1 Sport Betting Industry Aims To Protect Itself
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Sport wagering market aims to secure itself
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16 September 2010
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By Bill Wilson

Business press reporter, BBC News

sports betting on sport is substantial business.

Sport England approximates 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 most likely to have grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research company Sport & Markt approximates the total worldwide sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.

But when the stability of events are hit the gaming market suffers, and profits are put under hazard if customers can not wager with self-confidence.

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

High-profile

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

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

Four Pakistan cricketers have been questioned by police over spot-fixing claims connecting to a test against England at Lord's last month.

Three of these gamers have actually stated they will also challenge the corruption charges installed 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 claims, however was prohibited recently for 6 months for failing to report the unlawful approach to him to throw frames.

There are also two other continuing investigations - not related to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, among the UK's most significant online sporting exchanges.

"If the sport is viewed as honest, straight and reasonable that is excellent for wagering companies because individuals will invest cash wagering with self-confidence," he says.
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"If you take the Pakistan accusations, although unassociated to the UK controlled wagering market ... it is not truly a favorable story for wagering in the UK.

"That is due to the fact that the understanding is that 'cricket is now something we might have to be mindful about'."

'Education'

So what can be done to prevent future scandals?

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

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

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

He believes that it is insufficient to merely have deterrents, sanctions and disciplinary procedures, but that the method to tackle potential issues around gamers is likewise through education.

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

"Through educating gamers about sports betting you strengthen integrity and that remains in everyone's interest," he adds.

"If players are harder to corrupt then sport will be harder to corrupt."

'Brand damage'

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

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

"It is essential that sport is directly, and is seen to be directly," he adds.

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

He said that once a good credibility was lost, the damage to a sport was "enormous".

FA rules mean gamers are not enabled to bet on a competition in which they are included.

Mr Johnson says players have to be seen not to be capitalizing any inside understanding, which he says could trigger "brand damage" to football and its competitions.

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

"We have to get over to players the reputational risk to the video game," he states. "Once self-confidence has been damaged it is tough to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" technique, 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 control industrial gaming in Great Britain.

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

"The frustrating bulk of sports betting taking location through UK operators is legal and fair," he states.

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

"Such cheating has the possible to undermine the integrity of a sport, and it also hurts the commercial interests of sports betting bodies and sports betting wagering."

The commission has established an internal Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, wagering companies and policing authorities.

"Since 2007 we have actually experienced a considerable insight into world of wagering," he says.
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"We will notify sports betting of our issues, to help avoid or curtail [unlawful] 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 actually been just one prosecution, a 24-year-old male who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk says there are still 8 continuous investigations, which much useful info has also been passed to sports betting authorities.

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

Meanwhile, he states many of those seeking to cheat the sports betting industry were experienced about sports betting and sporting people, and about wagering operations and the motion of money.

"They seek out the vulnerabilities of these to help in their business."

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP
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Gambling Commission

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