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Sport sports betting industry aims to protect itself
16 September 2010
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By Bill Wilson
Business reporter, BBC News
Betting on sport is big company.
Sport England estimates the value 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 even more, with an ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research study firm Sport & Markt approximates the total worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.
But when the integrity of occasions are struck the gaming industry suffers, and incomes are put under hazard if customers can not wager with self-confidence.
And there can have been few higher-profile sport sports betting stories than those affecting cricket and snooker this year.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone discuss the sports betting gambling market now.
"Not only is it a substantial market in world organization, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by authorities over spot-fixing claims relating to a test against England at Lord's last month.
Three of these players have stated they will also challenge the corruption charges installed 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 allegations, however was prohibited last week for six months for stopping working to report the unlawful 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 sincere, straight and fair that benefits wagering companies because people will spend money sports betting with confidence," he says.
"If you take the Pakistan allegations, although unrelated to the UK managed wagering 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 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 gambling, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation mentions: "The only people who can repair a match are the rivals or the referee."
His organisation represents males and females in 15 sports betting in the UK, being an umbrella organisation for all gamer organisations, such as the Professional Footballers' Association.
He thinks that it is insufficient to simply have deterrents, sanctions and disciplinary procedures, however that the method to deal with possible issues around gamers is likewise through education.
Mr Taylor states guidelines need to be described plainly to players with clear examples, and by individuals they respect.
"Through informing gamers about sports betting you reinforce integrity and that remains in everyone's interest," he includes.
"If players are more difficult to corrupt then sport will be more difficult 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 telling players 'you are going to be caught'."
"It is crucial that sport is directly, and is seen to be directly," he adds.
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"If it loses that then individuals don't desire to wager, that is not in gaming firms' interests, and it is not in our interests."
He said that when a good credibility was lost, the damage to a sport was "enormous".
FA guidelines indicate gamers are not allowed to bank on a competition in which they are involved.
Mr Johnson states players have to be seen not to be capitalizing any inside knowledge, which he states might trigger "brand name damage" to football and its competitions.
So, even a 2nd 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 need to get over to gamers the reputational risk to the game," he states. "Once confidence has been damaged it is difficult to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" technique, then possibly Nick Tofiluk, director of guideline 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 authorities, Mr Tofiluk has obligation for policing all betting in the UK apart from spread sports betting, which is the remit of the FSA.
"The frustrating majority of sports betting wagering taking location through UK operators is legal and reasonable," he says.
"But for some there is the temptation to ... corruptly hinder the outcome of a sporting event.
"Such cheating has the prospective to weaken the stability of a sport, and it likewise hurts the commercial interests of sports betting bodies and sports betting."
The commission has actually established an in-house Sports Betting Intelligence Unit to get and share info to sporting authorities, sports betting firms and policing authorities.
"Since 2007 we have actually experienced a considerable insight into world of corrupt sports betting wagering," he says.
"We will notify sports betting of our concerns, to assist avoid or curtail [unlawful] activity"
In May 2010, the commission also presented a personal telephone hotline for those with info or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has been simply one criminal prosecution, a 24-year-old man who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk states there are still 8 ongoing examinations, which much helpful information has actually also been passed to sports betting authorities.
He stated that where an investigation by a sport governing body was quicker, and more cost effective, then the commission would consider discontinuing a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states many of those aiming to cheat the sports betting wagering industry were experienced about sports betting and sporting individuals, and about betting operations and the motion of money.
"They seek 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
bit.ly
BLP
Gambling Commission
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Sport Betting Industry Seeks To Protect Itself
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