Sport Betting Industry Wants To Protect Itself

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Sport wagering market looks to protect itself
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16 September 2010
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By Bill Wilson


Business reporter, BBC News


sports betting on sport is huge company.


Sport England estimates the value of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.


Which 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 company Sport & Markt estimates the general worldwide gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.


But when the integrity of occasions are struck the gaming industry suffers, and incomes are put under risk if consumers can not wager 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 discuss the sports betting gambling market now.


"Not just is it a significant 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 claims associating with a test versus England at Lord's last month.


Three of these gamers have actually said they will likewise challenge the corruption charges installed versus the trio by the sport governing body the International Cricket Council.
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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 prohibited technique to him to toss frames.


There are also two other continuing investigations - unrelated to Mr Higgins - into snooker.


'Honest'


David O'Reilly is legal counsel for Betfair, among the UK's most significant online sporting exchanges.


"If the sport is viewed as honest, straight and reasonable that is excellent for wagering companies because people will spend cash wagering with confidence," he states.


"If you take the Pakistan claims, although unassociated to the UK regulated sports betting market ... it is not truly a favorable story for wagering in the UK.


"That is because the understanding is that 'cricket is now something we might need to beware about'."


'Education'


So what can be done to prevent future scandals?


According to experts at a World sports betting Law Report conference into sports betting, the focus needs 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 rivals 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' .


He thinks that it is not enough to simply have deterrents, sanctions and disciplinary procedures, but that the way to deal with possible concerns around players is also through education.


Mr Taylor says rules require to be discussed clearly to players with clear examples, and by individuals they respect.


"Through educating gamers about sports betting you strengthen stability which is in everyone's interest," he adds.


"If gamers are more difficult to corrupt then sport will be more difficult to corrupt."
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'Brand damage'


Matt Johnson, head of regulatory legal recommendations at the Football Association, agrees.


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


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


"If it loses that then individuals don't desire to wager, that is not in gambling firms' interests, and it is not in our interests."


He said that as soon as a good reputation was lost, the damage to a sport was "incalculable".


FA guidelines indicate players are not permitted to wager on a competition in which they are included.


Mr Johnson says gamers need to be seen not to be cashing in on any inside knowledge, which he says might cause "brand damage" to football and its competitions.


So, even a 2nd Division gamer knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup last the following spring.


"We have to overcome to players the reputational threat to the game," he says. "Once confidence has actually been damaged it is hard to get it back - mud sticks."


'Overwhelmingly legal'


If this represents the "carrot" technique, then possibly Nick Tofiluk, director of guideline at the Gambling Commission, represents the "stick".


The Gambling Commission was established under the Gambling Act 2005 to manage industrial gaming in Great Britain.


An ex-chief constable of West Midlands authorities, Mr Tofiluk has obligation 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 taking place through UK operators is legal and fair," he says.


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


"Such cheating has the prospective to weaken the integrity of a sport, and it also hurts the industrial interests of sports betting bodies and sports betting."


The commission has actually developed an internal Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, sports betting companies and policing authorities.


"Since 2007 we have experienced a substantial insight into world of corrupt sports betting wagering," he states.


"We will signal sports betting of our concerns, to help avoid or reduce [illegal] activity"


In May 2010, the commission likewise presented a private 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 male who was cautioned for cheating in relation to greyhound racing.


However, Mr Tofiluk states there are still 8 continuous examinations, which much useful info has 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 terminating a criminal investigation "in favour of letting sports betting governing bodies take the lead".


Meanwhile, he states numerous of those aiming to cheat the sports betting wagering industry were experienced about sports betting and sporting individuals, and about sports betting 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
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Gambling Commission


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