Gambling Commission voids bets

Press release

Date:7 April 2011

The Gambling Commission (the Commission) has today concluded an investigation into suspicious betting patterns involving employees of Virgin Media and has decided to void bets totalling over £16,000 placed on TV’s the X Factor. The voiding orders, the first of their kind under the Gambling Act 2005, follow a Commission investigation into a report of suspicious betting activity brought to our attention by Betfair’s Integrity Unit.  No other major betting operators were involved. 

The investigation established that individuals employed by phone line operator Virgin Media were misusing their access to Virgin’s data on voting patterns to place unfair bets on which contestants would be eliminated from the X Factor. There is no evidence that the integrity of the public voting or the TV shows involved were compromised.  However, the Commission has consulted with Ofcom, which has been working with Virgin Media and other relevant stakeholders, to ensure that firm steps are taken to prevent a repeat of such activity.

Commenting on the case, the Gambling Commission’s Director of Regulation, Nick Tofiluk said:

 “Following a multi-agency investigation led by the Gambling Commission, we are satisfied that the bets placed were substantially unfair as the individuals involved had inside information.  We have worked closely with all the bodies involved to ensure that those individuals do not profit from their activity and that appropriate action has been taken to prevent a recurrence of such activity in the future.”

Ends

Notes to editors

The Gambling Commission

  1. 1. The Gambling Commission (the Commission) regulates gambling in the public interest alongside local licensing authorities. It does so by keeping crime out of gambling, by ensuring that gambling is conducted fairly and openly, and by protecting children and vulnerable people from being harmed or exploited by gambling. The Commission also provides independent advice to government on gambling in Britain.
  2. 2. The Commission and local licensing authorities are responsible for licensing and regulating all gambling in Great Britain other than the National Lottery and spread betting, which are the responsibility of the National Lottery Commission and the Financial Services Authority (FSA) respectively.
  3. 3. The Commission’s voiding orders mean that any contract or other arrangement in relation to each such bet is void and that any money paid in relation to each such bet (whether by way of stake, winnings, commission or otherwise) shall be repaid to the person who paid it, and repayment may be enforced as a debt due to that person.  The voiding orders also indicate that Betfair should, to the extent that it may be in its power to do so, cause affected Betfair customers to be repaid.  
  4. 4. Section 336 of the Gambling Act 2005 states that the Commission may make an order under this subsection in relation to a bet accepted by or through the holder of a general betting operating licence, a pool betting operating licence, or a betting intermediary operating licence, if satisfied that the bet was substantially unfair. Use the link here to view Section 336 in full.
  5. Further information
  6. You can call John Travers on (0121) 230 6700, (07852) 124624 or email him via communications@gamblingcommission.gov.uk.