Sport wagering market looks to safeguard itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
Betting on sport is huge organization.
Sport England estimates the worth 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 most likely to have grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research firm Sport & Markt estimates the overall international sports betting market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gambling.
But when the stability of events are struck the gambling industry suffers, and incomes are put under risk if consumers can not wager with self-confidence.
And there can have been couple of higher-profile sport betting stories than those affecting 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 considerable market in world company, it is one that is now on the front pages of papers."
Four Pakistan cricketers have been questioned by cops over spot-fixing accusations associating with a test versus England at Lord's last month.
Three of these players have 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 allegations, however was banned last week for 6 months for failing to report the illegal approach to him to toss frames.
There are likewise 2 other continuing examinations - unrelated to Mr Higgins - into snooker.
'Honest'
David O'Reilly is legal counsel for Betfair, among the UK's greatest online sporting exchanges.
"If the sport is viewed as honest, straight and reasonable that is great for sports betting firms since individuals will spend cash sports betting with confidence," he states.
"If you take the Pakistan claims, although unrelated to the UK regulated wagering industry ... it is not really a favorable story for betting in the UK.
"That is due to the fact that the understanding is that 'cricket is now something we might have 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, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation points out: "The only individuals 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 gamer organisations, such as the Professional Footballers' Association.
He thinks that it is not sufficient to simply have deterrents, sanctions and disciplinary procedures, however that the way to tackle possible problems around gamers is likewise through education.
Mr Taylor states rules require to be explained plainly to players with clear examples, and by individuals they appreciate.
"Through informing players about sports betting wagering you enhance integrity and that remains in everyone's interest," he adds.
"If players are harder to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulative legal guidance 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 vital that sport is straight, and is seen to be straight," he includes.
"If it loses that then people do not desire to wager, that is not in gaming companies' interests, and it is not in our interests."
He stated that when a good reputation was lost, the damage to a sport was "incalculable".
FA guidelines imply players are not permitted to bank on a competitors in which they are included.
Mr Johnson states gamers have to be seen not to be cashing in on any inside knowledge, which he states might cause "brand 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 overcome to gamers the reputational danger to the video game," he says. "Once confidence has actually been harmed it is tough to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then possibly Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to regulate business 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 betting, which is the remit of the FSA.
"The overwhelming bulk of sports betting wagering happening through UK operators is legal and fair," he states.
"But for some there is the temptation to ... corruptly interfere with the outcome of a sporting occasion.
"Such cheating has the potential to undermine the integrity of a sport, and it also harms the industrial interests of sports betting bodies and sports betting."
The commission has actually developed an internal Sports Betting Intelligence Unit to get and distribute info to sporting authorities, wagering firms and policing authorities.
"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting," he says.
"We will alert sports betting of our concerns, to help prevent or cut [prohibited] activity"
In May 2010, the commission also presented a private telephone hotline for those with details or suspicions.
'Vulnerabilities'
But in a two-and-a-half year duration there has been just one prosecution, a 24-year-old guy who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous examinations, and that much useful 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 ceasing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says much of those looking to cheat the sports betting industry were knowledgeable about sports betting and sporting individuals, and about wagering operations and the movement of money.
"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