Sport Betting Industry Seeks To Protect Itself

Betting on sport is huge company.
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Sport England approximates the value of costs on sport-related betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
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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 summer.


Meanwhile, German research company Sport & Markt estimates the overall global gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports gaming.


But when the integrity of occasions are struck the gambling market suffers, and revenues are put under risk if consumers can not wager with self-confidence.


And there can have been couple of 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 significant 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 claims associating with a test against England at Lord's last month.


Three of these gamers have stated 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 claims, however was prohibited last week for six months for stopping working to report the illegal method to him to throw frames.


There are also 2 other continuing investigations - unrelated to Mr Higgins - into snooker.


'Honest'


David O'Reilly is legal counsel for Betfair, one of the UK's greatest online sporting exchanges.


"If the sport is viewed as sincere, straight and fair that benefits wagering companies because people will invest cash betting with self-confidence," he states.


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


"That is because the perception is that 'cricket is now something we may need to be careful about'."


'Education'


So what can be done to avoid future scandals?


According to specialists at a World Sports 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 competitors or the referee."


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


He thinks that it is inadequate to simply have deterrents, sanctions and disciplinary treatments, however that the way to deal with prospective problems around players is likewise through education.


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


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


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


'Brand damage'


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


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


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


"If it loses that then individuals don't want to wager, that is not in gaming firms' interests, and it is not in our interests."


He said that when a good track record was lost, the damage to a sport was "incalculable".


FA guidelines mean players are not allowed to bank on a competition in which they are involved.


Mr Johnson states players have to be seen not to be capitalizing any inside knowledge, which he says could cause "brand name damage" to football and its competitors.


So, even a 2nd 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 players the reputational threat to the game," he states. "Once confidence has actually been damaged it is tough to get it back - mud sticks."


'Overwhelmingly legal'


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


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


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


"The frustrating majority of sports betting happening through UK operators is legal and fair," he says.


"But for some there is the temptation to ... corruptly disrupt the result of a sporting occasion.


"Such unfaithful has the prospective to weaken the stability of a sport, and it also harms the industrial interests of sports bodies and sports wagering."


The commission has developed an internal Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, betting firms and policing authorities.


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


"We will alert sports of our concerns, to assist avoid or reduce [unlawful] activity"


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


'Vulnerabilities'


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


However, Mr Tofiluk says there are still 8 ongoing investigations, which much useful information has actually also been passed to sports betting authorities.


He said that where an examination by a sport governing body was quicker, and more cost reliable, then the commission would consider stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".
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Meanwhile, he states a lot of those looking to cheat the sports betting market were knowledgeable about sports betting and sporting people, and about wagering operations and the motion of money.


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