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Sport wagering industry aims to safeguard itself

16 September 2010
bit.ly
By Bill Wilson

Business reporter, BBC News

sports betting on sport is substantial service.

Sport England estimates the value of spending on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

Which figure is most likely to have actually grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research study company Sport & Markt estimates the overall global sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gambling.
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But when the integrity of events are struck the gaming market suffers, and profits are put under threat if clients can not bet with confidence.
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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 talks about the sports betting market now.

"Not only 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 authorities over spot-fixing allegations relating to a test against England at Lord's last month.

Three of these players have actually said they will likewise 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, but was prohibited recently for 6 months for failing to report the illegal method to him to throw frames.

There are likewise two other continuing examinations - not related to Mr Higgins - into snooker.

'Honest'

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

"If the sport is perceived as truthful, straight and reasonable that is good for sports betting firms due to the fact that individuals will invest cash sports betting with self-confidence," he states.

"If you take the Pakistan claims, although unrelated to the UK regulated wagering market ... it is not actually a positive story for wagering in the UK.

"That is since the understanding is that 'cricket is now something we might need to beware about'."

'Education'

So what can be done to prevent future scandals?

According to professionals at a World sports betting Law Report conference into sports betting, the focus needs to be on sportsmen and sportswomen.

As Simon Taylor of the Professional Players' Federation explains: "The only individuals who can fix 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 not enough to merely have deterrents, sanctions and disciplinary treatments, however that the method to take on possible issues around players is also through education.

Mr Taylor states rules require to be explained clearly to gamers with clear examples, and by individuals they respect.

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

"If gamers are more difficult to corrupt then sport will be more difficult to corrupt."

'Brand damage'
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Matt Johnson, head of regulative legal recommendations at the Football Association, concurs.

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

"It is necessary that sport is straight, and is seen to be straight," he includes.

"If it loses that then individuals do not wish to bet, that is not in gambling firms' interests, and it is not in our interests."

He stated that as soon as a great reputation was lost, the damage to a sport was "enormous".

FA guidelines imply gamers are not allowed to bet on a competition in which they are included.

Mr Johnson states players have actually to be seen not to be capitalizing any inside understanding, which he says might cause "brand damage" to football and its competitors.

So, even a Second knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup last the following spring.

"We have to get over to players the reputational danger to the video game," he states. "Once confidence has actually been harmed it is hard to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" method, then possibly Nick Tofiluk, director of regulation 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 sports betting in the UK apart from spread wagering, which is the remit of the FSA.

"The overwhelming bulk of sports betting taking location 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 prospective to weaken the integrity of a sport, and it also hurts the commercial interests of sports betting bodies and sports betting wagering."

The commission has actually established an in-house Sports Betting Intelligence Unit to receive and distribute details to sporting authorities, wagering firms and policing authorities.

"Since 2007 we have actually experienced a significant insight into world of corrupt sports betting," he says.

"We will alert sports betting of our issues, to help avoid or curtail [unlawful] activity"
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In May 2010, the commission also introduced a confidential telephone hotline for those with information or suspicions.

'Vulnerabilities'

But in a two-and-a-half year duration there has actually been just one criminal prosecution, a 24-year-old man who was warned for cheating in relation to greyhound racing.

However, Mr Tofiluk says there are still eight continuous investigations, and that much useful info has likewise been passed to sports betting authorities.

He stated that where an investigation by a sport governing body was quicker, and more expense efficient, then the commission would think about stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he states much of those looking to cheat the sports betting wagering industry were well-informed about sports betting and sporting individuals, and about wagering operations and the movement of cash.

"They look for 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

BLP

Gambling Commission

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