1 Sport Betting Industry Seeks To Protect Itself
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Sport wagering industry looks 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 big business.

Sport England approximates the value of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

Which 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 company Sport & Markt estimates the general international sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.

But when the integrity of events are struck the gaming industry suffers, and profits are put under threat if clients can not bet with self-confidence.

And there can have been few higher-profile sport wagering 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.
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"Not just is it a substantial market in world business, it is one that is now on the front pages of papers."

Four Pakistan cricketers have been questioned by cops over spot-fixing allegations associating with a test versus England at Lord's last month.

Three of these gamers have actually 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 champion John Higgins was cleared of match-fixing accusations, however was prohibited recently for six months for stopping working to report the prohibited technique to him to toss frames.

There are likewise 2 other continuing examinations - unrelated to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, one of the UK's greatest online sporting exchanges.

"If the sport is perceived as sincere, straight and reasonable that is good for wagering firms because people will invest money wagering with self-confidence," he says.

"If you take the Pakistan claims, although unrelated to the UK managed sports betting industry ... it is not truly a positive story for wagering in the UK.

"That is because the understanding is that 'cricket is now something we might need to take care 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 has to be on sportsmen and sportswomen.

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

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

He thinks that it is insufficient to simply have deterrents, sanctions and disciplinary treatments, however that the way to take on prospective problems around players is also through education.

Mr Taylor states guidelines require to be described plainly to players with clear examples, and by individuals they appreciate.

"Through informing players about sports betting wagering you strengthen stability and that is in everybody's interest," he adds.

"If players are harder to corrupt then sport will be more difficult 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 informing gamers 'you are going to be caught'."

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

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

He said that once a good track record was lost, the damage to a sport was "incalculable".

FA rules suggest players are not allowed to bet on a competition in which they are involved.

Mr Johnson says gamers need to be seen not to be cashing in on any inside understanding, which he states 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 last the following spring.

"We need to overcome to gamers the reputational threat to the game," he states. "Once confidence has been damaged it is tough to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" technique, then maybe 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.
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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 frustrating majority of sports betting taking place through UK operators is legal and fair," he states.

"But for some there is the temptation to ... corruptly hinder the result of a sporting event.

"Such unfaithful has the potential to undermine the integrity of a sport, and it likewise damages the commercial interests of sports betting bodies and sports betting."

The commission has developed an internal Sports Betting Intelligence Unit to get and distribute information to sporting authorities, wagering companies and policing authorities.

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

"We will notify sports betting of our issues, to assist prevent or cut [prohibited] activity"

In May 2010, the commission also introduced a confidential telephone hotline for those with details or suspicions.

'Vulnerabilities'

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

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

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

Meanwhile, he says a number of those aiming to cheat the sports betting wagering industry were experienced about sports betting and sporting people, and about wagering operations and the motion of cash.

"They look for the vulnerabilities of these to assist in their enterprises."

Related internet links
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World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt
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BLP

Gambling Commission