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Sport sports betting market looks to protect itself
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16 September 2010

By Bill Wilson

Business press reporter, BBC News

sports betting on sport is big business.

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

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

Meanwhile, German research study firm Sport & Markt estimates the total worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.

But when the integrity of occasions are hit the gaming market suffers, and profits are put under threat if consumers 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 discuss the sports betting market now.

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

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

Three of these players have stated they will likewise challenge the corruption charges mounted versus the trio by the sport governing body the International Cricket Council.
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Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for stopping working to report the illegal method 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, one of the UK's biggest online sporting exchanges.

"If the sport is viewed as sincere, straight and reasonable that is good for wagering companies due to the fact that individuals will invest cash sports betting with self-confidence," he states.

"If you take the Pakistan allegations, although unrelated to the UK controlled sports betting industry ... it is not truly a positive story for sports betting in the UK.

"That is since the perception is that 'cricket is now something we may have 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 gambling, the focus has to be on sportspersons and .

As Simon Taylor of the Professional Players' Federation explains: "The only people who can fix a match are the competitors 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 believes that it is insufficient to merely have deterrents, sanctions and disciplinary treatments, however that the method to take on possible concerns around players is also through education.

Mr Taylor states rules need to be described clearly to players with clear examples, and by people they respect.

"Through informing players about sports betting you reinforce stability which remains in everyone's interest," he adds.

"If players 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 much better than cure, and we likewise make a point of telling players 'you are going to be caught'."

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

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

He stated that once a good track record was lost, the damage to a sport was "enormous".

FA rules mean gamers are not permitted to bank on a competitors in which they are included.

Mr Johnson says players have to be seen not to be capitalizing any inside understanding, which he says might trigger "brand damage" to football and its competitors.

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

"We need to get over to players the reputational danger to the video game," he says. "Once confidence has actually been harmed it is difficult to get it back - mud sticks."

'Overwhelmingly legal'

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

The Gambling Commission was set up under the Gambling Act 2005 to regulate industrial gambling in Great Britain.

An ex-chief constable of West Midlands authorities, Mr Tofiluk has duty for policing all wagering in the UK apart from spread sports betting, which is the remit of the FSA.

"The overwhelming bulk of sports betting happening through UK operators is legal and reasonable," he says.

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

"Such unfaithful has the prospective to weaken the integrity of a sport, and it likewise harms the commercial interests of sports betting bodies and sports betting."

The commission has established an in-house Sports Betting Intelligence Unit to get and share info to sporting authorities, sports betting companies and policing authorities.

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

"We will inform sports betting of our concerns, to assist avoid or cut [unlawful] activity"

In May 2010, the commission also introduced a confidential telephone hotline for those with details or suspicions.
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'Vulnerabilities'

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

However, Mr Tofiluk says there are still eight continuous investigations, and that much useful details has likewise been passed to sports betting authorities.

He stated that where an examination by a sport governing body was quicker, and more cost effective, then the commission would consider ceasing a criminal examination "in favour of letting sports betting governing bodies take the lead".
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Meanwhile, he says a lot of those wanting to cheat the sports betting market were experienced about sports betting and sporting people, and about sports betting operations and the movement of cash.

"They seek out 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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