Sport wagering market seeks to safeguard itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is big company.
Sport England estimates the worth of spending on sport-related gambling 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 approximated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research study 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 gaming.
But when the stability of occasions are struck the sports betting market suffers, and earnings are put under threat if customers can not wager with 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 business, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have actually 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 also challenge the corruption charges installed 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 prohibited last week for six months for failing to report the unlawful approach to him to throw frames.
There are also 2 other continuing investigations - not related to Mr Higgins - into snooker.
'Honest'
David O'Reilly is legal counsel for Betfair, among the UK's greatest online sporting exchanges.
"If the sport is perceived as sincere, straight and reasonable that is great for sports betting firms due to the fact that people will invest cash sports betting with confidence," he says.
"If you take the Pakistan allegations, although unrelated to the UK controlled wagering industry ... 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 might need to take care about'."
'Education'
So what can be done to prevent future scandals?
According to experts at a World sports betting Law Report conference into sports betting, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation explains: "The only individuals who can repair a match are the competitors or the referee."
His organisation represents males and females in 15 sports betting 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 procedures, but that the way to take on prospective problems around players is likewise through education.
Mr Taylor says guidelines require to be described plainly to players with clear examples, and by individuals they appreciate.
"Through informing gamers about sports betting you enhance integrity and that is in everyone's interest," he includes.
"If players 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 remedy, and we likewise make a point of informing players 'you are going to be caught'."
"It is crucial that sport is directly, and is seen to be straight," he adds.
"If it loses that then individuals don't wish to wager, that is not in sports betting companies' interests, and it is not in our interests."
He stated that when a good reputation was lost, the damage to a sport was "enormous".
FA guidelines suggest players are not enabled to bet on a competitors in which they are included.
Mr Johnson says gamers need to be seen not to be cashing in on any inside understanding, which he says could 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 bank on a Manchester United v Chelsea cup final the following spring.
"We need to get over to gamers the reputational threat to the video game," he states. "Once confidence has been damaged it is difficult to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then maybe Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".
The Gambling Commission was established under the Gambling Act 2005 to regulate commercial sports betting in Great Britain.
An ex-chief constable of West Midlands cops, Mr Tofiluk has responsibility for policing all sports betting in the UK apart from spread sports betting, which is the remit of the FSA.
"The overwhelming bulk of sports betting wagering happening through UK operators is legal and fair," he states.
"But for some there is the temptation to ... corruptly hinder the result of a sporting event.
"Such cheating has the possible to weaken the integrity of a sport, and it likewise damages the commercial interests of sports betting bodies and sports betting wagering."
The commission has established an in-house Sports Betting Intelligence Unit to get and distribute info to sporting authorities, wagering firms and policing authorities.
"Since 2007 we have experienced a significant insight into world of corrupt sports betting wagering," he states.
"We will notify sports betting of our concerns, to help prevent or reduce [unlawful] activity"
In May 2010, the commission likewise introduced a confidential telephone hotline for those with info or suspicions.
'Vulnerabilities'
But in a two-and-a-half year duration there has been simply one prosecution, a 24-year-old male who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous examinations, which much useful info has actually likewise been passed to sports betting authorities.
He stated that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would consider terminating a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says a number of those seeking to cheat the sports betting market were experienced about sports betting and sporting people, and about sports betting operations and the motion of cash.
"They seek out the vulnerabilities of these to help in their business."
Related internet links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission
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