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Sport Betting Industry Wants To Protect Itself
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Sport wagering market looks to protect itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big organization.

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

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

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

But when the of occasions are struck the gambling market suffers, and revenues are put under danger if clients can not bet with 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 talks about the sports betting gambling market now.

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

Three of these players have said 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, but was prohibited recently for six months for stopping working to report the prohibited method to him to throw frames.

There are likewise 2 other continuing examinations - unrelated 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 honest, straight and reasonable that benefits wagering companies since individuals will spend money wagering with self-confidence," he says.

"If you take the Pakistan accusations, although unrelated to the UK controlled wagering market ... it is not truly a positive story for wagering in the UK.

"That is due to the fact that the perception is that 'cricket is now something we might need to be mindful about'."
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'Education'

So what can be done to prevent future scandals?

According to experts 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 explains: "The only individuals 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 take on possible issues around gamers is also through education.

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

"Through informing gamers about sports betting you reinforce integrity which is in everybody's interest," he adds.

"If players 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 also make a point of telling gamers 'you are going to be caught'."

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

"If it loses that then individuals do not want to wager, that is not in gaming companies' 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 players are not enabled to bank 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 could trigger "brand damage" to football and its competitors.

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

"We need to overcome to gamers the reputational risk to the video game," he says. "Once self-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 policy at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to control business sports betting in Great Britain.

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

"The overwhelming bulk of sports betting wagering occurring through UK operators is legal and reasonable," he states.
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"But for some there is the temptation to ... corruptly interfere with the result of a sporting occasion.

"Such cheating has the possible to undermine the stability of a sport, and it likewise harms the industrial interests of sports betting bodies and sports betting wagering."

The commission has actually established an in-house Sports Betting Intelligence Unit to get and share details to sporting authorities, sports betting companies and policing authorities.

"Since 2007 we have experienced a substantial insight into world of corrupt sports betting," he states.

"We will signal sports betting of our issues, to help prevent or reduce [illegal] activity"

In May 2010, the commission likewise presented a private telephone hotline for those with info 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 states there are still 8 ongoing investigations, and that much useful details has also been passed to sports betting authorities.
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He said that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would think about stopping a criminal investigation "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says a lot of those aiming to cheat the sports betting industry were well-informed about sports betting and sporting people, and about wagering operations and the movement of money.

"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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