1 Sport Betting Industry Wants To Protect Itself
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Sport betting industry aims to safeguard itself
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16 September 2010
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By Bill Wilson

Business press reporter, BBC News

Betting on sport is big service.

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

And that figure is likely to have actually grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research study company Sport & Markt estimates the total international 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 events are hit the betting industry suffers, and earnings are put under danger if customers can not wager with self-confidence.

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

High-profile

As Sport & Markt's Gareth Moore observes: "Everyone speak about the sports betting market now.

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

Four Pakistan cricketers have actually been questioned by cops over spot-fixing allegations associating with a test versus England at Lord's last month.

Three of these players have stated 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 champ John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for failing to report the illegal approach to him to throw frames.

There are also two other continuing investigations - 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 perceived as sincere, and fair that benefits sports betting companies due to the fact that people will spend cash betting with confidence," he says.

"If you take the Pakistan accusations, although unrelated to the UK managed sports betting industry ... it is not truly a favorable story for sports betting in the UK.

"That is because the understanding is that 'cricket is now something we might need to be careful 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 mentions: "The only people who can fix a match are the competitors or the referee."

His organisation represents males and women in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers' Association.

He believes that it is not sufficient to merely have deterrents, sanctions and disciplinary treatments, however that the method to take on prospective concerns around gamers is also through education.

Mr Taylor states guidelines require to be explained plainly to players with clear examples, and by people they appreciate.

"Through informing players about sports betting wagering you enhance stability which is in everyone's interest," he adds.

"If gamers are more difficult to corrupt then sport will be harder to corrupt."

'Brand damage'

Matt Johnson, head of regulatory legal advice at the Football Association, concurs.

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

"It is vital that sport is directly, and is seen to be straight," he adds.

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

He stated that once a good reputation was lost, the damage to a sport was "incalculable".

FA rules imply gamers are not enabled to bet on a competition in which they are involved.

Mr Johnson says gamers need to be seen not to be capitalizing any inside knowledge, which he states might trigger "brand name damage" to football and its competitors.

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

"We need to overcome to gamers the reputational threat to the video game," he states. "Once self-confidence has been damaged it is difficult to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" method, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".

The Gambling Commission was established under the Gambling Act 2005 to control industrial gambling 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 wagering, which is the remit of the FSA.

"The overwhelming bulk of sports betting wagering occurring 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 stability of a sport, and it likewise damages the industrial interests of sports betting bodies and sports betting."

The commission has actually developed an in-house Sports Betting Intelligence Unit to receive and disseminate info to sporting authorities, sports betting firms and policing authorities.

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

"We will notify sports betting of our issues, to help prevent or curtail [prohibited] activity"

In May 2010, the commission also introduced a private telephone hotline for those with information or suspicions.

'Vulnerabilities'

But in a two-and-a-half year duration there has been just one criminal prosecution, a 24-year-old guy who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still eight ongoing examinations, which much helpful information has actually also been passed to sports betting authorities.

He stated that where an investigation by a sport governing body was quicker, and more cost efficient, then the commission would consider terminating a criminal investigation "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he states much of those seeking to cheat the sports betting industry were experienced about sports betting and sporting people, and about sports betting operations and the motion of cash.

"They seek out the vulnerabilities of these to help in their enterprises."

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt
bit.ly
BLP

Gambling Commission
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