Sport Betting Industry Seeks To Protect Itself

Betting on sport is substantial service.

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.

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 study firm Sport & Markt estimates the overall global gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports gambling.

But when the integrity of events are struck the betting industry suffers, and earnings are put under hazard if consumers can not wager with confidence.

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

High-profile

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

“Not just is it a significant market in world organization, it is one that is now on the front pages of newspapers.”

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

Three of these players have said they will also 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 accusations, but was banned last week for 6 months for stopping working to report the prohibited technique to him to toss frames.

There are also 2 other continuing examinations – 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 perceived as honest, straight and fair that benefits wagering firms since people will invest money betting with self-confidence,” he says.

“If you take the Pakistan claims, although unassociated to the UK managed betting market … it is not truly a favorable story for betting in the UK.

“That is due to the fact that the perception is that ‘cricket is now something we might need to be cautious about’.”

‘Education’

So what can be done to prevent future scandals?

According to professionals 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 explains: “The only people who can repair 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 inadequate to merely have deterrents, sanctions and disciplinary treatments, but that the way to tackle potential problems around gamers is also through education.

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

“Through educating gamers about sports wagering you strengthen integrity and that remains in everyone’s interest,” he adds.

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

‘Brand damage’

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

“Prevention is better than remedy, and we also make a point of telling players ‘you are going to be caught’.”

“It is crucial that sport is directly, and is seen to be directly,” he adds.

“If it loses that then individuals do not want to bet, that is not in betting firms’ interests, and it is not in our interests.”

He said that once a great track record was lost, the damage to a sport was “enormous”.

FA rules imply gamers are not enabled to wager on a competition in which they are included.

Mr Johnson says gamers have actually to be seen not to be cashing in on any inside knowledge, which he says might trigger “brand name damage” to football and its competitions.

So, even a 2nd Division gamer knocked out of the FA Cup in the autumn 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 game,” he states. “Once self-confidence has been damaged it is hard to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the “carrot” method, then maybe Nick Tofiluk, director of policy at the Gambling Commission, represents the “stick”.

The Gambling Commission was established under the Gambling Act 2005 to manage industrial gambling in Great Britain.

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

“The frustrating bulk of sports betting happening through UK operators is legal and fair,” he says.

“But for some there is the temptation to … corruptly disrupt the outcome of a sporting event.

“Such unfaithful has the potential to weaken the stability of a sport, and it also hurts the business interests of sports bodies and sports betting wagering.”

The commission has actually established an internal Sports Betting Intelligence Unit to get and share information to sporting authorities, betting companies and policing authorities.

“Since 2007 we have actually experienced a significant insight into world of corrupt sports wagering,” he says.

“We will notify sports of our issues, to assist prevent or reduce [unlawful] activity”

In May 2010, the commission likewise presented a confidential telephone hotline for those with info or suspicions.

‘Vulnerabilities’

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

However, Mr Tofiluk states there are still 8 ongoing examinations, and that much useful info has actually also been passed to sports authorities.

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

Meanwhile, he says much of those looking to cheat the sports betting market were experienced about sports and sporting individuals, and about wagering operations and the motion of cash.

“They look for the vulnerabilities of these to assist in their enterprises.”