker this year.

High-profile
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As Sport & Markt's Gareth Moore observes: "Everyone talks about the sports betting gambling market now.

"Not only is it a considerable market in world business, it is one that is now on the front pages of newspapers."

Four Pakistan cricketers have actually been questioned by authorities over spot-fixing allegations associating with a test against 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 claims, but was banned recently for 6 months for failing to report the prohibited approach to him to throw frames.

There are also two other continuing examinations - not associated to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, one of the UK's most significant online sporting exchanges.
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"If the sport is perceived as honest, straight and reasonable that benefits wagering firms due to the fact that people will invest money wagering with self-confidence," he says.

"If you take the Pakistan accusations, although unrelated to the UK managed wagering market ... it is not actually a positive story for wagering in the UK.

"That is since the understanding is that 'cricket is now something we may need to be careful 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 has to be on sportsmen and sportswomen.

As Simon Taylor of the Professional Players' Federation explains: "The only people who can repair a match are the rivals or the referee."

His organisation represents males and ladies 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 tackle prospective problems around gamers is likewise through education.

Mr Taylor says rules require to be explained plainly to players with clear examples, and by people they respect.

"Through informing players about sports betting wagering you strengthen stability which remains in everybody'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 regulative legal suggestions at the Football Association, agrees.

"Prevention is better than treatment, and we likewise make a point of informing gamers 'you are going to be caught'."

"It is important that sport is straight, and is seen to be straight," he includes.

"If it loses that then people don't want to wager, that is not in gambling companies' interests, and it is not in our interests."

He said that once a great reputation was lost, the damage to a sport was "enormous".

FA rules imply gamers are not allowed to bank on a competitors in which they are included.
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Mr Johnson says gamers have to be seen not to be cashing in on any inside understanding, which he states might cause "brand name damage" to football and its competitors.

So, even a 2nd Division player 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 gamers the reputational threat to the game," he says. "Once confidence has actually been harmed it is difficult 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".
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The Gambling Commission was set up under the Gambling Act 2005 to manage commercial gaming 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 wagering, which is the remit of the FSA.

"The frustrating bulk of sports betting occurring through UK operators is legal and reasonable," he states.

"But for some there is the temptation to ... corruptly interfere with the result of a sporting occasion.

"Such unfaithful has the possible to weaken the stability of a sport, and it likewise harms the industrial interests of sports betting bodies and sports betting wagering."

The commission has actually established an in-house Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, wagering companies and policing authorities.

"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he says.

"We will signal sports betting of our issues, to help avoid or cut [unlawful] 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 duration there has actually been simply one criminal prosecution, a 24-year-old guy who was cautioned for cheating in relation to greyhound racing.

However, Mr Tofiluk states there are still eight ongoing examinations, which much beneficial info has actually also been passed to sports betting authorities.

He said that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would think about stopping a criminal investigation "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says a number of those aiming to cheat the sports betting market were knowledgeable about sports betting and sporting people, and about sports betting operations and the movement of cash.

"They look for the vulnerabilities of these to help in their business."

Related web links

World sports betting Law Report

ICC

Professional Players Federation
bit.ly
Professional Footballers' Association

The FA

Betfair

Sport & Markt
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BLP

Gambling Commission

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