1

Table of Contents
Executive summary: ...................................................................................................................................... 3
Introduction: ................................................................................................................................................. 4
Match-fixing: A perennial problem ............................................................................................................... 5
Match-fixing: ............................................................................................................................................. 6
Why are sports competitions fixed? ......................................................................................................... 6
How are matches fixed? ........................................................................................................................... 6
A short history of match-fixing ................................................................................................................. 6
Match-fixing is not always related to betting ........................................................................................... 7
A match-fixing timeline: ............................................................................................................................ 7
Case History 1 ........................................................................................................................................... 9
Case History 2. .......................................................................................................................................... 9
Case History 3. ........................................................................................................................................ 10
An introduction to Sports Betting ............................................................................................................... 13
and its recent manifestations ..................................................................................................................... 13
Sports betting .......................................................................................................................................... 14
A short history of sports betting ............................................................................................................. 14
Who are the punters? ............................................................................................................................. 15
Understanding the different sports betting products: ........................................................................... 16
On what sports is betting possible in 2011? ........................................................................................... 16
Formulas offered ..................................................................................................................................... 17
Live betting: ............................................................................................................................................ 17
Handicap betting: .................................................................................................................................... 18
Asian handicap: ....................................................................................................................................... 19
Betting exchange: ................................................................................................................................... 20
A betting exchange example: .................................................................................................................. 21
Sports Betting: ............................................................................................................................................ 23
A threat to sports integrity ........................................................................................................................ 23
Why betting threatens sport? ................................................................................................................. 24
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Why match-fixing cases have increased with the internet ......................................................................... 27
Match Fixing By Internet: ........................................................................................................................ 28
Sport fights back: Actions to prevent match-fixing .................................................................................... 30
Sport can respond to the problem of match-fixing: ............................................................................... 31
1. Sports Regulations: ............................................................................................................................. 31
2 Betting Regulations: ............................................................................................................................. 32
3. Organization: ....................................................................................................................................... 33
4. Prevention and education: .................................................................................................................. 34
5. Betting market Monitoring and Alerts: ............................................................................................... 34
Betting fraud detection systems: How do they work? ........................................................................... 35
Conclusion: what future for monitoring systems ? ................................................................................ 36
Best practices to protect Sports Integrity ................................................................................................... 38
Learning from the leaders: ...................................................................................................................... 39
Cricket: A reluctant trail blazer: .............................................................................................................. 39
Tennis follows Crickets lead: .................................................................................................................. 40
UEFA: The best fraud detection system:................................................................................................. 41
FIFA follows UEFA with its Early Warning System: ................................................................................. 42
IOC cooperates with FIFA to create its own EWS: .................................................................................. 42
Sports Accord: Sports Integrity Unit: ...................................................................................................... 43
What to do in a crisis? (Conclusion) ............................................................................................................ 44
Crisis Planning ......................................................................................................................................... 45
Communicate: ......................................................................................................................................... 45
Organize: ................................................................................................................................................. 46
Plan: ........................................................................................................................................................ 46
Bibliography: ............................................................................................................................................... 48
Appendix 1: ................................................................................................................................................. 49
Appendix 2: ................................................................................................................................................. 53
Appendix 3: ................................................................................................................................................. 56



3

Executive summary:
Match-fixing is not new but it is an increasing problem for sport globally. Here we look at a brief
history, examine some notorious cases and observe their effect on the sports concerned.
Unless you are a serious punter, you will probably be unaware of how much sports betting have
changed recently. It is now a complex global business with millions of dollars bet via a network
of operators, often unregulated. Different betting formulas and in-play betting have brought
serious consequences for sport and this chapter explores them.
The growth of internet betting means the size of the industry is much greater. However, it is a
mistake to assume that this means betting operators make huge profits. Punters chose operators
with the best payout rates and much work on very small margins. Here we explore how the
industry is structured, its size and the difference between legal and illegal betting.
Interesting as the growth in the betting industry may be, it is the threat to sport that is the most
serious issue. Now we set out the implications for sport of criminal involvement in sports
betting. So much illegal activity means the links between sport and crime are dangerously close.
It is important to understand why sport and sports betting is attractive to organized crime. The
interests of criminals can flourish under the smokescreen of sport and this places sport at risk
from a large and unscrupulous group.
The combination of widespread availability of internet betting and the interest of organized
criminals has been fuel on the fire of match-fixing. The problem is now so big that everyone in
sport is affected.
Although match-fixing remains a serious issue for the sports movement, a range of prevention,
education, communication and detection measures have been developed in recent years. Outlined
here, these will assist in efforts to safeguard sports integrity. When creating systems to protect
the integrity of sport, we can learn from the best practice of leaders in this area. Here we examine
the actions of various sports organizations to stamp out match-fixing and extract valuable
lessons.
No sports organization is immune to a match-fixing scandal. A full-blown crisis can destroy
Reputations and careers but, with some advanced planning, the worst consequences can be
avoided.


4

Introduction:
In organized sports, match fixing, race fixing or sports fixing occurs as a match is played to a
completely or partially pre-determined result, violating the rules of the game and often the law.
Where the sporting competition in question is a race then the incident is referred to as race
fixing. Games that are deliberately lost are sometimes called thrown games. When a team
intentionally loses a game, or does not score as high as it can, to obtain a perceived future
competitive advantage (for instance, earning a high draft pick) rather than gamblers being
involved, the team is often said to have tanked the game instead of having thrown it.Integrity in
sport is perhaps our most valuable commodity. Fans must believe that what they see on the field
of play represents a true test of the competitors skills. If they cannot, there is a real risk that they
will ignore sport and take sponsors and broadcasters with them.
We will all be aware of occasions where results have been affected by outside influences but
there are now some big new developments that make tackling match-fixing urgent and very
important. Here you will see how matches are fixed, reasons & some historical cases.
Internet betting may not be an activity we are very familiar with but it now accounts for many
billions of dollars. That amount of money attracts the attention of criminals and indeed much of
it is connected directly to money laundering and fraud.
Having large and dangerous criminality close to sport places us all in grave danger. As sports
federations it is vital that we understand and accept that we are affected and take appropriate
actions to prevent these influences from destroying everything we work for.
I am grateful to the team at Sport Accords Sports Integrity Unit, our external advisors and to
Sport Business for their excellent work in preparing this resource. Within these pages you will
discover how sports betting works, how the internet has propelled the business and how it
impacts sport. Then you will learn of the steps we can all take to prevent sports betting turning
into match-fixing and other frauds.




5







Match-fixing: A perennial problem
Match-fixing is not new but it is an increasing problem for sport. Here we
introduce a brief history, look at some notorious cases and observe their effect on
the sports concerned.

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Match-fixing:
Irregularly influencing the course or result of a sports event in order to obtain advantage
for oneself or for others and to remove all or part of the uncertainty normally associated
with sport.
Why are sports competitions fixed?
The two major motivations behind match-fixing are financial (often linked to gambling) and
future team advantage (avoiding relegation, better playoff chances, abuse of tiebreak rules, etc.).
A greater risk exists for those clubs and teams where the players salaries have not been paid or
where salaries remain low.
How are matches fixed?
By paying two or three key players in a team (e.g. goalkeeper, defenders, captain), a club can
receive money by achieving a certain result (typically to lose a match or undertake a certain
action). Typically, the match-fixers place massive bets in Asia both pre-match and live. The
match is played and show irregular betting patterns. A few days after the match has been played,
outstanding salaries are paid, players and referees receive their payment. There is always
someone on the pitch, field, court involved in a fixed match, be it an athlete, player/s, or referee.
A short history of match-fixing:
Match-fixing is not a new phenomenon, neither is the link to gambling. More than two millennia
ago, organizers of the ancient Olympics were facing allegations against athletes accused of
accepting bribes to lose a competition. The prestige of victory encouraged city-states to secure
the outcome of competitions through large amounts of money. By the end of the 19th century,
betting was illegal in most jurisdictions but this did not stop it being a widespread practice. The
first sports to become associated with match fixing were boxing and baseball. The most
infamous episode in this period was the Black Sox scandal of 1919 when eight members of the
Chicago White Sox team threw the World Series (see appendix 2). Following this case in 1920,
Major League Baseball (MLB), the sports governing body, drew up strict rules prohibiting
gambling. Influenced by baseballs experience, the US National Football League (NFL), US
National Basketball Association (NBA) and National Collegiate Athletic Association (NCAA)
followed the same approach (and adopted a hard line against gambling see Appendix 3). Critics
of these measures note that, in spite of such policies, scandals have persisted. In the United
Kingdom (UK), both government and sporting authorities have historically adopted a softer
7

stance on gambling. Following decades of relatively lax, intermittent and ineffective
enforcement of laws prohibiting gambling, sports betting was legalized and regulated in the
1960s. Organizations such as the Football Association (FA) have taken the view that gambling
on their events is inevitable, and indeed is part of their sport. In the period from the 1960s to the
90s, numerous betting scandals involving football were uncovered in Europe (England, Italy
see Appendix 1, etc.), demonstrating the serious problem which match-fixing had become. More
recently (in 2000 see Appendix 1 and following years), cricket also faced the challenge of
match-fixing connected to organized crime. Even with strict rules, cricket has discovered just
how difficult it is to protect the integrity of competitions.
Match-fixing is not always related to betting:
In 1915, at the end of English league season, Manchester United was battling to avoid relegation
while Liverpool had nothing to win or to lose. Several Liverpool players conspired to throw the
game (incidentally placing bets against their own side as well). United won easily by 2-0
(Liverpool even missed a penalty) and, after an investigation, seven players of both teams
received life bans. Primo Carnera, the famous Italian boxer and world heavyweight champion in
1933, was an exceptional athlete standing 1m.97 and weighing in at 122 kilos. Throughout his
career however, he was dogged by suspicions that he threw fights. Journalists commented at the
time that he would not have earned a lot of money from fights whether fixed or not, because he
had to give the bulk of his prize money to the Mafia. The soccer World Cup of 1982 was the
occasion of the socalled match of shame between West Germany and Austria. Germany
needed to win the game by one goal to take both teams through to the next round. They scored
after 10 minutes and teams spent the next 80 minutes passing the ball between themselves. The
result ended Algerias chances of qualifying. Match-fixing is a problem for every sport but there
is a strong link to gambling Whilst match-fixing can have other causes, there is a strong
correlation with betting. Sports which are most often the are, therefore at much greater risk.
A match-fixing timeline:
See figure on Next page.
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Figure 1
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Case History 1.
Black Sox scandal: 8 men out after betting related fix
The Black Sox scandal occurred during the 1919 American Baseball World Series. At the time,
the Chicago White Sox was one of the all-time glamour teams of the sport. As a result of the
scandal eight team members ended up being banned for life for intentionally losing games and
giving the Series to the Cincinnati Reds.
The conspiracy was organized by Sox player Arnold Chick Gandil who had longstanding ties
to underworld figures. He persuaded Joseph Sport Sullivan, a friend and professional gambler
that the fix could be pulled off. New York gangster Arnold Rothstein financed the caper through
his lieutenant, a former boxing champion. Even before the series started, rumors were rife among
gamblers that it was fixed and there was a sudden spike of money bet on Cincinnati causing the
odds to fall rapidly.
Gandil enlisted several of his teammates who were motivated by resentment of the clubs owner
who had been underpaying his players for years. One player (Buck Weaver) was also asked to
participate, but refused. He was later banned with the others because he knew about the fix but
did not report it.
In 1920, a Grand Jury was convened to investigate and a year later all eight of the White Sox
players implicated were banned from Major League Baseball for life. With their best players
sidelined, the White Sox crashed to seventh place in 1921. They would not win another
American League championship until 1959 and another World Series until 2005!
Case History 2.
1980: Top Italian football teams in the Totonero scandal
Italian football has also had its fair share of match-fixing scandals. In 1980, more than 30 players
were found to have accepted money to throw matches from two Roman businessmen. It later
transpired that some of them had bet against their own teams.
Since 1946, there have been two ways to gamble on soccer in Italy. Totocalcio, is a legal, state-
run pool where fans have to successfully predict the outcome of a dozen matches to win money.
The virtue of this system is that it is practically impossible to manipulate because of the number
of matches involved. Until the late 1990s, fans who wanted to bet on single matches had to resort
to Totonero (black betting) which involved going to illegal bookmakers.
10

The Totonero plot was hatched in a restaurant frequented by Lazio players and some of the
teams stars agreed to fix matches for a fee. One of those involved, Carlos Petrini, later admitted
that the money was less of an attraction than the feeling of power that came from being above the
law. The logic of the Totonero plotters was simple: black betting offered far greater opportunities
for fixers. Fixing was especially appealing to seasoned professionals eager to make their last tax
free sums before retirement. Using illegal bookmakers also meant that players could bet on
matches that had been decided for football reasons (where, for example, one team had no stake in
the outcome while their opponents were facing relegation).
Nonetheless, on the 23rd of March 1980, 11 players and club officials were arrested during the
halftime interval at matches being played across Italy. They were released after 11 days, but
formal charges of aggravated fraud were eventually filed against 33 players and five others.
Harsh punishments were handed down to the guilty by Italian sporting authorities. President
Colombo received a lifetime ban and Milans goalkeeper, Ricky Albertosi, who had represented
Italy in the 1970 World Cup, was banned for four years. Paolo Rossi, who at most played a
minor role, received a three-year suspension (later reduced to two to allow him to play in the
1982 World Cup). Both Milan and Lazio were relegated to Series B and 25 points were deducted
from various other clubs.
Case History 3.
2000: The incredible match-fixing story of cricketer Hansie Cronje
Wessel Johannes Hansie Cronje was a South African cricketer who captained his countrys
national team in the 1990s. In 2004, he was voted the 11th greatest South African despite having
been banned for life from professional cricket for his role in a match-fixing scandal.
On 7 April 2000, Delhi police revealed that they had a recording of a conversation between
Cronje and a representative of an Indian betting syndicate over match-fixing allegations. Three
other players were also implicated.
On 11 April, Cronje was sacked as captain after admitting he had accepted $10,000 - $15,000
from a London-based bookmaker for forecasting results (not match-fixing) during the recent
one day series in India.
On 15 June, Cronje released a statement that revealed all his contacts with bookmakers. In 1996,
he had been introduced to Mukesh Gupta (a bookmaker) by Mohammad Azharuddin (an Indian
11

politician and former cricketer). Gupta subsequently paid Cronje $30,000 to persuade the South
Africans to lose a match.
On 11 October, Cronje was banned for life from playing or coaching cricket. He challenged his
life ban but his appeal was dismissed.
On 1 June 2002, when his scheduled flight was cancelled, Cronje hitched a ride as the only
passenger aboard small plane. Near their destination, the pilots lost visibility and were unable to
land, partly due to unusable navigational equipment. The plane crashed into mountains and
Cronje, aged 32, and the two pilots were killed instantly. Theories that Cronje was murdered on
the orders of a cricket betting syndicate abounded after his death. Cronjes involvement in
match-fixing, the suspicion of murder in the cases of both Cronje and Pakistan coach Bob
Woolmer and the links between cricketers and betting syndicates have since appeared in the
2008 novel Raffles and the Match-Fixing Syndicate by Adam Corres.
August 2010Pakistan international cricketers Salman Butt, Mohammed Asif and Mohammed
Amir, and agent Mazhar Majeed, were accused of offences in relation to spot fixing (a specific
sub-set of match-fixing) during the international test match between England and Pakistan at
Lords when no balls were bowled at specific points during Englands innings. The evidence that
such
activities were taking place was brought to light through an undercover sting by a reporter from
the now defunct News of the World, who offered Mr Majeed a large cash payment for
information on when the no balls were to be bowled. Mr Majeed then arranged with the other
defendants for the no balls to be bowled in exchange for cash payments. The information on
when the no balls were to be bowled was then further exploited by betting on specialist markets
offered by some bookmakers, particularly in the subcontinent where gambling on cricket is
largely illegal.
Criminal charges for conspiracy were brought against the four defendants under the Prevention
of Corruption Act 1906, Criminal Law Act 1977 and Gambling Act 2005. Contravention of the
first two Acts carried a maximum penalty of seven years imprisonment and contravention of the
Gambling Act carried a maximum sentence of two years imprisonment. Evidence produced at
the trial in the form of information from secret recordings and text messages from the undercover
sting, along with cross-examination of the defendants, gave the jury an insight into the tricks and
subterfuge that connected betting syndicates with the sport, and convinced the jury to find the
12

defendants guilty unanimously. In sentencing the defendants Mr Justice Cooke did not hold back
with his criticism and contempt for what they had conspired to do and its consequences:
It is the insidious effect of your actions on
professional cricket and the followers of it which
make the offences so serious. The image and
integrity of what was once a game, but is now a
business is damaged in the eyes of all, including the
many youngsters who regarded three of you as
heroes and would have given their eye teeth to play
at the levels and with the skill that you had. You
procured the bowling of three no balls for money,
to the detriment of your national cricket team, with
the object of enabling others to cheat at gambling.
Unsurprisingly the judge was of the opinion that the offences were of such a serious nature that
only sentences of imprisonment ranging from six months to two years and eight months would
suffice. These were reduced sentences given various pleas that were put forward by each of
defendants and the playing bans imposed previously by the International Cricket Council (ICC)
at an arbitration hearing at their Doha headquarters.2 One might question whether the latter
mitigating factor should be considered at all in a criminal trial. Butt and Amir subsequently
appealed against their sentences but both were dismissed.











13






An introduction to Sports Betting and its
recent manifestations
Unless you are a serious punter you will probably be unaware of how much sports
betting have changed recently. The internet has made it a complex global business
with $millions bet via a network of operators often operating outside the punters
territory and not licensed under its domestic laws. Different formulas and in-play
betting have brought serious consequences for sport and this chapter starts to
explore them.













14

Definitions:
Sports betting: All sports betting-based games that involve wagering a stake with a monetary
value in games in which participants may win, in full or in part, a monetary prize based, totally
or partially, on chance or uncertainty of an outcome. (i.e. fixed and running odds, totalisator/toto
games, live betting, betting exchange, spread betting and other games offered by sports betting
operators, etc):
Legal betting: types of betting that are allowed on a specific territory or jurisdiction by a
regulator or government (ie. explicit permission given to legal companies to operate).
Illegal betting: types of betting which are not legal in the country as well as betting activities
proposed by unofficial companies or simply in back-stores.
Irregular betting: when irregularities and abnormalities in the bets placed or the event upon
which the bets are placed can be identified. Games of chance are those where chance prevails
(this does not mean there is no skill involved).
A short history of sports betting:
Betting is as old as sport itself
Since the earliest history of sport there have been people compelled to gamble on the results.
Dice discovered in the pyramids of Ancient Egypt provide evidence that gambling was a
common activity at the time. Informal and unregulated bets have been placed on horse races and
other sports for many centuries.
End of the 18th century: Birth of modern sports betting. Englishman Harry Ogden offered fixed
prices (fixed odds) against each horse in a race and was acknowledged as the first Professional
bookmaker. Betting contracts between punters and bookmakers often led to debts and ill will.
1864: Revolution in the betting industry. Frenchman Raymond Oller invented a new system
called pari-mutuel betting (also called the Totalizator, the Tote, or pool betting), in
which all bets are placed together in a pool. Prizes are calculated by sharing the pool equally
among all winning punters.
20th century: First private parimutuel betting company. Football betting developed with the
growth in the sports popularity. In 1923, an Englishman from Liverpool, John Moores, started
Littlewoods Pools, the first pari-mutuel betting on football. Littlewoods remained leader in the
sector until the 1990s.
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1934: First state lottery to offer sports betting. To counter illegal betting (Swedes were using
local agents to play with English bookmakers) Sweden opened the first public company in the
world to offer sports betting. Stryktipset required punters to predict the outcome of 12 football
matches. In the years that followed Italy (with Totocalcio) and Spain (with La Quiniella)
followed Swedens lead to finance national athletes participation in the 1948 London Olympics.
1960: Licensed betting shops appear in Britain. A Royal Commission ruled in favour of the
provision of legal betting facilities apart from those at racecourses 107 years after they had first
been made illegal. Fixed odds betting developed in UK, Ireland, Belgium, and in some US states
(Nevada). Parimutuel followed a similar development elsewhere.
End of 20th century: The internet and a new revolution. Thousands of betting companies
appear with thousands of new products and new ways of gambling.
Who are the punters?
Gamblers fall into two categories:
People interested in games of chance. By testing their good luck they hope to be rewarded
by fate. They usually choose slot machines, lotteries or scratch tickets. In most countries where
gambling is not prohibited, more than 50% of the population will play games of chance (most
taking part in draw games like Lotto). Their motivation is either the dream of a big jackpot or
simply the desire to add excitement to their leisure time in a casino.
Experts This group seeks to control chance by establishing strategies and taking calculated
risks principally in relation to sports betting, horse betting and poker. They represent a small part
of the population (generally less than 15%). Sports people often fall into this category of
gamblers because they are naturally competitive and like risks. The experts motivation is
financial and relies on frequent wins, but also stems from the need to show that they are stronger
better than others. Punters who bet on sport try to use their knowledge of football, tennis, cricket,
snooker, etc. to optimise their winnings. But it is important to know that, above all, they play for
the money not because they are sports fans.
The typical sports betting punter is:
A young man (under 35)
living in a big city
A student or an active person
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Understanding the different sports betting products:

Pari-mutuel Betting Fixed Odds Betting
Definition All bets placed in a pool, fund
shared equally among all the
winners

Price (the odds) is fixed and
set by bookmakers
Winning=Stake x odds
Advantages for punters Big potential winnings
(jackpots)

The punter knows in advance
how much he may win High
frequency of winnings
Advantages for
betting companies
No financial risk Higher risk but potentially
more turnover
Main countries of interest China, Spain, Italy,
Scandinavia
UK, Hong Kong, Australia,
Greece, Scandinavia
Main land-based
companies
National lotteries Ladbrokes, William Hill, Gala
Coral (UK)
Paddy Power (Ireland),
Lottomatica, SNAI, Sisal
(Italy
Hong-Kong Jockey Club (HK)
Main pure players
(internet)
BwinParty (Gibraltar)
Betfair, Bet365, Sportingbet
(UK), Betclic (Malta),
SBOBet (Philippines
% of worldwide betting Less than 10% More than 90%
On what sports is betting possible in 2011?
Top 3: (historically more than 90% of the market)
Football
Tennis
Basketball
Other sports (offered J uly and October 2011)
17

American football , Australian football , Athletics , Badminton , Baseball, Beach soccer
,Biathlon , Bowls ,Boxing ,Cricket ,Cross country skiing ,Cycling ,Field hockey ,Fishing , Golf ,
Handball , Ice hockey (including bandy) , Martial Arts ,Motor sports (Formula1, Moto GP,
Nascar VB Supercar, WEC 2011 , Netball Olympics (London) , Rugby , Squash ,Snooker , Table
tennis ,Ultimate fighting ,Volleyball.
Formulas offered:
Bookmakers have for many years offered win, draw, lose or 1X2 betting and this remains the
dominant form. They have also rapidly supplemented this with correct score and half time /
full time betting. With the advent of the internet, betting companies have become increasingly
creative offering a wide range of derivative bets (more than 100 derivative bets for some big
football matches or tennis games) to attract new punters in different markets. See on next page
(fig.2)
Live betting:
Live or in-play betting allows punters to bet during a sports event i.e. after the start of the game.
This is typically via the internet but can, in some countries, be in specialist retail shops. The most
popular sports for live betting are football and tennis. The odds offered for many betting
formulas (1X2 and other derivative markets) are set by professionals (usually called Live
traders or Livers) after the event starts, to reflect the action so far and the impact on the result
of the game. For example, if a team has a player sent off, it is less likely to win; if the favourite
team scores, the odds on its victory fall mathematically (because the team is more likely to win).
In these examples, if the odds offered do not change to reflect the action, there is a possibility
that the game is fixed and an alert may be generated by fraud detection systems. During the
game, the odds are continually updated until the bookmaker closes bets either shortly before, or
as the event ends. Live betting has been around for less than 10 years but has quickly become the
largest market (more than 60%) for most online bookmakers. Live betting is more addictive
because bookmakers continually offer new bets to punters who can be tempted either to re-
invest their winnings or try to recover their losses.

18


Figure 2

Handicap betting:
Handicap betting has become increasingly popular in sports. It is generally used to balance the
outcome of a sports event especially where there is a strong difference between the two teams (or
19

players). At its simplest, one side is given a head start in terms of the number of goals (in
football),
sets (in tennis), or points (in basketball). Odds are then offered based on that head start.
Example:
Brazil Ecuador (14 July 2011 Football):
The odds (cf. an online bookmaker) are:
1 = 1.25 X = 5.25 2 = 11
This means that Brazil is the strong favorite to win the game. If a punter correctly bets $10 on
Brazil to win he gets $12.50 (net gain of $2.50). It is also possible to bet on the same game with
a handicap against Brazil (for example Brazil Ecuador+2). This means that Brazil begins the
game with a 2-goal handicap (or that Ecuador begins the game with a 2 goal head start). The
game is more finely balanced and the odds against
Brazil are therefore higher.
The odds for Brazil Ecuador+2 are:
1 = 2.80 X = 3.80 2 = 2.05
If a punter bets on 1, he wins if Brazil wins by 3 goals or more. A $10 bet on Brazil could
return $28 (net gain of $18).
If a punter bets on X, he wins if Brazil wins by 2 goals.
If a punter bets on 2, he wins if Brazil wins by 1 goal, if the game ends in a draw or if
Ecuador wins.

Figure 3
Asian handicap:
The Asian Handicap bet is one type of handicap betting. I t originated in South East Asia
hence the name.
20

Asian Handicap eliminates the chance of a draw in the 1X2 betting market. At first glance this
seems unimportant but it has the effect of narrowing the outcomes to only two possibilities and
thereby increasing the punters chances of winning. It is very popular in Asia and attracting more
and more punters in Europe because it effectively offers close to a 50/50 chance. Bookmakers
offering Asian handicaps are generally able to offer more competitive odds on the traditional
1X2 market because they take bets on both sides (1X2 and 12 Handicap), thus balancing their
financial risk (bookmakers may adjust the odds on both sides in order to balance the amounts
wagered on each side).
There are three types of Asian Handicap:
Where there is a strong favorite, bookmakers may give a head start to the weakest team, for
example +2.5. The 0.5 eliminates the chance of a draw outcome;
If the two teams are close, the Asian Handicap may be +0 but in this case the stakes will be
returned if the game ends in a draw;
If there is a slight favorite in a game, bookmakers may offer a Split handicap (sometimes
called a quarter-ball and similar to an each way bet in horse racing), for instance combining a
+0 handicap and a +0.5 handicap (generally written +0/0.5). The punters stake will be divided
equally between both lines. In the case of a draw, 50% of the stake put on the +0 will be returned
while 50% of the stake put on +0.5 will win.
Example: Japan Sweden (14 July 2011 Womens Football):
The odds (cf. an online bookmaker) are:
1 = 2.91 X = 3.1 2 = 2.19
The odds for Japan Sweden +0 are:
1 = 2.33 2 = 1.59
If a punter bets on 1, he wins if Japan wins
If a punter bets on 2, he wins if Sweden wins
If the game ends in a draw, his stake is returned
Betting exchange:
Betting exchange is a new form of online betting whereby customers bet amongst themselves. In
betting exchange, customers not known to each other are able to bet via the internet:
One of two customers plays the role of the bookmaker; he offers his own odds (he lays the
bet);
21

The other customer plays the role of the punter (he backs the bet) ;
The betting exchange company hosts the transaction without taking any financial risk, and
takes a commission on the money traded (usually between 1% and 5% of the winnings).
Traditionally, the punter has always been the backer and the bookmaker the layer. Betting
exchange allows punters to lay bets too and was revolutionary when it was introduced in 2000.
Betting exchange attracts both professional and amateur punters; some professionals use betting
exchange to find arbitrage opportunities (using different odds either to increase winnings or to
hedge risks). Odds are continuously evolving as match specific information changes punters
assessment of the likely outcomes. When these changes in odds occur, the most reactive punters
(sometimes using computer programmes called Bots) may get themselves to a position where
they are guaranteed to win money (a sure bet). Sometimes professional punters using betting
exchanges are bookmakers themselves: their goal is to reduce the financial risk of an outcome by
arbitrage.
A betting exchange example:
Brazil Ecuador (football)
John lays a bet against Brazil by betting against Brazil to win. He plays the role of a
bookmaker who offers a stake and odds (lets say 10 at 1.30). Then he waits for a punter to
back this bet;
Pablo thinks that Brazil will win. He backs the bet offered by John. He puts 10 on the
betting exchange platform and will win 13 if Brazil wins; John has to put 3 on the betting
exchange platform to secure the financial transaction. If Brazil doesnt win, John wins 13;
The betting exchange company takes the money from John and Paul (13) and takes a
commission on the winnings (lets say 1.5% = 0.2). (See Figure on next page)


22

Figure 4






























23






Sports Betting: A threat to sports
integrity
Interesting as the growth in the betting industry may be, it is the threat to sport that
is the most serious issue. Here we set out the implications for sport of criminal
involvement in sports betting. So much illegal activity means the links between
sport and crime are dangerously close.









24




Why betting threatens sport?
The 3 main risks:
High payout rates
Number of betting possibilities
Betting exchange
Risk 1: high payout rates encourage money laundering
A sport betting is now a much more attractive way of laundering money than it was 15 years ago:
With the internet, average payout rates have risen dramatically: 15 years ago, payout rates were
generally less than 80%; today, online betting companies generally payout over 92% of total
amounts staked.
In many countries it is now possible to bet with different online companies allowing punters to
optimize their payout by spreading bets between bookmakers offering the best odds. This
strategy boosts returns and can sometimes achieve a payout of over 100%. For organized crime,
money laundering is a cost of doing business and they have historically struggled to keep this
cost to below 30%. Today, international criminals make use of the opportunities offered by the
global financial system and by sophisticated data processing including worldwide networks of
computer servers, tax havens and investment funds. Payout rates above 90% for internet sports
betting make it extremely attractive as a way of laundering money and this gives criminals an
interest in both the betting industry and sports organizations.
High payout rates for internet sports betting represent one of the biggest risks for the sports
movement.
An example of payout optimization (football match between Peru and Venezuela Copa
America / July 2011):
1. A punter checks the best odds offered on the game:
1 (Peru wins): best odds from PinnacleSports.com (operator licensed in Curacao): 3.05, X (a
draw): best odds from PinnacleSports.com (3.42), 2 (Venezuela wins): best odds from bwin.com
(operator licensed in Gibraltar): 2.60
25

2. He then opens accounts with PinnacleSports.com and bwin.com
3. To optimize payout rate he bets:
$100 on 1 (Peru to win) on PinnacleSports.com
$89, 18 (a draw) on Pinnaclesports.com
$117, 31 (Venezuela to win) on bwin.com
His total stakes are therefore $306
4. Whatever happens, the punter wins $305, which means the payout rate he enjoys is 99.7% (he
loses $1).

Figure 5
Winnings can therefore be banked as clean at a cost of just $1, well under 1%.
Risk 2: The increase of betting possibilities creates new dangers for sport
15 years ago people bet on the winner of a football game, or on the winner of 13 football games
(Totocalcio).
Today, it is possible to bet on anything:
Every day punters may bet on more than 30 different sports;
For many football games, punters have more than 100 different betting options (number of red
cards, goal difference, number of corners during the next 10 minutes, what will happen next?
etc.);
Live betting provides the opportunity to bet during a sports competition which was not possible
15 years ago (some countries like Spain have chosen to ban live betting because of the risks
involved);
With betting exchanges, it is now possible to play the role of either the bettor or the
bookmaker. Some of these betting types are structurally easier to influence which may do serious
harm to sport. Even if betting companies do not fix matches (it has happened on occasions), the
26

rapid increase in the opportunities to bet contributes seriously to a big increase in risk for the
sports movement.
Risk 3: betting exchange increases the risk of money laundering and match-fixing
Betting exchange has been a revolution in the betting industry which has completely changed the
economic model of sports betting. Key features are:
No financial risk for betting exchange companies.
The highest payout rates on the betting market. Betting exchange has rapidly captured
significant market share (in the UK, it reached 25% within a few years) and so began to threaten
traditional bookmakers. Even where the sites which facilitate betting exchange make great
efforts to be open and transparent, this new type of betting presents some concrete dangers for
the sports movement:
Payout rates are typically the highest on the market (usually above 95%) which inevitably
attracts money launderers interest.
With traditional sports betting, punters bet on a team or an athlete to win. With betting
exchange, they can bet on either victory or defeat and it is of course much easier to lose than to
win.
With the possibility of either backing or laying bets, both punters and betting companies can
adopt hedging strategies exactly like those for financial markets. This can create what financial
traders would term synthetic products without the control of a regulator.
The borderless environment of the internet makes betting possible between different continents.
For instance, some Asian bookmakers regularly cover their financial risks by betting on
European markets.
With the chance to both back and lay bets, punters are able to manipulate markets with simple
match-fixing rumors or match-fixing attempts and win whatever happens. They simply back one
team to win and lay a bet on the same team. As soon as the odds decrease (in response to the
rumor) they win every time.





27













Why match-fixing cases have increased
with the internet
The combination of widespread availability of internet betting and the interest of
organized criminals has been fuel on the fire of match-fixing. The problem is now
so big that everyone in sport is affected.







28


Match Fixing By Internet:
There are two main reasons why the internet has been responsible for an increase in match-
fixing:
1. The internet has allowed the creation of a much wider range of betting products than was
available 15 years ago. Today it is possible to bet on a huge number of sports competitions with
an almost unlimited range of betting formulas: first goal, first scorer, next point, number of
yellow cards, etc.
2. With the internet, transnational organized crime can take advantage of sports betting
opportunities and weaknesses in the sports movement to launder dirty money.
Before the internet:
20 years ago, sports betting were strictly regulated at a national level. Each country operated its
own organizational model: fixed-odds betting were outlawed in Germany; in Sweden only the
monopoly lottery company, Svenska Spel could offer bets; in the UK, the government licensed
various bookmakers to offer bets in dedicated shops or through the phone. In all cases, countries
considered that strict regulation was necessary because of the risks to civil society from fraud,
money laundering, match-fixing and the social problems arising from addiction to gambling.
With the internet:
From the mid 90s onwards, internet gambling companies proliferated. Some used unregulated or
low-tax regimes to obtain an official license without paying any duties (Antigua and Barbuda,
for example, created a free trade and processing zone in 1994). Most (80 to 90% according to
CERT-Lexis) have never applied for any kind of operating license; they simply offer bets
worldwide, without any authorization. These companies are very mobile, especially those linked
to criminal activities. Some website operators relocate their host servers and country of operation
several times a month making them much harder to track. These developments are very
dangerous for sport because tracing illegal activity across borders is now very difficult. The risk
of match fixers being caught is very small as it is hard for police to spot suspicious money
transfers or punters as soon as more than one country is involved. The same situation applies to
money laundering as high payout rates (up to 92%) mean illegal money is increasingly being
recycled through online sports betting. As an example, in 2009, Italian police discovered that one
betting company (Paradise Bet) located in London had laundered hundreds of millions of Euros
29

on behalf of the Parisi family, a well-known mafia dynasty. Today, the global possibilities
provided by the internet coupled with sophisticated financial market tools allow organized crime
to launder huge sums practically unchallenged. Cyber criminals now use worldwide computer
networks and base themselves in legitimate tax havens so that it is impossible to identify the real
shareholders of betting or gambling companies. Tax havens have become crime havens where
Mafiosi use sports among their international activities.

























30







Sport fights back: Actions to prevent
match-fixing
Although match-fixing remains a serious issue for the sports movement, a range of
prevention, education, communication and detection measures have been
developed in recent years. These will assist in efforts to safeguard sports integrity.











31


Sport can respond to the problem of match-fixing:
There are numerous things that sport can do to respond to the problem of match-fixing. However
the first advice is to accept the scale of the problem. Sports organizations must accept that the
fight against match-fixing will not be an easy one. Organized crime has infiltrated many
professional and amateur teams. Even national federations and professional leagues have had to
accept that there are connections between some of their members and fixers. With their huge
resources and total lack of ethics, criminals will go to almost any lengths: every weakness in
sports governance will be ruthlessly exploited by organized crime.
It has never been more important for the entire sports movement to unite against match-fixing.
The following five sections explore different ways in which sports organizations can protect
themselves. Each is useful in its own right and overall they contribute to an overall protection
system:
1. Sports regulations
2. Betting regulations
3. Organization
4. Prevention and education
5. Monitoring suspicious betting activity, alerts, intelligence and investigation.
1. Sports Regulations:
Having an awareness of betting-related risks when sports regulations are being drawn up
provides for prevention, intelligence and investigation to be built in from the start. International
federations (IFs) are encouraged to ensure that strong regulations are in place and that all
participants are automatically bound by and are required to comply with all of the provisions of
the IF Regulations related to Sports Betting.
Sport Accord standard definitions and model rules
Sport Accord has developed some definitions and a standard set of rules for adoption by
International Sports Federations. These can be found in appendix 1.
I OC recommendations
The International Olympic Committee (IOC) has published a set of recommendations for sports
within the Olympic Movement to adopt. These can be found in appendix 2.
Council of Europe recommendations
32

The Council of Europe (EPAS) advises that, The sports movement should achieve an
appropriate level of relevant self-regulation in order to combat manipulation of sports results.
Self-regulation by the sports movement should be encouraged by governments and possibly
backed by public
Standards or policies. EPAS recommendations can be found in appendix 3.
2. Betting Regulations:
Sports organizations have traditionally not interfered in betting regulations however, there are
several new factors to consider which are changing the situation.
In recent years sports organizations have acquired expertise in issues around sports betting;
The sports movement faces a high level of risk from sports betting and from organized crime
using sports betting;
Given the risk to sport of match-fixing and the costs to sports organizations of tackling it, it
would seem logical that sport should be consulted and involved.
Sport Accord identifies betting regulation as a key component in the fight against match-
fixing.
Sports organizations should work with governments to share best practice to protect sports
integrity. National Federations, guided by International Federations, should be part of the sports
betting regulation system. International Federations should consider the following
recommendations:
IFs / NFs should support the fight against illegal betting (especially where illegal betting
companies use their events for their image).
IFs should stress the danger of high payout rates and the threat to sport from the consequent
involvement of organized crime. IFs could recommend limiting payout rates (below 90%) to
make sports betting of less interest to criminals;
IFs / NFs should be consulted on the types of bets and betting games which are permitted with
their first-hand knowledge of which bets are easy to influence. A watchdog could be set up to
focus on specific risks related to live betting and betting exchange;
IFs / NFs should support the idea of cooperating with betting companies (with regular and
formal exchange of data);
IFs / NFs should, in particular, support the idea of a contribution paid by the betting industry
(a betting right or similar). They could also support the establishment of a vigilance
33

obligation for sports betting companies (backed up by a criminal offence) to oblige them to
keep and disclose information required in the identification and prevention of match-fixing;
IFs / NFs should support the idea of an international. Convention on the manipulation of
competitions, as suggested by EPAS (Council of Europe);
IFs / NFs could suggest the establishment of an international policing body with responsibility
for collection of intelligence and investigation of sports match-fixing.
What is the best regulation for the sports movement?
During the coming years, it is vital that online betting is progressively regulated, but as there
is currently no international consensus, this will have to take into consideration decisions taken
by different national jurisdictions.
3. Organization:
Criminologists usually recommend that the best way to fight crime is to be willing to do what it
takes to defend against it and to make structural changes and adapt the organization accordingly.
Every IF/NF is therefore recommended to nominate a representative of the IF as the focal point
on all matters related to betting and match-fixing.1 It is also suggested IFs develop strong
working relationships and regular communication with police authorities (including Interpol) and
the FATF (Financial Action Task Force). Sports organizations with the human and financial
resources (following the examples of football (FIFA, UEFA), tennis (ITF)and cricket (ICC))
could also create their own intelligence and investigation department if they have not already
done so. This would allow them to react faster and to sustain stronger cooperation with the
police.
There are two distinct scenarios which regulators may follow and sports organizations will need
to decide which they will support. (See figure on next page)
34


Figure 6
4. Prevention and education:
Awareness and understanding of the risks of betting and the responsibilities of the sports
movement are central to safeguarding sports integrity. Financial support from the World
Lotteries Association (WLA) and European Lotteries (EL) has enabled the creation of a Global
Programme to Stop Match-fixing in Sport. Coordinated by Sport Accord, the umbrella
organization for all international sports federations, the Education Programmers available for all
Sport Accord members and their affiliates. The Education Programme will help international
sports federations (IFs) to comply with International Olympic Committee recommendations
related to sports betting. The IOC recommends that all constituents of the Olympic
Movement (the IOC, international sports federations and National Olympic Committees), under
their respective competences, implement a Communication, Education and Prevention
Programme. Athletes are increasingly the target of criminals and illegal bookmakers who try to
obtain advantage through insider information. Raising awareness among athletes of the risks they
are exposed to is crucial. It is therefore important that they are educated about responsible betting
behavior and associated risks in order to protect both participants and the integrity of sport.
5. Betting market Monitoring and Alerts:
Betting market monitoring remains a controversial issue. Some people consider that it is the best
solution to fight against match-fixing and compare betting fraud detection systems to doping
tests. Others have doubts over whether it is an efficient way to combat match-fixing.
There are currently four levels of monitoring in operation
35

Monitor

FFigure 6
Betting fraud detection systems: How do they work?
Betting fraud detection systems use sophisticated mathematical models which project what odds
should be expected to be given a rational commercial market. They have been developed
especially for live betting and calculate changing odds from the kickoff to the final whistle using
many types of data. When bookmakers odds deviate from calculated odds by a predetermined
percentage, the system produces an alert depending on the size of the difference (for example
green, orange or red alert). If the alert level is high, it is likely that the match has been fixed. All
competitions and leagues have been configured individually to ensure a tailored approach taking
different factors into account (size and volume of bets, media interest, etc.). The graph below
shows the calculated odds on 0-0 match result compared to those offer by bookmakers. As
shown, the odds of a draw shorten as the game progresses. This is exactly what is expected and
will not trigger an alert.
36


Figure 7
Conclusion: what future for monitoring systems?
If a monitoring system detects a significant irregularity in the betting market there is a likelihood
that the competition has been fixed. However, there are sometimes other reasons for irregular
betting patterns and it is therefore important that careful analysis is conducted by experts with
relevant experience. It is difficult to say that the match has not been fixed where no alert has
been produced (the issue is similar to doping: an athlete who has no positive test may have taken
drugs anyway it is hard to prove a negative). There are several reasons for this situation:
Monitoring systems are focused first on football and then on tennis. The result is that football,
which is leading the global fight against match-fixing, will always discover more cases than
other sports;
Monitoring systems rarely follow minor competitions and side bets with smaller stakes because
it would be too costly and no organization would pay for it;
Organized criminals know how the sophisticated monitoring systems work and try to game
them (false rumors, infiltration, spreading stakes among many betting companies etc.).
The main challenges for developing a monitoring system include the following:
To reduce costs: level 2 and level 3 systems are very expensive, often costing over 1 million
to set up. However, the costs may be shared amongst different sports organizations;
To foster cooperation with betting companies: in the case of an alert, bookmakers should
legally be required to produce adequate data. Strong motivation to identify and expose the causes
behind unusual bets is the best way to fight against match-fixing. It is therefore advisable for
37

sports organizations to create their own informal feedback systems (news from on the ground,
journalists, betting companies, etc.)




























38






Best practices to protect Sports Integrity
When creating systems to protect the integrity of sport we can learn from the best
practice of leaders in this area. Here we examine the actions of various sports
organizations to stamp out match-fixing.






















39





Learning from the leaders:
Whether as a result of severe crises (cricket, football, tennis) or in anticipation of the possibility
(IOC, Sport Accord), many international sports organizations have established strong policies to
counter match-fixing. This best practice has gradually spread through different sports federations
and organizations.
American professional sports have prohibited betting for a long time:
After suffering scandals in baseball, basketball, football and boxing, American professional
sports federations now forbid players from betting on the competitions in which they take part.
The US National Football League (NFL), US National Basketball Association (NBA) and
National Collegiate Athletic Association (NCAA) as well as adopting a hard line against
gambling have education programs for their players about corruption. For example, the NBA
does not allow players to participate in their league until they have taken a course in how to be a
professional player including a section on anti-corruption. All leagues professional leagues
have security departments and the Federal Bureau of Investigation (FBI) has its own division of
officers specifically tasked with dealing with gambling and fixing in sports.
Cricket: A reluctant trail blazer:
In 2000, cricket faced a severe crisis: Hansie Cronje, captain of the South African national team
and considered one of the best players of all-time admitted he was corrupt. In the same year, in
Pakistan, an enquiry led to the banning of several players and the censuring of others. Media and
public confidence was rock bottom at the time.
One year later the board of the International Cricket Council (ICC) approved a response which
was both clear, Uncompromising and comprehensive. It comprised 24 measures including:
The creation of an education and awareness program;
The implementation of a security and control policy around the teams;
An obligation on players to sign contracts where they accept requirements including provision
of personal data (e.g. banking details, phone bills, etc.);
The establishment of fully professional umpires (properly managed full-time umpires);
40

The implementation of a prevention and investigation strategy;
Carrying out a procedures audit of the ICC to ensure the durability of the organization.
Having taken this decision, the ICC then created the Anti- Corruption and Security Unit (ACSU).
The role of the ACSU is to ensure adherence to a code of conduct to protect cricket integrity.
This code of conduct includes strict sanctions in the case of corruption (even a player who has
knowledge of an attempt to fix a match and who does not report it will be sanctioned),
participants betting on their own competitions, insider dealing, etc. The ACSU uses all available
methods to monitor and obtain information: databases, connections (official and unofficial) with
the police and also with legal and illegal bookmakers, punters, etc. The ACSU is however not
empowered with any legal authority. In 2010, the ACSU employed 10 people and its current
director is Yogendra Pal Singh.
Tennis follows Crickets lead:
In 2009, the global tennis governing bodies got together to create the Tennis Integrity Unit
(TIU). The unit was set up specifically to fight match-fixing in tennis on behalf of the
International Tennis Federation (ITF), Association of Tennis Professionals (ATP), Womens
Tennis Association (WTA) and the Grand Slam tournaments.
Using the cricket model, the TIU stresses sports legislation, investigation and prevention.
International tennis is not currently working with sophisticated monitoring (early warning or
fraud detection) systems although at a local level some national federations have gone down this
route. In 2011, the TIU appointed a director, Jeff Rees a former Scotland Yard detective, two
full-time investigators (including a women specializing in financial analysis who is able to get
close to the womens tournaments), an expert in criminology, an administrative manager and
also a network of specialists who could be drafted in as and when necessary. The TIU insisted on
an extended period of training and experience gathering before becoming operational.
The organization is keen to highlight the results of its work pointing out that the sport is safer
than it was two years ago and match-fixing is much less of a problem. Going beyond the work of
the TIU, two countries have established measures of their own to counter match-fixing since
2006. Australia (Victoria State) and France implemented tighter access controls at their
respective Grand Slam tournaments the Australian Open and Roland-Garros. They brought in
police surveillance, banned laptop computers on the tennis courts and made it impossible to bet
online from the Grand Slam stadiums. The TIU developed an e-learning education programme
41

entitled the Uniform Tennis Anti-Corruption Programme.1 As of2012, all players participating
in Grand Slam tournaments must have completed all the modules and passed the tests included in
the programme.
UEFA: The best fraud detection system:
UEFA was instrumental in creating the first early warning system for betting fraud in the sports
movement. In 2005, the organization signed a Memorandum of Understanding with three
complementary industry bodies:
European Lotteries (EL), the association of state lotteries;
The European Sports Security Association (ESSA), an early warning system to detect signs of
match-fixing created by commercial bookmakers;
Bet fair, the world leader in betting exchange. The objective was to establish a system and a
partnership capable of detecting irregular betting patterns and identifying suspicious matches. At
the time rumors of match-fixing were swirling around the Intertoto Cup and preliminary
Champions League matches. Over the years, UEFA has developed a sophisticated level of
expertise to monitor its competitions. In 2009, with Sport Radar, its commercial partner, UEFA
created the first Betting Fraud Detection System (BFDS). In 2010, the BFDS monitored every
UEFA-organized match (1,800 in total) plus 29,000 other football matches run by the main
national football leagues and federations. The system contains a huge database including
information on players, referees, suspicious patterns in the past, etc. The BFDS is based on
detection of abnormal odds (odds fluctuate from around a week before kick-off right up to the
end of the game reflecting information on the teams, rumors, changes in the score, etc.). If
something unusual is detected (for example, larger than normal bets on the outsider and not the
favorite), the BFDS triggers an alert and UEFA then investigates, involving the police if
necessary Around 180 alerts were received in 2010; however, BFDS has its limitations, even if
suspicious patterns clearly show a high probability that a match was fixed, it is not possible to
use the system as evidence in a prosecution.
In 2011, UEFA adopted a different approach more focused on prevention and investigation
including the establishment of a hotline and training seminars at U-17 and U-19 events. The
organization appointed Pierre Cornu as chief legal counsel for integrity and regulatory affairs,
heading up a team looking after the sports legal services and UEFAs disciplinary unit.
42

FIFA follows UEFA with its Early Warning System:
In 2005, footballs international governing body (FIFA) established an agreement with betting
companies to exchange information following the Hoyzer scandal in Germany. In 2007, the
FIFA Congress decided to create a sustainable structure to protect its integrity which led to then
creation in 2008, of a subsidiary, the Early Warning Systems (EWS), to detect irregular betting
patterns.
EWS both monitors FIFA competitions and manages a database of former match-fixing cases.
The organization also works with a network of informers on the ground, in particular to
scrutinize Asian betting. The FIFA legal department is responsible for enquiries, investigation
and disciplinary matters (in particular, sanctions against those found guilty of corruption) and
works directly with EWS. FIFA now employs a former Interpol officer, Chris Eaton, as Head of
Security.
Although not completely automatic, EWS nevertheless seems to be providing satisfactory
results. Around 100 alerts were received during the last season (during which 3,000 matches
were monitored), however, many of these were subsequently found not to be connected with
match-fixing. In 2011, EWS was preparing to develop some new
Integrity tools:
A betting awareness and education programme in collaboration with Interpol;
A whistle-blowers hotline to FIFA for players, referees and others.
IOC cooperates with FIFA to create its own EWS:
In 2008, the IOC asked FIFAs EWS to monitor the Olympic Games in Beijing. No irregular
betting patterns were observed during the event but a year later, President Jacques Rogge
decided to create an early warning system for the IOC. International Sport Monitoring (ISM) was
established and was in operation during the Vancouver Olympics in 2010. FIFA and the IOC
have been able to gain some economies of scale by using the same technical monitoring
infrastructure, although the two systems are distinct legal structures. ISM is a commercial
company which is in a position to offer its monitoring services to other sports organizations in
the future. Setting up ISM and the establishment of Expert Groups on Sports Betting Integrity in
2011 shows that the integrity of sports competitions is a high priority for the IOC and its
President. European sports ministers have understood the IOCs position and adopted the
43

Council of Europes recommendations on the promotion of integrity in sport and its efforts to
eradicate unauthorized manipulation of results and match-fixing.
Sports Accord: Sports Integrity Unit:
Recognizing that the integrity of sport is threatened by illegal and irregular betting, Sport Accord
established a Sports Integrity Unit in June 2010 in order to coordinate activities related to
supporting Sport Accord members in tackling the issue of irregular and illegal betting in sport.
Three priorities have been identified:
1. Model Rules on Sports Integrity in Relation to Sports Betting
2. Global Programme to Stop Match-fixing in Sport including:
E-learning Programme for athletes/officials How to Prevent Match-Fixing from Destroying
your Career
Sport Accord Guide to Integrity in Sport: Understanding and Preventing Match-Fixing
Code of Conduct on Sports Betting Integrity for Athletes and Officials
Model Rules on Sports Integrity in Relation to Sports Betting
Integrity Rules and Legislation Database
3. Investigation of establishment of Monitoring, Intelligence and Investigation System.















44







What to do in a crisis? (Conclusion)
No sports organization is immune from a match-fixing scandal. A full blown crisis
can destroy reputations and careers but with some advanced planning the worst
consequences can be avoided.














45


Crisis Planning:
Match-fixing is a major crisis that has to be acted on both quickly and seriously. There are two
classic reasons why sports organizations do not react appropriately:
They are led by volunteers who are not always present at the crucial moment, and are staffed by
employees sometimes not authorized to speak or to decide on a response;
The positive image of sport can mean leaders take time to accept the reality of a problem.
Match-fixing scandals usually follow four different stages:
1. Preliminary: after the first alert, a critical point is reached (people have been arrested by the
police for instance).
2. Acute: the crises explode (often rapidly). Journalists looking for a story quickly spread the
news.
3. Chronic: media interest reduces while the organization is handling the problem (decisions are
taken).
4. Healing: the organization adopts a more vigilant approach to future scandals (security,
organization, legal affairs etc.). Even the most serious match-fixing scandal may be handled
With adequate procedures:
At every stage of a match-fixing crisis, sports organizations are recommended to do three
important things:
Communicate:
This is the most important thing for a sports organization involved in a case of match-fixing.
Keep communicating during the whole crisis gaps in official information are likely to fuel
rumors and false claims.
Get the truth out as soon as possible and do not dismiss or minimize the problem never lie.
The more serious the crisis, the more important the choice of spokesperson ideally they
should be the head of the organization with strong communication skills and good relationships
with journalists.
The objectives of crisis communications are to reassure and allay the inevitable fears, and to
control the flow of information to the public.
46


Organize:
Take an organized approach to obtaining, checking and disseminating information.
Conduct an investigation to obtain a clear and comprehensive picture of the situation.
Try to verify that the information is accurate and represents the full picture to avoid
miscommunication.
It is essential to be able to judge whether the problem is serious or not (having a predetermined
scale of risk may be a appropriate).
Establish the crisis team and allocate roles (legal, sponsor management, athlete management
etc.).
Give the crisis spokesperson accurate and necessary information needed to explain the facts
(respecting the presumption of innocence) and what actions are being taken.
Where information is not known, do not lie. Lying about a crisis can cause more long-term
damage than the crisis itself.
Plan:
Improvising in a crisis is dangerous. It is important to master emotion and stress in moments of
passion. Ideally organizations should take time to prepare and train for crises with predetermined
scenarios. When a crisis hits everyone should know what they are doing.
An organization with a good image will obviously stand a better chance of overcoming a crisis
than one with lots of problems and a poor record of transparency.
Essential Dos and Donts Yes or No?
Accept interviews with journalists


Yes
Hide information

Never
Control and prepare official statements

Yes
Speak too much with too many details No
Distract media attention

NO
Favour human stories and not technical Yes
47

aspects

Lie to protect sports good image

Never
Anticipate match-fixing issues and train for
them
Yes
Choose a speaker with a good reputation Yes
























48

Bibliography:
Carpenter Paper Match-Fixing-The Biggest Threat to Sport in the 21
st
Century?
Kevin Carpenter (Executive Contributor, LawinSport.com), [2012] I.S.L.R., Issue 2
2012 Thomson Reuters (Professional) UK Limited and Contributors.
Integrity in Sports Author: Christian Kalb Publisher: Philip Savage Design:
Jessica Croome Published by Sport Accord Published November 2011 2011 Sport
Accord
Match-fixing in sport A mapping of criminal law provisions in EU 27 , March 2012























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Appendix 1:
MODEL RULES on Sports I ntegrity in
Relation to Sports Betting for all
I nternational Sports Federations and
Organizations
The following Definitions and Model Rules
are provided as a recommended guide for
IFs to incorporate into their Rules and
Regulations, while acknowledging that the
particularities of each IF will require
adaptation of the following:
Definitions
Inside Information: Any non-public
information relating to any competition or
event that a participant possesses by virtue
of his/her position within the sport. Such
information includes, but is not limited to,
factual information regarding the
competitors, the conditions, tactical
considerations, injuries, or any other aspect
of the competition or event but does not
include such information that is already
published or a matter of public record,
readily acquired by an interested member of
the public, or disclosed according to the
rules and regulations governing the relevant
competition or event.
Manipulation of sports results/match-
fixing: irregularly influencing the course or
the result of a sports event in order to obtain
advantage for oneself or for others and to
remove all or part of the uncertainty
normally associated with the results of a
competition.
Match Corruption: Promising, offering,
giving, requesting or receiving any bribe or
other reward or accepting the promise or
offer thereof to fix or otherwise to influence
improperly the result, or any other aspect of
a sports event.
Participants: a definition of participants
in any competition that is as inclusive as
possible, concerning all accredited
individuals including athletes, judges, IF and
National Olympic Committee (NOC)
employees, officials and families, the event
organizing committee and the entourage of
all participants.
Sports betting: all sports betting-based
games that involve wagering a stake with a
monetary value in games in which
participants may win, in full or in part, a
monetary prize based, totally or partially, on
chance or uncertainty of an outcome. (I.e.
fixed and running odds, totalisator/ toto
games, live betting, betting exchange, spread
betting and other games offered by sports
betting operators, etc.):
Legal betting: types of betting that are
allowed on a specific territory or jurisdiction
by a regulator or government (i.e. explicit
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permission given to legal companies to
operate).
Illegal betting: types of betting which are
not legal in the country as well as betting
activities proposed by unofficial companies
or simply in back-stores.
Irregular betting: when irregularities and
abnormalities in the bets placed or the event
upon which the bets are placed can be
identified.
Sports integrity: to preserve the
fundamental character of sporting
competition as an honest test of skill and
ability; to act on and off the field in ways
consistent with preserving the social and
Economic value of sport.
Model rules
Regulation of participants betting activities
1. Obligation on participants to safeguard
the integrity of sport by refraining from any
attempt to influence the elements of a
competition in a manner contrary to sporting
ethics;
2. Obligation on participants to be
responsible for their own actions;
3. The IF commits to taking measures to
increase awareness and knowledge of
participants on the issue of manipulation of
sports results and its consequences through
education and training;
4. The IF agrees to nominate a
representative of the IF as the focal point on
all matters related to betting and match-
fixing;
5. The IF commits to ensuring
confidentiality with regard to unproven
allegations of match-fixing;
6. Establish as offences:
a. Participants in any sports event, and their
entourage, from participating in all forms of,
or support for, betting or gambling related to
their own matches and competitions in their
sport;
b. Failing, for reward, to perform to ones
abilities;
c. Instructing, encouraging or facilitating
any other party to bet;
d. Inducing, instructing or encouraging any
participant to breach any of the established
offences;
e. Ensuring the occurrence of a particular
incident, which is the subject of a bet and for
which he/she expects to receive or has
received any reward;
f. Providing or receiving any gift, payment
or other benefit in circumstances that might
reasonably have been expected to bring the
athlete or the sport into disrepute;
g. Using any Inside Information for betting
purposes, including disclosing Inside
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Information to any person (with or without
reward) where the athlete might reasonably
be expected to know that its disclosure could
be used in relation to betting;
h. Failing to disclose information to the
competent IF or competition authority
(without undue delay) full details of any
approaches, invitations to engage in
conduct, or incidents that would amount to a
breach of the IFs or competition rules
related to betting;
I. Failing to cooperate with any reasonable
investigation carried out by the IF or
competition authority, including failure to
provide any information and/or requested
documentation, including records relating to
the alleged breach (such as itemized
telephone bills, bank statements, internet
service records, computers, hard drives and
other electronic information storage
devices);
j. To knowingly assist, cover up or
otherwise be complicit in any acts
previously described committed by a
participant. The participant shall be treated
as having committed such acts himself and
shall be liable accordingly.
Regulation of competitions
1. Limitation or prohibition of participants
laptop computers and telecommunication
tools including cell phones and internet in
restricted areas (including locker rooms)
during competitions;
2. Assignment of sports officials, especially
referees and judges, within as short a period
before the match/competition begins as
possible;
3. Introduction of random financial audits
for referees and judges and regular scrutiny
of their field decisions;
4. Banning or exclusion from the betting
offer of competitions of sports organizations
or athletes under investigation or subject to
sanctions for manipulation of sports results;
5. Prohibition of betting on particular sports
competitions/events including prohibition of
betting on minors (athletes under 18 years
old) unless the minor competes in a
competition for adults;
6. Prohibition on sponsorship by betting
operators of sports teams and clubs
composed of minors (athletes under
18 years old);
7. Prohibition of unauthorized betting types
and formulas following identification by
individual IFs of the authorized betting types
and formulas;
8. Establishment of regulations to ensure
national federations and clubs fulfill their
financial obligations towards their athletes
and sports officials i.e. Regular pay and
good conditions for their professional
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athletes and sports officials (including
referees and judges);
9. Establishment of regulations to avoid
conflicts of interest, to ensure that no one is
involved in the management of federations,
clubs, associations, teams etc. who is under
prosecution for action including forgery,
corruption, etc. or who has been convicted
of a criminal offence within a determined
period;
10. Establishment of regulations to ensure
transparency in the financing of sports
organizations through betting activities;
11. Undertake efforts to promote recognition
of a betting right dedicated to sports
bodies and related to the use of sport by
betting companies to ensure an economic
fair return from the betting operators, not
only for the organizers of sports events, but
also for the development of all sports.
Disciplinary procedures and sanctions
1. Establishment by IFs and competition
authorities of effective, proportionate and
dissuasive sanctions and provisional
measures for participants found in breach of
the sports regulations related to Sports
Betting, including cancellation of sports
events where a risk of fraud has been
established/identified; cancellation of sports
results where fraud has been established;
temporary or permanent bans on further
sports activities, demotion, points reduction,
return of rewards, reimbursement of caused
material damage, fines etc.;
2. Establishment of measures for temporary
prohibition from participation by
participants under prosecution for betting
related offences;
3. Establishment of disciplinary procedures
in line with agreed international general
principles of law and ensuring respect for
the fundamental rights of suspected
participants. Procedures should include:
A. the reporting and disciplinary bodies to
be distinct from one another;
B. the right to be heard and to be informed
of the charge;
C. the right of such persons to a fair hearing
and to be assisted or represented;
D. clear and enforceable provisions for
appealing against any judgment made;
E. A possible sanction in the event of an
established breach;
4. Establishment of procedures for the
mutual recognition of suspensions and
sanctions imposed by other international and
national level sports organizations and
government authorities.
Recommendations regarding data
exchange
International federations are encouraged to:
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1. Cooperate with governments and
responsible betting operators to face sports
betting risks. Objectives of that cooperation
include support for an International
Convention on Sports Integrity and the
development of a common Education
Programme regarding the potential risks
related to sports betting, match-fixing and
international crime;
2. Establish and, where appropriate, make
use of effective channels for the exchange
of intelligence and information related to the
investigation and/or prosecution of
manipulation of sports results at national and
international level, on the understanding that
information and intelligence transmitted
should be early and detailed enough to be of
practical use;
3. Collaborate in the establishment of a
system of monitoring and recording
matches/competitions where a risk of
manipulation has been
established/identified;
4. Give the largest mutual help and ensure
spontaneous exchange of intelligence and
information on manipulation of sports
results between national, foreign and
international authorities, where there are
reasonable grounds to believe that any
offence established in accordance with the
IFs regulations has been committed and
provide, upon request, all necessary
information to the national, foreign or
international authority requesting them;
5. Submit data in their possession or under
their control when requested to by
government authorities;
6. Introduce mechanisms for whistle-
blowing in the area of manipulation of
sports results to ensure disclosure of
information (e.g. hotline, email address);
7. Ensure protection of privacy and personal
data in the area of investigation of
manipulation of sports results in the light of
respect for human rights;
8. Support the regulation of sports betting to
ensure responsible betting behavior and to
combat illegal betting.
Appendix 2:
I OC International Olympic Committee
(IOC) recommendations:
1. The constituents of the Olympic
Movement state that:
Betting is part of sport since the beginning;
Sports betting is a way of demonstrating
the publics attachment to sports and
athletes;
Sports betting, offered by national lotteries
or private operators, is one of the most
important means of financing sport;
Without sport, there is no sports betting;
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National legislation concerning the
participation of sports betting operators to
the financing of the sports movement is
different from one country to another;
however everything possible must be done
to ensure a fair return from the betting
operators, not only for the organizers of
sports events, but more generally for the
development of sport;
Everything possible must be done to
ensure the integrity of sports competitions.
Within this framework, the following
recommendations are proposed:
A. It is recommended that all constituents of
the Olympic Movement (the IOC, IFs and
NOCs), under their respective competences,
adopt internal legislation that includes:
1. The prohibition of participants in any
sports event, from all forms of participation
in, or support for, betting related to
competitions in their sport;
2. An obligation for participants to
safeguard the integrity of sport by refraining
from any attempt to influence the elements
of a competition in a manner contrary to
sporting ethics;
3. The prohibition for all participants to
disclose confidential insider information on
their sport;
4. A definition of participants in any
competition that is as inclusive as possible,
concerning all accredited individuals
including athletes, judges, the athletes
entourage, IF and NOC employees, officials
and families, and the event organizing
committee and their entourage;
5. A disciplinary procedure in the case of a
breach of sports rules, including an enquiry
body, the right to be heard and to appeal,
and a possible sanction in the event of such
breaches;
6. Guidelines concerning financial
agreements with any betting operator,
specifying that:
There is to be no use of the Olympic brand
(nor use of any NOC emblem); no use of an
IFs Intellectual Property (IP) without prior
agreement;
There is to be a strict respect of the game
rules of the sport concerned; there is to be
no betting on events exclusively involving
minors;
There is to be no betting on certain types
of events and part of the competition;
There is to be involvement in financial
partnerships only with betting operators that
are prepared to fully cooperate and share
data with the monitoring system being used
(and/or which accept specifically to disclose
personal data regarding betting);
7. An economic fair return from the betting
operators, not only for the organizers of
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sports events, but also for the development
of all sports.
B. It is recommended that all constituents of
the Olympic Movement (the IOC, IFs and
NOCs), under their respective competences,
implement a Communication, Education and
Prevention Programme that includes:
1. A plan for the media in order to
communicate that the IOC, and the
respective IF or NOC, are addressing the
issue of betting in sport;
2. Implementation of programmes that
include the provision of information and
educational material to athletes and their
entourage, with a focus on young people,
including full use of new media and the
constituents Athletes Commissions,
particularly during competitions;
3. An exchange of best practices between
the constituents of the Olympic Movement
(the IOC, IFs and NOCs);
4. The establishment of a confidential
Hot line for the athletes, athletes
entourage and others to pass on information
if they are aware of a corruption or a threat
to the integrity of sport.
C. It is recommended that, as a matter of
urgency, the IOC establish a Working Group
involving representatives from all
constituents of the Olympic Movement to
analyses the best way to monitor sports
betting:
1. To provide information on irregular
betting patterns, and to assist them in the
event of suspicion of a breach of the rules
and the integrity of sport, particularly in
their relations with the betting operators, and
with a view to possible disciplinary
sanctions;
2. To provide monitoring of the Olympic
Games, qualification events and other
multisports games;
3. To facilitate monitoring of major IF
competitions.
D. It is recommended to develop
collaboration with the public authorities
(National and regional governments) and
their agencies to:
1. Promote legislation and public policies
which:
Contribute to preserving the integrity of
sport and to the fight against corruption in
sport;
Ensure a fair return from the betting
operators, not only for the organisers of
sports events, but also more generally for the
development of sport;
2. Develop agreements with police
investigation agencies, such as Interpol and
Europol, particularly for cooperation with
regard to criminal inquiries and the
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exchange of information in the event of
suspicious betting patterns and/or breach of
sports integrity rules.
1. Copenhagen, 2009, Olympic Congress
Recommendation 32, Governments should
recognize that close collaboration and action
in the fight to put an end to illegal and
irregular betting, and match-fixing is
essential, both in relation to Olympic
accredited events and to the wider world of
sport competition.
Appendix 3:
Council of Europe (EPAS)
recommendations:
2. The Council of Europe (EPAS) advises
that, The sports movement should achieve
an appropriate level of relevant self-
regulation in order to combat manipulation
of sports results. Self-regulation by the
sports movement should be encouraged by
Governments and possibly backed by public
standards or policies.
a. Sports organizations should make
provision for the possible cancellation of
sports events or disqualification of
competitors where a risk of fraud has been
established/identified;
b. Sports organizations are invited to
consider the introduction of random
financial audits of referees and judges and to
ensure regular scrutiny of their on-field
decisions;
c. Sports organizations should ensure
transparency in the financing of sports. It is
therefore appropriate to ensure that the
ownership structures of clubs are optimized
to safeguard sporting principles;
d. Sports organizations are encouraged to
select sports officials especially referees and
judges, at the latest possible stage before the
competition or the event.