1 Sport Betting Industry Seeks To Protect Itself
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Sport wagering industry seeks to safeguard itself
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16 September 2010
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By Bill Wilson

Business press reporter, BBC News

sports betting on sport is substantial company.

Sport England estimates 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 actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research company Sport & Markt approximates the overall global 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 hit the gaming market suffers, and earnings are put under risk if consumers can not bet with confidence.

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

High-profile

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

"Not only 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 police over spot-fixing claims relating to a test versus England at Lord's last month.

Three of these players have actually 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 six months for failing to report the prohibited approach 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 most significant online sporting exchanges.

"If the sport is viewed as sincere, straight and fair that is excellent for wagering companies because individuals will spend cash wagering with confidence," he says.

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

"That is due to the fact that the perception is that 'cricket is now something we may have to beware about'."

'Education'

So what can be done to avoid ?

According to experts 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 points out: "The only people who can fix 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 believes that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, however that the way to take on potential concerns around players is likewise through education.

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

"Through educating players about sports betting wagering you strengthen stability and that remains in everybody's interest," he adds.

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

'Brand damage'

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

"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 includes.

"If it loses that then individuals do not desire to bet, that is not in sports betting firms' interests, and it is not in our interests."

He stated that when a good reputation was lost, the damage to a sport was "incalculable".

FA rules suggest players are not allowed to bank on a competition in which they are involved.

Mr Johnson says players need to be seen not to be cashing in on any inside knowledge, which he states might trigger "brand damage" to football and its competitions.

So, even a Second Division player knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup final the following spring.

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

'Overwhelmingly legal'

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

The Gambling Commission was established under the Gambling Act 2005 to regulate industrial sports betting in Great Britain.

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

"The frustrating bulk of sports betting wagering occurring through UK operators is legal and reasonable," he says.

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

"Such cheating has the potential to undermine the integrity of a sport, and it likewise hurts the business interests of sports betting bodies and sports betting."

The commission has actually established an in-house Sports Betting Intelligence Unit to receive and distribute details to sporting authorities, sports betting firms and policing authorities.

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

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

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

'Vulnerabilities'

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

However, Mr Tofiluk says there are still 8 ongoing investigations, which much useful 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 efficient, then the commission would think about ceasing a criminal investigation "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he states a number of those wanting to cheat the sports betting market were knowledgeable about sports betting and sporting individuals, and about wagering operations and the motion 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
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BLP

Gambling Commission