Sport Betting Industry Aims To Protect Itself

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Sport betting market aims to secure itself
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16 September 2010
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By Bill Wilson


Business reporter, BBC News


sports betting on sport is substantial business.


Sport England approximates 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 most likely to have grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.


Meanwhile, German research company Sport & Markt estimates the general international sports betting market will be worth 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 sports betting industry suffers, and incomes are put under hazard if consumers can not bet with confidence.


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


High-profile


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


"Not only is it a significant market in world organization, it is one that is now on the front pages of newspapers."


Four Pakistan cricketers have actually been questioned by cops over spot-fixing claims 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 champ John Higgins was cleared of match-fixing accusations, but was banned recently for 6 months for failing to report the illegal approach to him to throw frames.


There are likewise 2 other continuing investigations - unrelated 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 viewed as sincere, straight and fair that is great for wagering companies since individuals will spend money wagering with self-confidence," he says.


"If you take the Pakistan allegations, although unrelated to the UK managed sports betting market ... it is not really a favorable story for wagering in the UK.


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


'Education'


So what can be done to prevent future scandals?


According to specialists at a World sports betting Law Report conference into sports betting gambling, the focus needs to be on sportsmen and sportswomen.


As Simon Taylor of the Professional Players' Federation explains: "The only people who can fix 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' Association.


He believes that it is to merely have deterrents, sanctions and disciplinary procedures, however that the method to tackle potential concerns around players is likewise through education.


Mr Taylor states rules require to be described clearly to gamers with clear examples, and by individuals they respect.


"Through informing players about sports betting you reinforce integrity which is in everybody's interest," he includes.


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


'Brand damage'


Matt Johnson, head of regulative legal advice at the Football Association, agrees.


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


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


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


He stated that as soon as an excellent track record was lost, the damage to a sport was "enormous".


FA guidelines imply gamers are not enabled to bank on a competitors in which they are included.
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Mr Johnson states gamers need to be seen not to be capitalizing any inside knowledge, 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 bank on a Manchester United v Chelsea cup final the following spring.


"We need to get over to players the reputational threat to the video game," he states. "Once self-confidence has actually been harmed it is hard to get it back - mud sticks."


'Overwhelmingly legal'
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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 regulate business betting in Great Britain.


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


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


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


"Such cheating has the potential to weaken the stability of a sport, and it likewise harms the industrial interests of sports betting bodies and sports betting wagering."


The commission has actually established an internal Sports Betting Intelligence Unit to receive and disseminate info to sporting authorities, wagering firms and policing authorities.


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


"We will inform sports betting of our issues, to help avoid or curtail [illegal] activity"


In May 2010, the commission likewise introduced a personal telephone hotline for those with info or suspicions.


'Vulnerabilities'


But in a two-and-a-half year duration there has been simply one prosecution, a 24-year-old man who was warned for cheating in relation to greyhound racing.


However, Mr Tofiluk states there are still eight continuous examinations, which much helpful details has actually likewise been passed to sports betting authorities.


He stated that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about terminating 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 market were knowledgeable about sports betting and sporting people, and about sports betting operations and the movement of money.


"They look for the vulnerabilities of these to assist in their enterprises."


Related web links


World sports betting Law Report


ICC


Professional Players Federation


Professional Footballers' Association


The FA


Betfair


Sport & Markt
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BLP


Gambling Commission
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