Sport Betting Industry Looks To Protect Itself

Betting on sport is huge company.

Sport England approximates the value of costs 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 grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.

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

But when the integrity of occasions are hit the gambling market suffers, and incomes are put under threat if clients can not bet with self-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 betting gambling market now.

“Not just is it a considerable market in world business, 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 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 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, but was prohibited recently for six months for stopping working to report the illegal method to him to toss frames.

There are also 2 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 truthful, straight and reasonable that benefits betting companies due to the fact that people will spend money wagering with confidence,” he says.

“If you take the Pakistan allegations, although unrelated to the UK controlled betting market … it is not actually 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 beware about’.”

‘Education’

So what can be done to prevent future scandals?

According to experts 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 mentions: “The only individuals who can repair a match are the rivals or the referee.”

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

He believes that it is not enough to simply have deterrents, sanctions and disciplinary treatments, however that the way to tackle potential problems around gamers is also through education.

Mr Taylor says rules need to be described plainly to players with clear examples, and by people they appreciate.

“Through educating players about sports betting you enhance stability which is in everyone’s interest,” he adds.

“If gamers are harder to corrupt then sport will be harder to corrupt.”

‘Brand damage’

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

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

“It is vital that sport is directly, and is seen to be straight,” he includes.

“If it loses that then people don’t wish to bet, that is not in betting companies’ interests, and it is not in our interests.”

He stated that as soon as a good credibility was lost, the damage to a sport was “incalculable”.

FA guidelines suggest players are not enabled to bank on a competitors in which they are involved.

Mr Johnson says gamers need to be seen not to be cashing in on 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 autumn can not bank on a Manchester United v Chelsea cup final the following spring.

“We have to get over to players the reputational threat to the game,” he says. “Once self-confidence has 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 policy at the Gambling Commission, represents the “stick”.

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

An ex-chief constable of West Midlands police, 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 happening through UK operators is legal and fair,” he states.

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

“Such unfaithful has the possible to undermine the integrity of a sport, and it also harms the commercial interests of sports betting bodies and sports wagering.”

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

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

“We will alert sports of our issues, to assist prevent or curtail [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 been simply one prosecution, a 24-year-old man who was cautioned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still 8 ongoing investigations, which much beneficial info has likewise been passed to sports authorities.

He stated that where an investigation by a sport governing body was quicker, and more expense effective, then the commission would consider ceasing a criminal investigation “in favour of letting sports governing bodies take the lead”.

Meanwhile, he states numerous of those aiming to cheat the sports betting industry were knowledgeable about sports and sporting individuals, and about wagering operations and the motion of money.

“They seek out the vulnerabilities of these to help in their enterprises.”