Sport Betting Industry Seeks To Protect Itself

Betting on sport is big company.

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

And that figure is likely to have actually grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

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

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

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

High-profile

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

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

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

Three of these gamers have said they will also challenge the corruption charges installed 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 prohibited recently for six months for failing to report the illegal approach to him to throw frames.

There are also two other continuing investigations – 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 honest, straight and reasonable that is excellent for wagering companies since individuals will invest money wagering with self-confidence, » he says.

« If you take the Pakistan allegations, although unassociated to the UK managed betting industry … it is not really a favorable story for wagering in the UK.

« That is because the perception is that ‘cricket is now something we may have to take care about’. »

‘Education’

So what can be done to prevent future scandals?

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

As Simon Taylor of the Professional Players’ Federation explains: « The only people 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 merely have deterrents, sanctions and disciplinary procedures, however that the way to tackle potential issues around players is likewise through education.

Mr Taylor says rules require to be explained plainly to players with clear examples, and by individuals they respect.

« Through educating players about sports betting wagering you enhance stability and that is in everybody’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 suggestions at the Football Association, concurs.

« Prevention is better than remedy, and we also make a point of telling gamers ‘you are going to be captured’. »

« It is necessary that sport is directly, and is seen to be directly, » he adds.

« If it loses that then people do not wish to wager, that is not in gaming companies’ interests, and it is not in our interests. »

He said that when a great track record was lost, the damage to a sport was « incalculable ».

FA rules indicate gamers are not enabled to bank on a competition in which they are included.

Mr Johnson states gamers need to be seen not to be capitalizing any inside understanding, which he says could 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 wager on a Manchester United v Chelsea cup final the following spring.

« We have to get over to players the reputational danger to the game, » he states. « Once confidence has actually been harmed it is tough to get it back – mud sticks. »

‘Overwhelmingly legal’

If this represents the « carrot » approach, then possibly Nick Tofiluk, director of policy at the Gambling Commission, represents the « stick ».

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

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

« The overwhelming majority of sports betting wagering occurring through UK operators is legal and reasonable, » he states.

« But for some there is the temptation to … corruptly interfere with the outcome of a sporting occasion.

« Such unfaithful has the possible to weaken the stability of a sport, and it likewise hurts the commercial interests of sports betting bodies and sports wagering. »

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

« Since 2007 we have actually experienced a significant insight into world of corrupt sports betting, » he states.

« We will notify sports of our issues, to help avoid or curtail [prohibited] activity »

In May 2010, the commission also presented a personal telephone hotline for those with information or suspicions.

‘Vulnerabilities’

But in a two-and-a-half year duration there has been just one criminal prosecution, a 24-year-old guy who was cautioned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 continuous investigations, which much beneficial 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 effective, then the commission would consider discontinuing a criminal investigation « in favour of letting sports governing bodies take the lead ».

Meanwhile, he states a number of those seeking to cheat the sports betting market were experienced about sports and sporting people, and about betting operations and the movement of cash.

« They seek out the vulnerabilities of these to assist in their enterprises. »