Sport Betting Industry Seeks To Protect Itself

Betting on sport is huge business.


Sport England approximates the value of spending 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 grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.


Meanwhile, German research study firm Sport & Markt approximates the general international betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports gaming.
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But when the stability of occasions are struck the gaming industry suffers, and profits are put under hazard if customers can not wager 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 discuss the sports gambling market now.


"Not only is it a considerable market in world service, it is one that is now on the front pages of newspapers."


Four Pakistan cricketers have actually been questioned by authorities over spot-fixing allegations 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 installed against the trio by the sport governing body the International Cricket Council.


Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing allegations, but was banned last week for six months for stopping working to report the unlawful technique to him to throw frames.
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There are likewise two other continuing investigations - unrelated 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 truthful, straight and fair that is great for wagering companies due to the fact that people will spend cash betting with confidence," he states.


"If you take the Pakistan accusations, although unassociated to the UK regulated wagering 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 need to take care about'."


'Education'


So what can be done to prevent future scandals?


According to experts at a World Sports Law Report conference into sports gambling, the focus has to be on sportspersons and sportswomen.


As Simon Taylor of the Professional Players' Federation points out: "The only people who can fix a match are the competitors or the referee."
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His organisation represents men and women 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 insufficient to merely have deterrents, sanctions and disciplinary procedures, however that the way to take on prospective issues around gamers is also through education.


Mr Taylor says guidelines require to be discussed clearly to players with clear examples, and by people they appreciate.


"Through educating gamers about sports betting you reinforce integrity and that is in everyone's interest," he includes.


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


'Brand damage'


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


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


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


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


He said that when a good credibility was lost, the damage to a sport was "incalculable".


FA guidelines imply players are not enabled to bank on a competitors in which they are included.


Mr Johnson says gamers need to be seen not to be capitalizing any inside understanding, which he says might cause "brand damage" to football and its competitors.


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


"We have to overcome to gamers the reputational danger to the game," he says. "Once confidence has actually been harmed it is hard to get it back - mud sticks."


'Overwhelmingly legal'


If this represents the "carrot" approach, then maybe Nick Tofiluk, director of guideline at the Gambling Commission, represents the "stick".


The Gambling Commission was set up under the Gambling Act 2005 to control commercial betting in Great Britain.


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


"The overwhelming bulk of sports betting happening through UK operators is legal and reasonable," he states.


"But for some there is the temptation to ... corruptly disrupt the outcome of a sporting occasion.


"Such unfaithful has the potential to weaken the stability of a sport, and it likewise damages the commercial interests of sports betting bodies and sports wagering."


The commission has developed an internal Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, wagering firms and policing authorities.
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"Since 2007 we have actually experienced a considerable insight into world of corrupt sports wagering," he says.


"We will signal sports of our concerns, to help avoid or cut [prohibited] activity"


In May 2010, the commission likewise introduced a confidential telephone hotline for those with details 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 cautioned for cheating in relation to greyhound racing.


However, Mr Tofiluk states there are still eight ongoing investigations, which much helpful information has also been passed to sports authorities.


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


Meanwhile, he states a lot of those wanting to cheat the sports betting industry were experienced about sports and sporting individuals, and about wagering operations and the motion of cash.


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