Sport Betting Industry Looks To Protect Itself
Sport sports betting industry looks to safeguard itself
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16 September 2010
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By Bill Wilson
Business reporter, BBC News
Betting on sport is big organization.
Sport England approximates the value of spending 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 grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.
Meanwhile, German research firm Sport & Markt estimates the general global gaming market will be worth 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 incomes are put under risk if clients 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 discuss the sports betting market now.
"Not only is it a considerable market in world service, it is one that is now on the front pages of papers."
Four Pakistan cricketers have actually been questioned by police over spot-fixing accusations associating with a test against England at Lord's last month.
Three of these players have said they will also challenge the corruption charges mounted 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 6 months for failing to report the prohibited technique 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, one of the UK's most significant online sporting exchanges.
"If the sport is viewed as truthful, straight and reasonable that benefits wagering companies since people will invest cash sports betting with confidence," he says.
"If you take the Pakistan claims, although unassociated to the UK controlled sports betting industry ... it is not really a positive story for sports betting in the UK.
"That is since the understanding is that 'cricket is now something we might need to be cautious 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 sportsmen and sportswomen.
As Simon Taylor of the Professional Players' Federation points out: "The only individuals 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 simply have deterrents, sanctions and disciplinary procedures, however that the way to deal with possible concerns around gamers is likewise through .
Mr Taylor states guidelines need to be described clearly to players with clear examples, and by individuals they respect.
"Through informing gamers about sports betting you enhance stability which remains in everyone's interest," he includes.
"If players 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 necessary that sport is directly, and is seen to be directly," he adds.
"If it loses that then people don't want to wager, that is not in gaming companies' interests, and it is not in our interests."
He said that when a great credibility was lost, the damage to a sport was "enormous".
FA rules suggest players are not allowed 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 could trigger "brand name damage" to football and its competitions.
So, even a Second Division player knocked out of the FA Cup in the autumn can not bank on a Manchester United v Chelsea cup last the following spring.
"We need to get over to players the reputational danger to the video game," he states. "Once self-confidence has been harmed it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then maybe Nick Tofiluk, director of regulation 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 cops, Mr Tofiluk has responsibility 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 wagering taking place 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 unfaithful has the potential to weaken the integrity of a sport, and it also harms the industrial interests of sports betting bodies and sports betting wagering."
The commission has established an internal Sports Betting Intelligence Unit to receive and disseminate info to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have experienced a considerable insight into world of corrupt sports betting wagering," he states.
"We will inform sports betting of our concerns, to help prevent or curtail [illegal] activity"
In May 2010, the commission likewise introduced a personal telephone hotline for those with info or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been just one prosecution, a 24-year-old male who was warned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still 8 ongoing investigations, which much helpful info has likewise been passed to sports betting authorities.
He said that where an investigation by a sport governing body was quicker, and more cost effective, then the commission would consider discontinuing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states many of those seeking to cheat the sports betting industry were knowledgeable about sports betting and sporting people, and about wagering operations and the motion of money.
"They look for 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
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