November 2024

by Andrei Cosma and Jasmine Botiș

The phenomenon of manipulation in sports competitions affects their integrity, and the exponential growth of activities that could be considered criminal requires a firm response, suited to an increasingly complex challenge.

Sports competitions are a magnet for public attention. They are regarded globally as one of the most popular entertainment phenomena that continues to evolve in complexity and the level of excitement it generates.

History has repeatedly shown us that the popularity of any phenomenon with a significant financial component inevitably attracts the desire to speculate and profit from it illicitly, thus drawing in/triggering criminal activity. Today, this type of behavior is exacerbated, or supported, by technological progress and the expansion of global online betting markets, which in recent years have created numerous opportunities for sports events to be manipulated, transforming them into a new source of potential illicit profits.

The manipulation of sports competitions gained momentum in the early 2000s, with evidence of this trend recorded and documented by numerous studies and research conducted by international profile organizations, sports federations, sports betting operators, etc.

At the international level, the Council of Europe adopted in 2014 the Convention on the Manipulation of Sports Competitions, known as the “Macolin Convention”, the first and so far the only international legal instrument dedicated to combating manipulation in sport. The Convention was opened for signature at a ministerial conference held in Macolin, Switzerland, on September 18, 2014, and was signed by countries such as Germany, Belgium, France, the Republic of Moldova, and the Russian Federation.

In the Macolin Convention, the term “manipulation of sports competitions” is used to describe an intentional action to alter the results or course of a competition to gain an unfair advantage. The objective of this convention is clear: to prevent, detect, sanction, and deter the manipulation of sports results, and to improve information sharing and international cooperation between public authorities, sports organizations, and betting operators.

Concrete Measures and Strategies: From Monitoring to Fighting Fraud

The Macolin Convention aims to prevent, detect, sanction, and deter the manipulation of sports competitions, thus supporting the integrity of sports. The Convention promotes enhanced cooperation at the national and international levels between public authorities, sports organizations, and sports betting operators. The Convention invites governments to adopt measures, including legislative ones, especially regarding:

• Implementation of national monitoring platforms – Each state signatory to the Convention is obliged to create a national platform to collect and distribute essential information on the prevention and sanctioning of manipulation in sports competitions. These platforms are crucial for coordinating actions between public authorities, sports organizations, and betting operators, facilitating a rapid and effective response in cases of suspected manipulation/fixing.
• Preventing conflicts of interest – The Convention recommends adopting clear measures to prevent conflicts of interest among betting operators and sports organizations. These include strict rules that prohibit betting on competitions in which involved individuals hold privileged information or have direct ties to participants, thereby minimizing the risk of manipulation and influence from within.
• Combating fraud in sports betting – The Convention encourages gambling regulatory authorities to adopt strict measures against fraud, including by limiting the offer of sports bets and suspending the acceptance of bets in cases where there are suspicions of fixing. These measures allow for quick and firm interventions, thus protecting competitions from harmful external influences.
• Combating sports betting involving minors – The Convention requires each state to limit the offer of bets to competitions where athletes are at least 18 years old, excluding those events that are mainly intended for minors or specifically designed for them. This measure aims to protect young people and limit their exposure to betting practices, an important aspect in combating the manipulation phenomenon.

One of the main advantages of this Convention is that it promotes a systematic approach to risks and allows the establishment of commonly agreed standards and principles to prevent, detect, and sanction the manipulation of sports competitions. To achieve this goal, the Convention involves all stakeholders in the fight against manipulation of sports competitions, focusing on public authorities, sports organizations, and sports betting operators.

Romania: Protecting Sports Without a Robust Legislative Shield

Although the Macolin Convention is an important step towards protecting sports at an international level, Romania has not yet signed this international instrument and does not have specific legislation dedicated to combating sports competition manipulation. In the absence of a dedicated legal framework, the phenomenon of sports manipulation is managed through existing general regulations, mainly in the field of betting and gambling, as well as through various internal regulations of some sports organizations/federations. However, these instruments often prove insufficient in the face of such a complex global phenomenon.

The countries that have signed the Convention have strengthened their legal framework to combat manipulation through clear measures, including by including specific offenses in criminal law. For example, the Republic of Moldova adopted the framework proposed by the Convention, including a specific offense of “arranged betting” in the penal code. Essentially, it prohibits betting on a sports event that a person knows to be fixed or informing others of the existence of an agreement on fixing, with the purpose of encouraging them to place a bet.

In Romania, however, the current legislation does not include a specific offense for manipulating sports competitions. Although the Penal Code contains provisions regarding fraud, these can only be applied generically and do not fully cover the phenomenon of sports manipulation. Furthermore, the National Gambling Office (ONJN) monitors the betting activities conducted by licensed operators in Romania, but there is no specific procedure regulating the course of action in cases of “fixed” matches/competitions. In this context, situations arise in practice where there are suspicions about the fixing of a particular event, and operators report these suspicions, including to law enforcement agencies. However, investigations, as far as we know, take a very long time or the results of the investigations do not reach the public domain.

What Could the Next Steps Be?

Without a specific and dedicated legislative framework, efforts to combat this type of criminality are often based on general regulations regarding betting and gambling—a potentially inadequate approach given the current risks. As countries implement more focused measures, the efficiency of the general framework for preventing and combating manipulation risks becomes limited in an ever-evolving sports landscape. In our view, Romanian public authorities should consider both the ratification of international instruments like the Macolin Convention and the updating/modification of national regulations.

The Romanian version of the article is available HERE.

Details about our Gaming & Gambling Regulatory practice are available HERE.