Sport Betting Industry Seeks To Protect Itself

Betting on sport is substantial organization.

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

Which figure is likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.

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

But when the stability of occasions are struck the gaming industry suffers, and incomes are put under hazard if consumers can not bet with confidence.

And there can have been few higher-profile sport wagering stories than those impacting cricket and snooker this year.

High-profile

As Sport & Markt’s Gareth Moore observes: “Everyone talks about the sports gambling market now.

“Not just is it a considerable market in world business, it is one that is now on the front pages of newspapers.”

Four Pakistan cricketers have been questioned by cops over spot-fixing allegations relating to a test against England at Lord’s last month.

Three of these players have actually said they will also challenge the corruption charges mounted against 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, but was banned recently for six months for failing to report the illegal technique 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 biggest online sporting exchanges.

“If the sport is viewed as truthful, straight and reasonable that is great for wagering companies since individuals will spend money wagering with self-confidence,” he says.

“If you take the Pakistan accusations, although unassociated to the UK controlled betting industry … it is not actually a positive story for betting in the UK.

“That is because the understanding is that ‘cricket is now something we might 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 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 males and females in 15 sports in the UK, being an umbrella organisation for all gamer organisations, such as the Professional Footballers’ Association.

He believes that it is insufficient to simply have deterrents, sanctions and disciplinary treatments, but that the way to tackle prospective problems around players is likewise through education.

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

“Through informing players about sports wagering you strengthen stability and that remains in everyone’s interest,” he adds.

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

‘Brand damage’

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

“Prevention is much better than treatment, and we also make a point of informing players ‘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 people do not wish to bet, that is not in gambling companies’ interests, and it is not in our interests.”

He said that once a great track record was lost, the damage to a sport was “enormous”.

FA rules imply gamers 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 says could 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 last the following spring.

“We need to overcome to gamers the reputational threat to the video game,” he says. “Once confidence has been damaged it is tough to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the “carrot” method, then possibly Nick Tofiluk, director of regulation at the Gambling Commission, represents the “stick”.

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

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

“The frustrating majority of sports wagering occurring through UK operators is legal and fair,” he states.

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

“Such unfaithful has the prospective to weaken the integrity of a sport, and it likewise damages the business interests of sports bodies and sports betting.”

The commission has developed an in-house Sports Betting Intelligence Unit to receive and share info to sporting authorities, betting companies and policing authorities.

“Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting,” he says.

“We will alert sports of our issues, to help prevent or reduce [illegal] activity”

In May 2010, the commission likewise 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 just one criminal prosecution, a 24-year-old guy who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 ongoing investigations, and that much useful information has actually also been passed to sports authorities.

He said that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would think about ceasing a criminal investigation “in favour of letting sports governing bodies take the lead”.

Meanwhile, he states a lot of those seeking to cheat the sports betting industry were well-informed about sports and sporting people, and about wagering operations and the movement of cash.

“They look for the vulnerabilities of these to help in their enterprises.”