Sport wagering industry seeks to secure itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is huge business.
Sport England estimates the worth of spending on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
Which figure is most likely to have actually grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research firm Sport & Markt estimates the overall worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.
But when the stability of occasions are hit the gambling industry suffers, and profits are put under threat if clients can not wager 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 discuss the sports betting gambling market now.
"Not only is it a considerable market in world service, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by police over spot-fixing allegations associating with a test versus England at Lord's last month.
Three of these gamers have said they will likewise 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 allegations, however was banned last week for 6 months for stopping working to report the unlawful approach to him to toss frames.
There are likewise 2 other continuing examinations - not associated 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 truthful, straight and fair that benefits sports betting firms because individuals will invest money sports betting with confidence," he says.
"If you take the Pakistan allegations, although unrelated to the UK regulated wagering market ... it is not truly a favorable story for sports betting in the UK.
"That is since the perception is that 'cricket is now something we may 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 sportsmen 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 females 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 not adequate to simply have deterrents, sanctions and disciplinary procedures, however that the method to take on possible issues around players is likewise through education.
Mr Taylor says guidelines require to be described clearly to gamers with clear examples, and by people they appreciate.
"Through educating players about sports betting you enhance integrity and that remains in everyone's interest," he adds.
"If gamers are harder to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulative legal suggestions at the Football Association, concurs.
"Prevention is much better than treatment, and we likewise make a point of telling gamers 'you are going to be caught'."
"It is necessary that sport is directly, and is seen to be directly," he includes.
"If it loses that then individuals don't wish to bet, that is not in gambling companies' interests, and it is not in our interests."
He said that once a great credibility was lost, the damage to a sport was "enormous".
FA guidelines suggest gamers are not enabled to bank on a competition in which they are included.
Mr Johnson says gamers have actually to be seen not to be cashing in on any inside knowledge, which he says might cause "brand name damage" to football and its competitions.
So, even a 2nd Division gamer knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup final the following spring.
"We need to overcome to gamers the reputational danger to the game," he says. "Once self-confidence has been harmed it is tough to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was set up under the Gambling Act 2005 to manage business gambling in Great Britain.
An ex-chief constable of West Midlands cops, 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 majority of sports betting taking location through UK operators is legal and reasonable," he says.
"But for some there is the temptation to ... corruptly hinder the result of a sporting occasion.
"Such cheating has the potential to undermine the stability of a sport, and it also damages the commercial interests of sports betting bodies and sports betting wagering."
The commission has developed an internal Sports Betting Intelligence Unit to get and disseminate information to sporting authorities, sports betting firms and policing authorities.
"Since 2007 we have experienced a substantial insight into world of corrupt sports betting," he says.
"We will notify sports betting of our concerns, to help prevent or curtail [prohibited] activity"
In May 2010, the commission also presented a personal telephone hotline for those with details or suspicions.
'Vulnerabilities'
But in a two-and-a-half year duration there has actually been simply one criminal prosecution, a 24-year-old male who was warned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still 8 continuous examinations, and that much beneficial details has actually likewise been passed to sports betting authorities.
He said that where an investigation by a sport governing body was quicker, and more expense efficient, then the commission would consider ceasing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says many of those aiming to cheat the sports betting wagering industry were experienced about sports betting and sporting people, and about wagering operations and the movement of money.
"They seek out the vulnerabilities of these to help in their enterprises."
Related web links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission