Sport Betting Industry Looks To Protect Itself
Betting on sport is substantial business.
Sport England estimates the worth of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
And that figure is likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research company Sport & Markt estimates the overall worldwide betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports gambling.
But when the integrity of events are hit the betting industry suffers, and incomes are put under risk if customers can not wager with confidence.
And there can have been couple of 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 market now.
“Not just is it a significant market in world organization, it is one that is now on the front pages of papers.”
Four Pakistan cricketers have been questioned by authorities over spot-fixing accusations connecting to a test versus England at Lord’s last month.
Three of these gamers 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 champion John Higgins was cleared of match-fixing allegations, but was prohibited last week for six months for stopping working to report the unlawful technique to him to throw frames.
There are also two other continuing examinations – not related to Mr Higgins – into snooker.
‘Honest’
David O’Reilly is legal counsel for Betfair, one of the UK’s most significant online sporting exchanges.
“If the sport is viewed as truthful, straight and reasonable that is good for wagering companies because individuals will invest cash wagering with self-confidence,” he says.
“If you take the Pakistan claims, although unrelated to the UK managed betting industry … it is not really a positive story for betting in the UK.
“That is due to the fact that the perception is that ‘cricket is now something we may have to beware about’.”
‘Education’
So what can be done to avoid future scandals?
According to experts at a World Sports Law Report conference into sports betting, the focus needs to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players’ Federation explains: “The only individuals 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 gamer organisations, such as the Professional Footballers’ Association.
He believes that it is not sufficient to merely have deterrents, sanctions and disciplinary procedures, however that the method to deal with possible issues around players is also through education.
Mr Taylor states to be discussed plainly to gamers with clear examples, and by people they respect.
“Through educating gamers about sports wagering you strengthen integrity and that is in everyone’s interest,” he adds.
“If gamers are more difficult to corrupt then sport will be more difficult to corrupt.”
‘Brand damage’
Matt Johnson, head of regulatory legal suggestions at the Football Association, concurs.
“Prevention is much better than cure, 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 includes.
“If it loses that then individuals do not wish to wager, that is not in gambling companies’ interests, and it is not in our interests.”
He said that when a good track record was lost, the damage to a sport was “incalculable”.
FA rules indicate players are not permitted to bank on a competitors in which they are included.
Mr Johnson says players have actually to be seen not to be capitalizing any inside knowledge, which he states might trigger “brand damage” to football and its competitors.
So, even a 2nd Division player knocked out of the FA Cup in the fall can not wager on a Manchester United v Chelsea cup last the following spring.
“We have to get over to gamers the reputational threat to the game,” he says. “Once confidence has been damaged it is hard to get it back – mud sticks.”
‘Overwhelmingly legal’
If this represents the “carrot” technique, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the “stick”.
The Gambling Commission was established under the Gambling Act 2005 to control commercial gambling in Great Britain.
An ex-chief constable of West Midlands cops, Mr Tofiluk has obligation for policing all betting in the UK apart from spread betting, which is the remit of the FSA.
“The overwhelming bulk of sports betting occurring through UK operators is legal and fair,” he states.
“But for some there is the temptation to … corruptly hinder the result of a sporting occasion.
“Such cheating has the possible to weaken the integrity of a sport, and it also hurts the industrial interests of sports bodies and sports betting.”
The commission has established an internal Sports Betting Intelligence Unit to receive and disseminate details to sporting authorities, wagering firms and policing authorities.
“Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting,” he says.
“We will signal sports of our issues, to assist prevent or cut [illegal] activity”
In May 2010, the commission also presented a confidential telephone hotline for those with information or suspicions.
‘Vulnerabilities’
But in a two-and-a-half year period there has actually been just one criminal prosecution, a 24-year-old guy who was warned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still 8 ongoing examinations, which much useful information has actually likewise been passed to sports authorities.
He stated that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would think about discontinuing a criminal examination “in favour of letting sports governing bodies take the lead”.
Meanwhile, he states a number of those seeking to cheat the sports wagering market were knowledgeable about sports and sporting people, and about wagering operations and the movement of cash.
“They look for the vulnerabilities of these to assist in their enterprises.”