Sport wagering market looks to protect itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is substantial service.

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

Which figure is most likely to have grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer.

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

But when the stability of occasions are hit the sports betting industry suffers, and incomes are put under risk if customers 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 gambling market now.

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

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

Three of these gamers have actually stated 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 claims, but was prohibited last week for six months for failing to report the unlawful approach to him to toss frames.

There are also two other continuing examinations - 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 truthful, straight and fair that benefits sports betting companies due to the fact that individuals will spend cash wagering with self-confidence," he says.

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

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

So what can be done to prevent future scandals?

According to professionals at a World sports betting Law Report conference into sports betting gambling, the focus has 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.
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He believes that it is insufficient to simply have deterrents, sanctions and disciplinary treatments, but that the method to deal with prospective problems around players is also through education.

Mr Taylor states guidelines require to be explained clearly to players with clear examples, and by people they respect.

"Through educating gamers about sports betting wagering you strengthen integrity which remains in everybody's interest," he adds.

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

'Brand damage'

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

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

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

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

He stated that as soon as a good reputation was lost, the damage to a sport was "enormous".

FA guidelines imply gamers are not allowed to bank on a competitors in which they are included.

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

So, even a Second 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 have to overcome to players the reputational risk to the game," he says. "Once confidence has been harmed it is hard to get it back - mud sticks."

'Overwhelmingly legal'

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

The Gambling Commission was established under the Gambling Act 2005 to control commercial gambling in Great Britain.

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

"The frustrating bulk of sports betting wagering happening through UK operators is legal and reasonable," he says.
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"But for some there is the temptation to ... corruptly interfere with the outcome of a sporting occasion.

"Such unfaithful has the prospective to weaken the integrity of a sport, and it also hurts the business interests of sports betting bodies and sports betting wagering."

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

"Since 2007 we have actually experienced a significant insight into world of corrupt sports betting wagering," he states.
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"We will signal sports betting of our concerns, to assist prevent or cut [prohibited] activity"

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

'Vulnerabilities'

But in a two-and-a-half year duration there has been simply one prosecution, a 24-year-old guy who was warned for unfaithful in relation to greyhound racing.
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However, Mr Tofiluk says there are still eight ongoing examinations, and that much helpful information has also been passed to sports betting authorities.

He said that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about ceasing a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says much of those seeking 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 look for out the vulnerabilities of these to help in their business."

Related internet links
bet9ja.com
World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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