Sport Betting Industry Looks To Protect Itself

Betting on sport is substantial business.

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.

And that figure is most likely to have 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 estimates the general worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.

But when the integrity of events are struck the gambling market suffers, and profits are put under threat if customers can not wager 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 speak about the sports betting market now.

“Not just is it a considerable market in world company, it is one that is now on the front pages of papers.”

Four Pakistan cricketers have actually been questioned by authorities over spot-fixing claims relating to a test against England at Lord’s last month.

Three of these gamers have actually 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 champ John Higgins was cleared of match-fixing allegations, but was banned recently for 6 months for failing to report the prohibited technique to him to throw frames.

There are likewise 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 sincere, straight and fair that is good for betting companies since individuals will invest cash betting with self-confidence,” he states.

“If you take the Pakistan accusations, although unrelated to the UK controlled betting market … it is not actually a positive story for betting 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 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 people who can repair a match are the rivals or the referee.”

His organisation represents guys 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 inadequate to simply have deterrents, sanctions and disciplinary treatments, but that the way to deal with potential issues around players is also through education.

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

“Through educating players about sports betting you enhance integrity which is 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 regulatory legal advice at the Football Association, concurs.

“Prevention is better than remedy, and we also make a point of informing gamers ‘you are going to be captured’.”

“It is crucial that sport is straight, and is seen to be directly,” he includes.

“If it loses that then individuals do not want to wager, that is not in betting companies’ interests, and it is not in our interests.”

He said that when a good credibility was lost, the damage to a sport was “incalculable”.

FA guidelines suggest players are not permitted to bank on a competition in which they are included.

Mr Johnson states gamers have to be seen not to be capitalizing any inside knowledge, which he states could trigger “brand damage” to football and its competitors.

So, even a Second knocked out of the FA Cup in the autumn can not wager 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 damaged it is tough 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 set up under the Gambling Act 2005 to regulate business 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 majority of sports betting taking place through UK operators is legal and fair,” he states.

“But for some there is the temptation to … corruptly hinder the result of a sporting occasion.

“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 established an in-house Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, betting companies and policing authorities.

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

“We will notify sports of our issues, to assist prevent or cut [illegal] activity”

In May 2010, the commission also 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 criminal prosecution, a 24-year-old man who was cautioned for cheating in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 ongoing examinations, which much beneficial details has likewise been passed to sports betting authorities.

He said that where an investigation by a sport governing body was quicker, and more cost reliable, then the commission would consider discontinuing a criminal examination “in favour of letting sports betting governing bodies take the lead”.

Meanwhile, he says a lot of those seeking to cheat the sports betting wagering industry were well-informed about sports and sporting people, and about betting operations and the movement of money.

“They look for the vulnerabilities of these to help in their enterprises.”