Sport Betting Industry Seeks To Protect Itself

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Sport wagering industry looks to safeguard itself

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Sport wagering industry wants to secure itself


16 September 2010


By Bill Wilson


Business reporter, BBC News


Betting on sport is big organization.


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


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


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


But when the stability of occasions are struck the gambling industry suffers, and profits are put under danger if consumers can not wager with confidence.


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


High-profile


As Sport & Markt's Gareth Moore observes: "Everyone speak about the sports betting gambling market now.


"Not only is it a significant 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 accusations relating to a test against England at Lord's last month.


Three of these players have actually said they will likewise challenge the corruption charges mounted 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 allegations, however was banned last week for 6 months for stopping working to report the unlawful technique to him to throw frames.


There are also two other continuing investigations - 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 sincere, straight and fair that is excellent for sports betting firms due to the fact that people will spend cash sports betting with confidence," he states.


"If you take the Pakistan allegations, although unrelated to the UK regulated wagering industry ... it is not actually a positive story for wagering in the UK.


"That is since the perception is that 'cricket is now something we might have to be cautious about'."


'Education'


So what can be done to avoid future scandals?


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

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


His organisation represents guys and ladies in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers' Association.


He thinks that it is not enough to simply have deterrents, sanctions and disciplinary treatments, however that the way to deal with prospective problems around players is also through education.


Mr Taylor says guidelines need to be explained clearly to players with clear examples, and by individuals they appreciate.


"Through educating players about sports betting wagering you strengthen stability and that is in everybody's interest," he adds.


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


'Brand damage'


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


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


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


"If it loses that then individuals don't wish to bet, that is not in gambling firms' interests, and it is not in our interests."


He stated that once a great track record was lost, the damage to a sport was "incalculable".


FA guidelines indicate gamers are not permitted to bank on a competition in which they are involved.


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


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


"We have to get over to players the reputational danger to the video game," he states. "Once confidence has actually been harmed it is difficult to get it back - mud sticks."


'Overwhelmingly legal'


If this represents the "carrot" method, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".


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


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


"The frustrating majority of sports betting taking place through UK operators is legal and reasonable," he states.


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


"Such cheating has the possible to undermine the stability of a sport, and it likewise damages the commercial interests of sports betting bodies and sports betting."


The commission has actually developed an internal Sports Betting Intelligence Unit to get and distribute details to sporting authorities, sports betting companies and policing authorities.

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


"We will inform sports betting of our issues, to help avoid or cut [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 been simply 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 eight ongoing examinations, which much beneficial info has also been passed to sports betting authorities.


He said that where an investigation 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 betting governing bodies take the lead".


Meanwhile, he states a number of those aiming to cheat the sports betting industry were well-informed about sports betting and sporting individuals, and about sports betting operations and the motion of money.


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


Related web 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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