Sport Betting Industry Seeks To Protect Itself

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Sport wagering market seeks to safeguard itself

Betting on sport is big company.

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

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Which figure is 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 total international gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.


But when the stability of events are hit the gaming industry suffers, and earnings are put under threat if consumers can not wager with self-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 speak about the sports betting 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 cops over spot-fixing accusations relating to a test against England at Lord's last month.


Three of these players have actually stated they will likewise 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 claims, however was prohibited last week for six months for stopping working to report the unlawful approach to him to throw frames.


There are also two other continuing examinations - not related to Mr Higgins - into snooker.


'Honest'


David O'Reilly is legal counsel for Betfair, one of the UK's greatest online sporting exchanges.


"If the sport is viewed as truthful, straight and fair that is excellent for wagering companies due to the fact that people will invest money wagering with self-confidence," he states.


"If you take the Pakistan accusations, although unassociated to the UK regulated betting market ... it is not truly a positive story for betting in the UK.


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


'Education'


So what can be done to prevent future scandals?


According to specialists at a World Sports Law Report conference into sports betting, the focus needs to be on sportsmen and sportswomen.


As Simon Taylor of the Professional Players' Federation points out: "The only individuals who can fix a match are the competitors or the referee."


His organisation represents males and females in 15 sports 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 merely have deterrents, sanctions and disciplinary treatments, but that the way to tackle potential problems around players is likewise through education.


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


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


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


'Brand damage'


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


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


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


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


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


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


Mr Johnson says gamers need to be seen not to be cashing in on any inside knowledge, which he states might trigger "brand 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 last the following spring.


"We need to get over 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" approach, 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 control industrial gaming in Great Britain.


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


"The overwhelming bulk of sports wagering occurring through UK operators is legal and fair," he states.


"But for some there is the temptation to ... corruptly interfere with the result of a sporting occasion.


"Such unfaithful has the prospective to undermine the stability of a sport, and it also harms the commercial interests of sports bodies and sports betting."


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


"Since 2007 we have experienced a substantial insight into world of corrupt sports betting," he states.


"We will inform sports of our concerns, to assist prevent or reduce [prohibited] activity"


In May 2010, the commission also introduced a private telephone hotline for those with info or suspicions.


'Vulnerabilities'


But in a two-and-a-half year period there has actually been simply one criminal prosecution, a 24-year-old guy who was cautioned for cheating in relation to greyhound racing.


However, Mr Tofiluk states there are still eight ongoing investigations, which much useful info has likewise been passed to sports authorities.


He stated that where an examination by a sport governing body was quicker, and more expense effective, then the commission would think about terminating a criminal examination "in favour of letting sports governing bodies take the lead".

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Meanwhile, he says much of those looking to cheat the sports betting market were educated about sports and sporting individuals, and about betting operations and the movement of money.


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

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